A. H. Belo Corp., a Dallas-based newspaper publisher, said Wednesday that it is taking steps to explore a possible sale of the Providence Journal newspaper in Rhode Island as the company looks to focus on growing in Dallas.
“A sale of the Providence Journal would generate additional cash proceeds to potentially invest in or buy advertising and marketing services companies to grow and diversify revenues and to finance further share repurchases in the future,” A.H. Belo said in a press release.
The company said it hired Stephen Inc. to help it explore its options.
In a statement, Jim Moroney, A.H. Belo’s chairman, president and chief executive, said, “The Providence Journal is an important financial contributor to our company, and the newspaper’s commitment to the citizens of Providence and Rhode Island is unmatched. However, with A. H. Belo’s focus on investing and growing in Dallas, it makes sense to explore this opportunity.”
Besides the Providence Journal, A.H. Belo publishes the Dallas Morning News.
In general, the newspaper is struggling as it loses readers and advertising dollars to the Internet. The New York Times Co. recently sold The Boston Globe, along with BostonGlobe.com, Boston.com, and other assets including the Worcester Telegram & Gazette, to John W. Henry, the principal owner of the Boston Red Sox.
Last month, Henry said that he is looking to sell the Telegram & Gazette.
Chris Reidy can be reached at email@example.com.