In news circles,
there's always pressure to be the first to break a story. But isn't it
always better to get the story straight? Witness this week's news on
bankrupt Asarco LLC and a federal judge's decision that its parent,
Grupo Mexico SAB de CV, committed fraud in a $785 million prepetition
sale.
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On Tuesday, at about 4 p.m., Reuters posted the first story. That story started with this headline: "US Judge rules for Grupo Mexico in Asarco dispute," and included a quote from a Grupo Mexico attorney showing that the company was partly pleased with the decision.
Imagine a reader's confusion then when, on Wednesday morning, he or she opened The Wall Street Journal's Web site and found this headline: "Judge finds Grupo Mexico guilty of fraud in Asarco move."
Huh?
The answer apparently lay somewhere in the middle, given that Judge Andrew Hanen's decision spanned 190 pages and was probably extremely confusing and tedious for people to wade through. Sure enough, Reuters provided an updated article -- or at the very least an altered headline -- at some point after its initial posting that hedged on what was written in that early story. This time, the headline read, "Mixed Ruling for Grupo Mexico in Asarco dispute." Nothing like straddling the fence. And saying nothing.
For the record, Hanen did, in fact, rule that Grupo Mexico committed "intentional fraudulent transfer" but not "constructive fraudulent conveyance." Indeed, the ruling was a mixed bag legally and is likely headed for an appeal. But it just goes to show, it's usually better to be right than it is to be first. - Ben Fidler
