Threat to Shut Boston Globe Shows No Paper is Safe

Article by Verena Dobnik
Posted by Kaitlin Lanier

When it bought the Boston Globe for a record $1.1 billion in 1993, the New York Times Co. added one of the nation's most acclaimed and profitable newspapers to its empire.

But analysts say the 137-year-old Globe has been a money-loser in recent years, and the Times, now $1.1 billion in debt, is threatening to shut down Boston's pre-eminent paper unless it gets $20 million in union concessions.

Faced with the global recession and declining revenues, the newspaper business is reeling -- one major paper has already folded this year and several others are seeking bankruptcy protection. But the threat to the Globe, announced Friday on the Globe's Web site, has shocked some industry insiders, who say it shows no one is safe.

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