Posted on 07/17/2009 9:45:03 AM PDT by Liz
NYT CEO "Pinch" Sulzberger Jr. acknowledged paying a sky-high rate to Mexican billionaire Carlos Slim......14% interest for $250M loaned in January, "but given the state of our economy, our industry and credit markets, we believe it's fair and financially sound." The comments were part of a second memo issued to staff in an effort to boost transparency at the struggling newspaper giant....also referenced was the company's crushing $1B debt load....$45M matures before 2011, "and we expect to pay that in November with cash flow from operations and our revolving credit agreement," Sulzberger memoed.
(Excerpt) Read more at nypost.com ...
He might as well done a cash advance from his credit card @ that interest rate. Yikes! 14%?
In other words they hope to be able to float enough short term credit to pay for the first $45 million in long tern credit coming due. Quick, put the mortgage payment on the credit cards before they're canceled.
In other words, Pinch has run the company into the ground and now he's out shopping for backhoes....
Los Tiempos de Nuevayor?
What the heck is an interest payment on $250 million at 14%???? Yikes! No wonder Pinch and the NYTimes are Democrats!
Just short of $3,000,000 a month.
You beat me to it. Pinch is depending on a dwindling revenue to pay off an increasing debt. What’s wrong with that picture?
“and we expect to pay that in November with cash flow from operations and our revolving credit agreement,”
hahaha... going to pay the interest with another loan. Good work NYT. Now, with that same keen sense of finance, keep telling us how 0 is going to save the world.
Oh - my - gosh!
Pinch is depending on a dwindling revenue to pay off an increasing debt. What’s wrong with that picture?
Why not, Obama is doing the exact same thing.
Obama will get somebody(maybe Soros) to bail this wimp out.
Cut it out, Slim.
Apparently they figure they can make it up in volume.
I was going to share, but not now.
Ahhh. You’re going to make me buy a bottle of Scotch this weekend!
Yeah, I’m certain that’s part of their business plan.
[In other words they hope to be able to float enough short term credit to pay for the first $45 million in long tern credit coming due. Quick, put the mortgage payment on the credit cards before they’re canceled. ]
That was my immediate thought too. Why don’t I just pay one credit crd with a cash advance from another???
The House bill takes several steps aimed at restoring sound lending practices. First off, it requires lenders to take into account the borrower’s ability to repay the debt...The way to discourage irresponsible lending is to hold liable both the mortgage originators and the companies to which they sell their sometimes illegal loans. The risk of being hauled into court would make secondary investors more careful and build accountability into the securitization system.The House bill also fails to address the problem of federal regulations that pre-empt state laws that may impose stronger penalties and remedies. Federal regulations should be a floor, not a ceiling, in lending. Millions of Americans have lost their homes, neighborhoods have been destroyed and the country’s financial system has been brought to the very brink of disaster. Does Congress really need to know more before it finally fixes these rules?
Oh that's right, it's an official editorial position of The New York Times.
I’m sure Dave Ramsey would shudder if he read this.
Ping.
I thought this was going to say Phinch had AIDS.
They call AIDS Slim in Africa
Ouch, sorry I missed this last friday. I hope everyone had a great weekend and thanks to Chuck for the ping!
Dave Ramsey Fan Ping List.
If you would like to be added to the “Live like no one else, so that you can LIVE like no one else” list, feel free to Freepmail me.
Do you think he plans to shutdown "Operations" so the cash flow can go to this massive debt also?
Wonder how much debt they already have on the revolving credit agreement?
Sounds like life support to me.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.