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August 3, 2013

Who Says There's No Good News?

New York Times sells Boston Globe at 93 percent loss, returns to advising America how economy should be run

Posted by gerardvanderleun at August 3, 2013 1:46 PM. This is an entry on the sideblog of American Digest: Check it out.

Your Say

Good news indeed.

NEXT

Posted by: Grace at August 3, 2013 6:26 PM

It's a bad investment if the Times paid him to take it over.

Posted by: james wilson at August 3, 2013 8:00 PM

It's a bad investment if the Times paid him to take it over.

Posted by: james wilson at August 3, 2013 8:00 PM

The NYTimes had to eat $110 Million in pension liabilities to close the deal. In other words it was a give away. They lost more than 100%. Couldn't happen to a nicer bunch of guys.

"NYT Sells Globe, Keeps Pensions Liability"

"The New York Times announced today that it had finally managed to unload the Boston Globe and its New England Media Group to the owner of the Boston Red Sox, John Henry, for the not-so-princely sum of $70 million. Considering that the Times paid $1.1 billion for the Globe in 1993 and that analysts were expecting the Globe to fetch as much as $180 million, this is pretty much a fire sale price.

"A critical detail glossed over in the Times‘ own coverage but helpfully highlighted by the FT:

'Under Mr Henry’s deal for the Globe and other assets, he will not assume the newspaper’s pension liabilities, The New York Times reported. Those liabilities are reportedly estimated at about $110m.'

“Without that concession, the sales price would be significantly lower,” said Ken Doctor, a media industry analyst."

http://blogs.the-american-interest.com/wrm/

Posted by: Fat Man at August 3, 2013 9:10 PM

Progressive math.

Posted by: monkeyfan at August 4, 2013 6:20 AM

The feel good story of the summer.

Posted by: USS Ben at August 4, 2013 6:45 AM

“Without that concession, the sales price would be significantly lower,” said Ken Doctor, a media industry analyst."

In short The Times would have had to PAY 40 million to take it off their hands...

It's been at least ten years since I stopped buying a daily Boston Globe, back when it was a quarter-dollar. Then I stopped buying the local paper when it stopped writing it's own stories and ran stories with the AP, Times or Boston Globe byline.

Then I started to look for the news on my own.
The things I've learned!

Posted by: John the River at August 4, 2013 10:02 AM

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