Wachovia analyst downgrades McClatchy to "Underperform," predicts bigger newspaper ad decline

Wachovia analyst John Janedis has downgraded McClatchy shares to "underperform" on concerns McClatchy's California and Florida properties will continue to sag, and advertising revenues for newspapers overall will be less than expected.
AP, via Editor & Publisher:

Janedis downgraded McClatchy shares to "Underperform" from "Market Perform," and Gatehouse to "Market Perform" from "Outperform." He forecast more weak results in California and Florida, which provide about one-third of McClatchy's ad revenue, along with continued weakness in Texas and the Carolinas. He thinks GateHouse will feel pressure due to reduced spending in the key Boston market, among others.

The analyst lowered his price ranges for shares of McClatchy, GateHouse, Lee and Gannett.

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