This document discusses how to write effective letters conveying bad news in business. There are two main approaches for delivering bad news: direct and indirect. The direct approach states the bad news upfront, while the indirect approach uses a neutral opening before stating the negative information. When writing a bad news letter, it is important to place the bad news in a buried position, avoid unnecessary negative words, state the bad news only once, emphasize any positive aspects, and follow with a counterproposal if possible. The letter should also avoid delivering bad news in the opening paragraph and explain the reasons before stating what cannot be done.