Monday, February 29, 2016

Tribune Media To Explore Sale of Company Or Assets

Tribune Media Company today reported its results for the three months and the year ended December 31, 2015 and announced that the Board of Directors and the Company have initiated a process to explore the full range of strategic and financial alternatives to enhance shareholder value.

In addition, the company announced that on February 24, 2016 the Board of Directors authorized a new stock repurchase program under which the Company may repurchase up to $400 million of its outstanding Class A common stock.

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 Board of Directors and the Company have retained Moelis & Co. and Guggenheim Securities as financial advisors to assist in this process.

Bruce Karsh
Bruce Karsh, Chairman of the Board of Directors, said, "The Board of Directors and management remain focused on maximizing shareholder value.  We believe that the value of the portfolio of businesses of Tribune Media is not fully reflected in the stock price and intend to explore ways to unlock value by reviewing strategic alternatives.  At the same time, we remain committed to achieving strong operational performance across our businesses."

Tribune Media has not set a definitive timetable for the completion of its review of alternatives and does not currently intend to make any further disclosures regarding its exploration of alternatives until such time as any definitive agreements may be entered into in the process or as otherwise appropriate or required.

In addition, the Company and the Board announced that the Company has entered into new and amended employment agreements with three senior executives. Peter Liguori, the Company's President and Chief Executive Officer, entered into a new two-year employment agreement.   The Company named Chandler Bigelow as Executive Vice President and Chief Financial Officer. The Company also expanded the scope of responsibilities of Tribune Media's General Counsel, Eddie Lazarus, by naming him Chief Strategy Officer.

Peter Liquori
Consolidated operating revenues increased 3% for the full year, despite 2015 being an off-cycle political year; excluding the impact of political advertising and Super Bowl advertising revenue, consolidated operating revenues increased 8% for the full year.

Consolidated operating revenues decreased 1% in the fourth quarter due to 2015 being an off-cycle political year; excluding the impact of political advertising, consolidated operating revenues increased 8% in the fourth quarter.

Retransmission consent revenue increased 27% in the fourth quarter and 24% for the full year. Carriage fee revenue increased 58% in the fourth quarter and 49% for the full year.

Tribune Media reported a net loss of $320 million and an operating loss of $263 million for the year ended December 31, 2015.

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