Connect with us

Hi, what are you looking for?

Capital Business
Capital Business
The Chicago Sun Times and Chicago Tribune newspapers are pictured on sale on April 2, 2009/AFP

World

Tribune Co to split broadcast, publishing arms

The Chicago Sun Times and Chicago Tribune newspapers are pictured on sale on April 2, 2009/AFP

The Chicago Sun Times and Chicago Tribune newspapers are pictured on sale on April 2, 2009/AFP

WASHINGTON, July 10 – Tribune Company announced plans Wednesday to spin off its newspaper division, which includes the Los Angeles Times and Chicago Tribune, separating the struggling unit from its growing television station holdings.

The plan “is designed to maximize shareholder value” and “position the company for long term growth,” said a statement from the Chicago based media firm, which emerged from bankruptcy December 31 after four years of court supervision.

The group, which owns 23 television stations and last week announced a $2.7 billion deal to buy 19 more local television stations, said splitting into two distinct companies would give each “greater financial and operational focus.”

“Moving to separate our publishing and broadcasting assets into two distinct companies will bring single-minded attention to the journalistic standards, advertising partnerships and digital prospects of our iconic newspapers, while also enabling us to take advantage of the operational and strategic opportunities created by the significant scale we are building in broadcasting,” said Peter Liguori, Tribune’s president and chief executive.

“In addition, the separation is designed to allow each company to maximize its flexibility and competitiveness in a rapidly changing media environment.”

Since its emergence from bankruptcy, a number of reports have said Tribune Co. was preparing to sell off many of its assets, starting with the newspapers.

Although no official bids have been announced, the mere hint of interest from billionaire industrialists Charles and David Koch famous for bankrolling conservative causes has some activists in a frenzy. Protests have been held in Los Angeles and other cities.

Rupert Murdoch’s media group which also recently split off its publishing and entertainment assets into two firms has been among those likely to be interested in the big dailies.

Click to comment
Advertisement

More on Capital Business

Executive Lifestyle

NAIROBI, Kenya, Mar 12 – The country’s super wealthy individuals are increasing their holding of bonds, gold and cash, a new report by Knight...

Ask Kirubi

NAIROBI, Kenya, Mar 9 – Businessman and industrialist Dr. Chris Kirubi has urged members of the public to exercise extreme caution when making any...

Ask Kirubi

NAIROBI, Kenya, Mar 24 – Businessman and industrialist Dr. Chris Kirubi is set to own half of Centum Investment Company PLC, following a go-ahead...

Ask Kirubi

It is without a doubt that the COVID-19 pandemic has caught the whole world by surprise. Although its full impact is yet to be...

Headlines

NAIROBI, Kenya, Mar 18 – Commercial Banks have been ordered to provide relief to borrowers on their personal loans, with loans eligible from March...

Kenya

NAIROBI, Kenya, Jun17 – Kenya’s tea leaves manufacturer Kericho Gold, has been awarded the Superbrands Seal by Superbrands East Africa for their quality variety...

Coronavirus

NAIROBI, Kenya, Apr 13 – As the local telecommunications industry gears up to roll out 5G networks in the country, the Communications Authority of...

Coronavirus

NAIROBI, Kenya, Mar 22 – Airtel Kenya is offering free internet access for students in order to enable continued learning at home in the...