AP CEO: News service must adapt to changing times

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WASHINGTON — AP President and CEO Tom Curley assured newspaper members Wednesday that the news cooperative hasn't changed its fundamental mission, but must have a more flexible business model to meet the changing dynamic of the media industry.

"We know we have to adjust. We know we have to move from carbon copy to electronic," said Curley. "But we were put in business to save newspapers money, to cover distant events, specifically international events, to innovate on the speed of news delivered to get content to you faster, and report as an independent source."

Curley said that as people increasingly move to the Internet for news, The Associated Press is trying to help struggling newspapers by offering price cuts, expanding video and business coverage, and creating a digital database where members can exchange content. He spoke at the annual conferences of the American Society of Newspaper Editors and the Newspaper Association of America.

The company announced earlier this week that it would further cut fees paid by newspaper members. In all, the savings would total up to $21 million, representing 10 percent of the fees that member newspapers pay the AP, the company said.

The AP also plans a major overhaul of the way it prices and packages news for its 1,500 daily U.S. newspapers. Instead of offering news feeds defined largely by the volume of news delivered, the plan would focus on a core service of all national, state and international breaking news. There would be separate add-ons of premium services.

The change in news packaging drew complaints from several members at the conference.

Martin Baron, editor of The Boston Globe, said the AP hasn't provided enough specifics about the new pricing plan. The Boston Globe is owned by The New York Times Co.

"I can't sit here today and tell you that we at The Boston Globe are going to save any money from this program because I quite frankly have a hard time understanding the program," he said.

Baron said he didn't understand which stories would be part of the new packages and has not received answers from the AP.

Curley said more specifics on the story selection of the packages would come in July.

Executive Editor Ron Royhab of The Blade in Toledo said the pricing plan was confusing.

David Shribman, vice president and executive editor of the Pittsburgh Post-Gazette, told Curley that his paper is getting too many enterprise stories from the AP and not enough of the day-to-day coverage it needs. "I think you vastly underestimate the resentment and anger in this room over the AP's policy," he said.

Block Communications Inc. owns both The Blade and the Pittsburgh Post-Gazette.

Curley said the company is trying to respond to member needs and wants to hear from member newspapers about AP services.

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On the Net:

American Society of Newspaper Editors: http://www.asne.org

Newspaper Association of America: http://www.naa.org

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