McClatchy Newspapers
Major newspaper chain including Miami Herald, Sacramento Bee.
PE-OWNED
Acquired by Chatham Asset Management2020-09-01
What Made It Great
Local journalism serving communities with in-depth reporting.
What PE Will Likely Do
Significant newsroom layoffs, resulting in reduced coverage of local news, fewer investigative reports, and less in-depth reporting on community issues
Consolidation of newsrooms across McClatchy's various newspapers, leading to a homogenization of content and a loss of unique local perspectives
Implementation of stricter paywalls and subscription requirements, making it more difficult for community members to access vital local news and information
Reduction in the frequency of print editions or potential elimination of print altogether, leaving readers with fewer opportunities to engage with physical newspapers
Cuts to investigative journalism teams, resulting in a decline in the newspapers' ability to hold local authorities and institutions accountable
Expected Timeline
“0 to 6 months months”
Acquisition announced, promises of 'investment' made, initial round of layoffs and 'restructuring' announced
“6 to 12 months months”
Print frequency reduced, more content cuts implemented, paywalls strengthened
“12 to 24 months months”
Quality of local reporting visibly declined, reader complaints increase, community engagement and trust in the newspapers erode
Similar Cases
Other companies that followed a similar path after PE acquisition
What You Can Do
Actions
Actively advocate for the preservation of local journalism by contacting elected officials and community leaders to voice concerns about the potential impact of the acquisition
Subscribe to and support other local news sources in the communities served by McClatchy newspapers to ensure continued access to vital information
Participate in community efforts to hold the new owners accountable and protect the integrity of local news coverage
Alternatives
Look for family-owned or employee-owned businesses