TNG-CWA, Yucaipa Bid on 12 Knight Ridder Papers

In a bold move to allow newspaper workers to become employee-owners, The Newspaper Guild-CWA and its financial partner, The Yucaipa Companies, have submitted a bid for the 12 Knight Ridder newspapers being sold by the McClatchy Co. after its acquisition of the chain.

Among the 12 are eight newspapers with TNG-CWA and CWA Printing Sector members: the Akron Beacon Journal, the Duluth News Tribune, the Grand Forks Herald, The Monterey County Herald, The Philadelphia Inquirer and the Philadelphia Daily News, the Saint Paul Pioneer Press and the San Jose Mercury News.

TNG-CWA has partnered with The Yucaipa Companies, the country's biggest "worker friendly" private equity firm, and submitted a "very strong bid to continue the quality journalism, excellence in reporting and community voice of these properties," said Guild President Linda Foley.

If the bid is successful, employees will have the option to buy shares in the new company through their 401(k) retirement savings under an Employee Stock Ownership Plan (ESOP).

In all these communities, members of Congress, state and local elected officials, business and community leaders, readers and others are expressing support of the union bid to McClatchy's chief executive officer Gary Pruitt, calling it the best way to preserve quality journalism and the community resource that readers want.

Other supporters also are calling on McClatchy to ensure that the sales process is transparent and open and that TNG-CWA receives all the relevant information necessary in this process.

Minnesota Representatives Jim Oberstar (D) and Mark Kennedy (R) have urged the U.S. Justice Dept. to review McClatchy's acquisition of Knight Ridder properties, raising concerns about the impact of the sale on the Twin Cities area. McClatchy owns the Minneapolis Star-Tribune.

TNG-CWA locals also are holding rallies and petition drives, with lots of community participation. The latest developments on the bid are available at www.knightridderwatch.org.