The National  Memo Logo

Smart. Sharp. Funny. Fearless.

Monday, December 09, 2019 {{ new Date().getDay() }}

By Joe Flint, Los Angeles Times

Gannett Co. is spinning off its publishing assets into a separate publicly traded company.

The McLean, Va.-based broadcaster and publisher whose holdings include more than 40 television stations, USA Today, and 81 local newspapers, is the latest media company to separate its newspaper and television units.

Last year, Rupert Murdoch split his entertainment and publishing assets into separate companies — 21st Century Fox and News Corp., respectively. Earlier this year, Time Warner spun off its publishing company Time Inc. and this week Tribune Media completed a spinoff of its publishing assets including the Chicago Tribune and Los Angeles Times off into a new company called Tribune Publishing.

“These transformative transactions will give both the publishing company and the broadcasting and digital company enhanced strategic, operating, financial, and regulatory flexibility to pursue growth and consolidation opportunities in their respective markets, while delivering strong cash flow to build further upon Gannett’s long-standing traditions of award-winning journalism and service to our local communities,” said Gracia Martore, president and chief executive officer of Gannett.

Traditional publishing is seen as a more challenging business with limited growth compared to television and digital media. Investors and Wall Street analysts have been encouraging these spin-offs.

The new publishing company will be virtually debt-free, Gannett said. Existing debt will remain with the broadcasting and digital company. Both Time Inc. and Tribune Publishing were saddled with heavy debt loads after they were spun off.

Martore will be chief executive of the television and digital company. Robert Dickey, president of Gannett’s U.S. community publishing division, will be chief executive for the publishing company. Gannett said it expects the spinoff to be completed by mid-2015.

Gannett is also buying the 73 percent stake of Cars.com it didn’t own for $1.8 billion from A. H. Belo, the McClatchy Company, Tribune Media Company, and Graham Holdings Company. Cars.com is a popular site for people buying and selling cars.

In a related move, Tribune Publishing entered into a five-year affiliation agreement with Cars.com.

“Upon closing, this agreement will represent significant recurring revenue for our digital classified business,” said Jack Griffin, chief executive officer of Tribune Publishing. “We’ve had a long and mutually beneficial relationship with Cars.com and this agreement ensures auto dealers in key markets will continue to benefit from the scale and reach of our prominent print and digital properties.”

Photo via WikiCommons

Interested in national news? Sign up for our daily email newsletter!

Start your day with National Memo Newsletter

Know first.

The opinions that matter. Delivered to your inbox every morning

John Eastman

Reprinted with permission from MediaMatters

The ABC, CBS, and NBC morning and evening news broadcasts have all ignored the revelation that one of then-President Donald Trump's lawyers authored a memo laying out how Trump could effectively pull off a coup.

John Eastman, a member of the conservative legal establishment who worked with Trump's legal team as the then-president sought to overturn the results of the 2020 election, wrote the document in the days leading up to the January 6 counting of electoral votes. His plan lays out various ways then-Vice President Mike Pence and congressional Republicans could use that

Keep reading... Show less

Reprinted with permission from Alternet

It remains to be seen whether or not President Joe Biden's $3.5 trillion "human infrastructure" plan — which includes federal funding for health care, education, child care and combating climate change — will ultimately make it to his desk to be signed into law. The $3.5 trillion price tag is drawing resistance from Republicans as well as centrist Democrats like Sen. Joe Manchin of West Virginia and Sen. Kyrsten Sinema of Arizona. But 17 economists, all Nobel Prize recipients, have signed a letter endorsing the plan, which members of the Biden Administration see as crucial to his Build Back Better agenda.

Keep reading... Show less
x
{{ post.roar_specific_data.api_data.analytics }}