Newspaper Giants Buy Web News Monitor: Three of the nation's biggest newspaper publishers, the Gannett Company, Knight-Ridder Inc. and the Tribune Company, are joining forces to buy three-fourths of Topix.net, a Web site that monitors more than 10,000 online news sources.
Each publisher will own 25 percent of the company. Topix.net, based in Palo Alto, Calif., will retain the rest and continue to run the site.
Newspaper Bargains: In the last year, newspaper and publishing stocks in the S&P 500 are down 9%, versus a 7% gain for the broader index. The selloff has left some print media giants with historically cheap valuations. Still, it's not easy being a bull on this sector.
"The last three years have not been fun," says Miles Groves, an economist and consultant to the newspaper business. Groves, who also publishes monthly and quarterly research, cites disappointing advertising results, sagging circulation stats and challenges ahead as readers devote more attention to bloggers, while media buyers send more dollars to the likes of Google and Yahoo.
