Skip to comments.Tribune Company (LA Times parent) Admits Inflated Circulation Numbers At Two Papers
Posted on 06/23/2004 9:44:05 AM PDT by prfix
The soup thickens... Tribune, the parent company of the LA Times and many other US newspapers, has found inflated circulation numbers at two of its papers, and is reviewing circulation accounting procedures at all of its papers including the LA Times
Tribune, the parent company of the LA Times and many other US newspapers, has found inflated circulation numbers at two of its papers, and is reviewing circulation accounting procedures at all of its papers including the LA Times
They are asking those who support it to write to Macy's to let them know what you think of the paper.
It looks like the LA Times' circulation departments & polling departments both use the same fuzzy math.
Couldn't happen to a nicer group of leftists.
Since ad rates are based on circulation figures wouldn't this be an actionable offense? If I had paid to get 2 million views and I was only getting 1.7 million views I would be a bit upset.
Die you egg sucking pigs!
Appears the LA Times, like NY Times and CNN, are suffering from their liberal leftist communist demoncRAT agenda. Another demoncRAT media outlet going down the tubes.
I'm waiting for the other shoe to drop at the Minneapolis Star Tribune.
Its called fraud. This will be the demise of these rags. If Im a customer that bought advertising space..I am calling my lawyer this morning to get my money back. This could really gain some speed and put these rags out of business..Should be fun to watch.
Same here with the Tampa Tribune.
I won't even take a free copy!
Yes very actionable, both civilly and criminally.
Tribune could be in a lot of trouble.
Looks like the only way newspaper advertisers can be sure they're not being cheated is to demand independent auditing of those circulation counts.
I posted a thread on this a few weeks ago and have a new followup thread.
Here is the thread and link that I posted a few weeks ago:
Here is the article/thread that I posted earlier this month about the LA Slimes inflating its subscriptions.
LA Slimes/Tribune stock takes a hit w/less ad $'s
Tribune falls after warning, downgrade, (LA Slimes and Chicago Tribune)
CBS.MarketWatch.com. ^ | 8 June 2004 | Russ Britt
Posted on 06/08/2004 8:30:53 AM PDT by Grampa Dave
Tribune falls after warning, downgrade
By Russ Britt, CBS.MarketWatch.com
Last Update: 11:01 AM ET June 8, 2004
LOS ANGELES (CBS.MW) -- Shares of Tribune Co. dropped 4 percent Tuesday in the wake of the newspaper publisher's warning on sales projections and a downgrade from a Wall Street analyst.
Chicago-based Tribune (TRB: news, chart, profile) fell $1.88 to $46.80 after the company said Monday it expects sales growth to be slower than expected within its publishing group and will have to take a $10 million to $15 million charge in the second quarter to make up for it.
That prompted A.G. Edwards analyst Michael Kupinski to downgrade Tribune stock to "hold" from "buy." Kupinski said, however, that Tribune's downside should be "limited."
"In our view, the likely catalyst toward higher stock valuations will be positive earnings surprises and sequential growth in quarterly revenues," Kupinski wrote in a note issued Tuesday. "Patient investors willing to wait an upturn in revenue growth at the company, which appears possible in a favorable economic environment, are encouraged to retain positions."
The publisher of the Los Angeles Times and Chicago Tribune said it will take the charge because it is reducing expense growth from 5.5 percent down to 3 percent. Tribune officials said, however, they still expect to fall within analyst estimates for the quarter.
Tribune is cutting 200 staff positions, undertaking newsprint conservation programs and reducing spending in all departments. Company officials said the growth plans that existed earlier in the year weren't meeting expectations.
"Although help wanted advertising is improving month-over-month, and preprints year-to-date are delivering strong growth, other advertising categories are not meeting the aggressive plans we had for the year," Jack Fuller, president of Tribune Publishing, said in a statement. "The shortfall is limited to a few newspapers, including the Los Angeles Times."
Tribune expects sales growth of roughly 4 percent for the full year.
The company put out its warning as it announced sales were up 3.2 percent for a roughly monthlong period ended May 23.
Russ Britt is the Los Angeles Bureau Chief for CBS.MarketWatch.com.
Lots of newspapers do this.
Here is the latest thread on this, which I posted today.
This is important in that Wall Street is now monitoring these liars, not just Media Watch and Free Republic.
Merrill Lynch Fears More Circ Flaps; Advertising Fallout (La Slimes fall out)
Editor and Publisher.com ^ | June 21, 2004 12:20 PM EST | Jennifer Saba
Posted on 06/23/2004 9:09:53 AM PDT by Grampa Dave
Merrill Lynch Fears More Circ Flaps; Advertising Fallout
By Jennifer Saba
Published: NEW YORK Troubled by last week's circulation scandals at Hollinger International's Chicago Sun-Times and the Tribune Co.'s Newsday and Hoy, Merrill Lynch's Lauren Rich Fine released a report today calling into question the reliability of circulation figures for the entire industry. "Our biggest fear," the report said, "is that these two announcements may not be isolated incidents."
The worst consequence could be declining ad revenue, if advertisers doubt the reliability of circulation figures. The report says that the most vulnerable spot will be preprint inserts as they are purchased entirely on circ reach. It added: "Circulation is likely to remain a controversial topic in the near term."
The report also takes to task the Audit Bureau of Circulations, saying that the overstatement of circ figures seems to "suggest that there may be loopholes in the ABC audit system" and "at the very minimum, it suggests that ABC's audits need to be completed much sooner." Many newspapers use the ABC publisher's statements to sell advertising because there is a lag in the ABC audited reports. All newspapers are audited once a year. Those with a circ under 25,000 have the option of going through an audit every two years.
Also Fine points to the Rosie magazine circulation flap and the ripples it sent through that industry: "It appears that concerns about inaccuracies in the magazine circulation statements, a fallout from the Rosie magazine trial, have had more impact on magazine advertising in the last year than we thought. We hope the same will not happen to the newspaper industry."