Gannett talks with GateHouse Media about deal to control one in six U.S. papers

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Gannett talks with GateHouse Media about deal to control one in six U.S. papers
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Gannett, publisher of USA Today, is in advanced talks to combine with GateHouse Media in a deal that would merge the two largest owners of newspapers in the US by circulation

Gannett, publisher of USA Today, is in advanced talks to combine with GateHouse Media in a deal that would merge the two largest owners of newspapers in the U.S. by circulation, said two people briefed about the matter.

If the deal goes through, about one in every six newspapers in the U.S. would be owned by a single company, estimated Ken Doctor, a media analyst with Newsonomics. “That’s an unprecedented concentration of control in the history of the American press,” he said. The talks come as local and regional newspapers, faced with grim prospects and the decline of print advertising, have undergone sweeping consolidation. “These companies’ leaders think a mega-merger buys two or three years — ‘until we figure it out,’ ” said Doctor. “The ‘it’ is that long-hoped-for chimera of successful digital transformation.”

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