Sainsbury's and Npower suspend NotW advertising
The decision by Rupert Murdoch, chairman of News Corporation, to place Rebekah Brooks in charge of the investigation into News of the World's alleged phone hacking antics has failed to satisfy some of the paper's biggest advertisers, with giants Sainsbury's and Npower the latest to pull out.
Sainsbury's and Npower suspend NotW ads as pressure mounts
Revelations about News of the World’s alleged phone hacking dominate the media today, with every newspaper apart from News International’s sibling tabloid The Sun splashing with it on their front pages.
An Npower spokesperson confirmed that after reviewing their media plans with News of the World yesterday, they have decided to withdraw all advertising with the newspaper, this includes its ads from the energy supplier's latest campaign that were scheduled to run this weekend.
The energy provider has spent more than £200,000 with the Sunday tabloid already this year as it battles against rivals British Gas and edf for marketshare.
A Sainsbury’s spokesperson confirmed that after reviewing its media arrangements, a story broken by BrandRepublic yesterday, it will not be advertising with News of the World, although the high street retailer also confirmed it did not have any ads scheduled for this week anyway.
Sainsbury’s, which has spent more than £280,000 with News of the World since the start of the year, stated: "Due to the rising concerns of our customers we are suspending any advertising in the News of the World until the outcome of the investigation."
In addition to the advertising fall-out, shares in News Corp’s fell 3.6% in New York last night as fears started to creep in the furore could destabilise the group’s attempts to receive regulatory approval to buy BSkyB, a move that until yesterday was widely believed to be a sure thing.
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