Downturn hits News International's Wapping plans
LONDON, Nov 19 (Reuters) - Rupert Murdoch's News International has delayed the redevelopment of its Wapping site in London due to the economic downturn, a spokeswoman said on Wednesday.
News International, which is the main UK subsidiary of News Corporation NWSa.N, said in September it had decided to redevelop the site rather than move to a new location.
Under the plan, it would have been joined by other News Corp. businesses including Harper Collins, MySpace and Dow Jones.
But James Murdoch, the chairman and chief executive of News Corporation Europe and Asia, said in a memo to staff that the redevelopment had been delayed although it would continue to design the new building and remove old presses.
"With the low level of visibility we have of the medium term for the business, this is the right thing to do," he said. "We will advise you of the likely new timescales when visibility improves."
News International, home to The Sun, The Times, News of the World and The Sunday Times, has been based at the 20-acre site since 1986.
The Independent News & Media (INME.I) group said on Tuesday it would cut jobs at its London-based Independent newspaper and Sunday sister title in a bid to slash costs as a global downturn hits advertising revenues.
(Reporting by Kate Holton; Editing by Richard Hubbard)
