More Bad News From PlanetOut

PlanetOut has released their 2007 figures and the news is pretty bad:.

Gay and lesbian focused web media company PlanetOut Inc. reported a loss of $51.2 million for 2007. In 2006, the San Francisco company (NASDAQ: LGBT) lost $3.7 million. Sales fell to $53 million for 2007, down slightly from 2006 sales of $58.8 million.

PlanetOut, which owns Gay.com, Advocate.com, Out.com and other web sites, as well as a book publisher, Alyson Publications, recorded a $25.9 million charge for impairment of goodwill and intangible assets in 2007, which contributed to its loss.

In January, PlanetOut hired Allen & Co. to help it with its strategy, including a possible sale of the company. PlanetOut agreed to pay Allen & Co. "in the event of a successful transaction" and also gave it 10-year warrants for up to 75,000 shares of its stock at $6.20 a share.

PlanetOut also agreed to cash payments for its interim chief financial officer and its chief technology officer if they don't leave the company before the end of 2008. Daniel Steimle, the interim CFO, would be paid $100,000 and CTO Bill Bain $50,000 under the deal.

PlanetOut stock fell another 8% on today's news. It almost seems impossible for the company to survive.