Cox Enterprises Announces Plans to Sell Certain Newspapers
13 Agosto 2008 - 2:35PM
PR Newswire (US)
Company Also Intends to Sell Valpak ATLANTA, Aug. 13 /PRNewswire/
-- Cox Enterprises, Inc. announced today that it intends to sell
the Austin American-Statesman, its affiliated operations including
Austin360.com, and all of Cox's stand-alone community newspapers in
North Carolina, Colorado and Texas. Cox also intends to sell
Valpak, the nation's leader in cooperative direct mail advertising.
(Logo: http://www.newscom.com/cgi-bin/prnh/20070925/CLTU013LOGO-b )
Cox Enterprises will retain ownership of The Atlanta
Journal-Constitution, The Palm Beach Post, Dayton Daily News and
their affiliated publications. "This decision was made as part of
an ongoing strategic review of our portfolio and enables us to
maintain our strong and stable financial performance by further
paying down debt," said Jim Kennedy, Chairman and Chief Executive
Officer of Cox Enterprises. "We will continue to own and operate
industry-leading companies, invest in existing businesses and
maintain a level of financial discipline that ensures we are well
positioned for ongoing success." Approximately 80 percent of Cox
Enterprises' revenues now come from sources other than its
traditional advertising-supported media companies (newspapers,
television and radio). Moving forward, Cox will continue to
strengthen its portfolio of businesses by making significant
capital investments that improve their competitive positions.
Recent examples include an investment to develop next-generation
wireless and mobility services for Cox Communications, Inc. and
investments in technology, global expansion and innovative products
at Manheim, which is transforming the wholesale vehicle buying and
selling experience. "Newspaper businesses are an important part of
Cox's history, and we greatly value the contributions the employees
of these companies have made to our company," Kennedy added. "Local
newspapers play a valuable role in the communities they serve, and
we are confident that the publications we are selling and those we
continue to operate will continue to provide timely, valuable and
trustworthy news and information to their readers." Kennedy
continued, "Since becoming a Cox company in 1991, Valpak has become
an industry leader and a brand that consumers around the country
know and trust. Its new state-of-the-art production facility will
allow Valpak to offer advertisers even more effective and targeted
tools to reach their customers." In addition to Valpak and the
Austin American-Statesman (TX) and its related community
publications, Cox intends to sell the following groups of
stand-alone newspapers: -- North Carolina: The Daily Reflector
(Greenville) and a number of surrounding community publications;
the Rocky Mount Telegram, The Daily Advance (Elizabeth City) and
Savings Source Direct, a direct mail media business. -- Texas: the
Waco Tribune-Herald; the Longview News-Journal; The Marshall News
Messenger; The Lufkin Daily News; and The Daily Sentinel
(Nacogdoches). -- Colorado: The Daily Sentinel (Grand Junction) and
The Nickel. Citigroup has been retained to assist Cox Enterprises
with the marketing of the newspapers, and Goldman Sachs has been
retained to assist with the marketing of Valpak. The company and
its advisors are preparing information in connection with the sale
of these assets and expect to be in a position to share information
with prospective buyers in September. Cox Enterprises (
http://www.coxenterprises.com/ ) Cox Enterprises is one of the
nation's leading media companies and providers of automotive
services, with 2007 revenues of $15 billion and more than 83,000
employees. Major operating subsidiaries include Cox Communications,
Inc. (cable television distribution, telephone, high-speed Internet
access, commercial telecommunications, advertising solutions and
Travel Channel); Cox Newspapers, Inc. (newspapers, local and
national direct mail advertising); Cox Television (television and
television sales rep firms); Cox Radio, Inc. ([NYSE: CXR] broadcast
radio stations and interactive Web sites); Manheim, Inc. (vehicle
auctions, repair and certification services and web-based
technology products) and Cox Auto Trader (automotive publications
and a majority stake in AutoTrader.com). Cox Newspapers (
http://www.coxnews.com/ ) Cox Newspapers includes 17 daily and 26
non-daily newspapers. Its other operations include Cox Target
Media, Inc. (CTM), provider of Valpak (the nation's leader in
cooperative direct mail advertising). Cox Newspapers is a
subsidiary of Atlanta-based Cox Enterprises Inc.
http://www.newscom.com/cgi-bin/prnh/20070925/CLTU013LOGO-b
http://photoarchive.ap.org/ DATASOURCE: Cox Enterprises, Inc.
CONTACT: Media: Bob Jimenez, +1-678-645-0070, , Investor Contact
(Newspapers): Richard Jacobson, +1-678-645-0111, , Investor Contact
(Valpak): Lacey Lewis, +1-678-645-0621, , all of Cox Enterprises,
Inc. Web Site: http://www.coxenterprises.com/
http://www.coxnews.com/
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