Vultures!

Posted on September 22, 2010

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Philadelphia’s daily newspaper, The Philadelphia Inquirer is bankrupt and holding an auction on Thursday.  One of the prospective bidders, according to the New York Times for the paper is Randall D. Smith and since he is in the business of vulture investing, buying companies that are in debt, he is most likely expecting to have it make a comeback.  In other words, he hopes to reap the remaining values of what it’s worth.

You would expect some decency on his part.  He’s already invested in a chain of media conglomerates and now he wants to acquire Philadelphia’s daily newspaper as part of his toy collection.

Smith has already wrung out tens of millions of dollars from Emmis Communications, which wanted to transition into the private sector.  Emmis owns and operates radio and magazines in U.S.

From millions of dollars in fees to paying Smith’s firm, Alden Global Distressed Opportunities Fund LP, $10 million for special deals; how can one stand to take advantage?

Smith decided to end the deal and since then, he was handed a lawsuit in January of this year.

If Smith isn’t good with following through contracts, what’s to say he won’t back out of investing in The Philadelphia Inquirer?

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