Posted on 08/03/2010 4:50:06 AM PDT by Rummyfan
It’s official: Sidney Harman, the businessman who made his fortune selling stereo equipment, has secured a deal to buy Newsweek from the Washington Post Co. and will announce the deal later Monday afternoon.
The New York Times and others have previously reported that Mr. Harman was the front-runner to come away with the news weekly, but have cautioned that no deal was certain. Politico’s Playbook e-mail newsletter this morning said a deal with Mr. Harman was imminent, but also cautioned that “no deal like this is done until it’s done.” The deal is now done, according to people familiar with the process.Mr. Harman and the Washington Post Co. declined to comment.
The Times quoted one person briefed on Mr. Harman’s bid who said his plan would retain 250 of Newsweek’s employees. Newsweek counted 379 full-time staffers at the end of March, according to the sale book posted by PaidContent, but a significant number have left in the time since. Losses at the magazine could approach $70 million this year, this person told the Times. Mr. Harman reportedly bid $1 for the magazine but agreed to assume the magazine’s liabilities; those details could not be confirmed on Monday.
(Excerpt) Read more at pajamasmedia.com ...
They say he’s in no hurry to make a profit. The truth is that he bought it and plans to underwrite losses simply to keep the propaganda flowing.
Congresswoman Jane Harman is his wife...
Sounds like a perfectly good waste of liberal dollars to me. NW is pretty much preaching to the choir anyway.
lol.....Like Mercedes Benz paying Cerberus to take Chrysler off their hands.
Two commies w/one stone.
Pray for America
Double talk from a stereo maker — seems fitting.
The name Harmon used to be associated with top quality stereo equipment. It died years ago along with the quality of the hardware.
How appropriate that that cheapened name is now associated with a junk mag. Liberalism never attaches to anything capable of producing value.
So now Newsweak is owned by a MemBER OF CONGRESS, Jane Harman!!! If this was a Republican Memebre of Congress buying The Washington Examiner it would be FRONT PAGE NEWS EVERY DAY FOR A YEAR!
Is this Harman Kardon?
It's unlikely Harmon has much, if any, skin in the game.
Harmon is too old (91), has too little experience running a news venture (zero) and is too savvy to shell out cash on the hopes of resurrecting a dead dog.
Much more likely scenario: A Harmon shell company assumed both the assets and liabilities for Newsweak with the ComPost still acting as some sort of guarantor.
If one of Harmon's hot young turks can revive the rag, great. If the turk manages to salvage something from the ruins, say 30 cents on the dollar, not so good but better than nothing. If the venture flops completely, at least they're no worse off than right now. Bottom line: Banks - loan stays on the books at full value and performing - for now. WaPoo - shed of deadwood and loans not written off, EBIDTA goes up - for now. Newsweak - alive - for now. Harmon - something for nothing more than sweat - maybe.
It's not an attractive solution, in my opinion, but desperate times call for desperate measures.
Yes
Seems I saw somewhere that the WaPo still has responsibility for pensions.
All this just makes it official that the rag is a mouthpiece for the Democrats.
The parent company is almost always still liable for pensions. It's easier to find the Wee Wee's birth certificate than for a business to escape unfunded pension obligations.
All this just makes it official that the rag is a mouthpiece for the Democrats.
Unofficially, the WaPoo and Newsweak have been Rat shills for decades. Officially, you are right, although (1) it is doubtful many will make the connection, and (2) it is even more doubtful the Weekly Wipe will be around much longer.
From what I’ve seen elsewhere, there was a better offer by another organization that was rejected because the buyers were “too conservative”. Sounds to me like a shareholder lawsuit could be initiated over this.
That was probably World Net Daily, they made an offer earlier.
Oops, I’m sorry it was Newsmax that was the conservative outfid bidding on it, not WND.
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