McClatchy open to sell Seattle Times

This report from the Editor & Publisher staff:

NEW YORK McClatchy Co. Chairman, President, and CEO Gary Pruitt said the company is open to selling the 49.5% share of the Seattle Times Co. it acquired as part of the purchase of Knight Ridder Inc. in 2006.

The revelation came in a Sacramento Bee story covering Pruitt's Tuesday remarks at McClatchy's annual shareholders' meeting in Sacramento.

"Long-term, we would be open to selling" the stake, Pruitt said in response to a shareholder's query, noted Dale Kasler's Bee article.

Pruitt said he has told the Blethen family, which owns the rest of the Times Co., that McClatchy is interested in selling the minority share at some point. McClatchy has repeatedly written down the value of its stake in the firm -- it now values its share at $12.1 million, down from $19.3 million at the end of 2007.

Also, Pruitt tried to reassure shareholders Tuesday that the company is on the right track despite falling profits, revenue, and stock price. He said McClatchy, by focusing heavily on Internet operations, is poised for recovery once the economy improves.

"We are confident we will work through this transition," Pruitt added.