Wednesday, January 30, 2008

My blogging's going to start getting very light

My domestic partner and I leave today on a vacation until about mid-February. Sparky and I are visiting friends in Brazil for Carnival. I'm bringing a laptop, so I can try to keep up on comments, e-mail and Friday's fourth-quarter earnings report. But telecommunications in Brazil aren't always a safe bet. And it is supposed to be a beach vacation. . . .

[Photo: Praia Mole Hotel]

Tuesday, January 29, 2008

Report: Union threatens strike at Honolulu

Gannett is prepared to impose a labor contract at the Honolulu Advertiser that would increase employee medical premiums and freeze wages for a year, according to one of six unions jointly negotiating with the company, the Honolulu Star-Bulletin says today.

Diversity, thy name is Fernandez -- or Garcia

Among the most sacred cows in Gannett are the various diversity-in-news-and-hiring programs that Corporate has been pushing on journalists as long as I can remember -- something I referenced in this post, now drawing lots of comments.

"My favorite anecdote on such matters came from a buddy who had to cover a country western festival in the 90% Caucasian upper Midwest and was ordered to mainstream his story,'' one commenter just wrote. "He spent all day looking for anyone remotely non-white and came up dry. However, he did find a white woman who was married to a Hispanic man, so her last name was Fernandez or Garcia or something along those lines. When he turned in the story, he happily noted he'd found a mainstream source . . . after all, just look at her name!"

(Clearly, I wouldn't be writing such means things if I was drinking my daily glass of Kool-Aid!)

How I spent my Gannett summer vacation

I got an internship -- and then the company pulled the rug out from under me! Let's hope that doesn't happen this summer, anyway. Phxsoul, a Phoenix-based blog for African-Americans, is promoting Gannett's 2008 Talent Development Program. Those are the internships where, against all odds, many of the positions are magically filled by minority applicants -- even though, of course, reserving spots for minorities would be illegal if it were official policy. (OMG: I've said something bad again about GCI's sacred diversity policy!)

Advice to applicants: Don't bet the summer rent on your internship if you wind up at a paper like the Montgomery Advertiser. Last June, the Alabama paper was forced to make quick budget cuts, leaving three interns suddenly jobless.

[Image: this morning's Advertiser, Newseum]

Reader: Advertisers won't like offshoring

With little fanfare, Gannett is moving advertising production work to the land of rock-bottom wages, India -- raising red flags for a Gannett Blog reader at the Pensacola News Journal. GCI has contracted with 2AdPro in Los Angeles to produce ads for the Rochester Democrat and Chronicle, the Press & Sun-Bulletin (left) in Binghamton, N.Y., and other papers. "We are not doing a wall-to-wall replacement like some other newspapers," Austin Ryan, vice president of production, told the trade publication Newspapers & Technology. "But we do believe we can gain some economies and we will be rolling this out at other properties that make sense."

The Pensacola reader asks: "Is this the new norm? It has resulted in layoffs (of course). If the local 'small-town' advertisers here, who are very patriotic, get wind of this, the backlash could be a disaster. Not to mention the sales reps are pissed because the ads look like shit."

The question du jour: How long before Gannett starts offshoring newsroom jobs?

Use this link to e-mail feedback, tips, snarky letters, etc. See Tipsters Anonymous Policy in the sidebar, upper right. Or leave a note in the comments section, below.

[Image: this morning's Press & Sun-Bulletin, Newseum]

First Bushee. Now, Greiwe. Who's next?

At USA Today, we used to say that three examples makes a trend. We've now got two at The Arizona Republic; I'm looking for a third, as Gannett's second-biggest paper after USA Today continues to hemorrhage top executives. The Republic said yesterday that its No. 1 advertising executive, Linda Greiwe (left), is leaving to become president of a group of 10 Gannett newspapers in central Ohio, including the Newark Advocate, where she'll be publisher. Greiwe's departure follows last week's surprise news that top Editor Ward Bushee is fleeing GCI after 21 years for the top newsroom job at the money-losing San Francisco Chronicle. Coincidence? Probably. But suppose you started thinking Gannett was no longer committed to the Republic. Would you stick around?

[Photo: Tom Tingle, Republic]

Monday, January 28, 2008

Gannett announces major local-news revamp ;)

More than ever, the new plan emphasizes local news in a bid to recover readers frustrated by newspapers that have lost their relevance. "The news is delivered where they want it, how they want it, when they want it," Gannett says.

Sounds like the Information Center model announced in fall 2006, right? Guess again! That was actually Senior Vice President Phil Currie announcing the then-new program -- Real Life, Real News -- in September 2003. Is it any wonder we're cynical about the latest flavor-of-the-moment initiative dreamed up at Corporate?

There! I've gotten all that in my First Five Graphs and I've hit every one of the 10 blocks in the News 2000 pyramid. Plus, I'm gay, which means I get points for diversity and mainstreaming!

Use this link to e-mail feedback, tips, snarky letters, etc. See Tipsters Anonymous Policy in the sidebar, upper right. Or leave a note in the comments section, below.

[Image: more Back to the Future here.]

Pitfalls of publishing: Olsen Twins edition!

Update on Jan. 29: The ads have been taken down -- but only after I called the Olsens' company, Dualstar Entertainment, to ask why they were still up.

Remember those tacky Virginia Tech "Tiffany'' lamp advertisements I spotted on the Statesman Journal's website last month? Well, here's another good example of the downside of carrying online advertising served up without human intervention. I noticed two Google-provided text ads (screenshot, above) at the top of actresses Mary-Kate and Ashley Olsen's website. The one on the left links to a site for Peta, the very anti-fur activist group that's dubbed their latest target Hairy-Kate and Trashley Trollsen. The ad's link on the right, for an anorexia-related site, doesn't work anymore; it apparently sought to profit off Mary-Kate's reported battles with an eating disorder.

I can't imagine the Olsens want those ads on their site. (One of them's feeling enough heat already.) Yet, amazingly, I first saw them yesterday -- and they were still on the site as of a few moments ago. Hello? Anyone awake at Olsen Headquarters? (And, no, I'm not obsessed with the Olsens. Well, OK: maybe a little.)

Crowdsource this: GCI's total news employment

I think Gannett employs around 5,000 journalists at its 85 dailies and 23 TV stations. But I'm not sure -- and company spokeswoman Tara Connell just told me the company won't disclose that figure.

Update at 10:34 a.m. PT: News Watch said in December 2001 that the total number of Gannett journalists increased to 5,614 from 4,636 following the acquisition of daily newspapers in 2000. I'm still looking for a more current total, however.

Does anyone out there in Gannettland have the current total? (Even better: the figure today vs. a year ago!) Use this link to e-mail the answer. See Tipsters Anonymous Policy in the sidebar, upper right. Or leave a note in the comments section, below.

Monday Recap: Moolah, Mary-Kate and Motown

Posts you might have missed while the Big Cheeses were splitting:
  • Pay Daze: New Chief Digital Officer Chris Saridakis's pay package opens a window on how GCI competes for top techies.
  • Double Trouble: Mary-Kate Olsen's role in Heath Ledger's puzzling death reminds me: avoid celebrities.
  • Motown Mojo: The Detroit Free Press shows us how to investigate in a 21st century way.

Earnings Friday: Will another shoe drop?

Things on my mind as we near Friday morning's release of fourth-quarter earnings, an occasion ripe for Gannett to make news:

  • Succession talk: Wall Street analysts may ask CEO Craig Dubow during the 10 a.m. ET conference call about any plans to replace retiring top executive Sue Clark-Johnson.
  • Management will likely address further job cuts as part of any severance expenses. Dubow already told Wall Street at a December conference to expect more job losses in 2008.
  • Those analysts expect Gannett to report lower fourth-quarter revenue and earnings from last year, Yahoo Finance says. The forecast is for $1.98 billion in revenue, down 10% from a year ago, and $1.27 per share in earnings, down nearly 16%. If the company doesn't at least meet those numbers, there's gonna be trouble in the stock market real fast.
  • The growing drumbeat of warnings that the U.S. may have already slipped into a recession that could be long and hard. That would only further pinch revenue expectations for 2008.
  • There has been speculation the company is about to announce a big write-down of assets that are no longer worth what the company paid.
  • Gannett shares are down 21% since the end of the third quarter, wiping out yet more billions in shareholder equity.
  • Management will likely be questioned again on whether a split of newspaper and non-newspaper businesses is in the works. Dubow has been steadfastly opposed to such a move.
  • Unlikely, but: If newly named Chief Digital Officer Chris Saridakis is put anywhere on the call, we'll know management is trying to put forward a more digital face.

[Photo: Earth Times]

Sunday, January 27, 2008

Heath Ledger, Mary-Kate Olsen -- and Blackwater

What stories could private security firms in your community tell about dealing with the rich, famous and powerful? Consider The New York Times's fascinating peek at how Mary-Kate Olsen (left) and other swells use security firms such as infamous Blackwater Worldwide when they get in a jam. "They’re operating with their own set of rules,'' says Lou Palumbo, who owns an agency providing security to celebrities and heads of state. "They're under the impression that concessions are made for them every day. They want us to do damage control." And that's just one more reason why I hate interviewing celebrities.

Hot Off the Press: Great Falls Tribune

This is today's Great Falls Tribune in Montana; click on the image for a bigger view. Projects Editor Eric Newhouse (right), who won a Pulitzer Prize in 2000 for his series about alcohol abuse, writes today about a former Army Ranger in West Virginia who helped rescue Pfc. Jessica Lynch from Iraqi insurgents.

The soldier, Danny Reed, struggled to adjust to civilian life after three years of combat, leading to an incident a year ago in Great Falls that spurred today's story. I like Newhouse's lede: "Federal Magistrate Keith Strong's decision a year ago to offer help instead of punishment may have saved the life of Danny Ray Reed II, an ex-special forces soldier with post-traumatic stress disorder who hit rock bottom at about 20,000 feet in the air."

The Tribune at a glance:
  • Publisher: Jim Strauss
  • Managing Editor/Outreach and Specialty Content: Gary Moseman
  • Managing Editor/News and First Amendment: Dan Hollow
  • Founded: 1884
  • Joined Gannett: 1990
  • Employees: 170

[Images: front page, Newseum; Newhouse, Tribune]

Saturday, January 26, 2008

What keeps top management awake at night

When your stock price plunges low enough, the Wall Street vultures move in to pick away at you. That's what's happening now at the New York Times Co. and Media General, this NYT story says.

In comments, a tale of two Ward Bushees

Gannett Blog readers are debating Ward Bushee's legacy at The Arizona Republic as the influential Gannett editor quits to take the top newsroom job at the Hearst-owned San Francisco Chronicle.
  • The good: "Ward did more in a day for The Republic than these malcontented morons did in their entire sorry career at the paper."
  • The bad: "He is a visionless Gannettoid, and it is shocking that Hearst somehow thinks that Bushee can save the Chronicle and/or cure its financial woes."

You can add your comment on the post, here. I allow anonymous commenting. But to maintain some degree of civility, I approve each one before they're published.

Gannett Blog traffic stats are private again

D'oh! A reader points out (see comment, below) that making some of these statistics public could dissuade people from coming here. Dumb move, Hopkins! So I've made my Site Meter traffic figures private once more. Site Meter is one of three web analytics software programs I use to track readership as I aim to improve this blog.

Hot Off the Press: The Greenville News

This is today's Greenville News in South Carolina; click on the image for a bigger view. All eyes are on the state's Democratic primary today, where Sens. Hillary Rodham Clinton, Barack Obama and John Edwards are in a tight race.

Online, the News says state election officials reported "no problems Saturday morning as residents headed to Democratic primary polls a week after one county’s voting machines failed to function properly during the GOP primary." In print, the News has a strong Page One refer (inset, left) to its rolling online coverage.

[Images: Newseum]

Survey: Most feel pressure to work unpaid hours

I asked Gannett Blog readers if they feel pressure to work without getting paid. The poll isn't scientific, of course. But it does give a snapshot of what some employees are thinking. Based on 66 responses this week, the breakdown:

  • Yes: 69%
  • No: 30%

Note: Figures don't total 100 because of rounding.

The survey has ended, but you may use this link to e-mail feedback and tips. See Tipsters Anonymous Policy in the sidebar, upper right. Or leave a note in the comments section, below.

Friday, January 25, 2008

New Phoenix editor one of top gay journalists

Newly appointed top Arizona Republic Editor Randy Lovely (left), replacing Ward Bushee, says he doesn't think his being gay will be an issue in conservative Arizona. "Arizona is a pretty libertarian environment,'' he told Editor & Publisher. "People support individual rights."

When Lovely, 43, was named Republic managing editor in 2002, he told E&P: "All I have to be is true to myself and true to the responsibilities I've been given. I'm not going to deny coverage to the gay and lesbian community to prove something to the rest of the readership, but I'm also not going to turn The Arizona Republic into the community's gay-and-lesbian newspaper. You can't get caught up in that or you start to second-guess yourself too much."

The Republic's circulation averaged 382,414 on weekdays as of November, ranking it No. 11 among U.S. papers. I think I know one other top editor at a U.S. newspaper who's gay, but his paper's circulation is lower than the Republic's. That would make Lovely one of the most influential gay journalists at a time when the Republic is in a position to dig up all sorts of stuff about Arizona Sen. John McCain, now seen as the front runner among Republicans in the 2008 presidential race.

Lovely isn't just blowing smoke about Western libertarians. Favorite political son Barry Goldwater turned into something of a gay rights activist late in life. And I felt so at home living in Boise from 1991-1996 that I came out -- in a big way -- in The Idaho Statesman, then owned by Gannett. Nearly all the more than 150 letters and phone calls I got in response were overwhelmingly positive.

What Bushee's move says about the Chronicle

It likely means the money-losing San Francisco newspaper is going to be around for at least a while longer. Why? Publisher and long-time Gannett executive Frank Vega would not ask Ward Bushee to abandon his secure, 21-year corporate home to be the San Francisco Chronicle's top editor unless Vega was confident owner Hearst is committed to the city for the near term. And Bushee is too smart to leave his comfy Gannett berth without that assurance.

[Image: today's Chronicle, Newseum. The paper's lede Page One print story today: San Francisco Bay area homeowners "could get a big break on your mortgage from the economic stimulus package announced Thursday."]

Welcome to S.F., Ward 'Police Blotter' Bushee!

The San Francisco Chronicle has now published its own story about Arizona Republic Editor Ward Bushee bolting Gannett for the top job in Baghdad by the Bay. Among the 39 comments so far on the Chronicle's story, this from a reader with the screen name Ailanthus: "If you look at the Arizona Republic online, the entire front page, is taken up with crime, entertainment and sports. RIP the San Francisco Chronicle."

Don't you love comments? And yet! As I post this, the Republic isn't allowing comments on its story about Bushee's replacement. The same thing happened with that gushing account of Sue Clark-Johnson's impending (threatened?) return to Phoenix. Surely, a coincidence!

Crime Central? Judge for yourselves with this fresh screen shot from the Republic's website; click on it for a much bigger view.

The New York Times gets the (text) message

The paper just announced the launch of a free text messaging service delivering the latest news, features and columns to cellphones and mobile devices. Worth repeating: Why Gannett should give all its journalists a smartphone.

Report: Turmoil in Nashville as staffers leave

Nashville Scene, no friend of The Tennessean, says six newsroom employees there quit in recent weeks, including the city editor.

Breaking: Top editor Bushee quits Gannett

The money-losing San Francisco Chronicle just announced that Arizona Republic Editor Ward Bushee (left) will be its new top editor. "Ward brings a wealth of news experience and journalistic vision to the Chronicle team," Chronicle Publisher Frank Vega, a former long-time Gannett executive, said in a statement. "He has long been recognized as an editor who instills strong journalistic values, integrity and sense of community at the newspapers he leads."

Bushee, 58, is coming to one of the nation's most challenging newspaper markets. Northern California has become Ground Zero for many of the technology trends hurting papers. On a percentage basis, the 365,234-circulation (daily) Chronicle has lost more subscribers in recent years than virtually any other U.S. paper. Plus, it lost up to $100 million in 2007 alone -- leading to speculation that it might be the first major U.S. paper to go Web-only.

Separately, the Republic announced that Executive Editor Randy Lovely, 43, (left) will replace Bushee. The Republic is Gannett's biggest-circulation paper after USA Today.

Bushee is one of the most honored and most influential editors in Gannett. But much of his success is tied to his long-time patron, Sue Clark-Johnson, the Newspaper Division president who recently announced plans to retire in May. What's more, the Republic -- once a star in the Gannett constellation -- has lately been a drag on revenue because of the collapse of real estate prices in Phoenix. I suspect as well that a big chunk of Bushee's compensation has been in Gannett stock options that are now worthless, another reason to leave GCI.

Bushee has been with Gannett 21 years, Chronicle owner Hearst noted. He was named Editor of the Year three times and 11 times won the company's President’s Ring, awarded to outstanding top editors. Under his leadership, Hearst says, the Reno Gazette-Journal and The Arizona Republic respectively were honored with Newspaper of the Year awards.

Republic staffers: Use this link to e-mail feedback and tips. See Tipsters Anonymous Policy in the sidebar, upper right. Or leave a note in the comments section, below.

[Photos: Bushee, Gannett; Lovely, Republic]

Hot Off the Press: The Arizona Republic

The proposed new tax rebate of up to $600 per person is meant to jump-start the economy through a burst of consumer spending. The Arizona Republic's Page One presentation this morning is appropriately consumer-friendly, with a graphic (click on the image above for a bigger view) making it easy to weigh advantages and disadvantages of spending the money in five different ways.

[Image: Newseum]

Separated at birth? Kerviel vs. Cruise

Rogue French bank trader Jerome Kerviel, who cost Societe Generale $7 billion, and rogue messianic actor Tom Cruise, who cost us much lost work time watching this creepy Scientology video.

Neuharth reveals source of all GCI's troubles

Like rubbernecking past a car wreck, I can't resist octogenarian retired CEO Al Neuharth's weekly column every Friday in USA Today.

The man who engineered some of Gannett's biggest, most expensive acquisitions gone bad (hello, Detroit News! So sorry you failed, Arkansas Gazette!) tells us he doesn't know squat about corporate money matters. "I don't pretend to be an expert in high finances," he confesses.

Thursday, January 24, 2008

Freep uses tech to publish rarely used word

The Detroit Free Press' unfolding investigation into controversial Detroit Mayor Kwame Kilpatrick's extracurricular activities with his chief of staff is fascinating on several levels:

1. That no-no word. You hardly ever see newspapers reporting that someone "lied," unless that word appears in a public document; we're too afraid of getting sued. Even more rare: saying someone lied under oath. But in this investigation, the Freep itself is applying that charged word after using technology -- text messages -- to confidently prove its case.

2. The records: The Freep obtained and analyzed nearly 14,000 text messages from a pager-like device. I'm accustomed to seeing e-mail and instant messages from computers as sources, but not wireless handheld devices. The mystery: How did the Freep get them, if not through a conventional public records request? As near as I can tell, the story says only this about the messages: "The exchanges, which the Free Press obtained after the trial, cover two months each in 2002 and 2003." I'd also like to know what software they used to analyze all that text. Excel?

3. Great video: The paper is streaming video from key court testimony to show what the mayor and his chief of staff said in the past vs. what the text messages show now.

4. Cool print presentation: The package is very consumer friendly, with loads of Page One refers sending readers to online extras. (Click on the image, above, for a bigger view.) On technology reporter Mike Wedland's blog, for example, the paper gives consumer advice on a key question: How secure are your text messages?

The stories have certainly caught Mayor Kilpatrick's attention. The paper is now reporting that Kilpatrick and his family have decided to take a sudden, ahem, vacation in Florida. Stay tuned.

[Image: Newseum]

Why I hate interviewing Hollywood celebrities

[Star-crossed: Heath Ledger and Mary-Kate Olsen]

Show people are thin-skinned, paranoid -- and you gotta deal with their crazy publicists. The moment I heard actor Heath Ledger had died under mysterious circumstances involving one half of the Olsen Twins, I wondered: Was it the "good'' Olsen, Ashley, who I interviewed in 2005 for a story about the twins' booming fashion company? Or was it the "bad'' one -- Mary-Kate, whose once-poor health caused speculation (which she denied) that she had an illicit drug problem. Turns it, it's Mary-Kate.

Wednesday, January 23, 2008

Does Google's Mayer have a beneficial friend?

[Google-iscious: Marissa Mayer and her Mysterious Stud, left]

You may recall that I talked about top Google executive Marissa Mayer on my inaugural (and, so far, only!) edition of Gannett Blog TV. She's one of the new, young technologists who work in Silicon Valley devising fresh ways to run circles around newspapers (when they're not expected to buy them.) They live and party an hour north here in hipper San Francisco, where the press chronicles their every move. And why not? Mayer's Google-fueled wealth easily runs into the many tens of millions of dollars -- possibly much, much higher. She's 32, exceptionally pretty, smart -- and single. Case in point: When she was seen recently not once -- but OMG twice! -- with the same handsome man, gossip blog Valleywag was all over it.

[Photo: Lane Hartwell for Wired via Valleywag]

As Pensacola goes, so goes Gannett

The Pensacola News Journal is a microcosm of the forces bearing down on Gannett and its 85 mostly midsized dailies and 23 TV stations. That was the gist of a radio show interview I gave today to Rick Outzen, a Gannett Blog reader, blogger, publisher of a local alternative weekly and host on NewsRadio 1620 AM.

Pensacola, in the far-western corner of Florida's Panhandle, has been whacked by the residential real estate meltdown. Indeed, Florida is one of four states -- the others are California, Arizona and Nevada -- especially hard hit in the housing crash. With newspapers in all four states, Gannett has suffered revenue losses in that meltdown, something management is likely to repeat next week during the Feb. 1 fourth-quarter earnings announcement.

Pensacola's surrounding Escambia County (population: 297,000) has a tourism-based economy still recovering from Hurricane Ivan in 2004. Rising gasoline prices would pinch spending by budget-conscience tourists who target what we fondly called the Redneck Riviera when I lived in Arkansas. The News Journal's circulation, about 75,000 Sunday and 60,000 daily, has been mostly flat in the past year -- which in this environment is good news.

The newsroom employs about 74 of the paper's 420 employees. And while staffing hasn't changed a lot from a year ago, as opposed to many other GCI papers, the News Journal has added more special sections and online features stretching staff resources further.

[Image: today's News Journal, Newseum. The lede story is a real talker: The Escambia County School Board on Tuesday night censured Superintendent Jim Paul for his Jan. 10 drunken-driving arrest in South Florida]

How the NYT is challenging USA Today

Just a few years ago, The New York Times would not have published more than a one-graph Page One refer to a deep-inside story about a quasi-A-list celebrity's death; the Old Gray Lady left the now-lucrative entertainment news business to more down-market USA Today. But times have changed. The NYT this morning played the death of Brokeback Mountain star Heath Ledger, 28, in a full story at the bottom of Page One. (The paper is now reporting on its City Room blog that autopsy results on Ledger are "inconclusive.'') Of course, the NYT isn't the only paper eyeing USA Today' s bread-and-butter celebrity news. New Wall Street Journal owner Rupert Murdoch has made noise about a similar expansion.

[Image: Newseum]

Gannett aims to be big publisher on campus

[Fort Collins, Colo.: Students fight GCI's interest in campus paper]

Gannett is moving deeper into education-related markets: The Coloradoan in Fort Collins talked to Colorado State University on Tuesday about a "strategic partnership" to run the campus newspaper, The Rocky Mountain Collegian. "The Coloradoan had contacted us late last year . . . to talk about potential partnerships," spokesman Brad Bohlander told The Associated Press. "The university had not sought to sell the Collegian. . . . Today was in response to that, to set up the first meeting to see what they had to say."

Students protested, and the Collegian expressed alarm about the talks in a story today headlined: "Gannett eyes Collegian takeover."

Gannett has been expanding into the college and high school markets in recent years. Just this morning, USA Today announced a partnership with CSTV, an interactive collegiate sports media service that's part of CBS Sports. The newspaper will carry on its website several CSTV offerings, including CSTV XXL and GameTracker.

GCI's last digital deal was in October, when it bought a controlling stake for an undisclosed sum in the company that runs HighSchoolSports.net; it also sells scheduling software to high school athletics directors. Also last year, Gannett bought the student-run newspaper at the University of Central Florida, and the student paper at Florida State in 2006, the AP says.

Use this link to e-mail feedback, tips, snarky letters, etc. See Tipsters Anonymous Policy in the sidebar, upper right. Or leave a note in the comments section, below.

[Image: Ian Bezeck, staff columnist for The Rocky Mountain Collegian, holds one of many signs that appeared in the lobby of the Administration Building opposing the potential sale of Colorado State University's student newspaper to Gannett, the Collegian says. Photo by Aaron Montoya. Hat tip, Romenesko]

Hot Off the Press: Rate cut, and stock plunge

This morning's big story is the Federal Reserve's emergency interest rate cut meant to bring order to plunging global stock markets. Here's how three Gannett newspapers covered the news.

At Florida Today, residents are feeling rattled. "I think a little bit of anxiety is probably healthy, if it keeps you on your toes and helps you focus a little bit," University of Central Florida economist Sean Snaith told the paper. "I don't think it's time to do anything drastic."


At The Courier-Journal in Louisville, Ky., business reporter Alex Davis used video with a story about home construction woes to ask people at a local shopping mall how they would spend an $800 tax rebate if they were to get one from the government.


And at the Home News Tribune in East Brunswick, N.J, investors were urged to stay calm. "As long as it's not the milk money and you're well diversified you will weather this storm," said Andre Bakhos, the president of Princeton Financial Group of North Brunswick.

[Images: Newseum]

More about Cincinnati's banana republic

In my post about Cincinnati Enquirer business reporter Jim McNair getting his controversial termination turned into a buyout, I mentioned the paper's Chiquita Brands scandal nearly 10 years ago. But I failed to note a couple more things that have been bugging me about that embarrassing episode:

  • To the best of my knowledge, no one has ever successfully challenged the central thrust of the Enquirier's project: that Chiquita was mistreating workers in Central America and committing a host of other corporate misdeeds. I'm quite certain that Chiquita's chairman at the time was the evil Carl Lindner Jr., a one-time part-owner of the Enquirer, who's now a wealthy industrialist and major Republican benefactor.
  • Even though Chiquita walked away no doubt feeling smug after extracting from Gannett a humilating Enquirier Page One apology plus millions of dollars, the company last year agreed to a $25 million fine after admitting it paid terrorists for protection in a volatile farming region of Colombia. Nice.

Use this link to e-mail feedback, tips, snarky letters, etc. See Tipsters Anonymous Policy in the sidebar, upper right. Or leave a note in the comments section, below.

[Image: Wikipedia]

Reader: Who's got time for this?

A reader who helps run a Gannett newspaper website writes about his job: approving requests from readers for permission to comment on stories on the paper's site. "I was told to deny permission to anyone whose e-mail address or user name looked questionable, and to give a hard look at anyone using Web-based e-mail,'' he writes. "Then we keep track of people thrown off the forums (mostly for using profanity or making offensive posts) and refer to these blacklists in case they try to get back on with similar e-mail addresses. Bull. I just approve everyone."

Lesson here: There's a real cost in labor to run a website well when you open it to the free-for-all that follows with full reader interaction. As newsroom staffs shrink, something's got to give.

Tuesday, January 22, 2008

The New York Times, Google -- and Gannett

[Google Guys: Clockwise, from top: Founders Larry Page and Sergey Brin; CEO Eric Schmidt, Google director John Doerr]

Here's another reason why intriguing speculation about a $4 billion Google-New York Times Co. hookup makes sense: politics. I've written about the fight between the left and right over the future of investigative journalism. Now consider this: Google co-founders Larry Page and Sergey Brin and CEO Eric Schmidt have shown signs they lean liberal. Google director and venture capitalist John Doerr is a big-time supporter of liberal politicians and causes, too.

Meanwhile, the NYT's editorial position, despite Publisher Arthur Sulzberger Jr.'s protestations to the contrary, is a liberal counterweight to that other daily, the politically conservative Wall Street Journal. And under new owner Rupert Murdoch, the WSJ is expected to steal market share from the NYT at a time when it's already been hobbled amid industry-wide turmoil.

Might the Google Guys play white knight to preserve an influential liberal voice? Real Clear Politics nets the cost to the Googlers of buying the NYT at about $3 billion, after asset sales. OMG, that's chump change to these guys: Together, they're worth like 100 times more than Oprah!

The Gannett angle: If Real Clear Markets is right, a Google-NYT tieup would leave GCI largely alone among major newspaper publishers without a clear exit strategy for investors, employees and customers. Whatever happens, Wall Street will be looking for an update on Gannett's strategic plan next Friday, Feb. 1, when it is scheduled to report fourth-quarter earnings.

[Photos: Google, and Kleiner Perkins Caufield & Byers. Hat tip, Romenesko]

S&P: Gannett's profit margins to rise in 2008

Standard & Poor's, in a Jan. 16 newsletter I just got from the credit rating agency, forecasts GCI operating margins of 24.2% in 2008 -- up slightly from its projection of 23.8% in 2007. S&P recommends investors buy Gannett shares because it sees them rising to $49 in the next 12 months. (They've been trading today as low as $32.37.) Interestingly, S&P singles out "greater than anticipated weakness in Detroit'' as a possible factor that could affect its recommendation.

Bloggers: Cincy settles with biz reporter McNair

The nightmare on Elm Street continues, bloggers are reporting, as fired Cincinnati Enquirer business reporter Jim McNair (left) says he prevailed in getting the paper to convert his controversial termination to a buyout. "This is what I can say,'' McNair, 54, told The Daily Bellwether blog. "My termination of last August has been converted to the voluntary acceptance of a buyout. That's all I'm legally able to say about the subject."

McNair made the same statement to Talking Biz News. Daily Bellwether blogger Bill Sloat has speculated that McNair was canned because of pressure from advertisers unhappy over his aggressive coverage. Sloat also says McNair has been a suspect as the blogger behind NewsAche, which disses the Enquirer as the nation's worst metro daily. (Whoo-hoo: No. 1!) However, McNair insists he's not NewsAche, Sloat says.

Anytime I see a Cincinnati reporter making news, I flash back to the 1998 Enquirer scandal over Michael Gallagher, fired for his role in the disastrous Chiquita Secrets Revealed project. One-time star Gannett editor Larry Beaupre lost his job, too, and sued GCI mostly unsuccessfully, in a complaint that alleged he had been scapegoated. (Beaupre eventually found work as the top editor at Pennsylvania's Scranton Times-Tribune.) The enduring question: How much did Corporate know in advance about the Chiquita project -- and why didn't more heads roll?

Cincinnati staffers: What more do you know about the settlement with McNair? Use this link to e-mail your reply. See Tipsters Anonymous Policy in the sidebar, upper right. Or leave a note in the comments section, below.

[Photo: Talking Biz News]

Gannett shares sink -- but not so much

GCI has traded as low as $32.70 today in the global market meltdown. But that's still better than the stock's 52-week low, $31.97, reached on Jan. 9.

Holidaze: We are suckers for viral ads

I used free software on an OfficeMax website last month to turn CEO Craig Dubow into a dancing Scrooge (left) -- and retired CEO Al Neuharth, retiring Newspaper Division President Sue Clark-Johnson, retired CEO Doug McCorkindale and Dubow (whew!) into dancing elves. Now we know just how many people fooled around on the now-shuttered site. Ad Age says "some 26.4 million people -- nearly one in 10 Americans -- this season visited the office-products company's holiday site that allows users to paste images of their faces onto dancing elves. That's up more than tenfold from last year."

[Hat tip, Valleywag]

Monday, January 21, 2008

More reasons for Virginia staffers to be nervous

[Aerial view of buildings housing USA Today and Gannett Corporate]

I mentioned higher salaries at McLean, Va., home to USA Today and Corporate offices -- and fears that another downsizing could cast employees into a brutal job market. Now, The Washington Post is stoking worries in suburban Virginia even more: The paper says the regional slump in home prices "is deepening and spreading," according to a new data analysis showing for the first time that every local county saw a price decrease for a significant period of last year.

Department of Oh, Shit: The current slump is worse in counties far from the Beltway, such as Prince William, where prices fell 13% year over year, and slight in others, such as Arlington, which saw a 2% decrease. Note: McLean is in Fairfax County.

[Image: Google Earth]

Reader on unpaid hours: 'Everybody knew it'

In a comment about employees pressured to work off the clock, a Gannett Blog reader recalls life as a non-exempt copy editor at a 55,000-circulation paper. There were "stern, formally worded notices once or twice a year saying Gannett does NOT authorize comp time or unpaid overtime, and that all overtime will be paid, and that all overtime should be approved before being worked,'' the reader says. "Of course, there was no way in hell the paper would get out unless we worked 45-50 hours apiece. Everybody knew it. Just another one of the ways Gannett fools itself."

Been there, suffered through that: Those notices give management cover if anyone complains. ("I'm shocked -- shocked -- that you've worked overtime without getting paid. We told you not to do that!") If management was serious about eliminating off-the-clock work, publishers and other operating committee members would pay surprise visits to newsrooms and other departments to see who's working late and on weekends. Of course, technology makes such spot checks difficult, since BlackBerries, Web-based software and other tools mean there's no excuse to not work after getting home -- extending the work day to a full 24 hours.

In futuristic papers, USA Today's starring role

Recently launched science fiction blog io9 features USA Today in its roundup of futuristic newspapers featured in sci-fi flicks. That's the paper (above), in Minority Report, the 2002 thriller starring Tom Cruise. "It's a paper-thin video screen, thin enough to fold up and put under your arm,'' Washington Post media reporter Frank Ahrens said in a 2005 online chat about the future of newspapers. "Instead of static photos and text, it's constantly changing text, video and perhaps sound. Think of it as a combination paper, television and Internet, presumably wirelessly connected to a futuristic Wi-Fi, perhaps the next generation of the new Wi-Max super hotspots that are rolling out and cover several square miles instead of several square feet."

Monday Recap: Kisses, badboys -- and cake

Posts you might have missed last week while the pocket-protector crowd was moving in:
  • As time goes by: When two guys on a basketball court are involved, we wondered whether a kiss is just a kiss.
  • Hijinx Inc.: GCI subsidiary PointRoll turned out to be a place for wild and crazy guys. Badboys and towelboys, anyone?
  • Off with his head? Retired CEO Al "Marie Antoinette" Neuharth assured us that surviving the looming recession will be a piece of cake.

Reader: Are you working 15-hour days, too?

I nearly went crazy working absurdly long hours at The Idaho Statesman when I was business editor with a three-person staff in the early 1990s. There was too much work for too few people. But I was in management, so it was easy for the publisher to pile work on; after all, he didn't have to pay me overtime.

Now, as Gannett asks employees to do even more with less, I worry about the hours worked by city editors and other exempt staff with front-line responsibilities. And I worry even more about non-exempt hourly staff, including reporters and photographers, pressured to work off the clock. (Related survey: Do you feel pressure to work unpaid hours? Please answer that question in the poll box at the top of the blue sidebar, right.)

Here's what I heard from a reader who works at a Gannett paper in the 50,000-circulation range; cutbacks have reduced newsroom employment by about a third in recent years, the reader says, fearing she'll lose her job for contacting me. "The cuts on our local organization did away with the fat about three years ago. They dipped into muscle last year,'' she says. "The word is that more cuts are headed our way. . . . Management seems to think nothing of requiring salaried staff to work 15-hour days -- daily -- just to get the basics done. The future does not look bright."

She asks: Am I the only one? I ask: Are you being pressed to work off the clock because your company won't pay overtime? Use this link to e-mail your reply. See Tipsters Anonymous Policy in the sidebar, upper right. Or leave a note in the comments section, below.

[Image: my favorite heartless boss, C. Montgomery Burns, of The Simpsons]

Have Gannett editors lost their jobs in protest?

I ask because for the second time in 15 months, the editor of The Los Angeles Times has been fired in a dispute over budget cuts ordered by his publisher.

Can anyone offer an example from inside Gannett? Use this link to e-mail your reply. See Tipsters Anonymous Policy in the sidebar, upper right. Or leave a note in the comments section, below.

Sunday, January 20, 2008

A six-figure award to GCI's new digital chief

The company announced last week in a press release that PointRoll CEO Chris Saridakis (left) had been promoted to the influential new job of chief digital officer over all of Gannett. A day later, GCI disclosed how much stock it awarded Saridakis, 39, as part of the deal, in a harder-to-decipher government filing that I've now had a chance to examine with help from experts.

Saridakis' compensation opens a window on how Gannett is competing for top technologists at a time when pre-IPO Silicon Valley business start-ups like fast-growing Facebook can dangle millions to lure the best candidates.

Saridakis' stock-based pay package, disclosed Tuesday in a Securities and Exchange Commission filing, consists of two parts:

  • A grant of 15,000 Gannett shares over which he can take full ownership in less than four years: Dec. 7, 2011 -- but only if he's still with the company. Then, if GCI is trading at, for example, $60 a share (whoo-hoo!) by that date, these so-called restricted stock units (RSUs) would be worth $900,000. (Gannett shares closed Friday at $34.03.) The RSUs "only have worth after the four-year period,'' company spokeswoman Tara Connell told me after I asked if Saridakis wanted to comment. "If he leaves the company any time before Dec. 7, 2011, they are worthless to him," she says. "If he sells them on Dec. 8, 2011, they are worth what the stock is worth that day."
  • Options to buy 150,000 shares at $33.92 each. Options are meant to tie an executive's pay to the performance of a company's stock price. If GCI stock rises to that $60-a-share example, Saridakis could "exercise" those options by paying $5.09 million (150,000 x $33.92). He could then turn around and sell the stock for $9 million (150,000 x $60), making a nearly $4 million profit. Of course, if GCI shares move in the opposite direction and stayed there, the options would be worthless.

To put 150,000 shares in perspective, retiring Newspaper Division President Sue Clark-Johnson owned 400,033 shares, as of last March. And that was after 40 years' employment. Sardarkis has been with the company only since 2005.

Saridakis will get a paycheck, too, of course. We'll learn details about that only if his compensation is high enough under SEC rules to require its public disclosure in the annual proxy report to shareholders, likely out this spring.

Note: See this disclosure on how much Gannett paid me.

Reader: How did USA Today's buyouts work?

I'm responding to a question in this post about the terms of USA Today's buyouts extended to newsroom staffers last month. The paper offered two weeks' pay for each year of Gannett employment to folks with 15 or more years' service. The offer also included health insurance. There were a couple of exceptions: Staffers with five or more years experience online weren't eligible. Copy editors were exempt, too, as were a handful of other jobs.

In my case, with 20 years' service, I'm getting 40 weeks' pay over the next 10 month -- just as if I was still an employee, but I no longer show up for work. Two weeks for every year seems to be the standard. And it's better than the severance given to some USA Today employees on the business side, who lost their jobs in an outright layoff with lower benefits around the time the buyouts were announced.

Saturday, January 19, 2008

Here's something I'm not supposed to tell you

We don't talk out loud about how much Gannett pays us. But if I'm going to razz executives about their seven-figure pay packages, I ought to come clean, too. When I left USA Today, I was earning a generous $105,000 a year as a business news reporter and editor. Gannett kicked in another I think $10,000 each year for my retirement plan and my 401(k) account. That's a lot of money.

Of course, there's this mitigating factor: The cost of living where I live is nuts. Median prices for single-family homes in the San Francisco Bay area are among the nation's very highest: nearly $800,000. Once you pay that outrageous sum, get ready to pony up another $200,000 for a new kitchen and maybe a bath. (We love our sustainable Brazilian hardwoods and our $5,000 Bertazzoni ranges!) Plus, adding a two-car garage will cost another $200,000 to bore into our steep hillsides, so you may need to rent garage space.

My annual pay puts me near the top end of the salary range I found when I did this casual survey of Gannett Blog readers two months ago. I don't know how much my USA Today co-workers earn because the paper's approximately 450 newsroom employees aren't unionized, so wage scales aren't published. But I suspect plenty of them earned as much or more than me. That's why so many are worried about losing jobs if there's another round of cuts at Gannett's flagship paper. After all, where would they find newspaper jobs, beyond public relations, that pay anywhere near as much as they earn now?

Use this link to e-mail feedback, tips, snarky letters, etc. See Tipsters Anonymous Policy in the sidebar, upper right. Or leave a note in the comments section, below.

Why it's never too late to be your own boss

Right on schedule, I'm now self-employed -- for the next year or so, anyway, while I learn the video production and other multimedia skills that a 21st-century journalist needs. I'm on schedule because workers are more likely to pursue self-employment after entering their 50s (I'll be 51 in three weeks). The number of older entrepreneurs is expected to rise further as baby boomers seek more job security, Americans get older and cheaper technology drives down start-up costs -- a trend I noted three years ago in one of my most popular USA Today stories.

Use this link to e-mail feedback, tips, snarky letters, etc. See Tipsters Anonymous Policy in the sidebar, upper right. Or leave a note in the comments section, below.

[Image: USA Today]

Cutlines Only: The Star Press

Matt Abrell celebrates a basket in the second half of a game pitting Central and Southside high schools Friday night in Muncie, Ind. Central dominated most of the game and won 58-52, The Star Press says today. Photo by Chris Bergin, Star Press via the Newseum.

Cutlines Only showcases Gannett website art. E-mail suggested links here; see Tipsters Anonymous Policy in the green sidebar, upper right. Or leave a note in the comments section, below.

Al Neuharth, Arkansas, Jack Kelley and me

Al Neuharth and I go back to Little Rock in 1987, when I was a 30-year-old reporter at The Arkansas Gazette. Gannett's colorful CEO visited at least once: I recall seeing a catering truck pull up to the loading dock to unload great quantities of silver service pieces for some sort of dinner he was to host.

But it was much more recently, April 2004, when we clashed, sort of, during the Jack Kelley scandal engulfing USA Today. I thought he was using his weekly column in the paper to undermine the top editor, Karen Jurgensen. She wasn't blame-free. But I resented Neuharth's obvious piling in -- especially when the overly tanned and rested media mogul wrote this outrageous column just four days before Jurgensen quit. That led to a fairly public exchange on Romenesko, which I was able to unearth just now from Salon's archives. Here's how Salon (nice job!) described the whole sordid episode on April 16, 2004, in full:

Blame the boss: USA Today founder Al Neuharth blames Jack Kelley's "new bosses" with global ambitions far from the paper's initial "down-home" intentions for the shamed reporter's misdeeds. "Real or self-imposed pressure grew to grab new readers and prizes. Kelley's deceptions from faraway places followed, spanning 10 years," he writes. (USA Today) "Oh, the irony!" USA Today reporter Jim Hopkins writes in a letter to Romenesko. "In 1987 -- just five years after the paper was founded -- Neuharth himself announced the launch of Jetcapade, billed as 'a seven-month assignment that will take Al Neuharth and a small news team to six continents and more than 30 countries.' Bonus irony points: Accompanying Al on that trip to record every scintillating moment was, of course, Kelley himself."

Jeepers. I'm amazed I didn't get sacked for writing that!

Neuharth is 83 as I post this. And he's still writing his weekly USA Today column.

[Image: Friday's USA Today, Newseum]