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HOLLINGER IN TALKS WITH NEW YORK OBSERVER

Hollinger International Inc. is responding to reports that have appeared in the press about a possible transaction between Hollinger International and The New York Observer. Paul Healy, vice-president of Hollinger International, has confirmed discussions between the two parties but would not comment further on the matter. The New York Observer covers arts, entertainment, opinions, politics, business and real estate of Manhattan. The weekly publication is published by The New York Observer Company. Hollinger is a global newspaper publisher with English-language newspapers in the United States, the United Kingdom, Canada and Israel.

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