By Greg Michael
The arrogance that comes from editors who “managed” newspaper monopolies with 20 percent profit margins is breath taking.
On the day it completed its Knight Ridder takeover, McClatchy saw its stock fall to its lowest point in five years amid continued investor anxiety over the wisdom of the deal. Dale Kasler notes the stock has fallen 26.6% since McClatchy announced the deal March 13. “I’m certainly disappointed in the skepticism that the market has shown,” says McClatchy CEO Gary Pruitt.
Hello, Mr. Pruitt, the stock market does its homework. Your share price is a vote. You lost. Better take back the Dom Perignon and buy some Cooks sparkling wine instead! Times Mirror was not a good buy – instead it is a big goodbye from smart investors.