Fisher Institutes Shareholder Dividends

Fisher Communications Inc. today announced that its board of directors has approved two measures to return value to its shareholders.

The board declared a special cash dividend of $10 per share, payable on Oct. 19, 2012, to shareholders of record on Sept. 28, 2012. The special dividend, which will total approximately $89 million, will be funded from the company’s existing cash and short- and long-term investments.

The board also approved a dividend policy under which the company intends to pay a quarterly cash dividend beginning in the fourth quarter of 2012. Fisher said it expects the initial quarterly dividend rate to be 15 cents per share.

Commenting on the board’s actions, Paul A. Bible, board chairman, said: “Fisher is committed to creating shareholder value, and the board’s approval of a special dividend and a quarterly dividend policy reflects our continued focus to deliver on that commitment. The special dividend is an opportunity to efficiently return capital to all of our investors following the sale of Fisher Plaza. The quarterly dividend policy reflects our confidence that the successful execution of our strategic plan will continue to generate the strong cash flows that will enable us to invest in the business while returning excess cash to our shareholders.”

Additionally, Fisher announced it has received a commitment letter from JPMorgan Chase Bank for a five-year $30 million senior secured revolving credit facility. Borrowings under the facility will bear interest at a floating rate based on LIBOR and are expected to be used for general corporate purposes and working capital, as needed. The credit facility is also expected to include an option permitting Fisher to increase the size of the facility by up to $50 million, subject to approval from participating lenders and other customary conditions.

Moelis & Co. acted as exclusive financial adviser in connection with Fisher’s review of return of capital alternatives.