Abstract

A century of profitable relationship existed between Publishers, Advertisers and Journalists. New and competitive start-ups of a daily newspaper were few because they required huge capital outlays for printing, finishing and delivery equipment. Today the Internet has fundamentally changed this alliance. The world does not need a daily newspaper but there is still a great demand for accurate and appealing content by the journalists and for lucrative advertising revenue.

Steep decline in print advertising and audience in the last three decades have caused continuous red ink on the balance sheets of the publishers. In some G-8 Countries, the only daily newspaper in town has gone out of business. Please refer to Newspaperdeathwatch.com for the list. Here is a small window on the debt situation of very large U.S. daily newspaper publishers: Gannett Co. US$1.26-billion, McClatchy Co.