[Infowarrior] - Clues indicate P-I closure is near

[Richard Forno]

Clues indicate P-I closure is near
Online domain name renewed; cleanup bins coming

By DAN RICHMAN
P-I REPORTER

http://seattlepi.nwsource.com/business/402994_pi11.html

Despite The Hearst Corp.'s statement Tuesday morning that it hasn't  
decided whether to sell or shut down the Seattle P-I, clues emerged  
later in the day suggesting that Hearst plans to close the 146-year- 
old paper shortly and will continue operating a Web site.

Staff members learned Tuesday afternoon that boxes and bins are  
scheduled to be delivered to the newsroom later this week -- some for  
materials to be taken home, others for notes that require shredding.

Employees were told to file promptly to be reimbursed for their  
expenses. And they were told they can retain their cell phone numbers  
if they wish.

Hearst said in January that it would put the paper up for sale for 60  
days, closing it if no buyer emerged but possibly maintaining the P-I  
Web site. On Tuesday, another clue emerged as to Hearst's intentions:  
The company renewed the domain name "SeattlePI.com" through March 25,  
2010, with registrar Network Solutions. It would have expired later  
this month.

Monday marked the end of the 60-day sale period. But Hearst spokesman  
Paul Luthringer said Tuesday that the company hasn't decided how to  
proceed.

"We are still evaluating our options," Luthringer said in an e-mail.  
"Timing of the decision is uncertain."

When asked what decision he was referring to, he responded, "These  
options exist: 1) Seek buyer. If no buyer, then 2) Go digital, or 3)  
Close. No decision has been made."

The paper's roughly 170 employees have been officially notified that  
their jobs will end between March 18 and April 1. But March 18 only  
marks the date through which Hearst must pay P-I employees. It is free  
to shut down any time.

"It would be nice to have some clarity," business reporter Joseph  
Tartakoff said. "It's really hard to plan your work when you're not  
sure if you'll be around the next day."

Last week, Hearst extended offers to some staff members for positions  
with an online-only operation. Hearst Senior Vice President Ken  
Riddick, who's in charge of determining what shape that operation  
might take and whom it might employ, didn't answer e-mails Monday and  
Tuesday asking detailed questions about the site.

Separately, the largest union at the Hearst-owned San Francisco  
Chronicle reached a tentative agreement late Monday on contract  
concessions as part of Hearst's efforts to dramatically cut costs to  
prevent a sale or closure, though the deal still may not keep the 144- 
year-old daily from shuttering or being sold.

And Hearst, which publishes 16 daily newspapers, is increasing  
subscription prices and has considered reducing the number of days it  
delivers newspapers to homes each week.

"We are asking readers to pay more," Steven Swartz, who heads the  
company's newspaper division, said at a meeting Tuesday in New York.

The publisher may cut the number of pages of its newspapers, Swartz  
said. Hearst will seek more readers on handheld devices such as  
Amazon.com Inc.'s Kindle and Apple Inc.'s iPhone.
This report includes information from The Associated Press and  
Bloomberg News. P-I reporter Dan Richman can be reached at  
206-448-8032 or danrichman at seattlepi.com.