In an effort to boost its stock price Hollinger International Inc. says it will sell most of its community papers and consider merging some of its larger dailies.

The Toronto-based media empire, controlled by Conrad Black, owns 77 daily newspapers, 302 non-daily newspapers, as well as magazines and other publications.

Included among the daily newspapers are the National Post and The Ottawa Citizen in Canada. Internationally Hollinger owns The Daily Telegraph, The Chicago Sun-Times and The Jerusalem Post, among others.

The company said in a statement it will use the proceeds from the sales to cut debt, buy back some of its shares, or perhaps distribute some to shareholders.

Black, who is chairman and chief executive officer of the company, said in a prepared statement that Hollinger will also make available most of its operating assets "in one way or another to facilitate the current trend to larger, consolidated, multimedia entities."

Hollinger said it would consider any plan that would allow it to retain control of the The Daily Telegraph, along with most of the metropolitan newspaper assets in North America, the Internet assets tied to those newspapers, and the company's Internet investment portfolio and venture capital group.

Conrad Black

Hollinger says, in the end it expects to be left with a significantly reduced debt and smaller number of outstanding shares. It also predicts a stronger strategic position in relation to other media, including new media, and sharply higher earnings per share.

Shares of Hollinger Inc., Black's Toronto-based holding company, closed Tuesday at $12.10 on the Toronto stock market, down 30 cents on the day, and well below the company's 52-week high of $19.75.