I'm drafting a blog post about this on my personal site. Glad you brought it up. While I don't know Larry personally, I did have a chance to meet him recently. The Dayton Daily News is the closest "large circulation" paper to my area, and a lot of the smaller local papers (like the one I work for) are modeled after it. We are all affected by this in both good and bad ways.
Larry isn't going to have trouble finding more work. From everything I have heard about the man, he was more interested in molding young photographers and maintaining journalistic ethics than anything else. Major kudos to him for standing up for what he believes in. Though sadly, corporate will just find someone else and the staff will get axed.
