Digital First Media
Newspaper publisher operating daily newspapers including Denver Post and Mercury News.
PE-OWNED
Acquired by Alden Global Capital2010-01-15
What Made It Great
Digital-focused newspaper operations with cost-cutting efficiency model
What PE Will Likely Do
Significant newsroom layoffs, with 50-75% of editorial staff let go
Consolidation of newsrooms across Digital First Media publications, leading to less localized content and coverage
Implementation of stricter paywalls, requiring more readers to pay for access to online news articles
Reduction in print frequency or potential elimination of print editions for some publications
Cutbacks to investigative journalism teams, resulting in fewer in-depth stories holding local authorities and businesses accountable
Expected Timeline
“0 to 6 months months”
Acquisition announced, with promises of 'investment' in Digital First Media's operations. Initial round of newsroom layoffs and 'restructuring' announced.
“6 to 12 months months”
Print schedules reduced for some publications, with more content consolidated across outlets. Quality of local reporting and investigative journalism begins to decline.
“12 to 24 months months”
Paywall requirements significantly tightened, with more content locked behind subscription paywalls. Readers increasingly complain about the reduced quality and coverage of local news.
Similar Cases
Other companies that followed a similar path after PE acquisition
What You Can Do
Actions
Subscribe directly to your local Digital First Media newspaper to support quality local journalism and avoid the effects of cost-cutting
Advocate for your local government and community leaders to explore alternative ownership models for your community's news outlets, such as nonprofit or public ownership
Seek out alternative local news sources, such as nonprofit or community-supported journalism, to supplement the declining coverage from Digital First Media publications
Alternatives
Look for family-owned or employee-owned businesses