CBS Corporation (CBS) recently reported better-than-expected third-quarter 2009 results. The quarterly earnings of 25 cents a share surpassed the Zacks Consensus Estimate of 22 cents, but fell 35.9% from 39 cents posted in the prior-year quarter.

On a reported basis, including one-time items, quarterly earnings of 30 cents a share improved from quarterly loss of $18.58 delivered in the year-ago quarter.

The sequential rise in revenue and the cost containment drove the earnings growth. Total revenue climbed 11.4% sequentially to $3,350 million in the quarter, but tumbled 0.8% year-over-year. However, the rate of year-over-year decline sharply decelerated from 11% and 14% experienced in the second and the first quarters of fiscal year 2009, respectively.

By segments, television revenue jumped 9.3% to $2,269 million, driven by a rise in television license fees (up 36%) and affiliate revenue (up 11%), partly offset by softness in local advertising revenue (down 5%). Publishing revenue climbed

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News Corp. (NWS) recently reported its first quarter results. Earnings of 22 cents a share surpassed the Zacks Consensus Estimate of 17 cents and climbed 10% from 20 cents posted in the prior-year quarter.   Total revenues tumbled 4.1% year on year to $7,199 million due to fall in Television (down 7.7%), Direct Broadcast Satellite Television (down 4.3%), Newspapers and Information Services (down 17.7%), Book Publishing (down 1.6%) and Other (down 44.4%) segments, offset by rise in Filmed Entertainment (up 20.8%), Cable Network Programming (up 10.5%) and Integrated Marketing Services (up 3.1%) segments.   However, significant cost-cutting initiatives taken by management and robust performance at Filmed Entertainment and Cable Network Programming segments have boosted the operating income by 9.3% to $1,042 million. Management expects fiscal 2010 operating income to increase within a high-single digit to low double-digit percentage range.   Filmed Entertainment posted a record first quarter operating ...

CBS Corporation (CBS), the media conglomerate, recently asserted that it still expects its full year 2009 operating income before depreciation and amortization (OIBDA) in the range of $1.725 billion to $1.925 billion.  The uptrend seen in the second-quarter 2009 revenue has made management optimistic and forecasted better results in the third and fourth quarters compared to the earlier quarters in 2009. The company also indicated some signs of revival in advertising demand in core categories like retail, telecom, pharmaceuticals and quick service restaurants.   Although the sluggish advertising market continues to hurt total revenue, which declined 11% to $3,006.3 million in the second-quarter 2009, but CBS saw a 3% improvement in quarterly revenue compared with a 14% drop in the first-quarter 2009.  In a separate story, National Amusement Inc., the holding company of media tycoon Sumner Redstone plans to sell its stake in CBS Corporation and ...

The New York Times Company (NYT) shed its plan to sell the Boston Globe after effective cost-cutting measures and an increase in price led to an improved financial position.

The company's series of steps included labor contract concessions expected to cut $20 million yearly in operating costs, consolidation of printing facilities projected to save $18 million a year, reduction in compensation for managers, and a rise in prices for both newsstand and home delivery of the paper. The company is also viewing options to price its online contents on its website, Boston.com.

The newspaper industry has long been grappling with the slump in advertising demand amid the global meltdown, as advertisers are migrating to the Internet due to increasing online readership and lower ad prices.

Earlier in August 2009, The New York Times Company hired Goldman Sachs to explore strategic alternatives for its New England Media Group, which includes Boston Globe,

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After several rounds of bids by various private equity firms and publishers, Bloomberg ultimately emerged as the winner in the race to acquire struggling BusinessWeek magazine.   The terms of the transaction, which is expected to close by the end of this year, were not disclosed. However, according to sources, Bloomberg offered cash in the range of $2 million to $5 million, and agreed to undertake BusinessWeek's liabilities, including potential severance payments to nearly 400 employees who might be laid off.   The parent group McGraw-Hill Companies (MHP) was seeking strategic options for BusinessWeek ever since July. Like other print publications, the magazine has long been grappling with the slump in advertising demand amid the global meltdown, as advertisers are migrating to the Internet due to increasing online readership and lower ad prices than print. Advertising pages in BusinessWeek's global edition fell 34.3% in the second quarter.  ...

According to media reports, leading financial data, news and analytics provider Bloomberg is the frontrunner in the race to acquire BusinessWeek. McGraw-Hill Companies (MHP) also considers Bloomberg as the best bidder for the struggling magazine as it views that both the companies are at the helm of the financial media industry. Bloomberg had reportedly been approached to acquire BusinessWeek earlier, even before the start of the official auction process in July. However, the company did not consider the proposal on grounds of higher valuation. Bloomberg’s renewed interest in the struggling magazine is part of its business strategy to sustain expansion beyond its core business. The company has a news service, publishes books and magazines, and circulates business information through TV, radio and the Internet. Earlier in July, parent group McGraw-Hill said that it was seeking strategic options for BusinessWeek, which was severely battered by ...

On Aug 31, 2009, Walt Disney Company (DIS) announced a strategic deal to acquire Marvel Entertainment Inc. (MVL) in a cash and stock deal for approximately $4 billion. Marvel shareholders would receive in aggregate $30 per share in cash and approximately 0.745 Disney stock for each Marvel stock they own.

The purchase of Marvel Entertainment is set to be Disney's largest acquisition since 2006, when it had purchased Pixar Animation Studios for $7.4 billion. The deal is expected to close by the end of the year.

The deal entitles Walt Disney to Marvel's strong global brand and world-renowned library of more than 5,000 characters, which include Iron Man, Spider-Man, X-Men, The Incredible Hulk, The First Avenger: Captain America, Fantastic Four and Thor. The deal also provides Disney exclusive control over Marvel's licensing, publishing and film production divisions.

On Sep 8, 2009, Disney announced another acquisition in the video game business.

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Few days before the final bids were due for BusinessWeek, leading financial information provider Bloomberg made a surprise entry into the auction. The deadline for final bids is Sept. 15.

Bloomberg had reportedly been approached to acquire BusinessWeek earlier, even before the start of the official auction process began in July. However, the company did not consider the proposal on grounds of higher valuation.

Bloomberg’s renewed interest in the struggling magazine is part of its business strategy to sustain expansion beyond its core business. The company has a news service, publishes books and magazines, and circulates business information through TV, radio, and the Internet.

Earlier in July, parent group McGraw-Hill Co.s (MHP) said that it was seeking strategic options for BusinessWeek, which was severely battered by plunging advertising demand amid the global recession. Advertising pages in BusinessWeek's global edition declined 34.3% in the second quarter of 2009. The

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The Walt Disney Company (DIS) recently announced another venture in the video game business. The company’s interactive entertainment affiliate, Disney Interactive Media Group, has reached an agreement to acquire the Chicago-based videogame manufacturer Wideload Games. Terms of the agreement were not disclosed. As part of the agreement, Alexander Seropian, founder and CEO of Wideload Games, will become Vice President of Creative at Disney Interactive Studios, and will report directly to Global Product Development Senior Vice President Jean-Marcel Nicolai. Disney Interactive Studios develops and distributes a wide range of multi-platform video games, mobile games and interactive entertainment globally. The acquisition of Wideload Games will help it enhance its market share in the video game industry. Wideload Games is currently developing a family console game scheduled for release in 2010 from Disney. This is the second consecutive acquisition announcement by Disney. Last week, Disney announced its plans ...

McGraw-Hill’s EPS Plummets, Lowers Guidance McGraw-Hill Companies (MHP) recently reported dismal second quarter 2009 results. The company’s results have been hit hard by falling demand for new textbooks due to budgetary constraints on schools in California and Florida, decline in magazine advertising and lower demand for S&P credit ratings. The benefits from the Federal stimulus education package have also been slower than anticipated. To combat the downtrend, the company has put BusinessWeek magazine up for sale, which has been feeling the brunt of plunging advertising demand (advertising pages fell 34.3% in the quarter), and trimmed 550 jobs as part of its cost control initiatives amid the economic downturn. EPS for the reported quarter was off 18.3% year over year at $0.58. On a reported basis, EPS tumbled 21.2% to $0.52. For 2009, EPS is now expected to be in the range of $2.20 to $2.25 down from $2.20 ...