Memo from Campbell Reid, Group Editorial Director

June 26, 2012

Dear Colleagues, Today we have announced a significant change to the way we manage our editorial operating model for digital products. This is a key element of our overall plan to transform News by putting consumers at the centre of everything we do; by investing in our journalism and by reorganising the way we are structured. Central to this is making sure that we unlock the power of the network to ensure great local and national content is shared with our audience when, where and how they want it across all platforms and devices, every day, seven days a week. This new editorial model means more of our digital content will be produced by expanded network teams in news, sport and features. Network staff will be located across all our sites, but they will not be dedicated to content production for a single masthead. They will be responsible for content across all our mastheads. Digital resources for the web, tablet and mobile become part of the network team led by Rod Savage. We have undertaken a process to ensure we have the best digital talent in our newsrooms. This network model will not only ensure that our best content is published across all our sites; it will also eradicate duplication and wasted effort, driving the efficiencies that are essential for the longterm sustainability of our digital business. It will therefore mean a reduction in editorial positions nationally. We will seek to achieve this through a combination of attrition, redeployment and redundancy. We have already commenced consulting with employees to discuss the impact of these changes and we will ensure there is ample opportunity to discuss all relevant issues. For further details, please talk with your local digital editor or contact Rod Savage directly on (08) 8206 2313 or at savager@newsltd.com.au. Campbell Reid