Gannett CEO to Employees: Company Not for Sale

By: E&P Staff Craig Dubow, CEO of Gannett, threw cold water on the rumors that Gannett might be preparing itself for a sale based on compensation actions revealed in the company's 10-Q filing.

The company amended its deferred compensation plans.

In a memo to Gannett employees, Dubow chastised bloggers for not checking with the company about the filing. He wrote, "None of the bloggers called and checked with us before speculating that we were preparing for a sale. We are not."

He continued, "The word 'amendment' is important here. We updated plans that already were in effect. Actually, our plan for dealing with a change of control has been in place since 1990."

A full copy of the memo, first posted on Romenesko, follows:
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Dear co-workers:

I want to put an end to the unwarranted speculation generated by a few bloggers this week. A change in control of Gannett is not in the works or even anticipated.

This handful of bloggers made some incorrect assumptions about information in our quarterly filing with the Securities and Exchange Commission. None of the bloggers called and checked with us before speculating that we were preparing for a sale. We are not.

What we were doing is making routine amendments to our bylaws and compensation plans. Many of these revisions were mandated by newly adopted IRS rules about deferred compensation.

The word "amendment" is important here. We updated plans that already were in effect. Actually, our plan for dealing with a change of control has been in place since 1990. It's been amended on occasion before and reported on over the years.

So, stand down. Relax. Gannett - along with the media industry - is facing some tough times but we are actively and aggressively moving forward with our strategic plan. We are seeing success and creating more of it everyday.

Come fall, we will have some interesting new approaches to innovation to tell you about. And there are lots of good things happening throughout the company, even though it may feel like a rough ride at the moment.
As you know, I am very proud of you and all you are doing to make this transformation happen. Gannett needs you, and appreciates you.

Thanks, and please keep in touch.

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An E&P piece about the rumors can be found here..