Jeff Smith 2 p.m., July 30
Next Will Come No-Newspaper Markets, Says New York Times Story
"In 2009 ad 2010, all the two-newspaper markets will become one-newspaper markets, and you will start to see one-newspaper markets become no-newspaper markets," says an analyst for Fitch Ratings in this morning's (March 12) edition of the NY Times. The article makes no specific predictions about which city will be without a paper, but has interesting revelations. It says the Seattle Post-Intelligencer will fold next week, and the surviving paper, the Seattle Times Company, is a candidate for bankruptcy. (Many big papers are now operating in bankruptcy.) Ad revenue for the industry is down about 25 percent in the last two years. (In January, the Union-Tribune said its ad revenue has dropped 40 percent since 2006.) The Times says Denver's MediaNews Group, once considered a candidate to buy the U-T, is at risk of bankruptcy. The article says the Washington Post and Boston Globe (owned by the NY Times) are now operating at a loss. Buzz Woolley, backer of VoiceofSanDiego, is quoted saying that if papers fold massively, "A huge amount of information would just never get out."