Felix Salmon, Reuters, Content Economics, here.
When I wrote last week about Jeff Bezos and his journalists, I said that “the Boston Globe was sold for essentially a negative sum, once pension obligations are taken into account, while the Washington Post was sold for the price of a nice Cézanne.” It turns out that I was comparing apples with oranges: the Washington Post, just as much as the Boston Globe, was sold for less than the value of its pension obligations. Bezos might have paid $250 million for the paper, but he was also given $333 million to help him meet its pension obligations.
Make no mistake: this does mean that the Washington Post is worth substantially less than zero; you can’t just separate out the pension obligations and declare that somehow they don’t matter. What Bezos paid for the Post was not $250 million, it was negative $88 million.
I’m confident that Pink I is worth more than negative $88MM. We beat WaPo, the New York Times, and the Financial Times to the London Whale story (not that hard, sheesh) and our HFT coverage in the interest rate swaps space is way better. For Wall Street Quant Analytics OpEd coverage Pink I is top shelf. And if you are building a DynaRack cash register or a DynaPie there is really only one news source, Pink I.