WILMINGTON, Del. – The local newspaper guild has dropped out of the upcoming auction for Philadelphia’s two largest newspapers.
About 500 unionized employees of The Philadelphia Inquirer and the Philadelphia Daily News had hoped to bid at the latest sale of the troubled company, with the backing of business tycoon Raymond Perelman.
However, Perelman and other potential investors have balked at the $77 million opening bid pledged by current owners.
Rival partners George Norcross and Lewis Katz are locked in a feud over the business, prompting the company’s fifth sale in eight years.
Norcross wants current owners to compete with incremental $1 million bids, while Katz has proposed a sealed bid auction open to anyone.
Judge Donald Parsons Jr. did not rule Thursday on the auction but expects to do so quickly.