TRIBUNE, BELO TO SELL SOME ASSETS

By: Joe Strupp Magazines, Newspapers, Basketball Team On the Block



Two of the nation's leading media conglomerates, Tribune Co. and Belo,
announced plans Tuesday to sell some of their most visible assets. Word
of the proposed sales came during the annual Mid-Year Media Review in
New York City.



Chicago-based Tribune revealed it would sell the recently acquired
Times Mirror Magazines, and Dallas-based Belo began searching for
buyers for three of its smaller newspapers.



'Since the [Times Mirror/Tribune] merger was announced in March,
Tribune has spent considerable time with Times Mirror Magazines'
management, reviewing strategies and operations,' Tribune officials
told employees in a letter obtained by Jim Romenesko's MediaNews at
Poynter.org. 'Because Tribune has few connections to the magazine
industry, we concluded that it would be better to explore alternatives
for Times Mirror Magazines that could bring value and synergies to this
wonderful franchise.'



Tribune officials said Merrill Lynch had been retained to seek a buyer
or buyers for the 20-title magazine group, which includes Golf,
Outdoor Life, and Field & Stream. Don Grenesko, Tribune
senior vice president of finance and administration, said the company
wants to pump up capital to make improvements to other Tribune entities
and help institute some changes to the Los Angeles Times once
the merger is completed. 'The most important part of the merger is
cash-flow growth,' Grenesko said at the mid-year review. Tribune
officials did not disclose an estimated price for the magazines.



Belo, meanwhile, announced plans to sell three of its mid-sized
newspapers: The Messenger-Inquirer of Owensboro, Ky.; The
Gleaner of Henderson, Ky.; and The Eagle of Bryan-College
Station, Texas. Robert Dechard, Belo chairman and CEO, said the company
hopes to receive about $34 million for the trio, which will be used to
help expand the chain's broadcast and Internet operations. 'Incremental
revenues are the name of the game,' he said. Dechard said the media
company also plans to sell its interest in the Dallas Mavericks
basketball team for an estimated $115 million.