Showing posts with label newspapers. Show all posts
Showing posts with label newspapers. Show all posts

Tuesday, April 7, 2009

Opposite Day!


I spent the better part of last week listening to everyone on television and the newspapers telling me "we have reached the bottom!"

Since I was juggling so much over the past 10 days or so, I had no opportunity to ensure that the people that dwell in reality remain firmly grounded in the facts.

It seems that whenever the Dow Jones goes up, and it went up plenty last week, the bobble heads all start talking the "everything is alright" crap!

The reality is, as Nassim Taleb so brilliantly points out in The Black Swan, the stock market is not a snapshot of American economic health. Besides, I don't know very many "common" people that are still in the market these days, beyond your (required) 401k, I mean.

Here are a few of the Headlines you may have missed while collective noise from the Wall Street cheerleaders overwhelmed you:


  1. Retailer Gottschalks is starting it's liquidation.
  2. Ritz Camera starts liquidation on this Saturday.
  3. General Growth Properties, the nations largest shopping center developer, is nearing bankruptcy.
  4. Bankruptcy filings are up across the country by anywhere from 27% to some 86%, year over year, during MARCH!
  5. 10% of the nation is NOW ON FOOD STAMPS! That's over 32 million people, and there is evidence of another 6-7 million being refused due to barely being above the poverty threshold.
  6. Pier 1 announced it will close an additional 20 stores by the end of the month.
  7. The City of Chicago is closing all it's mental health facilities due to budget shortfalls (Hey it worked for Reagan).
  8. Blockbuster Video is near insolvency, with many (self included) seeing them fold before 2010.
  9. Nevada based casino Bally's closed their Sports Book (operation for taking sports bets) last Tuesday, March 31, without warning...even to employees.
Now on a much more local note, Ethel's Chocolate is closing 5 of 6 "boutique's" BY THE END OF APRIL! With plans to close the last by the end of the year.

Lot's of bad news, I know, but it is only to ensure you keep your nose to the grindstone. The economy is literally just starting to reveal how far away we are from the bottom, not the bottom itself.

April began the "Period of Revelation", a three-month period of time, in which how badly scarred (or healthy) retailers are after a tough Holiday period and the worst 1st Quarter in roughly 40 years. Those that are in trouble will no longer be able to hide, as there is massive debt repayments due at the end of April and lots of capital needed for 4th Quarter purchases. Non-performers are not going to be able to secure loans and will summarily have to take a bow.

As earnings start rolling in at the end of the week, I will try to keep you abreast of the score.

Maybe I have had one too many "crabby-patties", but I think this is only the beginning.

Friday, March 13, 2009

A Big Black Eye


This is a story you may, or may not, know about, but it is certainly something you should know is going on...and on it's way to your city (if it has not already arrived) once the weather breaks.

America is certainly better than this.

During the beginning of the Depression, several people wandering the nation in search of work started erecting, shanty-like, permanent shelters in large cities. These were comprised mostly of men, many of whom had left their families behind, with the understanding that once work was found, they'd be sent for.

As the Depression deepened, more shanty and tent communities started popping up all over the country, to the point where it was no longer looked upon as abnormal to see them. Because President Herbert Hoover was generally viewed (then) as the person responsible for ignoring the plight of the common-folk, thus allowing their situations to drift into such horrific conditions, these makeshift towns were named "Hoover-villes."

As more people started losing their homes and farms, ultimately being displaced from their longtime residences, the "cities" started to include entire families. 

Naturally the conditions in these camps were preposterous when compared with any standard of modernity. There were few schools, no plumbing, and mice, rats, cockroaches and mosquitoes only added to the miasma residents fought to overcome around the clock.

With this background in mind, I was floored when I saw this youtube clip:




The video you just watched was posted in January of 2008, who knows when it was actually filmed. 

Now, a year later, some major medias are starting to touch the subject. The only reason I want you to watch the following clip from the today show is to grasp how the subject is being dealt with. 

Any normal human being that viewed such circumstances probably wonders, first, "how did this happen", followed closely by "how can I help." The Today Show piece below focuses in on, well you make your own determination. I just cannot beliee Matt Lauer decided to end the piece, after looking at deplorable living conditions of his fellow countrymen, by saying (paraphrasing here), "people were living above their means"!?!?!



Well Matt, are they at their means now? And if so, does that make you sleep better at night?

Just a stupifying display of arrogance and indifference. It brings to mind a quote from the great architect and humanitarian, Charles Luckman"
"The trouble with America is that there are far too many wide-open spaces         surrounded by teeth."
Thousands of people saw the horror of this situation and decided to help, bringing food, money, bottled water and other goods to these unfortunate people, which is what I knew the American people would do. 

If you would like to send a donation to aid these people, the Fishes and Loaves organization in Sacramento has been assisting the residents of their tent city for months. 

Info for them is HERE.

This is development is not exclusive to Sacramento, California. Here are a few news articles I dug up on "Tent Cities" in other parts of the country if should you want to investigate the matter further:




The more fascinating articles come form sources that may explain why this has been swept under the rug until very recently. These are from news sources outside of the country and they are writing in a more stunned, disbelieving tone. To the readers of these publications, America has always been more than a country, it has been an idea.
America faces new Depression misery as financial crisis worsens

The credit crunch tent city which has returned to haunt America

If this economic downturn has not yet altered your habits, as well as your thinking, I hope this post has brought you one step closer to reality. Preparedness is not everything, but this is going to be a tough time for this country, so it cannot hurt any more by your being so.


Monday, January 5, 2009

Headlines vs Reality


There seems to be a bit more chatter in the press about a "new economic outlook" for the country. Some economists are even talking about a "mid-year turnaround" (read THIS).

Well I did a cursory search on the housing website hotpads.com for "foreclosed property" in my zipcode (60607, click through HERE), and WOW!!!!! I discovered something I could not have known: my neighbors are feeling the absolute crush of the economic downturn already. There is no denying this fact when there are 40 foreclosures within a 6 square block area.

The map below is startling, with each red house representing a foreclosed residential property (CLICK FOR LARGER IMAGE):


Well over 600 foreclosures in 8 of the best neighborhoods in Chicago: Streeterville, Gold Coast, Loop, West Loop, River West, West Town, New East and (oh my goodness!!!!!!!!!!!!!) South Loop, which is starting to get national attention for it's housing woes. 

Read a bit more about South Loop HERE (read the comment section as well, there a few people I truly respect that weigh in on the topic).

This does not even aggregate all the foreclosure data available. There are lots and lots more, but to stare at in visual form on a map just brings the scale of the problem into focus.

Hunker down people, in the world of economist and newspaper people, alternate reality is the new reality. I am not young and I have never lived through what we have experienced thus far, let alone what cometh.

Tuesday, December 23, 2008

Crystal Meth(od)


Each year, on Christmas Eve and Christmas Day, an annual ritual plays out. 

While bells toll, adults gather around the fire and children's imagination run wild with thoughts of what might be under the tree.....

The 24th and 25th are notorious dumping grounds for massively important news stories, because everyone knows we do not read the paper on these days. We are focused on our families.

This year not only am I going to make a prediction of 5 major stories dropping, I am going to post them right here as the news rolls in.

So take a peek into my crystal ball, what is that you see ever so faintly....

Update #1 (1:13 am 12/24) Walmart Ends Tears of Fighting Workers Lawsuits, Settles for $640 Million. Read story HERE

Update #2 (1:39 am 12/24) Retailers Want Bailout Too. Proposing three separate 10 day tax-free shopping days next year, in March, July and October. Read more HERE

Update #3 (5:15 pm 12/24) Jobless Claims Reach Highest Levels in 26 Years (586,000 new claims last week). WOW, now that's what I call Christmas Spirit. Read more HERE.

Update #4 (5:21 pm 12/24) Stores to ramp up closings and job cuts in 2009. Many have announced intent without including specifics. Read more HERE.

Update #5 (6:22 pm 12/24) I purposely waited until 6 pm Eastern Standard Time because I knew this info was coming. The info is always withheld until the stores close on the East Coast.

Here it is.

People are not out shopping...and HAVE NOT BEEN THIS SEASON!

Read more HERE and also HERE

So there is my $5 foot-long. A holiday gift from me to you. 

Let's stay on top of the reporting between now and next Thursday (NYE), this is when the best of the best economic info of the year will drop.

Merry Christmas to you and yours. I know if you have been reading you are in good shape going into 2009.

Friday, November 28, 2008

The Economy and Violence



Desperate times bring desperate measures.


Why would anyone expect a rational, calm public in the eyes of the worst economic crisis facing the country in seventy-five years.
 

These are just a few articles plucked from the headlines HALFWAY THROUGH "Black Friday". 


Click the headline to go through to the full original story:










This is only 5 hours into the day. Once editorial staffs report to work and reporters start to file their stories, the list, unfortunately, will grow exponentially. 

If you are a reader of this blog I would like you to remember two things this holiday season: Be Smart and BE SAFE.

Wednesday, November 5, 2008

News That's Fit To Print


This morning I spent the better part of 45 minutes walking around looking for a newspaper to purchase. There are normally plenty of copies of the Chicago Tribune, Chicago Sun-Times, Wall Street Journal and New York Times at the Starbucks just one block from my home in downtown Chicago. Today, I visited no less than 15 resources before successfully acquiring a newspaper of any kind. I tried every 7-Eleven, White Hen, Jewel, Dominick's, news stand and bookstore in the neighborhood before, in desperation, deciding to try a hotel gift shop. 

SUCCESS CAME AT LAST!

While walking back to my home, I was stopped no less than 15-20 times by people inquiring where I had found the newspaper. Everyone seemed to be in the same predicament I had been in just minutes before.

The reason was both transparent and obvious, Barack Obama is the 44th President-Elect of the United States of America. And seeing as though I reside in his hometown, which was the site of the biggest election night rally in history, I can clearly understand the enthusiasm.

However there is a MUCH bigger story here. A retailing story, no less. A story being missed by the large conglomerates that run most of the media we have access to in this country. 

It was the theme that catapulted President-Elect Obama to his primary and general election victories. The story is about ...inclusion!

The fact is, young people and old people, rich people and poor people, whites, black, latinos women and men wanted to read a newspaper because they were certain to see articles representing their interests within the pages.
  
Newspapers have seen massive declines in readership across the country for the last 6-10 years, and at a much more rapid rate lately. Television viewership numbers that would have left Peter Jennings, Dan Rather and Tom Brokaw in tears 20 years ago , is now cause for chest-thumping by the likes of Charles Gibson, Katie Couric and Brian Williams. 

We are told this flight from old media is due to people having "more options for news." This, however, is an excuse, served up by media executives stuck thinking in the Hillary/McCain mold. They are looking at the "classical" ideas of media and not seeing multitudinous opportunities that lie at their feet for the taking. 

"Classical" media looked at the landscape of all that happened in the world and decided to pick and choose, for us, what was fit to print or report. The "new" way is to show the entire landscape and allow the individual to decide what is important to them.

Let me be clear. This is not another article about how the Internet is better, faster, more comprehensive and revelatory than television or newspapers,though I agree they are. It is more about the growth potential that lie in both of the latter mediums. Something that can help to stem the tide of massive lay-offs happening  within these important American institutions.

Inclusion requires that you not only talk about the full spectrum of people, places and events, but that you reflect the full spectrum with who covers such things for your organization. Last night, for instance, a night full of historic achievement,  there was much talk of the broad coalition of various ages, races and sexes responsible for the Obama victory. The reality of who reported that news did not directly reflect the viewing audience or those reveling onscreen in the possibilities of a "new tomorrow."

The age of the principal anchors handling Election Night coverage on each major news outlet were as follows:

CBS
Katie Couric (51) and Bob Schieffer (71)

NBC
Brian Williams (49) and Tom Brokaw (68) 

ABC
Charles Gibson (65) and George Stephanapoulos (47)

PBS
Jim Lehrer (74)

CNN
Wolf Blitzer (60) and Anderson Cooper (41)

MSNBC
Chris Matthews (63), Keith Olbermann (49) and David Gregory( the oldest 38 you'll ever find)

Fox
Chris Wallace (61) and Brit Hume (65)

All of them White. All but one, male. Two septuagenarians, six sexagenarians, four at or hovering near 50 and two other rather marginalized figures hovering near forty years of age.

I genuinely believe each of them brought a wealth of perspective to the evenings events and did their best in covering what was a momentous night. However lack of perspective is what stood out most. They all talked of JFK, RFK and MLK. There was discussion of the 60's and 70's. However, there was little talk of the impact of the Internet on this election. No chronicling of the Obama fundraising juggernaut done primarily online. No discussion of the continuous evolution of the blogosphere, now used for both information and independent fundraising. Little, if any, discussion of Obama's digital "Get-Out-The-Vote" operation that overwhelmed his rival. Most anchors chose to discuss, only, the more familiar (to them) door-knocking operation. All in all, after a while it became that story your Uncle tells to the new person every Thanksgiving. Partially true,  mildly interesting and thoroughly embarrassing. They were literally, just one glaring example of why there is a massive flight from their medium as a source for staying informed 

Are we to believe it would take a search party to find an anchor of Latino, Asian or African descent? Are we to believe there are no souls under 40, or hell even 30, capable of anchoring or co-anchoring the "Big News" desk at any of these companies? Are we to believe that Katie Couric is the only woman with the requisite qualifications and experience to be a part of the "Boy's Club?" I think not.

How can I know? Barack Obama just proved it, that's how. His campaign was run by a diverse coalition of people, and as mentioned previously, won by a diverse coalition of people. 

MSNBC showcased Luke Russert on several occasions during this election cycle, using him to flesh out stories specifically relating the youth vote. These reports were generally well-received because of the freshness of the subject matter and, importantly, the depth and understanding that resulted from the person reporting the story being of  the same generation. What struck me was how many times they cutaway from his report to find an utter lack of professionalism, not by the 23 year-old reporter, but by the in-studio host. Each time after a generally routine "back to you in the studio" from the young Russert, there seemed always time enough to discuss "how proud of him" they were, how "they wish his Dad (their recently deceased colleague, Tim Russert) could see" him, or all-around head-nodding of "how well he is doing". 

We are all proud of how this young man handled the passing of his father, who was a lion in the media world. His transition into his father's line of work has seen a few kinks, but nobody with sense can say that he has seemed forced. Luke Russert is a fine professional, but it took tragic circumstances to get him on air. There are many other Luke Russert's out there waiting to be discovered. But they are being told to, "Go start in Iowa, Idaho or Montana. Then come back when you get seasoned." Like when you are in your 50's or 60's and you can no longer relate to the rest of the population.

The limitations of those currently sitting in the anchor chair are being projected onto the anchors of tomorrow, I mean TODAY!

Newspapers are not immune from the same line of thinking. The best example I can draw from is the continued slide in readership of the Chicago Tribune newspaper (down 5.8% Sundays, down 7.8% Weekdays) at a time when there is continued growth in the Tribune Company's RedEye tabloid newspaper (now up to over 200,000 copies per day, from 0 in 2002).

The RedEye is an inferior product, as far as journalistic content, when compared to it's bigger sister, the Chicago Tribune. However, RedEye drives great advertising revenue for a company that had seen it's readership literally continue to die off over the past two decades. 

RedEye is viewed as a young persons alternative to newspapers. Not an alternative to the Tribune, but an alternative to all newspapers. 

The RedEye meets most standards of a young news reader in today's society, delivering news in small "bursts." An article is rarely more than 3-5 paragraphs long, and many are just an one inch summation of a news story, accompanied by a screaming headline. Additionally, the RedEye discusses topics and people that relate directly to it's audience. While you can expect to read wide coverage of bands like U2, or television shows such as Desperate Housewives in the pages of the Chicago Tribune, RedEye is more likely to feature recording artists like T-Pain on it's cover and dish news on Gossip Girl within it's pages. They are ahead of the curve now, but the goal is clearly to become the curve. One gets the idea the journalist and editors are young or, at very least, young at heart. 

Readers can decide, quickly, if this is a story they should look into more on the Internet once they get where they are going, or if they will take a pass. Once again, you can no longer tell consumers what news is, they decide for themselves.

The Tribune, and other newspapers, could easily boost readership by borrowing the inclusive themes that come with skewing younger, and without sacrificing it's seriousness. Shorter articles that drive readers looking for more to the TRIBUNE website, where fully fleshed out material awaits. PBS does this for every piece of it's original broadcasting. Instead of leaving it to the  reader to investigate their own choice of web news provider, all the sourcing for the article can be delivered at Tribune.com.  This seems a simple solution, held back only by a nasty word that's been the death knell to many organizations, institutions and even civilizations, "tradition."

Big Media has a question to ask itself in the coming months, if not weeks. Do they dare to be at the forefront, skewing younger and more inclusive with their talent? Or will they continue this prolonged blood-letting  by having sexagenarian talking-heads try to explain the merits and intricacies of FaceBook in vain while the most dramatic cultural and generational shift in our nation's history is taking place on the screens around them?

The way forward is to trust in the profound talent that resides in the many cultures and youth of America. Ask of them that thing which has not been asked before, save service in the military during times of war. Let us ask them to take a seat at the table and be a part of developing solutions to the many obstacles that plague us all.

Being inclusive is not only the rational thing to do, it's the profitable thing as well.

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