This IS a business, II

Remember that forthcoming New York Times story LA Observed mentioned about how Los Angeles Times Magazine got taken over by the business department without top editors knowing about it? Although nothing ran in the New York Times over the weekend, I'd keep an eye on tomorrow's edition.

But first, make sure to read Richard Perez-Pena's piece in today's New York Times dissecting Tribune Co.'s retrenchment plan:

As newspapers suffer through steep losses in circulation and advertising, [independent newspaper analyst John] Morton says many of them have accelerated the process by offering readers less, trying to cut costs and preserve unrealistic profit margins. “It’s a strategy, basically, of gradually closing down,” he said.

-snip-

As newspapers struggle to preserve circulation while cutting costs, the paradox is that in print and online, more people are reading them than ever before. But that audience generates less revenue as print newspapers lose ad sales to the Internet, where advertising is much cheaper.