SNI Announces $1 Billion Share Repurchase

Scripps Networks Interactive Inc. today announced that its board of directors has authorized a $1 billion share repurchase program.

Scripps Networks Interactive’s media portfolio includes lifestyle television and Internet brands HGTV, Food Network, Travel Channel, DIY Network, Cooking Channel and country music network Great American Country.  

As part of this program, the company agreed to repurchase 6,430,027 shares of its Class A common shares for approximately $300 million, or $46.66 per share, from The Edward W. Scripps Trust, the company’s controlling shareholder. The remaining $700 million authorization is for the general repurchase of Class A common shares on the open market or through private transactions.

The company said the timing of purchases for the authorization will be based on market conditions and other factors. The share repurchase program announced today replaces the board’s previous 5 million share authorization approved in 2008.

“The decision to repurchase shares from the Scripps Trust and initiate a meaningful share repurchase program demonstrates our faith in the financial strength of our lifestyle media businesses and the company’s ability to generate strong free cash flow,” said Kenneth W. Lowe, chairman, president and CEO of Scripps Networks Interactive. “It also reflects our commitment to create value for shareholders; provides us with ample resources to meet operating requirements; and gives us the financial flexibility we need to invest in the company’s long-term growth.”