financially-troubled newspaper.

The move could result in "one or two'' redundancies, other cost savings through attrition, and the move of Bermuda Sun staff from Victoria Street to Island Press headquarters on Elliott Street, the Hon. Sir John Plowman told The Royal Gazette yesterday.

Sir John, 85, said he would likely be stepping down soon as chairman of both Island Press and the Bermuda Sun Ltd.

"I'm really reaching a point where I want to reduce my involvement,'' Sir John said.

Mr. Warren Brown, Sr., vice-president of Island Press and a small shareholder in the weekly newspaper which he co-founded, was the likely choice to take over as chairman of Island Press, Sir John said.

Both Sir John and Mr. Brown said Island Press -- already the largest shareholder in the Bermuda Sun -- should own the company outright.

"It's been under discussion for some time,'' Sir John said. "I think it would make a lot of sense to combine the operations.

Any decision would depend on shareholders, and the success of the change would depend on management, but "from the point of view of savings, there is no question that they could be made,'' Sir John said. "You could avoid unnecessary duplication of staff.'' A takeover, which would leave the Bermuda Sun Ltd. as a separate, wholly-owned company, could result in "one or two'' redundancies, Sir John said. But most savings could be realised through attrition.

"There would be room,'' to move the Bermuda Sun to newer Island Press offices on Elliott Street, but "it wouldn't be for me to decide that,'' Sir John said.

While any company must be at least 60 percent Bermudian owned, a company's shares must be 80 percent Bermudian-owned for it to purchase another company, Mr. Brown said. Island Press only reached the 80 percent Bermudian ownership level this year, he said.

Both Island Press and the Bermuda Sun are to hold annual shareholders' meetings this month.

Mr. Brown said any change would be up to shareholders, but it was logical to "bring all your production under one roof''.

"I would like to see the Island Press own the Bermuda Sun,'' and "I think it may very well happen''.

The Bermuda Sun Ltd. has reported losses during the recession and is in debt to Island Press for the printing services it receives.

The Sun recently laid off assistant editor Mr. Simon Wait while cutting the work week of photographer Mr. Arthur Bean to four days. Also, business editor Mr. Roger Scotton recently announced he was leaving the newspaper.

Sir John said any changes in the chairmanship or ownership of the company were unrelated to personnel decisions.