Owner Threatens to Shut Down Boston Globe

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Boston Globe owner threatens to shut newspaper down

(CNN) -- The Boston Globe management warned the newspaper's four unions Sunday that failure to reach a financial concession would force the company to file a notice to shut down, the Guild said in a statement.

The Boston Globe faces an ultimatum: Reach a financial concession or force a shut down, the Guild reported.

The notice would allow The New York Times Co., which owns the Massachusetts newspaper, to close it in 60 days, the Globe reported.

The Times Co. is seeking $10 million from the Boston Newspaper Guild, $5 million from the mailers, $2.5 million from the delivery truck drivers and $2.2 million from the press operators, the Globe said.

The Guild, which is the main union, represents more than 600 editorial, advertising and business office workers, according to the Globe.

"We have provided our unions with a copy of a notice that we are prepared to file if we are unable to reach an agreement by the midnight [Sunday] deadline," Globe spokesman Robert Powers told the newspaper. "This notice is required under the Worker Adjustment and Retraining Notification Act, which requires 60 days advance notice before the closure of a business."

The Guild said the ultimatum was issued after it presented management with a proposal that exceeds the $10 million in cuts demanded.