Journal Communications' Broadcast Group Signs Green Bay Television Acquisition Agreement
Journal Communications via BizWire
MILWAUKEE--(BUSINESS WIRE)--April 29, 2004--Journal
Communications, Inc. (NYSE:JRN) today announced that its Journal
Broadcast Group has signed an agreement to purchase NBC affiliate
WGBA-TV, Channel 26, in Green Bay, Wisconsin, subject to Federal
Communications Commission approval. Journal Broadcast Group will also
assume an existing local marketing agreement between WGBA-TV and UPN
affiliate WACY-TV, Channel 32, which is licensed to serve Appleton,
Wisconsin. The aggregate purchase price for WGBA-TV is $43,250,000.
Journal Broadcast Group has also reached an agreement to purchase
WACY-TV should FCC regulations be changed to allow such common
ownership.
Green Bay/Appleton is the 68th largest television market in the
country, according to Nielsen Media Research.
"We are very pleased with the prospect of serving the viewers of
Green Bay and Appleton through our purchase of WGBA-TV and the local
marketing agreement with WACY-TV," said Steven J. Smith, chairman and
chief executive officer of Journal Communications. "This is an
excellent television market, in a vibrant part of our state. The
acquisition meets our disciplined financial criteria as well as our
strategy of growth through the purchase of broadcast stations in
mid-sized markets with diversified, growing economies. We are eager to
begin leveraging the mutual benefits that will accrue from the
partnerships that will certainly develop among our Journal
Communications' businesses throughout Wisconsin."
According to Douglas Kiel, president of Journal Communications and
chief executive officer of Journal Broadcast Group, "The acquisition
will provide us with two NBC affiliates in adjacent television markets
located in the same region of Wisconsin where we also currently own
two radio stations. Our company will have a tremendous opportunity to
work with an excellent staff at WGBA and WACY while also leveraging
the resources and strengths of our Milwaukee broadcast operations to
grow our business and provide even better service to the viewers and
advertisers in the Green Bay and Appleton areas."
Journal Broadcast Group, headquartered in Milwaukee, currently
owns three broadcast properties in Wisconsin: WTMJ-AM, WKTI-FM and
NBC-affiliate WTMJ-TV. Journal Broadcast Group owns an additional 36
radio stations and 5 television stations in 10 other states.
Pending approval of the acquisition of WGBA-TV by the FCC, Journal
Broadcast Group will provide programming to WGBA-TV pursuant to an
interim local marketing agreement with Aries Telecommunication.
WGBA-TV is owned by Aries Telecommunication Corporation, a wholly
owned subsidiary of DP&K, Inc. WACY-TV is owned by ACE TV, Inc., a
Wisconsin corporation.
About Journal Communications
Journal Communications, Inc., headquartered in Milwaukee,
Wisconsin, was founded in 1882. We are a diversified media and
communications company with operations in publishing, radio and
television broadcasting, telecommunications and printing services. We
publish the Milwaukee Journal Sentinel, which serves as the only major
daily newspaper for the Milwaukee metropolitan area, and more than 90
community newspapers and shoppers in eight states. We own and operate
38 radio stations and six television stations in 11 states. Through
our telecommunications segment, we own and operate a regional fiber
optic network in the upper Midwest, provide integrated data
communications solutions for small and mid-size business and offer
network transmission solutions for other service providers. We also
provide a wide range of commercial printing services, including
publications, professional journals and documentation material, as
well as electronic publishing, kit assembly and fulfillment.