Much of that savings is expected to come through union concessions.
In a union concession, workers were to pay 1.5 percent of their wages toward health premiums.
The plan is meant to show the importance of increased state aid and union concessions.
The source estimated that the union concessions would total $900 million over four years.
Regardless of union concessions now, the jobs will be filled.
Any successful deal is likely to involve major union concessions.
The Mayor said at a news conference that state help no longer depended on union concessions.
He added that there had been no discussion of union concessions to reduce the paper's costs.
At first he said of union concessions, "it's not going to happen."
This occurred after years of union concessions and broken company promises.