DALLAS & PROVIDENCE, R.I.--(BUSINESS WIRE)--Jul. 22, 2014--
A. H. Belo Corporation (NYSE: AHC) announced today it has entered into a
definitive asset purchase agreement under which a subsidiary of New
Media Investment Group Inc. (New Media) will acquire substantially all
of the assets which comprise the newspaper operations of The
Providence Journal located in Providence, Rhode Island, including
the production facility and related land, for $46 million in cash before
usual closing costs. A. H. Belo will retain sponsorship of the defined
benefit pension plan for Providence employees.
The 75 Fountain Street headquarters building, the downtown parking lots
and the former Rhode Island Monthly / Sunday inserting building are not
included in the transaction. A. H. Belo will continue to own and market
these properties for sale. New Media is expected to lease the
headquarters building and parking lots for one year after the close of
the transaction, which is anticipated to occur in the third quarter
subject to customary closing conditions. Stephens Inc. served as
exclusive financial advisor to A. H. Belo on the transaction.
About A. H. Belo Corporation
A. H. Belo Corporation (NYSE: AHC) is a leading local news and
information publishing company with commercial printing, distribution
and direct mail capabilities, as well as businesses with expertise in
emerging media and digital marketing. With a continued focus on
extending our media platform, we are able to deliver news and
information in innovative ways to new audiences with diverse interests
and lifestyles. For additional information, visit ahbelo.com,
email invest@ahbelo.com.
Statements in this communication concerning A. H. Belo Corporation's
(the “Company's”) business outlook or future economic performance,
anticipated profitability, revenues, expenses, dividends, capital
expenditures, investments, impairments, business initiatives, pension
plan contributions and obligations, real estate sales, future
financings, and other financial and non-financial items that are not
historical facts, are “forward-looking statements” as the term is
defined under applicable federal securities laws. Forward-looking
statements are subject to risks, uncertainties and other factors that
could cause actual results to differ materially from those statements.
Such risks, uncertainties and factors include, but are not limited
to, changes in capital market conditions and prospects, and other
factors such as changes in advertising demand and newsprint prices;
newspaper circulation trends and other circulation matters, including
changes in readership methods, patterns and demography; and audits and
related actions by the Alliance for Audited Media; challenges
implementing increased subscription pricing and new pricing structures;
challenges in achieving expense reduction goals in a timely manner, and
the resulting potential effects on operations; technological changes;
development of Internet commerce; industry cycles; changes in pricing or
other actions by existing and new competitors and suppliers; consumer
acceptance of new products and business initiatives; labor relations;
regulatory, tax and legal changes; adoption of new accounting standards
or changes in existing accounting standards by the Financial Accounting
Standards Board or other accounting standard-setting bodies or
authorities; the effects of Company acquisitions, dispositions, co-owned
ventures, and investments; pension plan matters; general economic
conditions and changes in interest rates; significant armed conflict;
acts of terrorism; and other factors beyond our control, as well as
other risks described in the Company's Annual Report on Form
10-K, and in the Company's other public disclosures and filings with the
Securities and Exchange Commission.
Source: A. H. Belo Corporation
A. H. Belo Corporation
Alison K. Engel, 214-977-2248
Senior
Vice President/Chief Financial Officer
www.ahbelo.com
