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Newspaper Ad Revenue Lower Than Expected

Published on February 16, 2006 | Email this article

Merrill Lynch released a report this week showing that ad revenue for the 11 major newspaper holding companies’ raised only two percent in 2005, while Merrill Lynch had predicted a four percent increase, writes B to B.

Contrary to Merrill Lynch’s estimated four percent increased in earnings per share in 2005, the companies’ average earnings per share fell five to six percent. EPS is expected to grow two percent in 2006. Auto advertising fell 10 percent in 2005, as more auto advertisers are moving to new marketing platforms like the Internet.

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