entity. MediaNews Group, which already owned several area papers, agreed to acquire The Mercury News, Contra Costa Times, Monterey County Herald and the St. Paul Pioneer Press of Minnesota for $1 billion, with $263 million of that coming from the Hearst Corporation, owner of the San Francisco Chronicle. The two deals — the sale of Knight Ridder to McClatchy, and McClatchy's sale to MediaNews — closed in August 2006. However, a lawsuit filed by San Francisco real estate developer Clint Reilly challenged the sale on anti-trust grounds. The suit was settled with Hearst and MediaNews agreeing not to work together on national advertising or distribution. In January 2007, Dajani was replaced by Carole Leigh Hutton, former editor and publisher of the Detroit Free Press when it was owned by Knight Ridder. When Knight Ridder sold the Free Press to Gannett on August 3, 2005, Hutton was named Knight Ridder's vice president of news, a position she held until the company folded in 2006. In March 2007, former Oakland Tribune editor Mario Dianda replaced Lucinda Ryan as executive editor. In May 2008, Daily News founders Dave Price and Jim Pavelich announced that they were reviving the original paper, in its original headquarters at 324 High St., under the name Palo Alto Daily Post. In June 2008, the Daily News laid off five newsroom workers and eliminated its Monday edition in Palo Alto and its Tuesday edition in San Mateo, Redwood City and Burlingame. Those three cities had lost their Monday edition two years earlier. In August 2008, it came to light that the Daily News had hired a company in India to manage writing, copy-editing and design of a weekly real-estate product. In April 2009, the Daily News dropped its Sunday edition and editions for San Mateo, Burlingame and Redwood City. References External links Palo Alto Daily News Official Website The NewsHour with Jim Lehrer visits the Palo Alto Daily News for a story entitled Giving it Away by Terence Smith Knight Ridder buys Daily News Daily News publishers ride into sunset Daily News turns 10, bloopers recalled Knight Ridder Launches New Free Daily Newspaper in East Bay MediaNews Group publications Newspapers published in the San Francisco Bay Area Free daily newspapers Publications established in 1995 1995 establishments in California Weekly newspapers published in California