Company News: FCC plan outlines Tribune deal

The proposed $8.2 billion buyout of the Tribune Co. could receive a regulatory green light as soon as Friday under a plan put forth by the head of the Federal Communications Commission.

FCC Chairman Kevin Martin said Wednesday he has circulated a plan to the other four members of the commission that would grant Tribune Co. waivers allowing the company to own both a newspaper and a broadcast station in the same market until the commission votes on a permanent rule on such combinations.

Tribune Co., owner of the Los Angeles Times, the Chicago Tribune, nine other dailies and 23 television stations, is currently the subject of a buyout led by real estate investor Sam Zell that would take the company private.

News of Martin’s proposal sent Tribune stock soaring Wednesday afternoon.

Warner Music Group Corp. and the family of Frank Sinatra have formed a joint venture to manage global licensing of music, film and merchandise involving the late entertainer’s work, name and likeness, the company said Wednesday.

Financial terms of the deal were not disclosed. The 50-50 partnership was dubbed Frank Sinatra Enterprises.

Among other things, the venture will manage content from more than 50 albums by the singer originally released on Warner’s Reprise label.

The company is particularly interested in mining revenue from online and other new media.

Executives at Warner’s Rhino Entertainment unit will operate the venture along with a representative of the Sinatra family, the company said.

Digital video recorder maker TiVo Inc. on Wednesday reported a narrower fiscal third-quarter loss as revenue rose sharply and expenses fell.

For the quarter ended Oct. 31, TiVo posted a loss of $8.2 million, or 8 cents per share, versus a loss of $11.1 million, or 12 cents per share, a year ago.

Analysts expected a loss of 13 cents per share, according to a Thomson Financial survey.

Adjusted earnings before interest, taxes, depreciation and amortization were $300,000, better than company guidance, according to TiVo. The company recorded a comparable loss of $6 million in the year-ago period.

Revenue rose 14 percent to $75.5 million from $66 million. Service and technology revenue rose to $58.3 million from $52.5 million; analysts expected $57 million.

TiVo said its long-awaited deal to allow Comcast customers to download TiVo software to their DVRs will begin shortly.

Shares of TiVo rose 8 cents to $5.98 in regular trading.