Click on this chart to make it bigger. A week that brought some relief to investors overall did little for holders of GCI: Shares (blue line) fell about 5% vs. a mostly flat performance for the broader S&P 500 Index (red). GCI closed today at $47 a share, near its low for the week, as a newspaper trade group reported tough advertising revenue news for the industry overall.Revenue at newspapers fell 8.6% in the second quarter, as an accelerating decline in print ads more than outweighed gains online, the Newspaper Association of America said. The AP has a story here.
Alan Mutter, blogging on the year's first-half performance at Reflections of a Newsosaur, points to the real estate crash as a big factor -- and says things are likely to get worse. "Remember that the sub-prime mortgage meltdown occurred after the period covered by these numbers," he says. "With the real estate market all but paralyzed, the year-to-date declines are almost certain to be equaled -- or surpassed -- for the balance of 2007, if not beyond."
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