Media General Buys Four NBC Stations

MEDIA GENERAL BUYS FOUR NBC STATIONS
[SOURCE: Broadcasting&Cable, AUTHOR: Allison Romano]
Media General cut a deal Thursday to buy four NBC stations from NBC Universal Television Group for about $600 million. That was the amount NBC had hoped to generate when it put its four smallest market O&Os ­ WJAR Providence; WNCN Raleigh, N.C.; WCMH Columbus, Ohio; and WVTM Birmingham, Ala ­ on the block in January. The transaction represents 14 times cash flow, based on 2004-2005 figures. To comply with FCC ownership limits, Media General plans to sell several of its existing stations, including its CBS affiliate in Birmingham, Ala, as well as CBS outlets KWCH Wichita, Kan; KIMT Mason City, Iowa and WDEF Chattanooga, Tenn. The company says it will consider selling the stations separately or as a group by the end of the year. NBC is auctioning the stations to concentrate on more duopolies and growing its Telemundo portfolio.
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