 |
December 7, 2007 |
|
|
|
 |
CLEAR CHANNEL: Gets FCC Approval for US$1.3BB Sale to Newport TV Clear Channel Communication Inc. received approval from the Federal Communications Commission to sell 35 television stations to Newport Television LLC, a private equity firm controlled by Providence Equity Partners Inc., for US$1.3 billion, various sources report. In its order, the FCC denied a petition filed by Buckley Broadcasting of Monterey, seeking reconsideration of the 2002 Commission decision granting applications to transfer control of the Ackerley Group Inc. to Clear Channel. However, the FCC approval comes with certain conditions that must be met by Newport in six months, including divesting TV stations in nine markets where it is in violation with FCC ownership rules. Companies must comply with the numerical ownership limits of the FCC local television ownership rule. The nine market areas are Bakersfield, San Francisco, Santa Barbara, Fresno and Monterey in California; Salt Lake City; Albany, New York; Jacksonville, Florida, and San Antonio, Texas. Cross-ownership Rule Violation Providence has defiled an FCC newspaper-broadcast station cross- ownership rule in five markets because it owns interests in Spanish language network Univision Communications Inc. and Freedom Communications Holdings Inc. On Oct. 31, 2007, Providence filed a request for more time, in which it states that it "had intended to comply by way of redemption of its attributable interest in Freedom," but that "due to extraordinarily volatile conditions in the credit market and newspaper industry in general," it has not been able to obtain the necessary financing. Instead, it proposes to convert its interest in Freedom into one that is not attributable under the FCC's rules and, by doing so, come into compliance with the rule. About Clear Channel Based in San Antonio, Texas, Clear Channel Communications Inc. (NYSE:CCU) -- http://www.clearchannel.com/ -- is a media and entertainment company specializing in "gone from home" entertainment and information services for local communities and premiere opportunities for advertisers. The company's businesses include radio, television and outdoor displays. Outside U.S., the company operates in 11 countries -- Norway, Denmark, the United Kingdom, Singapore, China, the Czech Republic, Switzerland, the Netherlands, Australia, Mexico and New Zealand. * * * As reported in the Troubled Company Reporter on Sept. 27, 2007, Fitch Ratings said it expects to downgrade Clear Channel Communications Inc.'s Issuer Default Rating to 'B' from 'BB-'. The rating outlook is expected to be stable. Existing ratings remain on rating watch negative pending the closing of the merger transaction and review of final documentation. |
|
|
||
|
Today's Top Stories have been selected from the Troubled Company Reporter - Asia Pacific. To receive the Full TCR-AP please CLICK HERE.
