Updated from 3:16 p.m. EDTA new Senate bill could grant nonprofit status to newspaper companies, many of which are currently struggling to survive in a worsening economic environment. Sen. Benjamin Cardin (D., Md.) has introduced what he calls the Newspaper Revitalization Act, which would grant newspaper companies nonprofit status under the same U.S. Internal Revenue Service code reserved for religious, educational and other charitable organizations.
A number of other publications have gone through dramatic changes, including newspapers owned by the Tribune Company, while filed for bankruptcy. Meanwhile, The Detroit Free Press and The Detroit News will curtail the home delivery schedule for their print editions to the three days. Gannett ( GCI), the owner of USA Today and more than 80 daily newspapers, wants virtually all of its U.S. employees to stay at home and forgo at least one week's pay before July. The Plain Dealer, Ohio's largest newspaper, also ordered pay cuts of 8% and 10-day furloughs for nonunion employees Among publicly traded newspaper publishers, Gannett finished the day down 0.9%, and New York Times ( NYT) lost 4.2%. McClatchy ( MNI) dropped nearly 10%, and News Corp. ( NWS), which publishes The Wall Street Journal, was flat on the day.