Union-Backed Firm Bids For Knight Ridder Papers

TNG-CWA and financial partner The Yucaipa Companies have submitted a bid for 12 newspapers that the McClatchy Co. now is selling after it purchased the Knight Ridder properties for $4.5 billion.

The 12 newspapers include eight where TNG-CWA represents employees: 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.

The Yucaipa Companies is the nation's biggest "worker friendly" private equity investment firm. TNG-CWA itself is not investing any funds in the bid. Employees at the newspapers will have the option to invest in the new company, now known as ValuePlus Media, through their 401(k) retirement plans under an employee stock ownership plan (ESOP).

"We want to keep quality jobs and the quality journalism that these newspapers are known for," said TNG-CWA President Linda Foley. "We're hearing from individuals, citizen groups and elected officials throughout these 12 communities that they support our efforts to maintain a quality local newspaper that provides for diversity of opinion and integrity."

At the TNG-CWA-represented newspapers, elected officials, business and community leaders, employees and readers are rallying around their community newspapers and expressing concern that the sale could mean an end to comprehensive and diverse local coverage of the news that readers and communities deserve. Petitions and letters are being sent to McClatchy chief executive officer Gary Pruitt, urging McClatchy to give fair consideration to the TNG-CWA/Yucaipa bid.

More information is available at www.knightridderwatch.org.