rets of jet set lor these vice. Over almost double.
Profits their wnere Newspaper Zealand.
on and with on Reuters' public company.
£1,000m market This illustrates another key feature Reed shares are international in wnen for example MurCorporation THE NEXT 12 months are likely to bring immense changes in the British newspaper industry - the long-term implications of which can only be guessed at. Underlying changes, indeed the very 'reason for them, is money. Money in huge quantities.
The source of this new found wealth is at 85 Fleet Street, which is the head office of Reuters. The international news agency, set up by an emigre German in 1851, has suddenly become profitable on a vast scale - thanks to its business and financial information serthe past decade this has grown from being a sideline to the main news gathering operation to become the dominant part of the business Last year the agency chalked up £30 million profit. This year it is likely to be such a scale make newspaper proprietors' eyes glisten and palms sweaty. Greed pure, unalloyed greed — takes over. Which is Lords Rothermere and Matthews and others enter the scene.
Reuters is a trust, the shares in which are owned by the members of the Publishers' Association, the Newspaper Society and their opposite numbers in Australia and New The trust was set up during the war, the proprietors nobly accepting responsibility for the agency rather than see it nationalised. Now, 40 years I the prospect of cashing in profits, planning to turn the news agency into a Reuters is said to be worth between and £1,500m on the stock because of the prospect endless bonanza profits.
Even allowing for the lower figure Express Newspapers' shareholding in Reuters would be worth £120 million on the open market. Rothermere's Daily Mail group has a similar stake, with Murdock on about £90m and Mirror Group Newspapers on £80m.
It is this f80m windfall which Reed International, the Mirror's parent company, has its beady eye on. If Reuter shares are publicly quoted, the value of Jump accordingly.
When that happens, it will become more profitable for Reed to sell their controlling interest in Mirror Group Newspapers than to hang on to it.
of course, keea puns vul, there is no knowing who will step in.
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Stal Bonanza