It has retained Goldman, Sachs to advise it on selling its affiliates–four CBS, two ABC, two NBC and one MNT.
The New York Times Co. announced today that it plans to sell its Broadcast Media Group, which includes nine network-affiliated television stations and their related properties. The company said it has retained Goldman, Sachs & Co. to advise it.
The stations that comprise the Broadcast Media Group and their market rank are:
- WHO Des Moines, Iowa (NBC)—DMA 72
- KFSM Ft. Smith, Ark. (CBS)—101WHNT Huntsville, Ala. (CBS)—83
- WREG Memphis (CBS)—47
- WQAD Moline, Ill. (ABC)—95
- WTKR Norfolk, Va. (CBS)—42
- KFOR Oklahoma City (NBC)—48
- KAUT Oklahoma City, Okla. (MNT)—48
- WNEP Scranton, Pa. (ABC)—54
“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.”
Last year, the Broadcast Media Group accounted for approximately 4% of the company’s total revenues. The company said in 2006 it 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.