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SBG Reports Q2-13 Results; Declares $0.15 Quarterly Dividend per Share

08.07.2013

News Release

Contact: David Amy, EVP & Chief Financial Officer
Lucy Rutishauser, VP-Corporate Finance & Treasurer
(410) 568-1500

SINCLAIR REPORTS $0.19 DILUTED EARNINGS PER SHARE IN SECOND QUARTER 2013; DECLARES $0.15 QUARTERLY DIVIDEND PER SHARE

BALTIMORE (August 7, 2013) — Sinclair Broadcast Group, Inc. (Nasdaq: SBGI), the “Company” or “Sinclair,” today reported financial results for the three months and six months ended June 30, 2013.

“The first half of 2013 has been very successful for the Company, not only with respect to the Company’s results but on growing our platform through additional acquisitions of broadcast assets, especially our most recently announced planned acquisition of the Allbritton stations and their local news cable/satellite channel,” commented David Smith, President and CEO of Sinclair. “Since April 1, 2013, we have announced definitive agreements for the acquisition of 35 additional stations bringing the total number of acquired or announced stations in the past two years to 91. The effect is to not only grow our national footprint and reach, but to unlock operating synergies, gain access to valuable spectrum, and build a platform whereby we can expand content offerings and shape the future of the broadcast industry.  We are excited about the successes we have achieved and the additional value that we have created and anticipate creating for our shareholders.”

Financial Results:

Net broadcast revenues from continuing operations were $279.3 million for the three months ended June 30, 2013, an increase of 28.4% versus the prior year period result of $217.6 million. The Company had operating income of $84.3 million in the three-month period, as compared to operating income of $71.9 million in the prior year period. Net income attributable to the Company was $17.8 million in the three-month period, which includes a $16.3 million one-time loss from extinguishment of debt, versus net income of $30.1 million in the prior year period.

The Company reported diluted earnings per common share of $0.19 for the three-month period ended June 30, 2013 versus diluted earnings per common share of $0.37 in the prior year period. Excluding the loss associated with the extinguishment of debt, diluted earnings per share would have been $0.30.

Net broadcast revenues from continuing operations were $532.2 million for the six months ended June 30, 2013, an increase of 30.3% versus the prior year period result of $408.5 million. The Company had operating income of $147.9 million in the six-month period, as compared to operating income of $131.8 million in the prior year period. Net income attributable to the Company was $34.8 million in the six-month period, versus net income of $59.4 million in the prior year period.

The Company reported diluted earnings per common share of $0.40 in the six-month period ended June 30, 2013 versus diluted earnings per common share of $0.73 in the prior year period. Excluding the loss associated with the extinguishment of debt, diluted earnings per share would have been $0.51.

“Discontinued Operations” accounting has been adopted in the financial statements for all periods presented in this press release for the sale of WLAJ-TV, our ABC affiliate in Lansing, Michigan which closed in March 2013, and for the sale of WLWC-TV, our CW affiliate in the Providence, RI/New Bedford, MA market which closed in April 2013. Therefore, the related results from operations, net of related income taxes, have been reclassified from income from continuing operations and reflected as net income from discontinued operations. Prior current year amounts have been reclassified to conform to current year GAAP presentation.

Operating Statistics and Income Statement Highlights:

Read more..  FINAL Q2 13 Press Release