(Updates with closing share price in final paragraph.)
Oct. 13 (Bloomberg) -- New York Times Co. said it will eliminate 20 newsroom positions at its namesake paper, three weeks after chief executive officer Janet L. Robinson said a worsening global economy had weakened advertising sales.
In a memo sent to staffers, the company said it would offer buyout packages to volunteers, and that no one would be forcibly laid off.
In addition to the buyouts being offered to editorial staffers, positions on the business side of the operation will also be cut “mostly by eliminating some open slots,” according to the memo. The New York Times newspaper has a staff of 1,150 newsroom employees, according to company spokeswoman Eileen Murphy. Asked whether the New York-based company would seek similar cuts in newsroom staffing at its other properties, which include The Boston Globe, Murphy responded via e-mail, stating: “Today’s announcement applies to the New York Times.”
Robinson last month told a Goldman Sachs Communacopia Conference in New York that economic conditions have gotten “more difficult” since the company’s second-quarter conference call in July, when New York Times Co. projected similar advertising trends in the third quarter. The company will report earnings on Oct. 20, and Robinson said it expects declines in print and digital advertising revenue.
Analysts project the company will report third-quarter earnings of 4 cents a share, based on a Bloomberg survey of 6 estimates. That compares to 14 cents in the prior period.
Times Co. dropped 0.6 percent to $6.81 at the close of trading in New York. The shares have declined 30 percent this year.
--Editors: Niamh Ring, Romaine Bostick
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