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Closing Rocky Mountain News hasn't solved problems at Scripps

Finances drove the decision by E.W. Scripps executives to shutter their largest newspaper, the Rocky Mountain News, in late February. However, it's clear from data released this morning that removing the tabloid from its books didn't suddenly make everything better. According to a Wall Street Journal report, the firm reported a $220.7 million first-quarter loss due mainly to "$192 million of write-downs at its television business." While the outfit's newspaper revenue dipped 22 percent, money generated by its TV stations was off by 21 percent, "reflecting declines in national and local revenue as well as the absence of political ads," the Journal notes. Until the economy turns around, expect Scripps to keep struggling even after jettisoning the Rocky, one of its biggest money-losers.

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