Wednesday, July 15, 2009

Gannett Will It Get The Recovery?

Gannett Co (GCI) gamely reported improved earnings on drastically lower revenues. The improvement is because the impairment pain occurred last year. Gannett tells us that they are positioning for the future when the economy rebounds. Here is the problem. If the consumer starts to believe in the new frugality and curtails consumption the value of media and Gannett will drop. So waiting for the good old days is risky. What are they doing to become relevant in a new consumer mindset?