Journal Register filed for Chapter 11 bankruptcy protection Wednesday. Hey, aren’t these the same folks who have been touting as breakthroughs each step along the way of their fast-track digital transition?
Well, yes. Some will view the bankruptcy filing, the company’s second in three years, as evidence that Journal Register has been blowing smoke about how much digital revenue is there for the taking. And some will suggest that CEO John Paton may want to step back from hisconference circuit role as avatar of the industry’s future.
Paton, not surprisingly, doesn’t see it that way. His public and in-houseannouncements contend that the digital transition has been going well and should continue without a course correction. The problem, he said, is legacy costs that cannot be reduced quickly enough.