Editor’s Note: The article first appeared on SaveLocalNews.org on Dec. 22, 2021.
Members of The NewsGuild are speaking out to public pension funds about their support of a company that has financed the destruction of local news.
Continue reading “NewsGuild speaks out against pension funds investing in Cerberus, the ‘shadow banker’ behind Alden Global Capital”
Editor’s note: This article first appeared on the website of DFMworkers.org on Nov. 23, 2021.
The executives at Florida-based hedge fund Alden Global Capital must be restless.
No longer content with extracting the lifeblood from two of the nation’s largest local newspaper chains, it’s now stalking Lee Enterprises.
Alden announced, via a Monday-morning press release, that it wants to buy all of Lee Enterprises for $24 a share, in cash.
Continue reading “Alden’s sleight-of-hand bid demands a closer look”
This article first appeared on dfmworkers.org on Sept. 23, 2021.
Saying their investments are “enabling the destruction of local news,” The NewsGuild-CWA is calling on two of the nation’s largest public pension plans to consider divesting from the private equity firm Cerberus Capital Management.
Continue reading “NewsGuild urges public pension funds to divest from Cerberus, citing the firm’s role in the destruction of local news”
Editor’s Note: This article appears in full on Nieman Lab.org.
To the ancient Greeks, Cerberus was the hound of Hades, a multi-headed dog with a serpent’s tail who kept souls from escaping the underworld. His eyes burned with fiery lava and he vomited bile.
The canine’s namesake, Cerberus Capital Management, is a private equity firm that, like Alden Global Capital, specializes in acquiring distressed businesses — and, alongside Alden, it is now in the business of devouring newsrooms in the name of profit.
Cerberus was Alden’s financial backer for its recent takeover of Tribune Publishing, but the two secretive companies have a shared history that goes back to at least 2015.
The NewsGuild-CWA filed a letter to shareholders with the Securities and Exchange Commission on Tuesday, urging a “no” vote on hedge fund Alden Global Capital’s attempted takeover of Tribune Publishing.
Instead of seeking the best value for Tribune shareholders, the Guild’s letter states, Tribune’s board “excessively focused on a rapid approval of Alden’s proposal, even though a potentially superior offer as well as continuing independent operation present higher value alternatives.”
Continue reading “NewsGuild-CWA issues letter to Tribune shareholders urging a NO vote on Alden takeover”
Cash-strapped and banished from its luxury offices, Alden Global Capital has crafted a Faustian bargain to buy the publisher
This article first appeared on DFM.workers.org on April 28, 2021.
Alden Global Capital says it can buy Tribune Publishing with surplus cash on hand, but the former New York hedge fund’s merger agreement with Tribune appears to contradict the claim.
Doubts about Alden’s ability to purchase Tribune with cash are reinforced by a costly U.S. Department of Labor investigation, mounting lawsuits over broken lease agreements, and a stealthy exit from the top floor of Manhattan’s glamorous Lipstick Building to an unmarked virtual office in South Florida.
Continue reading “Tribune could take on massive debt to finance its own takeover”
After George Floyd’s killing and the national reckoning on race that followed, journalists at the Denver Post have been meeting regularly to look deeply into the newspaper’s role in perpetuating “systems of racism and inequality and to seek solutions.”
Continue reading “Staff says hedge fund Alden refused to let paper publish diversity announcement for readers”
Tribune CEO Terry Jimenez was lone voice voting against Alden takeover
This article first appeared on the website of DFMworkers.org.
Alden Global Capital is aggressively undermining an effort by a Maryland hotel magnate to buy Tribune Publishing and possibly make its papers nonprofit charities, a new government filing reveals.
Continue reading “Alden is undermining a Baltimore philanthropist’s higher bid for Tribune Publishing”
In a hearing on saving “the free and diverse press,” NewsGuild president urges lawmakers to protect local news and jobs
Summing up the nation’s local news crisis as a combination of unfair siphoning of advertising revenue by online platforms and “predatory financial actors” who strip newsrooms of jobs and resources, NewsGuild President Jon Schleuss testified Friday at a congressional hearing to address the nation’s local news crisis.
Continue reading “Congress addresses the local news crisis”
Deal includes selling The Baltimore Sun and several other papers to a nonprofit foundation;
Sale must be approved by two-thirds of remaining shareholders.
Alden Global Capital, the New York hedge fund known for draconian cost-cutting at newspapers in its MNG Enterprises chain, has reached a deal with board members at Tribune Publishing to acquire the publicly traded company and take it private.
Continue reading “Tribune board agrees to sell company to Alden; union vows to continue to fight for quality journalism”