Table: Why Pearson Is Struggling

-- Education, which accounts for 60% of revenues, is under pressure, owing to government cutbacks and lower sales of IT-related texts

-- The Financial Times has been hit by a big decline in ad revenues

-- Scardino was slow to cut back spending on Internet development, leading to big losses

-- Last year's sale of a 22% stake in European broadcaster RTL took away some of Pearson's upside potential

-- Scardino made pricey acquisitions that have been marked down by the market and earn low returns on capital

Data: BusinessWeek

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