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