Saturday, June 6, 2009

NYT Admits Errors in Its A1 Gitmo 'Recidivism' Story

The New York Times has published an Editors' Note that in essence says its front-page story on Guantanamo recidivism written by Elisabeth Bumiller was not accurate in saying that one of seven Gitmo detainees who have been releases have returned to terrorist activities.

Times Washington bureau chief Dean Baquet told TPMmuckraker that it wouldn't have been a Page 1 story if the paper realized the errors that it contained. "It's something that we thought we needed to explain to readers to amplify the story and to correct something we got wrong," Baquet told the website. Given the factual errors, "I'm not sure it would have led the paper" but still believes that the piece was "a legitimate news story.

"I don't think it's a mistake that's comparable to Iraq or the pre-war buildup. I think that's ridiculous. I think that's a ludicrous and politicized comparison. I think we made a mistake and we owned up to it."

Justin Elliot explains the mistake in his TPMmuckraker.com story:

The original story declared: "1 In 7 Detainees Rejoined Jihad, Pentagon Finds." But the story, which ran on the front of the print edition on May 21, was changed online to "Later Terror Link Cited for 1 in 7 Freed Detainees."

TPMmuckraker originally flagged the story's questionable use of "recidivism" and underlying issues about the Pentagon's numbers.

The editors' note, which is pasted in full below, acknowledges use of terms like "rejoined" and "recidivism" "accepted a premise of the report that all the former prisoners had been engaged in terrorism before their detention."

The original formulation of the story -- that one in seven detainees had "returned" to jihad -- was endlessly repeated on cable, picked up on right-wing blogs, and even cited more than once by Dick Cheney.

McClatchy and others have reported on evidence that some detainees may have in fact been radicalized while imprisoned at Gitmo.

Here's the full editors' note:

A front-page article and headline on May 21 reported findings from an unreleased Pentagon report about prisoners who have been transferred abroad from the American detention center in Guantánamo Bay, Cuba. The article said that the Pentagon had found about one in seven of former Guantánamo prisoners had "returned to terrorism or other militant activity," or as the headline put it, had "rejoined jihad."

Those phrases accepted a premise of the report that all the former prisoners had been engaged in terrorism before their detention. Because that premise remains unproved, the day the article appeared in the newspaper, editors changed the headline and the first paragraph on the Times Web site to refer to prisoners the report said had engaged in terrorism or militant activity since their release.

The article and headline also conflated two categories of former prisoners. In the Pentagon report, 27 former Guantánamo prisoners were described as having been confirmed as engaging in terrorism, with another 47 suspected of doing so without substantiation. The article should have distinguished between the two categories, to say that about one in 20 of former Guantánamo prisoners described in the Pentagon report were now said to be engaging in terrorism. (The larger share -- about one in seven --applies to the total number described in the report as confirmed or suspected of engaging in terrorism.)

Friday, June 5, 2009

U.S. Considers Unilateral Financial Sanctions Against North Korea

State Department officials said today that the United States is considering its own financial sanctions on North Korea above and beyond what might happen at the United Nations.

State Department spokesman P.J. Crowley told reporters that U.S. action "within the banking sector certainly did get North Korea's attention previously, and if we can find ways that we can do that, we will do so."

The sanctions would be in response to Pyongyang's recent nuclear test and its experimentation with long-range missiles.

Crowley told reporters that the goal of sanctions would be to force North Korea to return to the stalled nuclear disarmament talks. "That's our ultimate objective, and we will continue to use whatever levers that we see available and we think will be effective."

The State Department spokesman had little information on the fate of Euna Lee and Laura Ling, two American journalists held for trial in North Korea's top court on allegations they entered the country illegally and engaged in "hostile acts." The North's official news agency said the proceedings were to begin Thursday but no further details were available on Friday.

There is no independent confirmation that the trial of Laura Ling and Euna Lee was going on, Crowley said. He said the women had North Korean defense lawyers.

NYT Co.: Boston Globe Closure Is on a Very Real Path

In response to an inquiry by Adam Reilly of the Boston Phoenix, New York Times Co. spokeswoman Catherine Mathis emailed her comment on the possibility of the Globe's closure yesterday:

“Closure is a very real path for the Company to take. We have said that we need to achieve $20 million in savings from our unions in Boston. At the end of the ratification process (the drivers vote on Sunday and the Guild votes on Monday), we need to have secured the full amount. With the Guild we have two different paths to achieve savings of $10 million. One, ratification of the contract. Two, implementation of a 23 percent wage reduction. The Guild seems to believe it can reject the contract, prevent implementation and thereby force further negotiation. That’s not right. Time is of the essence.”

The backdrop to this is that Globe reporter Brian Mooney has been urging his fellow Boston Newspaper Guild members to vote no on the contract proposal this Monday. He expressed his belief that the Times Co. won't follow through on its threat to close the paper in an email to Reilly:
During the course of negotiations, the company has repeatedly engaged in punitive, bad-faith bargaining and basically committed an act of corporate terrorism with its threat to close the paper. They have traumatized their own employees, their employees' families, and the wider community that cares about and depends on this newspaper.

I think we've put to bed the notion that they can afford to make good on that threat, because the Times Company's own finances are so fragile, the cost of closing us would wreck the parent company. But the damage is done.

The deal was made on May 6 and calls for a 10 percent wage cut. It gives the company more flexibility with layoffs. The dollar figure behind the cuts are $10 million. The rank-and-file vote is Monday.

Thursday, June 4, 2009

Moody's Analyst: Newspapers' Cost Structure Squeezing the Life Out of Print

Moody’s Investors Service Senior Analyst John Puchalla let the newspaper industry have it today with a hard cold opinion of the industry's cost structure: There's too much money spent on printing and distribution and not enough on creating and selling content.

D'oh!

Puchella's report says just 14 percent of newspapers' cash operating costs, on average, is devoted to content creation, while about 70 percent of costs are devoted to printing, distribution and corporate functions. The remaining 16 percent of costs are related to advertising sales.

That means newspapers are spending too few resources to the principal revenue driver, the actual editorial content, and most of its money on delivering it to consumers. In any business, this would be a recipe for disaster (can you say, "GM?").

This recipe can only lead to future credit ratings downgrades. Most publicly traded newspapers already have ratings below investment grade. But brace yourself for what's to come, Puchalla warned. High fixed costs plus high debt equals tight cash flows and decreased revenues.

If newspapers can't monetize the content in new digital channels at the same level as with print, or cut structural costs enough to keep up with the changing competitive environment, the prospect of additional recapitalizations or shutdowns will grow, adding further pressure to ratings.

This disconnect is a legacy of the industry's vertical integration beyond content creation and into the production and distribution of newspapers.

Ultimately, we expect the industry will need to reverse the vertical integration strategy through cross-industry collaboration and outsourcing print production and distribution processes. Although newspapers may lose some of their in-house control over press time, they would also release resources to beef up investment in content and technology.

Laura Ling and Euna Lee's Trial to Start in About an Hour, AP Reports

The Associated Press reported that the North Korea's official news agency says the trial of two American journalists facing criminal charges will begin soon.

The Korean Central News Agency said Thursday that the trial will begin at 3 p.m. North Korean time (which is 7 a.m. GMT or 2 a.m. Eastern).

Laura Ling and Euna Lee were arrested in March near the North Korean border while on a reporting for former Vice President Al Gore's Current TV media venture. They are accused of illegal entry and "hostile acts."

Wednesday, June 3, 2009

Terry Harper's Final Post

Terry Harper, the 45-year-old executive director of the Society of Professional Journalists who died Tuesday after a valiant battle with brain cancer, wrote a final blog post.

It was posted by his wife, Lee Ann, after he died.

So this is it. I have shuffled loose the mortal coil. My soul has been hurled into the great void. I am taking the proverbial dirt nap. I bought the farm. I kicked the bucket. I have checked out. Crossed the River Styx. Bought a pine condo. Ceased to be. I am wandering the Elysian Fields. Gone belly up. Checked out. Cashed in. Sleeping with the fishes. Danced the last dance. Run down the curtain. I am pushing daisies. I have joined the choir invisible. I have paid Charon’s fare. I have succumbed. I have sprouted wings. I am history. I am dead.

If you would like to help the family, here’s how: Make checks payable to the “Harper Family Fund” and mail to:

Harper Family Fund
3909 N. Meridian Street
Indianapolis, IN 46208

You may also make a donation using the SPJ.org form.

Cards and letters of condolence may be sent to Terry’s wife Lee Ann, and their boys Dale and Jace, at:

680 Middle Drive
Indianapolis, IN 46201

SPJ.org posted this remembrance:
Terry was not only a steady, energetic and decisive leader, he was our friend. Terry and his family are in our thoughts and prayers.

For those of you who knew Terry, you won’t be surprised to hear there will be a “nontraditional” tribute to him on Saturday evening in the Indianapolis area. On Sunday evening, per Terry’s request, there will be a rip-roaring party in his honor. All are welcome to attend.

As news of Terry’s failing health spread the past few days, many of you asked how you could help. We have opened an account on behalf of Terry’s family. This money will be used as the family chooses during this difficult time. We will also later be announcing details for a more lasting tribute to Terry.

God bless him, and peace to his family and friends.

Tuesday, June 2, 2009

Lee Enterprises Wants 23-percent Wage Cut From St. Louis Post-Dispatch Guild Members

Lee Enterprises is asking members of the The Newspaper Guild of St. Louis to accept a 23 percent wage cut.

Owners of the St. Louis Post-Dispatch is proposing pay cuts of 15 percent in the first year, and 5 percent each in the second and third years of the contract, according to the guild’s website.

Therre isn't much comment from management. “We have always refrained from making any comment or discussing the substance of the negotiations,” said Dan Hayes, a spokesman for Lee, told the St. Louis Business Journal.

Guild members already voted 100-27 to agree to a second week of furloughs but only if Lee agreed to no layoffs during contract negotiations, the guild said on its site.

Lee also proposed the following contract changes, according to the guild's website:

• Ability to lay off employees for any reason

• The right to suspend employees for up to three days without “just cause”

• Eliminating paid maternity leave

• Cutting unpaid maternity leave in half, to 12 weeks maximum

• Eliminating retiree medical

• Eliminating retiree life insurance

• Eliminating 401(k) match

• Freezing Pulitzer Pension Plan

• Increasing employee share of medical premiums to 30 percent from 25 percent

• Eliminating the Pulitzer PPO medical plan

• Eliminating a set guaranteed base for commission sales reps

• Requiring outside sales reps to work unlimited unpaid overtime

• Eliminating company vehicles for photographers

• Eliminating shares of reprints for photographers

• The right to fire employees on sick leave after three months of absence. The contract now allows 18 months.

The Guild proposed longer funeral leave for the death of spouses and children, a larger cell-phone reimbursement, a mileage increase, enhanced severance packages after layoffs, additional holidays, a 401(k) match of up to 5 percent and overtime eligibility for columnists and outside ad reps.

The Bulletin in Philadelphia Closes a Second Time

For the second time, a Philadelphia newspaper called The Bulletin has stopped its presses.

About 25 staffers were told of the news in its Center City office yesterday by Thomas Rice, the investment banker who reinvented the Bulletin in 2004 after purchasing the naming rights from the family that had owned the paper.

The newspaper was famous for its conservative editorial slant. Never once did it gain a sold financial footing.

Staffers told the Daily News that for months paychecks had been late. Staffers, who declined to be identified, told the Daily News that they hadn't been paid for the last week and a half they've worked.

"I stayed here - we all stayed here - because we love newspapers," one staffer said. "It's kind of bittersweet, because I feel like I'm never going to work at a newspaper again."

The Philadelphia Bulletin was a daily evening newspaper published from 1847 to 1982. At one time it was the largest daily evening newspaper in the United States. Businessman William L. McLean bought the newspaper in 1895, and it was McLean's ancestors who sold the naming rights to Rice in 2004.

Monday, June 1, 2009

Newspaper Ad Revenue Plummets by $2.6 Billion in First Quarter

Newspapers revenue is off by $2.6 billion in the first quarter of this year compared to the same period in 2008, a new study shows.

Retail advertising sales for newspapers in the United States fell at an alarming, but not unexpected, rate of 23.7 percent in the first three months of 2009 compared to the same time period in 2008, according to the Newspaper Association of America. Retail advertising sales in the first quarter of 2008 was $4.360 billion nationwide. In the first quarter of 2009, it was $3.328 billion.

National advertising revenue fell from $1.527 billion in the first quarter of 2008 to $1.132 billion in the first quarter of 2009. That's a $395 million loss over the same time period, or 25.9 percent.

Print advertising sales fell by 29.7 percent to $5.9 billion in the first period of this year. Even online sales are taking a hit, falling 13.4 percent to $696.3 million.

But the biggest drop came in classified advertising revenue, which dropped from $2.537 billion in the first quarter of 2008 to $1.463 billion in the first quarter of 2009, the report said. That $1.074 billion loss represents a 42.3 percent decline. These numbers come on the heals of a Pew Research Center study that reported annual classified revenue for newspapers in 2000 was more than $19.608 billion, but in 2008 it was $9.975 billion.

In total, newspaper print and online advertising revenue fell from $9.230 billion in the first quarter of 2008 to $6.620 billion in the first quarter of 2009, representing a fall of $2.610 billion, or 28.3 percent.

Newspaper Layoffs in 2009 Climb Past 10,000

Updated at 10:24 a.m. Eastern, June 1, with Associated Press layoff of 263 people on May 20.

Newspapers and wire agencies laid off 1,084 people in May, the fewest in a month so far this year. But it was enough to push the annual total above the 10,000 mark.

The San Diego Union-Tribune accounted for 192 people as it reduced it staff by 18 percent three days after Platinum Equity, a Beverly Hills private equity firm, completed its acquisition of the paper from its longtime owner, the Copley Press Inc. In addition, the Associated Press announced that it was buying out 263 employees.

A slightly improving economy could be one reason for the slowdown in layoffs. But ad revenues are still down, and the end of June will mark the closing of the second quarter, which would be a prime time for management to trim staffs even more. During the first four months of the year, an average 2,198 people were let go each month. As of June 1, the total number of people laid off in newspapers stood at 10,014.

These numbers most likely do not reflect the total number of people laid off, as some newspapers have withheld information about their staff cuts, most notably Advance Publications, Gannett and Lee Enterprise.

In April, 1,381 people were laid off from newspapers in the United States. At least 3,943 people lost their jobs in newspapers in March. Here is a list of the newspapers that cut 1,492 people in February. Here are the newspapers that reported 2,114 layoffs in January.

Email me to report any job cuts in the newspaper industry.

May 29
Detroit Media Partnership, which oversees the business operations at The Detroit News and The Detroit Free-Press, 90 people. In addition, there will be 39 layoffs at the newspapers.

May 27
Tampa Tribune,
24 people.
USA Today, four advertising sales reps.
Nieman Narrative Digest, one person.

May 22
St. Louis Post-Dispatch
, 39 people in circulation and classified advertising departments.
Huntington (W.Va.) Herald-Dispatch, 24 people.
Palm Beach (Fla.) Daily News, 11 people.

May 21
Fort Collins (Colo.) Now
ceases publication, three people.

May 20
The Associated Press
, 263 people. Note from Erica Smith: Reports said AP gave a deadline to accept buyouts by June 22 and July 13, depending on the employee's department, and that 263 employees were eligible for those buyouts. It is unlikely all 263 would take the buyout offer, But reports dating back to November 2008 said AP would cut 10 percent of its staff, which is listed as 4,000 in its Linkedin profile.
The Hearld-Sun and The Chapel Hill Herald of Durham, N.C., seven people.
Salt Lake (Utah) Tribune, three people.
The American News in Aberdeen, S.D., 10 people.

May 19
The Advocate
of Baton Rouge, La., 49 people.
South Florida Sun-Sentinel in Ft. Lauderdale, Fla., 30 editorial employees.
The Honolulu Advertiser, 15 people.
The Richmond (Va.) Times Dispatch, five people.
The Huntsville (Ala.) Times, one person.

May 16
Cape Cod Media Group
in Hyannis, Mass., 11 people.

May 15
South Florida Sun-Sentinel in Ft. Lauderdale, Fla., 18 classified employees.

May 14
St. Cloud Times,
11 people as it outsources its printing.
The Telegraph and affiliated Cabinet Press of Hudson, N.H., eight people.

May 12
Fort Collins (Colo.) Coloradoan
outsources its printing to the Denver Post, 42 people.
News Corp.'s Dow Jones & Co., 32 newsroom employees.

May 11
San Fransico Chronicle, 39 people.
Los Angeles Daily News, one person.

May 7
San Diego Union-Tribune,
192 people.

May 6
Stillwater (Minn.) Courier
and its companion, the Lake Elmo Leader, cease publications; seven people.

May 2
Bloomsburg (Pa.) Press Enterprise
, four people.
Santa Barbara (Calif.) News-Press, 15 people.
The Arkansas Democrat-Gazette of Little Rock, Ark., 16 people.

May 1
The Morning Call of Allentown, Pa., 70 people.

Sunday News Shows Wrap-up

In case you were enjoying a leisurely Sunday afternoon with family and friends, here is a recap of the morning news shows courtesy of POLITICO.

Newspaper Layoffs in May Total 1,084 People; 10,014 Newspaper Employees Are Out of Work in 2009

Updated at 10:24 a.m. Eastern, June 1, with Associated Press layoff of 263 people on May 20.

Newspapers and wire agencies laid off 1,084 people in May, the fewest in a month so far this year, pushing the annual total above the 10,000 mark. The San Diego Union-Tribune accounted for 192 people as it reduced it staff by 18 percent three days after Platinum Equity, a Beverly Hills private equity firm, completed its acquisition of the paper from its longtime owner, the Copley Press Inc. In addition, the Associated Press announced that it was buying out 263 employees.

A slightly improving economy could be one reason for the slowdown in layoffs. But ad revenues are still down, and the end of June will mark the closing of the second quarter, which would be a prime time for management to trim staffs even more. During the first four months of the year, an average 2,198 people were let go each month. As of June 1, the total number of people laid off in newspapers stood at 10,014.

These numbers most likely do not reflect the total number of people laid off, as some newspapers have withheld information about their staff cuts, most notably Advance Publications, Gannett and Lee Enterprise.

In April, 1,381 people were laid off from newspapers in the United States. At least 3,943 people lost their jobs in newspapers in March. Here is a list of the newspapers that cut 1,492 people in February. Here are the newspapers that reported 2,256 layoffs in January.

Email me to report any job cuts in the newspaper industry.

May 29
Detroit Media Partnership, which oversees the business operations at The Detroit News and The Detroit Free-Press, 90 people. In addition, there will be 39 layoffs at the newspapers.

May 27
Tampa Tribune,
24 people.
USA Today, four advertising sales reps.
Nieman Narrative Digest, one person.

May 22
St. Louis Post-Dispatch
, 39 people in circulation and classified advertising departments.
Huntington (W.Va.) Herald-Dispatch, 24 people.
Palm Beach (Fla.) Daily News, 11 people.

May 21
Fort Collins (Colo.) Now
ceases publication, three people.

May 20
The Associated Press
, 263 people. Note from Erica Smith: Reports said AP gave a deadline to accept buyouts by June 22 and July 13, depending on the employee's department, and that 263 employees were eligible for those buyouts. It is unlikely all 263 would take the buyout offer, But reports dating back to November 2008 said AP would cut 10 percent of its staff, which is listed as 4,000 in its Linkedin profile.
The Hearld-Sun and The Chapel Hill Herald of Durham, N.C., seven people.
Salt Lake (Utah) Tribune, three people.
The American News in Aberdeen, S.D., 10 people.

May 19
The Advocate
of Baton Rouge, La., 49 people.
South Florida Sun-Sentinel in Ft. Lauderdale, Fla., 30 editorial employees.
The Honolulu Advertiser, 15 people.
The Richmond (Va.) Times Dispatch, five people.
The Huntsville (Ala.) Times, one person.

May 16
Cape Cod Media Group
in Hyannis, Mass., 11 people.

May 15
South Florida Sun-Sentinel in Ft. Lauderdale, Fla., 18 classified employees.

May 14
St. Cloud Times,
11 people as it outsources its printing.
The Telegraph and affiliated Cabinet Press of Hudson, N.H., eight people.

May 12
Fort Collins (Colo.) Coloradoan
outsources its printing to the Denver Post, 42 people.
News Corp.'s Dow Jones & Co., 32 newsroom employees.

May 11
San Fransico Chronicle, 39 people.
Los Angeles Daily News, one person.

May 7
San Diego Union-Tribune,
192 people.

May 6
Stillwater (Minn.) Courier
and its companion, the Lake Elmo Leader, cease publications; seven people.

May 2
Bloomsburg (Pa.) Press Enterprise
, four people.
Santa Barbara (Calif.) News-Press, 15 people.
The Arkansas Democrat-Gazette of Little Rock, Ark., 16 people.

May 1
The Morning Call of Allentown, Pa., 70 people.

Here are News Cycle's month-by-month lists of newspaper job cuts this year:

December -- 752 people.
November -- 293 people.
October -- 375 people.
September -- 347 people.
August -- 425 people.
July -- 2,505 people.
June -- 318 people.
May -- 1,084 people.
April -- 1,350 people.
March -- 3,943 people.
February -- 1,492 people.
January -- 2,256 people.

Email me to report any job cuts in the newspaper industry.

An Insider's View on How Journalism Works in Iran

Author and reporter Azadeh Moaveni, writing for Time magazine this morning, explores the difficulties for journalists reporting from Iran:

This loss of nuance can be seen in the recent case of Iranian-American journalist Roxana Saberi, whose story has been told by the Western media as that of a reporter shut down while in pursuit of the truth. The real story is far more complicated.

Iran's record of dealing with journalists is certainly stained – the Committee to Protect Journalists has called the country's Supreme Leader one of the world's worst enemies of the press, and several journalists and bloggers have died while in state custody.

But to work in Iran you must understand the system through which journalists gain access. This system is complicated and demands much from those it oversees, and anyone who has reported successfully there has been complicit with its entrenchment. I've reported in Iran since 1999, and written two books that openly describe what I've faced along the way. The authorities assigned me a minder, whom I called Mr. X in my books, charged with monitoring my activities and occasionally bullying me into not working at all. Our relationship over the years has been excruciating at times, but I've tried to keep sight of what he represents — a troubled government composed of both pragmatic and hard-line factions.

The latter believe that at heart all journalists are essentially spies, and the fact that they still allow so many foreign journalists to visit and operate out of Iran is no small step for a country that just 30 years ago was executing the Shah's officials on rooftops. Iran is not a Western democracy. Its newsworthiness is precisely what makes it such a dangerous and complicated beat for reporters. In such an atmosphere, practicing anything but the utmost caution is naïve. Those who flout the system do so primarily at their own expense.

Sunday, May 31, 2009

GM to File for Bankruptcy Monday, Slash 20,000 Jobs; Obama to Address Nation

General Motors will file a bankruptcy petition at 8 a.m. Eastern on Monday, CNN is reporting as it quotes a source with direct knowledge of the bankruptcy proceedings.

President Barack Obama will address the nation shortly before noon Eastern, the report says, in an effort to explain the rationale for the filing and his hopes for the future, two officials close to the situation told CNN.

"Today will rank as another historic day for the company -- the end of an old General Motors and the beginning of a new one," the administration stated in documents released Sunday.

Taxpayers will be the majority owners of the Chapter 11 company that at one time sold half the cars built in the United States. The “new GM” will get $30.1 billion in bankruptcy financing from the federal government. This is on top of the $19 billion it has already received in taxpayer funds. White House officials said that the Treasury “does not anticipate providing any additional assistance” beyond that. The federal government will have a 60 percent equity stake in the retooled automaker, and 12 percent will be held by the Canadian government, which is lending $9.5 billion to the company.

GM stock closed at about 75 cents a share on Friday, and is sure to be worthless soon.

Months ago, GM executives were telling people that the company would not file for bankruptcy.

“GM going through bankruptcy is a very positive thing for the auto industry: They should emerge as a reasonable competitor,” Len Blum, managing director at investment- banking firm Westwood Capital LLC in New York, told Bloomberg News. “The only thing that’s been holding GM back is labor contracts and relationships with debtors and franchisees. All that should be cleansed in a bankruptcy.”

CNN reported on the breakdown of ownership:
A trust established to fund health-care benefits for retirees of the United Auto Workers union will own 17.5 percent of the company, and get the right to purchase another 2.5 percent. The governments of Canada and Ontario will lend $9.5 billion and receive 12 percent of the equity in the new GM. Bondholders who lent GM $27 billion will forgo much of what they are owed and instead get a 10 percent share of the new company plus the right to secure another 15 percent.

In addition, investors who own 54 percent of those bonds have agreed to not fight plans for a quick bankruptcy. The deal could make it easier for GM to restructure by neutralizing some of the opposition to a bankruptcy filing.

GM intends to eliminate 20,000 jobs and close 11 factories by 2010. It will idle an additional three, but try to reopen a facility to build a new small car, administration officials said. CNN reports that it currently has 80,000 hourly and salaried U.S. employees, half of its workforce in 2001. GM has already said it will cut 40 percent of its 6,000 retail dealerships by next year and drop four brands -- Hummer, Saab, Saturn and Pontiac. CNN says GM dealerships employ 300,000 nationwide. In addition, there are hundreds of thousands of workers in the auto parts industry and GM suppliers whose livelihood depend on the automaker.