Amidst persistent whispers within Boston’s media and political circles about a potential sale of The Boston Globe, John Henry, the billionaire financier and principal owner of the Boston Red Sox, firmly denies any intention to sell the prominent New England newspaper. Nearly five years after acquiring the Globe, rumors have circulated suggesting Henry’s weariness with financial losses, prompting speculation about a possible exit. However, in a recent email interview, John Henry Boston directly addressed these concerns, stating unequivocally, “I don’t think of selling any local assets during my lifetime.”
Henry further emphasized his deep connection to the city, adding, “Linda and I love and are committed to this city.” His wife, Linda Pizzuti Henry, holds the title of Managing Director at the Boston Globe and maintains an active presence at the newspaper’s offices, reinforcing the family’s involvement.
In the email exchange, John Henry Boston addressed a range of questions concerning the Boston Globe’s current standing and future direction. While he refrained from commenting on the Kevin Cullen controversy and Hilary Sargent’s sexual harassment claims against Brian McGrory, Henry offered strong praise for McGrory’s leadership as editor. He highlighted McGrory’s strategic shift towards local reporting and his success in delivering “relevant, interesting and compelling stories across New England,” emphasizing the daily emergence of “can’t miss” content under his tenure.
Navigating the Digital Landscape and Financial Sustainability
Like many newspapers in the modern media landscape, the Boston Globe is strategically focused on expanding its digital subscriptions as a key path to financial stability. The publication had set an ambitious target of reaching 100,000 digital-only subscribers by the end of June, a crucial milestone towards the longer-term goal of 200,000 subscribers deemed essential for sustainable financial health.
To bolster these digital efforts, the Boston Globe is adopting Arc, The Washington Post’s acclaimed content-management system. This technological upgrade is expected to revitalize the Globe’s online presence, enhancing both its website and mobile platforms. According to Globe spokeswoman Jane Bowman, the Arc rollout is slated to commence in August, with phased updates throughout the fall culminating in full adoption by year-end. Bowman highlighted the anticipated benefits of Arc, stating it will “relaunch globe.com with a focus on site speed and driving user engagement.” Furthermore, Arc will power new iOS and Android apps for digital subscribers and provide the newsroom with advanced analytics tools to gain deeper insights into reader engagement patterns.
John Henry Boston on Journalistic Objectivity
In a thought-provoking statement, John Henry Boston shared his perspective on objectivity in journalism. He asserted that a news journalist, distinct from a columnist, “has an obligation to sift through whatever evidence he or she can find and give the reader what actually has happened or is happening to the best of his or her ability much like a juror in a courtroom is asked to do.” Henry expressed concern over the prevalent trend of news interpretation overshadowing factual reporting, arguing that “Today we get the news interpreted far too often rather than reported.”
Mixed Business Ventures and a Commitment to Quality Journalism
John Henry Boston’s endeavors to reshape the Boston Globe’s business model have yielded mixed results. Attempts to expand print sections proved unsuccessful due to insufficient advertising revenue. Crux, a website dedicated to Catholic Church coverage, was divested. The new $75 million printing plant in Taunton initially faced operational challenges, impacting print quality and delivery schedules, and leading to the loss of printing contracts with publications like the Boston Herald and USA Today. Additionally, a revamped Boston.com, designed to operate independently of the Globe content, struggled to gain traction.
However, there have been notable successes. Stat, the Globe’s health and life sciences news website, continues to thrive. The relocation of the newsroom and business operations from the outdated Dorchester plant to downtown Boston marked a significant modernization step. Importantly, the Boston Globe’s journalistic quality remains robust, with a substantial newsroom staff of approximately 220 full-time employees. This commitment to staffing contrasts sharply with the drastic staff reductions seen at other newspapers, such as the New York Daily News, highlighting John Henry Boston’s investment in maintaining a strong journalistic presence in Boston.
The interview concluded with a direct transcript of the email exchange between Dan Kennedy and John Henry Boston, providing further insights into Henry’s views on the Globe’s future and his commitment to Boston.
Q: From time to time people tell me that you are considering selling the Globe. Lately that kind of talk has been more persistent — I’ve heard people say that you’re tired of losing money and perhaps tired of the recent controversies. So: Are you planning to sell the Globe?
A: We have had no discussions about selling nor is anything contemplated. I don’t think of selling any local assets during my lifetime. Linda and I love and are committed to this city.
The Globe cannot ever seem to meet budgets — on either the revenue side or the expense side and I am not going to continue that. This has always been about sustainability rather than sizable, endless, annual losses. That is frustrating and due to a combination of mismanagement and a tough industry.
Q: If you are not planning to sell the Globe, are you committed to keeping it for the foreseeable future, which I’ll define as the next three to five years?
A: There is no time frame, honestly. We want to do our part and will, but ultimately the community’s support and the excellence of the paper will determine the long-term future.
I believe this community will support a news organization of this caliber. Brian has done a terrific job of early on moving us primarily into local reporting and over the past year or so has really moved us to more and more relevant, interesting and compelling stories across New England. Every day there are “can’t miss” stories.
Journalism is under attack in this country. We all know facts are under attack. Facts. What should be under attack in journalism these days are not facts but the lack of objective reporting. Personally I reject the notion that you can’t have highly objective reporting although the media seems to believe it isn’t possible. To me that is a long-held myth that has no place in a democracy. A news journalist (as opposed to a columnist) has an obligation to sift through whatever evidence he or she can find and give the reader what actually has happened or is happening to the best of his or her ability much like a juror in a courtroom is asked to do. Today we get the news interpreted far too often rather than reported.
Q: When I was doing my reporting for my book “The Return of the Moguls,” you and others told me that the Globe’s revenues were about $300 million a year. Could you tell me what they are today? What is the gap between revenues and expenses — in other words, how much are you losing?
A: The annual losses are just not sustainable but even if I personally felt that it was acceptable to continue losing significant sums, it does not put the news organization on the road to sustainability. Sooner or later it must sustain itself and it will — again though it will require the Globe convincing the community that it is worthwhile to support.
Q: Do you have concrete plans to fill the gap and move to break-even? You’ve had some success in charging for digital subscriptions, but what can you point to beyond that? How many digital-only subscribers do you now have — did you meet the 100,000 target that had been announced for the end of June?
A: Bridging the gap will not be easy but we have been working on it all year. Last week [early July] we were at 94,797 digital-only subscribers. While the numbers continue to grow, advertising revenues across the country are being gobbled up by Google and Facebook. Bloomberg today reported , “Omnicom Group suffered its biggest decline in nine years after posting sluggish results, renewing concerns that the ad giant can weather media disruption spurred by the likes of Google and Facebook.”
Q: Do you believe the Taunton printing problems have been straightened out or are at least under control? Contracted work was supposed to be a big part of your strategy, but you have lost customers, including the Boston Herald and USA Today. Do you have a strategy to sign up new customers or to lure back old ones (or both)?
A: Yes, and everyone there has been doing everything they can to reduce costs while at the same time getting used to new equipment that initially was extremely challenging.
Whether or not we print other publications comes down to cost primarily. Our cost structure was such that the Herald could be printed more cheaply out of the area. Our costs also led to minimal profit from printing other papers. If we can get our costs in line and be efficient enough we will have almost certainly have more commercial clients than The New York Times.
Q: When will you name a successor to editorial-page editor Ellen Clegg, who recently announced her retirement? [Clegg and I plan to work on a project together. See this disclosure .] Have you chosen anyone? Can you say who that is?
A: This is an extremely important position so we will take our time. Ellen has done a superb job for us and we will miss her.
Q: What do you expect the Globe’s adoption of The Washington Post’s Arc platform is going to accomplish for you? When will that be implemented?
A: I’m not the best person to talk with about this, but it is exciting. Our number one issue is reader experience and having an app experience across platforms as well as a new site will be great for readers.
WGBH News contributor Dan Kennedy is the author of “The Return of the Moguls: How Jeff Bezos and John Henry Are Remaking Newspapers for the Twenty-First Century.”
