A big thank-you to the loyal reader and blogger Southern Highland Reader, one of the best blogs in Western North Carolina imho for this link.
Click here to read Forbes magazine’s Q&A with Jim Hopkins, who made a name for himself by chronicling the demise of Gannett Co., the parent company of the Asheville Citizen-Times. Hopkins broke some big insider news and created a virtual meeting place for thousands of displaced newspaper employees.
What’s the biggest threat Gannett faces in the near term?
It faces two problems: a crushing debt load and a leadership crisis. Within a year Gannett faces a series of repayment obligations under various loans which will be difficult to meet, given the trends in revenue. The only way they’ve been able to sustain profits is by cutting and cutting. At some point their newspapers wont be able to keep delivering content that gives it value, either for the print or web editions. Plus, Chief Executive Craig Dubow is out on medical leave. He had another round of back surgery in June, then announced he would be out for another four months.
Are you optimistic about Gannett’s future?
No. And I don’t say that with any joy. I love newspapers and I have many friends who still work at Gannett. But technology always wins. It is transforming the newspaper business, something that Gannett will not do. The biggest thing Gannett has going for it now is CareerBuilder.com, which it owns half of. That’s a job site that has nothing to do with journalism.