The nation was shocked following the sudden news of Utusan Melayu Sdn Bhd – publishing company of newspapers Utusan Melayu and Kosmo! – ceasing their operations due to their ongoing financial crisis.
However, it was revealed recently that Utusan Melayu will not shut down their operations, and will carry on publishing their newspapers as usual. But, the price of both the papers will have to be raised by 50 sen.
The chairman of Utusan Melayu Sdn Bhd, Datuk Abd Aziz Sheikh Fadzir explained that the decision to increase the price of the newspapers was made in order to reduce the burden for the operating cost that they have been suffering for the time being.
“We are in a do-or-die situation. We need to mark up the price of the paper, push harder to generate greater advertisement revenue and boost our online content, as well as increase the number of e-paper subscribers. By increasing the price of the papers, we hope to generate about RM2.3mil a month, and thus reduce our current monthly deficit from RM3mil to RM750,000,” he said during a press conference on Tuesday (Aug 20th 2019).
During the interview, he also denied all the reports claiming that Utusan Melayu is shutting down, but he admitted to their current situation at the moment. He looks forward to settle the issue of unpaid staff anytime soon. According to Abd Aziz, as a short-term solution, the company has agreed to pay RM2000 to 800 Utusan Melayu employees. However, he specified that this is not a long-term guaranteed action.
Effective this Friday, the price for both Utusan Malaysia and Kosmo! will be as followed:
- Utusan Malaysia – RM2 from its original price RM1.50.
- Kosmo! – RM1.50 from its original price RM1.
“We are expecting that with this price raise, it can contribute up to RM2.3 million worth of profit to Utusan,” he added during the meeting with the media.
You can show your support for the local media print by purchasing their newspapers at nearby newsstands, or by subscribing to their e-paper.