S&P: More Newspapers Bankruptcies in 2009

Newspaper publishers may face more bankruptcies this year as ad sales at newspapers decline almost 20%, said Standard & Poor's analyst Emile Courtney at the McGraw-Hill Media Summit. Gannett and The New York Times Co. aren't likely candidates for bankruptcy, he said, but he didn't identify which publishers are.

Courtney also said the switch to online-only "is very difficult" for papers because the Web generates just 10% of total revenue for most newspaper publishers. Courtney further warned that newspapers have a "limited market" for asset sales. - more

No comments: