60% of Minsiders Can’t Be Wrong: “DJ is Now a Part of News Corp”

If you need to buy a bed, and you live in the tri-state area (New York City and environs), I’d recommend going to Sleepy’s. Sleepy’s has locations throughout the city, and a great reputation: a reputation for deep discounting mattresses for those brave enough to bargain. Only a sucker would walk into Sleepy’s and pay the sticker price. (As an aside, that’s one of the great hidden effects of Sleepy’s–the place makes you feel like a bargaining genius.)

I’m not going to tell you how much I paid for my bed, but, suffice it to say, I got an almost-50% discount by nonchalantly offering the following lines:

First: “I really like it, but I’m not sure I can afford it.”

Hundreds of dollars taken off of the price.

Second: “Are you sure you can’t do any better?”

Another, equally large chunk lopped off.

Third, and this is where we get to Dow Jones: “We’ve got a deal, but only if you throw in delivery for free.”

That’s what the final chapter in the Dow Jones/News Corp saga reminds me of. The Bancroft family had set a self-imposed deadline of 5pm on Monday, July 30, for accepting or rejecting Rupert Murdoch’s bid for the company. Negotiations reportedly had stalled over the issue of consulting/banking/lawyer fees paid by the family to investigate the possibility of a deal with News Corp, and probably other strategic options. Reports today indicate that the proverbial straw was that News Corp has agreed to pay what could amount to $30 million dollars in fees in exchange for the deal to happen.

To me, this feels a bit like getting the delivery for free. The key Denver trust that switched sides this morning was supposedly holding out for more money. Was all the drama and time spent really worth that little bit? $30 million is nothing to sneeze at, but next to $5 billion–of which the Bancrofts will get the lion’s share–well, when you put it in that perspective, it makes my nose itch.