Utusan Group ceases operations, staff told to vacate offices by 1pm Wednesday (Oct 9)
PETALING JAYA: Employees of Utusan Melayu (Malaysia) Berhad were told to pack up their belongings and leave the office by 1pm on Wednesday (Oct 9) as the cash-strapped company officially ceases operations.
"This step had to be taken because the board of directors were of the view that the company is no longer solvent to continue business."For that reason, the company will cease operations on Wednesday, 9 October 2019," said Abd Aziz in a statement on Wednesday.
While the workers' last date of service is on Oct 31, they have until 1pm today to clean their work stations, pack up and return all company property including access cards and office keys.Abd Aziz said that since a few years back, Utusan Melayu (Malaysia) Berhad had gone through the most critical business period since it started operating 80 years ago.
The situation worsened after May 2018, he said, adding that many efforts were made to put the company in a more stable position but to no avail.Among the steps taken were to offer the Voluntary Separation Scheme (VSS) which saw more than 700 workers being let go, he said.
"The company has also sold off assets belonging to the company and group to support the capital and get a sufficient cash flow."However, the declining daily circulation of Utusan Malaysia and Kosmo! and the target of RM4mil advertisements per month which we failed to achieve caused Utusan's cash flow to become more critical," he said.
This not only caused the workers' salaries to be delayed but also unpaid debts, he said, adding that the company is now facing various legal actions by creditors.The workers were also told that their eligibility for termination benefits was subject to the provisions of the law and that this would be handled by the liquidators.
The liquidators will be holding a briefing for all workers on Oct 30 at 3pm at the Dewan Besar Utusan, said Abd Aziz."Any further questions can be brought up during this briefing session," he said. Read more: The Star »
80 years old newspapers company went bust. OmG. this is really bad I still remembered the days that we used to play soccer with all races during my primary school years. We laugh, cry and compete but sadly nowadays we often have way less unity..... UMonline see you again after PRU15 with you guys new look 😊
Just when I’m wondering when are they gonna roll up the business once and for all. 🤘🏻 life goes on... 60 tahun merdeka, 60 tahun memerintah, 60 tahun berkuasa, hari ini lidah biawak rasmi UMNO gugur di tanah Melayu... di mana UMNO diketika ini ? Good riddance! Budak tu tak tolong ker?! Hahaha. Sayonara. Karma is a gr8 thing.
Sign of times: we don't need a racist newspaper anymore... Because we have racists everywhere
End of the road for UtusanUtusan Melayu will stop publishing all three of its main publications tomorrow. FMTNews To be continue Unless BN won back next GE😂😂 Good.. Pegi baca Roket
Utusan tutup operasi mulai esok susulan jual ekuiti kepada Media PrimaKesemua akhbar keluaran Utusan Melayu (M) Berhad akan henti operasi mulai esok FMTNews padan muka. sila mampus Peduli apa mane geng ngok juta juta tak beli ke😁 Syukur
Kumpulan Utusan Melayu berkubur hari ini?kualalumpur Nasib 800 kakitangan Kumpulan Utusan Melayu (M) Bhd kini sekali lagi menjadi tanda tanya apabila operasi syarikat akhbar itu dikatakan akan ditamatkan hari ini. maruah? Tarikh keramat Tutup je lah. Buat berita pon tak berintegriti buat ape. Tak hbs2 dgn politik sebelah pihak
Utusan Malaysia to shut down today?Several employees had packed up yesterday and the company is expected to make an official announcement today. Yes…please… Another terrorist inspired broadsheet. Good riddance. No worries, home minister SyedSaddiq will invite them 2his house 2'talk' &see how he can hlp screwup further. Hope no nasi lemak basi be served. 2 prevent more pain on ex-staff & also avoid spending taxpayers' money 4medical expenses. Get ZN 2come bless borak2 good idea, or not?
Utusan disposes 70pct stake in Dilof to Aurora MuliaKUALA LUMPUR: Utusan Melayu (Malaysia) Bhd will dispose of 70 per cent of its equity interest in its wholly-owned subsidiary, Dilof Sdn Bhd to Aurora Mulia Sdn Bhd.
Utusan lepas 70% ekuiti Dilof kepada pemegang saham utama Media PrimaUtusan Melayu (M) Berhad berkata pelepasan pegangan dalam Dilof itu adalah untuk memastikan kesinambungan penerbitan Utusan Malaysia dan Kosmo!. FMTNews