Posted on 02/25/2014 5:30:17 PM PST by 2ndDivisionVet
Edited on 02/26/2014 2:40:06 AM PST by Admin Moderator. [history]
Mexican magnate Carlos Slim and the Italian group Proto will be the principal shareholders of the US daily The New York Times (NYT), said sources at the Proto Organization. This is because Slim plans to exercise at the end of this year warrants he received when he made a major loan to the newspaper company, according to a report in Bloomberg.
(Excerpt) Read more at en.mercopress.com ...
No, he has a good reason to own it.
The NYT is now mainly a political asset, not a business.
These assets are meant for use as political tools, or as political insurance.
He can promise specific treatment, or silence, of any side in a political dispute, or perhaps hold an implicit threat of coverage, etc. He would use this influence in exchange for favored treatment or to discourage any attacks on his activities.
He makes money off the favors, or the now more protected activities of his other businesses, hence he can absorb the relatively low cost of any losses in the newspaper business.
Pretty much the reason why Bezos bought the Washington Post. People will now think twice about trying to make Amazon collect state sales taxes.
This isn't going to turn the Times into an anti-American internationalist tool any more than it already is. Meet the new boss, amigos.
RE: “Billionaire Carlos Slim is poised to double his money after investing $250 million in a 2009 lending agreement with the New York Times, showing how dearly the newspaper’s owners paid for his help.”
Get real!
He took a huge risk, and got a 100% return in 5 years on his loan.
He could have got a 145% return on his money in 5 years if he had invested in the SP 500, and his risk would have been dramatically lower.
Because the price of the stock is 4 times higher today than it was when he made the loan.
I understand and agree with your position. But my recollection is that, when Slim originally made the loan, he was awarded Class A shares. Which, at the time, made me wonder...
Conceivably, there might be an unannounced understanding of some sort involving who gets to run what.
The article makes a distinction between common shares -- acquired by Slim -- and voting shares, owned by the family.
Eet weel be call thee Mehico Seety Times.
We doan need no steekin Merican seety names on our paper!
It's actually HILARIOUS.
He makes money on every Obama phone that’s handed out. What better way to keep his bribed politicians in line then buy the paper and put public pressure on them.
Not just Obamaphones. Almost all the pre-paid phones in the Americas and Caribbean come from him. That’s a bunch.
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