Tuesday, August 18, 2009
Reader's Digest plans prearranged bankruptcy
This is, I suspect, a victim not so much of the internet (most Reader's Digest subscribers probably don't use the net that often) but of demographics: their subscribers are elderly, and literally dying off. The current economy didn't help, either, but this is a magazine that has weathered decades (it was founded in 1922). Economies can be weathered. Demographics are harder to shake.
"NEW YORK (Reuters) - Reader's Digest Association Inc, whose namesake magazine has been a staple of dentists' offices for generations, said on Monday it planned to file for Chapter 11 bankruptcy for its U.S. businesses as part of a prearranged plan with lenders to cut debt by 75 percent."