Hearst Threatens to Close the San Francisco Chronicle
Hearst Corp. this afternoon said it may sell or close the San Francisco Chronicle if a new round of cost-saving measures cannot be accomplished in the coming weeks. Hearst said it will undertake “critical cost-saving measures including a significant reduction in the number of its unionized and non-union employees.”
Hearst said the Chron lost more than $50 million last year and that “this year’s losses to date are worse.” The company said the paper has had “major losses” each year since 2001.
The statement is basically a warning to the Chronicle’s unions that they can either play ball or watch the paper go up in flames.