Tribune Publishing is getting a $44.4 million cash boost from an investor in Chicago who will become the nonexecutive chairman of the company that owns the Chicago Tribune and the Los Angeles Times.
Michael W. Ferro Jr., chairman and CEO of Chicago's Merrick Media, will become nonexecutive chairman at Tribune Publishing Co., replacing Eddy Hartenstein, who will remain a director.
Ferro, 49, is the current majority owner of the Chicago Sun-Times and the move will also make him the largest shareholder of Tribune Publishing, according to the Chicago Tribune.
"I am excited to be working with the company’s award-winning brands,” Ferro said in a statement to the Tribune. “I see tremendous upside to create value and put Tribune Publishing at the forefront of technology and content to benefit journalists and shareholders.”
The company also suspended its quarterly dividend Thursday to raise much needed cash in the aftermath of an extraordinarily difficult year. Tribune Publishing has trimmed staff and revenue has slumped as readers and advertisers continue to migrate online.
Tribune Publishing also said Thursday it anticipates fiscal 2015 revenue in a range of $1.66 billion to $1.67 billion.
