New York Times Co to sell stakes to save newspaper

The New York Times Company which owns newspapers, radio and TV stations is trying to sell its stake in a baseball team to raise cash to shield its newspaper franchise particularly the flagship, Times from rapidly falling revenues.

The company may sell its stake in the Boston Red Sox baseball team for raising cash.

Executives of the Times Company have said repeatedly that they were open to selling the stake, but only on the right terms.

The firm is said to be under pressure from investors to sell its non-core business assets to raise cash.

But recently, they have been actively shopping the company's stake in New England Sports Ventures, which owns the Red Sox.

The Times Company informed its partners in the venture of its plans last month.

The company executives, the New York Times said, have suggested that the central aim of any sale is to protect the company's newspapers, particularly the flagship Times.

They have also been reluctant to consider the sale of About.Com, an Internet site that is profitable and growing.

The company, the paper said, paid $75 million for 17.5% in New England Sports Ventures, which bought the Red Sox in 2002 along with their stadium, Fenway Park, and 80% of New England Sports Network, a regional cable channel.

With credit largely frozen, this is a difficult time to be trying to sell any major asset, and it is not clear how much interest there might be, or at what price, the paper added.

But over the long run, prices for sports franchises tend to rise fast.

The Times Company reported yesterday that revenue from continuing operations in November was down 13.9% compared with the month a year earlier. For the year, it was down 7.6%.

The company recently said it planned to borrow $225 million against its headquarters building on Eighth Avenue in Midtown Manhattan, anticipating that it would not be able to renew a revolving line of credit that is set to expire in May.