Sinclair Settles DOJ Antitrust Investigation

Sinclair said Wednesday that it has entered into a consent decree with the Department of Justice resolving its antitrust investigation into the sharing of advertising pacing information with other broadcasters.

Sinclair expects that the DOJ will file the consent decree by Thursday. The consent decree is not an admission of any wrongdoing by Sinclair and does not involve any monetary damages or fines, Sinclair said.

“This allows us to avoid potential significant costs of continuing to dispute this with the DOJ and a potential lawsuit,” said CEO Chris Ripley on a call with analysts this morning upon release of the company’s third quarter earnings.

“We agreed to do this … despite our belief that there was no actual impact on the pricing of advertising or any violation of any antitrust laws, because the costs of compliance with the consent decree are minimal.”

The DOJ investigative was an outgrowth of the DOJ’s review of Sinclair’s merger with Tribune, which collapsed this summer after the FCC accused Sinclair of misrepresenting facts surrounding the spin off of stations to comply with FCC ownership rules.

Sources have told TVNewsCheck that other station groups have been drawn into the investigation. There was no word whether they, too, will sign consent decrees.

The DOJ investigation, first reported by The Wall Street Journal, has sparked at least 18 civil suits from advertisers alleging antitrust conduct by Sinclair and other leading groups.