Tag: Jack Welch

On at least two occasions, Jack Connors was part of efforts to buy The Boston Globe

Steve Bailey’s profile of Jack Connors in The Boston Globe Magazine of June 3, 2007

In his obituary of Boston businessman and philanthropist Jack Connors, who died Tuesday at 82, Boston Globe reporter Bryan Marquard reminds us that Connors was part of several failed attempts to buy the Globe from the New York Times Co., which finally sold it to financier and Red Sox principal owner John Henry in 2013. Marquard’s obit, by the way, is remarkable, and includes quotes from an interview Connors gave just last week as he was dying of cancer.

The first time Connors’ name came up in connection with an attempt to purchase the Globe was in the fall of 2006, when he partnered with retired General Electric chief executive Jack Welch and concession magnate Joseph O’Donnell. But with Times Co. chief executive Janet Robinson all but coming right out and saying the Globe was not for sale, talk of a Welch-led sale faded away. O’Donnell died earlier this year, and Welch — who died in 2020 — does not enjoy the sterling reputation he had back when he was at the height of his power and influence.

Connors’ second run at the Globe came in 2011, when he was part of a group headed by entrepreneur Aaron Kushner, who tried to convince the Times Co. to sell him the paper even though the paper’s executives were adamant that it wasn’t available. Former Globe publisher Ben Taylor and his cousin Steve Taylor, himself a former top Globe official, were involved in the Kushner bid as well. At that time Poynter business analyst Rick Edmonds wrote that with the Globe’s business having stabilized following a crisis in 2009 and the Times Co.’s debt burden eased, “It looks to me like a keeper for the company — unless someone comes forward with cash and is prepared to way overpay.”

Ultimately Kushner was spurned, and then he lost out on a bid to purchase the Portland Press Herald in Maine. In 2012, a Kushner-headed group bought The Orange County Register in Southern California, and he quickly ran it into the ground with a hiring spree that he mistakenly believed would result in a massive influx of new readers and advertising revenues. (I wrote about Kushner’s misadventures in Boston, Portland and Orange County for my 2018 book “The Return of the Moguls.”) Today the Register is a shell of its former self, having been acquired out of bankruptcy by Alden Global Capital’s MediaNews Group.

Connors’ name also came up in 2013 before the Globe was purchased by Henry.

What kind of a newspaper owner would Jack Connors have been? He was kind and generous, according to all accounts, but he would have been a minority owner with only a limited say in the Globe’s direction. Globe readers should be glad that the paper was never headed by “Neutron Jack” Welch or by Kushner, whose business plan for the Globe — a copy of which I obtained and wrote about in “Moguls” — was utterly unrealistic, depending on the same sort of unaffordable expansion that led to disaster in Southern California.

The praise that is now flowing for Connors is well deserved. He was, by all accounts, a kind and generous man. And I have one suggestion for the Globe. On June 3, 2007, the Sunday magazine published a terrific profile of Connors by then-business columnist Steve Bailey. You have to do a deep dive into the archives in order to find it. Why not republish it online?

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The late Joe O’Donnell was once part of a group that wanted to buy the Globe

There’s a small omission in The Boston Globe’s obituary of Joe O’Donnell. Bryan Marquard writes that O’Donnell was part of a group that once tried to buy the Red Sox, a prize that was ultimately won by John Henry. What the story doesn’t mention, though, was that O’Donnell also tried to buy the Globe itself. I made mention of it in 2007 in an article I wrote for CommonWealth Magazine, writing that there had been some talk the previous fall that the New York Times Co. might be getting ready to offload the Globe:

The speculation briefly reached a fever pitch last fall, when retired General Electric chief executive Jack Welch, advertising executive Jack Connors, and concession mogul Joseph O’Donnell spread the word that they would like to buy the Globe. But with Times Company chief executive Janet Robinson all but coming right out and saying the Globe is not for sale, talk of a Welch-led sale has died down.

Two years later, the Times Co. did try to sell the Globe, only to pull it off the market when it apparently couldn’t get the price it wanted. Then, in 2013, the Times finally sold the Globe to none other than John Henry, O’Donnell’s rival in the Red Sox sweepstakes. In my book “The Return of the Moguls,” I wrote that Connors was among the suitors who competed with Henry for the Globe; I did not record whether O’Donnell was part of that second Connors bid.

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How Brian McGrory talked John and Linda Henry into buying The Boston Globe

John and Linda Henry have owned The Boston Globe for nearly nine years, but they have never hired an editor. Brian McGrory, who announced Wednesday that he’ll be leaving at the end of the year to become chair of Boston University’s journalism department, had been named to the top newsroom job during the final months of New York Times Co. ownership. In this excerpt from my 2018 book, “The Return of the Moguls,” I tell the story of how McGrory recruited the Henrys to stave off the possibility of corporate chain ownership.

Rumors that The Boston Globe might be for sale began circulating as far back as 2006, when a group headed by retired General Electric chief executive Jack Welch, who was a Boston-area native, and local advertising executive Jack Connors was reported to be nosing around. At the time, the Globe was said to be valued at somewhere between $550 million and $600 million, vastly more than the price John Henry paid seven years later. But the New York Times Co. wasn’t selling — at least not yet. The following year, Ben Taylor, a former publisher of the Globe and a member of the family that had owned it from 1873 until selling it to the Times Co. 80 years later, told me in an interview for CommonWealth magazine that he might be interested in returning to ownership in some capacity if the Globe were put on the market. But he added that he thought such a development was unlikely. “I can’t imagine a scenario where that would be an opportunity,” he said, “but you never know, I guess. Stranger things have happened.”

Ben Taylor and his cousin Stephen Taylor, also a former Globe executive, became involved in a bid to buy the paper in 2009 when the Times Co. finally put the paper on the market. So did a Beverly Hills, California-based outfit known as Platinum Equity. With the Taylors thought to be undercapitalized and with Platinum having gutted the first newspaper it bought, the San Diego Union-Tribune, Globe employees were understandably nervous about their future. Although it was not a matter of public knowledge at the time, there was also a third possibility. After the Times Co. put up the Globe for sale, Brian McGrory, a popular columnist who was then serving a stint as the paper’s metro editor, decided to call around town to see if any public-spirited business executives might be interested. Among those he contacted was John Henry.

“I asked him at that time why he wouldn’t flip the paradigm,” McGrory told me. “It used to be that newspapers would own sports franchises. Why not have a sports franchise owner own a newspaper? Because without a healthy Boston Globe, which causes community discussion about a sports team — I made the argument, right or wrong; I have no idea if it was right — the value of a sports team might be diminished. And I did it because I thought he would be a very thoughtful, steady owner.”

Read the rest at GBH News.

The Globe, Jack Connors and Mike Barnicle

Mike Barnicle

I’m just catching up to this excellent analysis by Poynter’s Rick Edmonds of the Aaron Kushner group’s ongoing efforts to buy the Boston Globe from the New York Times Co. Edmonds’ bottom line: a sale is possible but unlikely.

With the Globe’s business having stabilized and the Times Co.’s debt burden eased, Edmonds writes, “It looks to me like a keeper for the company — unless someone comes forward with cash and is prepared to way overpay.”

Last week the Globe’s Brian McGrory reported that local advertising executive Jack Connors has joined the Kushner group, which already includes former Globe publisher Ben Taylor and his cousin Steve Taylor, himself a former top Globe executive. This isn’t the first time Connors has tried to become part of the Globe’s ownership.

It also raises the intriguing question of whether the specter of former Globe columnist Mike Barnicle can be far behind. Barnicle was involved in a bid by retired General Electric chief executive Jack Welch and Connors to buy the Globe several years ago, a bid that Barnicle told Boston magazine was “very serious.” In a 2007 Boston Globe Magazine piece by the legendary Steve Bailey, Barnicle’s wife, Bank of America executive Anne Finucane, was described as one of Connors’ “closest friends.”

It’s hard to know what to make of the Barnicle connection, but my guess is that it diminishes the likelihood that the Times Co. will sell the Globe. It would be the ultimate revenge for Barnicle. It’s also a victory that I suspect Times Co. chief executive Arthur Sulzberger Jr. would rather not let him have, given that Barnicle was let go by the Globe in 1998 — possibly with a push from New York — over a series of ethical transgressions.

Pin the tail on the potential owner

Who will buy the Boston Globe? Silly season may have already arrived. The Globe today attempts to knock down the Boston Herald’s claim yesterday that an investment group with ties to Thomas O’Neill III is interested, while at the same time identifying three other potential buyers.

The Herald, meanwhile, reports that Red Sox principal owner John Henry has told his Twitter followers he’s not interested; his name has been floating around for a while. (Sorry, but I don’t know Henry’s Twitter address.) Nothing new from Jack Welch, who has restricted his tweeting to sports the last couple of days.

Let me return to the Globe’s claim that the Herald got it wrong with respect to Intercontinental Real Estate Corp., whose board of advisers includes Tom O’Neill and former Bank of Boston head Ira Stepanian. The Globe’s Keith O’Brien and Beth Healy, with help from Casey Ross, write:

[A] person connected to the Intercontinental Real Estate Corp. refuted a report that the real estate investment and management firm is interested in buying the Globe. This person, who requested anonymity because he was not authorized to speak about the matter, said the report in the Boston Herald was not accurate.

Now, let’s go back to the Herald story, written by Christine McConville with assists from Jay Fitzgerald and Jessica Heslam. Here’s the key graf:

“Intercontinental is interested in any good investment that offers superior returns for our investors, as well as opportunities for job preservation, and even job growth, for our union investors,” said a top executive for Boston-based Intercontinental, which manages real estate and some $2.5 billion in investment funds, including union pensions. “The Globe fits our profile.”

Neither the Herald nor the Globe offers us an on-the-record source from Intercontinental, so it’s hard to know what to make of all this. But the specificity of the Herald quote suggests that there’s at least something to it. Most likely the Herald and the Globe stories are both accurate, but only one of them is true.

The possible buyers identified by the Globe — former Globe executive Stephen Taylor, a member of the paper’s former ruling family, as well as Boston advertising executive Jack Connors and Boston Celtics co-owner Stephen Pagliuca — are all familiar names. It’s hard to know how serious any of them are. My guess is that when a buyer is announced, we’ll all be shocked. This is good coffee-machine conversation, but probably no one outside of New York Times Co. management really knows what’s going on.

In other Globe-related news, editorial-page editor Renée Loth is retiring to write a freelance column for the paper. She’ll be replaced by Washington bureau chief Peter Canellos, who’ll also oversee the Sunday Ideas section. The current Ideas editor, Gareth Cook, will remain in that post.

Bringing Canellos home in any capacity is a smart move. His specific job title is less important than getting him back inside the building, where he will no doubt be a key player in any and all reinvention initiatives. He also has a good relationship with Cook, a Pulitzer Prize-winning science reporter.

Both Canellos and Cook are Boston Phoenix alumni, though Canellos had moved on before my arrival there. Cook and I worked together in the mid-’90s.

Finally, former Globe media consultant Lou Phelps has posted a commentary at Cape Cod Today in which she takes the Boston Newspaper Guild to task for being “unwilling to publicly acknowledge the core issues of the business model of The Boston Globe, and the changing newspaper industry that The New York Times company must face.”

Phelps’ main argument is that technology should allow a newsroom to operate with many fewer journalists than was the case before cell phones and the Internet.

Her take is interesting, but she should have acknowledged that the Globe has already done a lot of cutting — from 550 full-time newsroom positions in 2000 to about 330 today. I hope she’ll check in and let us know how much lower she thinks the Globe can go.

And wow — Phelps is easy on the Guild compared to Cape Cod Today editor Walter Brooks. Duck!

Photo (cc) by cmiper and republished here under a Creative Commons license. Some rights reserved.

Jack Welch (“Jack Welch”*?) on the Globe

A Boston Globe insider led me to this Twitter page, purportedly by retired General Electric chief executive Jack Welch, who was interested in buying the Globe back when the New York Times Co. wasn’t selling. Check this message out:

So ironic to see NYT act so brutish toward labor. Certainly would be crucifying any Company with labor practices like theirs.

Not quite getting the point? Here’s a Welch (or “Welch”) update:

My New York Times labor tweet a few min ago refers to their BRUTISH dark age labor relations with their Boston Globe employees

There is nothing obviously fake about the Welch Twitter page. It’s mostly about sports, and the site links to his book. Times business columnist Joe Nocera recently wrote that Welch has a Twitter account, though Nocera didn’t supply the address. I think this is Welch, although I’m open to evidence that it isn’t.

Which raises an obvious question. Is Welch still interested in buying the Globe? If so, is this a ploy to reach out to employees?

Granted, I’m not sure what the logic would be. It’s management he needs to reach out to.

*Update: Dave Hersam nails it. It really is Welch.

Update II: The Boston Newspaper Guild has now sent out an e-mail publicizing Welch’s tweets.

Update III: Welch is certainly not my idea of a white knight for the Globe. Click here and here.

Photo (cc) by Josh Greenstein and republished here under a Creative Commons license. Some rights reserved.

The mother of all (potential) conflicts

You think the New York Times Co.’s 17 percent stake in the Red Sox creates a conflict of interest for the Times Co.-owned Boston Globe? It could have been worse — much worse.

Today the Globe’s Matt Viser checks in with a long front-page story on efforts by Joe O’Donnell, a part-owner of Suffolk Downs, to build a casino at the sagging track. Mayor Tom Menino seems to think it’s a good idea, which is a shame. It’s also a shame that so much of our local public discourse is now taken up by casino gambling.

Anyway, you may recall that last year retired General Electric chief executive Jack Welch and local advertising executive Jack Connors proposed to buy the Globe from the Times Co. Welch was the big celebrity, so he always got mentioned. Connors was the semi-celebrity, so he usually got a shout-out as well.

But there was a third member of the troika whose name often got left out — O’Donnell, who got rich selling hot dogs and popcorn at sporting events. How would you have liked the Globe to be reporting on a casino bid involving one of its co-publishers? Ugh.

My standard disclosure.

Welch takes no for an answer

Jack Welch now says it’s obvious that the New York Times Co. isn’t going to sell the Globe to him and advertising honcho Jack Connors. “There was a time when it would have been right,” Welch said in a speech at MIT, according to an account by Reuters. “Management has made it very clear to us that they have no interest in selling the Globe.”

This is not a big surprise. The Times Co. hasn’t budged since last fall, when Welch first made his interest known. (In keeping with the theme of the day, I’ll point out that Mike Barnicle somehow figured into all of this.) Times Co. chairman Arthur Sulzberger Jr. apparently believes there are better days ahead for the Globe. As a reader, I hope he’s right. (Via Romenesko.)

Beam sends a message to Welch

The quote of the day comes from Boston Globe columnist Alex Beam, who tells the New York Observer what would be wrong with a Jack Welch-led buyout of the Globe: “Jack Welch and David Geffen’s idea of journalism is like a Charlie Rose interview. ‘Gosh, Mr. Welch, tell us more about your fabulous career.’ That’s not our idea of journalism.”

Geffen, of course, is the entertainment-industry mogul who wants to buy the Los Angeles Times from the Tribune Co.

The Observer reports that New York Times Co. chief executive Janet Robinson will meet with the Globe staff on Feb. 8 and 9 to address the recent spate of bad news coming out of Morrissey Boulevard, including the closing of foreign bureaus, 125 job cuts at the Globe and at its sister paper, the Worcester Telegram & Gazette, and the company’s recent decision to devalue the Globe and the T&G by more than $800 million.

The Phoenix’s Adam Reilly has a good roundup here.

The questions all along have been two-fold: Will the advertising climate in Greater Boston turn around? And will the Times Co. sell?

It appears that Robinson is going to tell the troops “yes” and “no.” And that would be moderately good news. If you consider what’s going on in the newspaper business right now, continued Times Co. ownership might well be the least bad alternative.

Something (or someone) better might come along in two to five years. But for now, the Times Co. is probably a safer bet to preserve the Globe’s core local mission than any other prospective owners.

And kudos to Beam for dissing a zillionaire who could still somehow wind up as his boss. (Via Romenesko.)

Globe to close foreign bureaus

The Boston Globe announced some sad news today: The paper is closing its foreign bureaus. Media Nation received word a little while ago, but Romenesko has already posted both this Globe item and a memo to the staff by editor Marty Baron, the text of which appears below:

To the staff:

As you know, this is a period of hard choices for us. Today I am advising you of one of them: We will no longer maintain a network of foreign bureaus.

We currently have four superb, supremely dedicated colleagues in three bureaus overseas. They will be given the opportunity to return here for other positions, and the bureaus will be closed.

Continuing to bear the expense of our foreign bureaus would have required us to reduce staffing by a dozen or so positions beyond those already announced. We concluded that it would be unwise to meet the newsroom’s financial targets by making additional staff reductions.

We will continue to send reporters and photographers abroad on special projects and selected major events. Our budget for this year sets aside money for that purpose.

Foreign coverage has been a point of special pride in our newsroom, ever since the Globe established its first overseas bureau in the mid-1970s. Since then, the Globe has asked its foreign correspondents to provide stories of distinction, and they have always delivered. Often, our colleagues have put their own lives at risk in the important, noble task of bringing the world closer to our readers. They are fiercely committed to their work, and they have been brave beyond measure.

Many other regional newspapers, some larger than ours, have taken similar steps in recent years. Our decision came only after a careful review by the publisher of various options that would allow us to stay within budget. All along, a guiding principle was to secure the resources required for local coverage and for journalism that has the most direct impact on our readers.

We remain positioned for another year of outstanding journalism, with robust local coverage, ambitious plans for the presidential campaign, and continued strength in sports, arts, business, features, Washington coverage, and many other areas. You can also expect even more aggressive initiatives online.

In coming weeks, I will be talking with you more about all of this.

Marty

Affected are Thannasis Cambanis and Anne Bernard, who cover the Middle East from the Jerusalem bureau; Indira Lakshmanan, based in Bogotá, Colombia; and Colin Nickerson, based in Berlin.

That this was inevitable makes it no less depressing. As many media observers, including me, have been writing for some time, it no longer makes sense for regional papers like the Globe to cover international news in any sort of comprehensive way — not when the New York Times, the BBC et al. are just a click away.

The Globe’s foreign coverage has been distinguished. Retired editor Matt Storin once told me that his philosophy was for the Globe to be like the New Yorker — to cover the news, but also to seek out the offbeat stories that the Times and the Washington Post weren’t covering. In recent years you could see that in John Donnelly’s outstanding reportage from Africa (Donnelly moved to back to Washington last year). And only yesterday, the Globe fronted a fine Lakshmanan piece on Panama City’s old quarter.

The Globe’s Elizabeth Neuffer — best known for her work in the former Yugoslavia — was one of the first reporters to die covering the war in Iraq. In 2002, Baron flew to Israel after Anthony Shadid — then with the Globe, now with the Post — was shot in Ramallah.

Not too many years ago, folks at regional papers like the Globe wanted to compete with the national media by having their own people in Washington, across the country and overseas. Unfortunately, the new media landscape puts a premium on local, local, local.

But that doesn’t mean something hasn’t been lost. Take a look at these special reports on the Globe’s Web site. Baron says the Globe’s foreign coverage won’t disappear entirely. But it’s not going to be the same. Not even close.

Update: Michael Gee disagrees with my assessment, and backs it up with some sharp observations about his years at the Herald. Unfortunately, he lumps Media Nation in with … Jack Welch!