Newspread, Independent News and Media's (IN&M) newspaper distribution company, has lost the Ireland on Sunday and Buy and Sell accounts.

Newspread increased turnover in 2005 by 4 per cent. It distributes about 2,000 titles in addition to various publications owned by IN&M. However Associated Newspapers Ireland, which owns Ireland on Sunday and Buy and Sell, has decided to give the business to Eason, which is Newspread's main rival.

Ireland on Sunday starts distributing with Eason from September 3rd, with Buy and Sell starting from August 28th. News director of Eason Andrew Walmsley in an internal notice said: "This additional business is a positive endorsement of our capabilities as the leading wholesale newspaper and magazine distributor in Ireland".

Associated Newspapers is a long-term commercial rival of IN&M and this may have played a part in its decision to swith distributors. The two companies compete aggressively in various parts of the newspaper market. For example the Daily Mail (Ireland) is a direct competitor of the Irish Independent and the Star, while Ireland on Sunday competes against a range of IN&M titles, like the Sunday World and the Star on Sunday.

The value of the contracts has not been disclosed by Eason, but both accounts are likely to be signficiant. Buy and Sell for example has a circulation of about 90,000. It was purchased by Associated back in 2001. It carried 53,000 adverts in its weekly edition.

Associated has ended other contracts it has had with parts of IN&M over the last two years. Last year the printing contract for Buy and Sell with the Sunday World was moved elsewhere.