Ad revenue at U.S. newspapers was down 10 percent to US$6 billion in the first quarter, from $6.6 billion in the same period in 2009, according to the data released by the Newspaper Association of America.

It was the smallest drop since late 2007, according to the Associated Press article posted on USA Today.

Compared to $11.1 billion ad revenue in the first quarter four years ago, the newspaper industry is now 46 percent loss, the AP reported.

Although still in decline, the trend in the first quarter indicated that the misery should not last much longer - the year-over-year declines in ad revenue have eased in the last three quarters.

NAA also shows U.S. newspapers reported their first gain in online ad sales, up 4.9 percent to $730.4 million, while print advertising plunged 11 percent to $5.25 billion, according to the Bloomberg article posted on Business Week.

Internet ad sales had been a sweet spot for newspapers, which grew 30 percent or more since 2004.