Well, not really. Reading between lines, I'm assuming they're discouraging any future bad press articles from LA Times and all other news outlets, not necessarily suppressing a single article. Whether it's effective in the long run will be hard to determine as we can't measure future unpublished articles we never hear about.

Also, LA Times gets free advertising!

Many times people don't have the "star power" to meet the threshold for the Streisand effect inflect.