On April 2, 2007 Tribune Co. announced that Sam Zell prevailed in his bid for the struggling newspaper company. The final $34 per share offer was chosen over another eleventh-hour bid from Los Angeles billionaires Eli Broad and Ron Burkle. Sam “The Grave Dancer” Zell—contrarian real estate magnate—had just completed the sale of Equity Office Properties, his real estate holding company.

Because my mother isn’t here tonight, I’ll even confess to you that I have been an arbitrageur
-Warren Buffett

I've posted a couple of current merger arbitrage situations for investors to look at, at the moment. These could be a good place to park some cash, especially if you feel the risk/reward ratio is attractive.

This article lists the Ten Commandments to follow, enableing investors to sift through the rhetoric and know when an acquisition deal will close and when not.

Several announced acquisitions have seen their stocks trade well below the acquisition price. Deal brokers have transformed into deal breakers. Some of these deals are going to close on schedule no matter how much money the debt holders lose. Here is one stock and why this deal will close before year-end.

This is like buying a 90 day T-bill that pays 25% interest per quarter! The deal should close within the 90 day period. The company once again reiterated in plain English that this deal is going through.

Talks about why these plays look attractive.

George, discusses his recent experience with two tender offers. His prose made me laugh, but the lessons learned are very valuable.

Knight Ridder sacked, the New York Times Co. under pressure, layoffs pummeling newsrooms: How enigmatic asset manager Bruce Sherman became the scariest guy in journalism.

Excerpt: "2006 is noted as the first year in history where there was not a recession and newspaper revenues declined. The reports says 2007 is starting out even weaker than 2006."

Clearly I get a lot of my news online, but I still can't imagine not reading a "real" newspaper every morning. I wonder how cheap these will have to get before I feel comfortable invesing in this declining business.

Excerpt: "The fund [CalPERS]warned it would start or step up existing efforts to push for changes if the companies do not act quickly themselves. Calpers is already pursuing shareholder proposals at four of the 11 companies."

I found the thought of CalPERS as a potential activist investor very interesting.

I associate Newspaper companies with past consumer monopolies ala Warren Buffett and the Washington Post. This article is commentary on the author's opinion on the future of the industry.