The UK's biggest newspaper publisher, Trinity Mirror, says the consumer spending slowdown is continuing to affect advertising sales.
And the company warns it expects the market to "remain extremely challenging" for the rest of the year.
Trinity has a portfolio of more than 500 media brands, including around 240 local and regional newspapers, five national newspapers and four sports titles, as well as more than 60 websites and a variety of magazines, directories and exhibitions.
In a statement ahead of half year results, the company says group advertising revenues are expected to fall 0.4% in the six months to July 3, compared with a 2.3% rise in the first four months of the year.
Its flagship title, the Daily Mirror is expected to show a 5.3% decline. The tabloid and its national stablemates have also been the subject of a rejected bid offer, it emerged last week [WAMN: 01-Jul-05].
Trinity's regional titles are expected to fare better, with a rise of 1.4% in the six month period, but it marks a slowdown from the 4% rise in the first four months of 2005.
Despite the general gloom, the company's board says it "expects a satisfactory outcome for the year".
Data sourced from Financial Times Online; additional content by WARC staff