Killing the Ann Arbor News to save it

The death of the Ann Arbor News continues to make its way up the media grapevine, this time making the pages of Time magazine.

Excerpt:

When Larry Kestenbaum, clerk of Washtenaw County, Michigan, was in Lansing for a meeting recently, he saw something unfamiliar on the faces of the other clerks: pity. Colleagues from hard-pressed towns like Flint, Jackson and Kalamazoo were offering sympathy because, despite everything, they still had a local newspaper, while Ann Arbor, his county seat, did not.

At first blush, Ann Arbor is an unlikely place to earn the dubious distinction of being the first good-size municipality in the U.S. to give up on its only daily newspaper. A2, as the town is known, is more or less the beauty queen of Michigan: pretty, confident and seemingly immune to the problems of her peers. It still has a downtown with sidewalk cafés and quirky local stores. Its biggest employers are two universities and two hospitals, and it has weathered the recession better than most of the rest of the state. Nearly half its residents have graduate degrees. How could the paper die in a place like this?

The answer is that it didn't die. It was killed by its owners in a high-stakes gamble to try to create a new and more profitable enterprise. (In the past nine years, the paper lost more than half its classified-ad pages.) The Ann Arbor News ceased to exist on July 23. On July 24, AnnArbor.com was launched. The new website has a paper version — also called, oddly, AnnArbor.com — that comes out on Thursdays and Sundays. The News's owner, Advance Publications, is betting it can rebrand the 175-year-old News as a Web publication, turn a profit and still satisfy its readers' craving for local news. A lot of U.S. newspapers, and their readers, have a stake in whether the experiment in Ann Arbor succeeds.

Read the rest of the story here and how Jack Lessenberry skewers Ann Arbor.com in the Metro Times here.
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