Last week I received some very good news — Jim Haggerty, the editor of The Daily Times Chronicle in Woburn, had been selected to receive the Bob Wallack Community Journalism Award from the New England Newspaper and Press Association. I worked for Jim from 1979-’89, and I was delighted that I was asked to say a few words. Here’s the text of my remarks:
Congratulations to Jim Haggerty for winning the Bob Wallack Community Journalism Award. The award “recognizes an individual who has an exceptional record of commitment to community journalism.” Through his work at The Daily Times Chronicle and through his years of mentoring young journalists, Jim, along with the entire Haggerty family, have shown that they are committed to the highest ideals of local news.
I first met Jim in 1979, when I began working as a part-time reporter covering the town of Winchester. A few months later, after I graduated from Northeastern, Jim hired me. I learned from him and his family what community journalism was about — telling tough stories when they need to be told, but doing it with compassion and with an understanding that holding local government officials, business people and others accountable is not incompatible with treating them like human beings. It’s a lesson I’ve tried to carry with me throughout my own career.
During my 10 years at The Daily Times Chronicle, the paper covered the years-long story of Woburn’s toxic waste tragedy comprehensively and courageously. Families in East Woburn claimed that contaminated drinking water had resulted in their children contracting leukemia and other illnesses. Several of them died. The pressure on Jim and his family from city officials to tone down the coverage must have been overwhelming. But that never trickled down to those of us who were covering the story. Jim’s dedication to journalism and truth-telling during those years was inspiring.
These days, local news is in crisis, as the internet has undermined advertising revenues while corporate chains and hedge funds are slashing the newspapers that they own. The residents of Woburn and the surrounding communities are lucky that The Daily Times Chronicle is still family-owned, still doing good work and still dedicated to the principles that have sustained it for the past hundred years. Best wishes to you, Jim — and good luck to you and your family as you embark on the next hundred.
The Devil Strip, a pioneering cooperatively owned magazine in Akron, Ohio, has closed its doors. More of an arts and culture outlet than a news organization, the operation has nevertheless stood as a successful example of an independent project owned by its employees and the community.
WKYC reports that the end came over the weekend — staff members were told on Friday that the money had run out, and on Monday they received layoff notices. The station adds:
Founded in 2014, The Devil Strip was a community-owned magazine that focused on music, arts, news, and culture in Akron. For as little as a dollar a month, readers had the opportunity to become members of the co-op. An investment of $330 allowed you to become a co-owner.
In March 2020, I spent a week in Northern California reporting on The Mendocino Voice, a for-profit news site that was converting to cooperative ownership. At that time the founders, publisher Kate Maxwell and editor Adrian Fernandez Baumann, told me that The Devil Strip was one of the projects they had studied.
I hope The Devil Strip might be able to reorganize and come back, though the tweet makes it sound like they’ve hit the end of the road. Founder Chris Horne has not tweeted about it except for a cryptic reference to a “sabbatical.” I’m sure he’ll have more to say soon.
Among those of us who have obsessively followed Alden Global Capital’s destruction of newspapers over the years, there was very little that was new in McKay Coppins’ 7,000-word magnum opus that The Atlantic published this week. Still, Coppins is a gifted writer, and he’s pulled together the full story in a manner that is both elegant and comprehensive.
The arc of Coppins’ narrative is familiar. Alden, a hedge fund, got into the newspaper business about a decade ago. At first, Alden indulged the chief executive it inherited from one of the chains it acquired, John Paton, and then turned on him when he wasn’t willing to go along with the drastic cost-cutting they insisted on. I imagine Alden co-founder Heath Freeman was initially impressed with the blunt, profane Paton, who was not averse to slashing expenses to align them with revenues. The problem was that Paton actually cared about journalism and was not on board with Freeman’s insistence on endless rounds of cuts in order to enrich himself and the other co-founder, Randall Smith.
One fact I hadn’t known previously is that Randall Smith, secretive and a generation or so older than Freeman, is the brother of Russ Smith, founder of the now-defunct New York Press. Russ also founded the Baltimore City Paper, the Washington City Paper and now runs the website Splice Today.
The New York Press was a big deal in the 1990s, as Coppins notes, publishing 10,000-word columns by Smith that attacked the elite media establishment. Smith also once published a lengthy takedown of The Boston Phoenix by another writer that infuriated all of us. I wish I still had a copy. No complaints by me about Smith, though — he wrote a favorable review of my first book for The Wall Street Journal, and I enjoy bantering with him on Twitter about music and baseball.
But back to our story. Coppins’ description of Freeman, the more active and public of the two partners in running Alden’s newspapers, is priceless:
People who know him described Freeman — with his shellacked curls, perma-stubble, and omnipresent smirk — as the archetypal Wall Street frat boy. “If you went into a lab to create the perfect bro, Heath would be that creation,” says one former executive at an Alden-owned company, who, like others in this story, requested anonymity to speak candidly. Freeman would show up at business meetings straight from the gym, clad in athleisure, the executive recalled, and would find excuses to invoke his college-football heroics, saying things like “When I played football at Duke, I learned some lessons about leadership.” (Freeman was a walk-on placekicker on a team that won no games the year he played.)
And Coppins’ description of Alden’s business model is right on target:
What threatens local newspapers now is not just digital disruption or abstract market forces. They’re being targeted by investors who have figured out how to get rich by strip-mining local-news outfits. The model is simple: Gut the staff, sell the real estate, jack up subscription prices, and wring as much cash as possible out of the enterprise until eventually enough readers cancel their subscriptions that the paper folds, or is reduced to a desiccated husk of its former self….
Alden’s calculus was simple. Even in a declining industry, the newspapers still generated hundreds of millions of dollars in annual revenues; many of them were turning profits. For Freeman and his investors to come out ahead, they didn’t need to worry about the long-term health of the assets—they just needed to maximize profits as quickly as possible.
Where I have a bit of a problem with Coppins is that though he credits some of the earlier reporting he relies on, he’s haphazard about it. I winced at his sole reference to Julie Reynolds, whom he quotes indirectly a single time and identifies only as a former reporter for the Monterey Herald in California. In fact, since leaving the paper Reynolds has been indefatigable in reporting on Alden. It was because of her 2017 cover story for The Nation, for instance, that we know Randall Smith used his ill-gotten newspaper gains to buy 16 mansions in Palm Beach, Florida. Just recently she reported for Nieman Lab that Alden’s acquisition of Tribune Publishing was tainted by dubious gamesmanship of the sort that should have prompted a do-over.
Then there’s the Baltimore hotel magnate Stewart Bainum, whose bid to buy Tribune fell short this past spring. In August, Rick Edmonds of Poynter reported that Bainum was launching a well-funded digital news nonprofit in order to compete with Alden’s Baltimore Sun. Coppins writes about that without giving any credit, and it’s being repeated in media circles as though it was his scoop.
But these are quibbles. Coppins is a gifted writer and has done a prodigious amount of reporting of his own.
Recently The Atlantic published an essay by Elaine Godfrey about the damage done to her hometown newspaper in Iowa by Gannett, the country’s largest newspaper chain. (Alden’s holdings come in second.)
The Atlantic deserves credit for using its prestige to focus on the local news crisis, and on the Wall Street greed that has transformed it into a catastrophe.
Update II: And the paragraph has been restored. I’m told there was nothing nefarious about its disappearance.
Update: Oh, my. The nutty last paragraph that prompted this post has been deleted. Not a good look, Harvard.
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In an otherwise unremarkable story from Harvard Business School about a study into the effects of local newspaper closures on corporate wrongdoing, I ran into this bizarro closing paragraph. The story quotes Professor Jonas Heese, a co-author of the study:
Saving local newspapers isn’t Heese’s specialty, but he points to a recent trend of hedge funds buying up distressed local media outlets as having the potential to stabilize the market and resurrect local news. And that makes him wonder: “Is this a reason to be hopeful?”
No, Professor Heese. It is not a reason to be hopeful. I suggest you stick to statistical analysis, which you seem to be pretty good at. Here’s the abstract, from the Journal of Financial Economics, titled “When the Local Newspaper Leaves Town: The Effects of Local Newspaper Closures on Corporate Misconduct”:
We examine whether the local press is an effective monitor of corporate misconduct. Specifically, we study the effects of local newspaper closures on violations by local facilities of publicly listed firms. After a local newspaper closure, local facilities increase violations by 1.1% and penalties by 15.2%, indicating that the closures reduce firm monitoring by the press. This effect is not driven by the underlying economic conditions, the underlying local fraud environment, or the underlying firm conditions. Taken together, our findings indicate that local newspapers are an important monitor of firms’ misconduct.
Reading this leads me to think about our work at The Daily Times Chronicle in Woburn, when we uncovered a massive toxic waste problem in the early 1980s that may have led to an outbreak of childhood leukemia and other illnesses. Charlie Ryan’s reporting was crucial to breaking the story wide open. In 1998, he recounted in The Boston Phoenix the sequence of events that led the world to understand that Woburn had an environmental and public health disaster on its hands:
Ryan’s most important story came in December 1979, on a development he thought he’d been beaten on. The state’s Department of Public Health was about to release the results of a study on Woburn’s leukemia rate, and Ryan arranged to interview DPH officials. That morning, the Boston Herald American published a front-page story reporting that the leukemia rate was within the normal range for a city of Woburn’s size.
“I was a little pissed,” Ryan remembers, “but I went in there anyway.” He sat down with a DPH statistician, who explained the results to him: essentially, the DPH had taken the number of leukemia cases and divided it by the total population of Woburn, based on the 1970 census. Ryan stopped him. 1970? The population of Woburn, Ryan knew, had fallen from 40,000 to around 36,000. Ryan asked a simple question: What would happen if the lower figure were used? The statistician recalculated the numbers — and, all of a sudden, the number of leukemia cases appeared to be “statistically significant,” the bland-sounding phrase used to describe what was obviously a very real problem.
“That story drastically changed everything,” says Ryan, who got out of journalism a few years ago and now helps run the computers for Essex County Newspapers. “To that point, everyone had considered Anne Anderson to be just a hysterical mom. I think without that story, the Centers for Disease Control, the Environmental Protection Agency, and the state never would have pushed that hard.”
Yes, local journalism is crucial in holding corporations to account, just as it is in keeping an eye on government and other large institutions. But no, hedge funds are not the solution. They’re the problem.
Meaningful participation in civic life isn’t possible without access to high-quality news and information. Consider the most fundamental aspect of community engagement: voting in local elections. If prospective voters lack the means to inform themselves about candidates for the select board, the city council, the school committee and the like, then it follows that they will be less likely to vote.
But is the reverse also true? Does the presence of a reliable news source result in a higher level of voter participation? To find out, I compared two towns, Bedford and Burlington, both northwest of Boston.
Providence, R.I. Photo (cc) 2017 by Kenneth C. Zirkel.
My research work on the local news crisis often feels like a race against time. On the one hand, I try to highlight independent community journalism projects that are keeping their heads above water or, in a few cases, are actually thriving. On the other hand, chain owners like Alden Global Capital and Gannett keep hollowing out the hundreds of newspapers they own across the country, not because they’re not making money but because they want to make more.
Last week came the odd news that Gannett is seeking to sell The Providence Journal’s printing plant for $8 million, as well as several other plants that it owns across the country. The story was broken by Alexa Gagosz of The Boston Globe, a former student of mine. What struck me as odd is that the Journal isn’t outsourcing its printing; rather, it intends to lease the plant back for a period of five or 10 years.
No doubt Gannett executives are thinking ahead to the day when the Journal goes all-digital. But the sell-and-leaseback provision seems hard to explain, especially for a paltry amount like $8 million. That doesn’t put a dent in the massive debt that Gannett is struggling with.
Also last week, The Atlantic published an essay about The Hawk Eye, of Burlington, Iowa, the oldest paper in the state, which was acquired several years by GateHouse Media — the predecessor to Gannett — and is now being dismantled. Written by Elaine Godfrey and photographed by KC McGinnis, it is a lovely piece, haunting and elegiac, conjuring a lost way of life as much as a newspaper that’s been hollowed out. But Godfrey has a keen sense of Gannett’s business model as well. This gets right to the heart of it:
Readers noticed the paper’s sloppiness first — how there seemed to be twice as many typos as before, and how sometimes the articles would end mid-sentence instead of continuing after the jump. The newspaper’s remaining reporters are overworked; there are local stories they’d like to tell but don’t have the bandwidth to cover. The Hawk Eye’s current staff is facing the impossible task of keeping a historic newspaper alive while its owner is attempting to squeeze it dry.
None of this was inevitable: At the time of the sale to GateHouse, The Hawk Eye wasn’t struggling financially. Far from it. In the years leading up to the sale, the paper was seeing profit margins ranging from the mid-teens to the high 20s. Gannett has dedicated much of its revenue to servicing and paying off loans associated with the merger, rather than reinvesting in local journalism. Which is to say that southeastern Iowans are losing their community paper not because it was a failing business, but because a massive media-holding company has investors to please and debts to pay.
So what’s lost? Consider the experience of Tom Courtney, a former state senator, who lost his re-election bid after he discovered that his constituents, lacking any reliable local news, were judging him on the basis of national stories instead:
In the absence of local coverage, all news becomes national news: Instead of reading about local policy decisions, people read about the blacklisting of Dr. Seuss books. Instead of learning about their own local candidates, they consume angry takes about Marjorie Taylor Greene. Tom Courtney, a Democrat and four-term former state senator from Burlington, made more than 10,000 phone calls to voters during his 2020 run for office. In those calls, he heard something he never had before: “People that live in small-town rural Iowa [said] they wouldn’t vote for me or any Democrat because I’m in the same party as AOC,” Courtney told me. “Where did they get that? Not local news!”
Also last week, the trade magazine Editor & Publisher ran a story about Gannett papers that have actually been bought back by local owners. Written by Gretchen A. Peck, the story looks in on four people who’ve acquired former Gannett papers and are now reinvesting in news and in their communities.
Still, it hardly looks like a trend. Peck spoke with newspaper broker Sara April, who said Gannett is selling just a few papers here and there. “All the markets are typically smaller. Look at the size of the towns. That has been the charge: To find quality local companies, with high regard for journalism, to take ownership of these newspapers so they can continue to serve their communities,” April was quoted as saying. No doubt the papers don’t fit with Gannett’s current strategy, which seems to be filling up its papers and websites with regional news so it doesn’t have to put too much into local coverage.
The good news — and there’s always good news — is that local independent journalism is thriving in many parts of the country. The bad news is that the corporate chains and the hedge funds continue to strangle news organizations that would otherwise be doing much better.
An earlier version of this post was part of last week’s Media Nation Member Newsletter. To become a member for just $5 a week, please click here.
Several readers called this Washington Post piece to my attention over the weekend. It’s about a fundraising drive recently held by the Tampa Bay Times to offset some of the advertising revenue it lost during the COVID-19 pandemic.
Post reporter Elahe Izadi observes that the idea isn’t entirely new. The Seattle Times has engaged in community fundraising drives, and The Times-Picayune and The New Orleans Advocate (one entity) received $1 million over the summer from the Ford Foundation. For that matter, The Boston Globe pays for some of its education reporting with a $600,000 grant from the Barr Foundation.
What makes the Tampa Bay project unusual is that the paper asked for people to donate in support of individual journalists, by name. That makes me a little uncomfortable, and I hope the next time they do this they abandon that particular wrinkle.
As you may know, the Tampa Bay Times, a for-profit newspaper, is owned by the Poynter Institute, a nonprofit journalism education institute. Back when Nelson Poynter melded the Times and the institute together, the expectation was that the newspaper — rolling in cash — could use some of its revenues to support the institute.
Needless to say, that stopped a long time ago. The Times has struggled for the past few years, and has cut back its print edition to twice a week. It’s still a great ownership model, though, emulated several years ago when Philadelphia Inquirer owner Gerry Lenfest donated his paper to the nonprofit Philadelphia Foundation. After Lenfest’s death, the organization that was set up to own the Inquirer and make investments in journalism was renamed the Lenfest Institute.
By the way, I really like the front page of today’s Tampa Bay Times. Let’s just hope they’re not fundraising off a commemorative issue later this week. Go Sox!
Terrific column by Bill Nemitz in the Portland Press Herald about how residents in the tiny Maine town of Harpswell revived their newspaper, the Harpswell Anchor, as a nonprofit.
“The November issue of the new-and-improved Harpswell Anchor will be its sixth,” Nemitz writes. “And by all indications, the 24-page tabloid isn’t just surviving. It’s thriving.”
You’ll have to forgive me for not plowing through a massive new report from Columbia’s Tow Center for Digital Journalism on a survey of more than 300 newsroom employees at small (under 50,000 circulation) newspapers. The survey follows up a similar study conducted in 2016. I did look at the executive summary and the conclusion, which contain some interesting findings. Among them:
More than a third of those responding, or 37%, said they work between 50 and 60 hours a week, and 50% said they work 40 to 50 hours a week.
Recently the NewsGuild announced it was investigating unpaid overtime work at Gannett. But that would involve union papers, which tend to be larger. It’s no secret that small dailies and weeklies have been exploiting their employees pretty much forever. As the economics of the business become increasingly difficult, the situation may be getting worse.
COVID is taking a toll, with 43% saying they felt less secure in their employment than they did at the beginning of the pandemic.
“Participants were often highly critical of hedge-fund ownership and frequently cited nonprofit models as the way forward for the sector.”
Efforts to create more diverse newsrooms at small newspapers are inadequate at best.
Some 57% say they are more involved in digital work than they were three years ago; 49% said they are producing more stories per week than they were three years ago; and 62% said social media had become a more important tool in their work.
“Despite a challenging financial landscape, coupled with wider issues such as trust in journalism, our 2020 cohort — like their predecessors in 2016 — retained a sense of optimism about the future of their industry,” write the authors, Damian Radcliffe and Ryan Wallace. “In particular, they highlighted the importance of hyperlocal news, embracing digital and filing information gaps by covering stories not offered elsewhere.”
One fact that stands out from the survey is that the staffs at smaller newspapers are old and white, and that if there’s any hope of reaching younger, more diverse audiences, then new approaches are needed. I hope anyone working for these newspapers who’s under the age of 50 is making plans right now to start a new venture in their community.
There’s also an important unanswered question here. What would the findings look like if employees of independently owned newspapers could be separated out from those whose papers have been acquired by a corporate chain or hedge fund? Working conditions can be pretty tough at independents as well, but the journalists might have more of a sense of community service.
I am thrilled to announce the debut of our podcast, “What Works: The Future of Local News,” from Northeastern University’s School of Journalism.
Every month — and soon, perhaps, every week — former Boston Globe editor Ellen Clegg and I will talk to journalists, policymakers and entrepreneurs about efforts they’re making to keep local news alive. (We’re working on a book with the same name.) Corporate chains and hedge funds are squeezing the life out of local news. There is a better way. We and our guests are telling that story.
In our first episode, I interview Massachusetts state Rep. Lori Ehrlich, a Marblehead Democrat who co-sponsored legislation to launch a commission that will study the future of local news in the state. (Note: I’ll be a member of the commission.) Ehrlich lays out her vision and underscores the role that local journalism plays in a democracy. Ellen and I share a few quick takes on the news as well.
You can subscribe on Apple Podcasts, Spotify or Pocket Casts, and we’re aiming for more platforms soon. We hope you’ll give it a listen — we’re very excited about this project, which has been long in the making.
Also, many thanks to Alison Booth, who designed the graphic that accompanies our podcast, and to Promiser, whose song “WOW!” is our theme. Wow indeed.
