Gannett is (wait for it) bulking up on local even as union staffers stage a one-day strike

Michael Anastasi. Photo via LinkedIn.

As you may have heard, union journalists at many Gannett newspapers staged a one-day strike Monday to protest chair Michael Reed’s brutal leadership style, which has resulted in devastating cuts and a sliding stock price even as he’s pulled down more than $11 million in compensation over the past two years.

I’ll get back to that. But first I want to discuss a less publicized development. Over the past several weeks, Gannett has made a couple of personnel moves aimed at — wait for it — reinvigorating local coverage at the country’s largest newspaper chain.

On May 19 came word that Michael Anastasi, vice president of The Tennessean of Nashville and editor of USA Today’s South Region, was being promoted to the newly created position of vice president of local, part of what the company is calling “a new nationwide Gannett effort to transform the growth trajectory for hundreds of local newspapers.”

In an article announcing the move, Anastasi was quoted as saying, “I can’t wait to help accelerate our transformation as I work with the thousands of local Gannett journalists across the country.” He’ll report to Sarah Roberts, Gannett’s chief content officer, who stated, “We are going to save local journalism, and we’re going to do it by working together with absolutely clear eyes about the challenge and tremendous speed toward the solution.”

Anastasi’s promotion is part of what Gannett is calling Project Breakthrough, which “focuses on key growth areas to increase nationwide audience, including opinion columns, newsletters, service journalism, breaking news and audience engagement.”

Imtiaz Patel. Photo via LinkedIn.

Less than two weeks later came word that Imtiaz Patel, chief executive officer of The Baltimore Banner, will leave July 7 in order to become a top executive at Gannett. According to the Banner’s story on that departure, Gannett has not yet announced what Patel’s new position will be. But it’s remarkable that the head of one of the most respected nonprofit digital news organizations in the country would jump onto what is widely regarded as a sinking ship.

Now, there were family considerations involved in Patel’s move. He told the staff that a change in his wife’s job made it impossible for her to move from New York City to Baltimore, as she had planned. Still, Patel has won nothing but plaudits for his management of the Banner, and presumably he could have written his own ticket. (Interesting wrinkle: former Boston Globe editor Brian McGrory, now chair of Boston University’s journalism department, will help lead the transition as the outlet searches for a new CEO.)

“I’m tremendously proud of what we have achieved to bring locally owned, not-for-profit news to Baltimore,” said Patel, who’ll remain on the Banner’s board of directors. Under his leadership, the news organization signed up about 70,000 paid subscribers.

For all of Gannett’s cuts, which have had a devastating effect on newsrooms as well as the communities they serve, the company has always had a story to tell about how brighter days are just around the corner. Back before the merger with GateHouse Media, GateHouse folks used to talk about developing revenues from ancillary businesses such as services and events in order to support their journalism. Not much ever came of that. More recently, Gannett has embraced sports betting and even NFTs — again, without an discernable positive impact on the bottom line. (Are NFTs even still a thing?)

All of this came to a head Monday, when hundreds of journalists went on strike at Gannett’s dailies, which employ about 1,000 union members in 50 newsrooms. The job action coincided with Gannett’s annual shareholder meeting, Angela Fu reports for Poynter Online.

Most of the strikes are one-day work stoppages and involve journalists at some of Gannett’s largest newsrooms: the Rochester Democrat and Chronicle, the Austin American-Statesman and The Palm Beach Post. Workers at The Arizona Republic and The Desert Sun will stage multi-day strikes, and journalists at The Indianapolis Star are withholding their bylines in lieu of a work stoppage.

The NewsGuild-CWA had hoped to persuade shareholders to vote against Reed’s continued tenure as chair. Not surprisingly, according to Katie Robertson of The New York Times, that effort fell short.

So now we’ll get to see how the latest story Gannett is telling itself plays out. Anastasi and Patel are serious news leaders, and it seems unlikely they would have agreed to accept their new roles without promises of money, resources and time. And yet — really? Gannett is not going to bring back all the weekly newspapers that it closed in Massachusetts, or restore the local journalism it eliminated in favor of regional coverage. It’s almost certainly not going to repopulate daily papers like The Californian of Salinas, now operating with zero staff reporters.

It would be easier to read the tea leaves if Reed and his associates simply continued pillaging the company. The Anastasi and Patel moves suggest that they’ve got something else in mind. It will bear watching to find out exactly what that looks like.

Advertisement

Food journalism as regional news: Our conversation with Hanna Raskin

Hanna Raskin, allegedly. Photo by Allisyn K. Morgan.

On this week’s “What Works” podcast, Ellen Clegg and I talk with Hanna Raskin, founder and editor of The Food Section, a Substack newsletter devoted to covering restaurants and trends in food across the South. Before starting her Substack last year, Hanna was food editor and critic for eight years at the family-owned Charleston Post and Courier in South Carolina.

Raskin also covered food for alternative weeklies, including the Mountain XPress in Asheville, North Carolina, and Seattle Weekly.

I offer a Quick Take on The Baltimore Banner, a nonprofit news project that finally made its long-awaited debut. I wish them all good luck but have some issues with their business model, which includes a hard paywall — not entirely compatible with a nonprofit’s public-service mission.

Ellen’s Quick Take is on a Pew Research Center study on trends in digital circulation at locally focused publications. The bottom line: digital is trending up, print circulation continues to tank, and readers are spending less time on site.

You can listen to our conversation here and subscribe through your favorite podcast app.

Memphis newspaper legend Otis Sanford on the rise of a new media ecosystem

Otis Sanford at his 2014 induction into the Tennessee Journalism Hall of Fame

This week on the “What Works” podcast, Ellen Clegg and I talk with Professor Otis Sanford, who is something of a journalistic legend in Memphis. As a general assignment reporter at The Commercial Appeal in 1977, Sanford covered the death of Elvis Presley. He also covered courts, county government and politics before being promoted into management. After stints at the Pittsburgh Press and Detroit Free Press, Sanford returned to The Commercial Appeal. In 2002 he was named managing editor and in 2007 he became editorial page editor.

As opinion editor in Memphis, Sanford launched a Citizens Editorial Board. While that was a number of years ago, Sanford was ahead of the curve in terms of community engagement.

In 2011, Sanford joined the University of Memphis Department of Journalism faculty. He holds the Hardin Chair of Excellence in Economic and Managerial Journalism. He still writes a column on politics and events in Memphis. It’s published in The Daily Memphian, a thriving startup founded by journalists and business people who were disappointed by the rounds of layoffs at The Commercial Appeal.

The Daily Memphian is one of two digital newsrooms launched by journalists who left The Commercial Appeal. The other newsroom is the award-winning MLK50, started by Wendi C. Thomas, to cover income inequality, race and justice issues.

I’ve got a quick take on the latest from The Baltimore Banner, a digital start-up that will be competing with the Baltimore Sun, acquired last year by the notorious hedge fund Alden Global Capital.

Ellen looks at the new Votebeat site, a Chalkbeat spinoff that just might help election integrity.

You can listen to our conversation here and subscribe through your favorite podcast app.

Houston becomes the latest city to announce a nonprofit news project

Downtown Houston. Photo (cc) 2018 by David Daniel Turner.

Big news out of Houston, where several major philanthropies have announced they intend to raise $20 million to start a nonprofit news project — just the latest major metropolitan area to embrace nonprofit journalism.

What makes it a bit unusual is that the Houston Chronicle, the legacy daily, is owned by Hearst, generally regarded as one of the better newspapers chains. Of course, all corporate chains are problematic, but Houston is not like Baltimore, where hotel magnate Stewart Bainum is launching the nonprofit The Baltimore Banner after losing out to the hedge fund Alden Global Capital in his bid to buy The Baltimore Sun.

The Houston effort is being led by the American Journalism Project, whose chief executive, Sarabeth Berman, told the Columbia Journalism Review:

Local news is a public service — one that’s been in sharp decline. This project demonstrates that local philanthropies can, and need to, play a transformative role in rebuilding and sustaining independent, original reporting in service of communities.

Here’s an excerpt from the press release:

With an anticipated launch in late 2022 or early 2023 on multiple platforms, the new nonprofit news organization will elevate the voices of Houstonians and address the needs of the community as identified in the American Journalism Project’s extensive research. Its wide-ranging coverage will be available for free to readers as well as other news organizations.

I wish them well, of course. Still, it’s hard not to wonder if the money could go to better use elsewhere. Greater Houston residents already get first-rate coverage of state politics and public policy through The Texas Tribune, which is also a nonprofit, and the Chronicle is presumably doing a better job than your typical Alden or Gannett paper.

Click here to read the full press release.