Comments on: Gannett Orders Company-wide Furloughs; USAT Freezes Wages For ’09 http://paidcontent.org/2009/01/15/419-gannett-orders-company-wide-furloughs-usat-freezes-wages-for-09/ The economics of digital content Thu, 23 May 2013 14:43:05 +0000 hourly 1 http://wordpress.com/ By: RE http://paidcontent.org/2009/01/15/419-gannett-orders-company-wide-furloughs-usat-freezes-wages-for-09/#comment-65923 Thu, 15 Jan 2009 05:14:42 +0000 http://paidcontent.wp.gostage.it/2009/01/15/419-gannett-orders-company-wide-furloughs-usat-freezes-wages-for-09/#comment-65923 Their dividend yeild is 20%. They should stop paying dividends already and go acquire some incoming generating digital companies. All companies are cheap now with the downturn! On top of that, focus on other revenue generating services other than the advertising model….

Here is what I would do:

Buy Blockbuster for 350MM (BBI) and use reminant inventory to get people to subscribe to the digital movie download service. Both News and Movies are essentially both content….

Buy Expedia for 3.5B in cash and stock… and use your online inventory to get people to buy travel packages. Print travel special in every paper based on the demogrraphic and deals from the local airport of the local paper.

]]> By: jenkins http://paidcontent.org/2009/01/15/419-gannett-orders-company-wide-furloughs-usat-freezes-wages-for-09/#comment-65922 Thu, 15 Jan 2009 03:23:20 +0000 http://paidcontent.wp.gostage.it/2009/01/15/419-gannett-orders-company-wide-furloughs-usat-freezes-wages-for-09/#comment-65922 In looking at the balance sheet and cash position of the company I now know why they are doing this: they are running out of money! They will essentially burn through ALL their cash this year and have to use debt to finance their existence — not a good place to be.

]]> By: Voice of Reason http://paidcontent.org/2009/01/15/419-gannett-orders-company-wide-furloughs-usat-freezes-wages-for-09/#comment-65921 Thu, 15 Jan 2009 02:15:00 +0000 http://paidcontent.wp.gostage.it/2009/01/15/419-gannett-orders-company-wide-furloughs-usat-freezes-wages-for-09/#comment-65921 Gannett has enthusiastically encouraged its employees to take unpaid time off since 2000. I believe this is the first time it has been mandated.

]]> By: jenkins http://paidcontent.org/2009/01/15/419-gannett-orders-company-wide-furloughs-usat-freezes-wages-for-09/#comment-65920 Thu, 15 Jan 2009 02:05:51 +0000 http://paidcontent.wp.gostage.it/2009/01/15/419-gannett-orders-company-wide-furloughs-usat-freezes-wages-for-09/#comment-65920 this is a pretty radical thing for a company to do. things must be really really bad

]]>