Advertising revenues have slumped at another major local newspaper publisher, it was revealed today.

The downturn in Trinity Mirror’s regionals division has accelerated over the year, according to an interim management statement published this morning.

For the first 43 weeks of the year, advertising fell by 12pc, reflecting a decline of 6pc for the first half and 21.2pc for the 17-week period up to October 26.

Regional revenues fell 11.6pc in display, 26.6pc in recruitment, 42.6pc in property and 26.8pc in motors.

Regional digital revenues continue to grow – for the year to date they are up 26pc but have slowed to 15.5pc for the period.

Circulation revenue among regionals has also dropped with a decline of 3.8pc for the year to date which has jumped to 5.7pc for the period. Group net debt has decreased by £14m since the half year, sitting at £410m on October 26.

Trinity Mirror publishes over 150 local and regional daily and weekly newspapers and over 200 wesbites.

Today’s news comes after Johnston Press yesterday showed a 15.5pc drop in ad revenues for the 44 weeks up to November 1.

A company statement said: “In line with the worsening economy and the impact it has had on the advertising market, trading conditions have continued to deteriorate since the half year, with rates of decline accelerating in all advertising categories.

“Digital revenues continue to grow, though at a slower rate. In addition, the reduction in consumer discretionary spend is having a marginal impact on circulation revenues.

“In view of these uncertain market conditions we expect trading to remain challenging and therefore remain cautious about prospects for the remainder of 2008 and for 2009.

“In response, the Group is taking a series of measures to drive efficiencies through reengineering and reducing costs. We will deliver annualised cost savings of £25m in 2008 being £5m ahead of target.

“In addition incremental cost savings of at least £20m will be delivered in 2009.

“The Group continues to trade within its borrowing facilities, has concluded the bulk of its capital investment in new colour presses and has also reached agreement with the Mirror Schemes pension trustees with no increase in the schedule of contributions.

“The Board anticipates performance for the year to be in line with expectations.”

Comments

John (13/11/2008 13:33:00)
What a mess…I know its been said before but reducing staff might make Sly’s figures, graphs and charts look good but it’ll kill all these papers in the long run.