Canwest in freefall

Shares of Canwest Global Communications plunged into freefall this week, dropping to historic lows before closing Friday at 13 cents, off from a 52-week high of $3.59. The fall comes on the heels of Monday’s reprieve from the company’s creditors, who gave Canwest yet another extension to reach a deal on a recapitalization plan — a further two weeks, to June 30.  (The Canwest press release is here; the Reuters report is here).

Editor and Publisher headlined its latest story about Canwest’s woes with a labour angle: “Canwest Seeks 5% Wage Cuts to Avert Bankruptcy.” It quoted as a source the Canadian Press, which reported that company executives would be included in any cuts.

Meanwhile, Canwest-owned papers reported: “Canwest Publishing CEO/President Skulsky given honorary doctorate from BCIT,” reported the Vancouver Sun. “Dr. Skulsky tells BCIT students to aim high,” headlined the Province, also of Vancouver.

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