Skip to comments.NY Times in trouble: advertising down 16%, may struggle to service debt
Posted on 10/24/2008 12:56:29 AM PDT by 2ndDivisionVet
The New York Times released their 3rd quarter results today, adding to the doom and gloom in the newspaper market with declining advertising and debt issues.
The company reported 3rd quarter net income of $6.5 million, compared to $13.4 million for the same period last year.
Advertising declined 16% in the quarter after reporting an 11% fall for the first half of the year. Print advertising took the biggest hit with an 18.3% fall for the quarter, with classified advertising down 28%. Online advertising was up 10.2% off an increase of 16% at about.com, but the online gains were not enough to offset the decline in print, with online advertising making up 12.4% of advertising revenue for the company, but up from 10.6% for the same time last year.
The bright news is that the decline in advertising slowed in September, hitting 14.1% for the month vs 15.9% August and nearly 18% in July.
The NY Times exposure to debt may cause serious issues for the company, with Moodys Investor Service placing the company on review, the first step towards a downgrade of NY Times debt status to what the WSJ referred to as junk territory. The company confirmed issues with servicing their existing debt of $1.1 billion with only $46 million cash at hand.
wonder what their debt coverage as a percentage of pre debt net income is?
my bank require 20% or better
I hope this rag crashes and burns!
I’d love to see their banks call the notes...LOL
You know what’ll bring their readership back up? More alleged McCain affair stories. Also, some Cindy McCain drug rehash exposes would probably be helpful.
And nothing will bring readers back like McCain-Illuminati/Daughter not from Bangladesh actually child of black prostitute stories.
Makes me glad your on our side...
(Turns collar up)
No doubt vet. The socialsis are not too good at turning a profit are they. They seem to measure success by who loses the least. Kind of like the casino gamblers who like blackjack because “my money lasts longer”.
Like retail the papers make their money in the Christmas season. If it gores down the tubes, as expected, so does the Times.
Really? I only play slots that have a secondary game with a possible high jackpot (Elvis, etc.) when I’m somewhere with a casino.
The NYT is so vulnerable. Now is the time for payback for all their bias. We could take them out permanently by boycotting their advertisers. Make demands on the NYT to end the bias and hire equal number of conservative journalist.
did a horrible death NYT..........
Yep I know a guy who actually said it.
Great news BUMP!
Why won’t the NY Times just hurry up and die?
That pack of sick scumbags has done enough damage to my country, thank you.
C’mon NY Times.
Not to forget the news breaking front page coverage of the Palin wardrobe scandal. That is most certainly ‘News that’s fit to print’. /s
Hey, they denigrate more than half of the population in this Country. They encourage murdering babies. They support releasing convicted murderers. They are 100% behind any and every anti-American movement I have ever heard of.
Oh yeah, that’s a brilliant business model. A real value proposition.
I know a sure-fire way to get their ad revenues back up and save themselves... They might try enforcing even just the most basic journalistic ethics, or at least be honest and say they are a liberal-biased newspaper instead of pretending they’re unbiased.
What is the New York Times?
Is it like Medieval Times? Can you get a good burger there?
it’s more fundamental than that. I mean, look at the NY Sun.
Newspapers are simply obsolete in the internet era.
The further down they go, the more vicious they get. They’re like a cornered animal.
More news on the same subject: The Tribune Co. is in the same boat as the NY Times. Debt fianacing to maintain
I miss the Weekly World News....my dream was to get a job as a writer there....it was like the adult version of Mad Magazine!
After the NYT’s coverage of Abu Ghrab, I feel that justice is creeping upon them.
Just wait for the NYT to go to pelosi an reid for a bailout because the NYT is “too historic to fail”
You have to wonder at the galactic stupidity of those who run the Slimes. Their business is obviously failing and yet they willfully alienate a HUGE part of their potential customer base because of their bias. The same can be said about the declining fortunes of the networks and the other liberal rags.
Isn’t the definition of insanity doing the same thing over and over again while expecting a different result each time?
The New York “Badger” Times.
Don’t worry, Obama will see that Federal money bails this very necessary Socialist/Marxist voice out of trouble. It will become the official Obama information and accomplishment agency for his newly “changed” America.
LOL, that would be me. At least I'm smart enough to bring with me only what I can afford to lose and disciplined enough to walk away when I lose it.
That’s what happens when Commies attempt to run a capitalist operation.
Guaranteed failure - good riddens, lousy leftist parasites.
It’s time to convert the New York Times building to “spread the wealth around.” Give the building a worthwhile purpose. Make it a homeless shelter for our less fortunate communist comrades.
I like the way you think. Go for the jugular and don’t let up! This rag needs to die a slow and painful death. A boycott of their advertisers right now would be beyond perfect.
Not to worry. Presidentissimo Obama will issue a bailout for the NYT on the first day of his regime.
NYT ,,,,,, chickens comin’ home to roost . . .
I can’t wait until the Fairness Doctrine comes along! The NY Times will be balanced then!
Maybe the commies can help, only fair. tit for tat.
I don't feel a bit of sympathy for the lying b@$t@rds at the NYT, but they are in a unique situation in that not only do we hate them because they're a bunch of liberal propaganda meisters, liberals hate them because they think the NYT is too "conservative". Believe it or not - I've heard them howling about how the NYT is too easy on the Bush administration and is too much in their camp.
Aren't they the company with the business model of printing out left-wing web pages and trying to charge you to deliver them to your house? Good luck with that...
think how much better and happier the NYT’s business will be when their messiah is elected and the “hateful” right wing media is silenced (sarc)
seriously, why would any advertiser PAY for ad space in any lib media? now ... or later?
Looking forward to seeing a “CLOSED” sign on their front door.
Some storied just make me feel all tingly all over.
I so hope they fail. That rag will only be missed by fish markets and liberals...all things slimy.
They could always survive by turning into a gaming mag.
Nah, then they’d be biased Sony fanboys.