Rick's Blog

Gannett struggling to pay debt, more staff cuts and unpaid leaves coming

Poynter reports the parent company of the Pensacola News Journal lost $54 million in its second quarter and is struggling to pay down more than $1 billion in debt from its 2019 merger with Gatehouse. The publishing company that owns more than 200 newspapers has reported it has paid down $55 million of the debt since June 30 and is selling $65 million in real estate and other assets.

Gannett’s stock price has fallen over 78% this past year, closing at $1.37 per share yesterday. The company has frozen overall hiring and is requiring employees to take one week of unpaid leave in December. It’s also seeking volunteers for buyouts, according to an email obtained by Poynter.

This summer, Gannett laid off 400 employees and eliminated 400 open positions. PNJ cartoonist Andy Marlette’s resignation last month may not have been completely of his own volition. He was the last editorial cartoonist on staff at any Gannett newspaper.

Exit mobile version