According to media reports, a bankruptcy court in Ontario gave Canwest Global Communications Corp. permission to sell its publications business to unsecured creditors for $1.1 billion.

The Globe and Mail reported on Monday that the bid for Canwest's newspaper division beat out a rival bid submitted by Torstar Corp.

It was also reported that creditors led by National Post President and Chief Executive Officer Paul Godfrey will take over Canwest's 46 newspapers, including 10 major dailies and 35 community newspapers, without folding any of the newspapers and with job losses limited to part-time employees.

Canwest attorney Lyndon Barnes said in court on Monday, "I'm not going to say it's going to be seamless, by its emerging with jobs intact and businesses intact. This is a very good news day for the publications division."

Barnes also said, "We stand here united in agreement (that the bid) represents the best available outcome."

The winning bidders "indicate (they) will continue to operate the businesses … in substantially the same manner as they are currently operated," Canwest senior executive Douglas Lamb said in a sworn statement. (With inputs from Agencies)