This story was written by Staci D. Kramer.
Citing some progress in negotiations, the Boston Globe has extended its deadline for the unions to make $20 million in concessions in order to save the paper. The statement issued at 1 a.m. Saturday morningan hour after the original deadline expiredsaid simply: "Because there has been progress on reaching needed cost savings, The Boston Globe will extend the deadline for reaching complete agreements with its unions until Midnight Sunday May 3."
At the beginning of April, The New York Times Company (NYSE: NYT) threatened to close its money-losing New England flagship unless the unions made major concessions by May 1, including $10 million from the Boston Newspaper Guild alone. NYTCo said the paper lost $50 million in 2008 and is on a path to lose $85 million this year. The unions were given lists of possible areas to cut; as the negotiations went to the wire, the Guild complained that the company made a $4 million-plus accounting error in the list it was given and asked for more time.
Late last month, the New York Times Guild unit agreed to a 5 percent wage cut for the rest of the year.
More as warranted.
By Staci D. Kramer