Just as TribLocal was taking off from its initial eight sites and, about 90 days later, its first two print editions, STMG
began closing weeklies in January 2008.
I'm absolutely pleased that we were able to achieve these goals with the investors in STMG
Holdings, LLC in such a timely manner.
Despite the fatter bank account, STMG
operated at a loss for August.
On Wednesday, STMG
had sent shareholders a letter headlined, "Don't sign any white cards sent to you by Davidson Kempner Capital Management LLC.
The outsourcing follows the recent announcement that STMG
was shutting down its Northfield, Ill.
While many jumped to the conclusion that the coup indicated that Hollinger would push for a quick sale of STMG
's assets -- which include not only the Chicago Sun-Times, but also 100 suburban daily and non-daily titles in the Greater Chicago area -- Aziz assured the Chicago Tribune that while Hollinger doesn't like the pace STMG
management has set, it isn't necessarily going for a quick sale.
We believe that the seniority and work rule changes and cost saving measures proposed by the company's current management are vital to save the Sun-Times News Group Newspapers and Web sites, including the Chicago Sun-Times," STMG
Holding's statement said.
Also on Friday, STMG
released its fourth-quarter and 2006 financial results, showing a net loss for the year of $56.
The chain is likely to run out of cash if Tyree, who STMG
says is the only bidder, withdraws his offer of $5 million in cash and the assumption of about $20 million in liabilities.
Under the proposed so-called 363 sale, the Tyree group will buy a "good" STMG
that will not include a $625 million tax bill -- or the several pension plans.
Chicago can support both the Sun-Times and the much-bigger Chicago Tribune, he declared in a wide-ranging interview Wednesday, a day after STMG
announced Chicago businessman James Tyree had assembled a small group of investors that have offered to buy the chain of 58 papers for $5 million in cash and more than $20 million in assumed liabilities.
Once we went into bankruptcy, obviously, that was put on hold," STMG
Chairman and interim CEO Jeremy L.