Yesterday edition of the New York Sun is the final one even as this six-year-old newspaper company fails to raise the much needed capital to continue its money losing venture.
According to Micheal Moi, a spokesman who confirmed in a telephone interview, this newspaper, which started in the year 2002 as an alternative to the New York Times, is closing down its operations.
Even with the promise of additional cash by the newspaper’s original investors Bruce Kovner and Micheal Steinhardt, there was a requirement of tens of millions of dollars to set right the huge loss according to Seth Lipsky, one of the top editors.
Struggling to raise money during acute credit crunch, which has seen the bankruptcies of the likes of Washington Mutual Inc. and Lehman Brothers Holdings Inc., the Sun, which had made significant gains in print, advertising sales posted record losses in the area of industry ad revenue this year according to Lipsky.
Though there was no response from Lipsky either through e-mails or phone calls, an unnamed staff member reported to the New York Observer that all employees were briefed on the situation by Lipsky. The letter announcing this news is to appear on the front page which was read out to the employees by Lipsky.
ccording to the online post of the advertiser’s media kit, the Sun has an 113,300 readership in Manhattan and over 2 million visitors to their internet site every month and is published Monday to Friday.
According to Lipsky who gave an interview earlier this month, the newspaper was in need of funds to support a business plan which was medium term.
