In addressing specific concerns about The McClatchy Company (NYSE: MNI), which saw its stock hit an all-time low in Q4, Fitch cites its "inability to deleverage even after repaying significant debt." In September, McClatchy renegotiated $1.175 billion of debt, which includes bank loans and available lines of credit, giving it a bit more flexibility. Its total debt was $2.07 billion at the end of Q3.This highlights the damage from the delayed closure of the Miami land deal. McClatchy had said the proceeds from the sale ($115 million) would have been used to pay down company debt. So the 6 month extension in the deal hampers McClatchy's ability to get out from under its debt.
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