Friday, August 21, 2009

Reader's Digest Filing for Chapter 11

Earlier this week the publisher of Reader's Digest announced that it will file for bankruptcy under Chapter 11 protection.

It is one more disappointment in the magazine world with magazines falling off the rack faster than any one reader can keep track of. I've had numerous subscriptions just this year alone disappear because the magazines have closed their editorial doors.

The Wall Street Journal on August 18, 2009 reported (Chapter 11 Is Next Page for Reader's Digest, by Shira Ovide and Mike Spector), "The move also is a low point int he storied history of Reader's Digest, a onetime staple of coffee tables and doctor's offices that at it speak three decades ago sold 18 million copies a month. Circulation now is less than half that."

The magazine got its start over 87 years ago (1922) and provided its readers with condensed versions of articles from other publications.

The magazine had versions published overseas and eventually expanded into condensed books and a slew of other publications.

According to The Wall Street report, the company was sold in 2006 and tried to expand its web operations. The company owns nearly 100 titles including Every Day with Rachel Ray.

1 comment:

Jaden Allred said...

Thanks for sharing this, Pat. It's been three and a half years since it was posted, but it still feels so sad to know that Reader's Digest was filing up again for Chapter 11 this year. And it's not comfortable for a publishing house to be the subject of a very uncomfortable issue.

Jaden Allred