Guardian Media Group is on the verge of flogging its radio business in a cut-price deal. GMG Radio, valued at £120 million, is set to be sold off to Global Radio for a paltry £50 million. Since GMG’s radio acquisitions over the past few years add up to over £200 million this represents a huge loss for the company. Now that’s a business plan.

The deal is the latest in a range of money-saving measures taken by the Guardian‘s parent company following losses for nearly £40 million last year. At the time GMG chief executive Andrew Miller warned that the business was running out of cash, instigating a wave of cutbacks across the board. GMG’s financial woes have been compounded by the poor performance of the Guardian newspaper, which languishes down in ninth in the league table of daily UK print circulation. While his company is tanking, Alan Rusbridger takes home over half a million per year…