Belo Plans to Cut 250 Jobs In Wake of Circulation Scandal(Dallas morning news)

WSJ ^ | 09/29/04 | DOW JONES

[Pikamax]

Belo Plans to Cut 250 Jobs In Wake of Circulation Scandal

DOW JONES NEWSWIRES September 29, 2004 11:56 a.m.

Belo Corp. said it will cut 250 jobs, or 3% of its work force, mostly at the Dallas Morning News, as the media company works to regain its financial footing after a circulation accounting scandal at its flagship Dallas newspaper.

The publisher said the completed internal investigation showed the projected circulation decline at the newspaper would be slightly steeper than previously forecast. Belo also intends to cap salaries and cancel bonuses for senior managers.

Belo said it can't yet estimate the extent of charges it will take on layoffs, restructuring and advertising reimbursements as a result of the circulation overstatements, but the company estimates that third-quarter earnings before charges will fall within the current range of analysts' estimates. The Thomson First Call survey of analysts produced estimates ranging from 14 cents to 31 cents a share for Belo in the third quarter.

[pikachu]

The 'Morning Snooz' has been dropping off free papers at my house and I'm sure they are using that to bump up their numbers.

[xJones]

Shocking, just shocking.:)

The Dallas Morning News is so liberal it hurts to look at it. Gay causes, Muslim angst, Kwanzaa celebrations and other causes that mean nothing to the vast majority of Texans are of vital interest to so many of their reporters. They've cut themselves off from the main stream.

[far sider]

More casualties of the Bush economy, of course.

[Let's Roll]

Yep.

Lived in Irving for more than 20 years - the decline of this once at least acceptable newspaper was quite obvious over those years.

Now they're reaping what they deserve. Of course they will blame everything except content for the decline in circulation.

I've heard the Houston Comical is even worse but can't say first hand.

[BluSky]

"The publisher said the completed internal investigation showed the projected circulation decline at the newspaper would be slightly steeper than previously forecast."

First comes the sugar-coating now the shoe drops. May they 'wither on the vine', to borrow a phrase.

The day will not come soon enough when these liberal 'rags' purge themselves and fold, to be replaced by news conservatives and main-stream America see as relevant.

[Wallace T.]

Newspapers are largely supported by middle class or better readers, who patronize the automobile dealers, department stores, groceries, etc., whose ads are the mainstay of revenues. Compared with The New York Times or The Los Angeles Times, the Dallas newspaper does not seem so liberal. In fact, their main print competitor is The Observer, which would be regarded as being liberal in about any market. However, the white middle and upper middle classes in the Dallas area are much more conservative than their counterparts in the Northeast, the Great Lakes area, or the West Coast. Suburban Collin and Denton Counties regularly turn out 2:1 or better majorities for GOP officeholders. The same holds true in the better off suburbs in Dallas County. Not all of these Republican voters are ideological conservatives, but enough of them are to have a negative impact on The Dallas Morning News circulation.