Salon Down to Last $1.5M in Cash

Associated Press ^ | Thursday, June 27, 2002

[Dog Gone]

SAN FRANCISCO (AP) -- Online magazine publisher Salon Media Group Inc. faces the prospect of going out of business if it can't raise more money this summer, according to documents filed with the Securities and Exchange Commission.

As of March 31, San Francisco-based Salon said it was down to its last $1.5 million in cash -- enough to keep its business running for three or four months, according to the company's annual report to shareholders.

Salon's precarious position prompted the company's auditors, PricewaterhouseCoopers, to conclude there is ``substantial doubt'' about its prospects for survival.

The auditor's warning threatens to make it even more difficult for Salon to raise money, the company said.

In its SEC filing, Salon also acknowledged its history of past losses poses a fund-raising hurdle. Since its 1995 inception, Salon has lost $76.6 million, including an $11.3 million setback in its most recent fiscal year ended March 31.

Salon has been trying to boost its revenue by offering a subscription service that excludes advertising and gives readers to more stories. Through March 31, Salon had signed up 35,100 subscribers who paid $1.1 million in fees during the company's last fiscal year.

Shares of Salon were down 3 cents to close at 6 cents Thursday on the Nasdaq Stock Market. Nasdaq has warned Salon its shares will be delisted unless the stock rises to at least $1 by Aug. 13.

[anniegetyourgun]

HAHAHAHAHA!

[Senator Pardek]

And yet another plot is filled in the Enemies of Free Republic Graveyard...

BOO!

[Richard Kimball]

If they've got any sense, they'll divide up the last 1.5 million and pull the plug. Wow. Can you imagine throwing away 76 million dollars like that?

[lelio]

Since its 1995 inception, Salon has lost $76.6 million, including an $11.3 million setback in its most recent fiscal year ended March 31.
That's about $10M a year. I can't see how it costs more than $3M a year to run this site, $1M for infrastructure, $1M for staff salaries, $1M for freelance articles. They must be paying their executive 'talent' mucho bucks. Course they probably have huge staff costs too.

[keithtoo]

$0.06!!Blahhhahhahahahahh!

[APBaer]

"Salon Down to Last $1.5M in Cash"

I thought it said SALOON, and I thought I had found where my money had gone.

[mondonico]

Circling the drain...I wonder if some lefty millionaire will step in and save it.....

[Brett66]

Burn, baby burn.

[Ragtime Cowgirl]

Ha, nothing. This is some expensive free PR courtesy of AP.

[LowOiL]

Time for another Liberal Group to pour some more money in this bottomless money pit. Perhaps they could show kiddie porn for those that pledge a monthly fee of 50 bucks a week.

Maybe they could champion their new anti-God pledge for a fund raiser.

[Grampa Dave]

Good News!

How many shares do they have?

I have this little dream that we buy them out for 1-2 cents per share. We raise the money in special Freepathon that lasts 1 hour.

Jim Rob and John Rob fly in to the headquarters and have movers cart away all of their equipment while security guards march these leftist clymers to the curb. All these clymers get as a separation package is a big black garbage bag to pack up their belongings to get out of the office.

Jim and John close up Salon.com and break out a bottle of bubbly and pose for instant photos on Free Republic. Jim gives the salute to Salon.com former headquarters as his limo takes him away! Jim and John can be heard singing, "Another one bites the Dust!"

[RightWhale]

Salon has lost $76.6 million

Hard to imagine spending that kind of money on a webpage.

[BansheeBill]

I say take the 1.5 Mill to Vegas and put it on the Red.

[Billy_bob_bob]

I've got a better, cheaper and much more humilating idea.

Simply wait until they go bankrupt, then buy their url (www.salon.com) at the auction (probably worth maybe a few grand, if that), and then set up www.salon.com to redirect to www.freerepublic.com - if that isn't dancing on the coffin I don't know what is. Could you imagine the look on the face of the average lefty when he goes to access salon.com and ends up getting freerepublic over and over?

Revenge is a dish best served chilled, with a nice wine on the side.

[Tacis]

Anyone have the odds? My bet is that with typical ultra-leftist, extremist liberal "you gotta break some eggs to make an omelet," Salon will declare banruptcy so as to screw all employees out of salary due them, especially unused vacation, which, in the People's Republic of Kalifornia, is considered wages and, otherwise, due at the time of termination.

Perhaps, if anyone bothered to read Salon, we can put together an amusing retrospective of the most flaming moments of Salon's deservedly brief and undistinguished history.

[Grampa Dave]

That is great!

May I recommend a nice bottle of Merlot to go with that entree of Revenge.

[LonePalm]

Simply wait until they go bankrupt, then buy their url (www.salon.com) at the auction (probably worth maybe a few grand, if that), and then set up www.salon.com to redirect to www.freerepublic.com - if that isn't dancing on the coffin I don't know what is. Could you imagine the look on the face of the average lefty when he goes to access salon.com and ends up getting freerepublic over and over?

Who do I make the check out to so we can get the domain name?

Garde la Foi, mes amis! Nous nous sommes les sauveurs de la République! Maintenant et Toujours!
(Keep the Faith, my friends! We are the saviors of the Republic! Now and Forever!)
LonePalm, le Républicain du verre cassé (The Broken Glass Republican)

[jdontom]

Just went over and viewed their web site, nothing about their inpending doom. All about Ann Coulter, W, and every (Quote) Right Wing Waco groupe. What a crappy web site.

No wonder their going under, they even like the idea of under God struck from the Pledge.

This is a Left Wing Waco Minority site.

[Dog Gone]

Hey, are you sure you won't miss articles like this?

When right-wing fembots attack