John on November 21, 2008 at 9:32 am
Yesterday I noted that the NY Times, paper of record for liberal elitists, had lost 10% of it’s stock value in 24 hours, which amounts to about $100 million in market cap. Since then the news has gotten much worse:
The newest numbers, released yesterday: Revenue at the company decreased 9.4% in October, which is an acceleration from September, when revenue dropped 8%. Ad revenue dropped 16.2%, compared to a 13% drop in the previous month.
And while the paper’s digital side is still growing, it’s growing much more slowly: Internet ad revenue grew just 5.3%, down from 16.4% in September: total Internet revenue, including the company’s About.com unit, was up 4.3%, down from 11.7%.
As a result the Times has slashed its dividend payout by 74% in an effort to stay afloat and is reportedly looking for things (the Boston Globe?) which it can hock for a quick buck.
Of course all of this is wreaking further havoc on the Times stock price which, so far this morning, is down between 10-12%. Individual shares of the paper of record now cost less than a happy meal!
With a 20% drop in value over two days, some of the paper’s editors might soon be enjoying McCuisine as they collect unemployment, though the publishers claim it will be the option of last resort. Maybe there’s some bailout money they could apply for?
Category: MSM & Bias |