Some good news for CanWest

Andrew Willis of the Globe and Mail (which provides far more objective coverage of CanWest’s financial crisis than CanWest does) notes that one option for the chain, which would be advantageous for consumers, and disastrous for the Aspers and current manager, is to have a vulture fund buy it for pennies on the dollar, take on new management, and rebuild the corporation until the recession ends and a more normal business model — depending on ad dollars for profits — returns.

But ultimately, CanWest will continue to print newspapers and crank out TV programs. But one group of owners who got the timing and the balance sheet wrong will give way to a new set of proprietors, who stand a good chance of getting the finances and the economic cycle right.

Globe and Mail, April 23 2009

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