Gannett already owns the local NBC station in St. Louis, KSDK. So it isn’t terribly concerned about the Justice Department’s insistence that it unload “substantially all” of the assets at Belo’s local CBS station, KMOV, as a condition to win antitrust approval for its $1.5B acquisition of the TV station power. “The synergies associated with KMOV-TV were nominal” and won’t change their forecast to realize $175M in savings for each of the first three years after the deal closes, the companies say. Gannett’s local clout “will not be impacted” when KMOV is divested, expected sometime next year. Bill Baer, Assistant Attorney General in charge of Justice’s Antitrust Division, says that KSDK and KMOV “compete head-to-head in the sale of broadcast television spot advertising in the St. Louis area, and this rivalry constrains advertising rates. The full divestiture required by the department will ensure that KMOV-TV will remain a vigorous competitor in St. Louis.” Gannett and Belo still have to win the FCC’s endorsement before the deal can close. But investors are encouraged. Gannett shares are up 1.9% in mid-afternoon trading.
Justice Department Endorses Gannett-Belo Merger With Divestiture Of KMOV
What's Hot on Deadline
'The Last Jedi' Now Opening To $219M: How Disney Continues To Win With The 'Star Wars' Franchise - Update
Harvey Weinstein Again Denies Blackballing Actresses: Says He Wanted Ashley Judd For 'Good Will Hunting'
Latest Business News
- Rose McGowan Slams Actresses Who Plan To Wear Black At Golden Globes: “Your Silence Is The Problem”
- ‘A Prairie Home Companion’ Renamed ‘Live From Here’ After Garrison Keillor Exits MPR
- Harvey Weinstein Again Denies Blackballing Actresses: Says He Wanted Ashley Judd For ‘Good Will Hunting’
- XFL Return Rumored As WWE Head Vince McMahon Forms New Investment Venture
- Agent Olivia Metzger Leaving CAA; Clients Include Jeff Glor, Hoda Kotb: Report
- Rupert Murdoch Feels Heat About His Fox News Sexual Misconduct Claims