Parts Of The NY Times For Sale?
January 29, 2009 at 5:14 AM (PT)
The NEW YORK TIMES, which is scrambling to raise cash after downplaying its debt woes, reported a steep plunge in profit and said it hired an investment bank to sell its stake in the BOSTON RED SOX, reports THE NEW YORK POST. Fourth-quarter earnings fell 48% as print advertising continued to deteriorate. In another troubling sign, ad revenue from its Internet businesses, including the flagship site and ABOUT.COM, declined for the first time after years of growth.
The TIMES, which owns Classical WQXR/NEW YORK, and whose papers include the BOSTON GLOBE and THE INTERNATIONAL HERALD TRIBUNE, is confronting the worst ad market in decades and deadlines to pay back millions of dollars in the next couple of years. Whether WQXR would be sold is the subject of many rumors.
Yesterday, the company disclosed another potential cash pitfall: Its pension plan is facing a shortfall of $625 million, compared with just $48 million a year earlier, because of the tanking stock market.
If the markets don't recover in the near future, the TIMES may have to kick in millions more in cash to prop up the plan as early as 2010, analysts said.