Tag: Pat Purcell

Monday morning odds and ends

I don’t plan to do much blogging this week, but I do want to call your attention to a few items:

  • Chuck Tanowitz and Adam Reilly have both written sharp analyses of GateHouse Media’s lawsuit against the New York Times Co. I think Reilly is on the mark with his observation that the Globe, through its Boston.com Your Town sites, is going beyond mere linking and is trying to establish itself as a substitute for GateHouse’s Wicked Local sites, while using GateHouse’s content.
  • Joe Dwinell of the Boston Herald has also weighed in with a good item [link now fixed] on the suit. I do disagree with his characterization of this as “David vs. Goliath.” Both GateHouse and the Times Co. are large, publicly traded media companies that are fighting for their financial lives. Call this Wounded Goliath I vs. Wounded Goliath II.
  • Sean Polay, a top Internet guy for Rupert Murdoch’s Ottaway Newspapers (including the Cape Cod Times and the Standard-Times of New Bedford), says he wouldn’t mind at all if Boston.com linked to Ottaway content. Interesting, given that Herald publisher Pat Purcell recently accepted Murdoch’s offer to run the Ottaway papers.

Finally, a source has provided me with a copy of Barclays’ most recent report on the New York Times Co., the one that placed the value of the Globe at a mind-bogglingly low $20 million. I have posted it (PDF), so you can have a look for yourself. Perhaps a few gimlet-eyed Media Nation readers can find some gold.

I’m dubious. As you will see, Barclays values the Globe at somewhere between $12 million and $20 million — lower than the value of the “Worchester Papers,” which it places at somewhere between $15 million and $25 million. That can’t be right.

And, come on — the “Worchester Papers”? Does someone at Barclays think the Worcester Telegram & Gazette are two different papers?

Boston is still a newspaper town

The latest news about the newspaper business is of the sort that no one ever thought we’d see. Tribune Co., which owns the Chicago Tribune and the Los Angeles Times, may seek bankrupcty protection. McClatchy has put the Miami Herald up for sale, but no one wants it.

So I thought this would be a good time to pause for a moment and ponder something that we all take for granted around here. How is it that the Boston Globe continues as one of our great daily newspapers? How can our number-two daily, the Boston Herald, keep chugging along in this environment?

First the Globe. The paper and its corporate parent, the New York Times Co., are in dire straits. The Globe may be losing as much as $1 million a week, and company executives are now on a salary-cutting binge. International and national coverage has been largely ceded to the Times and the wire services. And yet this may be the only city in the country other than New York or Washington where our major daily newspaper isn’t the subject of daily, heated rumors about its imminent demise.

No doubt the Times Co. is a more benevolent owner than Sam Zell, the foul-mouthed real-estate tycoon who runs Tribune. But maybe things aren’t as bad at the Globe as they are at most other papers because Boston remains, fundamentally, a newspaper town. Yes, print circulation is way down, but the Globe’s Web site, Boston.com, is thriving (though its ad revenues don’t come anywhere near offsetting print losses).

Surely there’s no explanation but Boston’s special relationship with newspapers to explain the continued existence of the Herald. For several decades, the tabloid has survived as one of the very few number-two dailies in the country. The Herald has gotten awfully small. Earlier this fall, the paper started jobbing out its printing to the Wall Street Journal, which now trucks the paper in from its plant in Chicopee each day. (As with the Globe, the Herald’s Web site is doing quite well.)

Last week, Herald publisher Pat Purcell went back to work for his old boss, Murdoch, who owns the Journal and everything else.

Few people other than Purcell know what the true financial condition of the Herald is, though it’s believed to be right on the edge. And few know what Purcell’s real motivation was in agreeing to run Purcell’s Ottaway community-newspaper division. But it’s possible that it was about finding efficiencies that will shore up the Herald’s position.

This is such a difficult moment for the news business that it would be ridiculous to make any predictions. A month from now — a week from now — these observations might seem pollyannaish and naive.

For the moment, though, with the exception of New York and Washington, there’s no better place in the country to be a newspaper reader.

Purcell and Murdoch, together again

And no, I have no idea what it means. But Boston Herald publisher Pat Purcell is going back to work for his old boss, Rupert Murdoch, becoming executive chairman of Ottaway Newspapers next month.

Ottaway’s community papers are a subsidiary of Dow Jones — Murdoch’s accidental acquisition when he purchased the Wall Street Journal a couple of years ago.

Purcell says he may be able to foster some sort of relationship between the Herald and Ottaway’s Massachusetts papers — among them the Cape Cod Times, the New Bedford Standard-Times and the Nantucket Inquirer & Mirror. But this isn’t a natural partnership, to say the least.

Ottaway’s Barnstable Patriot has more.