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Montreal La Presse says it will stop publishing its Sunday edition as of next month as part of a cost-cutting drive.

Publisher Guy Crevier, who met with employees Monday to discuss the newspaper's finances, hopes to reduce costs by $26-million, including $13-million in concessions annually from unions.

"We have a problem, we're facing the problem and I have confidence that we'll fix it," he told a news conference Monday.

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The last Sunday edition will be published June 28.

La Presse is the flagship newspaper of Gesca Ltée, a wholly owned division of Power Corp. of Canada .

Mr. Crevier, who also serves as Gesca's president, said the company's other dailies - Le Soleil, La Tribune, La Voix de l'Est, Le Droit, Le Nouvelliste and Le Quotidien - would not face cutbacks as large as those at La Presse.

"Of course, the other newspapers are also affected by a drop in revenue, but they don't have a cost structure as high as La Presse's," he said.

Union leader Helene De Guise believes the newspaper is looking to trim vacations and the four-day work week.

"We just received this information," she said Monday. "For the moment, we will analyze it."

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