/ 19 August 2004

Johncom restructures Sowetan, Sunday World

South African media and entertainment group Johnnic Communications (Johncom) on Thursday announced details of restructuring at the Sowetan and Sunday World.

The restructuring follows a six-week investigation and consultations with management and staff at the two publications.

The Competition Commission last month approved the acquisition by Johncom of a controlling 90,5% stake in New Africa Publications, the owner of the Sowetan newspaper and 50% of its sister publication, Sunday World. Johncom already owns the remaining 50% of Sunday World.

In terms of the restructuring, current Sowetan managing director Mike Tissong will leave his post and move to the Johncom media division to assist in the process of integrating the publications into Johncom.

Mike Robertson, CEO of the Johncom media division, becomes in addition managing director of New Africa Publications.

Andrew Gill, currently general manager: business development of Johncom’s media division, is appointed as publisher with immediate effect, in addition to other duties at Johncom.

A general manager to handle day-to-day operations will be appointed shortly, Johncom said in a statement.

The Sowetan has been steadily losing circulation, readership and advertising and a new editor-in-chief of both the Sowetan and Sunday World — Thabo Leshilo — has been appointed with immediate effect.

Leshilo is a former editor of the Pretoria News, from where he moved to edit the Sunday World. He then became editor of Business Times.

Leshilo’s task is to build the newspaper into a major force in South African journalism, guided by reader research and supported from within both Johncom and the Sowetan. A team is already at work redesigning the entire Sowetan product.

Johncom is in discussions with the current editor of the Sowetan, John Dludlu, and it has proposed to accommodate him elsewhere in the Johncom group. A further announcement will be made in due course.

Johncom’s integrated operations platform — which provides services such as finance, human resources, information technology, circulation, transport, pre-press and advertising services to its group newspapers — will be extended to the Sowetan and Sunday World. All departments except editorial and key senior management will be incorporated into Johncom structures, over the next three to six months.

The Sowetan and Sunday World advertising arm, Thengisa, will in due course be incorporated into a single advertising sales unit for all Johncom titles.

As anticipated in Johncom’s filing to the competitions authorities, some retrenchment of staff at the Sowetan and Sunday World will occur. This follows the significantly weaker financial performance of New Africa Publications and the obvious impact of removing duplicated functions between Johncom and Sowetan.

About 32 positions, across different departments, have been identified as likely to become redundant. Discussions are under way with staff, Johncom said. — I-Net Bridge