WASHINGTON—In a letter released April 11, The NewsGuild-CWA and the Teamsters urged stockholders in the Gannett newspaper chain to vote for the incumbent board of directors to block a hostile takeover by what they called the “vulture hedge fund” Alden Global Capital. The two unions, which represent a total of about 1,300 workers at Gannett and 900 at Alden’s Digital First Media, argue that Alden’s record—such as laying off three-fourths of the staff at the Denver Post last year—makes it clear that its slate of directors “would rely on draconian cuts in staff and product quality in an effort to generate short term profits.” Gannett owns more than 100 U.S. newspapers, including USA Today. “Are we ready to see buyouts and layoffs,” the letter asks, “reduce coverage of local and state government at The Arizona Republic, The Bergen Record, The Detroit Free Press, The Indianapolis Star, The Louisville Courier-Journal, The Milwaukee Journal Sentinel, The Rochester Democrat & Chronicle, The Tennessean?” “The hedge fund is not interested in news but in asset-stripping only,” NewsGuild President Bernie Lunzer said in a statement. The vote will be held at the shareholders’ annual meeting May 16 in McLean, Va.
Read more: https://www.sec.gov/Archives/edgar/data/1635718/000177316119000004/gannettcwaibtltr_2pt.htm
