Bloomberg not interested in newspaper business
By Erina Lin, Monday 21 April 2008 at 23:31 :: Management :: #1556 :: rss
New York City Mayor Michael Bloomberg Monday dismissed media reports that he could be a suitor for the New York Times Co., announcing that he is not interested in getting into the newspaper industry, Reuters reported.
"I am not going to go into the newspaper business," Bloomberg told reporters at a press conference. "I am not a newspaper person."
Before becoming mayor, Bloomberg founded Bloomberg LP, a financial news and information service. He has been encouraged to buy the New York Times Co. and save the company from shareholder assaults, according to a recent report in Newsweek.
Newsweek stated in its April 28 edition that Bloomberg could take the company private and "help protect the brand" with his estimated $11.6 billion personal fortune, Reuters reported.
Shares of the New York Times increased three percent earlier on Monday before shedding most of the gains after Bloomberg's public response.
According to the New York Post Monday, unnamed sources pointed out that some members of the Ochs-Sulzberger family, which controls the Times, want to find a protector.
A Times spokeswoman said the family believes the company's current capital structure is the best way to protect its editorial independence.
Recently, the Times agreed to support two board nominees put forward by hedge fund Harbinger Capital Management, the first outside directors at the company since it went public, Reuters reported.
Harbinger and board nominee Scott Galloway of Firebrand Partners have urged several changes at the Times, including possibly selling off properties.
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