New York Times Co. Quarterly Profit Falls by a Quarter
New York Times Co. profit fell by 26% in the fourth quarter, thanks to declining print advertising, as usual. UPDATE: this morning's staff memo from Pinch Sulzberger and Janet Robinson is below.
> On the Record . . . From Arthur + Janet
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> Vol. 1 2011: Full-Year 2010 Report.
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> This morning we released our financial results for the full-year and fourth quarter 2010. There was good news to report for the year despite an uneven economic recovery and a challenging fourth quarter. You can review the Company's full fourth-quarter and year-end earnings press release, including a reconciliation to our GAAP results, at http://www.nytco.com/press.
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> Our overall results demonstrate our ability to manage our business effectively as we continue our transition to a multiplatform company and position ourselves for long-term success. Our 2010 accomplishments are due in large part to you and your colleagues, and your dedication to collaboration and innovation. You outclass our competitors each and every day. We thank you for your continued hard work as it is crucial in our effort to advance our position as a global leader of high-quality news, information and opinion.
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> As you will see in the press release, we grew operating profit by 20 percent for the year (excluding depreciation, amortization, severance and special items). This extraordinary growth was the consequence of balancing our attention to productivity and efficiencies with our focus on investing in our news operations, digital technologies and related applications. And, we did all this while continuing to reduce our net debt.
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> We can also take pride in the many digital advances we made in 2010, including our significant preparation for the pay model, the Globe's coming two-brand strategy, About's expansion into new verticals, and the vibrancy of the Regional Media Group's Web sites. Our journalism is the cornerstone of our Company, and we had a wonderful year from that standpoint as well. Our important Wikileaks coverage has The Times at the center of the global conversation, Sally Singer has made a stunning mark on T, we welcomed the extremely talented Hugo Lindgren to The New York Times Magazine and our colleagues in Boston produced groundbreaking columns on a deadly case of bullying and a pivotal series about widespread patronage in the probation department.
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> While we must continue to focus on managing our costs and keeping our energies focused on growth, our significant progress in 2010 indicates that we are well positioned to come through this slowly recovering economy and evolving media marketplace.
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> Again, we appreciate your dedication and hard work. While 2011 still poses many challenges, the results of 2010 show us what we are capable of accomplishing together. Here's to our success.
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> Arthur & Janet