BSkyB, 40% of which is owned by News Corp., has made
an "all-share" purchase of soccer Web site Sports Internet
Group (SIG) valued at US$460M, according to Raymond Snoddy
of the LONDON TIMES. SIG operates the Planetfootball.com
Web site, and also designs, builds and operates Web sites
for Premier League soccer teams (LONDON TIMES, 5/11). The
HOLLYWOOD REPORTER's Mimi Turner writes that the deal gives
BSkyB a 51.1% stake in SIG (HOLLYWOOD REPORTER, 5/11).
Meanwhile, BSkyB reported a pre-tax loss of $42M for the
first three quarters of 2000, compared to a profit of $24M
for the same period a year ago. The FINANCIAL TIMES' "Lex
Column" notes BSkyB's competition from cable providers in
bidding for TV rights to the Premier League, for which bids
were due last night. While bid details "are secret," what
is "clear is that winning the auction will take a bite" out
of BSkyB's margins (FINANCIAL TIMES, 5/11). DAILY VARIETY's
Erich Boehm writes that "many observers believe BSkyB will
ultimately prevail, but at a hugely inflated price." The
Premier League will take until July to assess the bids,
"after which there is the possibility of an auction among
the frontrunners" (DAILY VARIETY, 5/11).
NEWS CORP. ON THE UP AND UP: In N.Y., Lisa Brownlee
reports that News Corp.'s third-quarter earnings totaled
$193M, compared with $168M a year earlier. Revenue grew
4.6% from $3.1B to $3.2B. Net income more than doubled from
$8M, or a penny a share, a year earlier, to $19M, or $0.03 a
share. Revenue rose 8.7% to $1.9B. The company also posted
"improved results" for its cable-network business, which
includes Fox Sports Networks (FSN) and the Dodgers. FSN's
operating income climbed 50% (N.Y. POST, 5/11). The WALL
STREET JOURNAL's John Lippman notes that News Corp.'s
results "were in line with analysts' expectations" (WSJ,
5/11). DAILY VARIETY's Matthew Doman reports that News
Corp.'s cable-network division posted operating earnings of
$19M, after a loss of $20M a year earlier (DAILY VARIETY,
5/11). CBS MarketWatch's David Wilkerson writes "on the
downside, television operating income fell" to $95M from
$109M, "due to comparisons with last year's March period,
when Fox aired Super Bowl XXXIII" (CBS MarketWatch, 5/11).
