McClatchy to Sell Aberdeen (SD) American News to Schurz Communications
SACRAMENTO, CA and SOUTH BEND, IN, JUNE 7, 2006 - The McClatchy Company today announced a definitive agreement to sell the Aberdeen (SD) American News to Schurz Communications, Inc. Financial terms of the transaction were not disclosed at the buyer’s request. The purchase covers the American News and certain publications and web sites related to the newspaper.
Dirks, Van Essen & Murray, a newspaper merger-and-acquisition firm based in Santa Fe, New Mexico, represented McClatchy in the transaction.
The American News (daily circulation 16,473 and Sunday circulation 17,979) is currently owned by Knight-Ridder, Inc., which McClatchy has agreed to acquire. The parties intend to close the transaction as soon as possible after the close of McClatchy’s Knight Ridder acquisition, which is expected this summer.
Schurz Communications publishes 12 daily and six weekly newspapers in medium and small markets with a combined circulation of nearly 225,000. It also owns four television stations, seven radio stations, two cable companies, phone directories, shopping guides, and a printing company. Geographically, Schurz Communications has a presence in Indiana, Kentucky, Maryland, Michigan, Pennsylvania, California, Florida, Missouri, Georgia and Virginia.
“The number and quality of bidders interested in newspapers such as the American News is an indication of the continuing strength of the newspaper industry,” said McClatchy CEO Gary Pruitt. “We are confident that the pairing of Schurz Communications and the American News will be a long and successful one.”
“We are a company that believes in the vitality of the communities we serve. We are very excited to be a part of Aberdeen and value the trusted reputation of the American News,” said Schurz Communications President and COO Todd Schurz. “The addition of this publication will expand our geographic reach as well as complement our reputation for honesty and fairness.”
McClatchy, headquartered in Sacramento, California, is a leading newspaper and internet publisher. It publishes 12 daily and 16 non-daily newspapers located in western coastal states, North and South Carolina, and the Twin Cities of Minneapolis/St. Paul. McClatchy has daily circulation of 1.4 million and Sunday circulation of 1.8 million. McClatchy's newspapers include, among others, the Minneapolis (MN) Star Tribune, The Sacramento Bee, The Fresno Bee and The Modesto Bee in California, the Raleigh (NC) News & Observer, the Tacoma (WA) News Tribune the Anchorage (AK) Daily News and Vida en el Valle, a bilingual Spanish weekly newspaper distributed throughout California’s Central Valley. McClatchy also operates leading local websites in each of its daily newspaper markets, offering readers information, comprehensive news, advertising, e-commerce and other services, and owns and operates McClatchy Interactive, an interactive operation that provides websites with content, publishing tools and software development. McClatchy is listed on the New York Stock Exchange under the symbol (MNI).
Based in South Bend, Indiana, Schurz Communications, Inc. is a diversified and privately owned media and communications company. It began in 1872 when Alfred B. Miller and Elmer Crockett founded the South Bend (IN) Tribune. The Tribune is still the flagship property, and family members have held editor and publisher positions at the newspaper for five generations. Schurz’s newspapers include, among others, the Bloomington (IN) Herald Times and the Hagerstown (MD) Morning Herald and Daily Mail. Schurz Communications, Inc. consists of six business segments: radio broadcasting, television broadcasting, cable television, newspaper publishing, shoppers and commercial printing.