Diller The Worst Is Yet To Come
Media mogul and Internet investor Barry Diller says that he's holding off adding to his holdings because prices of companies he may be interested in are "still artificially high." In an interview with CNBC, the IAC chairman said that the "same kind of overleveraging that went on in financial institutions" went on in other companies in order to pay for "acquisitions and recapitalizing." Diller's comments came just one day after investor Sam Zell admitted that his highly leveraged purchase of the Tribune Co. was "a mistake." Some analysts have commented that the massive cutbacks Tribune has been forced to make at its newspapers and television stations were brought about less by a decline in advertising than by the necessity of servicing the enormous debt incurred in their acquisition.