The Media Misread the New York Times' Results

MarketWatch From Dow(n) Jones came out with this: "New York Times November revenue up 1.7%," it yelled in approval, with no time for a prominently mentioned caveat.

But surely, you say, the caveat was in the body of the article, right? Wrong.

Here's the lame article: "The New York Times Co. (NYT New York Times Company) said Tuesday that in November total company revenues from continuing operations rose 1.7% compared with the same month a year ago. Advertising revenues decreased 0.2% and circulation revenues increased 3.7%. The About Group again posted strong advertising growth in the month, up 23.7%. "

The Associated Press was equally excited about that revenue rise, and equally loath to mention the extra week, even though its article was much, much longer. Here's the headline: "Web Sites Carry Times to Revenue Rise." The callout crooned: "New York Times' November Continuing Revenue Edges Higher by 1.7 Percent; Web Properties Lead." And, again, you can dust the article for fingerprints, but you'll see no evidence of that extra week that the Times flaks, people paid to put the company in positive light, featured so prominently.

Forbes, which mercifully managed to mention the extra week and product, was possibly, in the end, as bad as those that didn't. That's because Forbes spoke about the "glimmers of hope" in the monthly numbers despite the caveats. Uh, an extra holiday week on the base of four ain't really as simple as a "caveat," and it does seem to outweigh any glimmer, no?

After the close, MarketWatch ran another story, this one making a motion toward the appropriate measure of caution with this headline: "Gannett, N.Y. Times see more classified woes."

But still no mention of the extra holiday week.

So it has come to this: a press release more open and honest about basic issues than the business media reports that follow. No wonder my head is so bent in sorrow that it keeps banging against my desk. And no wonder I always tell you, the savvy investor, to beware. And be aware.

« Previous Page

1 2

Next Page »