Tuesday, August 28, 2007

Hearst-Argyle to go Private

Source: Hollywood Reporter Shares of Hearst-Argyle Television Inc. jumped 23.3% after controlling shareholder and media firm Hearst Corp. said it will take the TV station group private for about $600 million in cash in the latest buyout deal in the media and entertainment industry.

The privately held owner of newspaper, magazine and TV assets cited the changing media landscape as a key reason behind the move.

"The competitive demands of the TV broadcasting industry and changes in the broader media industry, when balanced against the pressures on a public company to deliver short-term results, have convinced us that private ownership of Hearst-Argyle is desirable and will assist Hearst-Argyle in attaining its strategic and business objectives," Hearst Corp. president and CEO Victor Ganzi said in a letter to the Hearst-Argyle board.

Hearst-Argyle owns 29 TV stations, which reach a combined 18% of U.S. viewers.

4 Comments:

At 11:44 AM, August 29, 2007, Anonymous Anonymous said...

Going private? And this will help them how? Hearst-Argyle have been putting out fair to average news coverage for western Arknsas since 2003, what makes them think this will help?
I will believe it when I see it.
Enough said----

 
At 12:56 PM, August 29, 2007, Anonymous Anonymous said...

Great news! In a day of mergers, hostile take-overs, buyouts, down-sizing and other corporate money grabbing maneuvers, this announcement is a refreshing change.

 
At 8:24 PM, August 29, 2007, Anonymous Anonymous said...

"Hearst-Argyle have been putting out fair to average news coverage for western Arknsas since 2003, what makes them think this will help?"

I doubt the boys in New York are too concerned whether 40/29 beats KFSM in the River Valley demos or if KNWA is cutting into their numbers in Benton County. It is a big company and a big country.

"I will believe it when I see it."

Umm, believe it. It is a done deal.

 
At 10:20 PM, August 29, 2007, Anonymous Anonymous said...

I'm sure that Hearst isn't worried about 40/29. That station doesn't even show up on the radar for them. However, I would think that the local management has to be worried a little after the July #s. I know that they are just July #s but the trend has been going on for a while. That continue to not gain ground on KFSM in Ft. Smith and KNWA just took the 10pm lead again up North. As a matter of fact, KFSM is rnow right behind them in that region. A new building isn't going to steal the KNWA audience and they can't afford to jump ship because unlike KNWA they have audience to lose in Ft. Smith if they were to decide to say "US TOO" in NWA.

 

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