Monday, August 11, 2008

The Observer-Dispatch Deathwatch

While Gatehouse Media's own newspapers have been notably reticent to discuss it's decline the Wall Street Journal isn't quite so shy:

GateHouse Media Inc., a chain of newspapers about 40%-owned by Fortress Investment Group, said it will suspend its dividend and raise more funds from Fortress to avoid running afoul of its lenders.

GateHouse Friday reported a second-quarter operating loss of $429.7 million, stemming from a charge of $443.1 million to write down the company's market value.

The impairment charge reflects the steep drop in the stock price, from $18 a share at its initial public offering less than two years ago to 64 cents at 4 p.m. Friday in New York Stock Exchange composite trading; the stock fell five cents, or 7.3%, from Thursday.

As always, you can follow the stock's ups and downs at Google Finance.