The one last hope failing newspapers could hold onto is that the online versions of their products would grow enough to offset falling print profits. The most recent earnings from the largest chains have raised the question of whether that is possible. Results from The Washington Post Company (NYSE: WPO) have diminished the dream even further.

The numbers for the company's flagship paper, The Washington Post, were remarkably poor. According to The Wall Street Journal (subscription required), "Print ad revenue at the paper declined 22% to $99.8 million in the quarter, compared with an 11% decline in the first quarter." One of the nation's most respected newspapers is simply falling apart.

Online growth at the Post was anemic. It increased only 4% to $29.3 million, not nearly enough to have any meaningful impact on earnings.

The question keeps coming up about what newspapers can do. The stock prices of several of the chains are down over 80% during the last year. Many of these companies have large debt loads.

The only realistic solution may be that editorial staffs will have to be cut by 50% or more. Papers may decide to put out 8 to 16 page news summaries each day in the place of their current products. These smaller papers would point users to their internet sites to get full stories and complete coverage. It would save substantial money on paper and distribution, and it just might force large numbers of readers to web editions. At least that would give the companies a chance, something they do not have now.

Douglas A. McIntyre is an editor at 247wallst.com.

MOST NOTEWORTHY: Washington Post, Harvest Natural, Memc Electronic Materials and Boston Private Financial were today's noteworthy upgrades:

• Deutsche Bank upgraded shares of The Washington Post Company (NYSE: WPO to Buy from Hold to reflect the company's exposure to the counter-cyclical education division.
• Jefferies upgraded shares of Harvest Natural Resources Inc. (NYSE: HNR) to Buy from Hold and raised their target to $17 from $11 after the company received final approval in the conversion to a mixed company. They note that conversion clears the way for renewed investment.
• Friedman Billings added Memc Electronic Materials Inc (NYSE: WFR) to its Top Picks List following its Q3 report and guidance as "solar wafer contracts," not including spot poly, are expected to increase from 15% of the total to 35%-40% in CY08 and greater than 50% in CY09.
• William Blair raised its rating on Boston Private Financial Holdings Inc (NASDAQ: BPFH) to Outperform from Market Perform after the better-than-expected Q3 results.

OTHER UPGRADES:

• Goldman added Dell Inc (NASDAQ: DELL) to its Conviction Buy List.
• NTT DoCoMo Inc (NYSE: DCM) was upgraded to Hold from Sell at Citigroup and to Buy from Neutral at UBS.
• Credit Suisse upgraded Cardinal Health Incorporated (NYSE: CAH) to Outperform from Neutral.
• Merrill upgraded Coca-Cola Femsa SA (NYSE: KOF) and Northeast Utilities (NYSE: NU) to Buy from Neutral.