The Boston Globe to be shut down

| 4 May 2009 11:26

This comes via the Washington Post:

The New York Times Co. said last night that it is notifying federal authorities of its plans to shut down the Boston Globe, raising the possibility that New England’s most storied newspaper could cease to exist within weeks.

After down-to-the-wire negotiations did not produce millions of dollars in union concessions, the Times Co. said that it will file today a required 60-day notice of the planned shutdown under the Worker Adjustment and Retraining Notification law.

The move could amount to a negotiating ploy to extract further concessions from the Globe’s unions, since the notice does not require the Times Co. to close the paper after 60 days.

While this may be a ploy, it may be the real thing – the end of the line for the Globe. Even Warren Buffet sees unending losses for newspapers – not a good sign of things to come in the newspaper business.

avatar About Edward Harrison

Edward Harrison is the founder of Credit Writedowns and a former career diplomat, investment banker and technology executive with over twenty years of business experience. He is also a regular economic and financial commentator on BBC World News, CNBC Television, Business News Network, CBC, Fox Television and RT Television. He speaks six languages, a skill he uses to provide a more global perspective. Edward holds an MBA in Finance from Columbia University and a BA in Economics from Dartmouth College.

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