Buh-bye, GateHouse
A former co-worker just emailed to inform me that my old employer, GateHouse Media, is now worth 7 cents a share. Seven...cents...
Thanks to its nauseating plunge to the bottom of the deep end, GateHouse stock was de-listed from the NYSE today. It's market capitalization is now about $4 million dollars. Um, yeah. That means the Register Star could sell its $27 million press for scrap metal and come up with enough dough to buy all 100 newspapers in the chain.
This is what happens when a fledgling corporation builds an acquisitive business plan dependent on leveraging easy credit -- and then the entire global lending system collapses. It shows just how negatively Wall Street views newspapers that no investor has swooped in to snatch up the company; GateHouse's collective paper clip supply is worth more than $4 million.
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