Texas Insider

11:11 am CST - May 07, 2009

Dallas Morning News’ Circulation, Profits Plummet

DMN’s daily circulation down to 331,907 subscribers

The owner of The Dallas Morning News and the Denton Record-Chronicle, A.H. Belo, saw his first-quarter loss widen as the newspaper continued to grapple with steep declines in advertising revenue. The Dallas Morning News also saw its daily circulation drop 9.9% in the most recent 6-month period, which ended March 31, 2009.

Due mainly to declines in classified revenue in all of the publisher’s markets, The Dallas Morning News advertising revenue dropped by over $30 million, a 28.2% decrease, during the first quarter compared to the same period a year ago.

In keeping with this loss of revenue, the newspaper chain cut about 500 jobs during the first quarter and these labor reductions are expected to save the company about $27 million annually.

Although classified revenue has been down, circulation revenue went up 9% due to increased prices for single-copy papers and home delivery in Dallas and Providence.

Excluding special charges, the company’s net loss was $18.1 million, or 91 cents per share. First-quarter results include a $80.9 million, or $3.93 per share, noncash goodwill impairment at The Providence Journal in Providence, R.I., and a $4 million, or 19 cents per share, charge for employment-reduction costs.

“A.H. Belo continues to face significant revenue challenges in 2009,” said Robert W. Decherd, chairman, president and CEO of the company, “Lower advertising revenues require us to continue to focus on expense reductions and operational realignment.”

Morning News Circulation Drops 9.9%
The newspaper, published under the umbrella of Dallas-based A.H. Belo Corp., saw its Sunday circulation drop 8.7%. The reduction leaves The Dallas Morning News daily circulation at 331,907 subscribers, and the Sunday paper with 474,923 subscribers.

According to an audit report filed with the Audit Bureau of Circulations, The Dallas Morning News also raised its prices for single-copy daily papers from 50 cents to $1, while the prices for the Sunday edition and home subscriptions jumped by 17% and 33%, respectively.

“We are placing even greater emphasis on home-delivered circulation,” said John McKeon, The Dallas Morning News president and general manager. “Daily home delivery paid at 50% or more is 99.8% of daily home delivery, an increase of 2.8% from one year ago. Despite an increase of 17% in subscription price, home delivered circulation, sold at greater than 50% of full price, declined only 0.5% for Sunday and 3.2% for daily.”

McKeon added, “These results speak to the value our readers place on the quality of our content. And they confirm the value of our premium pricing strategy and the quality of the audience it delivers to our advertisers.”

10 Comments

CWJensen
11:46 am CST
May 07, 2009

I WONDER WHY???????????

Dennis Killy, Arlington
2:33 pm CST
May 07, 2009

Consequence of Self-Destruction

Just like the Star-Telegram, once one of this nation’s great newspapers … destroyed by internal predisposition and bias. Unbalanced reporting and narrow-minded positions are now the hallmark of this has-been!

Dennis Killy dgk@onebox.com

Anna Sentari
3:44 pm CST
May 07, 2009

Liberal rag

Pauline Hill
4:00 pm CST
May 07, 2009

Abilene begs for the DMNews, but they cut us off.
I guess planes don’t fly this way.

David Smith
4:02 pm CST
May 07, 2009

Here’s the crazy thing about the news situation in this country…The Dallas Morning News is owned by A.H. Belo, CORPORATION.

What is a CORPORATION’s primary role?? MAXIMIZE shareholder equity!

How do you MAXIMIZE shareholder wealth in ANY CORPORATION?? Give your customers what THEY want!

So…this begs the question…with steady declines in readership and about every other statistical and financial measure known to man…how is the MEDIA doing at this?? Well, unless your name is NEWS CORP, pretty danged pathetic.

BELO–want to correct the problem, like, overnight?? Transform yourself into the FOX News Channel of print news. You can have your pick of the best journalists and editors nationally right now, too! Pull the best young talent and the most experienced editorial staff and you get old school and young…

…and then give us content that is UNBIASED!!

We don’t want “Republican talking points” in the news papers…but, likewise, we don’t want to be told how great illegal immigration, abortion, Liberalism and Barack Obama are. Give us a break, eh?

Market to Conservatives, and we’ll read your paper. Don’t, and you’ll go the way of Denver and Seattle papers.

John Matthews
4:16 pm CST
May 07, 2009

Media bias is going to bite them all in the keester. No great loss, used to be a fair and balanced newspaper, but when the Times Herald closed down, the left needed a change in editorial bent, so Belo complied and this is the result. Will miss the Cowboy coverage and writers though.

steve reeder
5:22 pm CST
May 07, 2009

I stopped my subscription because the national news I can easily get on line. The columns by the editorial staff are eclipsed in quality by the national online publications. The path the DMN has taken concerning local issues is a mish-mash of middle of the road and liberalism. .Not so interesting. So what’s left? Good investigative journalism on local problems and pointing out the fraud and corruption in the government. This isn’t a strong point for the DMN. Reduce content, increase quality, lower price. This might save you. Who in the world raises prices as their business fails???

dfsone
6:59 pm CST
May 07, 2009

Its is a simple matter of supporting the left wing agenda or publishing its paper. In today’s climate, the two don’t mix.

OLD COWBOY
7:52 pm CST
May 07, 2009

NOT ENOUGH COMMUNISTS IN THE REPUBLIC OF TEXAS TO SUPPORT A COMMUNIST PROPAGANDA PUBLICATION??

Gary F
10:25 pm CST
May 07, 2009

I was working in the Dallas, Fort Worth area when the Dallas Paper named the Illegal Alien as Person of the year or what ever it was called. That was the last time I purchased or read the Dallas paper!!! To me, whoever was responsible for this should have been tared and feathered and rode out of town on a rail.