Aug. 19--Tribune Publishing, which has seen its valuation cut in half in the year since it spun off as a stand-alone newspaper company, has authorized a $30 million stock repurchase program, the Chicago-based company said Tuesday.
"Tribune Publishing's board of directors and senior management believe the company is making significant progress in its transformation strategy," Jack Griffin, CEO of Tribune Publishing, said in a statement. "The stock repurchase program announced today demonstrates our confidence in our Company and underscores our commitment to delivering shareholder value."
Griffin bought 20,000 shares of TPUB at $11.26 per share, according to documents filed Tuesday with the Securities and Exchange Commission.
The company's stock price has fallen by 51 percent since it spun off from Tribune Media in August 2014. The buyback program allows Tribune Publishing to repurchase up to $30 million of outstanding common stock over the next 24 months in open-market or private transactions.
Tribune Publishing owns 11 daily newspapers including the Hartford Courant, Chicago Tribune, Los Angeles Times and San Diego Union-Tribune, which it acquired in May for $85 million.
Last week, Tribune Publishing reported second-quarter earnings of $3 million on $410 million in revenue, a year-over-year decline in both categories. Advertising revenue continues to fall for the newspaper company, which is seeking to bolster operations through acquisitions, cost-cutting and an aggressive digital transformation.
The stock, which is listed on the New York Stock Exchange under the symbol TPUB, gained 58 cents Tuesday, or 5.4 percent, to close at $11.31.
rchannick@tribpub.com
