Fisher Completes Sale of Fisher Plaza

Fisher Communications Inc. today announced that it has completed the sale of its Fisher Plaza headquarters complex in Seattle to Hines Global REIT Inc. for $160 million in cash.

“We are pleased to have completed this transaction, which maximized the return of Fisher Plaza for our shareholders,” said Colleen B. Brown, president-CEO of Fisher Communications.

The closing of the transaction concludes a process that began in early 2008, when Fisher initiated a review of alternatives for Fisher Plaza. The process was suspended in November 2008 due to the then rapidly deteriorating financial market conditions. Fisher resumed its efforts in March 2011, which resulted in the agreement with Hines Global REIT.

As previously announced, Fisher will use a portion of the sale proceeds to redeem the remaining $61.8 million of its 8 5/8% senior notes.

The company also announced that its board of directors has approved a stock repurchase program of up to an aggregate of $25 million of its outstanding shares of common stock. The repurchases will be made from time to time, at the company’s discretion, on the open market at prevailing market prices or in negotiated transactions off the market.

“The board’s decision to initiate a share repurchase program reflects our commitment to return value to our shareholders,” Brown said. “As we look ahead, we will continue to evaluate other compelling opportunities that will deliver benefits to our investors.”

The repurchase program expires at the end of 2012, subject to periodic evaluation by the Board of Directors based on circumstances at the time. Fisher said it plans to conduct the program and retire the repurchased shares “in a method that minimizes the likelihood that the ownership interest of any shareholder will increase through accretion to more than 30% of the company’s outstanding common stock as a direct result of the repurchases.” This is intended to ensure that all Fisher shareholders continue to have a voice in major company decisions consistent with Fisher’s corporate charter and Washington law, the company said.

Moelis & Co. and CenturyPacific LLLP served as Fisher’s real estate advisers on the Fisher Plaza transaction.