Bliss acquires string of community newspapers

By JIM LEUTE ( Contact )   Tuesday, June 17, 2008
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— Bliss Communications, the publisher of The Janesville Gazette and several other daily newspapers, announced today that it has acquired Community Shoppers Inc. and its family of free distribution publications.

CSI publishes Walworth County Shopper Advertiser, Walworth County Sunday, Stateline News of Beloit and the Janesville Messenger. They will become part of Walworth County Publishing, a Bliss division that currently publishes The Week, Thursday Week and a variety of specialty publications.

Terms of the deal with CSI owners Steve and Cindy Karstaedt were not disclosed, but Sidney H. “Skip” Bliss said the acquisition is the largest in his company’s history.

“These community newspapers and shoppers have served a large number of readers and advertisers throughout southern Wisconsin and northern Illinois for many years, providing them with great information and proven results,” said Bliss, president of Bliss Communications.

“We are proud to welcome them into our fine family of publications.”

Bliss said publication of the Sunday Week will end in August, and its content will be consolidated into Walworth County Sunday.

CSI employs more than 100 people, a majority of whom will join the Bliss operation. Dan Pyfer, CSI’s former general manager, has been named vice president and general manager of the renamed company, CSI Media.

As part of the consolidation, Bliss said some positions in his current Walworth County operation will be eliminated.

Today’s announcement comes on the heels of another significant Bliss investment. In October, the company opened a $22 million printing and distribution center on Janesville’s east side.

The deal includes CSI’s printing and inserting facility in Delavan, which Bliss said has capabilities that are different from those of his company’s new facility. The Delavan plant will give Bliss more options in securing commercial printing business, he said.

“It is without a doubt a big undertaking,” Bliss said of the acquisition. “Business and investment icon Warren Buffet was once asked, ‘When is the best time to buy a good company?’

“His response—‘When it’s for sale.’”

In addition to The Janesville Gazette, Bliss operates radio stations WCLO and WJVL in Janesville. It publishes daily newspapers in Monroe, Marinette and Ironwood, Mich., as well as the Freeport Shopping News in Freeport, Ill.

The company, which this year will mark 125 years of Bliss family ownership, also operates AM and FM radio stations in West Bend and Racine.







reader COMMENTS (35)
citizenmom
Jun 23, 2008 at 12:58 p.m.
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I currently work for CSI. Yes, it is too bad for The Week. But I understand it was kept going as long as possible, even when losing money week after week. Only time will tell for all the current employees of CSI, but I haven't heard a bad thing yet about Bliss. A former, and a current employee of the Gazette, both say the benefits are great. We haven't gone "full Bliss' yet, but I think all the CSI employees are looking forward to it.

tfaude
Jun 19, 2008 at 3:44 p.m.
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HockeyJockey, you're right, I've not looked at the Messenger lately. I was referring mainly to the Walworth County Shopper paper they put out. My apologies for the assumption that all the CSI papers were similar in style and content.

craigholmes
Jun 19, 2008 at 3:33 p.m.
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A few things:

There are still other ways to advertise in Janesville that do not involve Bliss Communications. There are other radio stations, direct mail, and billboard exposure opportunities.

Also, if you believe that this is a Monopoly, the monopoly would not be the G.A.Z.E.T.T.E. it would be Bliss Communications.

I commend the organization and the family, to be further committing themselves to a community that has seen nothing but fleeing corporations in recent months. Thank you for putting your roots a little deeper, and offering our community a little more stability in unstable times.

Hockeyjockey
Jun 19, 2008 at 3:25 p.m.
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tfaude, You obviously haven't picked up the Messenger lately. They used to only run stories on advertisers, but a couple of years ago they totally changed look and format, hired reporters, and started reporting a lot of local news and incorporated local columnists. It appeared obvious they were trying to be more of a competitor to the Gazette. Interestingly, when the Gazette changed their look and their focus last year, it ended up looking more like the new Messenger.
It will be interesting to see how the content changes in the Messenger after the merger is complete. Or even if they keep the name "Messenger" or revert to the "Jotter."

MikeF
Jun 19, 2008 at 2:14 p.m.
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With the cost of printing and distribution, I do not think another newspaper will appear in the area. The national trend is towards consolidation, not expansion of local newspapers. Instead, it will be an online news source. Somebody will put together a news crew and website and sell advertising on it. Think of this site, without the physical paper component. There will still be reporter and editor jobs, but no printing and distribution related ones.

sfcm
Jun 19, 2008 at 2:06 p.m.
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I heard someone yesterday predict that a new newspaper/publication company would pop up within the next year or so in the Janesville area. I didn't get too much of a chance to pick his brain about this, but it is someone who I deem a sensible individual. Any thoughts on this?

tfaude
Jun 19, 2008 at 1:09 p.m.
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Could much of anything previously published by CSI really be considered "news" to begin with? It was mostly just stories about companies that advertise with them. Hardly newsworthy. Some of you seem to be up in arms because Bliss acquired 3-4 new newspapers. But, those papers didn't report news, they simply were large compilations of advertising. I have issues with how CSI was previously managed so I think having Bliss take over can only lead to good things in the long run. It is sad that so many people lost their jobs in the acquisition and I sincerely hope those affected find good paying jobs soon!

sfcm
Jun 19, 2008 at 11:53 a.m.
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jbrown--you ask if surrounding cities do a better job of giving us our local news. That's a moot question. That task is not up to the Madison, Rockford, Beloit, Whitewater, or Fort Atkinson news teams. It is now wholly the responsibility of Bliss Communications. I believe lakennedy's argument is that competition is healthy for news and journalism. Now that Bliss owns CSI--previously their only news competition--the same editors and journalists control what I read EVERY time I pick up a newspaper from the doorstep. What ramifications does that have besides repeat (and in your opinion--more resourceful and better) reporting for WCLO and The Gazette? By the by--do you work for Bliss?

jbrown
Jun 19, 2008 at 10:36 a.m.
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I'm very familiar with the NPR story. That story did have some flaws however. In the story the reporter made several mistakes. Sloppy journalism I.M.O. I'll point out 2. He called Bob Dailey the News Director. Mr. Dailey is the General Manager/VP of Broadcasting. Opps! And they interviewed 1 person who claimed that Bliss no longer covers the school board meetings. Also not true. I wonder if the Gazette/CLO staff was allowed to defend those claims? I'm guessing not. For now, you and I will have to agree to disagree on the matter. I still feel that Bliss being Live & Local is more important than any syndicated news outlet you'll read/hear in our area. Does the Madison, Rockford, Beloit, or even Whitewater or Fort Atkinson "media" do a better job giving you your local news? I sure don't think so. I feel that Bliss is showing how using all it's resources, actually means more news and they are serving the public better. You still have other choices. You don't like the Gazette/CLO/JVL, read the BDN or listen to 107-3 or 105-9. (or the countless other stations you can hear from Madison/Rockford/Monroe/Whitewater/Fort Atkinson)

lakennedy
Jun 19, 2008 at 8:12 a.m.
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jbrown,
I guess I was just wondering where you read in my post that I thought it was "okay" for companies such as Clear Channel Mid-west Broadcasting, and Cumulus broadcasting to control as much news as they do?

I obviously do not. And, I admit that my information was not accurate when describing Bliss Communications as one of only two companies grandfathered in.

That being said, jbrown, I still maintain that it is dangerous for ANY media outlet to control as much news as Bliss Communications does. While you argue that since WCLO and the Gazette have started working together, rather against one another, the quality of their news has improved, I argue that it has not. Competition amongst news providers is crucial to the quality of the news provided. Since WCLO and the Gazette have started "working together" by sharing sources, etc. the spectrum of viewpoints regarding a certain story has shrunk.

While I agree that there are still other outlets of news for readers to turn to in outfits such as Rock/Walworth/Jefferson Counties, their primary function is not to report the local news made right here in Janesville.

NPR had an excellent segment regarding Bliss Communications, it isn't terribly time consuming, take a listen:

http://www.npr.org/templates/player/medi...

jbrown
Jun 19, 2008 at 12:11 a.m.
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lakennedy,
I'd like to ask you how you feel about companies like Clear Channel, Mid-West Family Broadcasting, or Cumulus Broadcasting? Why is it o.k. for those companies to own and operate as many radio stations as they want (some have as many as 8), in the very same city/market. Yet because Bliss owns a Newspaper in Janesville, he's not allowed to buy any more radio stations in and around this area. What sense does that make? Believe what you want, but since the Gazette and the WCLO News Departments have started "working together" instead of against each other, you are actually getting more "local news" than you did prior. Bliss Communications (Radio and Print) are giving their listeners/readers MORE than they ever have. They are now covering more events and more meetings. And when one doesn't get the story, the other does. And they now share that information. There's more than just 2 companies in the country that are "grandfathered in" who own several forms of media. (Newspaper, TV, Radio). Further more, there are still other forms of media right here in Rock/Jefferson/Walworth County, so I don't think you have anything to worry about as far as "power of the bliss media" is concerned.

turkeyman
Jun 18, 2008 at 8:51 p.m.
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I just heard that everyone who worked for The Week
except 2 lost their jobs.

displacedworker
Jun 18, 2008 at 4:13 p.m.
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btw that was a very sincere form of sarcasm. FYI.

displacedworker
Jun 18, 2008 at 4:12 p.m.
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i personally like the free papers. those along with gazettextra really are awesome. hope this dosnt change. If you are really to lazy to get off the couch and take a 6 ounce paper and toss it in the recycle bin then I dont feel bad for you and your mount everest sized stack of free kindling.

sfcm
Jun 18, 2008 at 4:04 p.m.
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CK--do you know if Bliss will keep the deliverers as employees or if they will be contracted out? I'm also a former employee of CSI--second generation, actually. I enjoyed working for them and my supervisor was one of the best I have ever worked for. I get some pretty crazy looks when I tell people that I look forward to receiving The Messenger, and read it cover to cover. I hope Bliss doesn't whack that paper up like they did The Jotter...

deltafox5674
Jun 18, 2008 at 3:42 p.m.
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I agree with etown.
Nothing says your on vacation, or away on business more than a front stoop filled with CSI's weekly papers all piled high...

Seabee
Jun 18, 2008 at 3:40 p.m.
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I save up the free papers for a few months, then go dump them on their publisher's front stoop.

etown
Jun 18, 2008 at 3:30 p.m.
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irishmafia, i also hate the way they just toss these papers whereever , and now even phone books are tossed on the ground , someone need s to come up with a law to prohibit this , if you or i threw something on the ground at someone s house weekly it would be called littering

etown
Jun 18, 2008 at 3:28 p.m.
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janesvillean, i doubt that number includes delivery people, i have called the gazette several times about their carriers driving down the wrong side of the road,and im told the same thing every time, they are not our employees they are contract workers , call the police ,

CK
Jun 18, 2008 at 2:28 p.m.
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My name is Chris Karstaedt and a former staff writer for Community Shoppers and fourth generation in my family to work there. I would like to take the time to thank everyone for reading and enjoying our publications. There are a lot of good and hard working people there who did everything possible to ensure that we continued to publish a high quality product. My family was fortunate enough to retire with the company financially sound, were able to keep the company locally owned and jobs secure. I am sure that Bliss Communications will keep providing the Janesville,Walworth County and Stateline communities with a great publication that my family worked so hard to provide every week for generations.

Again,
Thank you for enjoying our publications.

lakennedy
Jun 18, 2008 at 2:26 p.m.
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Huh. I love how Skip Bliss is "proud to welcome them into their fine family of publications." I'm sure the employees who will lose their jobs during the consolidation process are just as proud of this buyout.

I understand that the loss of employment is often an unfortunate side effect of a consolidation, but I still feel badly for the families affected, and they deserve more consideration than this article gives them.

Furthermore, I'm very concerned about the amount of media that is under the control of Bliss Communications. They are already one of the few (I believe only two exist in the country) companies that own and operate both a newspaper and a radio station. My concern over this does not rise from the quality of Bliss Communications newspapers/radio broadcasts, but the fact that Janesvillians have ONE entity dictating what is newsworthy, and what isn't.

While I acknowledge that no one is stopping us from getting news from other sources, I think there is something to be said for the amount of power Bliss Communications has bought. Regardless of your personal views regarding their newest acquisition, one cannot argue that the media has enormous power. Bliss Communications now has the privelage/opportunity/responsibility of being the sole provider of our local news.

Irish_Mafia78
Jun 18, 2008 at 10:42 a.m.
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This is interesting and all... but I still don't want all those free papers littering up my front lawn and doorstep.

Even when I call to stop the delivery... I still get them.

deltafox5674
Jun 18, 2008 at 9:40 a.m.
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Sure Can!
G.A.Z.E.T.T.E.

onelife2live
Jun 18, 2008 at 3:35 a.m.
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Can anyone spell local monopoly on the the media?

wisconsinheat
Jun 17, 2008 at 11:42 p.m.
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So, the bottom line is; if it fits your investment strategy (whatever it may be) at the time, go for it.
.
And, no matter how ridiculous Buffet's one liners may seem...you can't argue (convincingly anyway)with success.

kiowamohican
Jun 17, 2008 at 11:27 p.m.
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Sounds like Bliss is building a mighty empire, in very turbulent economic times! Pretty bold to buy anything right now, with all major publishing company stocks (that are publicly traded) in the toilet. However; often times the best time to buy is in the midst of of uncertain times, as you often get bargain base prices.
.

I never understand some of the ridiculous one liners of Buffet. Yeah the guy is worth billions from investing, but come on "when it's for sale" (rolling my eyes). If that's the case, ANY good company is for sale if you offer enough $$$, or try to take it over by buying out the majority shares.

rwentzel
Jun 17, 2008 at 9:51 p.m.
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The Gazette was granfathered for the radio stations and now are allowed to get more papers. This is not right and will cost us all in the end.

truth1
Jun 17, 2008 at 8:23 p.m.
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I hope they keep up the local editorials which were gutsy, tell-the-truth articles.

turkeyman
Jun 17, 2008 at 6:13 p.m.
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What will happen to the Jotter? Are they going to combine with the Messenger?

janesvillean
Jun 17, 2008 at 4:39 p.m.
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100 people? I'm astonished, even for four papers. Does that include delivery personnel?
.
I'm also curious whether the editorial stance of the Messenger will change. They run all those Cato/Heritage right-wing-with-a-smile columns now (although to their credit those aren't the only ones they run). I've really wondered how well all that War on Terra Forevah jingoism goes over with a Janesville audience.

toasty2k
Jun 17, 2008 at 3:44 p.m.
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yippy!

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