By: E&P Staff
The Spanish-language Texas newspaper Rumbo is scaling back in Houston and San Antonio. As of this week, the paper is dropping its frequency in those markets from 3 times a week to once a week.
Additionally, Edward Schumacher Matos, founder, chairman and CEO of the company, is stepping down. Lynn Cook, currently vice president for sales, has been named publisher.
“Our readership is exceptionally strong, and ad revenue grew 40% last year despite the challenges newspapers in general are facing,” Schumacher Matos said in a statement. “The main remaining goal is to continue growing sales. Lynne is a truly gifted sales leader and experienced senior executive, and I have tremendous faith in her ability to drive the growth of the company.”
Schumacher Matos will remain an advisor and major individual shareholder.
“Our move to a weekly format in all markets best responds to the trends in Hispanic media buying,” Cook said in a statement. “Advertisers have already strongly indicated their preference for Rumbo’s weekend editions, which are delivered to newsstands on Friday and Hispanic homes on Saturday. Those are the most popular days for readers. Now we can focus our resources on creating an even stronger product.”
Rumbo is published by Meximerica Media. The publication is distributed in Houston, San Antonio, and in Texas’ Rio Grande Valley.
Meximerica Media has experienced troubles since it was founded in 2003 with $16.5 million in funding. It started out as a daily and expanded into the Austin market. The paper scaled back, pulling out of Austin and dropping its frequency to three times a week. In April 2005 Meximerica lost its original investor the Madrid-based Recoletos Grupo de Comunicaci?n.
Meximerica is now funded by a group of investors co-led by Pinto America Growth Fund (PAGF) and Rustic Canyon Partners.