McClatchy stock continues downward spiral

August 5, 2015

Tribune news standMcClatchy Co. stock prices continue to plummet amid sharp declines in advertising revenue.

The stock prices for the Sacramento-based McClatchy, which owns The San Luis Obispo Tribune and 28 other newspapers, fell from $4.71 a share on Aug. 5, 2014 to a current price of 90 cents. In the past year, total revenue for McClatchy fell 7.7 percent to $269.4 million and advertising sales fell 12.5 percent.

In 2014, McClatchy sold several assets which allowed it to reduce its huge debt, from the purchase of Knight-Ridder nine years ago, to approximately $1 billion.

In June, the Tribune laid off 28 employees and moved its printing operation to Fresno as part of a reorganization strategy designed to cut costs by $25 to $30 million.

“We are on track to achieve the $25 million to $30 million of cost savings in 2015 that we targeted at the onset from these specific initiatives,” CEO Pat Talamantes said in a recent report. “We expect the savings to continue to build over the course of the year and, in light of continued weakness in print advertising revenues, individual newspapers continue to adopt additional cost reduction plans to achieve their budgets.”


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18 Comments

  1. Paso_citizen says:

    I, too, have finally accepted the fact that the Tribune sucks and have cancelled my subscription (which I subscribed to for over 14 years). It has really gotten worse since moving printing to Fresno – sports coverage is abysmal and financial coverage is pathetic.
    And they want you pay more and more for this.

    I must state that I am a little surprised by the reduction in ad revenue reported by
    McClatchy – since it is obvious that at least 50% of the print area in this rag is ads.
    You get 6 to 8 pages and 3 to 4 of these are ads – I guess they are having to sell ads for a very low price ( wonder why).

    And one last comment – has anyone tried to call the Tribune’s customer service lately?
    No matter when you call – you are put on hold with the statement “We are experiencing a high volume of calls and all of our agents are currently busy – your call is very important and will be answered in the order it was received.”

    Then finally, after 20 or 30 minutes, you get connected to a person; who happens to be located in Manila Philippines and does not have a full comprehension of the English language. That is who I had to talk to cancel my subscription. So, along with their pathetic paper, their customer service is even worse. Good-bye and good riddance.

    (9) 9 Total Votes - 9 up - 0 down
  2. kayaknut says:

    I sometimes feel sorry for the people who are always hawking the paper at local grocery stores and events, I wonder if they really know how bad the paper is. I also wonder if the management of the stores knows that having them at their door often makes me turn around and leave and remember not to come back so I don’t have to deal with them.

    (6) 10 Total Votes - 8 up - 2 down
  3. aft50s says:

    Glad I could help out by cancelling my subscription 2 years ago.

    (16) 16 Total Votes - 16 up - 0 down
  4. Mike says:

    Not enough local leftists willing to pay for the left half of the news? The Tribune is the print version of MSNBC. And they are sharing in a ratings and funding disaster. Long ago I read the Tribune. Then the leftist true believers took over and now this. Seems to be a pattern. Maybe they could get a govt grant to continue to spew their half truths?

    (15) 41 Total Votes - 28 up - 13 down
    • kettle says:

      You think lefties read the trib? No, you are thinking of the SLO Democrats, they want to be seen as “lefties” but are posers with recycling bins.

      “leftist true believers took over and now this” What are you smoking, it must be the medical grade.

      (-6) 24 Total Votes - 9 up - 15 down
  5. Otis says:

    With zeal, courage, honesty and extraordinary journalistic competence, CalCoastNews fills the void surrendered by the Tribune.

    Where the Tribune maps in the McClatchy and NY Times liberal story lines, Velie, Blackburn and staff strictly follow the facts embraced in the relevant ever present reporting on the Central Coast scene.

    Advertisers take notice — support them — for this is an important incoming tide, a new wave hitting the beach with reader involvement.

    (28) 42 Total Votes - 35 up - 7 down

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