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Current DateTime: 01:58:48 24 Nov 2009
LinksList Documentid: 31765984
Expiration DateTime: 11/24/2009 2:00:04 AM
    • Looking Left  23 Nov 2009

        CNBC's Julia Boorstin looks at the weekend's box office and Twilight's gigantic "New Moon" opening. She also discusses California's looming unemployment insurance crisis and a waiting list for pro football in Los Angeles.

    • Microsoft-Murdoch Scheme  23 Nov 2009

        Microsoft is reportedly talking to News Corp about teaming up on a search plan that would withhold content, including the Wall Street Journal, from Google, with Matthew Garrahan, Financial Times correspondent, and CNBC's Julia Boorstin & Bill Griffeth.

    • Inside Paramount Pictures  20 Nov 2009

        Discussing Viacom's Paramount Pictures strategy, with CNBC's Julia Boorstin and Brad Grey, Paramount Pictures.

    • Oprah Show to End in 2011  19 Nov 2009

        CNBC's Julia Boorstin has the details on Oprah Winfrey's decision not to renew her contract with CBS syndication.

    • Kids and Finances  13 Nov 2009

        A look at some of the stories of several inner city teens trying to become the business leaders of tomorrow, with CNBC's Julia Boorstin.

    • Iger Talks Earnings  13 Nov 2009

        Highlights from her interview with Disney's chief Bob Iger, with CNBC's Julia Boorstin.

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Current DateTime: 01:58:49 24 Nov 2009
LinksList Documentid: 31625651

Media Money

Text Size
Oct.29
3:27 PM ET
Wednesday, 29 Oct 2008
Advertising's Latest Publishing Industry "Victims"

The financial downturn comes at a particularly tough time for the advertising industry, which now faces a perfect storm of economic downturn and the transition away from traditional ads towards the internet.

Overall ad spending is expected to drop about five percent in 2009, to a remarkably low percentage of the national GDP. The sector that will be hit the hardest, is publishing—a point I've been reiterating for months.

News of cutbacks at newspapers and magazines on Tuesday alone was simply remarkable. Time Warner [TWX  Loading...      ()   ] Time Inc. magazine division is cutting 600 jobs. The Christian Science Monitor is stopping publishing a weekday paper, the 100-year-old organization shifting to a web-only format. Gannet[GCI  Loading...      ()   ] , the nation's largest newspaper publisher, is laying off 10 percent of its workforce, about 3,000 people. On Monday the Tribune Company,[TRB  Loading...      ()   ] taken private last year by Sam Zell, said it will cut 75 more people from the Los Angeles Times staff, now reducing it to half its size a year ago.

To try to compensate for lower ad sales, newspapers are raising newsstand prices and stopping delivery to less profitable customers. This has resulted in most of the largest U.S. newspapers showing a decline in print circulation in the six months between April and September.

Gannett attributes half its 5.5 percent weekday circulation decline to the publisher's decision to stop delivering to customers more than 200 miles or so away. Newspapers insist it isn't all bad news, that they're focusing on high quality paid subscriptions, and many publishers say they're reaching more readers thanks to the addition of online. Online ad sales will be crucial for papers to help compensate the decline of other ad sales. Next year could still be a bit of a bloodbath for newspapers, but they'll all be looking to the future in their online presence.

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Current DateTime: 01:19:40 24 Nov 2009
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