Johnston Press saves £50m
This saving to the company’s finances resulted in a 13% increase in the company’s share price.
Johnston Press is one of the largest local and regional multimedia organisations in the UK. It provides news and information services to local and regional communities through their extensive portfolio of hundreds of publications and websites.
Their titles span Scotland, the North East, West Yorkshire, the North West and the Isle of Man, South Yorkshire, the South, Midlands and Northern Ireland – delivering extensive coverage of local news, events and information.
The company is a sponsor to their £500m pension scheme. Previous valuations had shown a deficit of around £100m. In 2015, MorganAsh undertook a MUMS analysis targeting 550 pensioners. The result of the revaluation for financial reporting was a reduction in the deficit of £50m, around 10% of the total pension value. The revaluation figure has yet to be agreed with the trustees, this is ongoing.
As this was a material change to the company’s finances, it was announced to the stock market on 3 February, and resulted in a 13% increase in the company’s share price, and coverage in the national media.
