Book publishing is a slow-growth business. But big media companies may be able to sell their book divisions to private equity firms.
There are new novels from popular authors like Stephen King, Michael Crichton and James Patterson, not to mention a Hannibal Lecter prequel from Thomas Harris. Jonathan Grisham has a non-fiction book out that has been near the top of the best-seller lists for the past few weeks. The big guns are all in stores for the holidays.
Yet, book publishing remains a tough business with little or no growth to be found. CBS, which owns publisher Simon & Schuster, reported that sales from its book division rose only 2 percent in the third quarter while operating profits were down 13 percent. For the first three quarters of 2006, sales were up only 5 percent and operating profits were flat.
More at money.cnn.com 12/18/96
Posted by P. Kaufman at December 19, 2006 1:45 PM