The Fox Entertainment Group, "riding a string of movie
and TV hits," doubled first quarter profits to $57M, or $.10
a share, from $28M, or $.05 a share, in the first quarter of
'97, according to Jon Elsen of the N.Y. POST. Revenues rose
22%, from $1.48B to $1.8B. First Union Capital Markets
analyst Bishop Cheen called the report "an excellent sign
for the IPO," which is scheduled for Thursday (N.Y. POST,
11/10). The IPO will be priced either today or tomorrow,
and News Corp. has indicated a price range of $21-24 a
share. One "Wall Street source" said Fox "may be
considering raising the price range, the number of shares to
be offered, or both" (HOLLYWOOD REPORTER, 11/10).
IS FOX A GOOD BUY ON THE STREET? BARRON'S Scott Reeves
examines the IPO, asking, "Can the company continue to crank
out winners in movies, TV and sports programming and expand
its realm?" Irv DeGraw, an independent IPO analyst: "In
many ways, Fox looks like Disney in 1980 -- and there's a
lot more to go." Reeves notes that some "argue that Fox's
sports teams ... will hurt earnings," but he concludes that
Fox "will be a winner as long as it produces hits. The IPO
won't sizzle like the Internet deals of last spring and
summer, but sound management and solid prospects for growth
make it a buy and hold" (BARRON'S, 11/9 issue).
RUPERT SPEAKS OUT: Rupert Murdoch, in a "rare
interview" with Britain's Channel 4, "gives no indication
that he is ready to step down, or even take a back seat."
On when his children may take over the company: "I don't
think (they) are ready." On the "controversial style" of
his newspapers: "Had we tended to sensationalize some
(stories)? Yes, I think so. Sometimes too much, I would
agree. But everyone does it" (HOLLYWOOD REPORTER, 11/10).
