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Yesterday brought yet another major debt downgrade of Black Press, Ltd., the Canadian-based outfit run by David Holmes Black, who is also a “senior advisor” and partner with Beverly Hills-based Platinum Equity in that firm's takeover of the Union-Tribune.
The credit rating downgrade by Standard & Poor’s, to B- from B, with a negative outlook, reinforces Black Press debt status as junk, bad news for creditors who can expect to get back only 30 to 50 percent of their money in the event of a default. The company owns the Akron Beacon Journal in Ohio, among other American holdings.
What does it mean for the Union-Tribune? Apparently not much, since Black Press is reportedly not a partner with Platinum Equity in the takeover, and Black himself has seemingly been relegated to an advisory capacity in running the U-T, based on statements by Platinum brass. But it does seem to reflect a bit on his judgement.
“David will not have a day-to-day role in the Union-Tribune organization. He is a senior adviser and partner to Platinum on the Union-Tribune investment, and will be part of the operating committee as described above. David is a great guy, a very savvy newspaper businessman, and a progressive thinker. We feel very fortunate to have him on our side,” Platinum’s Louis Samson was quoted by the U-T as saying last week.
Just don’t let him use the company credit cards.
Yesterday brought yet another major debt downgrade of Black Press, Ltd., the Canadian-based outfit run by David Holmes Black, who is also a “senior advisor” and partner with Beverly Hills-based Platinum Equity in that firm's takeover of the Union-Tribune.
The credit rating downgrade by Standard & Poor’s, to B- from B, with a negative outlook, reinforces Black Press debt status as junk, bad news for creditors who can expect to get back only 30 to 50 percent of their money in the event of a default. The company owns the Akron Beacon Journal in Ohio, among other American holdings.
What does it mean for the Union-Tribune? Apparently not much, since Black Press is reportedly not a partner with Platinum Equity in the takeover, and Black himself has seemingly been relegated to an advisory capacity in running the U-T, based on statements by Platinum brass. But it does seem to reflect a bit on his judgement.
“David will not have a day-to-day role in the Union-Tribune organization. He is a senior adviser and partner to Platinum on the Union-Tribune investment, and will be part of the operating committee as described above. David is a great guy, a very savvy newspaper businessman, and a progressive thinker. We feel very fortunate to have him on our side,” Platinum’s Louis Samson was quoted by the U-T as saying last week.
Just don’t let him use the company credit cards.