Tribune to Split Company and Form a Dedicated Newspaper Publishing Division

Tribune Co. is mostly known for its newspapers, such as the Los Angeles Times, Chicago Tribune, The Baltimore Sun, Sun Sentinel, Orlando Sentinel, Hartford Courant, The Morning Call, and Daily Press. The company is splitting in two, with one segment focusing exclusively on publishing and the other on the television properties. The main company will be drafting separation plans over the next nine to twelve months. After the split, each company will have its own board of directors and senior management team. The publishing division will have a dedicated revenue stream of around $1 billion dollars. With the recent announcement of wanting to spin off its publishing division, Tribune is following in the footsteps of News Corp., which just completed its move into forming two separate entities. The prevailing belief within media circles is that—at least for the foreseeable future—broadcast and movie companies have a much rosier, more profitable future than does the print business, which is trying to develop a new template for the rapidly-evolving digital news age. Tribune CEO Peter Liguori said, “Moving to separate our publishing and broadcasting assets into two distinct companies will bring single-minded attention to the journalistic standards, advertising partnerships, and digital prospects of our iconic newspapers, while also enabling us to take advantage of the operational and strategic opportunities created by the significant scale we are building in broadcasting.” The main reason Tribune is spinning off its newspaper division is because it could not find a buyer for it. Last December, the company tried to sell its business to other companies, but no suitors had met its price point. The hope is when the publishing division is a separate entity, it will be easier to sell. Tribune to Split Company and Form a Dedicated Newspaper Publishing Division is a post from: E-Reader News

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