(Continued)

In other news, newspapers still face long-term damage to their business from online local-search products, far greater than the damage done to classified advertising revenue by competitors like Monster.com and HotJobs.com, a new study, The Geo-Google Threat: Search Engines Target Local Advertising, reported Monday.

The study, by The Neil Budde Group and the Advanced Interactive Media Group, reports some newspapers may be forced to drop from daily to less frequent publication and that print margins are likely to erode as advertising migrates online and advertisers opt for pay-for-performance and self-service ad models.

On Tuesday, a Dutchman who pleaded guilty to swindling wealthy New Yorkers by promising an inside track to Google stock and then blowing $350,000 of their money in a three-month spending spree on hotels, restaurants and gambling, could face more than five years in prison. Mr. Rafiq, who was working as a business development manager for British Telecom in the city, offered the lure of "preferred stock", available to the founders' friends and families at the pre-flotation price of $12 a share.

In other developments, according to new analysis by Bigfoot Interactive, click-through rates (CTRs) for permission based e-mails maintained or bettered their levels from the fourth quarter of 2003, including CTRs for the media sector, which increased by 96% from last quarter to reach 4.9%.

Overall, most segments did well. Retail, financial services and media campaigns achieved 14%, 3% and 2% gains in delivery rates, respectively, with media campaigns managing a delivery rate of 93.3%, and financial services coming in at 92.4%. In terms of CTRs, the automotive sector boasted the best rate from promotional e-mails, followed by the retail and media sectors.

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