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The Markets February 6, 2009
Another Media Company Takes 401(k) Match Suspension Route
Las Vegas-based newspaper company Stephens Media LLC has suspended its 40(k) match to save money because of the bad economy.
Reported by Fred Schneyer
A report on the Arkansas Business.com Web site said President and CEO Sherman R. Frederick made the announcement in a January 31 letter to employees.
Frederick said the suspension of the match of up to 3% was effective immediately and would last for the rest of the year, according to the report. Frederick also announced a wage freeze for all publishers and managers.
“I take this step reluctantly, but it is necessary in order to help us maintain the financial health of the company,” Frederick said in the employee letter, according to the report.
Frederick added that the company’s newspapers “have been significantly affected” by “an uncertain and challenging time” in the industry.
The company joins a list of media companies that have suspended their 401(k) match, including two this week (see “McClatchy Suspends 401(k) Match’ and “Another Newspaper Announces Match Suspension’).