Sinclair Closes on Sale of KOVR-TV in Sacramento

Sinclair Closes on Sale of KOVR-TV in Sacramento

BALTIMORE, April 29 /PRNewswire-FirstCall/ -- Sinclair Broadcast Group, Inc. (NASDAQ:SBGI) announced that the sale of its television station, KOVR-TV (CBS 13) in Sacramento, California (19th largest market), to Viacom, Inc. (NYSE:VIA) has closed and funded. The station was sold for a cash purchase price of $285.0 million. The after-tax net cash proceeds, estimated at approximately $254.0 million, will initially be used to repay bank debt.

"Once again, we have delivered substantial value to our shareholders," said David Smith, President and Chief Executive Officer of Sinclair. "In the case of KOVR, we sold an asset at a valuation higher than the current value placed on television station assets by public equity holders and used the proceeds for debt repayment that we believe will further increase the company's profitability and free cash flow, as well as improve our leverage profile."

Sinclair Broadcast Group, Inc., one of the largest and most diversified television broadcasting companies, currently owns and operates, programs or provides sales services to 61 television stations in 38 markets. Sinclair's television group reaches approximately 23% of U.S. television households and includes ABC, CBS, FOX, NBC, WB, and UPN affiliates. Sinclair owns a majority equity interest in G1440 Holdings, Inc., an Internet consulting and development company, and Acrodyne Communications, Inc., a manufacturer of transmitters and other television broadcast equipment.

Forward-Looking Statements:

The matters discussed in this press release include forward-looking statements regarding, among other things, future results and future valuations of stations. When used in this press release, the words "believes," "expects," and similar expressions are intended to identify forward-looking statements. Such statements are subject to a number of risks and uncertainties. Actual results in the future could differ materially and adversely from those described in the forward-looking statements as a result of various important factors, including changes in broadcast regulations, court rulings, valuations of broadcast properties, and the other risk factors set forth in the Company's most recent reports on Forms 10-K and 10-Q filed with the Securities and Exchange Commission. There can be no assurances that the assumptions and other factors referred to in this release will occur. The Company undertakes no obligation to publicly release the result of any revisions to these forward-looking statements.

Source: Sinclair Broadcast Group, Inc.

CONTACT: David Amy, EVP & CFO, or Lucy Rutishauser, Treasurer,
+1-410-568-1500, both of Sinclair

Web site: http://www.sbgi.net/

Company News On-Call: http://www.prnewswire.com/comp/110203.html

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