Sunday, December 22, 2024

IDC restructures Times Newspaper, appoints Daily Mail boss to run it

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IDC Group Chief Executive Officer Mr Mateyo Kaluba
IDC Group Chief Executive Officer Mr Mateyo Kaluba

The Industrial Development Corporation (IDC) has dissolved the Times Printpak Board of Directors and made changes at management level as it commences fundamental restructuring of the company.

The IDC has directed the Zambia Daily Mail Limited Board of Directors to oversee the affairs of both Companies and appointed Mr Nebat Mbewe, Managing Director at the Zambia Daily Mail Limited, to oversee the day to day affairs of Times Printpak Limited, in an acting capacity, in addition to his responsibilities at Zambia Daily Mail.

Consequently, other functions like Finance, Legal, Human Resource, Production and Marketing in both companies will be overseen by a single management team.

The Editorial team of Times Printpak Zambia Limited will continue to oversee the publication of the Times of Zambia so as to maintain the editorial independence of both the Times of Zambia and the Daily Mail Newspapers.

The IDC Group CEO Mr Mateyo Kaluba said the IDC has been concerned with the continued deteriorating financial situation at Times Printpak Zambia Limited, the publisher of Times of Zambia Newspaper, which has rendered the company unable to meet its key obligations as they fall due.

This has resulted in growing outstanding statutory liabilities and workers at Times Printpak Limited, not receiving regular monthly salaries, in some cases up to 11 months in arrears.

During the first 9 months of 2019 Times Printpak recorded an operating loss of K41.7m and had a return on assets (ROA) of -49%.

Mr Kaluba said, the restructuring will be done in phases with the medium-term objective of creating a consolidated Media and Newspaper publishing company under the IDC Group.

The first phase involved recapitalising the business to ensure it has the resources to undertake emergency reforms, making changes at Board and management level as well as liquidating all unpaid salary arrears owed to the workers.

He said the model of consolidating media and newspaper assets is not unique to the IDC.

The model has proved successful around the world in optimising value of media companies by creating synergies, eliminating duplications, reorienting resources to growing the business and delivering profits.

“We will continue to work with Government, the Board, Management and Unions to drive the critical reforms necessary for the survival of the Times of Zambia newspaper. The public will continue to receive and enjoy reading their daily editions of the Times of Zambia and Sunday Times Newspapers with better efficiency and higher quality news”.

Mr Kaluba thanked the union leaders and the workers of Times Printpak for their commitment, cooperation and patience as IDC was working out a business strategy for the company.

He further urged the workers to continue to work hard to ensure the business starts growing and assured creditors and other stakeholders of Times Printpak that there will be no disruptions to the operations at the Company.

This is according to a statement issued by IDC Public Relations Manager Namakau Mukelabai.

12 COMMENTS

    • No one wants to explain where the money from advertising goes. No one wants to explain why people whom u cannot cover in the Times of Zambia should read the paper. Go on “restructuring”. Hope it works.

  1. No amount of restructuring can help these loss making entities. The government has no business in running papers move with the times.

  2. These chaps got these jobs only because of their tribes, nothing more than stinking tribal bigotry! You can’t thus expect doing the same thing over & again & expect different results, it’s foolishness. Dealing with these Central Africans most times is painful, their tendency for tribal bigotry, kleptocracy & incompetence is second to none.

  3. Looks like the main criteria for all these parastatal appointments including IDC, is to think like a party cadre. Look here, Mateo please twapapata, you can restructure those media all you want, but nobody will buy news which is directed by those who want us to hear only what they want us to hear, e.g. that the humble one is taking infrastructure to all corners of Zambia “leaving no one behind” pwipwipwi . This has led to sales collapse almost to nil. And now that we have tasted social media, Times is dead forever bwana, dont waste your time and our resources.

  4. ati IDC Group laughable! Kaluba how can you suggest that the ‘model of consolidating’ has worked well in other countries implied it will work out for Zambia. Show us IDC validation model based on which you drawing such an inference and under what conditions. Is It all about ‘try-your-lucky’, right? Anyway I don’t blame you Kaluba, you are a good civil servant deficient in private sector business leadership.
    Calamity!

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