NY Times in trouble: advertising down 16%, may struggle to service debt

The Inquisitr ^ | October 24, 2008 | Henry Blogdet

[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 Moody’s 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.

[Hardastarboard]

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.

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.

[Heartland Mom]

ROFLMAO! Bwahahahahahhaha!

[Onelifetogive]

NY Times in trouble

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...

[silverleaf]

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?

[From The Deer Stand]

Looking forward to seeing a “CLOSED” sign on their front door.

[Joe Boucher]

Some storied just make me feel all tingly all over.

[comps4spice]

I so hope they fail. That rag will only be missed by fish markets and liberals...all things slimy.

[Humble Servant]

LETS....BUY.....IT...!!!!!!!!!!!!

[ClaudiusI]

They could always survive by turning into a gaming mag.

[Kaylee Frye]

Nah, then they’d be biased Sony fanboys.

[I got the rope]

I truly believe the only reason they are still in business is because of all the public libraries buying their papers everyday.

[cameraeye]

Now that they selected the chosen one, maybe they will get two more readers. The leftist are going to go crazy when he loses and loses big. God Bless America and Sempre Fi!

[BobS]

"The company confirmed issues with servicing their existing debt of $1.1 billion with only $46 million cash at hand."

How can they get away with that?

[101voodoo]

"I've heard them howling about how the NYT is too easy on the Bush administration and is too much in their camp."

Great example of the meaning of "relative"