The big news today is of course the Graham family’s shocking sale of The Washington Post to billionaire Jeff Bezos of Amazon. This, along with the sale of The Boston Globe to Red Sox owner John Henry and the sale of Newsweek to IBT Media, signal the true end of an era.
The days when Americans woke up to the daily newspaper on their doorsteps is long gone. The place to go for the latest news these days is the internet and print newspapers and news magazines are struggling to survive. But the Globe and Newsweek have been on the auction block for a long time; the Post sale was a complete surprise, even to its employees.
From David von Drehle at Time Magazine: A New Age for the Washington Post
It’s hard to startle the journalism business these days, given the scale and speed of disruption of the media industry. But the Graham family selling the Washington Post to Amazon CEO Jeff Bezos for $250 million is an exception. Few newspapers in the world are as closely identified with a single family.
The story of the Grahams and the Post used to be told in giant pictures on the wall of the newspaper lobby on L Street not far from the White House. One grainy photograph documented the day in 1933 when the brilliant financier Eugene Meyer bought the paper for a song at a bankruptcy sale on the courthouse steps. Another (a favorite of all of us who worked there) showed Meyer’s remarkable daughter, Katharine Graham, beaming as she left another D.C. courthouse in the company of her favorite editor, Benjamin C. Bradlee, after they prevailed over the government in the Pentagon Papers lawsuit.
But the most important photograph, according to Mrs. Graham’s son and successor Donald E. Graham, was the one that showed Meyer in the company of Philip L. Graham, the brilliant and tragic husband of Katharine and father of Don. They were smiling like a pair of lotto winners, which they were. The year was 1954, and after years of effort and red ink, they had finally bought out their last remaining rival for dominance of the morning-newspaper market in Washington. As other families would learn in other cities across the country — the Chandlers in Los Angeles, the Coxes in Atlanta, the Knights in Miami and so on — dominance of the morning-newspaper routes would become a decades-long license to print money.
Owning the morning meant that the Post would thrive as afternoon newspapers fell to the competition of television news. (The last afternoon paper in Washington, the excellent Washington Star, winked out in 1981.) It meant that advertisers hoping to reach a broad Washington audience had no choice but to pay the Post’s steadily increasing rates. That day in 1954 was the key to everything the Post later became, Don told me one day about 10 years ago when we bumped into each other in the lobby. Watergate, all the Pulitzer Prizes, the foreign correspondents, the celebrity columnists — all of it was possible because the patriarch and his son-in-law managed to lock up the morning.
A couple more links on the Post sale:
James Fallows at The Atlantic: Why the Sale of the Washington Post Seems So Significant
I have known and liked Donald Graham and his family over the years; many of my friends in journalism have at one time or another worked at the Washington Post. My first reaction to news that the family had sold the paper is simple shock. But it is shock based not on my positive-but-not-deep personal connection to the paper and its people but rather on sheer generational disorientation.Readers below about age 40, who have known the Post only during its beleaguered, downsizing-its-way-out-of-trouble era, may find it hard to imagine the role it once played. Over the past decade-plus, the New York Times and theWall Street Journal have been the national newspaper organizations. It already seems antique even to use the word “newspaper” in such a construction, for reasons I don’t need to belabor now. But their flagship daily print publications make the NYT and the WSJ similar to the Financial Times and different from the other remaining ambitious news organizations — Bloomberg and Thomson Reuters, the broadcast and cable networks, NPR, etc.There was a time when you would automatically have included the Post in that first-tier national grouping. Other mainly regional or local papers were strong — the LA Times, the Chicago Tribune, the Boston Globe, and on down a nostalgic list. But more than any of the rest of them, the Post was fully in the national-newspaper derby and measured itself every day against the Times in talent level, depth and breadth of reporting, international coverage, sophistication, and all the other measures of a nationally ambitious operation. People who have started reading the paper in the past dozen years — rather, who have notstarted reading it — probably can’t imagine this difference in stature. But it is dramatic, and real.
“The pattern of a newspaperman’s life is like the plot of ‘Black Beauty,’ ” A. J. Liebling wrote. “Sometimes he finds a kind master who gives him a dry stall and an occasional bran mash in the form of a Christmas bonus, sometimes he falls into the hands of a mean owner who drives him in spite of spavins and expects him to live on potato peelings.” And sometimes, out of the blue, the ownership changes and you don’t know what the hell you’re getting in your bucket—fresh oats or cut glass.
At around 4:25 Monday afternoon, the staff of the Washington Post was summoned to the paper’s auditorium, a vast room where the presses used to be. The meeting would begin at 4:30 P.M., they were told. Donald E. Graham, the leader of the Graham family, which has owned the paper since Eugene Meyer bought it at a bankruptcy auction in 1933, stood solemnly before journalists who had been demoralized over the years by staff cuts, precipitous plunges in circulation, and endless dark rumors. It was a room full of reporters and editors, and yet, as one told me, “we thought we were there to hear that the Grahams had sold the building.”
In fact, Graham told them, in a voice so full of emotion that he had to stop a few times to gather himself, they were selling the Post and a handful of smaller papers—for two hundred and fifty million dollars, to Jeff Bezos, the founder and C.E.O. of Amazon, who is estimated to be worth more than twenty-five billion dollars. Graham asked the people there not to tweet, just to listen. The assembled were so stunned that when it came time for questions no one had any for a while; Graham had to urge them out of their silence.
“This was just plain sad. Now we belong to a guy who is so rich that the paper is around one per cent of his net worth,” a reporter told me soon after the meeting. “This was the family acknowledging that we can’t do it anymore and we have to give it to someone else. And we love the Graham family, we are proud of the family.”
It’s a long and interesting essay–read the rest at the link.
Neil Irwin and Ylan Q. Mui at The Washington Post write that Bezos paid more than he needed to for the Post.
The purchase price is richer than many of those paid for other legacy print media properties in recent years.
The New York Times Co. agreed to sell the Boston Globe to Red Sox owner John W. Henry for only $70 million. Newsweek sold for a symbolic $1, plus assumed pension liabilities, to billionaire Sidney Harman in 2011.
The Post “has a much stronger position in its market than the Boston Globe does,” said John Morton, an independent newspaper industry analyst. “It doesn’t surprise me that it would command a much higher price.”
Still, Morton suggested that the prominence and the visibility of The Post made Bezos willing to pay a higher price than would be justified by the paper’s finances alone. “I think probably Jeff Bezos was willing to pay a premium to make this happen,” Morton said. “. . . Bezos has enough money that if he wants to make it a hobby, he can.”
Interestingly, The New York Times apparently sold The Globe for less than they could have gotten. According to the AP:
BOSTON — Three bidders who fell short in their attempts to purchase The Boston Globe say they offered more than Boston Red Sox owner John Henry’s winning $70 million bid and criticized the decision of the seller, The New York Times Co., to make a deal with him.
Springfield television station owner John Gormally, West Coast investment executive Robert Loring and U-T San Diego chief executive John Lynch all said their groups’ bids bested Henry’s.
Henry agreed to pay $70 million to buy the Globe, the Boston Metro and the Telegram & Gazette in Worcester, about 50 miles from Boston. The bid, announced Saturday, was a fraction of the $1.1 billion the Times Co. paid 20 years ago.
Lynch said his group offered “significantly more” than Henry and wondered how the Times Co.’s shareholders would react after learning the company accepted a lower offer.
“I’m just stunned,” Lynch told the Boston Herald. “I thought this was a public company that had a fiduciary duty to get the most by its stockholders.”
Gormally says his bit was $80 million, but he admits that local ownership will probably be better for the Globe in the long run. Perhaps the Times wanted to do us Bostonians a favor.
I’m running out of space, so I’ll just add a few more stories in link dump fashion.Mark Ames on Vladamir Putin’s “human rights” record: Snowden’s Savior Announces Plans To Build 83 “Concentration Camps” Across Russia (link unlocked for 2 days)
A former student sues her high school for bullying she suffered–first lawsuit based on new Massachusetts anti-bullying law
Wendy Davis: Ready to ride for governor of Texas? (Christian Science Monitor)
How the World’s ‘Most Biodiverse Place’ Could Be Ransomed for Oil Money (Miami Herald via PBS)
Now it’s your turn. What are you reading and blogging about today? Please post your links on any topic in the comment thread.
The media is all worked up about how badly NY Mayor Michael Bloomberg handled the blizzard that hit the Northeast early this week. Can we please put aside all the talk about this man running for President? He’s really not that bright, judging by his stupidity in the face of a little winter weather. Bloomberg didn’t even have the brains to declare an emergency parking ban so plows could clear the streets! In Boston, parking bans are routinely declared in advance of a big storm.
From the NYT: Inaction and Delays by New York as Storm Bore Down
At 3:58 a.m. on Christmas Day, the National Weather Service upgraded its alert about the snow headed to New York City, issuing a winter storm watch. By 3:55 p.m., it had declared a formal blizzard warning, a rare degree of alarm. But city officials opted not to declare a snow emergency — a significant mobilization that would have, among other things, aided initial snow plowing efforts.
The Metropolitan Transportation Authority entered the holiday weekend with modest concerns about the weather. On Friday, it issued its lowest-level warning to subway and bus workers. Indeed, it was not until late Sunday morning, hours after snow had begun to fall, that the agency went to a full alert, rushing to call in additional crew members and emergency workers. Over the next 48 hours, subways lost power on frozen tracks and hundreds of buses wound up stuck in snow-filled streets.
By 4 p.m. Sunday, several inches of snow had accumulated when Mayor Michael R. Bloomberg made a plea for help at his first news conference about the escalating storm: he asked people with heavy equipment and other kinds of towing machinery to call the city’s 311 line to register for work. A full day had gone by since the blizzard warning had been issued.
Yes, you read that correctly. Bloomberg called for help from private contractors DURING the blizzard! What a dope. You’d think New York had never experienced a snowstorm before.
Speaking of stupid, did you catch Floyd Abrams’ op-ed at the WSJ yesterday? Abrams presents his lame arguments against Wikileaks by discussing how the Wikileaks revelations differ from the Pentagon Papers.
In 1971, Daniel Ellsberg decided to make available to the New York Times (and then to other newspapers) 43 volumes of the Pentagon Papers, the top- secret study prepared for the Department of Defense examining how and why the United States had become embroiled in the Vietnam conflict. But he made another critical decision as well. That was to keep confidential the remaining four volumes of the study describing the diplomatic efforts of the United States to resolve the war.
Not at all coincidentally, those were the volumes that the government most feared would be disclosed. In a secret brief filed with the Supreme Court, the U.S. government described the diplomatic volumes as including information about negotiations secretly conducted on its behalf by foreign nations including Canada, Poland, Italy and Norway. Included as well, according to the government, were “derogatory comments about the perfidiousness of specific persons involved, and statements which might be offensive to nations or governments.”
Um…duh. But so what? Is he claiming that the diplomatic cables that major newspapers are publishing are analogous to peace negotiations? Doesn’t Abrams understand that Wikileaks released the cables to these newspapers so that they could make educated journalistic judgments about which parts should be made public and which should be redacted or kept secret?
Furthermore, the analogy that Daniel Ellsberg has made is not between Wikileaks and the Pentagon Papers but between himself and Bradley Manning. They were both whistleblowers who revealed government lies and corruption. As for the diplomatic cables, there is no evidence that Manning gave those to Wikileaks.
Abrams even tries to blame Manning and Assange for the overkill reactions of the Obama administration:
Mr. Assange is no boon to American journalists. His activities have already doomed proposed federal shield-law legislation protecting journalists’ use of confidential sources in the just-adjourned Congress. An indictment of him could be followed by the judicial articulation of far more speech-limiting legal principles than currently exist with respect to even the most responsible reporting about both diplomacy and defense. If he is not charged or is acquitted of whatever charges may be made, that may well lead to the adoption of new and dangerously restrictive legislation. In more than one way, Mr. Assange may yet have much to answer for.
What a load of garbage. Abrams once fought in defense of the first amendment. Now he’s just another enabler of government corruption and lies. I guess he spent too much time hanging out with Judith Miller, because he seems to have adopted her views on journalism. We have every right to know what our corporate-sellout politicians are doing.
Here’s what Emptywheel had to say about Abrams’ piece:
Abrams’ purported rhetorical questions–can anyone doubt that WikiLeaks would have published the diplomatic volumes of the Pentagon Papers? can anyone doubt he wouldn’t have paid the slightest heed to efforts to end the war?–are one of two things that dismantle his entire argument laying the responsibility for the government’s overreaction to Assange with Assange. Because–as Digby has explained at length–we have every reason to doubt whether WikiLeaks would have published the diplomatic volumes of the Pentagon Papers. And we have solid evidence that WikiLeaks would shield really dangerous information.
Because they already have. And because they have now outsourced responsibility for choosing what is dangerous and newsworthy or not to a bunch of newspapers.
Indeed, back before WikiLeaks ceded that role to a bunch of newspapers, WikiLeaks was actually being more cautious with the publication of sensitive information than the NYT was.
So rather than blaming the government and the press for mischaracterizing what WikiLeaks has done here and then using that mischaracterization to justify an overreaction to that mischaracterization, Floyd Abrams just participates in it. WikiLeaks is responsible, Floyd Abrams says, and I’m going to misrepresent what they have done to prove that case.
Abrams either was never a liberal or he lost his liberalism along the way to his current rich and powerful status. He sounds more like a neocon to me.
Did an imposter steal Floyd Abrams’ identity and use it to sell an op-ed in today’s Wall Street Journal? That’s the only explanation I can come up with after reading the First Amendment litigator’s wacky battering of WikiLeaks and its founder, Julian Assange (“Why WikiLeaks Is Unlike the Pentagon Papers”).
Abrams, who represented the New York Times in both the Pentagon Papers and Judith Miller cases, applauds Pentagon Papers leaker Daniel Ellsberg because he withheld four volumes of papers—while releasing 43—because he “didn’t want to get in the way of the diplomacy.” That is, Ellsberg didn’t want to interfere with ongoing and confidential negotiations to end the war. Continuing his “Ellsberg good,” “Assange bad” formulation, Abrams asks, “Can anyone doubt that [Assange] would have made those four volumes [of the Pentagon Papers] public on WikiLeaks regardless of their sensitivity?”
Well, yes, I can doubt that.
Perhaps because Abrams listens to too much NPR or doesn’t read the New York Times very closely, he’s under the misconception that WikiLeaks has published all 251,287 U.S. diplomatic cables it claims to possess. It hasn’t, as NPR noted in a correction yesterday. WikiLeaks has released just 1,942 cables, which makes Assange’s ratio of released-documents to withheld-documents much, much smaller than Ellsberg’s. By that measure, Abrams should regard Assange as a more conscientious leaker than Ellsberg, not less conscientious.
In his latest post at Truthdig, Chris Hedges’ argues that both Orwell and Huxley were right when they wrote their dystopian novels about the future. Now that we’re here, we’ve got the worst of both their worlds.
The two greatest visions of a future dystopia were George Orwell’s “1984” and Aldous Huxley’s “Brave New World.” The debate, between those who watched our descent towards corporate totalitarianism, was who was right. Would we be, as Orwell wrote, dominated by a repressive surveillance and security state that used crude and violent forms of control? Or would we be, as Huxley envisioned, entranced by entertainment and spectacle, captivated by technology and seduced by profligate consumption to embrace our own oppression? It turns out Orwell and Huxley were both right. Huxley saw the first stage of our enslavement. Orwell saw the second.
We have been gradually disempowered by a corporate state that, as Huxley foresaw, seduced and manipulated us through sensual gratification, cheap mass-produced goods, boundless credit, political theater and amusement. While we were entertained, the regulations that once kept predatory corporate power in check were dismantled, the laws that once protected us were rewritten and we were impoverished. Now that credit is drying up, good jobs for the working class are gone forever and mass-produced goods are unaffordable, we find ourselves transported from “Brave New World” to “1984.” The state, crippled by massive deficits, endless war and corporate malfeasance, is sliding toward bankruptcy. It is time for Big Brother to take over from Huxley’s feelies, the orgy-porgy and the centrifugal bumble-puppy. We are moving from a society where we are skillfully manipulated by lies and illusions to one where we are overtly controlled.
Orwell warned of a world where books were banned. Huxley warned of a world where no one wanted to read books. Orwell warned of a state of permanent war and fear. Huxley warned of a culture diverted by mindless pleasure. Orwell warned of a state where every conversation and thought was monitored and dissent was brutally punished. Huxley warned of a state where a population, preoccupied by trivia and gossip, no longer cared about truth or information. Orwell saw us frightened into submission. Huxley saw us seduced into submission. But Huxley, we are discovering, was merely the prelude to Orwell. Huxley understood the process by which we would be complicit in our own enslavement. Orwell understood the enslavement. Now that the corporate coup is over, we stand naked and defenseless. We are beginning to understand, as Karl Marx knew, that unfettered and unregulated capitalism is a brutal and revolutionary force that exploits human beings and the natural world until exhaustion or collapse.
Hedges is right, IMHO.
As an antidote to the dystopian nightmares Hedges discusses, you might want to check out some idealistic utopian dreams. Alternet has an excerpt of a new book by Richard Fairfield, The Modern Utopian: Alternative Communes of the ’60s and ’70s (Process Media, 2010). It’s pretty interesting. Check it out if you have time.
Returning to grim reality, the WaPo has an article on high unemployment among returning war veterans.
As they return home to the worst labor market in generations, the veterans who are publicly venerated for their patriotism and service are also having a harder time than most finding work, federal data show.
While their nonmilitary contemporaries were launching careers during the nearly 10 years the nation has been at war, troops were repeatedly deployed to desolate war zones. And on their return to civilian life, these veterans are forced to find their way in a bleak economy where the skills they learned at war have little value.
Some experts say the grim employment landscape confronting veterans challenges the veracity of one of the central recruiting promises of the nation’s all-volunteer force: that serving in the military will make them more marketable in civilian life.
“That [promise] works great in peacetime,” said Lawrence J. Korb, an assistant secretary of defense for manpower under President Ronald Reagan who is now a senior fellow at the Center for American Progress. “But that does not work too well in war. . . . If you are in there four years and deployed twice, what kind of skills have you learned other than counterinsurgency?”
Finally, Elizabeth Warren has piece up at Huffpo: New Consumer Agency Is Frightfully Necessary — And Late
No one has missed the headlines: Haphazard and possibly illegal practices at mortgage-servicing companies have called into question home foreclosures across the nation.
The latest disclosures are deeply troubling, but they should not come as a big surprise. For years, both individual homeowners and consumer advocates sounded alarms that foreclosure processes were riddled with problems.
First, several financial services companies have already admitted that they used “robo-signers,” false declarations, and other workarounds to cut corners, creating a legal nightmare that will waste time and money that could have been better spent to help this economy recover. Mortgage lenders will spend millions of dollars retracing their steps, often with the same result that families who cannot pay will lose their homes.
Second, this mess might well have been avoided if the Consumer Financial Protection Bureau had been in place just a few years ago.
Thanks for being one of the few people advocating for us, Ms. Warren.
Sooooooo…. What are you reading this morning?