Update on News Limited's T2020 and the future of Newsagents

NANA Members would have received a letter dated 9 July 2012 (yesterday) from News Limited outlining the anticipated announcement of their T2020 Project that projects a possible future(s) of all Australian Newsagents, with the first phase to be implemented in Queensland, then New South Wales and the Australian Capital Territory, and Victoria.

All Associations and Newsagents anxiously anticipate the details that will accompany News Limited’s announcement on 9 August 2012. Until then, all that is known from News Limited are:

• that Newsagents will be asked to choose to enter into new distribution contracts or focus on retail or a mix of both;
• that those existing Newsagents with distribution contracts with News Limited will be invited to tender for a new/larger territory either individually or with others;
• that remuneration will be discussed on a case-by-case basis recognising that territories are different;
• that the proposed territory boundaries are to be redrawn such that they are economically viable for distributors;
• that incentive programmes are envisaged for both retailers and distributors.

NANA has been working alongside the ANF, QNF and VANA throughout our engagements with News Limited’s T2020 Project.

Since August 2010, all Associations have provided input to News Limited. That said, at this stage, NANA cannot confirm whether News Limited’s future announcement for NSW and ACT is aligned with NANA. But NANA remains hopeful.

Notwithstanding, NANA intends to publish a public report before 9 August 2012 outlining for News Limited and other publishers the state of Newsagents in the context of possible industry-wide changes and their consequences and effects. This report will inform and assist both Newsagents and newspaper publishers, as well as the general public and particularly our customers about the challenges we face over the next few years.

In July-September, NANA will be conducting its next round of Regional Meetings across NSW and ACT with the principal discussion on T2020 and the future of Newsagents as proposed by newspaper publisher(s). Both NANA Members and non-Members will be invited to attend.

In anticipation of the possible changes, NANA’s legal strategy is already underway to equip NANA to support NANA Members. NANA has already gathered a lot of information, lessons and insights from large distribution Newsagents from Victoria and South Australia who today delivers between 15,000 to 40,000 copies per day.

NANA’s assistance to NANA Members will aleady include:

• guidance on how to bid for longer term contracts, including tools to calculate the costs associated with the new consolidated territories, assistance with negotiations when available on a case-by-case basis, and how to cooperate with potential partners;
• legal assistance extended to add to Members’ own legal counsel;
• information if Members become unsuccessful in their bids for distribution contracts or if Members do not bid at all; and
• information on how the proposed changes would affect the value of Members’ Newsagencies.

For any further information, NANA Members can contact NANA on (02) 9744 0400 or e-mail to This e-mail address is being protected from spambots. You need JavaScript enabled to view it. .

 

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