So what now for The Boston Globe?

Employees voted down a proposal for major concessions, so the New York Times Co. said it will declare an impasse and impose 23% pay cuts effective June 25.

A nice, disinterested and detailed analysis is here: http://www.cabot.net/Issues/CWA/Archives/2009/06/Newspaper-Controversy.aspx

It's not clear what the NYT's long-term strategy is to salvage something from this disaster. It's amazing that the Globe had reached this state, really. If the Boston Herald can hold on, somehow, it may emerge as the last man standing in the Boston media market, which is truly stunning. I don't think you could have gotten 1 out of a hundred people to predict that the Herald would outlast the Globe.

The disappearance of the Globe might also be somewhat beneficial, at least in the short term, for some of the major suburban papers such as the Lowell Sun, Lawrence Eagle-Tribune and The Patriot Ledger, all of which compete against the Globe in their own backyards.

It's sad because the NYT's problems with The Globe are truly self-inflicted. It bought The Globe for $1.1 Billion, which was never a rational price. Indeed, it could have paid just half that and still would have found itself with an overpriced possession. Even before things turned south so dramatically recently, the business plan made no sense.

While some may benefit from the Globe's demise, many more will suffer and it won't be good for journalism or the public to lose the Boston Globe.

Last penguin on the ice floe

It may be a competitive race between the Boston Herald and the Boston Globe to be the last man standing in the Boston market.

http://www.boston.com/business/articles/2009/04/16/front_page_blues/?page=2

Boston Globe to close !!!??!

Wow, this is unexpected, even by someone as gloomy as me.

http://www.boston.com/business/articles/2009/04/04/times_co_threatens_to_shut_globe_seeks_20m_in_cuts_from_unions/

Interestingly enough, this story appears on the Globe's Web site and is very direct and candid. Usually corporate media stories that are self-referential are also rather deferential. I would interpret this as meaning the situation is as serious as a heart attack and contains less than the usual amount of posturing.

I've wondered for a while if the Boston Herald's long-term business strategy is to outlast the Globe and end up the surviving paper in Boston by default. I don't believe the Herald is burdened by much debt and indeed, may have much less than the industry average after getting about $225 million a few years ago when it sold its suburban newspaper chain.

It won't be surprising if Boston ends up as a one-newspaper town. Most similar sized cities are. But it would be surprising if that newspaper ends up being the Herald!

There were many reasons to be wary of the Times purchase of the Globe. Boston and New York have been rival cities for centuries. Just as the Red Sox and the Yankees have a long-standing rivalry, the NYT and the Globe were major rivals for years before the NYT brought the competition to an end by buying the Globe. Many wondered if the New York-based newspaper executive suite would really have the interests of the Globe at heart and the way this episode is playing out validates those concerns.

25 jobs lost at the Boston Herald

There's no end in sight as of yet.