03 March 2006

Trinity cancels share £250m buyback

Trinity Mirror has hinted at the possibility of further internet acquisitions after cancelling a £250 million share buyback programme. Britain’s largest regional newspaper publisher said it was conserving cash to allow "headroom for investment", which included buying more advertising-driven websites. The group acquired four classified websites in 2005 for £92.7 million. Chief executive Sly Bailey said that she "would point to what we have already bought as an indication of where we might be going".

Advertising at the Daily Mirror owner’s national division fell 9.2% in 2005, with the regionals unit dropping 2.7%. Advertising across the whole group slumped 13.5% in January and February 2006. Like-for-like revenues fell 1.3% to £1.1 billion last year, but pre-tax profit rose 6% to £220.9 million.

(Source: The Guardian)

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