INM to close head office, London office

Independent News & Media has announced that it is to close its Dublin head office and its London office as part of cost-cutting measures.

Speaking at the company's AGM in Dublin today CEO Vincent Crowley also said that a programme of redundancies in the Sunday World had been "fully subscribed".

Mr Crowley, who took over as INM CEO following the departure of Gavin O'Reilly in April, also said his previous role as chief operating officer had not been filled "given the current scale and scope of our business".

Mr Crowley said that INM delivered operating profit of €75.5m in 2011 "against a difficult backdrop", and said cost-reduction measures had lessened the company's debt by €47m or 10%.

"While advertising and circulation revenues declined reflecting broader market conditions, we made substantial progress across key areas of our business in 2011," Mr Crowley said.

"INM profitably maintained its market leading positions in both circulation and advertising and, in some cases, extended our lead."

Mr Crowley said digital revenue had grown 10% in the year and this would be a key area of focus for the future.

Meanwhile the company's chairman James Osbourne defended the payment of €1.9m to the departed Mr O'Reilly.

Mr Osbourne also said that following changes to board membership since the previous AGM, "we would acknowledge that the INM Board is not in compliance with best-practice guidelines on Board independence and we will address this, through the appointment of additional independent Directors, in the coming months".

The AGM was taking place amid an ongoing battle over control of the firm.

The company's board has asked shareholders not to support the reappointment of a representative of Denis O'Brien, who recently boosted his shareholding to 29.9%, as a director.