Buy custom Chron Ceo: Shutting Examiner Discussed
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Business
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| Number of pages / Number of words: |
5 / 1160 |
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My reaction was this was totally unrealistic."
Alioto introduced a confidential April 6, 1996, memo from Sias to Patricia Tobin, a member of the Chronicle's board of directors, that discussed a deal in which Hearst would sell or close The Examiner in return for 34 percent of the Chronicle's profits "in perpetuity...
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They split profits after joint costs, then each pays the cost of their separate editorial staffs.
Such agreements are an exception to antitrust laws, and are allowed by the Newspaper Preservation Act, which is meant to keep alive newspapers in danger of failing.
The Chronicle owners were displeased with the agreement because although their larger morning paper generated 80 percent of total revenue, they were required to share it evenly with The Examiner, Sias testified...
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