TV3’s news division Newshub will fold in 30 June.

Staff were told of the closure at an emergency meeting on Wednesday morning.

As many as 300 positions are anticipated to be eliminated with the impending closure of Newshub, one of the largest commercial media outlets, leaving numerous presenters and journalists without jobs.

Newshub’s Wellington bureau chief Caitlin Cherry wrote on LinkedIn “so the news is out that there’s a proposal to close Newshub at the end of June.

“It’s very sad and there are a lot of pretty devastated staff.”

Warner Bros Discovery confirmed today it had “commenced consultation on a proposed remodelling and restructure of its ANZ free-to-air business in New Zealand.”

The proposal includes the closure of all Newshub’s multiplatform news operations and output, and new local programming would only be in collaboration with local funding bodies and other partners.

Warner Bros Discovery Asia Pacific President James Gibbons says this is not a proposal the business arrived at easily.

“We are acutely aware of our position in the local media landscape and what this means for our people, and for the country as a whole.

“There was no single trigger that caused this, rather it was a combination of negative events in New Zealand and globally. The impacts of the economic downturn have been severe, and the bounce back has not materialised as expected.

“Advertising revenue in New Zealand has disappeared far more quickly than our ability to manage this reduction, and to drive the business to profitability.

“Everyone can see that the media sector, here in New Zealand, and around the world is facing some very tough circumstances. “

While Warner Bros Discovery is a large global media company, each business is managed on its ability to sustain itself within the market it operates in. Subsidising losses for ongoing years indefinitely is not sustainable.

“The proposal is a result of a review of our New Zealand business, and while we didn’t come to it easily, it is one that we believe would be financially sustainable for the long-term.

“It is the people that make this company the beloved part of the New Zealand landscape. This consultation process is not easy, and we will be doing everything we can to support our teams.”

“The proposed new model that we are consulting on reflects the ambition to transition the operations to a digitally led business. If implemented as proposed, ThreeNow would be at the core of the model, supported by free-to-air linear channels.

It is proposed that ThreeNow and Three’s offering would feature local programming in conjunction with funding partners, acquisitions across drama, comedy, sport, reality and factual, and key titles from Warner Bros. Discovery’s extensive library. Bravo, Eden, Rush and HGTV would continue in their current form with the same content slate
Glen Kyne, Senior Vice President, Head of Networks, Warner Bros Discovery ANZ, said this is a hard day for everyone who works for Warner Bros Discovery ANZ and the country.

“Everybody who works for Warner Bros Discovery ANZ has done everything we could have asked. This proposal is not a reflection of these efforts.”

“Every time we think we’ve landed on stable footing, something comes along and makes it unstable again, forcing us to look at ways of further reducing costs. We’ve now reached a stage where any further reduction in costs means proposing major changes. This is why we are proposing to shut down the newsroom. This would mean stopping all news production including the Newshub website from June 30.

“If implemented, the proposal would be a significant change to our New Zealand operations. Warner Bros Discovery would be committed to retaining a local presence, albeit with a much smaller operating model and lower cost base.

“We know that Newshub has been such an important and central part of TV3 since day one, and is a crucial part of a functioning media sector in New Zealand.

“We also know that New Zealanders have come to love our local shows, from Dancing with the Stars, to The Block NZ, to Black Coast Vanishings.

“Free-to-air and news are expensive businesses to run. Put simply, the economic headwinds means the returns are not there. These proposed changes will be hard if they are implemented, but we think they are necessary, which is why we have commenced consultation.

“The consultation process runs until mid-March. A final decision is expected early April once feedback has been carefully considered. If this proposed model went ahead, the changes would not take effect until after 30 June 2024.

All other Warner Bros. Discovery ANZ operations are not part of this consultation, including Theatrical Production and Distribution, Content Licensing, Affiliate Partnerships for Pay TV Channels, and independent local production business, WBITVP NZ.