McClatchy's hubris sealed its doom as newspapers spiral down

When McClatchy Co. (MNI) Chief Executive Gary Pruitt ended his drawn-out fight for rival newspaper chain Knight Ridder, he bragged in his company's press release that "opportunities like this come perhaps once in a company's lifetime." Man, I bet he wishes he could eat those words.

McClatchy, publisher of the Kansas City Star and Miami Herald, today announced plans to slash 1,600 jobs, or about 15 percent of its workforce. The company expects to incur $30 million in costs through the job reductions including severance expenses. It also will also outsource some business functions.