Scripps Buys Great American Country Network

Oct 12, 2004  •  Post A Comment

E. W. Scripps Co. on Tuesday said it has agreed to pay $140 million in cash to acquire Great American Country, a 24-hour country music video network, from Jones Media Networks.

The sale, which is expected to be completed by late November, will bring to five the number of cable networks owned by the company’s Scripps Network Unit. The other networks are Food Network, Fine Living, DIY-Do It Yourself and HGTV.

Scripps officials said the acquisition of the network, which is available in 34 million households, should have a minimal impact on Scripps Network’s fourth-quarter profit, but is projected to reduce the unit’s 2005 segment profit by $5 million to $10 million. GAC’s revenue for 2004 is estimated at $12 million.

As part of the transaction, Scripps said it will maintain cross-promotion arrangements between GAC and Jones Media through Jones Radio Networks, its radio programming unit that serves more than 5,000 stations.