McClatchy's November Revenue and Circ Slide (Dinosaur Media DeathWatch™)

Editor & Publisher ^ | December 6, 2006 | Staff

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SACRAMENTO Newspaper publisher McClatchy Co. said Wednesday its total November revenue dropped 4.3 percent due to lower advertising and circulation sales.

Revenue for the month totaled $237.1 million compared with $247.7 million in the prior-year period, which included pro forma revenue from newspapers added in the Knight Ridder acquisition.

Advertising revenue sagged 4.7 percent to $202.6 million from $212.7 million a year ago, while circulation income of $27.2 million was off 3 percent from last year's $28 million.

Online ad revenue gained 6.1 percent to $15 million compared with $14.1 million in the prior-year period.

Average paid daily circulation slid 2 percent, while Sunday deliveries were down 3.7 percent.

McClatchy expects pro forma ad sales to be lower during the first half of next year.

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GONE WITH THE WIND - 2006

"There was a land of Publishers and Editors called the Newspaper Business... Here in this pretty world Journalism took its last bow... Here was the last ever to be seen of Reporters and their Enablers, of Anonymous Sources and of Stringers... Look for it only in books, for it is no more than a dream remembered. A Civilization Gone With the Wind..."

With apologies to Margaret Mitchell...

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Ping

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I'd never buy their papers, but I do see the headlines where it is sold. After the ''we deserve what we haven't worked for'' march by illegals the paper came out with article after acticle of how abused and mistreated illegals are. Do they think illegals buy their paper? It's middle class Americans who support newspapers, so they continual alienate their base. Let them go under and open taca trucks.

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Press release here. Lots and lots of negative numbers...

http://biz.yahoo.com/prnews/061206/sfw005.html?.v=74
McClatchy Reports November 2006 Revenues

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Pruitt Says KR Integration Going Well -- But 'Awful' Timing
Gary Pruitt


By Jennifer Saba

Published: December 06, 2006 11:00 AM ET

NEW YORK At this morning's 2007 outlook session for analysts and investors at the annual Media Week gathering in New York City, McClatchy CEO Gary Pruitt denied rumors that his company might soon go private. He also answered questions about how his company is doing after its major Knight Ridder purchase earlier this year. "The integration has gone well," he replied. "What's gone bad is the timing."

He was referring to the severe downturn in the advertising market since the big acquisition, which he said "awful." But he added that McClatchy had realized $60 milion in savings due to corporate and newspaper synergies and could realize more in a new digital strategy but won't know more until 2008.

"We see more savings building over time," he said, hinting at cuts to come. Earlier in his presentation, Pruitt said, "We must re-align cost structures...We're not going to shy away from such ddecisons. We're a tough-minded company."

He said, "We will continue to evaluate staffing as the business evolves." Year-to-date through November the number of fulltime employees is down 3.3%.

Through November ad revenue was up 0.1%. "Not very much," he quipped, "but still up." Interestingly, the 20 former KR papers were up .4%, while the legacy McClatchy papers were down .4%.

Circulation continued to slide a bit, and he said the circulation strategy he inherited at the KR papers was "very erratic." He said those papers have been embracing McClatchy's new strategies, however.

Pruitt addressed an audience member who pressed him on whether McClatchy was going to go private. Rumors had been circulating. Pruitt admitted, "I tried my best to be consistent but failed miserably," in discussing this subject previously. "We have no plans to go private, no plans whatsoever." He views it as a longterm strategy, several years down the road: "It's an arrow in our quiver."

Another audience member asked why the overall industry seems to be waffling on what it focuses on -- shifting from print circulation to readership to "total audience" (adding print and Web readers). The questioner asked if the ad world was going to really buy total audience? Pruitt said that print circulation would always be a relevant figure. He admitted the industry had not done a good job in selling total audience.
Jennifer Saba is an associate editor.


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[Miami Bassist]

The pro-left and pro-homosexual Miami Herald is one of their rags. But on a positive note, it does make a great parakeet cage liner.

[Grampa Dave]

Harry, the McClatchy's Fishwraps are barely quivering now. Lets go eat their eyeballs for an appetizer and have Rump of Rather as the entree with a beak of Perkie Katie ala mode for dessert.

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How about tongue of Pinch...

[TenthAmendmentChampion]

Advertising revenue sagged 4.7 percent to $202.6 million from $212.7 million a year ago, while circulation income of $27.2 million was off 3 percent from last year's $28 million.

So overall, the revenue for the dead tree version declined by almost $11 million.

Online ad revenue gained 6.1 percent to $15 million compared with $14.1 million in the prior-year period.

For the electronic version, revenue increased by $900,000. Overall net revenue declined by $10 million.

If the revenues from paper version continues to sag, eventually they will have to give up printing and distributing newspapers due to continued rising labor, fuel and paper costs.

But the online version doesn't seem capable of generating enough revenue to make up the difference. The dollar figures are way too low, and when you visit the Bee web pages, they are saturated with ads already. All to support the DNC...