In the early hours of the morning in 1899 New York City, newspaper delivery boy Jack Kelly tells his disabled friend, Crutchie, of his dream to one day leave New York for Santa Fe (“Santa Fe” (Prologue)). Jack lives with his fellow “newsies,” many of whom are orphaned and homeless. As the sun rises, the newsies awaken and prepare for another day on the job (“Carrying the Banner”). While buying their supply of papers to sell, Jack meets Davey and his little brother, Les. Unlike the rest of the newsies, Davey and Les have a home and a family. They started work as newsies because their father suffered an accident at work resulting in the termination of his employment. Seeing young Les as an opportunity to sell more papers, Jack offers to help the boys. Meanwhile, the publisher of the New York World, Joseph Pulitzer, increases the cost of the newspapers to the delivery boys, so as to outsell his competitors (“The Bottom Line”).
Later, Jack, Davey, and Les are chased down by Warden Snyder of the refuge, a juvenile detention center. The boys find cover in a vaudeville-style theatre owned by Jack’s friend Medda Larkin. Jack refuses to tell Davey why Snyder was after him. The boys then watch Medda perform (“That’s Rich”). While at the show, Jack spots a young female reporter named Katherine Plumber. He attempts to flirt with her, but she brushes him off. Jack laments his feelings blossoming for her as the show continues (“Don’t Come A-Knocking”/”I Never Planned on You”). The next morning, Jack and the newsies discover that the cost of newspapers has raised ten cents per hundred. Outraged, Jack organizes a protest (“The World Will Know”). Katherine sees the newsies’ strike as an opportunity to become a more successful reporter and decides to cover the protest (“Watch What Happens”). The next day, Jack fails to properly motivate the newsies, as he isn’t always the best with words, but Davey steps in and rallies the newsies for a full scale strike against the New York World (“Seize the Day”). The protest is cut short when the boys are engaged in confrontations with the police and Strikebreakers. During the commotion, Crutchie is beaten, apprehended, and taken to the refuge. Jack, upset at the protest’s failure and the capture of Crutchie, laments the situation and promises himself that he’ll soon leave New York forever (“Santa Fe”).
Act Two