Fri, Jul 25, 2014, 1:03 AM EDT - U.S. Markets open in 8 hrs 27 mins


% | $
Click the to save as a favorite.

Gray Television Inc. Message Board

  • provpres provpres Feb 21, 2014 5:53 PM Flag

    M&A to continue in 2014

    Political Ads And Pay TV Fees Will Fuel TV Station Mergers: Report

    By DAVID LIEBERMAN, Financial Editor | Monday February 3, 2014 @ 12:20pm EST
    Tags: Moody's Investors Service, Political Ads




    Comments (0)

    Broadcast companies spent about $10B last year for TV stations — and the acquisition spree will continue in 2014 with help from the two big rivers of cash, Moody’s Investors Service says in a report out this morning. merger acquisition handshake“Larger broadcasters will make selective acquisitions or station swaps in 2014 to expand their footprints in key markets” while small and mid-sized players “will combine to further build scale and keep up with their larger peers,” writes Senior Credit Officer Carl Salas. The debt rating service predicts that political ad spending could hit $2.6B this year. Those spots plus ones tied to the Winter Olympics will boost revenues as much as 16% while the underlying market for TV station commercials will increase as much as 3% with strength in automotive and retail. Insurance companies, health care providers, and state and local governments could spend as much as $700M on messages related to the new Affordable Care Act. Meanwhile, revenue from retransmission consent deals with cable and satellite companies will increase 20% this year. All told, revenues for pure-play TV broadcasters could hit nearly $133B, including $90.5B from core ad sales and $22.2B from retrans agreements. “Broadcasters will issue new debt to finance acquisitions in 2014 and beyond, but their stronger balance sheets will help offset the higher debt burden,” Salas says.

    Sentiment: Strong Buy

    SortNewest  |  Oldest  |  Most Replied Expand all replies
12.75+0.10(+0.79%)Jul 24 4:03 PMEDT

Trending Tickers

Trending Tickers features significant U.S. stocks showing the most dramatic increase in user interest in Yahoo Finance in the previous hour over historic norms. The list is limited to those equities which trade at least 100,000 shares on an average day and have a market cap of more than $300 million. Inc.
NasdaqGSThu, Jul 24, 2014 4:00 PM EDT
Puma Biotechnology, Inc.
NYSEThu, Jul 24, 2014 4:02 PM EDT
Burger King Worldwide, Inc.
NYSEThu, Jul 24, 2014 4:01 PM EDT