Sunday, January 17, 2010

WSJ: MediaNews struggled to avoid bankruptcy

The Wall Street Journal reports that MediaNews had been teetering for months and, according to CEO Dean Singleton, had been trying to rework its debt load instead of filing for Chapter 11 bankruptcy.

"It was personally difficult for me," Singleton told the Journal. "I'm a ranch kid from West Texas, and we don't like the 'B word.'"

The Journal said that Singleton's ability to retain control over MediaNews "represents a face-saving victory in the company's restructuring."

Singleton said that once the bankruptcy is over, he plans to lead an industrywide consolidation. Asked which newspapers or groups of newspapers might be combined, Mr. Singleton answered: "You can look at the map."

The MediaNews chain owns most of the paid-circulation dailies in the Bay Area including the San Jose Mercury News, Contra Costa Times, Oakland Tribune, Marin Independent Journal, San Mateo County Times and the Daily News in Palo Alto.

(More coverage below)


3 comments:

Anonymous said...

Now he's going to buy up more papers? Dean, remember how you ran up this debt? He hasn't learned from his mistakes.

Fred Dodsworth said...

Great, the clueless clown bought up too many newspapers and drove them all straight into bankruptcy, walks AWAY from roughly $800 MILLION in bad debt on his misadventures and now states out loud that he wants to buy more media companies?! Please God (bankers), stop him before he kills again!! I'm pulling all my business away from Bank America lest they give him yet another shot. And someone take AP away from him, please, he's ruining that too.

Anonymous said...

I wonder if this is just setting the stage for a Chronicle-BANG merger?