Press Releases
Raycom and Barrington Announce Deal For Twelve Television Stations
March 27, 2006 — Montgomery, AL, Hoffman Estates, IL, and New York, NY
Raycom Media, Inc. and Barrington Broadcasting Corporation announced today that they have entered into an agreement for Barrington to acquire twelve Raycom television stations in nine markets for a combined purchase price of $262 million. The transaction is subject to FCC approval and DOJ approval. Barrington Broadcasting Corporation is the broadcast television platform for the Pilot Group, a non-traditional private equity firm.
The stations being acquired by Barrington include five NBC affiliates (WNWO-TV, Toledo, OH; WSTM-TV, Syracuse, NY; WPBN-TV and WTOM-TV, Traverse City-Cheboygan, MI; and WLUC-TV, Marquette, MI), three FOX affiliates (WACH-TV, Columbia, SC; KXRM-TV, Colorado Springs, CO; and WFXL-TV, Albany, GA), two UPN affiliates (WSTQ, Syracuse, NY and KXTU, Colorado Springs, CO), one CBS affiliate (KGBT-TV, Harlingen, TX) and one ABC affiliate (KTVO-TV, Kirksville, MO).
In making the joint announcement, K. James Yager, President of Barrington Broadcasting Corporation stated, "We look forward to building upon the foundation that Raycom's management has established with these stations and working with the Raycom employees and managers at the stations we are acquiring. We believe these properties are a natural extension of our existing portfolio of stations in similarly-sized markets."
Chris Cornelius, Chief Operating Officer of Barrington Broadcasting Corporation, added, "It is our plan to continue offering high quality local news programming and the community service efforts established by Raycom at these television stations."
"Raycom is pleased to have completed this transaction with a long term broadcaster such as Barrington, and know that they will continue the fine traditions these stations have established in their markets," stated Paul McTear, Raycom President and CEO.
Raycom, an employee-owned company, is one of the nation's largest broadcasters and currently owns and operates 49 television stations in 22 states. Raycom stations cover more than 12.7 % of U.S. television households and employ 4200 individuals in full and part-time positions.
In addition to television stations, Raycom owns Raycom Sports (a marketing, production and events management and distribution company in Charlotte, North Carolina); Raycom Post (a post production facility in Burbank, CA), Broadview Media (a post production/telecommunications company based in Montgomery, AL), and CableVantage (a cable advertising sales group based in Columbia, SC).
Barrington Broadcasting Corporation was formed in 2003 by the Pilot Group and members of management to acquire and operate television stations in mid-sized markets across the country. Among the Pilot Group members are Robert W. Pittman, Howard Lipson, Mayo Stuntz, and Robert B. Sherman. Since 2004, Barrington, with funding from the Pilot Group, purchased seven other network-affiliated stations and one construction permit. After the consummation of the proposed transaction, Barrington stations will cover more than 3.4% of U.S. television households.
For further information contact:
K. James Yager
Barrington Broadcasting
President
847-884-1877
Paul McTear
Raycom Media, Inc.
President and CEO
334-206-1450
The Private Securities Litigation Reform Act of 1995 provides a "safe harbor" for forward-looking statements. Certain information contained herein or in any other written or oral statements made by, or on behalf of Raycom or Barrington, is or may be viewed as forward looking. The words "expect," "believe," "anticipate" or similar expressions identify forward-looking statements.
Although Raycom and Barrington have used appropriate care in developing any such forward-looking information, forward-looking information involves risks and uncertainties that could significantly impact actual results. These risks and uncertainties include, but are not limited to, the following: changes in national and local markets for television advertising; changes in general economic conditions, including the performance of financial markets and interest rates; competitive, regulatory, or tax changes that affect the cost of or demand for the Company's products; delays in completion of the proposed sale due to delays in securing necessary consents and regulatory approvals, and adverse litigation results. Raycom and Barrington undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future developments, or otherwise.