Gannett Chief Says In Memo He Will Take Pay Cut
Another one takes the cut.
Craig Dubow, chairman and chief executive of McLean-based Gannett, said in an internal memo on Monday evening that he is voluntarily taking a 17 percent salary reduction of $200,000 starting this month and continuing in 2009. That would put him on track for a salary of $1 million in 2008.
The cost-cutting announcement by Dubow comes on the heels of an announcement by Reston-based student lender Sallie Mae that its chairman, Anthony P. Terracciano, will take a yearly pay cut and delay some of his stock awards as the company weathers a rough time for the student lending business.
At Gannett, Dubow wrote that all company and divisional officers would have their salaries frozen for 2009. A spokeswoman for Gannett, Tara Connell, could not immediately be reached for comment.
"All Gannett employees are making deep sacrifices for their company," Dubow said in the memo. "I have great empathy for those employees and their families who have lost their jobs. I also recognize that our employees are working harder and harder to produce results in a challenging business environment. But I firmly believe the steps we are taking now are necessary and will serve as the foundation for our future success."
Gannett, the publisher of USA Today, said in August that it would cut 1,000 positions in its community publishing division. Like most newspaper companies, Gannett is struggling with declining advertising and circulation and is trying to cut costs.
In addition to USA Today, the nation's largest-circulation paper, Gannett owns 85 daily papers and 900 non-daily papers in the United States and Britain, as well as 23 television stations. The company is valued at $4.8 billion.
For a full look at Dubow's 2007 compensation, take a look at our recent executive compensation report here.
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