Saturday, December 31, 2011

Friday, December 30, 2011

Dec. 26-Jan. 1 | Your News & Comments: Part 4

Can't find the right spot for your comment? Post it here, in this open forum. Real Time Comments: parked here, 24/7. (Earlier editions.)

Bulletin: GCI closes at $13.37, down 11% for year; but shares outperformed major publishing rivals

Gannett's stock just finished trading for 2011, a period when investor doubts about the industry's prosperity sent the company's shares on a roller-coaster ride -- ending with an 11.4% decline for the year.

Shares closed at $13.37. The year's decline from Dec. 31, 2010, seen across other major newspaper stocks, came despite a doubling in GCI's dividend and the first share buyback in years. Nonetheless, GCI outperformed five other companies with operations dominated by newspaper publishing.

Industry stocks lagged major market indexes. The Dow Jones Industrial Average finished the year at 12,218, up 5.5%. The S&P 500, a broader measure of overall market activity, closed at 1,258, virtually unchanged. The technology-rich NASDAQ closed at 2,605, down 1.8%.

Early in the year, GCI's investors appeared optimistic. Shares hit a trading high of $18.93 on Feb 7. But a series of weak earnings reports showed more revenue declines. GCI slid with few interruptions, bottoming out at $8.28 on Sept. 22, according to Google Finance data. (Table shows historical stock prices.)

GCI's weakness is, of course, of particular concern for the company's top brass. Plus, it hits them especially hard in their wallets: Millions of stock options granted to them by the board of directors remain worthless so long as GCI trades below $15 a share. And those options are a large part of their annual compensation. (Table shows 2010 pay to company's six highest-paid executives.

The Big Board
Closing prices of major newspaper publishers today, with the change from Dec. 31, 2010:

Sponsors | In the final stretch: another $100

Via PayPal, a reader in New Jersey just gave me $100, with a note that says: "Have a safe and happy New Year and looking forward to your continued contributions with the blog in 2012." The reader added: "I realize you already achieved your goal for the quarter, but 'tis the season."

Indeed: With advertising sales, I'm now at 103% of my goal -- and there's still another day remaining in the quarter. The breakdown:
  • Reader donations: $1,601
  • Advertising: $2,523
I'm trying to earn $4,000 quarterly, through donations of $5 per reader, plus advertising sales. Please use the "Donate" or "Subscribe" tools in the green rail, upper right. Or mail cash and checks payable to: Jim Hopkins, 584 Castro St. #823, San Francisco, Calif., 94114-2594.

Phoenix | Intern ID'd who died in apparent suicide

Funeral services were held yesterday for Daniel Kemp, an Arizona State University journalism student and news intern at The Arizona Republic who killed himself Dec. 23 by jumping from the newspaper's parking garage.

Kemp
Born Dec. 8, 1991 at Stanford Hospital in Palo Alto, Calif., Kemp "died much too young, at age 20, in downtown Phoenix,'' says his Republic obituary.

"During college," the obituary continues, "he served three internships with local newspapers, most recently with the Republic doing breaking news."

In its news story last week about Kemp's suicide, the paper didn't disclose he was one of the paper's interns, leading readers to wonder why he chose the downtown garage.

A comment posted on his obituary's guestbook says Kemp worked in the nearby Mesa bureau: "He read 100s of incident reports in Chandler, and managed to cull some wonderful stories, using his own news judgement, which later turned out to be some of the most read items on azcentral.com."

[Photo: Legacy]

Sponsors| A sudden embarrassment of riches

One of my most generous donors, a reader in Alabama, made a $100 donation only two days ago. Tonight, noticing I was so close to my quarterly goal, that same reader gave me another $125. Combined with advertising sales and a $5 contribution from a Nebraska reader, I've now surpassed my goal.

Thank you all, very much! With just a day left in the quarter -- and the year! -- I've now taken in $4,013. The breakdown:
  • Reader donations: $1,505
  • Advertising: $4,013
I'm trying to earn $4,000 quarterly, through donations of $5 per reader, plus advertising sales. Please use the "Donate" or "Subscribe" tools in the green rail, upper right. Or mail cash and checks payable to: Jim Hopkins, 584 Castro St. #823, San Francisco, Calif., 94114-2594.

Thursday, December 29, 2011

Dec. 26-Jan. 1 | Your News & Comments: Part 3

Can't find the right spot for your comment? Post it here, in this open forum. Real Time Comments: parked here, 24/7. (Earlier editions.)

Sponsors | Virginia's for lovers -- and donors

Via PayPal this morning, I received two contributions of $10 and $50 from the state that's home to Corporate and USA Today. With advertising sales, they take me to 97% of my quarterly goal. I now have fewer than three days to raise $125. Oh, the tension -- and the breakdown:
  • Reader donations: $1,379
  • Advertising: $2,496
I'm trying to earn $4,000 quarterly, through donations of $5 per reader, plus advertising sales. Please use the "Donate" or "Subscribe" tools in the green rail, upper right. Or mail cash and checks payable to: Jim Hopkins, 584 Castro St. #823, San Francisco, Calif., 94114-2594.

Cincy | Enquirer editorials held hostage


Day 12
since The Cincinnati Enquirer published
  its last new, staff-written editorial


Earlier: Why Gannett newspaper editorials appear endangered.

Sponsors | In an envelope with no address: $60

The reader enclosed a yellow post-it note that said only: "Catching up." But the other contribution I just received did come with a return address, Arizona, and it was $20. With advertising sales, those $80 in new donations bring me to 95% of my goal.

There are now just three days left in the quarter -- and year! -- for me to pull in $183. The breakdown in the home stretch: 
  • Reader donations: $1,321 
  • Advertising: $2,496
I'm trying to earn $4,000 quarterly, through donations of $5 per reader, plus advertising sales. Please use the "Donate" or "Subscribe" tools in the green rail, upper right. Or mail cash and checks payable to: Jim Hopkins, 584 Castro St. #823, San Francisco, Calif., 94114-2594.

Wednesday, December 28, 2011

Dec. 26-Jan. 1 | Your News & Comments: Part 2

Can't find the right spot for your comment? Post it here, in this open forum. Real Time Comments: parked here, 24/7. (Earlier editions.)

Newseum admission sales fell 6% in '10, report says

Regarding Freedom Forum's refusal to answer questions about its spending, Anonymous@2:32 p.m. writes about the foundation's Newseum, a Washington museum about news history.

"They are practically giving tickets away through Groupon and have a local radio station pay for student tours," 2:32 says. "They will never give you attendance figures, Jim, and if they did, you'd have to ask how many were full price. These men were not great at newspapering and obviously don't know how to run a museum or foundation."

In fact, the Newseum does offer a glimpse at ticket sales in its annual IRS tax return, which discloses the dollar value of admissions. Sales fell 6% in 2010, to $6.5 million, from 2009, according to that year's return.

I obtained a copy of the return under federal open-records laws.

Freedom Forum, based in Washington, was the original Gannett Foundation until retired Chairman and CEO Al Neuharth relaunched it in 1991 with a new name and mission.

Gifts, food more important
The number of Newseum tickets sold may actually have been higher than in 2009, depending on how many were sold at special discounts, or offered at no charge. One Yelp user here, for example, used a $10 Groupon coupon.

Full-priced adult tickets are $21.95 each, plus tax. Seniors and kids get in for less.

Admissions are a small source of revenue at most cultural institutions. Museums depend much more on donations, income from endowments, and gift shop and restaurant sales.

The Newseum took in $20.4 million in admissions and other "program service revenue," up 9% from 2009. In both years, however, the biggest chunk was from catering and food sales: $13 million vs. $11 million in 2009.

The museum's overall revenue was $73.4 million in 2010, down 13% from $84.2 million in 2009, the tax return says. That was almost entirely because Freedom Forum -- its single-biggest revenue source -- cut its annual grant to $39 million from $52.4 million in 2009, tax returns show.

Related: See the Newseum's 2010 tax return here, and the 2009 one here. This spreadsheet shows select museum financials for 2007-2010. Plus: Yelp users give Newseum an average 4.5 out of 5 stars.

Earlier: Freedom Forum cut 2010 spending -- but not exec pay.

[Photo: flickr user BWKP]

Fort Myers | Columnist: Sheriff retaliated against me by e-mailing my DUI arrest to 1,600 people

A fascinating read: News-Press columnist Sam Cook and his criminal record; a local sheriff -- and Corporate News Department Vice President Kate Marymont's involvement when she was the Florida paper's top editor.

Best o' blog | Here are 2011's most popular posts

Nothing draws as many pageviews as your comments. And you write a lot of them: about 28,000 this year alone -- more than in any other year since I started publishing Gannett Blog in 2007.

But putting aside those Real Time Comments links, here's what snared some of the most pageviews this year:

Tuesday, December 27, 2011

Dec. 26-Jan. 1 | Your News & Comments: Part 1

Can't find the right spot for your comment? Post it here, in this open forum. Real Time Comments: parked here, 24/7. (Earlier editions.)

Sponsors | Wow: another $100 contribution

It arrived not long after I wrote this afternoon about two earlier gifts. The donor wrote: "Please make this anonymous. Many thanks to you. I was laid off, so this is really to help you support those left in the trenches. I'll be fine, but I worry about them."

I'm now at 93% of my quarterly goal, with fewer than five days left. The new breakdown:
  • Reader donations: $1,242
  • Advertising: $2,467
I'm trying to earn $4,000 quarterly, through donations of $5 per reader, plus advertising sales. Please use the "Donate" or "Subscribe" tools in the green rail, upper right. Or mail cash and checks payable to: Jim Hopkins, 584 Castro St. #823, San Francisco, Calif., 94114-2594.

Sponsors | Just in, gifts small -- and large

From Tennessee, $5, and from Alabama, $100. With less than five days to go, I'm now at 90% of my quarterly goal. No gift is too small -- or too large! The breakdown:
  • Reader donations: $1,145 
  • Advertising: $2,467 
I'm trying to earn $4,000 quarterly, through donations of $5 per reader, plus advertising sales. Please use the "Donate" or "Subscribe" tools in the green rail, upper right. Or mail cash and checks payable to: Jim Hopkins, 584 Castro St. #823, San Francisco, Calif., 94114-2594.

Freedom Forum cuts expenses -- but not exec pay; $540K for Paulson; a mysterious $337K for Prichard

The Freedom Forum foundation, best known for its costly Newseum about news history in Washington, slashed overhead in 2010 -- but not enough to avoid a fifth consecutive year of enormous deficit spending, according to newly released IRS tax returns.

Top administrators still landed big raises, however. Ken Paulson, president and chief operating officer until his abrupt resignation midway through 2010, got $540,000 in salary, benefits and expense reimbursements -- nearly $100,000 more than in 2009.

Prichard
And in a surprising disclosure, the Newseum said it paid trustee and retired president Peter Prichard $337,000 in a bonus and for expenses. The museum didn’t explain the payment, which was far in excess of anything paid to other trustees, and foundation documents only hint at a possible reason.

Freedom Forum was the original Gannett Foundation until 1991, when retired Gannett Chairman and CEO Al Neuharth relaunched it with a new name and mission. It now focuses almost exclusively on the Newseum, a dramatic shift from its founding purpose in 1935: supporting charities in communities where Gannett does business.

The foundation and museum disclosed the figures in their 2010 Form 990 tax returns, which I obtained this month under federal open-records laws.

But the returns also raise intriguing questions, including why Prichard, a former USA Today editor, got so much money. And the documents only advance Freedom Forum's long-standing reputation as a retirement haven paying lifetime annuities to aging former executives close to Neuharth.

Foundation administrators didn’t respond to any of my questions about the 2010 tax returns, however, continuing a years-long pattern of secrecy that seems at odds with its mission.

Expenses down, endowment up
Freedom Forum ran a $59 million deficit in 2010, even after substantially curtailing spending for the Newseum. That was a huge improvement over the $82 million deficit in 2009.

Its endowment of stocks, bonds and other securities had a market value of $422 million at year’s end, up from $399 million the year before. That reflected a better investment return compared to overall stock markets, especially after factoring in the Newseum subsidy.

Nonetheless, the foundation has now spent $315 million more than it earned in 2006-2010 alone, forcing it to dip into the endowment even more. That portfolio was worth $900 million in 2000, when administrators started an expansion of the museum that ultimately cost $450 million, nearly double its initial price tag.

The foundation’s single-biggest expense last year was its grant to the Newseum: $39 million, down from $52 million in 2009.

Related: see links, bottom of this post, to 2010 foundation and museum tax returns, plus summaries of historic financials.

Paulson's pay as No. 2
The foundation’s tax return shows Paulson was paid $473,746 in salary and benefits, plus $66,797 for expense reimbursements. That was up from $373,130 in wages and benefits, plus $70,055 for expenses, in 2009.

Paulson
After stepping down as the No. 2 executive in August 2010, Paulson was made CEO of the foundation’s First Amendment Center in Nashville, Tenn.

The tax returns don’t say whether Paulson’s 2010 pay was just for the seven months he was the foundation’s president and COO, or whether it also included his four months at the Nashville center.

Paulson had been in line to succeed Charles "Peanut" Overby, Freedom Forum’s long-time chairman and chief executive, positions he took after retiring from Gannett. Four months ago, Overby, 65, was replaced as CEO by chief U.S. courts administrator James Duff. Then, this month, Overby stepped down as chairman. He remains a trustee of both the foundation and the Newseum.

Prichard the headhunter
The Newseum paid Prichard a $206,329 bonus plus $126,244 for expenses, according to the museum’s 2010 tax return.

The payments are a bit of a mystery. Prichard quit as president of the foundation and museum at the end of 2008, when Paulson -- then USA Today’s top editor -- was given his job. Freedom Forum said Prichard would spend 2009, the year he turned 65, working on special projects, then retire. He continued as a trustee.

Duff
Prichard’s 2010 pay may have been for helping Freedom Forum’s executive headhunters find Overby’s 57-year-old replacement, Duff. In a May 2010 news release when Duff’s appointment was announced, the foundation said:

“The nationwide search was led by Peter S. Prichard, retired president of the Newseum and Freedom Forum, and by the search firm Isaacson, Miller of Boston. John Isaacson and Rachel Ellenport led IM’s efforts.”

I asked the foundation about Prichard’s compensation. I also asked how much it paid the Isaacson firm; the tax return doesn't say. These were among the questions administrators didn't answer.

Headhunters like Isaacson are pricey. "Don't pick a firm solely on the basis of price," the company says on its website. "In this business, as in most others, you get what you pay for."

Indeed, the University of Illinois paid Isaacson almost $160,000 last year to find its new president, Michael Hogan, according to The News-Gazette of Champaign-Urbana. The school also paid $142,000 for search-related lodging, travel and food expenses. Hogan earns $620,000 a year.

Prichard’s pay last year brings to $5.3 million his total compensation since 2000, the year the Newseum expansion started. The museum eventually opened years late and $200 million over initial budget projections. Prichard was a key player in the expansion.

Coffey, Seigenthaler and Quinn
The foundation paid Overby $478,981 in wages and benefits last year, plus another $123,603 for expenses. That $602,584 was up 34% from 2009, and brings his total compensation since 2000 to $7.6 million.

Jan Neuharth
Overby was replaced as foundation chairman this month by Jan Neuharth, a long-time trustee who is founder Neuharth’s daughter from his first marriage. At the same time, Prichard was elected chairman of the Newseum's board; the museum is a legally separate entity.

As trustee, Jan Neuharth got paid $39,000 in 2010. Whether the foundation boosts her pay as chairman likely won’t be reported until the next IRS return is filed a year from now. Since 2000, Neuharth has been paid nearly $650,000 in fees and expenses.

Museum trustee Shelby Coffey III was paid $120,000 in 2010. He got an identical amount in 2009.

Coffey was elected the Newseum vice chairman this month. He was the Los Angeles Times’ editor until 1997. (Later, he was an ABC News executive under David Westin, the network’s president until a year ago. Westin is a Newseum trustee, too.)

Seigenthaler
John Seigenthaler, founder of the First Amendment Center, was paid $200,000 plus $95,819 for expenses. That was close to what he got in 2009.

John Quinn, an advisor to the foundation, got $150,000 plus $121,200 for expenses -- also close to what he was paid in 2009. Quinn is the retired Gannett chief news executive who helped launch USA Today. He was the paper’s editor and then editor-in-chief from 1983 to 1989.

As founder, Neuharth, 87, was paid $225,000 in wages plus $286,003 for expenses -- more than in any other year since 2000. The tax return says only that he worked an average 40 hours a week, apparently year-round.

The foundation has paid him at least $2.3 million since 2000.

Neuharth lives in a seaside estate called the Pumpkin Center in Cocoa Beach, Fla., where he writes a weekly column for USA Today. Gannett pays him a combined $300,000 annually under deferred compensation and consulting agreements with lifetime terms, according to U.S. Securities and Exchange Commission documents.

Tax returns online
Want to see all 2010 payments to foundation and museum trustees, officers and employees? Start with Page 33 of Freedom Forum’s return and Page 7 and Page 26 of the Newseum’s.

Related: select Freedom Forum financials for 2000, 2007-2010. Plus: select Newseum financials, 2007-2010.

Please post your replies in the comments section, below. To e-mail confidentially, write jimhopkins[at]gmail[dot-com]; see Tipsters Anonymous Policy in the rail, upper right.

Questions Freedom Forum declined to answer

I e-mailed the following questions to Freedom Forum spokesman Mike Fetters on Dec. 8. To date, I haven't heard back from the foundation since it acknowledged receipt of my note.

1. When was Jan Neuharth elected chair of Freedom Forum's board of trustees?

2. When was Peter Prichard elected chair of the Newseum's board of trustees?

3. The Newseum's Form 990 shows that Peter Prichard was paid a bonus of $206,329 in 2010, plus $126,244 for expenses.

Why was he paid these amounts?

Were these payments for his work in the executive search that led to James Duff's hiring?

4. How much did Freedom Forum pay the Isaacson, Miller firm of Boston for its executive search work?

5. Freedom Forum's 990 shows Ken Paulson got paid a combined $540,543 in 2010 as president/COO/trustee. Did that also cover his work as CEO of the First Amendment Center from Aug. 11 through the end of 2010?

6. Has the Finance Department found the filing dates for the foundation and Newseum 990s?

Thanking you in advance,

Jim

Monday, December 26, 2011

8 questions: How to ace a Gannett job interview

Google receives a million job applications a year. It's estimated that only about 1 in 130 applications results in a job. By comparison, about 1 in 14 high-school students applying to Harvard gets accepted.

-- The Wall Street Journal, "How to Ace a Google Interview," Dec. 24


The Unofficial Gannett Co. Inc. Job Interview™

Except where indicated, choose one answer. (The correct answers are in the comments section, below.)

1. CEOs are underpaid: True or false?
  • A. True 
  • B. False
2. You are second to none as a champion of the First Amendment. Which business are you? (Choose all that apply.)
  • A. an international media and marketing solutions company 
  • B. one of the world's largest marketing communications networks 
  • C. a global creative communications company
3. Two trains traveling on parallel tracks are going toward each other from a distance of 960 kilometers. If one train is moving at 100 kilometers per hour and the other is moving at 140 kilometers per hour, after how many hours will the trains pass each other?
  • A. Four hours 
  • B. 5 hours and 23 minutes 
  • C. Stupid question; they should have taken the Corporate jet!
4. One of Gannett's newspapers is famous for their association with one of these events?
  • A. Watergate 
  • B. Poopgate 
  • C. Troopergate
5. What is $37.1 million?
6. Showing support for employees, the new CEO's team did which of the following (choose all that apply):
7. What is the correct ratio of Congressional reporters to entertainment reporters?
  • A. 5:27 
  • B. 27:5
8. What is E=mc2?

Rochester | Inside a job interview with Gannett

Following is from employment site Glassdoor.com, and was written by someone who interviewed last month for an online editor's job at the Rochester Democrat and Chronicle:

Submitted an application through Gannett's corporate website for a job at one of their papers and heard back from the managing editor I'd be working for the next day via e-mail. Had a phone interview shortly thereafter.



My future boss didn't seem very well prepared for the interview. He kept asking me questions about my background that were already on my resume and then when I gave him an answer he would go, "Hmmm, OK. That's interesting," almost as if he never read my resume.



He also never discussed or let me ask about what would be required of me in the position. It was a continual overview of my previous experience (which was a couple years more than the position required).



At the end of the phone interview he asked for an analysis of part of his paper's website (essentially free consulting work) and writing samples, both of which I promptly turned in. I was contacted after those were received and told "I didn't do the analysis right." I did -- I didn't misunderstand his instructions; he simply changed his mind on what he wanted, which prompted him to ask for a second analysis.



Turned in my second analysis and this was followed by a second phone interview. This phone interview was worse than the first one. Again, no talk about what would be required for the position, nor any talk of future ideas for the position. I kept thinking, "For a guy in the communications field, he has a terrible time communicating."

At the end of the interview I was told I'd be contacted about the position with a yes or no answer. Weeks went by and I heard nothing. Finally, I sent a follow up email and got a generic, "we found someone with more experience response."

Overall, I found the interview process pretty unprofessional as I seemed way more prepared than the interviewer and the overall time frame seem excessive -- it took a month to do two phone interviews and get a decision from the managing editor. I'm glad I was not offered the position because if someone is hard to work with in the interview process, imagine what it would be like having them as your full-time boss.


A note: this interview review only applies to a paper in New York and not to any other Gannett newspaper or Gannett corporate. More than likely I simply got a bad interviewer, so I'm sure experiences will vary.

Sunday, December 25, 2011

Dec. 19-25 | Your News & Comments: Part 7

Can't find the right spot for your comment? Post it here, in this open forum. Real Time Comments: parked here, 24/7. (Earlier editions.)

Sponsors | Christmas came early: $40 in gifts

Readers in Kentucky and Michigan each gave me $20 today, via PayPal and snail-mail. With ad sales, those bring me to 87% of my goal. But there are now just seven days left in the quarter. The breakdown:
  • Reader donations: $1,044
  • Advertising: $2,491
I'm trying to earn $4,000 quarterly, through donations of $5 per reader, plus advertising sales. Please use the "Donate" or "Subscribe" tools in the green rail, upper right. Or mail cash and checks payable to: Jim Hopkins, 584 Castro St. #823, San Francisco, Calif., 94114-2594.

Saturday, December 24, 2011

Dec. 19-25 | Your News & Comments: Part 6

Can't find the right spot for your comment? Post it here, in this open forum. Real Time Comments: parked here, 24/7. (Earlier editions.)

Ho, ho, Hello Kitty


Earlier: Hello Kitty Thanksgiving and July 4th.

[Image: Hello Kitty]

Yes, Virginia, there may be no more editorials

[The New York Sun's famous 1897 Christmas editorial]

Following is an excerpt of Anonymous@12:12 p.m.'s comment, posted this afternoon:

"Another day, another issue of The Cincinnati Enquirer and another day without a staff-written editorial. Is there nothing going on in this city of almost 2 million that the city's only daily newspaper should be weighing in on? Aren't there some pretty suspicious bills lining up for consideration by the Ohio General Assembly? Isn't there a Fortune 500 company that's reneging on a $50 million economic development deal? For a major daily newspaper to go nearly a full week without speaking out on something is a waste of its First Amendment right."

Counting editorials
A full week without an editorial sounded hard to believe, so I went to the Enquirer's website. Searching for editorials, I discovered that 12:12 is wrong.

The last time it published an editorial online was actually 11 days ago.

Now, a caveat: I was only able to count those online editorials that were labeled as such. It's possible Cincinnati hasn't been archiving all its print editorials on its website.

Checking other larger-circulation Gannett newspapers, I found numbers that were all across the map, reflecting differing archiving policies. (See table, below. Bigger view.) I counted only those editorials that were clearly institutional opinion -- that is, the voice of the editorial board, as opposed to an individual op-ed article.

Not surprisingly, The Courier-Journal in Louisville, Ky., had the most online: 44. The paper has a long, long tradition of aggressive public-service journalism, reflected in its string of Pulitzer Prizes -- at least 10 in all.

The Arizona Republic in Phoenix carried the fewest: only two, both dated today. No matter how I searched, I couldn't find an archive of past editorials, reflecting the low profile the paper gives to its institutional voice. You've got to look very, very hard to find a link to editorials on the homepage.

End of editorial line? 
Corporate says on its website that its commitment to watchdog journalism is as strong as ever. "Gannett is second to none as a champion of the First Amendment," it says.

But I suspect many publishers would be happy to say goodbye to their editorial pages -- in print and online. Inevitably, institutional opinion pieces -- good ones, anyway -- offend some segment of the public.

This is particularly true during election season, when papers endorse candidates. The Des Moines Register, in one of the most influential election states, last Sunday endorsed Mitt Romney for the Republican nomination. Some Gannett Bloggers were dismayed.


What's your opinion? Please post your replies in the comments section, below. To e-mail confidentially, write jimhopkins[at]gmail[dot-com]; see Tipsters Anonymous Policy in the rail, upper right.

Battle Creek | The Enquirer sells its building . . .

. . . and the buyer is a church.

Among several changes, the Rev. Ivan Lee of the New Harvest Christian Center says he plans to build a gym in what had been the press room, according to this Battle Creek Enquirer story.

The sale of the Michigan paper's building comes as Gannett sells real estate across the company amid shrinking operations.

The Enquirer sale "finally closes that chapter when we right-sized," said the paper's executive editor and general manager, Michael McCullough.

After 60 years at the old site, the Enquirer is now leasing space elsewhere in the area. Three years ago, the paper shuttered its press and moved printing to the Lansing State Journal.

Battle Creek's Monday-Saturday circulation is 15,275; Sunday, 22,506.

Sponsors | Four gifts, and four holiday notes

In today's snail mail:
  1. A reader in Tennessee sent $5 with a Christmas card that included a note: "Thanks for keeping us in the loop while Gannett keeps us in the dark."
  2. From Northern Virginia: "Thanks for all you do. Happy holidays!" and $20.
  3. "Thanks for keeping us informed," said an Oregon reader, who included $20.
  4. And from a second reader in Tennessee, $25 -- with this message: "Wishes for a bright and happy holiday. Thanks for your work on the blog!"
Thank you all.

With advertising sales, these new contributions bring me to 86% of my goal. But there are now just eight days left in the quarter for me to earn another $569. The breakdown to date:
  • Reader donations: $1,005
  • Advertising: $2,436
I'm trying to earn $4,000 quarterly, through donations of $5 per reader, plus advertising sales. Please use the PayPal "Donate" or "Subscribe" tools in the green rail, upper right. Or mail cash and checks payable to: Jim Hopkins, 584 Castro St. #823, San Francisco, Calif., 94114-2594.

Friday, December 23, 2011

Dec. 19-25 | Your News & Comments: Part 5

Can't find the right spot for your comment? Post it here, in this open forum. Real Time Comments: parked here, 24/7. (Earlier editions.)

Exec pay | Horning pockets $83,000 on options

Gannett's HR chief, Roxanne Horning, cashed in options on 8,500 GCI shares today, earning a pre-tax profit of $82,545, a regulatory filing shows.

Horning
The options carried a so-called strike price of $3.75 a share. She sold them for $13.46 each, according to the Form 4 filed with the U.S. Securities and Exchange Commission.

Horning and other executives got the options in February 2009 as part of their 2008 annual pay. They vested -- or became her property -- in four equal installments starting Feb. 25, 2010.

In total, Horning had received 34,000 options. She has 17,000 remaining from the 2009 grant.

GCI's stock closed today at $13.55, up 1.2%.

Related: table shows 2008 pay for five highest-paid executives.

WUSA | Story removed after attribution questions

From a Poynter Online story this afternoon: 

[Updated at 3:19 p.m. ET.] The error happened, General Manager Allan Horlick told Poynter by phone today, when “an assignment editor saw the piece in the Post and cut and pasted the body of the information into an email” that was then sent to Web producer Ashley Jennings, who thought it was a press release to be rewritten and published on WUSA9.com.

My original post: WUSA is in the process of removing a story from its website after receiving inquiries about whether portions of it were taken from a Washington Post piece on the same subject.

The CBS affiliate in Washington published the story yesterday about Fairfax City Mayor Robert Lederer's resignation three hours after Post reporter Tom Jackman's story was published.

Several paragraphs appear verbatim in both stories, Poynter says.

As I post this, however, the WUSA story remains on the station's website.

Phoenix | Reports: Intern dies in suicide jump

An Arizona State University journalism student jumped off the ninth-floor roof of The Arizona Republic's downtown parking garage Wednesday night in an apparent suicide attempt, and was later pronounced dead at a local hospital, published reports say.

The student was a Republic intern, according to Phoenix New Times, which notes that the Republic did not identify him as such in its story about the incident.

The student was taken to a hospital in extremely serious condition, New Times said, but was pronounced dead at 11 p.m. local time, according to the Republic.

The newspaper and New Times did not identify the student by name. He was one of the Republic's breaking-news interns, New Times said, citing a source it did not identify.

[Hat tip, Jim Romenesko]

Indy | Employees get $1K bonuses, including union leaders who won't keep them to protest criteria

In a relatively rare event at a time of furloughs and other cost-cutting, The Indianapolis Star has given year-end $1,000 bonuses to at least dozens of rank-and-file employees, local union leaders said yesterday, according to one of my readers.

But the Indianapolis Newspaper Guild, in the midst of another fractious round of contract renewal talks that resume next month, is questioning the award criteria. And four of the chapter's leaders who got the bonuses, including President Bobby King, say they won't keep the money because of their concerns.

Crotchfelt
"Normally," they told Guild members in a memo, "this would be a cause to celebrate, and indeed we want to give the Star and Publisher Karen Crotchfelt their due credit for the holiday largess. After pay cuts and furloughs, it's a welcome change. The problem? To borrow from newspaper jargon, it's the who, what, when, where and why of it all that has raised a few questions."

It's unclear how many staffers got the awards, which the Guild says were distributed last week in not-so-discrete envelopes. The Guild estimates they went to about 25% of its members, which total 125 paper-wide. All but 13 are in the newsroom, King told me in an e-mail.

"From what we’ve been able to gather," the memo says, "supervisors were asked to nominate people for the bonuses and a management committee chose the recipients. Crotchfelt and Editor Dennis Ryerson handed out the notices last week, and in some cases, made calls to staffers who were off. The envelopes were distributed somewhat conspicuously in the middle of the newsroom. In at least one instance, a staffer was handed an envelope and told aloud -- within earshot of others who didn’t receive it -- that the envelope contained word about a $1,000 bonus."

I've posted the memo's full text here.

A time of payroll cuts
The bonuses arrived only a month after Gannett announced mandatory one-week furloughs for most employees in the U.S. community newspaper division, which includes the Star. Gannett Bloggers, meanwhile, have been speculating about another round of layoffs, possibly as soon as next month, as GCI's overall revenue continues to fall in the current quarter.

In Indianapolis since August, the Guild has been staging a noisy "Save the Star" campaign urging readers to protest earlier staff cutbacks and plans to move jobs to one of the five News Design Studio hubs that are to design and produce virtually all GCI's 81 U.S. community dailies.

The Guild has been more aggressive under King, who was elected in March.

Related: Indianapolis Monthly magazine's September profile of King.

Indy | Here's Guild memo on $1K year-end bonuses

Dear Friends,

We want to take a moment to address something that’s been circulating around the newsroom this past week, yet perhaps hasn’t reached every corner. It has created quite a bit of mystery and, in some cases, anger.

We’re talking about the notices that went out last week to a select group of Guild-covered staffers saying they would receive a $1,000 bonus in their Dec. 23 paychecks. We haven’t been given an official number of how many recipients, but it appears to be about 25% of the Guild's membership.

Normally, this would be a cause to celebrate, and indeed we want to give The Indianapolis Star and publisher Karen Crotchfelt their due credit for the holiday largess. After pay cuts and furloughs, it's a welcome change. The problem? To borrow from newspaper jargon, it's the who, what, when, where and why of it all that has raised a few questions.

From what we’ve been able to gather, supervisors were asked to nominate people for the bonuses and a management committee chose the recipients. Crotchfelt and Editor Dennis Ryerson handed out the notices last week, and in some cases, made calls to staffers who were off. The envelopes were distributed somewhat conspicuously in the middle of the newsroom. In at least one instance, a staffer was handed an envelope and told aloud -- within earshot of others who didn’t receive it -- that the envelope contained word about a $1,000 bonus.

To date, we’ve seen no criteria for how these recipients were chosen. The notices refer to Star Media’s Core Value Awards. And most people who received them thought they had won a fourth quarter award. But there was no mention of the bonuses being attached to any specific award. A few people who asked were told they “had a good year” or that they did good work on a specific project. Besides, many good performers were left out. In some cases, certain corners of the newsroom were excluded almost entirely.

Among the recipients of the bonus notices were your Guild President Bobby King, Guild Vice President Adam Yates, Guild Treasurer John Russell and bargaining team member Carl Sygiel. After some consideration, we each have decided independently that we will not keep the bonuses. We intend to put our shares into a pool to benefit the same group of people who benefited from the proceeds of last week’s bake sale, some of our staffers and their families who are struggling the most.

Why are we doing this?

As your leaders, we just don’t feel comfortable accepting this money when so many of our colleagues were excluded and the criteria so nebulous. As people negotiating your next contract, we don’t want to plant any seeds of doubt that we’re only working for some people, or for ourselves. Most of all, we want to preserve the incredible unity that the Guild has built up these past few months. That's one of the reasons we're sharing our decision. We’ve all leafletted together, marched together and worn our red together. We want everyone to be rewarded together. We are greatly concerned that these selective rewards, so conspicuously given, could create divisions and enmity. Could each of us use the cash? Absolutely. But $1,000 isn’t worth the unity of purpose we’ve worked so hard to build.

One last thing. Our action isn't intended to try and suggest what members who received these bonuses should do. So many of you are hurting financially after the last three years that you no doubt could spend this money five times over. You've worked hard. You've earned it. Everyone has. That this could have been handled with more discretion and more equity is not your fault.

As always, feel free to ask any questions.

Carl Sygiel
John Russell
Adam Yates
Bobby King

Thursday, December 22, 2011

Dec. 19-25 | Your News & Comments: Part 4

Can't find the right spot for your comment? Post it here, in this open forum. Real Time Comments: parked here, 24/7. (Earlier editions.)

Your best -- and worst! -- holiday party stories

Anonymous@10:48 p.m. writes:

I had to share this with your readers. I have been in the circulation business for 40 years. My two terms with Gannett total 17 of those years. I’m now at a fourth-generation family-owned newspaper. Last Saturday, we had an old-fashioned Christmas party. The editor asked me what Gannett used to do for their employees for the holidays. I had to think about it; then answer: laid people off. I hope everyone has a Merry Christmas and a Happy New Year.

Earlier: Awkward going-away parties for departing co-workers.

Tell us about your best and worst office holiday parties. Please post your replies in the comments section, below. To e-mail confidentially, write jimhopkins[at]gmail[dot-com]; see Tipsters Anonymous Policy in the rail, upper right.

[Image: NBC's The Office]

Reuters to NYT Co. investors: It could be worse

[Robinson's $15 million vs. Dubow's $37 million]

Departing New York Times Co. CEO Janet Robinson will get an exit package exceeding $15 million -- more than $10 million above initial estimates, Reuters says, citing "people familiar with the situation."

But even that much bigger payout pales in comparison to what Gannett's chairman and CEO took with him two months ago, when he quit for medical reasons, the news service says.

"Robinson is getting less than half of the $37.1 million in severance Craig Dubow received when he retired as Gannett's CEO in October, after six years at the helm of the newspaper publisher and amid similarly dismal financial results,'' Reuters says.

Dickey's made his tech list, and checked it twice

But what, exactly, was on that list?

U.S. newspapers President Bob Dickey says he just bought "thousands" of iPhone 4s and other mobile technology gear for Gannett's 81 community dailies. Collectively, they employ perhaps 2,500 journalists, including copy editors, reporters and all other positions.

Now, thousands is an impressively big-sounding but not very precise number. Are we talking 2,000? 10,000? 20,000?

And what's the breakdown on expensive vs. cheap for a company famous for cutting costs?

Following are the lowest retail prices (excluding monthly service charges) for a sample of devices mentioned in yesterday's memo.

How many of each do you suppose Dickey really bought?

_____ iPad 2: $499
_____ iPhone 4s: $199
_____ MiFi hotspot (Verizon): $49.99
_____ iCable dock cable (Monster): $24.95

[Graphic: Dickey as one of those annoying dancing elves]

Report: Just two or three Metromixes 'doing well'

That's according to a story in today's edition of Riverfront Times, the alt-weekly in St. Louis, where the local Metromix site was among seven were recently shut down. Katie Maassen, associate producer of Metromix St. Louis and the site's only full-time staffer member told the paper: "There are 60 sites, and only two or three were doing well."

Wednesday, December 21, 2011

Dec. 19-25 | Your News & Comments: Part 3

Can't find the right spot for your comment? Post it here, in this open forum. Real Time Comments: parked here, 24/7. (Earlier editions.)

GCI buys 'thousands' of iPhones and other devices, memo says, in ramp-up of mobile newsroom tech

Following is a memo U.S. newspapers division President Bob Dickey sent to employees today. I'm posting this from my iPhone (!), with limited Web access.

​Dec. 21, 2011

Dear colleagues:

Our journalists have earned a reputation for innovating with tools and technologies that help us deliver valuable content faster and better than ever.

Readers’ speedy adoption of new technology for news consumption creates new opportunities for us to uniquely serve them. To do so, we must ensure our journalists are equipped and trained on the tools to work in new ways.

We’re excited to announce a significant investment in our newsgathering tools. This week, we have purchased thousands of new devices for many of our journalists. These include:
In every local market, we have the most and the best journalists. These new tools will help our journalists meet the demands of the new news cycle, one that requires agility in real-time reporting, social media and greater emphasis on video storytelling, further increasing our competitive advantage.

iPhone 4S
In addition, we’ll provide the devices to create a “digital workstation” at each of our local Information Centers to monitor the content experience we provide across digital channels — tablets and smart phones, in particular. This will give us a vital point of view so we can adjust our storytelling with greater precision.

Along with the investment in equipment, there is a robust investment in comprehensive training to ensure our journalists can maximize these new tools. Taken together, the tools and training should not only make our journalists more effective at their existing work, but also enable them to do new things we can’t even imagine yet. We are counting on your inventive and pioneering spirit to push the boundaries of what we think is possible.

Equipment will begin arriving in January; training will start several weeks later. In the next few weeks, each publisher and editor will receive specific guidance on how the equipment will be distributed.

This is an exciting step forward for us. It sharpens our competitive edge. It is a key pillar of the Content Evolution initiatives. As we expand our digital portfolio in the coming months, we’ll be ready to prepare content that is truly platform-perfect. And above all, these tools support the important work of our journalists: to create unique, impactful, high-quality local content in the communities we serve.

Wishing you happy holidays,

Bob Dickey, President
Kate Marymont, VP/News
Maribel Wadsworth, Digital News Executive

Earlier: GCI wants all its newspaper reporters to start producing news videos again. Plus: Here's why.


My $10M idea
Nearly four years ago, I suggested that Corporate spend less than $10 million to equip each of the company's journalists with iPhones and the then-required two-year AT&T contracts.

Cincy | Interesting timing in Dispatch deal notice

Although Corporate announced Monday that it had reached a final agreement to shift The Cincinnati Enquirer's printing to The Columbus Dispatch, resulting in about 200 layoffs by the end of next year, the agreement was actually signed four days before, according to a new filing this afternoon with federal securities regulators.

The 8-K filing also notes that the agreement is between the Dispatch and the mammoth, new Gannett Publishing Services subsidiary, created in late September to pull together all of GCI's newspaper production and distribution into a separate entity. (I note for the first time, as well, that GPS is a limited liability company. Tax experts may weigh on on the financial implications of that status.)

Details of $60M cost
The 8-K also offers more details about severance, depreciation and other costs associated with the move, which is expected to be complete by the fourth quarter of 2012.

Corporate had previously said that closing the Enquirer's production plant would cost less than $60 million. In today's 8-K, the company says:

"The costs of operating the Columbus printing facility will be shared by the parties to the Agreement, resulting in efficiencies and costs savings for the Company.

"The transition of operations could take up to twelve months to complete. In connection with these actions, the Company estimates that it will incur between $55 million and $59 million in costs and charges. These items include severance costs and charges related to the partial withdrawal from multiemployer pension plans which together will range from $38 million to $42 million and will result in future cash expenditures. In addition, the Company will recognize accelerated depreciation charges on its current printing facilities of approximately $17 million.

"The charge for severance and pension will be recorded by the Company in the fourth quarter of 2011. The charge for accelerated depreciation will begin in the fourth quarter of 2011 and will continue over the period leading up to the start of production activities at the Columbus printing facility, which is expected to be in the fourth quarter of 2012. The pension liability determinations are not likely to be finalized for a considerable period of time, possibly in 2013, and therefore current estimates are likely to change due to interest rates, investment returns and other factors affecting the plans’ funded status."

WKYC | CBS network's Mitchell named top anchor

In an unexpected move, Russ Mitchell, anchor of the CBS Evening News weekend edition and The Early Show on Saturday, has just been named lead anchor at WKYC, the NBC affiliate in Cleveland. He starts Jan. 16, WKYC says in this story.

Mitchell
Perhaps anticipating concerns he might be a big city prima donna, WKYC quotes Mitchell, 51, saying: "I'm a Midwestern guy. I'm used to hard work. I get the weather."

In an interview with the The Plain Dealer, Mitchell said: "It's been a great run at CBS, but I miss the pulse of a local newsroom."

In his new role, he'll be lead anchor of the 6 p.m. and 11 p.m. newscasts.

Newsday's TV blogger, Verne Gay, calls Mitchell's move a "reverse promotion."

Prominent minority newscaster
"Big league anchors usually get bigger jobs, not Cleveland," Gay writes. "Not that there's anything wrong with Cleveland, by the way. But you get my drift."

Mitchell, who is African-American, is one of the most prominent minorities in network journalism, and has been with CBS about 17 years. Gay notes that he might have been short-listed to someday replace Scott Pelley as Evening News lead anchor, a post Pelley took after Katie Couric left last summer.

"But Pelley's not going anywhere," Gay says, "and now Mitchell is."

It appears Mitchell is replacing Romona Robinson, the evening anchor for 15 years, who left this month after failing to reach an agreement over a new contract.

General Manager Brooke Spectorsky tells TVSpy that Mitchell’s co-anchor will be announced soon.

TVNewser has CBS News president David Rhodes' memo, announcing Mitchell's departure.

L.A. Times fires blogging pressman Padgett

An employee for 39 years, four months and nine days, Ed Padgett wrote yesterday that the Los Angeles Times had fired him following what he termed a surprise investigation.

Padgett
His termination was effective Dec. 12, he said, and he learned about it through a phone call from human resources. "I had no clue I was under investigation," he writes, "so it came as a shock to learn I was being investigated by human resources and terminated upon the completion of the so-called investigation."

He continued: "I’m not at liberty to share why I was terminated or what my actions in response will be at this time; so stay tuned as this unfolds."

Last year, Padgett was suspended "ostensibly for writing about press room problems, then reinstated," LA Observed said in reporting Padgett's dismissal.

A Gannett Blog reader, Padgett has published his site since 2006. He was almost certainly the industry's most prominent blogging press operator.

Reports: Chicago Sun-Times said near $20M sale

A deal to sell Chicago's second-largest daily would be another sign that the long-dormant market for newspapers may have started to thaw.

Chicago Business, citing sources it doesn't identify, says today that a group of local investors led by Merrick Ventures LLC CEO Michael Ferro Jr. and Madison Dearborn Partners LLC Chairman John Canning Jr. is expected to pay more than $20 million in a deal expected to close as early as Monday, a source said.

The Chicago Tribune, meanwhile, says the deal could be announced as soon as today.

The Sun-Times' current owners rescued the paper from bankruptcy two years ago for $25 million, the Tribune says.

A deal would follow word Monday that the New York Times Co. is in advanced talks to sell its 16 regional dailies from California to Florida to private investor Halifax Media Holdings of Daytona Beach, Fla.

Salinas | GM Feinberg said out after three years

Terry Feinberg, general manager of one of Gannett's smallest dailies, the Salinas Californian, has left the paper after more than three years in that post, according to a reader and the paper's website.

In an e-mail, the reader says Feinberg was replaced yesterday on an interim basis by Advertising and Marketing Director Dana Arvig.

As I post this, Feinberg's LinkIn profile still shows he's GM, a position he's held since May 2008.

The paper's website shows a headline for today's edition: "General manager of Californian departs." Oddly, however, I'm prompted for a login and password when I click on it.

The Californian's weekday circulation is 9,037.

Feinberg's departure comes a day after another top newspaper executive announced his exit: Mark Mikolajczyk, Florida Today's publisher since 2006, said Monday he's leaving for a job as president of subsidiaries at Craig Technologies of Cape Canaveral.

The news of Mikolajczyk's leave has prompted unusually large number of Gannett Blog comments on this post.

USAT | If this is lean, I'd hate to see fat

"They have a very lean structure." 

-- USA Today describing successful editorial operations at other media companies, in Building a newsroom for the future, a guide to the paper's reorganization in August 2010. Since then, the paper has hired or promoted at least 22 general managers, vice presidents and senior vice presidents to new positions in editorial, finance, sales, and other departments. The most recent was announced yesterday.

Earlier: Portrait of Publisher Hunke as 21st Century risk-taker.