CHANGES are in store for the New Zealand Herald newspaper when Independent Newspapers takes control of Wilson & Horton, Independent finance director Mr James Parkinson has said.

Independent now has bought 18.1 per cent of Wilson & Horton and seems assured of getting control by the time its offer closes next month.

Mr Parkinson said the new owners of New Zealand's largest circulation newspaper would look to restructure their investment and may consider raising the Herald's cover price. "I think one would look at some restructuring yes, but restructuring in the sense of improving the product," Mr Parkinson said.

"Definitely I think the product can he improved. There are various ways that one could look at improving it, particularly I think in the business section, and as a result generate increased revenue." Mr Parkinson said once that had been achieved, INP may consider raising the Herald's cover price from the current charge of NZ 70 cents a copy.

"Possibly one's got to look then at cover prices. If you have a much better product, then you get a better price for that better product," he said.

Through its IPCL subsidiary, Independent is bidding NZ$11 (£4.81) or 1.375 exchangeable INP shares for each share in Wilson and Horton, the Herald's publisher. Independent and family trusts linked to Dr Tony O'Reilly held 45.15 per cent of Wilson and Horton prior to the bid and 18.14 per cent of the outstanding shares have been acquired since the takeover was launched.

Mr Parkinson said it was important that newspapers move with the changing demographics of their country and there was room to jazz up New Zealand newspapers.

"Initially I would have felt that in that sense the New Zealand Herald probably didn't move forward with the changing demography within New Zealand. I think at the end of the day, it's the life blood of going forward."

While there had recently been some re-formating of the Herald, which had improved it, there was room for further development. "I think we would feel that there is scope for revenue enhancement and therefore hopefully increased profitability," he said.

He said Independent would make use of its other information resources to improve the Herald, such as using international news from the Independent newspaper in the United Kingdom, in which Independent Newspapers has a 46 per cent stake.

But Mr Parkinson rejected the suggestion that INP would seek to influence the Herald's editorial content. "We don't interfere in editorial. We're very much newspaper proprietors and as such run the business from the commercial end of it."