- 21 февраля 2013, 00:39
- POLITICO. TOP 10 Blogs
The New York Times Co. is formally exploring the sale of its New England Media Group, including the Boston Globe.
The news, first reported by Bloomberg, was confirmed by the company on Wednesday afternoon. The sale would include the Globe, BostonGlobe.com, Boston.com, the Worcester Telegram & Gazette, Telegram.com, and the direct mail marketing company GlobeDirect, as well as the Times Company's 49 percent interest in Metro Boston.
"The sale of the New England Media Group will allow us to sharpen our strategic and financial focus on The New York Times brand," Times publisher Arthur Sulzberger, Jr., and CEO Mark Thompson wrote in a memo to staff, obtained by POLITICO. "This was not an easy decision as the New England Media Group has, for many years, brought tremendous value to our Company."
Since the economic downturn, the Times Co. has been divesting itself of various properties, including the website About.com, in an effort to refocus the business on its core brands: specifically, The New York Times and the International Herald Tribune.
The Times Co. has hired Evercore Partners Inc. as an adviser for the possible sale. Bloomberg reports that the company held $955 million in cash and short-term investments at the end of last year, largely as a result of its asset sales. The company bought the Globe in 1993 for $1.1 billion.
The full memo from Sulzberger and Thompson, sent shortly after Bloomberg broke the news:
Over the past several years, we have recast our Company, introducing new products and business models, while delivering the highest quality journalism to our readers and advertisers. During that same time, we have made some difficult decisions about the direction and composition of our Company.
Today we are announcing that we plan to sell our New England Media Group, which includes The Boston Globe, the Worcester Telegram & Gazette and their related properties. The sale of the New England Media Group will allow us to sharpen our strategic and financial focus on The New York Times brand.
This was not an easy decision as the New England Media Group has, for many years, brought tremendous value to our Company. While part of the Times Company, The Boston Globe has been awarded 10 Pulitzer Prizes and many other professional awards.
We want to take this opportunity to thank our colleagues at the Globe and T&G for their many substantial contributions to our journalistic reputation and to our Company overall.
To read the press release, click here.
Arthur and Mark
This post has been updated.