An 82% Drop In NY Times Profit Earnings: Why?

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New York Times Chief Executive Janet Robinson blamed her company’s profit decline to the “US economic slowdown and secular forces playing out across the media industry.” Considering the sluggish business climate, she meant, the newspaper incurred high operational expenses and it lost some of its profit-generating advertisers.

New York Times Co. says its second-quarter earnings fell 82 percent from the year-ago quarter boosted by a one-time gain. Meanwhile, print advertising revenue continued to shrink.

The New York-based newspaper publisher says its quarterly net income dropped to $21.1 million, or 15 cents per share, which included 11 cents per share in buyout costs.” Breitbart.com/AP (07/23/08) Photo Credit: AP/Lennihan, M.

The National Association of America (NAA) likewise reported newspaper industry’s sharpest fall in print classifieds in decades, needing the boost of internet ads revenue to counter losses. In the first quarter of 2008, total ad revenues for newspapers amounted to $804 million, a 7.2 percent rise over Q1 2007’s $750 million. But this is lower than the 22% growth rate from the previous year. ClickZ Network (06/16/08, Kaye, K.)

There’s more to the drop in NY Times earnings than what the eyes can see. Critics say the newspaper has pandered heavily to the anti-American agenda of the secular progressives, leftists, and liberals who tolerate bias and unbalanced reporting. The newspaper isn’t the kind that subscribers have been used to reading. This certainly causes alienation particularly among disappointed conservatives who expect non-partisan coverage and fairness in reporting.

A number of subscribers dropped out of advertising and readership, disillusioned by the perception that the newspaper is “biased, anti-American, and rabidly anti-Pres. George W. Bush.” There are those who complain NY Times gives lop-sided coverage for Barack Obama’s campaign in the current presidential race to the disadvantage of John McCain whose OpEd has been refused publication by the newspaper.

In 2003, there was Jayson Blair who resigned from the newspaper after being caught of plagiarism and fabrication. A few months ago, it printed innuendoes implying infidelity and wrongdoing in an unsubstantiated McCain-Vicki Iseman “affair.” The newspaper came up with the worst discouraging assessments about the Iraq War which made readers feel someone in America wanted the United States to fail. =0=

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