Because it's a dumb way to go about it and a waste of time. Are you going to be writing down all of your passwords by hand? Manually updating it as you change them? Getting the paper out of the drawer every time you need to log in? What if you need to log in on your phone when you're away from home?

None of these hacks result in your password being usable. The data these hackers get is a non-sensical string that they can't do anything with. I still wouldn't stick with LastPass. It's clear they give zero shits about internal security at this point. But saying that paper is an equal substitute to a password manager is just wrong.