Ratings agency S&P downgrades Gannett debt

In a move that could increase GCI's borrowing costs, Standard & Poor's said today that it had reduced its rating to BBB+ from A-, because of declining advertising revenue. "The slowing U.S. economy will likely continue to exacerbate operating weakness at Gannett, and this comes at a time when the company and the newspaper industry in general have experienced prolonged operating weakness due to a secular shift in revenue away from print advertising," credit analyst Emile Courtney said in a statement quoted by Marketwatch.

Gannett shares were lower in recent trading, Google Finance says, on a day when stock markets overall have been mostly flat.