The New York Times vs. the Real World

From Smart Money:

NEW YORK -- New York Times Co. (NYT) Wednesday issued third-quarter and full-year earnings guidance below Wall Street expectations, citing a weak advertising environment in July and August.

The newspaper publisher said, however, that it is better prepared to deal with the slower-than-expected advertising recovery because it has lowered its capital spending level and cut expenses. The company added that September, the last month of the third quarter, is seasonally stronger than the prior two months and has been trending better.

Wait...the Times was facing economic problems, so it cut spending? Why not just hike the price of the paper and raise more revenue? Cut expenses? - that's crazy talk!