(RTTNews) - The Washington Post Co. (WPO: News ) will close its last three U.S. news bureaus outside of the Washington, D.C. area, in a cost-cutting move, according to media reports on Tuesday. The decision effectively means The company will cover national stories from its base in Washington.

The decision by the company comes on the heels of four rounds of early-retirement buyouts and the closing or merging of several sections.

In a memo to staff, Marcus Brauchli, the Post's executive editor, reportedly said, "At a time of limited resources and increased competitive pressure, it's necessary to concentrate our journalistic firepower on our central mission of covering Washington and the news, trends and ideas that shape both the region and the country's politics, policies and government."

The six affected journalists from the bureaus in New York, Chicago and Los Angeles will reportedly be offered the opportunity to relocate to Washington, while three news assistants in those cities will lose their jobs.

The Post had already closed several national bureaus in recent years, including Austin, Denver and Miami, as its advertising revenue and circulation dropped and as more readers get their news over the Internet. The Post has more than a dozen foreign bureaus.
For the most recent third quarter, Washington Post reported a 69% surge in profit for the third quarter from last year to $17.05 million or $1.81 per share, as revenues grew 2% on increased growth at its education and cable television divisions. However, print advertising revenue at its flagship newspaper declined 28% year-over-year to $70 million, reflecting decreases in classified, general, zones and retail advertising. Newspaper publishing division revenue was $156.28 million, down 20% from the year-ago period.

In early October, Washington Post announced that the company and Bloomberg will launch a global news service. The Washington Post News Service with Bloomberg News will be available starting January 1, 2010 to news organizations, and will offer a selection of content from The Post and Bloomberg News stories to newspapers, web sites and other subscribers daily.

WPO closed Tuesday's regular trading session at $410.01, down $5.90 or 1.42% on a volume of 50,700 shares.

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by RTT Staff Writer

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