In a transaction that was just announced at RBR+TVBR‘s Thursday news deadline, Gray Television confirmed that is engineering a facility swap that will see it depart two Wyoming markets.
In return, it is poised to get a future broadcast TV station serving DMA No. 27.
Agreements were reached on Thursday (2/1) with Brian and Patricia Lane’s Marquee
Broadcasting that will put an asset swap in motion.
This will see Gray hand KCWY-13 in Casper, Wyo., affiliated with NBC and The CW+; KGWN-5 in Cheyenne, Wyo., a CBS/NBC/CW+ affiliate using KSTF-10 in Scottsbluff, Neb., as a semi-satellite to Marquee; and KNEP-TV in Sidney, Neb., marketed as an NBC affiliate serving western Nebraska.
In return, Marquee will hand to Gray its Construction Permit for a new, unbuilt television station in Salt Lake City, which today carries the KCBU-TV calls.
This is not to be confused with the defunct KCBU-TV that was on VHF analog channel 3. That station saw a license cancellation in July 2010, having never converted its facilities to ATSC 1.0 digital broadcasting.
This facility is on Channel 11 and while also licensed to Price, Utah, as was the former KCBU-TV, this facility is based on a Construction Permit granted to Marquee in July 2022 by the FCC.
With Daniel Kirkpatrick at Baker Hostetler LP serving as Marquee’s legal counsel, paperwork is forthcoming in the FCC’s LMS regarding the necessary regulatory approval of this deal. However, neither party will pay additional cash or consideration to fulfill the terms of this swap.
The transactions are expected to close simultaneously in the second quarter of 2024.
In prepared comments, Marquee CEO Patricia Lane said, “Marquee is excited to acquire Gray’s leading stations in Wyoming and Western Nebraska. We are looking forward to building on the legacy there.”
Marquee also holds a Construction Permit for a Sheridan, Wyo., station, and this is not involved in the transaction.
For Gray, the exit from Casper, Wyo., concludes an ownership tenure that saw Gray Television in January 2019 blame the Justice Department for major job cuts at the news department of its “Wyoming News Now” operation as the regulatory body refused to permit Gray to complete its February 2018 purchase of KGWC-14 in Casper, Wyo.
The DOJ said it creates a situation where too much market concentration would result from a duopoly; Gray had argued that KGWC’s ratings were so small that this would not be an issue.
In May 2019, with its merger with Raycom Media complete, Gray spoke out against the “top-4 restriction,” advocating for its “long overdue” abolishment.
With the 2018 quadrennial review’s completion, Chairwoman Jessica Rosenworcel declined to make the change.
Gray obtained KCWY, KSTF, KGWN and KNEP in a deal announced in November 2013; the agreement included KGNS-TV in Laredo, Tex., and was valued at $23 million.
