The Washington Post Co. has revealed exactly how much cash that audio equipment magnate Sidney Harman paid for Newsweek magazine this summer: $1.
The Post Co. also agreed to cover up to $10 million of Newsweek’s existing bills. And it will hold on to certain employee pension liabilities, though it did not spell out a dollar figure in a regulatory filing Wednesday.
No one thought Harman paid much for Newsweek, which lost almost $30 million last year amid circulation and advertising declines.
But the magazine’s sale for less than its $5.95-per-issue price on newsstands is still a grim milestone for a brand that was once a prized asset at the Post Co., which bought Newsweek in 1961.
The filing comes as speculation builds that Harman’s Newsweek will form some kind of partnership with The Daily Beast, a news and opinion site owned by Barry Diller’s media conglomerate, IAC/InterActiveCorp, and run by former New Yorker magazine editor Tina Brown.
In a piece commemorating the site’s second anniversary on Wednesday, Brown answered the buzz about a deal with Newsweek by saying, “Yes, there have been some interesting discussions going on, as we have with potential partners large and small all the time.”
Read More: AP