The Tribune deal is done and Thank Goodness

The Tribune agreed to Sam Zell's $8 billion buyout offer, making the end of a six month auction process. They buyout offer includes an ESOP.

In the last few days before the offer was accepted, I had seen many writings on the negatives of ESOPs. Granted, in Chicago, the home of United Airlines, I suppose it is fair to be critical of ESOPs. But what is it that they say about one bad apple?

I thought these two articles were quite fair – they admit that that an ESOP may not always work out but they also recognize the potential for a very positive outcome in the right situation.

ESOP: Fables, facts and foibles
Employee Ownership Has Advantages, But At UAL, Polaroid, Strategy Faltered

I guess we now have to sit back and wait and see how the ESOP works for the Tribune.