Scripps buying ION Media

[The Constant Browser]

Scripps with Berkshire as a partner is buying ION Media.

https://ir.scripps.com/static-files/1be ... 364b48babb

They will be divesting the O&O Stations as a group to another buyer who will turn hem into affiliates so WPXD Ann Arbor will be spun off as part of the deal.

[MWmetalhead]

Why do I suspect the buyer for the 23 divestitures is not truly arms length?

That pro forma net leverage ratio of 5.2x ain't pretty.

Is WZPX in West Michigan another one of the 23 stations to be divested?

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Why do I suspect the buyer for the 23 divestitures is not truly arms length?

That pro forma net leverage ratio of 5.2x ain't pretty.

Is WZPX in West Michigan another one of the 23 stations to be divested?

It’s another O&O so yes it will be divested.

[MWmetalhead]

I think only the O&O's that present cross ownership issues are being divested; ION has several dozen O&O stations across the country, do they not?

[Rate This]

I think only the O&O's that present cross ownership issues are being divested; ION has several dozen O&O stations across the country, do they not?

They own 71 stations and 23 of them will be divested. I originally read all of them... I stand corrected.

[MasterB]

I don't get why Scripps needs to sell WZPX since it isn't in the Top 4 in West Michigan.

[MWmetalhead]

Perhaps it doesn't need to be. WXMI is top 4, but you're right, WZPX definitely is not.

Are multiple duopolies permitted in a market that is of #40-ish rank? (The existing duopoly, of course, is WOOD-TV and WOTV.)

[RingtailedFox]

If i remember, the FCC says there must be at least 8 different station owners to allow for any duopolies... i'd assume that is the bare minimum...

unless something strange and unusual happens, like a station gets bought to prevent it from going off the air (a "failing station waiver")...

[YpsiGuy]

Scripps will off load all of its WMYD ATSC 1.0 content to WPXD with this agreement, IMO. That frees up WMYD completely for ATSC 3.0 broadcasts.

The spun off stations like WPXD are still to be part of the ION network and will run Scripps/Katz subchannels.

[SixPlusOne]

Courtesy: Radio Television Business Report

Here Come The First Ion Media Spins

Includes WPXD-TV - Detroit

http://webcache.googleusercontent.com/s ... dia-spins/

[MWmetalhead]

Good info; thank you.

I see WZPX in Grand Rapids is on the spin-off list, too.

[YpsiGuy]

I believe I read these stations will stay as ION affiliates and also air Scripps’s package of digital subchannels.

Since GRIT is a Scripps subchannel, I am betting it will leave WADL and move to WPXD. One article mentioned they will move their subchannels to the ION stations for cost savings.

With WXYZ and WPXD, Scripps now has the bandwidth to use WMYD as the ATSC 3.0 lighthouse.