Monday, July 06, 2020

Knight Foundation 
Nixes buying McClatchy

The Knight Foundation decided not to make a bid for the collapsing McClatchy newspapers. Knight Foundation, created by John S. Knight, the best newspaper owner in American history, and JSK's brother James Knight, specializes in grants and investments, not operating a business.

The scary thing about the McClatchy situation is that means hedge funds will own about 40% of daily newspaper ownership.
Unlike JSK, who wanted to make a profit but not at the expense of good journalism that JSK and Thomas Jefferson embraced, hedge funds are in it to make a profit. Period.
Even if means buying, cannibalizing and reducing newspaper staffs to zombie (smaller than skeleton) size.

Fortress Investment Group swallowed up Gannett/Gatehouse, Alden did the same whale imitation with MNG Enterprises and Chatham probably will gobble up what's left of McClatchy.

That’s not good for the public’s right to know. Corrupt politicians and corporations have a field day when there’s no viable media to keep the fox from guarding the henhouse.

McClatchy paid $6.5 million in 2006 to buy Knight Ridder Newspapers, then America’s 2nd largest newspaper group. Worse timing in history.

Newspapers were on the verge of a freefall. McClatchy took a decade staggering toward its inevitable bankruptcy.

The court ordered McClatchy to choose a rescuer by Wednesday, July 8.

Check out the article by the Nieman Lab, which benefits from Knight Foundation money, at

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