21st May 2015 10:18
LONDON (Alliance News) - Trinity Mirror PLC Thursday has increased its provision to handle the ongoing phone hacking trials by GBP16 million, in addition to the GBP12 million it provided in 2014, but said it was confident that its exposure to the trials is "manageable" and does not undermine its growth strategy.
Trinity Mirror has been ordered to pay GBP1.2 million to eight phone-hacking victims. Whilst its subsidiary MGN Ltd has accepted that it should pay appropriate compensation to the individuals, it said its initial view of the judgement is that the "basis used for calculating damages is incorrect", and as a result it is considering whether to seek permission to appeal.
The company said there remains uncertainty as to "how matters will progress", but as the legal process has taken longer and the costs of settling claims is likely to be higher than it previously anticipated it has increased its provision.
Shares in the company are trading down 1.4% at 180.00 pence.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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