TRIBUNE TO SELL EDUCATION DIVISION

By: Staff reports McGraw-Hill Cos. Agrees to Pay $635 Million



Tribune Co. has agreed to sell its educational unit to McGraw-Hill Cos.
for $635 million, The Associated Press reports.


With McGraw-Hill's acquisition, the New York-based company gets Tribune
subsidiaries such as Everyday Learning/Creative Publications Group,
NTC/Contemporary Publishing Group, Landoll Inc., the Instructional Fair
Group, and The Wright Group.


Tribune has sold these education businesses to concentrate on its
aggressive media growth, said John W. Madigan, chairman of the Tribune
Co.


As a result of the sale, Tribune will take a one-time, after-tax charge
of about $100 million in the second quarter, according to company
officials. Tribune will use the sale's proceeds to pare down its debt.
The transaction still needs approval by federal regulators and the
McGraw-Hill board of directors.