Mortimer Zuckerman's $200 Million Gamble

Forbes ^ | 8/7/2009 | Dirk Smillie

[bruinbirdman]

Daily News publisher is spending a mint to remake the paper. Wait till you hear his plan to save the rest of the industry

Mortimer Zuckerman is chairman and co-founder of publicly traded Boston Properties, editor in chief of U.S. News and World Report and publisher of the Daily News. A Harvard Law grad, he's a fixture on Sunday talk shows like The McLaughlin Group. Off-air, he's often mid-air: Zuckerman traveled to Tangier in early August to attend events commemorating the 10-year rule of Morroco's King Mohammed VI. Zuckerman, with an estimated net worth of $2.8 billion, spoke to Forbes just after his return.

Forbes: You're raising $50 million in stock proceeds from Boston Properties (BXP) to invest in new, cutting edge color printing presses for the Daily News. What's the total cost, and what makes you so optimistic about the future of newspapers?

Zuckerman: We are transforming the product. These presses will give us 120 to 160 pages of fantastic, magazine-quality color with incredible speed and efficiency. There is only one other printing plant in the U.S. that approximates this kind of visual experience. We will leapfrog every newspaper in America. That said, I'm not trying to pretend this is going to make the Daily News hugely profitable. I'm doing this, to be candid with you, as much as anything else because I'm addicted to the print press. I've been a fanatic about journalism since I was 12 years old.

The stock sale is about $50 million, but it will cost closer to $200 million. The rest will come from me, I will personally fund it. What makes me optimistic is the unique role of the Daily News and other newspapers in New York City. The Daily News is a first read for a lot of people. Subway ridership

[Brad from Tennessee]

[Wait till you hear his plan to save the rest of the industry.]

Earth to Mort: It's called "the internet" and it's already been invented.

[Zakeet]

Snort did a great job with U.S. News when he transformed it into a liberal rag which subsequently went broke and is now an e-zine.

Now we get to enjoy watching his genius in action again as he tries to invent the tab-o-zine -- liberal crap -- gift wrapped -- a much higher cost -- launched at a time when the market is falling like a turkey t*rd from a tall pine.

[Yossarian]

Zuckerman: We are transforming the product. These presses will give us 120 to 160 pages of fantastic, magazine-quality color with incredible speed and efficiency.

Yeah, I'm sure the presses will be speedier and more efficient than that pokey ol' internet...

I wonder if Zuckerman had a grandad who bought stock in buggywhip makers in the 1920s?

[piasa]

We are transforming the product. These presses will give us 120 to 160 pages of fantastic, magazine-quality color with incredible speed and efficiency. There is only one other printing plant in the U.S. that approximates this kind of visual experience. We will leapfrog every newspaper in America.

Talk about putting lipstick on a pig. It isn't the lack of color that is causing media woes. It's the propaganda.

[Roccus]

I remember a pre-Zuckerman NY Daily News, a slightly right of center newspaper. When he bought it, he changed it to a left wing rag.

http://www.nytimes.com/1992/10/24/nyregion/tension-of-waiting-at-the-daily-news.html

The words of Mr. Dunn at the end of the article proved prophetic, yet no one on the left ever challenged Zuckerman for his use of scabs.

[DH]

He said...”120 to 160 pages of fantastic, magazine-quality color”.

I understand. It’s because liberals don’t actually read articles, they only look at the pictures. Even if they did, they would only read the words and phrases they wanted to hear.

Wow! Those new color pictures will really sell the rag to the blind.

[rbg81]

Yeah I know. The interesting thing is that Zuckerman comes off as being right-of-center when I see him on the McLaughlin Group. Of course, even a wet sponge would come off right-of-center next to Elenanor Cliff.

[kempster]

I am totally impressed. Being in the printing business, running a trash magazine faster will make me want to read it now for sure.

Mortimer Mouse is saving America.

[erman]

A Harvard Law grad,

.....wow, now I'm all ears. Cause only geniuses have HARVARD attached to their name. They know EVERYTHING. bwahahahahahahahahahaa.... it is the equivalent of a buggy maker telling everybody that he took a buggy to the wind tunnel and now it's much better and faster ...... than other buggies... bwahahahahahaha he just came out with the fastest loser.

well at least that's $200,000,000.000 of his money down the crapper... sweet. I can't wait for 200 pages of US NEWS and WORLD REPORTS, fully colorized and just chock full of vital info....

Hey, Mort... want to do some simple research. Go to the really smart places in the world like.. uh... Harvard and ask any undergraduate what magazine he reads every month besides Maxim. Don't take his word for it either... ask him questions pertaining to the last month's copy. If 3% of college students answer yes truthfully I'll be shocked. That means PAID subscriptions... not giveaways.