Fairfax has announced they will close down their Beresfield printing press as part of a surprising agreement with rival, News Corp, to use each other's printing networks.
Mastheads like The Newcastle Herald will now be printed out of News Corp's North Richmond plant in Sydney, transitioning operations from Beresfield and Queensland's Orniston, leading to their closure at a date yet unknown.
It means around 120 workers collectively, 70 at Beresfield, are facing job uncertainty, with Fairfax promising to provide comprehensive assistance and meet all legal obligations.
In a statement provided to the Australian Stock Exchange, Fairfax Media Chief Executive Greg Hywood said it's all in a bid to keep newspaper production alive for years to come in an era of digitisation.
"These are landmark initiatives...better utilisation of existing print assets makes sense and will deliver economic benefits," he said.
"Our decision to rationalise some printing assets reduces capital intensity.
"We expect the combination of the new arrangement...to result in an annualised full-year benefit of approximately $15 million," Mr Hywood said.
Copies of The Newcastle Herald and its regional titles will continue to be distributed as usual around the Hunter.
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