Estimated read time: 1-2 minutes
This archived news story is available only for your personal, non-commercial use. Information in the story may be outdated or superseded by additional information. Reading or replaying the story in its archived form does not constitute a republication of the story.
WASHINGTON (AFX) - Primedia Inc. said Monday it filed with the Securities and Exchange Commission to spin off its Consumer Source Inc. unit, which produces free publications such as Apartment Guide and Auto Guide.
Primedia, a New York-based media company, did not say whether its board has approved the spinoff of Consumer Source.
Primedia said a year ago that it was considering the spin-off, but as late as September this year said no final decision had been taken and a filing for the spinoff wouldn't take place until the end of the year.
In the spinoff, each Primedia stockholder would receive a share of Consumer Source common stock for every share of Primedia common stock, the SEC filing said.
Consumer Source would list on the New York Stock Exchange, but Primedia didn't disclose a proposed trading symbol.
Primedia said it believes the spinoff would enhance value for its stockholders by allowing the parent company and Consumer Source to separately focus on maximizing opportunities for their distinct businesses.
Consumer Source said it plans to launch guides in new cities and acquire additional guides.
Primedia had $991 million in revenue last year. Its other titles include Motor Trend, Guns & Ammo, Snowboarder, Shutterbug and Lowrider.
(SUBS graf 2 to correct that filing does not say whether board has decided on spin-off. Minor edits throughout) Copyright 2006 Associated Press. All rights reserved. This material may not be
Copyright 2006 AFX News Limited. All Rights Reserved.
