In response to the rampaging vulture capitalism that was threatening to destroy their newspaper, union employees at the Hartford Courant last year launched a campaign to find a nonprofit organization that would save their jobs and the journalism their community depends on.
It was quite a week for Patrick Soon-Shiong, the billionaire surgeon who owns the Los Angeles Times and The San Diego Union-Tribune.
On Tuesday came the news that the hedge fund Alden Global Capital was offering $630 million to boost its share of Tribune Publishing from 32% to 100%. Alden would take Tribune private and then, presumably, do what it does: slash the newsrooms of the Chicago Tribune, the Hartford Courant and others to ribbons. One unexpected benefit: The Baltimore Sun and several sister papers would be acquired by a nonprofit foundation.
The complicating factor was that Soon-Shiong, the second-largest Tribune shareholder at 24%, has the right to veto Alden’s acquisition. Would he? Probably not, guessed Poynter analyst Rick Edmonds. “I would bet that getting out with a good return on his investment will be Soon-Shiong’s main or sole objective,” Edmonds wrote.
Then, on Friday, came a bombshell. Lukas Alpert of The Wall Street Journal reported that Soon-Shiong was looking to get out of the newspaper business less than three years after he bought the Times and the Union-Tribune from Tribune’s absurdly named predecessor, tronc.
“The move,” Alpert wrote, “marks an abrupt about-face for Mr. Soon-Shiong, who had vowed to restore stability to the West Coast news institution and has invested hundreds of millions of dollars into the paper in an effort to turn it around.” Soon-Shiong denied it, tweeting, “WSJ article inaccurate. We are committed to the @LATimes.”
WSJ article inaccurate. We are committed to the @LATimes
We are left wondering what’s correct — “people familiar with the matter,” as Alpert described his sources, or Soon-Shiong’s on-the-record denial. Alpert is a good reporter, and presumably his sources are aware of at least some frustration on Soon-Shiong’s part. What’s especially worrisome is that Alpert’s sources say Soon-Shiong has come to believe his papers would be better off “as part of a larger media group.” Other than Alden or Gannett, it’s hard to imagine any other options. If Soon-Shiong is really tired of the business, why not sell them to a nonprofit?
Nevertheless, it’s hard for me not to think about all the times that John and Linda Henry have been rumored to be selling The Boston Globe since they bought it in 2013. Every so often they deny it, such as in 2018 and 2020. And there certainly haven’t been any signs that they’re selling.
Still, the Henry rumors never made it into The Wall Street Journal. Let’s hope that, whatever else comes out of the Tribune meltdown, Southern California’s major newspapers remain within the relatively safe orbit of Soon-Shiong’s protection.
There is terrible news to report tonight for readers and employees of the Chicago Tribune, New York’s Daily News and the Hartford Courant — but good news in Baltimore.
A deal that had been in the works since late 2020 is close to being consummated, with the hedge fund Alden Global Capital on the verge of becoming the sole owner of Tribune Publishing. As has been documented on numerous occasions here and elsewhere, Alden is the most avaricious of the chain newspaper owners, squeezing the life (and the journalism) out of its properties.
Lukas I. Alpert reports in The Wall Street Journal that Alden is paying an estimated $630 million to bring its share of Tribune from 32% to 100%. Tribune, currently a publicly traded company, will go private.
Last month the News Guild, the union that represents workers at seven of Tribune’s nine papers, filed a complaint with the Securities and Exchange Commission charging irregularities in Alden’s bid. No word on whether that challenge is over or if it will continue.
Meanwhile, there’s good news in Baltimore. As part of the transaction, Tribune will sell The Baltimore Sun, The Capital Gazette of Annapolis, Maryland, and several other publications to a nonprofit organization called the Sunlight for All Institute. The sale caps a campaign of many months on the part of community activists.
Joseph Lichterman of the Lenfest Institute, the nonprofit that owns The Philadelphia Inquirer, tweeted:
Nonprofit ownership won't solve the Sun's issues by itself, but having a locally based owner that cares about supporting journalism that serves the community will give the Sun a fighting shot.
A television station in Baltimore edited video of protesters calling for the jailing of “killer cops” to make it sound like they were chanting “kill a cop.” I find it horrifying that anyone this side of the white supremacist movement would do something so irresponsible at a time when relations between the police and communities of color are already fraught.
David Zurawik of the Baltimore Sun reports that WBFF, a Sinclair-owned Fox affiliate, has called the incident “an error” and posted an apology on its website (which I can’t find on the station’s home page or its news page this morning). Some error. In fact, the protesters were chanting, “We won’t stop. We can’t stop ’til killer cops are in cell blocks.” The footage was recorded at a protest in Washington on Sunday and was carried by C-SPAN.
If this really was an error, it’s a matter of someone making some pretty ugly assumptions about the protesters. The fact that the line “are in cell blocks” was edited out raises serious questions about whether this was truly an error. Mediaite has posted the original WBFF video. You should take a look.
Is this the media fail of the year? I think so. Bad as Rolling Stone’s false story about a sexual assault at UVA was, WBFF’s ignorant stunt could incite violence. Broadcast stations such as WBFF are licensed and regulated by the FCC. I am not a fan of letting the government poke into matters involving the First Amendment. But in this case I’d say a hearing is in order. We need to know how this happened.