A Nova Scotia judge has approved a plan for restructuring Saltwire, the company which owns a string of newspapers in Atlantic Canada, including the Halifax Chronicle Herald, the Charlottetown Guardian and the St. John’s Telegram.
Saltwire sought creditor protection earlier this month
A Nova Scotia judge has approved the plan for restructuring Saltwire, the company which owns a string of newspapers in Atlantic Canada, including the Halifax Chronicle Herald, the Charlottetown Guardian and the St. John’s Telegram.
The company is insolvent and sought creditor protection earlier this month.
Justice John Keith of the Nova Scotia Supreme Court approved an interim protection order on Friday, but he sought clarification on some aspects of the deal.
On Monday, he confirmed the order will be extended until May 3.
That’s to give time to the advisors and overseers to come up with a plan for restructuring and also seek out potential buyers.
Keith has also approved the plan for Headline Promotions, which is part of Saltwire but not directly related to the newspaper business.
Headline produced promotional products like clothing and stationery. But it also lost more than $303,000 in the last year.
Headline’s 10 employees will be laid off and covered under WEPP, the wage earners protection program. It provides coverage for workers whose company goes bankrupt or is placed in receivership.
Another component of the company, Titan Security, is also not part of the newspaper business and will be sold separately.
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