3 weeks ago
Nexstar CEO Perry Sook began nan company’s first 4th net telephone Thursday pinch a 5-minute update connected nan company’s efforts to fend disconnected a ineligible situation to its $6.2 cardinal merger pinch rival Tegna.
DirecTV and a postulation of authorities attorneys wide revenge a lawsuit to effort to undo nan merger, which was closed soon aft nan FCC approved it. The Department of Justice’s antitrust section has besides signed off, but plaintiffs successful nan suit opportunity nan woody will beryllium a clear monopoly play. From immoderate perspective, nan merger would beryllium a melodramatic alteration for nan media landscape, resulting successful a mixed entity pinch scope to 80% of U.S. households, much than doubly nan existent national limit. In approving nan deal, nan FCC granted a waiver, allowing Nexstar to transcend nan ownership cap.
Given each of nan movement, Sook wanted to update Wall Street analysts connected nan telephone astir nan authorities of affairs. “We judge we will prevail connected nan merits of this case,” he said. “We are assured successful our arguments, expressed successful item successful nan FCC’s bid approving nan transaction, that a stronger, much financially resilient section broadcast manufacture is successful nan public’s champion interest. We judge this is simply a conflict worthy having – for us, for nan industry, and for nan early of section journalism.
Sook reiterated nan stance he and manufacture peers person taken precocious astir nan cap, insisting that section TV stations should not beryllium constricted successful a media and tech scenery dominated by world tech giants. “Despite consolidation wrong our industry, Nexstar still operates pinch a fraction of their ubiquitous scope and financial resources, prohibiting america and each different institution successful our manufacture from competing connected a level playing field,” Sook said. The Tegna acquisition “represents an important measurement successful solidifying our early and our expertise to proceed providing these valuable services to section communities crossed nan United States.”
As acold arsenic adjacent steps successful nan lawsuit, Sook noted that Nexstar has taken nan lawsuit to nan Ninth Circuit Court of Appeals. In an quality astatine past month’s NAB Show, Sook acknowledged that nan process will play retired complete respective months. A abstracted ineligible situation is earlier nan D.C. Circuit Court.
CFO Lee Ann Gliha followed Sook connected nan call, explaining to analysts that Tegna’s results would beryllium presented alongside Nexstar’s, pinch 13 days of Tegna results included, reflecting nan timing of nan deal’s close.
MORE to travel …
