By Robert MacMillan
U.S. newspaper circulation fell 2.6 percent as of the end of March, according to data released on Monday, the latest evidence that readers are defecting to the Internet and other media outlets.
A Newspaper Association of America analysis of semiannual data from the Audit Bureau of Circulations on 770 daily newspapers found that average daily circulation fell to about 45.4 million readers, compared with about 46.6 million in the same six-month period ended March 31 a year ago.
Sunday circulation at 610 newspapers fell 3.1 percent to 48.5 million.
The Audit Bureau of Circulations counts 882 U.S. daily newspapers among its members. More than 85 percent of them reported their figures for the latest report.
Circulation rose 0.5 percent for the New York Times' weekday and Sunday editions. USA Today, Gannett Co. Inc.'s flagship paper, was up
0.1 percent to about 2.27 million.More typical for the industry was a 1 percent drop reported by Dow Jones & Co. Inc.'s flagship paper, the Wall Street Journal.
Newspaper companies have been fighting weak print advertising revenue growth and falling profits as more people use the Internet and other media to get their news.
Many companies have launched online editions of their papers, some of them updating news throughout the day, to keep their hold on audiences and compete with Web sites like those of Yahoo Inc. (Nasdaq:YHOO - news) and Google Inc. which gather news from multiple sources.
But newspaper Internet advertising sales have not offset the weakness seen in their print publications.
Still, the online newspaper audience is rising, the Newspaper Association said. Newspaper Web sites averaged about 56 million readers, or 37 percent of all online users, during the first quarter of 2006, according to research firm Nielsen//NetRatings. That is an 8 percent increase over the same period a year ago, the association said.
The Washington Post's daily and Sunday circulation figures were off about 4 percent. The Los Angeles Times' daily circulation fell more than 5 percent, while Sunday circulation was down nearly 2 percent.
Circulation also fell at newspapers that McClatchy Co. is buying from Knight Ridder Inc. and selling to other companies.
The San Jose Mercury News, which McClatchy plans to sell to MediaNews Group Inc., saw circulation fall almost 8 percent for its daily edition and almost 5 percent on Sundays. The Philadelphia Inquirer's daily and Sunday circulation figures fell more than 5 percent while the Daily News was off more than 9 percent.
Copyright 2006 Reuters Limited.
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