Bloomberg reported yesterday:
New York Times Co., the third- largest U.S. newspaper publisher, will consider cutting its dividend after reporting a loss on severance costs and a steeper drop in advertising sales.The rest of the story’s here.
The payout will be reviewed ``to determine what is most prudent in light of the overall market conditions,'' Chief Executive Officer Janet Robinson said today in a statement. Standard & Poor's cut its debt rating on New York Times to junk after the results, increasing the pressure on the company to reduce the dividend that pays the controlling Ochs-Sulzberger family $25.1 million a year.(emphasis added)
If you’re so cash strapped now you can’t afford even the NYT’s junk bonds, don’t be downcast.
The Times has plenty of junk you can have at no cost.
Yesterday, for example, as Standard & Poor’s was downgrading its bonds, the NYT published its editorial page endorsement of Sen. Barack Obama.
That endorsement, which the paper considers its “official” endorsement, comes months after the paper began publishing Obama endorsements in its news columns. The Times' officially terms those endorsements “news articles.”
Hat tip: BN