DOJ Seeks Additional Information On Gannett's Proposed Acquisition Of Belo

(RTTNews) - News and TV giant Gannett Co., Inc. (GCI) and television company Belo Corp. (BLC) announced Friday that they received requests yesterday for additional information and documents from the U.S. Department of Justice or "DOJ" in connection with Gannett's proposed acquisition of Belo.

The Second Request extends the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended, during which the parties may not close the transaction until 30 days after Gannett and Belo have substantially complied with the Second Request (or the waiting period is otherwise terminated by the DOJ).

Gannett and Belo said they will respond promptly to the Second Request and continue working cooperatively with the DOJ as it conducts its review of the proposed transaction.

Gannett and Belo continue to expect to close the transaction by the end of 2013 as previously announced.

In addition to antitrust clearance, the transaction is subject to Federal Communications Commission approval, approval by holders of two-thirds of the voting power of Belo shares, and customary closing conditions. Belo's directors and executive officers, who collectively own about 42 percent of the voting power of Belo's outstanding shares, have entered into voting and support agreements to vote their shares in favor of the transaction.

In mid-June, Gannett agreed to acquire Belo Corp.for $13.75 per share or about $1.5 billion, plus the assumption of $715 million in existing debt, in an all-cash deal valued at about $2.2 billion. The deal has the unanimous approval of the boards of directors of both companies.