LONDON DAILY’S END

Greymouth Evening Star, 25 July 1930, Page 10

LONDON DAILY’S END

FLEET STREET TRAGEDY.

LONDON, June 5

The passing of the Daily Chronicle is an .event of tragic importance in Fleet Street. It is anticipated that a staff of 1000 will be affected. The last issue of the Daily Chronicle was printed last Saturday, when no indication was given of the impending collapse. The news was given on Sunday night in the following official announcement: —

“On and after to-morrow morning, Monday, June 2, the Daily Chronicle and the Daily News will be published as a single newspaper under the title of tho Daily News and Chronicle.” The Daily News absorbed the Morning Leader in 1912, and the Westminster Gazette in 1928, but these absorptions have led to no apparent increase in circulation.

Arrangements have been made for the transfer of the copyright of both tho Daily News and the Daily Chronicle to a new company, whose shares will bo held in equal proportons by News and Westminster, Ltd., and United Newspapers, Ltd. Control of the latter company, which owns the Daily Chronicle, is in the hands of the Daily Chronicle Investment Corporation. Control of.the new company, which will own and publish the amalgamated paper, will be vested in five trustees nominated by tho constituent companies.

The first trustees will be Mr. L. J. Cadbury, chairman of the Daily News, Ltd.; Mr. W. T. Layton, chairman of News and Westminster, Ltd.; Lord Cowray, vice-chairman of News and

Westminster, Ltd.; Mr. B. H. Binder,

chairman of United Newspapers, Ltd.; and Mr. J. C. Akcrraan, vice-chairman of United Newspapers, Ltd. Daily Chronicle, which was founded in 1855 as the Clerkenwell News, was purchased in 1877 by Mr. Edward Lloyd, and was carried on later by his son, Mr. Frank Lloyd. With the end of the war the control of the paper passed from the hands of the Lloyd family into that of a. group of Mr. Lloyd George’s political and business friends.

On November 23, 1926, it was announced that Mr. Lloyd George parted with all his controlling interests in the group of newspapers owned by United Newspapers (1918), Ltd., to the Marquess of Reading; Sir David Yule, and Sir Thomas Catto.

Mr. Lloyd George sold the Daily Chronicle and its allied papers for a consideration of nearly £3,000,000. Tho Daily Chronicle Investment Corporation, Ltd., was formed to acquire l.iio ordinary share capital of United Newspapers (1918), Ltd. In the prospectus of the Daily Chronicle Investment. Corporation, Ltd., published on July 2.1, 1927, the- interests of tho directors were given in the following terms: —

“Sir David Yule and Sir Thomas Catto underwrote 650,000 second preference shares, 100,000. ordinary shares, and 3,000,000 deferred shares for a commission payable as to £32,500 in cash, and £150,000 in ordinary shares. “The Marquess of Reading will receive 40,000 fully-paid ordinary shares of tho company from Sir David Yule and Sir Thomas S. Catto. The Marquess of Reading is chairman, and Sir David i ule and Sir Thomas S. Catto arc directors of United Newspapers. (1918), Ltd.

“Sir Charles C. Barrie holds 1750 preference shares in the capital of United Newspapers (1918), Ltd., and was tho beneficial owner of 1750 of the orfihuiry shares of that company acquired by tho company as above-mention-ed.”

In July, 1928. it was officially announced that Mr. William Harrison, on behalf of the Inverosk group, had purchased the controlling interests in the Daily Chronjcle Investment Corporation. Ltd., which held the control of the Daily Chronicle, the Sunday News, the Edinburgh Evening News, the Yorkshire Evening News, and the Doncaster Gazette.

It was a term of the agreement for sale that these newspapers should pur-

sue tho same policy as heretofore, and should continue their support of the principles and programme of the Liberal Party. At the end of last year the board of tho Inveresk Paper Company, Ltd., issued a statement with regard to its financial affairs, this showing that the payment of dividends on the preference shares for the half-year ending December 31 last would be passed, and that Mr. William Harrison had resigneed ths chairmanship of the various boards, hut retained his seat on them. PRESSURE OF COMPETITION. “The passing of the Daily Chronicle is the greatest tragedy which has happened in the chequered story of Fleet. Street,” said Sir Robert Donald, in an interview, ‘‘Never has there been a case of a newspaper going out of existence by absorption or otherwise having a sale of about 1,000,009. It shows what this terrific pressure of competition in the modern newspaper field has Income. “Ono’s first thought at this journalistic calamity, which came with such dramatic suddenness, must be for the staff, over 1000 strong, who will be thrown out of work. The paper had all round a very capable staff, and there are few new openings in journalism to-day. “I consider that in recent years the Daily Chronicle has been struggling under handicaps which a competent staff could not overcome.' The first blow to its prestige was when it became the organ of Mr. Lloyd George. This meant that its political news had to be shaped to suit its policy—-in other words, that its political reports lacked tho true perspective —and that its independence in opinion was sacrificed. “Then it lost its distinctive character through the disappearance or change of certain features. Juggling with the ‘make-up’ was also another mistake—taking the news off. tho front page and putting it back again, changing the size of the page, etc.. “Then it. seemed to me in recent years it has been striving to imitate other papers instead of being itself arid developing its own characteristics. “Lack of continuity in managerial d Teel ion was also a weakness. I believe there have been seven or eight different chairmen and managing directors in ten years. A newspaper cannot be run successfully by u board of directors —tho chief of whom are not experts—and a series of committees.” “Tho combined paper.” says the Daily News and Chronicle, in its first leading article, “will stand, first and foremost, for pea.ee. It will seek by every means in its power to support and forward tho ideals of the League of Nations.- It will oppose both reaction and revolution with equal firmness. It will oppose waste, and fight steadily for real economy in public expenditure. Believing that tariffs are an attack upon the people’s employment. and food taxes an attack on the people’s livelihood, it will resist both. It will champion, on tho other hand, tho social reforms which both papers have always insisted are demanded, both byxcoinmon justice and common scuse; and the liberties of speech, of thought, and of religion for which both have always stood. And it will defend these causes for the future —at a. time when many of them are gravely menaced—with the vigour and consistency which unity alone can assure.”