Moody's Investors Service downgraded the credit ratings of Gannett Co. Monday, the Associated Press reported.

The ratings agency, concerning the publisher's falling ad revenue, said that 2009 "will be incrementally challenging for the company's newspaper and broadcast operations."

Moody's lowered Gannett's senior unsecured rating from "Baa3" from "Baa2", still in a still-investment grade. It also lowered its rating on commercial paper to "Prime-3" from "Prime-2," the Associated Press reported.

Gannett is still on watch for further rating changes, according to the agency.

The downgrading came just days after Gannett announced a 36-percent decline in earnings during the fourth quarter. It will take a write down of up to $5.9 billion due to the declining value of its publication, the company said.

The publisher's entire debt structure is set to mature by April 2012. Moody's said the multibillion dollar write down is "reflective of the rapid pace of cash flow erosion," according to the AP article posted on Yahoo Finance.

Gannett's price dropped 46 cents, or 8 percent, to $5.31 Monday.