Reader's Digest Association said revenue in the second quarter totaled $84.5 million, down 22.5% from the quarter a year earlier as a result of a shrinking portfolio, declining subscription renewals, lower books sales and a decline in advertising in Canada.The company reported an operating loss of $93.2 million, reflecting a write-down of $113.4 million due to "changes in our long-term views due to lower than expected revenue and operating results" and "declines in prevailing market conditions in publishing and direct-marketing industries," it said.
Over the past year the company has sold Every Day With Rachael Ray magazine, the formerly high-flying food title, and Allrecipes.com, the large food website, as part of its latest effort at transformation. It also shut down Fresh Home, a 2009 launch aimed at the young and budget-conscious.
