Posted tagged ‘McClatchy Company’

McClatchy reports profit after slashing expenses

May 14, 2010

(McClatchy Newspapers) SACRAMENTO, Calif. — The McClatchy Co., which owns The Kansas City Star, Belton Star Herald and Cass County Democrat Missourian, reported a first-quarter profit at the end of April and said its advertising slump is easing.
The newspaper conglomerate recorded a net loss from continuing operations, but that included one-time charges related to a major refinance of its loans. Without those charges, McClatchy earned $4.8 million from continuing operations compared
to a loss of $22.9 million a year earlier.
McClatchy said advertising revenue fell 11.2 percent from a year earlier, and total revenue was down 8.2 percent to $335.6 million. Executives with the Sacramento newspaper chain called that a marked improvement from last year, when ad revenue was plunging as much as 30 percent. As recently as last fall, ad sales were off 20 percent.
McClatchy made major cuts in staffing and other expenses, cutting cash expenses $69 million — 21% — in the first quarter, not counting severance costs.
Other newspaper chains are reporting similar results: higher profits and an easing of the revenue decline.


Gannett Wins Again with Local Banner Sales & Say Goodbye To Yellow Pages!

August 13, 2008

New info on making money with media, was just posted for your review at

Blinder Group’s Latest Client Case Study:
Two Gannett Markets Launch CPM Banner Sales Programs Resulting in Six-Digit Growth in Local Online Sales!
Mike Blinder, president of the Blinder Group was recently quoted in the International News-Media Marketing Association’s (INMA) Ideas Magazine, saying “there has been much discussion lately on the ‘death of the online banner’ as an effective advertising solution. This could not be farther from the truth. Banner sales are alive and well, and it is being proved every day at media companies all over the world.” In the past 18 months, over 2 million dollars of new, local online revenue, sold by the traditional ad reps, has been achieved with Blinder Group assistance for Gannett newspapers. Recently, two new Gannett markets asked for online sales training assistance from the Blinder Group: The St. Cloud (MN) Times, and Montgomery (AL) Advertiser.
More Information
View a Video on this Case Study.

Blinder Group Case Study Cited in Borrell Associate’s Latest Report: Say Goodbye to Yellow Pages
The Blinder Group’s recent work with McClatchy’s Tacoma (WA) News Tribune and Cox’s Palm Beach (FL) Post, was cited in the latest Borrell report. The document speaks to the “directory-killer campaign” deployed at these two newspapers, that averaged 82 percent close rates, generating close to $1,000,000 of new online revenue, with more than 70 percent of the contracts garnered coming from new Yellow Page based advertiser categories.
More Information
View a Video on this Case Study.

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Catch Mike Blinder Speaking in Your Area:
August 14th, Chicago: Inland Press Newspaper Business Development Conference
September 11th, Portland: Pacific Northwest Newspaper Assoc.(PNNA) Annual Convention
September 18th, Amsterdam: International Classified Media Assoc.(ICMA) Workshop
October 3rd, Daytona Beach, FL: Florida Press Assoc. Advertising Conference
October 8th, Minneapolis: SNA Conference
October 10th, Phoenix: Arizona Newspaper Association Workshop
October 27th, Chicago: Inland Press Annual Conference

McClatchy to cut 1,400 jobs nationwide, 120 at The Star

June 16, 2008


The McClatchy Co., owner of The Kansas City Star and the third largest newspaper publisher, said today the company will reduce its workforce by 1,400 positions nationwide.

The move — affecting about 10 percent of the company’s workforce — comes as part of a restructuring plan to “manage through today’s difficult advertising market,” the company said in a release.

A combination of voluntary and involuntary buyouts will save the company about $70 million a year, part of a plan to reduce overall expenses by nearly $100 million over the next four quarters, the company said.

The Star’s reductions include about 120 full-time equivalent positions. Reductions will occur in every division, Mark Zieman, The Star’s president and publisher, said this  morning in an e-mail to employees.

“We are confident in our ability to navigate to a stable and prosperous future as an integrated media company,” Zieman said in the e-mail.

“We remain — and will continue to be — our community’s pre-eminent and most trusted supplier of news and advertising information, in both print and online,” Zieman said.

The newspaper industry has been struggling for the past few years as advertisers have migrated to the Internet and readers have moved to the Web and other sources for news. Gary Pruitt, McClatchy’s chief executive, said in a release that the company is making a transition from a traditional newspaper company to a multimedia company.

“The effects of the current national economic downturn — particularly in real estate, auto and employment advertising — make it essential that we move faster now to realign our workforce and make our operations more efficient,” Pruitt said in the release.

“I’m sorry this requires the painful announcement we are making today, but we’re taking this action to help ensure a healthy future for our company.”

In the past, Pruitt said, McClatchy has relied on voluntary buyouts and attrition to cut staff. The strategy helped the company cut its workforce by 13 percent between the end of 2006 and April 2008, the company said.

“It’s important to recognize this move as part of a continuing, strategic vision for successful future operations, not solely a response to today’s adverse conditions,” Pruitt said.

The McClatchy Co. publishes 30 daily newspapers including The Miami Herald, The Sacramento Bee and the Fort Worth Star-Telegram. It also publishes 50 non-daily newspapers and dozens of local Web sites.

The news came as McClatchy reported this morning that overall sales for May decreased 15.1 percent from the same month in 2007. Advertising revenues were down 16.6 percent compared to a year ago.

For the first five months of the year, total sales dropped 14.2 percent and advertising revenues declined 15.4 percent.

In early trading today, shares of McClatchy were down 1.8 percent, or 15 cents, trading at $8.

K.C. Star names Zieman publisher

March 31, 2008

Mark Zieman, editor of The Kansas City Star since mid-1997, has been named publisher of the newspaper.
He succeeds Mac Tully, who resigned in February to join Denver-based MediaNews Group.
The McClatchy Co., The Star’s owner since early 2006, appointed Zieman, who served as in-
terim publisher since Tully’s departure. Zieman said he would hire an editor to replace him as soon as possible.
Zieman, 47, joined The Star in 1986 after working in the Houston bureau of The Wall Street Journal for two years.
In 1989 he became editor of The Star’s projects desk, where he oversaw an examination of the U.S. Department of Agriculture that won a Pulitzer Prize in the spring of 1992.
He became managing editor for news in 1992 and was promoted to editor of the newspaper five years later.
—The Kansas City Star

STAR reports publisher Mac Tully headed to Denver

January 28, 2008

Star publisher to leave; editor named interim publisher

Mac Tully and Mark Zieman
Mac Tully and Mark Zieman

Mac Tully, publisher of The Kansas City Star since 2004, is leaving the company.

Tully said today he was taking a job with Denver-based MediaNews Group, which owns and runs 57 daily newspapers in 12 states.

Mark Zieman, editor of The Star since 1997, was named interim publisher.

Bob Weil, vice president of operations for The Star’s owner, McClatchy Co., said the newspaper chain had started a search for a new publisher. Zieman is among those being considered, Weil said.

Tully, whose newspaper career began in The Star’s advertising department in 1978, became publisher of the newspaper Jan. 1, 2005. Before that he was a top executive with Knight Ridder Inc., then the owner of The Star.

Before that, he served for three and a half years as president and publisher of the Bradenton Herald in Florida. He was publisher of the Arlington Star-Telegram in Texas, an edition of the Fort Worth Star-Telegram, before moving to Florida.

Tully announced his impending departure at a gathering of Star employees shortly after 11 this morning. He praised McClatchy as one of the best newspaper companies in the country. Tully said he was leaving because MediaNews had offered him an opportunity “too difficult to say no to.”

“One of the things that makes me feel a little better about leaving is that the current management structure is very strong,” Tully told employees.

Before being named editor of The Star, Zieman was managing editor for news at the newspaper for five years. He worked in the Houston bureau of The Wall Street Journal from 1984 to 1986, writing about aviation and real estate, and joined The Star in 1986.

In 1989 he became editor of the projects desk. During his tenure, that department produced an award-winning series about businessman Frank Morgan and an examination of the U.S. Department of Agriculture, which won a Pulitzer Prize in the spring of 1992.

Weil called Tully a “terrific steward” of the newspaper and said he was “profoundly disappointed he’s leaving.”

“Mac’s decision to leave was recent and I found out about it recently, so we don’t have a plan to name a successor,” he said. “We’ll begin our search immediately.”

Weil said McClatchy had a lot of confidence in Zieman, who he said would be a candidate for the publisher job.


| The Star