BOSTON, April 14 (UPI) -- BostonNOW was forced to shut down Monday because its investors face "tumult in foreign credit markets," an executive of the popular free daily newspaper said.
"The death of any newspaper is a sad thing," Chief Executive Officer Russel Pergament wrote on the BostonNOW Web site. "But the death of a vibrant, flourishing newspaper because of economic turmoil thousands of miles away is beyond sad and is something we never anticipated and for which we were totally unprepared.
"Our overseas investors are honorable people who have endeavored to fulfill all obligations to this newspaper," he added. "But the tumult in foreign credit markets has forced a change in our original understanding and their focus now appears to be primarily upon their core retail holdings. North American media is not even a distant second."
Publisher Mike Schroeder said on the Web site the newspaper, still in its first year, "is right on track" to be profitable in its third year.
"So this decision by our overseas investors, while perhaps understandable, is deeply troubling," said Schroeder.
