Posted on 08/03/2013 3:59:20 AM PDT by John W
BOSTON -- The New York Times Co. says it has agreed to sell The Boston Globe to the principal owner of the Boston Red Sox for $70 million, a massive drop from the record $1.1 billion it paid for it.
Times spokeswoman Eileen Murphy confirms the sale of the Globe and other media properties to businessman John Henry.
The Times bought the Globe in 1993. Newspapers have faced difficulties in recent years as advertisers have moved more ads online.
The Times announced in February it was putting the Globe up for sale. The company's CEO said at the time selling the Globe would help the company focus attention on The New York Times brand.
Henry says the Globe's "award-winning journalism" and "its rich history and tradition of excellence" have established it as one of the most well-respected media companies in the country.
And they catch bird poop fairly well also
I haven't bought a paper in over 15 years and I can't see any reason to ever buy another.
I HAVE seen maybe 3 or 4 in that time when visiting a friend or something.
I'd rather read the computer screen where I can enlarge the font for my weakening eyes.
These are the same people who tell Obama that his economic ideas are good.
At $70 mill, it’s still expensive fish wrap.
Whoever sold the globe to the times made out like a bandit.
They aren't bad for starting the wood stove. Probably less toxic than plastic-wrapped paraffin.
Consider that the inflation adjusted purchase came closer to $1.8 billion, this $70 million “fire sale” is a real haircut for the NYT. Next on the block? The NYT.
In the office building I manage security sets the papers out each morning for the tenants who subscribe to them. 1 copy of the New York Times. 3 copies of the Atlanta Journal Constitution. 7 copies of the Atlanta Business Chronicle. 35 copies of the Wall Street Journal.
Compare it to the decline in the stock price of the NY Times over the same period..it’s quite similar...remarkably so
'Course, once the winter really sets in, the fire doesn't go out until spring thaw.
Did you notice the “one little line” that the new owner doesn’t have to assume the Globe’s pension liabilities. The Times is stuck with those..estimates could put it as much as $50 mill
If Henry wanted to throw away $70 mill, he could have bought A-Rod’s contract from the Yankees..it would be a better deal than the Globe.
$1.1 Billion in 1993 is equivalent to $1.75 Billion today so the loss is bigger.
Even worse: “Under the terms of the sale, NYT reported, Henry will not have to assume costly pension liabilities.”
The NYTimes will fiercely lead the media’s battle to have taxpayers assume pension costs LOL!
-14.9% annual ROI over 20 years, given your number.
A few years ago, wasn’t the bidding in the $30M range?
Calling John Henry I have some dice wonder if you would like to play also have a bridge for sale.
They had a feature of Twenty Questions for whatever celeb was in town, and Richard Branson was asked that same question. "Easy, start with a billion, and buy an airline."
(I was in b-school, and one case was on airlines that week...)
The Glob was sold to John Henry, principle owner of the Red Sox! Watch the paper take an ever harder left turn now...
I guess the Red Sox writers can all breathe easier now though... sounds like job security for them.
We get one newspaper a week, the Sunday paper for the crossword puzzles, and I go thru it and save all the pages that have no - or very little - colored ink on them. My woodstove goes from mid November until mid-March, and I only let it die every 3 weeks or so when I go out on the roof and ream/clean the stovepipe. Likewise, it saves approx. 50% of heating costs.
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