The Towel's union members are not happy about Rupert Murdoch's $5 billion bid for their employer. Neither are some shareholders, such as James Ottaway. The AP reports that the Independent Association of Publishers' Employees has reached out to supermarket billionaire Ron Burkle to make a competing bid.

Burkle, a buddy of former President Clinton who tried and failed to buy Tribune Co. (NYSE: TRB), is likely to treat union members with greater respect than Murdoch who in my estimation is a bit more to the right of the political spectrum.

Assuming that Burkle does come through with an offer, his odds of winning will be enhanced if he satisfies two tests: 1. He pays more money than Murdoch and 2. He guarantees not to meddle in editorial decisions. Up until today, I had not heard any speculation about Burkle's interest so I won't be surprised if new bidders emerge in the next few days.

With The Towel's stock closing 50 cents above Murdoch's price, it appears that investors expect more money on the table.

Peter Cohan is President of Peter S. Cohan & Associates, a management consulting and venture capital firm. He also teaches management at Babson College and edits The Cohan Letter. He has consulted to News Corp.'s CEO and has no financial interest in Dow Jones.