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Posts Tagged ‘cuts’

Newspaper Outsmarts Private Equity

Posted in Uncategorized, tagged , , , , , , , on September 21, 2025| 6 Comments »

Photo: NiemanLab.
A late private equity bid to disrupt the sale of the Dallas Morning News to Hearst was foiled by a fourth-generation newspaper owner turning down more money.

Some days journalism and free speech seem threatened on every hand. Whether its officials trying to control what is said or hedge funds buying up newspapers to wring them dry, a girl could get depressed.

Today’s story is about how one newspaper escaped disaster at the eleventh hour.

Joshua Benton at NiemanLab gives his views on what happened. As a former employee of the paper he’s writing about, he gets pretty worked up, but his take is interesting. It reminds me that not all shareholders are greedy. It also reminds that usually they are.

“By now, it’s a familiar move to watchers of Alden Global Capital, the ravenous hedge fund with the unusual hobby of sucking the lifeblood out of newspapers.

“See, Alden likes to wait until a newspaper merger or acquisition is juuuuust about consummated. Then, right before the final papers get signed, it swoops in with a late bid that promises the seller a bigger payday. Respectable newspaper owners don’t love the idea of selling to Alden, whose relish for laying off journalists is well known. They’ve sometimes built entire strategies around selling to anyone but Alden. But in the tense final hours of a deal, it can be difficult to explain to shareholders why, exactly, they should turn down a few extra million.

“It’s smart: wait until some other buyer has kicked the tires and run the numbers to come up with a valuation. If Random Newspaper Company thinks it can profitably run a paper at the price of $𝑥 million, surely Alden can run it profitably at $(𝑥 × 1.2) million. All it’ll take is 20% more cuts — and that’s Alden’s specialty.

“Sometimes it works. In 2018, just before a bankruptcy auction for the Boston Herald, Alden announced its intentions to bid, offering more than double the stalking horse bid made by rival GateHouse. Alden got what it wanted. …

“After a few comparatively quiet years, Alden opened up its playbook again six days ago when it announced a bid for the Dallas Morning News, offering $88 million. This came 12 days after the Morning News had taken itself off the market by announcing it would be acquired by Hearst for $75 million. …

“This time Alden won’t get the prize — because of one particular shareholder. This morning, the DallasNews Corporation (formerly A.H. Belo) announced that its board had “reviewed and rejected” Alden’s offer. …

” ‘DallasNews Corporation controlling shareholder Robert W. Decherd, a great-grandson of co-founder George Bannerman Dealey, sent a letter Friday to his former company’s board emphatically stating his complete commitment to the Hearst merger.’ …

“The Morning News was objectively one of the most appealing solo newspapers left for a chain to snare. For one thing, North Texas continues to boom in population. The Metroplex’s population has grown by 2.9 million people since I started there 25 years ago. (For context, that’s equivalent to adding the entire Denver metro area to a place that already had 5.2 million people.)

“But the DMN is also appealing because it hasn’t been gutted as much as most other metro newspapers in its weight class. To be clear: It’s been cut — a lot. When I started there, the newsroom had more than 600 people and bureaus around the world. Today, newsroom headcount is at 157 people. That’s not 600, of course. But 157 is significantly larger than Alden’s (roughly) 70 at the Orange County Register, 50 at the Denver Post, or 50 at the Orlando Sentinel.

“For a chain thinking for the long term — like still family–controlled Hearst — that relative strength makes the Morning News an asset worth investing in. But it also makes the DMN appealing to a raider like Alden, for a very different reason: Taking over a bigger newsroom means more opportunities for cuts. …

“It’s easy to over-romanticize the days of family ownership of newspapers. The Dealey–Decherd family has been running the Dallas Morning News, in one way or another, since 1885. Over that century-plus, there’s plenty to complain about. … But there’s a simple grace to how that era of stewardship is ending. Robert Decherd turned down several million dollars to keep his family’s newspaper out of Alden’s hands. I’m not sure how many newspaper owners would do that today — but I’m glad the number is at least one.”

More at NiemanLab, here.

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Federal Cuts Hurt Small Farms

Posted in Uncategorized, tagged , , , , , , , on August 25, 2025| 2 Comments »

Photo: Mark Stockwell/Boston Globe.
Mohammed Hannan of Hannan Healthy Foods farm in Lincoln, Massachusetts, holds garlic, one of many organic greens grown on his farm.

After the US takes a step forward, it always seems to take two steps back. In today’s story, We learn about federal funds that have been supporting sustainable agriculture. Until now.

Jocelyn Ruggiero reports for the Boston Globe, “It’s dreary, gray, and unseasonably chilly on the first day of Community Supported Agriculture pickups at the Hannan Healthy Foods farm. As CSA members trickle in to collect their bags of produce, they chat with Mohammed Hannan and passersby who’ve stopped to buy green garlic, beets, collards, and various herbs and greens at the farm stand. Hannan’s 11-year-old daughter, Afsheen, sits bundled up at the checkout table, reading a book alongside volunteer and longtime CSA member Tricia Moore. Aside from the weather, the scene looks similar to opening day last summer. But circumstances are vastly different from what they were 12 months ago.

“One person is notably absent. Hannan’s wife, Kaniz Fouzia, died of pancreatic cancer in March. And even as the family grieves, Hannan confronts the practical challenges of running the farm without his primary support.

“He also faces another crisis. Last year, as with every year since it launched, the farm’s biggest buyer was the New Entry Sustainable Farming Project’s Food Hub, which purchased $7,000 in produce, primarily funded by two federal grants: the Local Food Purchase Assistance and Local Food for Schools Cooperative Agreement programs.

“Since 2021, the Food Hub has bought more than $32,000 of produce from Hannan, supported by these food grants, both part of the 2021 American Rescue Plan. These initiatives enable local schools, food banks, and senior centers to purchase produce from the Hub and, by extension, local farmers and producers. They’ve brought close to $20 million to the Massachusetts economy. Both the LFPA and LFS were originally scheduled to run through December 2025, [but the federal] administration abruptly and prematurely terminated funding for both programs. …

“Established in 2005, the Food Hub aggregates and distributes vegetables grown by more than 35 beginning, immigrant, and refugee farmers in the Boston region. It is an initiative of the Friedman School of Nutrition Science and Policy at Tufts University, which was founded in 1998 to integrate recent immigrants and refugees with farming backgrounds into Massachusetts agriculture. …

“[The] sudden termination of multiple streams of support disrupted many long-planned efforts and, in some cases, left farmers holding the bill for purchases they had already made based on awards that were withdrawn.

“It’s no coincidence that Hannan is the steward of a successful farm. He’s always had close ties to agriculture. He grew up on his family’s organic farm in Bangladesh, which was both a source of food and income. Hannan went on to earn a master’s degree in wildlife biology, studying the country’s ecologically critical coastal areas. In 2014, he gave up an opportunity to accept a Duke fellowship when his wife received a US Diversity Visa; the family left Bangladesh to settle in Cambridge.

“He eked out a living at multiple minimum-wage jobs — Walgreens, Indian restaurants, and MIT facilities — before landing work in biotech, then as a lab manager at MIT. During the lean years, he yearned for the affordable organic food that was so accessible in Bangladesh. He wondered, ‘How can I change my situation? How can I grow food here?’ …

“Unsure about whether working a full-time job while running a farm would be feasible, Hannan spent the summer of 2017 volunteering mornings, nights, and weekends at White Rabbit Farm in Dracut. … He began the New Entry Sustainable Farming Project farmer training program that winter, leasing a small piece of land through New Entry and growing produce to feed his family. By 2019, he had launched his first 30-member CSA and was selling to the Food Hub. In 2020, he graduated and set his sights on a plot in Lincoln.

“The weeds were chest-high on the 2.5-acre barren plot, and there was no potable water for washing produce. … ‘I came up with a plan: I’ll grow veggies that do not need washing: bottle and bitter gourds, tomatoes, eggplants, peppers.’ As he expanded, Hannan connected with the Lincoln community through an online forum. There, he met Tom Flint, an 11th-generation Lincoln farmer. Flint introduced him to Lincoln Land Conservation Trust trustee Jim Henderson, who let Hannan use his backyard sink and cure garlic in his barn. These were the first of many new friends who welcomed him to Lincoln. …

“During COVID, unsolicited, strangers started contacting Hannan: ‘I had accountants, engineers, doctors. They were helping on the weekends. … We were laughing, harvesting … and eating from the farm. It was really good.’ Town residents later responded to his query on the town’s forum and helped Hannan build a deer fence when he couldn’t afford a contractor. His robust volunteer network has strengthened and extended beyond Lincoln, and today includes such groups as the Boston-based climate justice nonprofit Mothers Out Front. …

“[Today] Hannan’s MIT job subsidizes his farm, and his volunteer community provides supplemental support. However, for many other small farmers affected by funding cuts, the consequences will be existential. As Hannan puts it: ‘Small farmers like me … will definitely choose other options.’ ”

More at the Globe, here.

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The Arts and the Hurricane

Posted in Uncategorized, tagged , , , , , , , on February 22, 2025| 16 Comments »

Photo: Kyle Mellott via Heather Divoky.
Catastrophic flooding swallowed up buildings of Asheville’s River Arts District. Despite ongoing floods and fires in the US, government disaster relief is facing big cuts.

My childhood friend Ursula, an artist in Asheville, North Carolina, lost much of her own and her late father’s artwork to Hurricane Helene last year. As I consider the Hyperallergic article below, I can’t help thinking that in addition to individuals who helped victims (like blogger Deb), government disaster relief (like FEMA, now on the chopping block), was indispensable.

Rhea Nayyar wrote, “Southeastern states are reeling from catastrophic loss and damages after Hurricane Helene tore a deadly path of devastation from Florida’s Big Bend region up through inland Georgia, the Carolinas, and Tennessee. In the mountains of western North Carolina, the city of Asheville was particularly hard hit by flooding … obliterating the cherished River Arts District (RAD) — a creative hub home to studios, galleries, community spaces, and other artist-run small businesses.

“ ‘Two-thirds of the district has been destroyed,’ said Jeffrey Burroughs, president of the River Arts District Artists Association, in an interview with Hyperallergic. Hosting over 350 local artists and craftspeople, the RAD complex comprises 27 buildings that span just over a mile of the eastern riverside. The southernmost string of buildings along Foundy Street, including the enormous Marquee warehouse which was once a bustling marketplace for artisans and antique dealers, are ‘gone,’ according to Burroughs. …

“ ‘Marquee is rubble, the nearby winery has washed away … It’s completely apocalyptic,’ Burroughs said. He recalled overseeing artwork, art supplies, and cans of beer being carried off by the [water] itself, saying that it was like ‘watching the spirit of Asheville being washed away.’

“A little further north at Pink Dog Creative on Depot Street, Asheville artist Heather Divoky, a marketing co-chair for RAD, told Hyperallergic … ‘This will absolutely reshape RAD — we’re going to be forever changed,’ Divoky said. ‘We’re all in complete shock right now. I don’t know how many of us can come back.’

“Down the street, Trackside Studios reported that flood waters reached the ceiling of the first floor where about 40 of the 60 studio artists maintain their practice. Co-owners Julie Bell and Michael Campbell were out of state during the storm, and have since become a communications switchboard as they have reliable internet access and power. Bell noted to Hyperallergic that Trackside Studios had recently completed a months-long renovation prior to the storm to restore the building’s historic appearance. …

“ ‘It’s so dangerous to clean up after these types of disasters because the mud is full of debris, mold spores, sharp objects, and dead fish. It’s neither safe nor sanitary,’ she said. …

“Miles east of RAD, artist, tax expert, and Hyperallergic contributor Hannah Cole reported that her studio along the Swannanoa River tributary had been entirely upheaved by floodwaters.

“ ‘The building is totaled,’ Cole told Hyperallergic, noting that 20 years worth of artwork and supplies were ‘effectively put in a blender for hours’ in a mixture of water, mud, heavy furniture and tools, and other debris carried in by the river.

“ ‘Some level of flooding is normal during big storms, but this has never happened before,’ Cole continued, adding that when she paid a risky visit to the studios after Helene, the water lines were up to the ceiling.

“Ruby Lopez Harper, executive director of the Craft Emergency Relief Fund (CERF+), which imparts safeguarding advice for natural disasters and offers emergency relief and preparedness grants to artists across the United States, told Hyperallergic that ‘recovery is going to take years.’

“ ‘We tell artists to store their things in waterproof bins and other such protective measures … None of that is going to help when your home is underwater,’ she said, explaining that no one had predicted this. …

“But on the ground, both Burroughs and Cole expressed that it’s impossible to even think so far ahead while they and their loved ones are still focused on securing potable water. However, Burroughs and the other RAD board members are conceptualizing an action plan to get stipends for artist relief, recovery funds for RAD, and a clean-up effort to remove the dangers and debris onsite.

“ ‘My husband and I moved here in 2020 after I was suffering from long COVID,’ Burroughs said. ‘There is nothing like this area, this community, anywhere else in the country. We will come back stronger.’ ”

More at Hyperallergic, here.

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