The latest on staff cuts at The Indianapolis Star

November 20, 2008

TO: Star Employees

FR: Michael G. Kane

RE: Update

About three weeks ago, I informed you that we must reduce our 2009 operating expenses in line with lower revenue projections. At the time, I estimated this included the possible elimination of up to 95 positions here.

As we sorted through our options - which included examining every alternative besides reducing staff - I now believe we can limit our reductions to fewer than 55 employees in early December.

This is not easy, but I want you to know where we stand.

I plan on conducting a series of employee meetings in mid-December (tentatively planned for Dec. 17-18) to discuss 2009 plans. In the meantime, you'll be interested to know that Gannett's Chairman, President and Chief Executive Officer Craig Dubow, and U.S. Community Publishing Group's President Bob Dickey, plan to visit Indianapolis very soon to talk about the company's future direction.

If there's anything you'd like to discuss, my door is always open and I respond to all phone calls and emails. You also may contact The Star's VP/Human Resources James Keough or your department head.

Thanks to all of you for the courtesy and professionalism you've shown as we work through these difficult times.

Michael