Emap not looking good; but you know, if in doubt, blow the cash

Link: Independent Online Edition > Business News

Emap warned yesterday that advertising revenues in its radio and consumer magazine businesses had plunged further, leaving the media group vulnerable to a takeover bid.

Putting out the company’s second profits alert in a year, its chief executive Tom Moloney admitted that Emap faced “structural” difficulties in its glossy magazines and radio businesses. The third leg of the group, business-to-business publications, continues to prosper.

Emap also announced a cost-cutting programme that aims to save £20m a year by 2008/09. The restructuring will cost £30m, and the company has earmarked a further £10m for investment

May I venture to suggest that they should stop blowing £15 million on companies such as Yospace when they’re busy tightening their belts.