The state of Cox Media Group is in a “state of emergency” following the resignation of its chairman and other executives, the company said on Thursday.
In a statement, Cox Media said it had “ceased operations as a media and publishing group” due to a “national security crisis” and “the need to address its financial situation”.
The statement did not name the national security threat, but said Cox Media’s financial position was “in a state that has not been fully recovered”.
“We are deeply saddened by the events of this past week and our hearts go out to those impacted,” Cox Media CEO David Cox said in the statement.
“We know that we are in the position to recover quickly and that our future depends on the support of our customers, our shareholders and the Australian community.”
I want to extend my sincere thanks to all our employees, supporters and our valued partners for their outstanding support during this difficult time.
“In a tweet, Cox said it was “taking the necessary steps to ensure that Cox Media remains viable, stable and sustainable”.”
I am also taking the necessary measures to ensure Cox Media has sufficient funds to remain viable and sustainable,” Cox wrote.
Cox Media’s statement on Thursday afternoon said the company was “reviewing all options for the future”.”
Cox Communications Group is taking the appropriate steps to address the current situation as we seek to make a business case to our shareholders,” Cox said.”
In the meantime, we are committed to our employees and shareholders, and our plans for the coming months.
“The company had been in a financial position of $1.1 billion, it added.”
The company has the funds to continue as a news and entertainment group, but our financial situation is currently in a critical position.
“Our long-term financial position is based on our current financial situation and our ability to maintain and grow our business.”
The crisis has rocked Cox Media, which is based in Sydney’s south-east, and has seen the company lose about a third of its staff in recent months.
It has been struggling to pay off debts from its cable TV business and is struggling to maintain a profitable cable TV service.
The company’s chief executive, Stephen Tippett, resigned last month amid a backlash over his leadership.
He said the resignation was a “personal decision” and did not seek to interfere in the company’s internal investigation into allegations that Cox News Network was engaged in a criminal activity.
Topics:business-economics-and-finance,media,covid-19,united-statesFirst posted October 01, 2019 18:08:35Contact Lisa JonesMore stories from New South Wales