Big Media General losses with newspaper, DealTaker sales

Posted by on Aug 3, 2012 in Financial results, Strategy

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Media General, Inc. just filed its SEC transition report, as an update on finances in the wake of newspaper sales.  The report includes the dismal, though not-so-surprising, news that its recent property sales were at a loss. The former multimedia group is now focusing on broadcast.

In transitioning away from print, Media General sold all its newspaper properties except The Tampa (FL) Tribune, (referred to by one competitor as a “shrinking paper”)  to Berkshire Hathaway’s World Media Enterprises in April. The price was $142 million, at a Media General loss of $110 million. While still looking for a Tampa Trib buyer, MG anticipated an $18 million loss for that sale. Coupon site, purchased by Media General in 2008, was sold back to its original owners for “a nominal fee,” but a loss of $4 million.

Written by AIMGroup