New optimism Pittsburgh Post-Gazette will continue to publish under new ownership

Block Communications, the owners of the Pittsburgh Post-Gazette, filed a formal notice this week that the paper will cease operations as planned in May. 

A Worker Adjustment and Retraining Notification filed on Tuesday with the state seems to confirm the worst: Effective May 4, the paper will close forever, putting 171 employees out of work. However, several staff members privately told KDKA they're now hopeful that's not the final word and the Post-Gazette may, in fact, survive under new owners. 

After a bitter three-year strike by the Newspaper Guild, the family-owned Block Communications announced the paper's closure in January and appears to be sticking to its guns. It will no longer own or publish the Post-Gazette after May 3, but that does not preclude new owners from taking over.  

Sources say the Post-Gazette's management met with the paper's department heads last week, telling them that robust talks to sell the paper are in the works and there's hope a sale might be consummated before the closure date. Staff members told KDKA they're cautiously optimistic the paper will likely continue, hopefully uninterrupted, under new ownership.

Block Communications is based in Ohio, where it continues to publish The Blade. Block Communications did not return phone calls, and it is not clear who the prospective Post-Gazette buyer might be. Sources say any prospective buyer has likely signed a non-disclosure agreement ensuring secrecy. KDKA has reported that several groups have expressed interest, but it's also unclear if the Blocks have entertained offers from more than one party.

In announcing the pending closure, the Blocks said the paper lost $350 million over the past two decades, and a court decision in favor of the union added retroactive health care payments and other liabilities. Those costs complicate any sale, but again, there's optimism that they're being resolved.