New Zealand's national news agency to close after 131 years

Apr 6, 2011, 7:35 GMT

Wellington - Journalists at the New Zealand Press Association (NZPA), the national news agency, said Wednesday that it would close after 131 years.

The board issued a statement saying the future of the organization, which was founded in 1880, was being reviewed after 60-per-cent shareholder Australia's Fairfax Media gave notice it was withdrawing from the co-operative.

Chairman Michael Muir said Australia's APN News & Media, which owns the other 40 per cent and publishes the biggest-selling daily, the New Zealand Herald, intended to review its newspaper and online services.

Muir said NZPA staff would be consulted before a final decision on the agency's future at the end of the month, but journalists said there was no doubt it would be closed with the loss of about 40 jobs, mainly in Wellington.

Fairfax Media chief executive Allen Williams said, 'Fairfax has made a choice to concentrate on development of its own unique content rather than subscribing for non-exclusive content from NZPA.'

He said Fairfax now had less need for NZPA content and had failed to negotiate a 'more tailored service at a suitable price.'

The NZPA website says its newsroom sends out about 1,000 different pieces of information every 24 hours.

At its peak in the 1970-80s NZPA had foreign correspondents in Australia, South-East Asia, London and Washington. Only the post in Australia remains.