Sun Media Corporation announced Tuesday a restructuring initiative expected to result in over $45 million in annual savings.
The moves, which include the closure of production facilities in Ottawa and Kingston, include the elimination of nearly 500 positions across the organization.
“This restructuring is regrettable but warranted by changes in our industry which force us to align our cost structure with the new reality,” said Pierre Karl Peladeau, president and CEO of Sun Media.
“With the recent announcement of a major strategic redesign of Sun Media’s organizational structure, restructuring further streamlines and optimizes our operations. By doing so, Sun Media is proactively leading the way to ensure long term success.”
Peladeau said the initiative doesn’t diminish his company’s commitment to its publications, readers, advertisers or employees.
“We will continue to deliver quality content, with local presence, and maximum value to our advertisers,” he said. “We very much regret the impact that this has on employees who are departing our organization and would like to thank them for their contribution.”