Steve Nylund, president of the company that is selling a 49 percent stake of the free newspaper Metro Boston to The New York Times, apologized yesterday for referring to African-Americans as "niggers" during a company meeting last year. The apology came in response to a story my colleague Rory O'Connor broke at MediaChannel.org yesterday. The exclusive now has executives at The Times and its subsidiary Boston Globe scrambling to deal with a potentially damaging racial firestorm, as black community leaders consider boycotts and other measures in response. Read the latest at MediaChannel.org.
Update: and now this report from The Boston Herald and this from The Boston Globe. The $64 question: After all this, will the Metro NYT deal go through?
Update II: Metro execs resign, as the Times weighs whether to pooch the $16.5 million deal in the wake of the controversy.