Layoffs affect program prod'n, sales, marketing
A correction was made to this article at 8:30 p.m.
MONTREAL — Craig Media, which owns Canuck TV stations in Alberta, Manitoba and Ontario, announced Tuesday that it is cutting nine jobs at its A-Channel outlet in Calgary and 28 at fledgling station Toronto 1.
Layoffs are in program production, sales and marketing. No senior executives were let go.
A spokesman for Craig said the cuts had nothing to do with a recent deal to sell Craig to Toronto-based CHUM.
CHUM CEO Jay Switzer described Craig’s financial situation as urgent when he inked to acquire it for C$265 million ($198 million) last month. The sale must be approved by regulators.
Calgary-based Craig ran into financial difficulty last year after launching Toronto 1, which underperformed financially. It helped finance the startup by selling a 19.9% stake in the company to Providence Equity, but Craig has been having trouble meeting the economic commitments of the pact.
“This is part of a review and restructuring of our operations to ensure the stations remain competitive and continue to be in a position to meet all of their programming requirements,” said Craig Media CEO Drew Craig.
“This restructuring was well on its way before the sale, and CHUM has no role in the day-to-day operation of Craig.”
Craig Media has 600 employees, including 130 at Toronto 1.