Salon May Close Shop Soon; Management Confident of Survival


Salon Media Group warned investors Friday that it may have to close shop if it can’t raise additional working capital this month, but the CEO says he’s not worried. Salon ended the third quarter with a loss of $1.2 million, compared with a loss of $1.37 million in the year-ago quarter. Revenues came in at $1.14 million vs. $1.13 million in the year-ago quarter.

“Salon said it had about 47,300 active paying subscribers as of Dec. 31. O’Donnell said the company now has more than 50,000 subscribers and a renewal rate of about 71 percent. The company said it is contemplating selling its prepaid advertising rights valued at $5.6 million as of Dec. 31 to raise between $1 million and $3 million in cash.”

Also read: Salon: May Not Survive Beyond February.

Also read the full 10K report from Salon.

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