A lot of write-downs from the nation’s publicly-held newspaper companies of late, but none as big as Gannett’s $3 billion whopper, planned for Q2. Gannett (USA Today) is the nation’s largest newspaper company, but we’re told this write-down, which represents 19% of the company, isn’t about the ailing US business. It’s about the declining value of a chain of 17 papers … in the UK.
Specifically, some of the same conditions hitting papers in the U.S. are inflicting pain in the UK, including a nose-dive in the real estate market and the associated classified advertising that went with it.
Shares in Gannett (CGI) have lost half their value over the past year.
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