Newspapers are facing the most challenging economic time in their history. Across the country, alternative weeklies like New Times which are supported by ads for events have been among the hardest hit. Three senior reporters left New Times a month or so ago and the paper has still managed to produce content.
Arizona Capitol Times reporter Dillon Rosenblatt isn't impressed with the content and sent out this tweet.
Wow. Talks about a glass house. Capitol Times is vulnerable to the same economic shocks as New Times, but Dillon has several added layers of vulnerability. Earlier this year Gatehouse Media which owns Cap Times purchased Gannett which owns the Republic. They financed that purchase with a $1.8 billion loan at an astonishing 11% interest rate. Even before the COVID 19 crisis New Gannett was going to have to eliminate $300 million a year in redundancies. Now they have to meet that obligation in the face of collapsing ad revenue.
Where can New Gannett go to cut costs? They will certainly start with real estate. The Republic's headquarters is largely empty and has been covered with a humiliating "Space Available" sign for nearly a year. Meanwhile, the Cap Times also has a headquarters building. One of them is going to go.
But those are one-time savings. New Gannett has to cut redundant beats. Cap Times doesn't have a sports section, all the redundant positions are political. Dillon covers Ducey's office--just like everyone else does. I would argue that he has the MOST redundant position at New Gannett. Dillon can mock the efforts of the folks at New Times, but the odds that Cap Times but he is the most vulnerable reporter at the most vulnerable company in the most vulnerable industry.
So I'm going to set a reminder on my phone. I'll pick a date in the fall. Halloween sounds about right. The Reminder says "Where is Dillon Rosenblatt working?" Maybe the answer will be Cap Times--but it doesn't seem likely.
But there's good news for Dillon. I've heard that New Times is hiring.