Alternate Universe stories (AU for short) can be some of the most interesting, creative, mindblowing stories in any given fandom. They can also suck hardcore. What AU does is take the characters we know and put them in a totally different situation, or change the rules of the way the canon universe works. Which gives great freedom, but can also lead to a terrible story.

Let's face it, in the Newsies fandom, 99% of the time, AU means Modern Day Newsies. It's been done over and over—heck, I've done it—and can be brilliant, but frequently isn't. The problem is that there's such a huge difference between 1899 and 2004 that it's nearly impossible keep characters recognizable. Consider: how many people do you know who use a nickname all the time? Because our guys do in 1899, but not that many modern day kids do—a few, but most groups of friends don't almost exclusively used nicknames; that just sounds odd. Furthermore, what we know of the characters is their response to a very specific situation—they were hard workers who got screwed over by a major power and responded with a strike. David was a new guy, with no street smarts; Jack was a charismatic leader, etc. But in a modern day situation, all of that is out the window—there are ways to use it, but they aren't as obvious. You can't (or at least shouldn't) make the characters totally random; even in AU they need to have some resemblance to canon. If Spot isn't a tough guy, he's not Spot; if Race isn't sarcastic, he's not Race.

Another word to the wise is, if you do decide to put the guys in modern times, work out more of a plot than, "the guys are in modern times." Okay, so they go to high school together and...? That's not much of a plot and won't get you anywhere. Is there still a strike or a rebellion against authority going on? And if so, why, and how does it make sense in a modern telling? Or if there's no strike, what's the main conflict of the story, and how does it get resolved?

A lot of AU fics don't go beyond the novelty of putting the guys in modern times, and given how often it's been done, it's just not that novel anymore. Think long and hard about how you want to go about it, and make extra sure that you concentrate on characterization.

Also, AU doesn't have to be modern day Newsies—what about a totally different placement? There are a few scifi and fantasy fics floating around, which tend to be quite more unique. But instead of thinking along those lines, think along your own. Wouldn't it be neat of Jack actually was a cowboy? Tibby's could be an old saloon, Medda showgirl, and the Delancey brothers horse rustlers. Or something. Actually, now I'm interested in that. Hmmm. But my point is, watch character carefully, but be creative. That's what it's all about.

But always remember, AU comes from canon, it's not totally unrelated. If you're going to take David, the innocent smart kid, and make him a hardened, cruel thief, you have to explain why, and it has to make sense. AU is the act of taking canon and playing, "what if?" not just taking character names and putting them on OCs. So in short, be very, very careful if you want to write an AU. Outline it, run it past your betas, and make sure it makes sense as a Newsies fanfic.