History
The story of Freedom Communications
begins in Alliance, Ohio, with the birth of Raymond
Cyrus Hoiles on November 24, 1878. R.C. (as he was called
through most of his life) was the son of an industrious
and prosperous farmer named Samuel Harrison Hoiles and
his wife, Ann Ladd Hoiles, a woman who instilled in
her family her love for reading and philosophy. It was
under their firm guidance that R.C. developed his strong
sense of self-responsibility and thirst for knowledge
two characteristics that would profoundly shape
his life.
Although he studied electrical engineering
at Mt. Union College in Ohio, R.C.'s interest in the
newspaper business took an early foothold when he began
selling subscriptions for the Alliance (Ohio) Review,
a daily newspaper owned by his brother, Frank Hoiles.
Upon graduating from college, R.C. started working full-time
for the paper as a printer's devil (an apprentice).
By 1905, he had served as the paper's bookkeeper and
business manager, eventually acquiring a one-third interest
in the paper. It was during this time that he met and
married Mabel Myrtle Crumb, beginning a family that
would include four children Clarence, Raymond, Harry
and Mary Jane, although Raymond succumbed to pneumonia
at the age of eight. For the next 17 years, R.C. and
Frank expanded their newspaper business, buying the
Lorain (Ohio) Times Herald in 1919 and the Mansfield
(Ohio) News in 1921. R.C. served as publisher first
of the Lorain newspaper and then of the Mansfield newspaper.
It was during this time that R.C.'s
deep philosophical conviction began to surface. He sought
to speak out against the oppressive influence of labor
unions through the pages of the Mansfield News; however,
Frank refused to print such criticisms. This fundamental
difference eventually caused the brothers to dissolve
their partnership and R.C. to buy all interests in both
newspapers. He became sole owner. In return, Frank received
R.C.'s third of the Alliance Review.
For the first time, Raymond Cyrus
Hoiles was publishing independently. He was free to
run his newspapers the way he wanted, to share the ideas
he believed so vital, to criticize the actions he viewed
as so wrong.
"When I was working on a newspaper
that I did not control, I used to wish that I was in
another line of business," said R.C. "I thought it was
much more important to be manufacturing something of
a national nature than producing a local newspaper.
The newspaper I was connected with at that time did
not particularly stand for any principle, so it was
difficult to be enthusiastic about the newspaper business.
Now I believe that the newspaper business is one of
the most important of all businesses. It is a business
that can do a lot of good or a lot of harm. It cannot
do very much good unless it is consistent and stands
for principles that are in harmony with natural, moral
law."
R.C.'s growing interest in publishing
led him to acquire the Bucyrus (Ohio) Telegraph-Forum
in 1927. His oldest son Clarence, a young man of 22,
managed the newspaper under his father's direction.
The long and productive partnership between R.C. and
C.H. (as Clarence was known) had begun.
Shortly thereafter, R.C. became embroiled
in a long and bitter battle with a local newspaper rival
that included several attempts on his life, including
the explosion of a bomb on his front porch. By 1932,
the threats and bombings in addition to the competitive
climate became so tense that R.C. sold
the Lorain and Mansfield newspapers and temporarily
closed his door on the business.
The next three decades could be aptly
viewed as R.C.'s time of philosophical awakening. Away
from publishing, he read extensively the likes of Baruch
Spinoza, John Locke, Rose Wilder Lane, Ludwig von Mises,
Frank Chodorov, Henry David Thoreau, Ralph Waldo Emerson,
Frederic Bastiat and Ayn Rand, leading to his self-identification
as a libertarian.
By 1935, he was ready for a fresh
start and moved his family to Santa Ana, California,
the heart of Orange County and home of his newest newspaper
acquisition, The Santa Ana Register.
The Register Years
Along with his new life in Santa Ana,
R.C. Hoiles found the perfect avenue for voicing his
evolving philosophies on the pages of The Santa Ana
Register. Not long after acquiring the paper in 1935,
he invited Register readers to engage in public dialogue
that continues to this day.
He wrote: "Newspapers cannot do it
without the support of the citizens. Newspapers can
be only as good, as fearless and as helpful as the public
opinion of the community will permit."
R.C. stimulated that dialogue through
his personal columns and editorials. It was within the
editorial pages of the Register that he shared his libertarian
philosophy, objecting to coercion of any type, including
the government's power of taxation. He believed that
the only legitimate function of government is the protection
of its citizens against fraud and force, and that all
other government-run programs should be replaced by
free enterprise and voluntary actions. His deeply held
principles were based on the Ten Commandments, the Golden
Rule and the Declaration of Independence. From these
he extracted his "single code of conduct," believing
that if the initiation of force is wrong for an individual,
it is also wrong for a government.
"R.C.'s whole life and being were
just aimed at that one thing, the concept of the freedom
of the individual, and I'm sure that's what kept him
going and gave him the purpose for living," said Mike
Maloney, a long-time associate of R.C. Certainly, he
articulated this philosophy time and time again. He
also practiced it.
The true test of R.C.'s character
and beliefs was how he lived his life. In addition to
reading the diverse works of more modern philosophers,
he also studied the Bible in several translations, often
quoting from the Ten Commandments and particularly revering
those he called the human relations commandments: "Thou
shalt not steal" and "Thou shalt not covet." He was
never too busy to share his philosophy of freedom with
young Freedom associates and seized every opportunity
to do so. Consistent with his voluntaryist principles,
he quietly donated money to various charities. Although
he lived in accordance with his philosophies, R.C. was
a private person and avoided publicity about his lifestyle,
choosing to share his views through writing and debating.
He lived frugally and dressed modestly, despite his
comfortable wealth. His mission was to stimulate others
into thinking and to explain his libertarian philosophy
not to serve as a personal example nor to be an activist
for change.
On the eve of his 75th birthday, R.C.
set his beliefs down on paper. He called them his Articles
of Faith. To this day, they remain the most clear, most
concise and most positive articulation of his personal
philosophies.
R.C.'s enduring principles were perhaps
best demonstrated by the way he and Clarence ran the
Register. He opened the pages of his paper to criticism
of his philosophies by establishing a regular column
called "The Clearing House," where Register readers
could express their views. R.C. welcomed the opinions
of his readers and relished the opportunity to respond
and "enlighten" them.
While threatening to some, this dialogue
drew many readers into the pages of the Register and
helped establish the unique character of the newspaper,
distinguishing it from its competitors.
The Hoiles publishing empire continued
to flourish. R.C. bought the Clovis (New Mexico) News
Journal the same year he bought The Santa Ana Register
(1935). A year later, he purchased the Pampa (Texas)
Daily News. In 1946, he bought the Gazette-Telegraph
in Colorado Springs, Colorado, and the Appeal Democrat
in Marysville, California. Two years later, the Odessa
(Texas) American joined the Freedom newspaper group.
By 1950, R.C.'s newspaper holdings were incorporated
as Freedom Newspapers, Inc. By 1970, the year R.C. died,
Freedom Newspapers had grown to 16 dailies scattered
over seven states.
Clarence Harrison Hoiles, the eldest
son, succeeded R.C. as the company's chief executive
until his death in 1981. Harry Howard Hoiles, the younger
son, was publisher of the Colorado Springs Gazette Telegraph
from 1946 to 1975. He served as Freedom's president
and chief operating officer from 1971 to 1978. He was
subsequently vice chairman and assistant executive officer.
The 1970s brought eight more dailies
under the Freedom banner and the 1980s saw diversification
into television with the acquisition of five broadcast
stations.
Longtime Freedom publisher D.R. Segal
succeeded Clarence as president of Freedom Newspapers,
Inc., in 1978. He served in that capacity until 1992,
when James N. Rosse was elected to the post of president
and chief executive officer.
The drive for innovation and parlaying
new technologies into communications products continued
to be the driving force of the company well into the
1990s. Freedom began its Magazine Division in 1993.
Freedoms Broadcast Television
Division expanded in the late 1990s with the addition
of WPEC-TV, West Palm Beach, FL., WWMT-TV, Grand Rapids/Kalamazoo,
and WLAJ-TV, Lansing, MI. The company also added newspapers
in Shelby, N.C., Sedalia, MO., Jacksonville, IL., Barstow,
CA., and Portales, N.M. into the fold.
In 1999, Samuel C. Wolgemuth became
President/CEO at which time the company added newspapers
in Mesa and Yuma, Arizona to the chain.
In 2002 Alan Bell, former President
of Freedom's Broadcasting Division, became President/CEO
of Freedom Communications.
In 2004, Freedom partnered with The Blackstone Group and Providence Equity Partners, creating a recapitalization opportunity for those family members who wanted to sell their shares for cash, while allowing those who wanted to continue in ownership to stay. In the arrangement with Blackstone/Providence, Freedom’s family shareholders maintain control of the company.
In 2006, Scott N. Flanders became Freedom's Chief Executive Officer. That same year, Freedom added its Interactive Division.
In 2007, Freedom added four northern California newspapers to their repertoire - Colusa Sun-Herald, Corning Observer, Orland Press-Register and Willows Journal. A fifth - the Lucerne Valley Leader - was added in 2008.
On July 1, 2009, Burl Osborne was named Interim CEO of Freedom Communications. Mr. Osborne has served on Freedom's Board of Directors since May 2004. He was executive editor and then publisher of the Dallas Morning News from 1980 to 2001, and has been credited with building it into one of the top papers in the country. He also held a number of positions, including president of the publishing division, with the Belo Corporation, which is the parent company of the Morning News. Mr. Osborne was chairman of the board of the Associated Press from 2002 to 2007. He also has served as chairman of the Southern Newspaper Publishers Association and as a director of the Newspaper Association of America.
On Sept. 1, 2009, Freedom Communications announced it reached an agreement with its lenders on a restructuring of the Company`s debt. Freedom and its subsidiaries filed voluntary petitions for reorganization under Chapter 11 of the United States Bankruptcy Code, along with a plan-support agreement executed by a steering committee of their lenders.
Freedom Communications` daily and weekly newspapers, TV stations and websites continue normal operations. Freedom Communications stated that, as of the filing date, it has sufficient cash to fund daily operations, including post-petition payments to vendors and partners and to meet customer and employee obligations through the duration of the restructuring. Readers, viewers and advertisers should see no difference in the day-to-day operations of these businesses.
Under the proposed reorganization, Freedom’s debt will be cut to $325 million from more than $770 million. Existing shareholders, including members of the founding Hoiles family, and two private equity firms, the Blackstone Group and Providence Equity Partners, will retain up to a 2 percent equity interest in the company. They also will be granted warrants that will allow them to purchase up to 10 percent of the shares in the Company.
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