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Attorney General Lockyer Issues Statement on Review of McClatchy Co. Purchase of Knight Ridder, Inc.

Wednesday, April 19, 2006
Contact: (415) 703-5837

(SACRAMENTO) – Attorney General Bill Lockyer today issued the following statement regarding his office’s antitrust review of the proposed purchase of the Knight Ridder, Inc. newspaper chain by the McClatchy Co., and any divestiture by McClatchy of current Knight Ridder papers in California.

“Under federal law, my office has the authority to review these types of transactions. When warranted, we may take action to prevent harm to the state’s economy and consumers, and address any adverse affects on local or regional markets. The McClatchy-Knight Ridder transaction would affect local or regional markets in California, where competitive choices could be narrowed for both advertisers and readers.

“My office will review the transaction to determine whether any reduction of competition in those markets would be significant enough to warrant intervention. Should McClatchy decide to sell any of its newly acquired Knight Ridder publications in those particular markets, the review will consider whether those divestitures alleviate or worsen any anticompetitive effects.”

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