To make Times worth about a billion dollars (it's market cap), you need to believe that that $700M+ of debt is totally worthless to the debt holders. That isn't some fuzzy detail. It's a fundamental concept that the author of this article ignores (or doesn't understand).
Not totally worthless, but most likely not worth the full $700M. They have $2.2B in Plant/Property/Equipment on their balance sheet. Then they have $500M+ of goodwill and intangibles. And only $500M of equity, which is constantly declining quarter after quarter. One stupid move, and the equity is easily wiped out, leaving debtholders with goodwill and a bunch of newspaper printing equipment.