With the help of outside advisors, we have made a decision to initiate a process to explore every possible strategic and financial option with one clear goal: to unlock the value of our stock.
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Tribune has pushed to attract viewers to WGN with original programs like “Salem” and “Outsiders” – and it’s worked, with the network’s revenue from cable providers climbing 58 percent last quarter from a year earlier to $8.3 million.
“The strategic and financial alternatives under consideration include, but are not limited to, the sale or separation of select lines of business or assets, strategic partnerships, programming alliances and return of capital initiatives”, the media release read. Are you exhausted of paying high fees? “Now may be a good time for Tribune to test the waters”, said Paul Sweeney, an analyst at Bloomberg Intelligence. “Assets like these don’t come on the market everyday”. Sinclair Broadcast Group Inc., Tegna Inc. and Nexstar are all close to station limits. If we view the performance quarterly, shares are at -6.65%. “However, given potential complications to any deal due to their undiscounted 44 percent reach, a wholesale merger seems challenging”. Other properties are now part of the monetization plan as well, but the company did not say which ones.
Several research analysts have recently issued reports on TRCO shares. The company provides Antenna TV, THIS TV, radio station, music and video content and technologies. The company also beat on revenue for the three-month period – but that doesn’t mean the morning was all good news. Adjusted EBITDA for the fourth quarter and full year excludes the impairment of goodwill and other intangible assets charge of $385 million and the broadcast rights impairment charge of $74 million described above.
Pretty much gone could be some of the company’s real estate assets such as the Tribune Tower in Chicago and the north block of the Los Angeles Times Square property in Los Angeles.
The company posted a fourth-quarter loss of $380.9 million, compared with a year-ago profit of $314.7 million.
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Revenue decreases 3.4% to $464 million, pegged to a $46.5 million decrease in net political advertising revenues that was only partially offset by a 27% increase in retrans and a 2.6% gain in core ad revenue.
