News Corp Australia Doesn't Want You To Look Closely At Their Financials 132
Presto Vivace writes with news of an embarrassing discovery for Rupert Murdoch's News Corp about the company's financial state, which might draw less attention if News Corp hadn't tried to prevent people from using the information: "The existential crisis that has gripped Rupert Murdoch's Australian arm began with a rude discovery just after 2pm on Wednesday afternoon. The Crikey news website had stumbled across some of News Corp's most intimate lingerie, and had just put it all up on the the net. ... The 276-page document is called the Blue Book, a weekly and year-to-date rundown of results at June 30, 2013 for every News Corp business in the country. ... The great newspaper engine which was Rupert Murdoch's original springboard to take over the world was already under stress. In 2013, 70 per cent of its earnings disappeared, leaving operating income precariously balanced at $87.6 million. As Crikey pointed out, trying hard not to gloat, another year even half as bad as 2013 could put News Australia into the red." Crikey took the documents off line after legal threats, but it seems not before business reporters all over the world had a chance to download them."
Re:Rupert Murdoch Streisand (Score:5, Interesting)
Not Unexpected (Score:5, Interesting)
It's hardly surprising for a company to hold its financial results close to its chest, but this is made more delicious given how much time they spend pointing out the downsizing of rival Fairfax Media.
Fairfax papers, especially, have suffered from the internet while News Corp has soldiered on, but it was only a matter of time. Being more left-wing, Fairfax's demographic is younger and more inclined to embrace new technology. As they age, and likely become more conservative, they will still consume news online rather than return to dead tree papers.
Good! (Score:4, Interesting)
Re:New for Nerds? (Score:0, Interesting)
you're full of shit. Murdoch owns approx 30% of newspapers in Australia - that is nothing like a monopoly. However, his newspapers make up for over 60% of sales. That is not a monopoly.
You are distorting facts to support your position.
This is an effect of the News Corp restructure (Score:4, Interesting)
This is neither really news or particularly surprising. The News behemoth went through a restructure recently which pushed all its low performing assets into a different vehicle. Basically Rupert is in love with newspapers and he continues to support them even though the ROI is not there. When he leaves expect the papers to disappear as well.