Posts Tagged ‘Gray & Christmas’

Sinking McClatchy tosses people overboard

Wednesday, May 4th, 2011

McClatchy newspapers continue to spiral downward, this week announcing a new round of job elimination, including 20 positions at The News & Observer in Raleigh, “about two dozen” at the Kansas City Star, about 50 — including 35 vacant positions — at the Miami Herald, and eight at the Bellingham Herald in Washington.

Jobs will be eliminated through a combination of buyouts, layoffs and open positions left vacant. At The N&O, reportedly, a 50-year veteran of the Business office is among those being laid off.

The company is also closing two suburban papers in Kansas City and one in Missouri.

And, the company announced Tuesday that its employee stock purchase program is ending because of lack of participation. Fewer than 5 percent of eligible employees are buying stock, which is available at a discounted price through the program, Heather Fagundes, vice president, Human Resources, said in a memo to employees.

McClatchy stock closed at $2.83 Tuesday. It once sold for $77 and, at one point, for as little as 35 cents a share.

McClatchy announced last month that it  lost $1.96 million in the first quarter of the year on an 11 percent drop in advertising revenue.

Elsewhere, Challenger, Gray & Christmas said today that U.S. employers had announced plans to cut 12 percent fewer jobs in April than they had in March.