THE SAD LEGACY OF KNIGHT-RIDDER: CUTS, CUTS, CUTS

In the same day, two former Knight-Ridder newspapers announced staff cuts.

101 at the San Jose Mercury News.

The publisher of the Philadlphia Newspapers (Philadelphia Inquirer and Philadelphia Daily News) Brian Tierney (in the picture) said today:

Cash flow has dropped from $100 million in 2004, to $76 million last year, to less than $50 million estimated for 2006, according to Brian Tierney. After interest payments, that leaves less than $10 million "to invest in the business," he said. Without "immediate and dramatic changes", the company won't be able to meet interest payments next year, he added.

Any layoffs would follow a 16 percent reduction in newsroom staffing at the two newspapers in November 2005.

Read the memo of Brian to his staff and you will understand better how the US newspapers are going to collapse faster than expected.