Meredith Corp. will sell a Fresno NBC affiliate and a Syracuse, N.Y., CBS affiliate to Granite Broadcasting Corp.
Granite acquires Syracuse CBS affil WTVH and Fresno NBC affil KSEE for $ 32 million in cash and a tax certificate.
The two stations serve the 57th- and 66th-ranked Nielsen television markets, and together they will increase Granite’s annual revenue base about 50%.
Last year, Granite rang up $ 36 million in revenues. KSEE is expected to do $ 9 million in revenues for 1993 and WTVH another $ 10 million, said Bishop Cheen, an analyst at Paul Kagan Associates; Granite is likely paying less than eight times cash flow, which is reasonable for the stations.
Meredith said the tax certificate “works to our advantage only if we acquire another broadcast property within the next two years. We hope that conditions will exist to purchase another network-affiliated property in a top 40 market.”