Re: miCroBSoft?

[Garrett Wollman <wollman>]

<<On Wed, 2 Jul 1997 13:57:09 -0400 (EDT), "'A. Joseph Ross'" <lawyer@world.std.com> said:

> On Wed, 2 Jul 1997, Dan Strassberg wrote:
>> As for Westinghouse no longer owning heritage stations such as WBZ and KDKA,
>> wasn't that in the cards anyhow? Didn't Westinghouse announce months ago
>> that it was divesting itself of CBS? 

> When was this?  I've never heard that.

Actually, it was rather that CBS announced months ago that it was
divesting itself of Westinghouse.  The split is scheduled to take
place sometime this quarter (I think August).

The reason for this is the difference in price/earnings ratios between
media companies (which sell for fairly high multiples) and staid old
industrial companies (which sell at below-market-average multiples).
Westinghouse execs felt that shareholders could get a higher stock
price if that industrial stuff were not lumped in with the media.

Funny thing is, from what I've heard, the Thermo King refrigeration
unit will be a part of the new CBS, not Westinghouse Electric.  I
gather this is because that's the only way they can demonstrate enough
proven earning power on the CBS side to keep the creditors happy.

- -GAWollman

- --
Garrett A. Wollman   | O Siem / We are all family / O Siem / We're all the same
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