So, Dan's filed for bankruptcy? Too bad; I'll miss it.
Um, fear not—the stacks of Dan's that grace the entryways to so many East End establishments aren't going anywhere. The paper will continue to publish while its owner looks to work out debt issues, and Dan himself promises on his blog, "The Biggest Paper in the Hamptons—we celebrate 50 years in business this year—will survive and thrive through these corporate machinations. When the smoke clears, here we will still be."
What went wrong?
Dan again: "You remember those times. Money flowed like water. Everybody was happy. The sky was the limit. Then everything went down the drain." He's talking about the go-go years of 2007-2008, when a midwest-based newspaper publisher named Brown Publishing embarked on a debt-financed expansion strategy and bought up Dan's. (At the time, Dan himself wasn't the majority owner; he sold that stake back in the 1980s.) Flash-forward to 2010, and a regional newspaper just isn't worth what it was before. Dan claims Dan's itself is profitable, so the idea is that Brown will work to shed or lessen its massive debt load while the newspapers chug along.
Anything else we should know?
That about covers it. But if you're seeking more entertainment, the comment thread on the Dan's post at 27East.com is not to be missed.
· Dan's Papers is Here to Stay [Dan's Blog]
· Dan's Owner in Chapter 11 Bankruptcy [East Hampton Star]