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Tribune to Sell WATL-TV, Atlanta
$180
Million Sale Supports Company’s Announced Stock
Repurchase Plan
CHICAGO, June 5,
2006 -- Tribune Company (NYSE:TRB) today announced
the sale of WATL-TV (channel 36), Atlanta, to Gannett Co.
for $180 million. The transaction will close upon regulatory
approval.
"This reflects an important aspect of
the stock repurchase strategy that we communicated last week,"
said Dennis FitzSimons, Tribune chairman and chief executive
officer. "Our
goal is to generate additional shareholder value through
improved operating performance, asset sales and the disciplined
repayment of debt over the next several years. The sale of
WATL further demonstrates our commitment to delivering value
for shareholders."
On May 30, Tribune announced it will
acquire up to 75 million shares of the company’s
common stock, sell at least $500 million in assets, and
reduce operating expenses by $200 million over the next
two years.
"As an upcoming affiliate of MyNetworkTV,
WATL has a great future under the ownership of a broadcasting
leader like Gannett," said John Reardon, Tribune Broadcasting
president. "Steve Carver and the entire team at WATL
have built a strong station and we couldn’t be more
appreciative and proud of their dedication and professionalism."
Tribune acquired a minority stake in
WATL in 1995 and obtained full ownership of the station
in 2000 as part of its acquisition of Qwest Broadcasting.
WATL, currently an affiliate of The WB Network, will join
Fox Television’s MyNetworkTV
when the network launches Sept. 5, 2006.
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TRIBUNE (NYSE:TRB) is
one of the country’s
top media companies, operating businesses in publishing and
broadcasting. It reaches more than 80 percent of U.S. households
and is the only media organization with newspapers, television
stations and websites in the nation’s top three markets.
In publishing, Tribune operates 11 leading daily newspapers
including the Los Angeles Times, Chicago Tribune and Newsday,
plus a wide range of targeted publications. The company’s
broadcasting group operates 26 television stations, Superstation
WGN on national cable, Chicago’s WGN-AM and the Chicago
Cubs baseball team. Popular news and information websites
complement Tribune’s print and broadcast properties
and extend the company’s nationwide audience. |
