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[08/27/09 - 06:42 AM]
Disney-ABC Television Group, Hearst Corporation & NBC Universal Announce Joining of A&E Television Networks and Lifetime Entertainment Services
The new agreement will "consolidate three of the nation's top cable networks under single management while preserving the distinct brand identities of each network."

[via press release from Hearst Corporation]

DISNEY-ABC TELEVISION GROUP, HEARST CORPORATION & NBC UNIVERSAL ANNOUNCE JOINING OF A&E TELEVISION NETWORKS AND LIFETIME ENTERTAINMENT SERVICES

New York/Burbank, August 27, 2009 - The Disney-ABC Television Group, Hearst Corporation and NBC Universal today announced an agreement for A&E Television Networks to acquire Lifetime Entertainment Services. The parent company will retain the name A&E Television Networks, LLC (AETN), and its subsidiary will retain the name Lifetime Entertainment Services, LLC. The closing of the transaction is subject to customary closing conditions and is expected to occur in 2009. Financial terms were not disclosed.

Abbe Raven, president and chief executive officer of AETN, will serve as head of the combined company following the closing. Raven has been recognized with numerous industry awards for building some of the most prominent brands in media including A&E Network, History and The Biography Channel, and for spinning them off into successful global franchises. Andrea Wong, president and CEO of Lifetime Entertainment Services, will continue to head the Lifetime Networks and will report to Raven following the closing. Robert DeBitetto, president and general manager, A&E Network and The Biography Channel, and Nancy Dubuc, president and general manager, History and History International, will both continue to report to Raven and run their respective networks.

The new agreement will, upon closing, consolidate three of the nation's top cable networks under single management while preserving the distinct brand identities of each network. In addition, the combined company will be a global media content company reaching over 250 million homes worldwide in more than 140 countries around the globe. AETN will now include: A&E Network, History, Lifetime Television, Lifetime Movie Network, Bio, History International, Lifetime Real Women, History en Espa�ol, Military History and Crime & Investigation Network. Combining the resources, libraries and multiple platforms of 10 brands, including more than 20 Web sites, the new company will be well positioned to create new opportunities for expansion and cross-promotion, as well as build upon the record of success and strengths across a broad variety of audiences, platforms and programming. The combination of these businesses is also expected to yield substantial cost efficiencies.

"We are very proud of the success of these important cable brands and the content created with our partners, Disney/ABC and NBCU," said Scott Sassa, president, Hearst Entertainment & Syndication. "The new A&E Television Networks better positions each brand to continue to focus on the world-class storytelling and quality original programs they are known for."

"Consolidating these networks puts a powerful portfolio of distinct brands under the strategic vision of one of the industry's most innovative and effective leaders," said Anne Sweeney, co-chairman of Disney Media Networks, and president of the Disney/ABC Television Group. "The new company will be much greater than the sum of its parts, positioning these brands for a new level of success and performance."

"AETN's success is the result of a long and very successful partnership involving NBCU, Disney/ABC and Hearst," said Jeff Gaspin, chairman, NBC Universal Television Entertainment. "This transaction represents the next stage of this partnership and the evolution of some terrific media brands."

Under the agreement, there are mechanisms by which NBCU may elect or be required to exit AETN over a period of up to 15 years, in which event Disney and Hearst could become 50-50 owners of AETN.

AETN is currently celebrating its 25th anniversary as an international media content company, operating in more than 140 countries around the globe with leading media brands including: A&E Network, History, History International, Bio, Crime & Investigation Network, History en Espa�ol, Military History and a robust consumer products business. AETN is home to many award-winning drama and documentary series and specials including: A&E's Intervention, The Cleaner, Gene Simmons Family Jewels; and History's The Link, Battle 360 and Ice Road Truckers. In their target demographic of adults 25-54, both A&E and History are top 10 networks.

Lifetime Entertainment Services (Lifetime Networks) celebrates, entertains and supports women through Lifetime Television and Lifetime Movie Network � the top two women's networks � Lifetime Real Women and Lifetime Digital, the ultimate digital source for women. Lifetime Television's series include Project Runway, cable's leading competition show; Models of the Runway; Army Wives, one of the top-rated original cable dramas among Women 18-49; the critically acclaimed comedic drama Drop Dead Diva; Rita Rocks, and the soon to premiere sitcom Sherri. With such films as the Emmy�-nominated Prayers for Bobby and Coco Chanel, Lifetime Television is the number one basic cable network for movie debuts in Women 18+. Lifetime Movie Network is currently one of the industry's fastest-growing channels. The Company also advocates on a wide range of issues affecting women and their families.

ABOUT HEARST CORPORATION

Hearst Corporation (www.hearst.com) is one of the nation's largest diversified media companies. Its major interests include ownership of 15 daily and 49 weekly newspapers, including the Houston Chronicle, San Francisco Chronicle and Albany Times Union; as well as interests in an additional 43 daily and 72 non-daily newspapers owned by MediaNews Group, which include the Denver Post and Salt Lake Tribune; nearly 200 magazines around the world, including Good Housekeeping, Cosmopolitan and O, The Oprah Magazine; 29 television stations that reach a combined 18% of U.S. viewers; ownership in leading cable networks, including Lifetime, A&E, History and ESPN; as well as business publishing, including a minority joint venture interest in Fitch Ratings; Internet businesses, television production, newspaper features distribution and real estate.

ABOUT DISNEY-ABC TELEVISION GROUP

Disney-ABC Television Group is home to all of The Walt Disney Company's worldwide entertainment and news television properties, including the ABC Television Network (including ABC Daytime, ABC Entertainment and ABC News divisions), the Disney Channel Worldwide global kids' TV business, ABC Family and SOAPnet; as well as television production and syndication divisions ABC Studios, Disney-ABC Domestic Television and Disney-ABC-ESPN Television. The Disney-ABC Television Group also manages the Radio Disney Network, general interest and non-fiction book imprint Hyperion, as well as the Company's equity interests in A&E Television Networks and Lifetime Entertainment Services.

ABOUT NBC UNIVERSAL

NBC Universal is one of the world's leading media and entertainment companies in the development, production, and marketing of entertainment, news, and information to a global audience. Formed in May 2004 through the combining of NBC and Vivendi Universal Entertainment, NBC Universal owns and operates a valuable portfolio of news and entertainment networks, a premier motion picture company, significant television production operations, a leading television stations group, and world-renowned theme parks. NBC Universal is 80 percent owned by General Electric and 20 percent owned by Vivendi.





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