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Newspapers, SNA form national ad network

Monday, June 11, 2007

A major advertising network financed by the Suburban Newspapers of America will launch in mid-August. The network is owned by 10 newspaper companies and SBA but is expected to grow as the invitation for ownership is open to all SNA members. Full owners include ASP Westward LP, American Community Newspapers LLC, Community Newspapers Holdings Inc., Gatehouse Media Inc., Schurz Communications, Sun-Times Media Group and Suburban Newspapers Inc. Smaller market newspapers were able to take advantage of a fractional ownership. This group includes Rust Communications, Packet Publications, Recorder Community Newspapers and Holden Landmark Corporation. In addition to demonstrating their leadership by supporting this industry initiative, owner companies will receive special benefits including lower commissions and increased sales pressure for their newspapers. They are also expected to make a return on their investment by 2011. The alliance's goal is to have more newspaper companies join the ownership group. Opportunity for ownership will expire June 30. The network will focus on traditional national categories such as travel, telecommunications, automotive, financial, insurance, pharmaceutical, pure-play Internet, and politics. The network will include print and online options and will represent the entire community newspaper industry -- not just the owner companies. In the next two months, staff will be hired including senior level representatives. During this time, rates will be collected and service agreements signed by newspapers that want to receive national advertising from the network. Newspaper companies interested in ownership or participating in the network can contact SNA president, Nancy Lane at (843) 390-1531 or nancylanesna@aol.com.

<B>[--] From staff reports

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