Granite Broadcasting Corporation Files Lawsuit Regarding the Termination of Its WB Affiliations in San Francisco and Detroit

Granite Broadcasting Corporation Files Lawsuit Regarding the Termination of Its WB Affiliations in San Francisco and Detroit

NEW YORK, May 17 /PRNewswire-FirstCall/ -- Granite Broadcasting Corporation (BULLETIN BOARD: GBTVK) announced today that it and certain of its subsidiaries have filed a lawsuit in the Delaware Court of Chancery regarding the termination by The WB Television Network Partners, L.P. ("The WB") of Granite's WB affiliation agreements for its San Francisco and Detroit television stations. The lawsuit follows the January 24, 2006 announcement of the merging of the UPN and WB television networks, and was filed against The WB, WB Communications, a division of Time Warner Entertainment Company, L.P., CBS Corporation ("CBS") and Warner Brothers Entertainment, Inc. ("Warner Brothers").

The lawsuit alleges, among other things, that The WB's premature termination of Granite's San Francisco and Detroit network affiliation agreements, and The WB's repudiation of agreements to extend the terms of Granite's San Francisco and Detroit network affiliation agreements, damaged Granite and its subsidiaries and led to the termination of their then-existing agreements to sell those stations to wholly-owned subsidiaries of AM Media Holdings, LLC. In addition, it alleges that Warner Brothers and CBS tortiously interfered with Granite's San Francisco and Detroit network affiliation agreements and the agreements to extend the terms of the San Francisco and Detroit network affiliation agreements.

The full text of Granite's complaint is available at: http://www.granitetv.com/docs/complaint.pdf

Granite Broadcasting Corporation owns and operates, or provides programming, sales and other services to 24 channels in the following 8 markets: San Francisco, California; Detroit, Michigan; Buffalo, New York; Fresno, California; Syracuse, New York; Fort Wayne, Indiana; Peoria, Illinois; and Duluth, Minnesota-Superior, Wisconsin. The Company's channel group includes affiliates of NBC, CBS, ABC, CW and My Network TV, and reaches approximately 6% of all U.S. television households.

Source: Granite Broadcasting Corporation

CONTACT: Press: W. Don Cornwell, Analysts: Larry Wills, +1-212-826-2530,
for Granite Broadcasting Corporation

Web site: http://www.granitetv.com/

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