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Discusses problems at 'The New York Times' following the resignation of reporter Jayson Blair under charges of plagiarism and fabrication. Contentious meeting of the newspaper's staff; Resentment of many staffers over the management style of executive editor Howell Raines; Implications of the incident for U.S. journalism; How the Blair incident highlights a general erosion of public trust in the media; Issue of race; Publisher Arthur Sulzberger Jr.'s defense of Raines; Outlook.

Recalls the shutdown of three New York newspapers in 1966 because of the failure of unions to reach agreement on another contract. What hastened the demise of the 'Herald Tribune' newspaper; Reason for the creation of the Newspaper Preservation Act.

Comments on the fraudulent reporting of black 'New York Times' reporter Jayson Blair, who resigned. How publisher Arthur Sulzberger Jr. encouraged staffers to be candid; Topic of quota systems in newsrooms; Implications of hiring underqualified people; The rising pressures to relax standards; Ideology of diversity and its impact on coverage; Issue of credibility.

Metro International, which launched its first free daily newspaper in Stockholm in 1995, now publishes editions in 54 cities in 16 countries and 14 languages. Its combined circulation of more than five million makes it the third-largest newspaper in the world. But building a global newspaper, especially one that's free, isn't the same as selling desks or dresses. In its nine years of existence, Metro has made a profit only twice. Last year it lost $7 million on sales of $204 million. In early May it launched a New York City edition. The company's strategy in New York, as elsewhere, is to target commuters and youth. The tabloid with the green logo is distributed on street corners and in subway stations and supermarkets--wherever people are on the move. Its mix of short wire-service news stories and celebrity tidbits has attracted many first-time newspaper readers. Forty percent of Metro's audience worldwide is under the age of 30. Metro has deep pockets and a relatively low cost structure. It relies on a small staff of journalists spread around the world, outsources most of its production, and is backed by the Kinnevik Group, a Swedish media and telecom conglomerate, which owns 68% of Metro's stock.

Focuses on speculations that Tribune Media Services Inc. is planning to launch a city edition of its 'Newsday' newspaper in New York City. Company's hiring of veteran news editors to expand the paper's coverage of the police in Manhattan; Indications of an increased city focus and possible expansion across the regions' boroughs.