Tronc Comments On Gannett's Withdrawal Of Proposal On Inability To Finance

(RTTNews) - In a response to the announcement by Gannett Co. Inc. (GCI) that it does not intend to pursue an acquisition of tronc at this time, tronc Inc. (TRNC) said Tuesday that it remains committed to taking the necessary steps to transform its business in response to the massive changes that have overtaken the publishing industry, supporting the company's outstanding journalists and, above all, delivering value to shareholders.

tronc noted that it continues to make progress in implementing the company's strategic plan to leverage technology and effectively monetize its world class content. The implementation of this plan will take time but the company remains on track in terms of delivering on its near-term financial goals and is confident in its ability to deliver improved performance and shareholder value.

tronc were informed early this morning that Gannett has decided to abruptly terminate discussions regarding a potential business combination with tronc.

tronc had serious doubts about Gannett's ability to finance a transaction that was in the best interest of tronc's shareholders and other stakeholders.

Last week, Gannett informed tronc that its financing encountered an unexpected delay. It is unfortunate that Gannett's lenders made their decision to terminate their role in the transaction without the benefit of tronc's third quarter financials or any future projections. tronc remained a constructive partner to Gannett as it sought to complete its financing for the agreed upon purchase price, however, Gannett was unable to do so and terminated discussions.