Friday, November 16, 2007

The ominous trend driving Gannett's job cuts

This chart shows the change in monthly newspaper advertising revenue from the year-ago month. In September, for example, Gannett's overall newspaper ad revenue fell nearly 5% from September 2006; the decline was even greater at USA Today: down 7%. (Gannett provides a breakout for USA Today, but no other paper.) In any case, you can see the numbers are going in the wrong direction. The October report is due any day now, but I don't expect to see a huge change in the trend. Making matters worse, online revenue growth slowed in the third quarter, too.

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