Tribune ends Sinclair merger bid and files suit over losses

Tribune ends Sinclair merger bid and files suit over losses

Not only is it pulling out of the deal, but Tribune is suing Sinclair, arguing Sinclair's negotiations with the US Justice Department and FCC were "unnecessarily aggressive". The lawsuit seeks compensation for all losses incurred as a result of Sinclair's material breaches of the Merger Agreement.

Sinclair, which owns 192 stations, said in May 2017 that it planned to acquire Chicago-based Tribune's 42 TV stations in 33 markets.

"In light of the FCC's unanimous decision, referring the issue of Sinclair's conduct for a hearing before an administrative law judge, our merger can not be completed within an acceptable timeframe, if ever", said Peter Kern, Tribune Media's Chief Executive Officer.

Sinclair Broadcast Group wanted the Chicago company's 42 TV stations and had initially agreed to dump nearly two dozen of its own to score approval by the FCC.

Sinclair had proposed some revisions to its divesture plan last month, but those terms left Sinclair in control of stations under scrutiny, including in Chicago.

In the merger agreement, Sinclair committed to use its reasonable best efforts to obtain regulatory approval as promptly as possible, including agreeing in advance to divest stations in certain markets as necessary or advisable for regulatory approval.

"So sad and unfair that the FCC wouldn't approve the Sinclair Broadcast merger with Tribune".

In a surprise move in July, however, Pai said he had "serious concerns" and suggested Sinclair was trying to hide anticompetitive practices in its proposed purchase and divestiture of certain stations.

More news: United Approach Atletico Over Signing Of Diego Godin
More news: Dubai tourist racks up £36k in speeding fines in rented supercar
More news: UK politician Boris Johnson draws ire with burqa comments

Public Knowledge, an advocacy group that has been critical of the FCC under Pai, has been against a tie up between Sinclair and Tribune from the start.

Under the terms of the deal, Tribune and Sinclair had the right to call off the merger without paying a termination fee if it was not completed by August 8.

The Maryland company did not immediately respond early Thursday to a request for comment from The Associated Press.

But constructing deals in such a way that would allow the company to maintain control or re-purchase them wasn't what Tribune had in mind.

A dozen Senate Democrats said in April Sinclair was deliberately distorting news coverage by forcing local stations to read scripts that criticized what it described as "the troubling trend of irresponsible, one-sided news stories plaguing our country".

Ajit Pai, the Republican FCC chairman appointed by President Donald Trump, abruptly flagged "serious concerns" about the divestitures of stations by Sinclair and referred the case to an administrative law judge, effectively killing the deal.

The FCC's concerns followed similar questions raised in separate filings by the American Civil Liberties Union and conservative news outlet Newsmax Media.

Related Articles

  • Samsung Officially Launches the Galaxy Note 9

    Samsung Officially Launches the Galaxy Note 9

    Additionally, users will also have an option to expand the Note 9's storage by 512GB through the addition of a microSD card. At the Samsung Galaxy Note 9 event , Epic Games took the stage to announce that Fortnite is now available on Android.
    Jerome Boateng rebuffs Manchester United approach

    Jerome Boateng rebuffs Manchester United approach

    Manchester United finished in second place in the Premier League table last term to miss out on a Champions League spot. However, the latest development in the transfer saga has come as a killing blow to Manchester United .

    Oscars 2020 Airdate Announced and Changes Teased by AMPAS

    Cherry agreed " Black Panther " is a shoe-in, while adding that he'd like to see the Academy add a best stunt race, too. Edited versions of the awards given out during the breaks will air later in the broadcast.
  • Russian PM warns NATO admission of Georgia could cause 'horrible conflict'

    Russian PM warns NATO admission of Georgia could cause 'horrible conflict'

    Medvedev, who was Russia's president at the time, sent soldiers which defeated the Georgian military in five days. North Atlantic Treaty Organisation leaders discussed ties with Georgia at their summit in Brussels in July.
    West Virginia Set to Debut Blockchain Voting in Upcoming U.S. Midterms

    West Virginia Set to Debut Blockchain Voting in Upcoming U.S. Midterms

    So far the technology has been limited to trial runs and private elections, such as balloting for the Rock & Roll Hall of Fame. Once their registration is approved, the person will be able to cast their ballot using the Voatz app .

    Don't miss the meteor shower

    The annual show is the result of Earth's proximity to the "gritty" debris of Comet 109P/Swift-Tuttle, Boyle said in a release. Unfortunately, you may have to stay up late or set your alarm for an early start if you want to spot the best of the display.
  • 'People were screaming': Witness describes chaos when quake hit Gili Islands

    'People were screaming': Witness describes chaos when quake hit Gili Islands

    Facilities at Lombok's main airport were also unaffected, although passengers were briefly evacuated from the main terminal. In 2004, the Indian Ocean tsunami killed 226,000 people in 13 countries, including more than 120,000 in Indonesia.
    Mobile rolls out cheaper tier of unlimited service

    Mobile rolls out cheaper tier of unlimited service

    By comparison, T-Mobile ONE is $40 per line per month, but comes with additional features. Oh, and you won't get that free subscription to Netflix.
    Agent of Arsenal striker Lucas Perez: West Ham a great option

    Agent of Arsenal striker Lucas Perez: West Ham a great option

    West Ham director of football Mario Husillos added: "He is a very experienced player that Manuel and I both know well from Spain". Arsenal have accepted a bid from Sporting Lisbon to sign Lucas Perez this summer, according to reports in the Portuguese media.
  • Khalil Mack Holdout

    Khalil Mack Holdout "Mystifying To Many In The Organization"

    Without Mack, the Raiders would fall even further down the league's bottom-third of defenses. The Packers would seem to have the resources necessary to land an elite player like Mack.

    Tommy Fleetwood British Open payout: Wrong Fleetwood gets $154K

    They [the European Tour] are looking into it and I'm sure they'll feel pretty bad about it. 'It's a amusing story. Fleetwood, who begins his PGA Championship bid at Bellerive on Thursday , said: "It looks pretty genuine".
    Chelsea manager Maurizio Sarri on Courtois, Kepa and Hazard speculation

    Chelsea manager Maurizio Sarri on Courtois, Kepa and Hazard speculation

    However there is no clause in the deal that would permit Chelsea to automatically buy Kovacic, a Croatia global , next summer. Courtois had been preparing to enter into the final year of his deal at Chelsea , with no extension put in place.