Tribune Publishing CEO steps down in management shake-up

CHICAGO — Tribune Publishing announced a shake-up of its leadership ranks Monday — less than three months after hedge fund Alden Global Capital became the company’s largest shareholder.

Tim Knight, a longtime company executive who became CEO in January 2019, has been replaced by Terry Jimenez, Tribune Publishing’s chief financial officer. Knight will leave the company at the end of the month.

Jimenez will take Knight’s seat on the board, the company said in a news release.

Also, board member Philip Franklin has replaced David Dreier as nonexecutive chairman. Dreier will remain on the board.

The change in leadership comes amid the announcement last month of an employee buyout program to reduce head count and expenses.

At the same time, some journalists at Tribune Publishing newspapers such as the Chicago Tribune and Baltimore Sun have launched independent efforts to find new owners in the face of an increasingly uncertain future under Alden.

Knight, 54, declined to comment Monday. His contract, which paid an annual salary of $600,000 plus up to a 100% cash bonus, was set to expire in January 2022.

Alden, a secretive New York hedge fund with a reputation for dramatic cost-cutting, took a 32% stake in Tribune Publishing in November, mostly by acquiring the stake of former Chairman Michael Ferro.

Two Alden representatives subsequently were added to the newspaper company’s board, expanding it to eight members. As part of that agreement, Alden is restricted from increasing its stake in the company to more than 33% until June 30.

Launched in 2007, Alden owns about 200 publications through an operating company now known as MediaNews Group, formerly Digital First Media. The chain has come under fire for sweeping layoffs at its newspapers.

Heath Freeman, Alden’s president, did not respond to a request for comment Monday.

In addition to the Chicago Tribune, Tribune Publishing owns the Baltimore Sun; Hartford Courant; Orlando Sentinel; South Florida Sun Sentinel; the New York Daily News; the Capital Gazette in Annapolis, Maryland; The Morning Call in Allentown, Pennsylvania; the Daily Press in Newport News, Virginia; and The Virginian-Pilot in Norfolk, Virginia.

An attorney, Knight began his media career with the Chicago Tribune’s legal department in 1996.