Face of Nation : The Quebec government says it will invest $5 million in a French-language newspaper chain that sought bankruptcy protection Monday.
Le Groupe Capitales Médias owns daily newspapers in some of Quebec’s largest markets, including Quebec City’s Le Soleil, Le Droit of Gatineau-Ottawa and Trois-Rivières’s Le Nouvelliste. The newspaper chain was founded by former federal Liberal cabinet minister Martin Cauchon. Its financial difficulties had been widely known for several weeks.
In announcing the financial aid, the provincial government stressed the important role the newspapers play in Quebec society. “It’s impossible to envision the closure of six newspapers,” said Economy Minister Pierre Fitzgibbon.
Fitzgibbon also said Cauchon had resigned as CEO of the newspaper chain and a restructuring process will begin shortly. News of Groupe Capitales’s intention to file for bankruptcy protection prompted an emergency meeting of the provincial cabinet on Monday.
Premier François Legault said on Twitter that the bail-out will buy some time for the newspaper chain to find new owners, and for the government to put in place a general media assistance program. Prime Minister Justin Trudeau said Monday that it’s necessary for media to have the capacity and resources to ask important questions and report the truth.
“We will always be there to see how we can help while respecting, of course, the essential independence of the media,” Trudeau said Monday in Quebec City. Last year, the federal government announced nearly $600 million in financial aid for print media over five years, as well as tax credits for hiring journalists for local coverage.
