|Bid||0.0000 x 1100|
|Ask||0.0000 x 900|
|Day's Range||0.7000 - 0.7363|
|52 Week Range||0.2900 - 6.0100|
|Beta (5Y Monthly)||-0.19|
|PE Ratio (TTM)||N/A|
|Earnings Date||Mar 04, 2020 - Mar 08, 2020|
|Forward Dividend & Yield||N/A (N/A)|
|Ex-Dividend Date||Mar 08, 2009|
|1y Target Est||1.50|
Moody's Investors Service (Moody's) downgraded McClatchy's probability of default rating (PDR) to D-PD from Ca-PD upon the company's commencement of voluntary bankruptcy proceedings through a plan of reorganization under Chapter 11 of the United States Bankruptcy Code. Please refer to the Moody's Investors Service's Policy for Withdrawal of Credit Ratings, available on its website, www.moodys.com.
McClatchy also said that they had obtained a $50 million debtor-in-possession financing from Encina Business Credit, which along with the company’s cash flows, would provide “ample liquidity” for all its news outlets to operate as usual. The publisher of the Sacramento Bee, The Miami Herald, and 28 other newspapers started off as a family business in 1857. The New York Times reported that the company would be delisted and operated by Chatham Asset Management.
(Bloomberg) -- McClatchy Co., the owner of the Miami Herald, Kansas City Star and other newspapers, has become the latest casualty of the collapsing industry to fall into hands of an investment firm.Only a day after Warren Buffett’s long-time business partner predicted the death of newspapers, the struggling McClatchy filed for bankruptcy in New York with plans to hand majority ownership of one of the industry’s largest newspaper publishers to hedge fund Chatham Asset Management, owner of the scandal-plagued tabloid National Enquirer.The plan further tightens the grip of financial firms on the newspaper industry, renewing concerns over the cost-cutting and loss of local coverage that often follows ownership by financial firms. Funds from Chatham to Alden Global Capital LLC and Fortress Investment Group LLC have swooped in to take stakes in hundreds of papers, including once-mighty names as the Chicago Tribune and the New York Daily News. The nation’s largest newspaper chain is owned by New Media Investment Group Inc., which is managed by Fortress.If McClatchy’s bankruptcy plan succeeds, more than one-third of the total circulation of U.S. newspapers will be controlled by private equity firms or hedge funds, according to analyst Ken Doctor.“These are companies in a distressed industry,” he said. “It takes financial players to come in and operate them and they’re cutting and cutting.”American MediaMcClatchy’s bankruptcy marks a grim milestone for a newspaper chain that was founded in 1857 with the Sacramento Bee. Chatham Asset Management, which would be its new owner, holds an 80% stake in American Media, owner of the Enquirer and run by David Pecker.In 2018, American Media entered into a non-prosecution agreement over claims that Enquirer editors had sought to assist Donald Trump during the 2016 election by suppressing potentially harmful stories about the candidate’s earlier affairs.Chatham has been an investor in AMI since 2010 and has said it has no involvement in the editorial process or the day-to-day business decision of the company.Chatham’s founder, Anthony Melchiorre, had dinner at the White House with President Donald Trump and his long-time friend Pecker in July 2017. American Media announced the sale of the tabloid last year, but the deal has yet to close.“As a supportive investor in McClatchy since 2009, Chatham is committed to preserving independent journalism and newsroom jobs,” the firm said in a statement.Local CoverageHedge fund ownership of newspapers has stirred a debate over whether their cost-cutting know-how will help restore profits or lead to an exodus of talent and diminution of local coverage. Alden Global, which controls about 50 daily newspapers, has gained a reputation for making deep cuts to newsrooms. Legacy owners point to the enormous financial obstacles they are facing.“The media industry has been under tremendous pressure for years,” McClatchy Chief Executive Officer Craig Forman said in a statement, adding that “technological advances, consumer-behavior shifts, and business-model challenges are among the many disruptive forces.”That point was underscored as recently as Wednesday when Berkshire Hathaway Inc. Vice Chairman Charlie Munger bluntly told attendees at the annual meeting of the Daily Journal Corp. that “technological change is destroying the daily newspapers in America,” adding that “they’re all dying.”In January, Berkshire got out of the business when it announced it was selling all its 31 daily papers to Lee Enterprises Inc. for $140 million.McClatchy has been in steady decline over the past decade. In 2006, it bought the Knight Ridder chain for $4.5 billion. The deal was ill-timed: By that year, print advertising dollars had started to fall, according to Pew Research Center. The global recession eroded ad revenue even further.The company, which employs 2,800 people, serves 30 communities in 14 states, and last year had an average paid daily circulation of 1.1 million. But the trend has been relentlessly down, with daily circulation collapsing by 58.6% between 2006 and 2018, according to court papers.Bankruptcies are nothing new for the newspaper business -- about 20 since the Great Recession, Doctor said. Other newspapers to file for Chapter 11 protection include Tribune Co., the Journal Register Co., Freedom Communications, and the owners of the Minneapolis Star Tribune, Philadelphia Inquirer and Philadelphia Daily News.Cut DebtMcClatchy listed liabilities of $1.6 billion and assets of only $946.5 million, according to its Chapter 11 filing. The Sacramento, California-based company said in court filings that its turnaround plan would cut that debt by 55%.The company obtained a $50 million bankruptcy loan from lender Encina Business Credit, allowing it to continue operating its newsrooms as it restructures, McClatchy said in its statement.Doctor, the newspaper analyst, predicts McClatchy will eventually combine with another newspaper chain.“It creates another chess piece on the board,” he said. “The question is what can Chatham do to make its investment a better one and that will involve combining with another company.”(Adds reference to prior Chatham statement regarding involvement in editorial process.)\--With assistance from Katherine Burton.To contact the reporters on this story: Gerry Smith in New York at email@example.com;Eliza Ronalds-Hannon in New York at firstname.lastname@example.org;Jeremy Hill in New York at email@example.comTo contact the editors responsible for this story: Rick Green at firstname.lastname@example.org, Shannon D. Harrington, Larry ReibsteinFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Newspaper publisher McClatchy Co. said it's filing for Chapter 11 bankruptcy protection. The second-largest U.S. local newspaper company has obtained new $50 million debtor-in-possession financing from Encina Business Credit that will allow the local news outlets it operates to continue to operate. In the fourth quarter, revenue fell 14% to $183.9 million.
McClatchy Co. (NYSE American-MNI) today announced it has commenced a voluntary restructuring under Chapter 11 of the U.S. Bankruptcy Code following the solicitation of a Plan of Reorganization ("the Plan") among its key stakeholders. The Chapter 11 filing provides immediate protection to the Company, which will continue to operate in the ordinary course of business as it pursues approval of the restructuring plan with its secured lenders, bondholders, and the Pension Benefit Guaranty Corporation (PBGC).
Working at an American regional newspaper used to be a pretty good job we are told. The perks included high salaries, a generous expense account and a decent pension programme. The first two are long gone but retirement benefits are long-dated liabilities.
Miami Herald parent McClatchy, whose investigative reporting on Jeffrey Epstein put fresh scrutiny on the disgraced financier, has filed for bankruptcy as local newspapers across the US continue to fold. The Chapter 11 filing on Thursday would end the McClatchy family’s control of the second-largest local newspaper business in America and hand it to a group of creditors led by hedge fund Chatham Asset Management, which would take the company private.
The New York Times Company's (NYT) digital advertising revenues decrease during fourth-quarter 2019. Management now expects digital advertising to return to growth by the second half of 2020.
The Fresno Bee announced the launch of the Fresnoland Lab, an innovative journalism initiative in collaboration with Fresnoland Media, a local nonprofit, to cover critical issues shaping the future of the central San Joaquin Valley. The Fresnoland Lab will focus on water, land use, housing and neighborhood opportunity and that will test new approaches to engage citizens and make local news more accessible. The Fresno Bee is one of five McClatchy newsrooms in California.
McClatchy (NYSE American MNI) announced today that "North Carolina Priorities," a live journalism event produced by the company's three North Carolina newsrooms, will be held today at ImaginOn: The Joe and Joan Martin Center in Charlotte, NC.
McClatchy (NYSE American-MNI) announced today that it has entered into a Standstill Agreement with the Pension Benefit Guaranty Corporation (PBGC), extending its current runway for negotiating a consensual restructuring with key stakeholders.
McClatchy (NYSE American-MNI) today disclosed that it will not be releasing certain nonqualified Supplemental Executive Retirement Benefits to a small number of participants at this time as it continues to address its long-term liquidity pressures arising from its qualified pension obligations due in the third quarter of 2020.
The McClatchy Company (NYSE American-MNI) announced today that on December 13, 2019, the NYSE American LLC ("NYSE American") notified the Company that it has accepted the Company's plan to regain compliance with the NYSE American's continued listing standards.
SACRAMENTO, Calif., Nov. 21, 2019 /PRNewswire/ -- McClatchy's West Region Editor, Lauren Gustus, will lead a new company-wide effort as Director of Community Funding Initiatives. In this expanded role, Gustus will be responsible for building community support for important local journalism initiatives through grants, contributions from philanthropic organizations and individuals, and partnerships with local stakeholders and readers. "This expanded role reflects the tremendous work Lauren has had in this space in just the last six months," said Kristin Roberts, vice president of News, in announcing Gustus' role.
Negotiating Capital and Pension Restructuring with PBGC and Key Stakeholders - Grew digital-only subscribers to 199,200 and topped 200,000 subscriptions in early October - Increased total paid digital ...
The publisher of the Miami Herald and 29 other local newspapers filed for bankruptcy protection Thursday. McClatchy says it has secured enough financing to keep operating its newspapers as usual as it restructures the company. The second largest publisher of local papers, Sacramento, California-based McClatchy has been burdened with huge debt from its purchase of publisher Knight Ridder in 2006 for $4.5 billion. It's the latest sign of the crisis engulfing the newspaper industry. Staffs at dailies have been decimated as the industry loses ad revenue to Google and Facebook. A report by PEN America says a fifth of the 1800 newspapers in the U.S. have closed since 2004. McClatchy shares rose on the news in early trading Thursday. They're trading for well under a dollar, a far cry from the $750 the stock once commanded in the year before it bought Knight Ridder.