| 
Tribune Completes Acquisition of WTTV-TV
(WB4), Indianapolis
Creates
company's fourth two-station cluster
CHICAGO,
July 24, 2002 -- Tribune
Company (NYSE:TRB) has
completed its previously announced acquisition of WTTV-TV
(WB4), Indianapolis, and its satellite station WTTK-TV in
Kokomo, Ind., from Sinclair Broadcast Group (Nasdaq: SBGI)
for $125 million. The transaction was an asset exchange, funded
with the proceeds from the sale of certain Tribune Denver
radio assets to Entercom Communications Corp., which is currently
managing the Denver radio stations. The Federal Communications
Commission granted its approval of the transaction earlier
this month.
"The
acquisition of WTTV/WTTK creates Tribune's fourth two-station
cluster and will present immediate opportunities to reduce
costs and improve revenue," said Pat Mullen, Tribune
Television president. "This station is an excellent strategic
acquisition and makes Tribune the leading provider of information
and entertainment programming to the country's 25th largest
market."
The purchase
price of $125 million represents a multiple of 11x pro forma
EBITDA, including cost savings achieved from owning and operating
two television stations in the market. Tribune acquired WXIN-TV
(Fox59), Indianapolis, in 1997. Tribune now owns 24 stations
with a combined reach of 38.4 percent of U.S. television households
(nearly 29 percent by Federal Communications Commission standards).
::
::
::
Tribune
Broadcasting owns and operates 24 major-market television
stations, including national superstation WGN-TV, and reaches
more than 80 percent of U.S. television households. The group's
investment interests include The WB Television Network (22%)
and TV Food Network (31%). Los Angeles-based Tribune Entertainment
develops and distributes first-run television programming
for the Tribune station group and for national syndication.
Tribune Broadcasting also owns and operates Chicago's WGN-AM
and the Chicago Cubs baseball team.
TRIBUNE
(NYSE: TRB) is one of
the country's premier media companies, operating businesses
in broadcasting, publishing and on the Internet. It reaches
more than 80 percent of U.S. households, and is the only media
company with television stations, newspapers and Web sites
in the nation's top three markets. Tribune media span 23 major-market
television stations, including national superstation WGN-TV;
12 market-leading daily newspapers, including the Los Angeles
Times, Chicago Tribune and Newsday; and news and information
Web sites in 18 of the nation's top 30 markets.
|
