US - Earnings fall at three major newspapers

Look at the reasons given.

NEW YORK (Reuters) - New York Times Co. (NYT.N: Quote, Profile, Research), McClatchy Co. (MNI.N: Quote, Profile, Research) and Tribune Co. (TRB.N: Quote, Profile, Research) on Thursday posted sharply lower quarterly earnings on high newsprint costs and depressed advertising sales.

The results from the three large publishers underscored the troubles faced by the industry, including circulation declines, high costs and competition for advertising money from the Internet and other new media.

For the first quarter, net income fell 14 percent at McClatchy, 28 percent at Tribune and 69 percent at New York Times Co., which had taken a big gain in the year-earlier period.

I'd say the New York Times credibilty problems may be another reason for the circulation declines.
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