http://www.mediaweek.co.uk/news/index.cfm?fuseaction=details&nNewsID=558916United KingdomThe Financial Times is apparently in the pink circulation wise – boasting an 8.3 per centincrease year-on-year to 462,235. This was by far the best performance <strong>of</strong> any national dailyand a turnaround from the FT’s steady decline <strong>of</strong> recent years. A closer look at the datareveals, however, that the FT’s core UK and Ireland sale is continuing to decline – down to132,699 from 137,287 a year ago. And this is despite several thousand more give-awaycopies, or bulks, on the UK figures than a year ago – these now total 32,370. The FT’s growthis coming from its overseas editions – about which we have less detailed audit information.Circulation <strong>of</strong> the US edition has increased to 147,437, compared with 125,104 a year ago,and the Asia edition has gone up from 35,242 to 46,602. Elsewhere, the daily newspapers hada tough month. The red-top market declined by 4.26 per cent year-on-year to a total sale <strong>of</strong>6,026,742; the mid-market titles by 3.11 per cent and the quality mornings by 0.65 per cent.The Guardian’s berliner size relaunch last September may have won it a string <strong>of</strong> awards –but sales wise the benefits are now drying up. It slipped back 1.38 per cent month-on-monthand was up just 1.93 per cent year-on-year to 374,580 – a long way short from its historic400,000 bedrock sales figure. In the Sunday market, the heavily promoted Independent onSunday and Observer stand out with remarkable double-digit growth performances: the IoSwas up 22.92 per cent year-on-year to 258,368 and The Observer just above the half millionmark thanks to a 11.12 per cent increase. The Sportsman, Britain's first new national dailynewspaper in 20 years, achieved a launch circulation <strong>of</strong> 21,819. Sportsman chairman JeremyDeedes said: "We are encouraged by April's sales figure in a month when sales were asecondary concern to promotion and visibility. "Now we know exactly where we are, we canembark on sales beyond the newsstands themselves — like the foreign gambling centres,corporate hospitality and direct to the racing and betting industry as we gear up for the allimportant<strong>World</strong> Cup. We are also steadily improving the distribution <strong>of</strong> the paper." Sales <strong>of</strong>established betting daily, the Racing Post, were down 4.55 per cent year-on-year to 81,228.http://www.pressgazette.co.uk/article/120506/us_financial_times_newspaper_circulation_pink; 12 May 2006United States <strong>of</strong> AmericaMedia-entertainment giant News Corp. said its most recent quarterly pr<strong>of</strong>it more than doubledto 820 million dollars, led by strong growth in its Fox television and cable operations. Theresults were also boosted by a gain on the sale <strong>of</strong> its investment in Mexican satellite entityInnova, which reaped 206 million dollars. The New York-based company, formerlyheadquartered in Australia and headed by Rupert Murdoch, said net income in the third fiscalquarter to March 31 amounted to 26 cents a share. Analysts had expected on average a pr<strong>of</strong>it<strong>of</strong> 20 cents per share excluding special items. Revenue rose 3.3 percent from the same perioda year ago to 6.20 billion dollars. News Corp. said operating income in the cable unit rose 23percent on increased affiliate revenue at the Regional Sports Networks and advertisingstrength at Fox News Channel. In broadcast television, operating pr<strong>of</strong>its rose 29 percent onimproved ratings at the US-based Fox network and advertising growth at Asia-based STARTelevision. In film entertainment, including Twentieth Century Fox Studios, pr<strong>of</strong>its dippedslightly to 225 million dollars, reflecting the record strength a year earlier <strong>of</strong> homeentertainment sales <strong>of</strong> film and television titles. Murdoch said he was optimistic aboutInternet properties, including the recently acquired MySpace social networking website. "Thisquarter also saw accelerated progress in our new media evolution," he said. "MySpaceexpanded to over 70 million registered users, solidifying its prominence as one <strong>of</strong> the fastestgrowing sites on the Internet. We also launched Mobizzo, a comprehensive new destination8
for mobile content, putting us in the vanguard <strong>of</strong> this exploding new platform." Print businessoperating income declined nine percent as double-digit growth in magazines and inserts was<strong>of</strong>fset by the absence <strong>of</strong> TSL Education business, sold in October 2005. News Corp. is theumbrella company for an empire chaired by Murdoch that includes the Fox studios andtelevision operations, London-based satellite TV company BSkyB, newspapers including TheTimes <strong>of</strong> London, New York Post, The Australian and other publishing and media operations.Murdoch and his relatives control about 30 percent <strong>of</strong> News Corp. common shares. AFP; May10, 2006United States <strong>of</strong> AmericaThe New York Times Co. said that it expects lower pr<strong>of</strong>its in the first quarter and reporteduneven advertising results for February amid weakness at its New England media group,which includes The Boston Globe. The company, which also publishes the InternationalHerald Tribune and a group <strong>of</strong> regional newspapers, forecast net income <strong>of</strong> 22 cents to 24cents per share, which includes estimated costs for job cuts <strong>of</strong> 3 cents to 4 cents per share.Excluding the charges, analysts polled by Thomson Financial had expected earnings <strong>of</strong> 29cents per share. In same period a year ago, the company had net earnings <strong>of</strong> 76 cents pershare, which included a special gain <strong>of</strong> 46 cents per share from the sale <strong>of</strong> its currentheadquarters and another property. The company also said it was reviewing its joint-ventureinvestments and might have to take an impairment charge in the first quarter, which wouldfurther lower earnings. The Times said that advertising trends in February were uneven acrossits properties, with gains at its flagship paper and regional papers as well as its onlineproperties, but weaker trends in New England, where print advertising suffered fromconsolidation among its advertisers and "spotty" economic growth in the Boston area.Overall, advertising revenues across the Times company rose 3.7 percent in February, whiletotal company revenues rose 3.4 percent compared with the same month a year ago.Excluding About.com, which the Times acquired in March 2005, ad revenue edged up 0.6percent in February, and total company revenue increased 1.2 percent.http://biz.yahoo.com/ap/060322/new_york_times_outlook.html; March 22, 2006United States <strong>of</strong> AmericaGannett, the largest U.S. newspaper publisher, said its earnings fell 11 percent in the firstquarter as advertising revenue dropped at its newspapers, including the flagship USA Today,and expenses rose alongside high newsprint costs. Gannett, which also publishes about 90other daily newspapers and runs 21 television stations, said net pr<strong>of</strong>it for the first threemonths <strong>of</strong> the year fell to $235.3 million from $265.7 million a year earlier. "It's a toughmarket," said Tom Russo, partner at Gardner, Russo & Gardner, a fund manager based inPennsylvania. "<strong>Newspapers</strong> have to work hard to sustain their traditional share <strong>of</strong> advertisingbecause there are more alternatives today." Revenue rose 6.5 percent to $1.88 billion, Gannettsaid. The sales increase was mainly due to the consolidation <strong>of</strong> The Detroit Free Press, whichGannett acquired from Knight Ridder in August. But revenue growth was undercut by higherreported operating expenses, which increased 10.8 percent with the higher newsprint coststhat have taken a toll on much <strong>of</strong> the industry. Gannett is among the first <strong>of</strong> the major U.S.newspaper companies to report earnings, after a quarter in which the industry continued to behurt by advertising money moving to the Internet, declining circulation, and higher costs forenergy and newsprint. Gannett said that advertising revenue at its flagship USA Todaydeclined 4.2 percent in the first quarter. Paid advertising pages totaled 1,020 compared with1,101 in the comparable quarter <strong>of</strong> 2005.http://www.iht.com/bin/print_ipub.php?file=/articles/2006/04/12/business/gannett.php; April13, 20069
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