SALON: 'MAY NOT BE ABLE TO CONTINUE AS A GOING CONCERN'

Yahoo ^ | 6/26/02

[Brian Mosely]

'MAY NOT BE ABLE TO CONTINUE AS A GOING CONCERN': As of March 31, 2002, SALON.COM had an accumulated deficit of $76.6 million...

[aardvark1]

It's a clear example of the difference between free enterprise and socialism. The folks at Salon think they're entitle to a "fair" wage simply because they breathe no matter the quality of their product. So they just keep taking and taking but no one's buying.

[tdadams]

Man, I'm really going to miss Salon.con - er, I mean Salon.com.

[NotJustAnotherPrettyFace]

Syrupy violin music heard playing in the background.........

[Steve_Seattle]

I think we need a congressional investigation to determine where the money went, who benefited from it, whether investors were screwed, what management knew and when they knew it, etc.

[fuzzthatwuz]

"I think of all the Salon freelancers who took stock options in lieu of pay."

Bet some of them will lean more towards conservativism in the future. You noted that Salon stock had stabilized (.10); have you seen their financials? Talk about dismal!

[eureka!]

Yes it is a German word essentially meaning taking pleasure in the misery of others. I experience it every time I see the lying left, whether a politician or presstitute, take a hit. As to your other comments, times have indeed changed...

[Drango]

As of 11:22 there has been zero trading of SALNC...

Is this the Final Death Watch?

[Drango]

My bad...4,000 shares has been traded. On a normal day volume is 33,863.

[Drango]

Deathwatch ping

[Rollee]

Hot diggity dog!!

[RetiredArmy]

Should have gotten Arthur Anderson to keep their books. Maybe slick can give them a loan.

[Timesink]

Wednesday June 26, 1:29 pm Eastern Time

Reuters Market News
Salon auditors have doubts company can stay in business

PALO ALTO, Calif., June 26 (Reuters) - Salon Media Group Inc (Nasdaq:SALN - News), the struggling online magazine, has received a notice from its auditors expressing substantial doubts about its ability to continue as a going concern.

In a filing with the Securities and Exchange Commission, the company said the auditor's opinion was based on its history of losses.

The company, which was formed in 1995 and has won numerous journalism awards, has never made a profit and recently has suffered steep declines in advertising revenue.

In the filing it said its net revenues in fiscal 2002 fell 50 percent from the prior year, to $3.6 million, while its advertising revenues dropped 68 percent to $1.9 million. This was partly offset by the addition of new subscription revenues, which contributed $1.2 million in the fiscal year.

Salon recorded a net loss attributable to common stockholders of $11.3 million, or 83 cents a share, for the fiscal year ended March 31, 2002. That compared with a loss of $19.2 million, or $1.48 a share, in the fiscal year ended in March, 2001.

Salon also recorded a loss of $33.4 million, or $3.63 a share, for the fiscal year ended March 31, 2000.

The company said in the filing that it believes it will incur negative cash flows from operations for fiscal 2002, and may not be able to meet its projected positive cash flows from operations for the fourth quarter of fiscal 2003. The company cited the "rapid and unexpected deterioration" of the general business climate.

The media company's auditors are PricewaterhouseCoopers (PWC.UL).

[CaptRon]

I asked the same questions about my ex-wife...

[jpl]

I'll bet that some wealthy, anonymous radical will float them a few more million dollars out of pity, just like the last time they were on the edge of bankruptcy.

[operation clinton cleanup]

SALON: 'MAY NOT BE ABLE TO CONTINUE AS A GOING CONCERN'

My only CONCERN is they CONTINUE GOING. Talk about beating a dead horse!

[Timesink]

see above for more concise news story

To find all articles tagged or indexed using Salon Deathwatch, click below:
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[steve-b]

SALON.COM had an accumulated deficit of $76.6 million...

How on God's green earth does some webzine blow through $76,600,000?

[Stand Watch Listen]

[Petronski]