[DManA]

Let's say for the sake of argument (or more accurately for the sake of you teaching and me learning) that the property is worth $100 mil and the newspaper is worth nothing. I don't see how they can write down 75% if their investment. It would seem that they are saying the real estate is only worth $25 million. Their headquarters building on on some of the most desirable land in the city.

[abb]

I understand what you’re asking now. I think Avista isn’t the only entity that owns part of the Strib. It looks like they put up $100 million themselves, maybe. I can’t recall who was in the deal with them, or if they borrowed money from banks or what.

I’ve got to be gone for most of the day. When I get back, I’ll dig up the particulars of the transaction from last year.

[abb]

Here’s some stuff from back when the deal was made.

http://www.startribune.com/business/11222936.html
Dec. 26, 2006: Private group buys Star Tribune

http://www.nytimes.com/2007/05/14/business/media/14carr.html?ref=business
Many Cuts and Crises at a Paper

http://www.freerepublic.com/focus/f-news/1758683/posts
(Minneapolis) Star Tribune being sold
http://www.startribune.com/535/story/899047.html ^ | 12/26/06

Posted on Tuesday, December 26, 2006 4:13:09 PM by MplsSteve