Business & Real Estate

McClatchy buys back $41.3 million in bonds

The McClatchy Co. said Monday it has bought back $41.3 million worth of bonds in a private transaction that nibbled away at the Sacramento-based newspaper chain’s debt.

McClatchy, which owns The Sacramento Bee, said the repurchase of the notes leaves it with only $70 million worth of bonds coming due in 2017. The bonds pay 5.75 percent interest.

All told, McClatchy has now whittled its debt to $991.2 million. The company has worked vigorously to reduce its debt, a legacy of the 2006 takeover of the old Knight Ridder chain.

With only $70 million of debt due in 2017, and no other bonds maturing until 2022, Chief Financial Officer Elaine Lintecum said McClatchy has “ample runway as we continue our digital transformation.”

McClatchy shares gained 2 cents, to $1.26, by the close of trading Monday on the New York Stock Exchange.

  Comments