Leinster Leader sees turnover increase to €1.3m

NEWSPAPER group, the Leinster Leader limited, saw its turnover increase last year from almost €1.2 million to just over €1.3m.

The company did not give any profit figures in the accounts filed for the 52 weeks ended January 1, 2011, but it made losses of €201,000 in 2009. The losses in 2009 were due to the disposal of the investment in Tallaght Publishing Ltd.

The 2010 accounts show that the company has net liabilities of €19,481,000 but a letter of support has been provided by company’s ultimate parent firm, Johnston Press plc, that confirms the group will not seek repayment of the intercompany balances for at least 12 months from the date of signing the financial statements.

The letter confirms that it is the intention of Johnston Press to provide financial support “where deemed necessary” to the company.

The directors believe the company is well placed to manage its business risks successfully, despite the uncertain economic outlook.

The accounts said the Johnston Press plc Group has in place financing facilities of which the company is a guarantor to. The group’s forecasts and projections, taking account of reasonably possible changes in trading performance, show that the group should be able to operate within the level of its current committed facilities.

“The company’s principal assets relate to investments in subsidiary undertakings and the company is therefore exposed to risks relating to the performance of these subsidiaries and the carrying value of the associated net assets,” the accounts stated.

“Johnston Press plc provides the company with direction and access to all central resources it needs and determines policies in all key areas such as finance, risk, human resources or environmental.”

Staff costs in the year totalled €1.3m compared with almost €1.2m in the previous year. Staff numbers fell from 28 to 24 last year. Termination costs last year amounted to €222,000.

The company acts as an agent, publishing and distributing newspapers on behalf of Johnston Press Ireland Limited, with all costs of employing personnel in such activities being recharged at cost to Johnston Press Ireland Limited.