Newspapers unveil regional alliance

0 Comments | La Crosse Tribune, Jan 21, 1999

The La Crosse Tribune and the Winona (Minn.) Daily News announced plans Wednesday to create a regional production and distribution facility at the La Crosse newspaper over the next seven months.

The production center is the main component of a $3.5 million regional effort initiated by the Tribune and the Daily News, both of which are owned by Lee Enterprises Inc. of Davenport, Iowa.

By summer's end, the new production facility will be operational and both daily newspapers and their related products will be printed at and distributed from the La Crosse location.

In addition to the production and distribution facility, the two newspapers intend to centralize other functions, including financial, online and technical services,. as well as human resources. Administration, news gathering and sales for the Daily News will remain unchanged at the Winona office, said George Althoff, publisher of the Daily News.

The Daily News also announced it has negotiated an offer to purchase the former Home Federal Savings Bank building at 51 W. Fourth St., with intentions of moving to the downtown Winona location later this year. The Daily News is now located at 601 Franklin St.

The two newspapers employ nearly 300 people. All of the changes will result in a work force reduction of about 20 positions at the two newspaper over the next several months, mostly through attrition.

"This investment of $3.5 million comes on the heels of a new $2.5 million distribution center completed a year ago," said Tribune publisher Jim Santori. "This confirms our continued belief in the long-term health, growth and vitality of this region. With this effort, we believe we are poised to best serve our employees, readers and advertisers as we enter the new millennium."

Althoff also was enthusiastic about the project. "This investment in the Winona-La Crosse market will enable us to better serve our customers," Althoff said. "We'll be able to provide higher-quality products for our readers and better results for our advertisers. Investing in the market is part of our strategic plan to grow our readership and advertising base."

Althoff said the Daily News staff will focus its efforts on news gathering, advertising sales, circulation sales and delivery, and customer service.

A total of 14 press units and two folders will be installed at the regional production center, which will be capable of printing both daily newspapers simultaneously. On a regional basis, customers will benefit from the increased capacity of this regional production center as a result of improved quality, increased color capacity and improved efficiency by integrating the new press with higher-speed inserting and distribution equipment already in place.

The Daily News and Tribune also will be installing new electronic classified and newsroom computer systems that will enhance capabilities.

The Tribune has a circulation of about 38,000, while the Daily News circulation is about 12,500.

Lee Enterprises owns 21 daily newspapers, 75 weekly newspapers and specialty publications including the Foxxy Shoppers in La Crosse and Sparta--nine network-affiliated television stations, seven satellite television stations and divisions for direct marketing and commercial printing.