Recently, Gannett announced that it intended to spin off its publishing business from its faster-growing assets. Such a strategy has become a common way for corporations to address underperforming assets.
Spinning Off an Underperforming Division
Spin-offs have become a common way for corporations to address underperforming assets. However, if the newly spun-off company runs into financial difficulties, it can be, and often is, second-guessed by creditors and lawsuits can follow.
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