newsie 11 Posted January 7, 2016 Share Posted January 7, 2016 So there's this... http://mediageneral.com/press/2016/jan7_2016.html And this response from Meredith... http://meredith.mediaroom.com/index.php?s=2311&item=136959 I am no financial expert, but Meredith's counter proposal seems somewhat better. If I remember correctly, Standard General is MG's largest shareholder and supports the Meredith move. Link to comment Share on other sites More sharing options...
TheRolyPoly 1847 Posted January 7, 2016 Share Posted January 7, 2016 So there's this... http://mediageneral.com/press/2016/jan7_2016.html And this response from Meredith... http://meredith.mediaroom.com/index.php?s=2311&item=136959 I am no financial expert, but Meredith's counter proposal seems somewhat better. If I remember correctly, Standard General is MG's largest shareholder and supports the Meredith move. In other words... what a confusing mess. MG has a full plate on their hands. Link to comment Share on other sites More sharing options...
GoldenShine9 1509 Posted January 7, 2016 Share Posted January 7, 2016 In other words... what a confusing mess. MG has a full plate on their hands. Could Nexstar just buy both of them? Link to comment Share on other sites More sharing options...
HowardSalwasser 28 Posted January 7, 2016 Share Posted January 7, 2016 Could Nexstar just buy both of them?Don't give Nexstar ANY ideas. Just don't. Link to comment Share on other sites More sharing options...
GoldenShine9 1509 Posted January 7, 2016 Share Posted January 7, 2016 Don't give Nexstar ANY ideas. Just don't. I don't think Perry Sook reads this. Besides, they would likely need to divest additional assets since that would put them over the cap. This was mentioned by Meredith, but I believe a Nexstar purchase of MG would still be under 39% (a purchase of all three would put them over). IMO, MG is probably really hesitant on Nexstar largely because of the thought that they would not divest the conflicts and instead just shell the acquired stations. Additionally, Nexstar and Media General would need to comply with FCC and Department of Justice regulations, including divesting of stations in seven overlapping lower-tier markets, plus potential further divestitures to comply with the 39 percent national television ownership cap Link to comment Share on other sites More sharing options...
Breaking News 802 Posted January 7, 2016 Share Posted January 7, 2016 So, I guess it OFFICIAL for Nexstar & Media General- http://www.ftvlive.com/todays-news/2016/1/7/nexstar-wins-media-general-or-do-they http://www.mediageneral.com/press/2016/jan7_2016.html Link to comment Share on other sites More sharing options...
GoldenShine9 1509 Posted January 7, 2016 Share Posted January 7, 2016 One settlement possibility I could see: * Nexstar acquires Media General and most of its stations * Meredith gets all the stations that must be divested (KLFY, KWQC, WANE, WBAY, WSLS and WTHI) plus maybe 4 others in non-conflict markets that are geographically fitting (for argument sake, I will say KIMT, WIAT, WLNS (and the WLAJ LMA) and WPRI (and the WNAC LMA), although you could pick any ones that aren't in a market Meredith is already in) with Nexstar gaining the proceeds of that offer (I would think the cost would be about $400M for those) - result is an increase in Meredith's portfolio by 12 stations with Nexstar getting the rest. * As far as I know, there are no "triple" conflicts where all three companies have stations and a fourth company would have to step in regardless. Link to comment Share on other sites More sharing options...
NEOMatrix 1295 Posted January 7, 2016 Share Posted January 7, 2016 What about the shells MG currently has? Will that become part of Nexstar's shells (ie. Mission, Marshall, Rocky Creek), or will they stay under the current shells (Vaughan, Shield, Super Towers)? Link to comment Share on other sites More sharing options...
broadcastfan9751 136 Posted January 7, 2016 Share Posted January 7, 2016 What about the shells MG currently has? Will that become part of Nexstar's shells (ie. Mission, Marshall, Rocky Creek), or will they stay under the current shells (Vaughan, Shield, Super Towers)? They'll probably stay under the current shells, like they did for the MG-LIN merger. Link to comment Share on other sites More sharing options...
GoldenShine9 1509 Posted January 7, 2016 Share Posted January 7, 2016 If this comes to a settlement, how many stations would it be fair for Meredith to acquire as a result, other than the conflicts? I placed 4 markets but don't know if that would be enough (maybe up to 8). That also eliminates the need for a fourth party to enter the deal since there are no triple conflicts (i.e. markets that have all of Nexstar, Meredith and Media General right now). Stations Meredith cannot acquire but Nexstar can: KOIN, WKRG, WKRN, WSPA/WYCW, WTNH/WCTX, WWLP Link to comment Share on other sites More sharing options...
IndyNewsOpens 83 Posted January 8, 2016 Share Posted January 8, 2016 WISH-TV as a (possibly) Nexstar station. Huh. We'll have to see how this goes. I hope they keep it like MG where it's mostly the former LIN people operating it. Link to comment Share on other sites More sharing options...
TennTV1983 743 Posted January 8, 2016 Share Posted January 8, 2016 WISH-TV as a (possibly) Nexstar station. Huh. We'll have to see how this goes. I hope they keep it like MG where it's mostly the former LIN people operating it. This is Nexstar we are talking about, so expect a lot of cost cutting (bye bye helicopters) to be done no matter what the outcome. Link to comment Share on other sites More sharing options...
elfuego35 89 Posted January 8, 2016 Share Posted January 8, 2016 This is Nexstar we are talking about, so expect a lot of cost cutting (bye bye helicopters) to be done no matter what the outcome. I can see a worst Gray Television happening, where Nexstar acquires the non-license assets of the conflict stations to subchannels of stations they already own, and lays off most of the staff of the acquired station (see KARK-KLRT). Link to comment Share on other sites More sharing options...
mardek1995 200 Posted January 8, 2016 Share Posted January 8, 2016 This is Nexstar we are talking about, so expect a lot of cost cutting (bye bye helicopters) to be done no matter what the outcome. As well as increased localism to the point of hyper-locality. Perry Sook really goes against the trends, whether the way he's doing it is a good thing or not, I don't know, though I'm leaning towards not a good thing. I am, however starting to think that Perry Sook wanted larger stations as far back as 2003 when Nexstar became public Link to comment Share on other sites More sharing options...
mre29 1340 Posted January 8, 2016 Share Posted January 8, 2016 Additionally, Nexstar and Media General would need to comply with FCC and Department of Justice regulations, including divesting of stations in seven overlapping lower-tier markets, plus potential further divestitures to comply with the 39 percent national television ownership cap If there are further divestitures that have to be made, Meredith should try to get some of the larger-market stations. Like WFLA. Link to comment Share on other sites More sharing options...
channel2 869 Posted January 8, 2016 Share Posted January 8, 2016 I think stations like WFLA (and WTTA) are part of why Nexstar wants to buy Media General in the first place. Link to comment Share on other sites More sharing options...
mardek1995 200 Posted January 8, 2016 Share Posted January 8, 2016 I think stations like WFLA (and WTTA) are part of why Nexstar wants to buy Media General in the first place. What do you mean, stations like WFLA are part of why Nexstar wants to buy Media Gemeral? Link to comment Share on other sites More sharing options...
TVNewsLover 727 Posted January 8, 2016 Share Posted January 8, 2016 What do you mean, stations like WFLA are part of why Nexstar wants to buy Media Gemeral? Do you understand English? Isn't that what the previous poster said? Did you forget to take your common sense pills again? Link to comment Share on other sites More sharing options...
mardek1995 200 Posted January 8, 2016 Share Posted January 8, 2016 Do you understand English? Isn't that what the previous poster said? Did you forget to take your common sense pills again? I meant that I was confused about it because Nexstar mostly does middle to smaller markets, but why would it want larger markets? Though, WHAG might be a good hint as to why. Link to comment Share on other sites More sharing options...
GoldenShine9 1509 Posted January 8, 2016 Share Posted January 8, 2016 If Meredith wins, an alternate scenario could be that Nexstar is the settlement party with Meredith and Media General still winning out. In that case, Nexstar would likely get all the conflict stations that must be divested, plus at least some others. If Nexstar wants to focus on smaller markets, they should maybe get up to 10 stations from Media General (or Meredith) as compensation in addition to the divested stations. If they want larger markets, maybe 4 (like in the reverse situation). Those could also be any stations in markets that there are no conflicts in. Stations Nexstar cannot acquire: KLFY, KWQC, WANE, WBAY, WSLS, WTHI Link to comment Share on other sites More sharing options...
WFTV Channel 9 80 Posted January 8, 2016 Share Posted January 8, 2016 I can already see it for WFLA. Local 8 News. It just doesn't fit them. Ewww. Link to comment Share on other sites More sharing options...
GoldenShine9 1509 Posted January 8, 2016 Share Posted January 8, 2016 I can already see it for WFLA. Local 8 News. It just doesn't fit them. Ewww. Since WFLA is a poor fit for Meredith geographically as well, it might just be one of the divested stations in a settlement deal. Does MG have any non-TV assets (such as digital assets)? I know Nexstar owns Lakana, and maybe such a settlement could give Nexstar the digital assets from MG (or even Meredith if they have any not connected to their publishing division) as well. Link to comment Share on other sites More sharing options...
mardek1995 200 Posted January 8, 2016 Share Posted January 8, 2016 Since WFLA is a poor fit for Meredith geographically as well, it might just be one of the divested stations in a settlement deal. Does MG have any non-TV assets (such as digital assets)? I know Nexstar owns Lakana, and maybe such a settlement could give Nexstar the digital assets from MG (or even Meredith if they have any not connected to their publishing division) as well. MG has Lin Digital from when it acquired Lin Media. Link to comment Share on other sites More sharing options...
GoldenShine9 1509 Posted January 8, 2016 Share Posted January 8, 2016 I think the best case scenario for everyone is this as a settlement compromise: * Meredith and Media General merge * Most MG assets go to Meredith, with that becoming the surviving company * Nexstar acquires from Meredith, in turn, the conflict stations in 6 markets (for argument, let's say KOIN, WALA, WHNS, WKRN, WTNH/WCTX and WWLP), 4 to 10 other stations in non-conflict markets (depending on market size and value), plus LIN Digital and at least some other non-TV assets, with Meredith getting the proceeds from that settlement Link to comment Share on other sites More sharing options...
channel2 869 Posted January 9, 2016 Share Posted January 9, 2016 I meant that I was confused about it because Nexstar mostly does middle to smaller markets, but why would it want larger markets? Though, WHAG might be a good hint as to why. Because stations in markets like Tampa/St. Petersburg make more money. Link to comment Share on other sites More sharing options...
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