The New York Times Company announced today that it plans
to sell its Broadcast Media Group, which includes nine
network-affiliated television stations and their related properties.
"The decision to explore the sale of our broadcast stations is a
result of our ongoing analysis of our business portfolio," said Janet
L. Robinson, president and CEO. "These are well-managed and profitable
stations that generate substantial cash flows and are located in
attractive markets. We believe a divestiture would allow us to sharpen
our focus on developing our newspaper and rapidly growing digital
businesses, and the synergies between them, thereby increasing the
value of our Company for our shareholders."
The stations that comprise the Broadcast Media Group are:
-- WHO-TV in Des Moines, Iowa (NBC);
-- KFSM-TV in Ft. Smith, Ark. (CBS);
-- WHNT-TV in Huntsville, Ala. (CBS);
-- WREG-TV in Memphis, Tenn. (CBS);
-- WQAD-TV in Moline, Ill. (ABC);
-- WTKR-TV in Norfolk, Va. (CBS);
-- KFOR-TV in Oklahoma City, Okla. (NBC);
-- KAUT-TV in Oklahoma City, Okla. (MyNetworkTV); and
-- WNEP-TV in Scranton, Penn. (ABC).
Last year, the Broadcast Media Group accounted for approximately
4% of the Company's total revenues. In 2006, the Company expects the
Group will have revenues of approximately $150 million and operating
profit of about $33 million. Depreciation and amortization is expected
to be approximately $10 million for the year.
The Times Company has retained Goldman, Sachs & Co. to advise it.
There can be no assurance that any transaction will take place.
Additional details will be provided when and if the Company enters
into a transaction. As a matter of policy, the Company will not
comment upon any proposals, discussions or rumors regarding the
proposed sale.
Except for the historical information contained herein, the
matters discussed in this press release are forward-looking statements
that involve risks and uncertainties that could cause actual results
to differ materially from those predicted by such forward-looking
statements. These risks and uncertainties include national and local
conditions, as well as competition, that could influence the levels
(rate and volume) of retail, national and classified advertising, and
other risks as detailed from time to time in the Company's publicly
filed documents, including the Company's Annual Report on Form 10-K
for the year ended December 25, 2005. The Company undertakes no
obligation to publicly update any forward-looking statement, whether
as a result of new information, future events or otherwise.
The New York Times Company (NYSE: NYT), a leading media company
with 2005 revenues of $3.4 billion, includes The New York Times, the
International Herald Tribune, The Boston Globe, 15 other daily
newspapers, nine network-affiliated television stations, two New York
City radio stations and 35 Web sites, including NYTimes.com,
Boston.com and About.com. The Company's core purpose is to enhance
society by creating, collecting and distributing high-quality news,
information and entertainment.
This press release can be downloaded from www.nytco.com
The New York Times Company is a global media organization that includes newspapers, digital and print products, and related businesses. It is focused on creating, collecting, and distributing news and information that helps the audience understand and engage with the world. The Company's news product, The New York Times (The Times) is available on mobile applications, on its Website (NYTimes.com) and as a printed newspaper, and with associated content such as podcasts. The Company's interest-specific products include The Athletic, Games, Cooking, and Audio (read-aloud audio service), which are available on mobile applications and Websites; Wirecutter, an online review and recommendation product; and The Athletic. Its other businesses include licensing operations; commercial printing operations; live events business; and other products and services under The Times brand. The Companyâs Timesâs print edition newspaper is published seven days a week in the United States.