Mike Hiltzik's "Golden State" column in today's LAT skeptically analyzes the media ripples that followed Reuters' April 21 report that Sony was close to buying MGM.

The report created a sizable ripple. The price of MGM shares shot up by nearly 12%. Time Warner Inc., which had previously kicked MGM's tires and passed, stirred itself to take another look, feeding another round of speculation.

The Reuters dispatch was followed by articles in the Wall Street Journal and the New York Times, which similarly speculated on the synergies to be exploited by a Sony-MGM marriage. (This newspaper wrote a small item on the stock's rise, but it noted that sources close to the situation downplayed that a deal was imminent.)...

It's not inconceivable that in the coming days or weeks, Sony and the two investment firms reported to be its partners in the deal will actually buy MGM. The Japanese giant would surely find it a good strategic fit, and MGM has been on the block seemingly since Gary Cooper was in diapers.

But considering MGM's recent history and the known desires of its principal owner, Kirk Kerkorian, to fill his pockets, it's also possible that Reuters has been played for a sucker. There are plenty of indications that talk of a Sony-MGM deal is highly premature.

And, Hiltzik notes, there's little doubt who has been pushing the coverage: MGM. His kicker: "In dealing with MGM, the rule for potential bidders and for business reporters should be the same: Buyer beware."