Media Briefs: Sun-Times, Boston Globe Cuts, NY Times Cash Crisis
Another week on bad news for the newspaper industry, with cuts and a serious cash crisis facing the New York Times.
The New York Times owned Boston Globe has cut 42 jobs, mostly managers in advertising, circulation and marketing reports AP.
The layoffs announced Thursday do not include any newsroom positions. The new cuts follow on from 48 jobs cut earlier this year.
The Chicago based Sun-Times Media Group reported a lost $168.8 million in its third quarter as revenue sank due to the economic crisis, reports Chicago Business.
Ad sales dropped 19% in the quarter. The company plans to cut $45 million to $55 million in expenses over the next nine months to survive in the meantime.
The New York Times must deliver $400 million to lenders in May of 2009 but only has $46 million cash on hand, according to Silicon Alley Insider.
The Times does have access to a $366 million short-term credit line but has not yet drawn this cash down, and may not be able to do so. The company has been shut out of the commercial borrowing market after its credit rating recently dropped to junk status.
