CH Media also plans to introduce short-time working

In April alone, a year-on-year decline in sales of over 30 percent is expected for CH Media and over 50 percent in the advertising market, according to a press release issued on Tuesday. This corresponds to more than CHF 10 million.

The following months are likely to be affected at least as severely. Depending on how the pandemic develops in the second half of the year, CH Media expects sales losses in the mid double-digit million range. Products and services are currently being reviewed and adjusted for their savings potential in all areas of the company.

Slumping advertising market

With its newspapers, advertisers, radio stations, TV stations, events, magazines, online offerings and film distribution, CH Media is heavily exposed to the collapsing advertising market, the company writes. CH Media previously generated almost half of its revenues in the advertising market.

At the same time, the demand for reliable news and information, but also for variety through entertainment offerings, is higher than ever before. Online access to news portals reached record levels. The number of viewers and listeners of TV and radio stations is higher than ever before.

As of April 1, CH Media applies for short-time working for an initial period of three months. CH Media will pay the salaries of employees on short-time working in full for the requested period. They will therefore not suffer any loss of pay.

Following consultation with the management of CH Media, the shareholders will waive payment of the dividend in spring 2020 and convert it into a loan.

According to its own information, CH Media reaches around two million people in German-speaking Switzerland with regional newspapers and online portals, radio and TV stations and magazines.

With a turnover of around 480 million and around 2,000 employees, the media company is one of the largest in the country. CH Media was established in fall 2018 as a joint venture between the NZZ Media Group and AZ Medien.

Short-time working also at TX Group

The TX Group, which among other things owns the newspapers Tages-Anzeiger and The Covenant issues. The company applied for short-time working for practically all units. The collapse in advertising revenue was cited as the reason for this (Werbewoche.ch reported).

In order to reduce the disadvantages for the workforce, the company intends to continue to pay the full wageat least until the end of June. (SDA)