London-headquartered media giant Pearson undertook yesterday to decimate investment in FT.com, the online edition of its flagship Financial Timesdaily title.
Investors were up in arms after the recent publication of Pearson’s full-year results [WAMN: 5-Mar-01] in which it reported a 17% profit decline for 2000, attributing this to strategic reorganisation and internet spending of £196 million.
Despite the well known short-termism of the City of London and Wall Street, Pearson’s chief executive Marjorie Scardino professed surprise at the adverse reaction. But the moving finger having writ, she wisely took note and yesterday announced that online development spend in the current year will be pared to a mere £40m-£50m.
News Source: CampaignLive (UK)