Our Terms of Service and Privacy Policy have changed.

By continuing to use this site, you are agreeing to the new Privacy Policy and Terms of Service.

Washington Post sells Newsweek to stereo mogul

By Blake Ellis, staff reporter


NEW YORK (CNNMoney.com) -- The Washington Post Co. said Monday it has sold struggling Newsweek magazine, which it has published for half a century, to audio industry pioneer Sidney Harman.

The financial terms of the deal were not announced. According to an article in the Washington Post citing an unnamed source, Harman is paying a "minimal" amount of cash but assuming obligations that could cost tens of millions of dollars.

"[Harman] has pledged not only to continue to produce a lively, compelling and first-rate news magazine, but also an equally dynamic Newsweek.com," Donald Graham, chairman and chief executive officer of the Washington Post Co. (WPO, Fortune 500), said in a statement.

Harman, founder and chairman of audio equipment maker Harman International, called the Post a "national treasure." He said he was looking forward to "this great journalistic, business and technological challenge."

In the statement, the Washington Post Co. said that Harman plans to keep "a majority" of Newsweek's staff. Newsweek reported that the magazine's editor-in-chief, Jon Meacham, has already announced he will step down after the deal is completed.

Harman apparently wasn't the only one eyeing the magazine. Other bidders included Fred Drasner, a former executive at U.S. News & World Report and the New York Daily News, as well as hedge fund Avenue Capital Group, which has a stake in America Media Inc., according to Newsweek. To top of page

Index Last Change % Change
Dow 17,773.64 -57.12 -0.32%
Nasdaq 4,775.36 -29.93 -0.62%
S&P 500 2,065.30 -10.51 -0.51%
Treasuries 1.82 -0.02 -1.03%
Data as of 3:33pm ET
Company Price Change % Change
Bank of America Corp... 14.56 -0.23 -1.56%
Freeport-McMoRan Inc... 14.00 1.34 10.58%
Ford Motor Co 13.56 -0.53 -3.76%
Apple Inc 93.74 -1.09 -1.15%
Microsoft Corp 49.87 -0.03 -0.06%
Data as of Apr 29
Sponsors

Sections

The Oracle of Omaha joked that the impact on Corporate America would not be the biggest problem of a Donald Trump presidency. More

The Dow is down 300 points over the past two days, leaving the index on track for its worst week since early February. Blame fumbled earnings reports from the likes of Apple and Google as well as concerns about the Bank of Japan. More

Now you can watch the SpaceX Falcon 9 rocket land on a barge as if you were standing on the deck of the ship. More

Visa says new software will allow consumers to check out with chip cards as fast as swiping a card with magnetic strip. More