Philandjoe - I think Gannett's fate could go either way, which is why I am neither long nor short. Their debt to equity could be a real risk should we face a double-dip recession - a possibility either strong or weak, depending upon which pundits you consider most credible. On the other hand, Tonysong makes some good points regarding Gannett's recent cash flow history and debt repayment, as well as the prospect that Gannett's online business could fill in for what will likely be declining newspaper revenue (shared among most firms in this industry). For things to work, though, that online business does need to accelerate; Gannett's revenue has been declining 10 - 20% a year the last few years, and they can't sustain good cash flow should a trend like that continue.
Truenorth will undoubtedly call me either an idiot or clueless again (among his/her two favorite words on this board, as I read it) - c'est la vie. It looks like you've gotten the same treatment here Philandjoe, and I wouldn't put much store in it. As someone once said - "If you find yourself conversing with an idiot, make sure he isn't doing the same thing."