Montana
Owner of Montana's largest newspaper settles suit for giving personal information to Facebook
BILLINGS – More than 1.5 million subscribers, comprising many Montana residents, could be part of a class-action settlement by the state’s largest newspaper company, Lee Enterprises, for sending personally-identifying information to the parent company of Facebook in order to target content, including advertising.
According to a settlement reached in a federal court in Iowa, where Lee Enterprises is headquartered, the company will pay $9.5 million for releasing personal information to Meta without customers’ consent.
Lee owns five daily newspapers in Montana, including The Billings Gazette and Missoulian, among its 85 daily newspapers across the country.
In addition to the class-action lawsuit settlement, Lee has also reported that it will likely be financially impacted due to a recent cybersecurity ransomware attack, reports the Daily Montanan. Also, a private investor who has recently been critical of the management team after it projected profits, but instead saw a loss of $17 million,says he wants to purchase the company.
Facebook settlement
As part of the court filing, the company says it doesn’t agree with all the conclusions, but is settling the class-action lawsuit, which could reach more than 1.5 million current or past subscribers. According to its most recent 10-K filing with the Securities and Exchange Commission, as of Sept. 29, 2024, Lee reported that had a combined 1.1 million print and digital subscribers.
It also reported that 51% of its revenue comes from digital advertising in February 2025.
The court filings say that Lee voluntarily installed an invisible online tracker from Meta/Facebook that allowed the disclosure of a “Facebook Identification Number” to the social media giant. That, the group of plaintiffs said, violated federal law that guarantees privacy protection. The goal of the software, according to the lawsuit, was to build profiles of the Lee subscribers or content users “with the hope of improving the effectiveness of advertising targeting those users.”
If the deal is approved by the court, former and current subscribers who were affected would be sent a class-action settlement notice and be eligible for a portion of the amount, which will be estimated to be around $5.7 million for the approximately 1.5 million people — or around $3.80 per person. For subscribers or customers with an invalid email address, postcards may be sent.
In court documents, Lee and a group of plaintiffs agreed to settle the dispute, saying that a protracted lawsuit could take years and millions to resolve. Furthermore, Lee maintains that it did nothing wrong, although other companies who used such tracking tools have been found liable for using the same technology that discloses personal information.
Ransomware attack
It is not the only piece of bad financial news for the newspaper company based in Davenport, Iowa. In SEC filings earlier this month, it announced that a ransomware attack on the company that shut down some printing and electronic edition publications, as well as threatened to release sensitive financial information, was likely to have a material impact on the company’s bottom line.
On March 6, Lee confirmed the attack, which began on Feb. 3. Hackers encrypted many of the “critical applications” the company used while “exfiltrating” or taking financial data. Lee said that many of the company’s functions have been restored, but that the business processes of the company have been delayed.
“Additionally, certain back-office functions remain delayed including billing our clients, collections, and payments to vendors. We anticipate the business processes to be fully restored in the coming weeks,” the company said.
Lee confirmed it had cybersecurity insurance, and also that its sole lender, Berkshire-Hathaway Finance, had waived an interest payment as well as lease payments, which the newspaper company said added $3.7 million of additional capital.
As of Friday, many of the Lee publications still had notices on their websites that warned customers of problems, delays or interruptions.
New owner?
Even as courts and cyberattacks were occupying headlines about Lee, on Thursday, the chain of newspapers also reported that a billionaire investor who had recently purchased a chunk of the publicly traded stock had submitted a letter to the company’s board of directors wanting to purchase the company outright.
Hoffmann Companies, which owns a diverse number of companies including dairies, investment properties and manufacturing facilities, says it wants to buy Lee Enterprises. The same company has recently purchased an interest in the Dallas Morning News, as well as purchasing former Lee-owned newspapers in California, including the Napa Register. In a letter to Lee’s board, David Hoffmann said that other hedge-fund investors have not been concerned with the journalism of the company, rather just squeezing profits from the newspapers.
“We believe this commitment represents a sharp contrast to other potential acquirors such as non-local hedge funds and investment firms primarily concerned with increasing profits over jobs, local concerns, and the power of quality journalism,” the letter said. The letter and a news story about the offer was published on Lee newspaper websites on Thursday.
Hoffmann is already Lee’s second-largest shareholder. Lee currently has nearly $450 million in debt, largely from the acquisitions of other newspapers that has more than doubled the company’s reach. In its most recent earnings report, Lee’s profits were down year-over-year, but it did note that digital revenue has now eclipsed print revenue, a sign that the Hoffmann interest letter noted.
After news of the potential deal broke, Lee stock shot up nearly $1 per share and as of Friday, the value of Lee stock hovered around $10.66 a share, a 6% increase in value.
Editor’s note: The reporter of this story was formerly a Lee employee from 2004 to 2020.
Billings Gazette selling downtown building
MISSOULA — Sam Forstag edged out Ryan Busse to secure the Democratic nomination in Montana’s 1st Congressional District.
Busse conceded the race to Forstag on Wednesday morning. Forstag had trailed behind Busse Tuesday evening, but he made up ground as the votes were counted into the early hours of Wednesday morning. The other two candidates in the race, Russl Cleveland and Matt Rains, are sitting at third and fourth, respectively.
Forstag leads in close race for Montana’s 1st Congressional District
Forstag spent eight years as a wildland firefighter, including four as a smokejumper, and he’s been vice president of the local National Federation of Federal Employees union. Last week, U.S. House of Representative Alexandria Ocasio-Cortez, D-New York, held a rally in Missoula to support Forstag’s campaign.
He told MTN on Tuesday that his campaign has been for the working class.
“We got a whole lot of people here that have been working their tail off to finally get some working-class representation in Washington,” Forstag noted. “So proud of everything we’ve done and so grateful.”
Forstag further noted he wants Montanans to be able to afford groceries, have universal free childcare and restore and expand Affordable Health Care Act subsidies.
“Hearing people’s stories and struggles and commonalities in the ways that we’re all fighting in the system that does not serve us so often, and the government serves corporations and the richest people in this country more than working people. It has been frustrating and saddening, but it has also inspired so much hope in me, like the fixes we can actually make,” he told MTN.
The 1st Congressional District covers much of western Montana, including Kalispell, Missoula, Butte and Bozeman. It is currently held by Rep. Ryan Zinke, R-Montana, who chose not to seek reelection.
By securing the nomination, Forstag is slated tol face off against Libertarian candidate Nick Sheedy and Republican candidate Aaron Flint in November.
Brian Miller won the Democratic primary Tuesday for the U.S. House seat in Montana’s eastern district.
The Associated Press called the race for Miller, an attorney in Helena, who fended off a challenge from state Sen. Jonathan Windy Boy, a longtime legislator from Box Elder, and Sam Lux, a farrier from Great Falls.
In the Republican and rural eastern district, any Democrat will be an underdog, and Miller will face off against incumbent Republican U.S. Rep. Troy Downing, who was unopposed Tuesday.
Libertarian Patrick McCracken is also running.
In the primary, Miller took 58% of the vote. Lux took 27% and Windy Boy took 16%, according to the Montana Secretary of State’s website.
In April, Windy Boy paused his campaign amid “serious sexual abuse” allegations raised by the Montana Democratic Party — but Windy Boy restarted his campaign and later called the allegations “political attacks.”
Miller is representing the victim of the alleged abuse and her mother, although he said he didn’t take on the role until after Windy Boy initially suspended his campaign.
The Western Montana Food and Farm Trail, a new agritourism initiative led by Farm Connect Montana, launches May 30, offering locals and visitors a new kind of food and farm adventure across Western Montana.
Running June 1 through October 31, the self-guided Trail spans more than 200 miles and features more than 100 farms, ranches, farmers markets, restaurants, breweries and food businesses across the Missoula, Bitterroot, Flathead and Mission Valleys. Along the way, participants are invited to meet growers and makers, taste what’s in season and experience the culture and care behind Western Montana’s local food community.
At the center of the experience is the passport-style Trail Field Guide, illustrated by Missoula-based artist Courtney Blazon. The guide features illustrated maps, curated itineraries, seasonal highlights and more than 100 local food destinations throughout the region. The guide also includes more than $130 in special offers from participating farms and businesses.
Participants can collect stamps at Trail stops along the way to qualify for prizes, giveaways, or simply as a way to document their journey. End-of-season prizes include raffles for three CSA memberships valued at over $600 each, as well as local food and farm gift certificates, product bundles and Courtney Blazon-designed market totes.
The Trail is a regional collaboration led by Farm Connect Montana in partnership with Land to Hand Montana, The O’Hara Commons and Sustainability Center and Abundant Montana, organizations working to strengthen local food systems across Western Montana. The project aims to support local farms and food businesses through expanded visibility and agritourism opportunities while reconnecting locals and visitors with the people, places and stories behind their food.
“In creating the Western Montana Food & Farm Trail, we hope to inspire both residents and travelers to discover the stories behind their food and connect with the people cultivating a more vibrant, resilient and locally rooted food community,” said Bonnie Buckingham, Executive Director of Farm Connect Montana. “Participation in the Trail is a win for everyone. It creates new opportunities for farms and local food businesses to reach wider audiences while encouraging participants to explore new places, support local producers and experience Western Montana in a more meaningful way.”
“Land to Hand is thrilled to partner with Farm Connect on the Food and Farm Trail to highlight the robust agricultural heritage of Western Montana,” said Gretchen Boyer, Executive Director of Land to Hand Montana. “This initiative is more than just a guide – it’s an invitation to celebrate and support the local farmers who nourish our communities every day. By connecting residents and visitors directly to the source, we’re strengthening our local food system and honoring the people and landscapes that sustain the Flathead Valley.”
To celebrate the launch, regional Trail launch parties will take place in Missoula, the Bitterroot Valley and the Flathead Valley throughout early June, featuring Field Guide distribution, local food vendors, giveaways and opportunities to learn more about the Trail.
Trail Field Guides ($10) will be available for purchase beginning May 30 both online and at participating businesses, farmers markets and community locations throughout the region. A full list of Field Guide purchase locations and details, as well as a digital map and Trail listings, special events and more information is available at farmconnectmontana.org/trail.
Funding for this project was made possible through the U.S. Department of Agriculture’s Agricultural Marketing Service.
Regional launch events
• Missoula Launch Party — LaLonde Ranch, Sun., June 7, 1-4 p.m.
• Bitterroot Launch Party — O’Hara Commons Market, Wed., June 10, 4-6 p.m.
• Flathead Launch Party — Backslope Brewing, Tue., June 16, 4-7:30 p.m.
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