Newspapers and Technology March 2000
Buyers for SF paper turn up at 11th hour
By Kevin Juhasz
Editor
Several potential buyers for the San Francisco Examiner emerged just before the Feb. 15 deadline, possibly stopping the newspaper from being shut down by its owner, The Hearst Corp.
Hearst said if a buyer was not found, it would shut down the newspaper and merge it with the Chronicle, the city's other daily, which Hearst is buying.
Hearst would not say much about the potential buyers except for a brief statement that said, "Hearst has received several indications of interest regarding the possible purchase of the newspaper. We are presently engaged in the process of reviewing and evaluating proposals and have no official announcement at this time."
According to the Examiner, one of the possible buyers was Clint Reilly, who had filed a lawsuit trying to block the shutdown.
Reilly filed his suit on Jan. 11 in U.. District Court, a move that had an effect on Hearst.
Hearst has set no time limit on when or if a buyer will be chosen.
Hearst put the newspaper up for sale in August. It announced then that if no buyer were found, it would fold the newspaper into its competitor.
On Jan. 25, the company tried to fatten up the potential $660-million dollar asking price by offering to sell all of the assets currently being used to produce the newspaper, including presses, plant, delivery trucks and other physical assets.
Hearst also offered a turn-key package of assets sufficient to allow a buyer to independently edit, produce and distribute the newspaper; will consider selling assets jointly owned by Hearst and The Chronicle Publishing Co. if the buyer needs them to operate the Examiner; and will entertain proposals for traditional arrangements to facilitate the sale.
Hearst said its efforts are in response to concerns about the sale's effects on the city raised by San Francisco's mayor, city attorney, and district attorney, as well as the California's Attorney General's office, and the Antitrust Division of the U.. Department of Justice.