Life Is Never Boring

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Real Estate Broker/Owner with Daytona Condo Realty, 386-405-4408

I once wrote a blog about the court decision that was supposed to end our local independent newspaper (I tried to find the blog but couldn't).

The story was that the Davidson family have sold 47% of the business to Atlanta based Cox Communications many years ago.

NewspaperThe Davidson family has always been the biggest donor of the arts in the area. They were behind the London Symphony Orchestra biannual 2-week vacations in Daytona, and since the mid 60s they are coming to us, an ordinary city on the Atlantic ocean.

Anyway, they paid $13 Million towards the naming rights of the performance art center, which would not be built without these $13 Mil, however the other stockholder was not happy with the expenditure and the judge took their side. 3 years ago the judge ordered the Davidson either pay Cox Communications a whopping $129 Mil or sell the company. They decided to sell the company.

At that time a broker handling the sale estimated the value of the newspaper at $306 Mil. In todays paper I read the article and was stunned that the value range today is between $20 to $30 Mil. That's a phenomenal drop.

courtSo, what they will be doing is a big question. For the paper and all residents the best outcome could be if the Davidson family can buy out Cox Communications and keep the newspaper in the family.

That would really be very nice. Maybe we will even see the return of the Seaside Theater, which closed the doors without the donations of the Davidsons family.

There are not that many corprorate entities that supported the arts like New Journal was doing.

Partners in business are like partners in marriage. Tensions are too common, love and respect are rare, and bitter divorces are the norm.

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William Johnson
Retired - La Jolla, CA
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An intersting post Jon, There may be any number of these type of situations as the year unfolds. The economic impart of the downturn has devastated many companies there value and the agreements they may have had in place. A sign of the times across America.

Apr 17, 2009 04:20 PM #1
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Tina Allen
Exit Realty Tri-County - Mount Dora, FL

It's sad that so much will be lost in the turmoil.  Sorry to hear it's hitting so close to home for you.

Apr 17, 2009 05:15 PM #2
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Jon Zolsky, Daytona Beach, FL
Daytona Condo Realty, 386-405-4408 - Daytona Beach, FL
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William - at the request of Cox Communications the agreement was canceled by the judge yesterday. Both companies together were trying to sell the paper, it is just that the money is not there.

I am thinking that if the Davidsons 3 years ago would agree to pay $129 Mil for a paper, valued today maximum at $30 Mil, that would have been really an insult to injury. And if for that they would borrow money, they would be devastated. If anything in this situation can be lucky, there decision not to pay $129 Mil was a lucky one.

Turned out the judge was not that much of a businessman.

Apr 18, 2009 12:19 PM #3
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Debe Maxwell, CRS
www.iCharlotteHomes.com | The Maxwell House Group | RE/MAX Executive | (704) 491-3310 - Charlotte, NC
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I love your partnership analogy!  The reduction is horrifying--especially for the Davidson family.  I do hope that they receive the same philanthropy that they've given in the past--good Karma, it would seem, would be in order here.

keep us posted...

Debe in Charlotte

Apr 19, 2009 09:10 AM #4
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Jon Zolsky, Daytona Beach, FL
Daytona Condo Realty, 386-405-4408 - Daytona Beach, FL
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Tina -The uniqueness of this situation is that this paper is actually one of the last independent paper in the nation. That's by itself makes this very unfortunate. Losing an independent voice is not what we want.

The other unusual part is that the Davidsons are very talented and trained musicians. late Tippen Davidson even played violin with London Symphony Orchestra at one of their arrivals to Daytona Beach

Apr 19, 2009 02:51 PM #5
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Jon Zolsky, Daytona Beach, FL
Daytona Condo Realty, 386-405-4408 - Daytona Beach, FL
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Debe - one good thing happened. In honor of Tippen Davidson they called the series of mini concerts as part of the International Festival that starts in Daytona later this month. The festival that would not be possible if not for Tippen Davidson.

Apr 19, 2009 05:10 PM #6
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