Tribune Holder Backs Breakup

Tribune said two weeks ago that it would buy back shares through a Dutch auction self-tender at $28 to $32.50 a share. Tribune also agreed to buy 10 million shares from the McCormick Tribune Foundation, a 13.5% stakeholder, at the tender offer price and 12 million shares in the open market afterwards. The repurchase is expected to amount to 25% of its common stock and to be paid for with bank debt and bonds.

At the same time Tribune committed to the sale of $500 million in noncore assets and $200 million in cost cutting over the next two years.