 | |
| Formerly |
|
|---|---|
| Company type | Public |
| |
| Industry | Broadcast television |
| Predecessor | The Herald Publishing Company |
| Founded | 1946; 79 years ago (1946) |
| Founder | James Gray |
| Headquarters | , U.S. |
Area served |
|
Key people |
|
| Products | 180 terrestrial TV stations |
| Revenue |  $3.28 billionUSD (2023) |
| $383 million USD (2023) | |
| $128 million USD (2023) | |
| Total assets | US$10.64 billion USD (2023) |
| Total equity | US$2.62 billion USD (2023) |
Number of employees | 8,018 (2019) |
| Website | gray |
| Footnotes / references [1][2] | |
Gray Media, Inc.,doing business asGray Television, is an American publicly traded television broadcasting company based inAtlanta. Founded in 1946 byJames Harrison Gray asGray Communications Systems, the company owns or operates 180 stations across the United States in 113 markets. Its station base consists ofmedia markets ranging from as large as Atlanta to one of the smallest markets,North Platte, Nebraska.
James H. Gray started his communication business with the purchase ofThe Herald Publishing Company (a company founded in 1897 to promoteThe Albany Herald, a newspaper that started publication in 1891), in 1946 after he returned from World War II. The purchase includedWALB radio. Gray launchedWALB-TV in 1954. In 1960, Gray purchasedWJHG-TV inPanama City, Florida, and followed it later in the decade withKTVE servingMonroe, Louisiana and southernArkansas.[3][4]
In 1986 Gray died, leaving his 50.5% share of the stock in a trust for his children with stipulation that they run the business together, sell their stock with each other or sell out together.[4] It caused difficulties as two of the three wanted to sell, but the third was against the purchase. In 1991, to break the stalemate, the board of directors had the company purchase 25% of their shares.[3][4]
The company was then taken public on NASDAQ's small-cap market in the 2nd quarter 1992. The price per share dropped to $8. The company put itself-or any part up-for sale by the end of 1992. While the board of directors received about 40 offers, Bull Run Corporation eventually stepped in and purchased the remaining shares of the Gray siblings, who as part of the deal resigned from the board.[3][4]
New management took over all three TV stations. Bull Run Corporation, primarily owned byJ. Mack Robinson, decided to make Gray a Southeast regional media company, expanding its focus beyond the state of Georgia.[4] Gray purchased two TV stations (WKYT-TV andWYMT-TV) from the failed and government-seizedKentucky Central Insurance Company in September 1994 after a court challenge to the sale by Kentucky Central builder Garvice Kincaid.[3]
In 1994 and 1995, Gray purchased two newspapers, theRockdale Citizen (acquired May 31, 1994) andGwinnett Post-Tribune (acquired January 1995; quickly renamedGwinnett Daily Post) and seven advertising weeklies. In 1995, the company moved its stock listing to theNew York Stock Exchange. By this time, Robinson, directly or through Bull Run, owned 44% of the company's stock. Gray had started to focus on its TV station segment over the newspaper holding while TV produced more income and the newspapers' income were declining. Just months after doubling theDaily Post's staff, one third were laid off and a quarter ofThe Albany Herald's staff followed in January 1996. Newspaper leaders resigned during this period–from the corporate president in late 1995 to theCitizen's editor and publisher.[3]
| Fiscal year | Revenue | Net income (loss)[3] | Ref |
|---|---|---|---|
| 1994 | $36.5 | $2.8 | |
| 1995 | 58.6 | .9 | |
| 1996 | 79.3 | 2.5 | |
| 1997 | 103.5 | (1.4) | [5] |
| 1998 | 128.8 | 41.6 | [5] |
| 1999 | 143.9 | (6.3) | [5] |
| 2000 | 120.6 | (6.2) | [6] |
| 2001 | 106.4 | (13.3) | [6] |
| 2002 | 146.7 | (27.8) | [6] |
| 2003 | 243.0 | 14.0 | [7] |
| 2004 | 293.2 | 44.2 | [7] |
| 2005 | 261.5 | 3.3 | [7] |
| 2006 | 332.1 | 11.7 | [8] |
| 2007 | 307.2 | (23.1) | [8] |
| 2008 | 327.1 | (202.0) | [8] |
| 2009 | 270.3 | (23.0) | [8] |
| 2010 | 346.0 | 23.1 | [8] |
| 2011 | 307.1 | 9.0 | [9] |
| 2012 | 404.8 | 28.1 | [9] |
| 2013 | 346.2 | 18.2 | [9] |
| 2014 | 508.1 | 48.0 | [9] |
| 2015 | 597.3 | 39.3 | [9] |
| 2016 | 812.4 | 62.2 | [10] |
| 2017 | 882.7 | 261.9 | [10] |
| 2018 | 1,084.1 | 210.8 | [11] |
In 1996, Gray added additional TV stations while entering additional communication industry segments. In 1996,Fortune considered the company the nation's 81st fastest growing company, with a 48% growth rate, and as if to prove the point, Gray purchasedWRDW-TV in January 1996. In September of the same year, a basket purchase from First American Media, Inc. earned the company two more TV stations, (WCTV andWVLT-TV), Satellite and Production Business Services, which was renamed Lynqx Communications and PortaPhone paging business.[3]
In August and September 1996, Gray raised additional operating funds by various means. On August 20, KTVE was sold for cash and accounts receivable. The company issued and sold Class B common stock (through a public offering), senior subordinated notes and preferred stock in September. Also, a new bank credit facility was arranged. This brought the company total to $534.5 million in available funds with $409.5 million directly available.[3]
Also in September 1996, Ralph Gabbard, the newly named president and CEO, died from a heart attack at age 50. Robinson, Bull Run's chair, took over as interim CEO and president with Bull Run CEO Robert Prather as interim executive vice-president, acquisitions.[3]
With its additional funds, Gray continued purchasing in 1997 with two announcements in January and February. The company bought Gulflink Communications, Inc., a transportable satellite uplink business based inBaton Rouge, Louisiana, in April 1997 to go along with Lynqx. WithRaycom Media acquiring a station fromAFLAC Broadcast Group, Inc., forcing them to sellWITN-TV to Gray, which was finalized on August 1, 1997. TheGwinnett Daily Post increased circulation in 1997 through a deal with Genesis Cable Communications to provide the paper to its metro Atlanta subscribers at Genesis's expense.[3]
In 1998, Gray started to expand beyond its Southeast region. As the company agreed to purchase the Busse Broadcasting Corporation, which ownedKOLN,KGIN-TV andWEAU. Gray's ownership of a newspaper and TV station in Albany, Georgia, while grandfathered was examined under themedia cross-ownership rule of the FCC due to this potential purchase.[3] WALB was thus sold to Liberty Corp.'sCosmos Broadcasting in August 1998.[4][12]
In 2002, Robinson became chairman and CEO, his son-in-law Hilton Howell vice chairman, Prather president/COO and Jim Ryan senior vice president. They had Gray purchase 14Benedek Broadcasting stations while that company was in bankruptcy.[13]
In 2006, the company spun off its five daily newspapers and wireless messaging business into the newly formed Triple Crown Media,[4][14] later (in 2010) renamed Southern Community Newspapers.[15] A new strategy of purchasing stations in college towns or capitals was put into place by.[13]
The company had overpaid for a pair of stations and was over leveraged like many other station groups entering theGreat Recession. Advertising revenues dropped. The twin problems caused its shares to trade at its lowest at 16 cents in 2008, thus the NYSE indicated they might delist the company. Loan covenants could have forced the company into default.[13] Robinson stepped down with Howell replacing him in 2008.[13]
On July 30, 2009, Gray was awarded a contract to manage sevenYoung Broadcasting-owned stations. Through December 31, 2012, Gray would earn $2.2 million and an opportunity to earn additional specified incentive fees if certain performance targets were exceeded.[16][17][18]
Prather left the company in 2013 and Howell took over the president title.[13] On November 4, 2013, Gray announced that it would purchase Yellowstone Holdings for $23 million, adding local stations:KGNS-TV,KGWN,KCWY andKCHY-LP.[19] Three weeks later, on November 20, Gray announced it would purchaseHoak Media and Parker Broadcasting for $335 million, and North Dakota's Fox affiliateKNDX/KXND for $7.5 million. As part of the deal, stationsKAQY,KHAS-TV andKXJB, were proposed to be sold to Excalibur Broadcasting and operated by Gray under a "local marketing agreements".[20] On December 19, it was announced that stationsKREX-TV andWMBB would be sold toNexstar Broadcasting Group, whileKFQX would be sold toMission Broadcasting.[21] On March 25, 2014, Prime Cities Broadcasting, owner of KNDX/KXND, requested that the FCC dismiss the sale of KNDX/KXND to Excalibur.[22]
The sale was completed on June 13, 2014. However, some stations were forced to go off the air and their programming was moved to a multicast stream on adjacent channels, due to some stations being unable to receive regulatory approval, after the FCC's ruling onjoint sales agreements. Those silent stations would then be sold off to minority interest, pending FCC approval.[23][24]
On July 24, 2014,SJL Broadcasting announced that it would sellWJRT-TV andWTVG to Gray, for $128 million.[25][26] The sale was completed on September 15.[27]
In July 2015, Gray closed its accounting and human resources offices in Albany (housed in the same building asThe Albany Herald), combining them with the corporate offices in Atlanta.[4]
In September 2015, Gray announced that it would acquire the television and radio stations ofSchurz Communications for $442.5 million.[28][29] It also purchasedKCRG-TV inCedar Rapids, Iowa, from the locally ownedGazette Company, who owned the station from its sign-on in 1953.[30][31]
In January 2016, Gray opened a national news bureau in Washington, D.C., led by formerAPTV journalist Jacqueline Policastro. The bureau was designed to provide enhanced coverage of national political issues for Gray's local stations.[32][33]
On May 13, 2016, Gray announced that it would acquireWDTV andWVFX inClarksburg, West Virginia, fromWithers Broadcasting for $26.5 million.[34] On June 3, 2016, it was announced that Gray would acquire two stations that were spun-off from theNexstar-Media General merger;KWQC-TV inDavenport, Iowa, andWBAY-TV inGreen Bay, Wisconsin, for $270 million.[35][36] On February 16, 2017, Gray announced that it would acquireWABI-TV inBangor, Maine, andWCJB-TV inGainesville, Florida, fromDiversified Communications for $85 million.[37] On May 4, 2017, Gray announced its intent to acquireWCAX-TV inBurlington, Vermont, from Mount Mansfield Television for $29 million.[38][39]
In April 2017, Gray filed a lawsuit against Nick Prueher and Joe Pickett, founders of theFound Footage Festival, for fraud and copyright infringement, after having booked an appearance on the morning show of a Gray station as a fakestrongman act, "Chop and Steele", and utilizing the footage during their show. The parties later agreed to a settlement.[40][41]
On May 21, 2018, Gray entered into an agreement to acquireKNHL from Legacy Broadcasting for $475,000. Gray intended to turn KNHL into a satellite of its NBC affiliateKSNB-TV.[42]
On June 25, 2018, Gray announced its intent to acquireRaycom Media for $3.65 billion, pending regulatory approval. The combined company would be led by Raycom's current president and CEO Pat LaPlatney, with current Gray CEO Hilton Howell acting as executive chairman and co-CEO. The acquisition, which Gray expected to close in late 2018, would give Gray 142 stations in 92markets, making Gray the third-largest owner of television stations in the United States, with a total market share of 24%.[43][44][45]
Although Gray foresaw that the acquisition would receive regulatory approval quickly, due to limited market overlap between the two companies and its still-relatively low total market reach post-acquisition. Gray would divest nine stations in markets where Gray and Raycom both already owned stations, includingWTNZ,WTOL,KXXV,WTXL,WFXG,KWES-TV,WPGX,WSWG andWDFX-TV.[45] The sale was approved by the FCC on December 20, 2018.[46][47][48] The deal was completed on January 2, 2019.[49][50]
Gray announced on April 24, 2019, a joint venture with Grand Ole Opry Entertainment Group, a subsidiary ofRyman Hospitality Properties, a former owner ofThe Nashville Network. The services would consist of a broadcast diginet and an OTT streaming platform. The joint venture is based in Nashville under general manager Drew Riefenberger. Gray contributed distribution and marketing capabilities, multicast knowledge and affiliate Gray TV stations.[51] TheCircle TV network made its launch on January 1, 2020.[52]
On February 1, 2021, Gray announced its intent to acquire allQuincy Media's broadcasting properties for $925 million in cash. To comply with federal regulators, Gray would divest Quincy stations inTucson;Harrisburg, Illinois;Waterloo/Cedar Rapids, Iowa; andMadison,La Crosse andWausau inWisconsin over toAllen Media Group.[53] Gray's acquisition of Quincy Media was completed on August 2.[54]
In March 2021, Gray revealed plans to purchase a shutteredGeneral Motors plant in Atlanta suburbDoraville, Georgia, and transform the site into a media production community called Assembly.[55][56] The "studio city" is set to include multiple film studios, as well as apartments, townhomes, a hotel, corporate offices, restaurants and retail space. In September 2021, Gray Television purchased Doraville-based Third Rail Studios for $27.5 million.[57]
On May 3, 2021, Gray announced plans to buy the television division ofMeredith Corporation for $2.7 billion. If approved, Gray would sell WJRT-TV to acquire competing stationWNEM-TV, owned by Meredith.[58] It is revealed that Allen Media Group would purchase WJRT-TV in Flint for $70 million.[59] The sale was completed on December 1.[60]
On September 18, 2021, Gray launchedInvestigateTV, a weekly program featuring investigative stories from a national team and Gray local investigations to a national audience.[61] The program draws from an investigative unit formed at WVUE under Raycom ownership.[62]
In January 2022, Gray acquired 24 low-powered station from Lowcountry 34 Media for over $3.75 million.[63][64]
In March 2022, Gray acquired 4 formerBox stations from L4 Media Group:KBXS-CD inShreveport, Louisiana,WBXA-CD inBirmingham, Alabama,WBXC-CD inChampaign, Illinois, andWBXM-CD inMontgomery, Alabama, reuniting them withWBXH-CD inBaton Rouge, Louisiana.[65]
In May 2022, Gray reached an agreement with the Telemundo Network Group expanding the term of Gray’s affiliation agreements withTelemundo. This new agreement allows Gray the right to launch the first local Telemundo affiliations on their television stations in 22 additional markets.[66]
On September 28, 2022, Gray announced its intent to purchaseWBQC-LD for $2.5 million.[67] The sale was completed on November 21, making WBQC-LD asister station toWXIX-TV.[68]
On September 11, 2023,InvestigateTV+, a weekday expansion of theInvestigateTV franchise, launched on all Gray television stations and is syndicated to stations outside of a Gray market.[69]
On October 1, 2023, thePeachtree Sports Network will launch in Georgia, focusing on live, local sports programming all year long. The broadcast network will launch in Atlanta but will soon air on Gray-owned over-the-air channels in Albany, Augusta, Columbus, Macon and Savannah in the coming months.[70]
On November 7, 2023, Gray,Warner Bros. Discovery andLionsgate teamed up to formFree TV Networks, a new company to be led by broadcasting veteran Jonathan Katz, with presence in both broadcast networks andFAST streaming channels. The company will launch broadcast and FAST streaming versions of The365, a channel for African-American audiences, and Outlaw, a network for Western programming, as well as FAST channels VCR Action and VCR Haha, under the joint venture on January 1, 2024.[71] Later, on November 10, 2023, it was announced that Circle would cease its broadcast operations on December 31, 2023, with plans on transitioning to FAST streaming and other avenues, as well as a likely chance for the broadcast operations of Circle to be replaced by one of two channels of the new Free TV Networks company.[72]
On February 1, 2024, it was announced that Marquee and Gray had reached agreements to swap television stations in Wyoming and Utah. As part of the swap Marquee will end up withKCWY-DT in Casper, Wyoming;KGWN-TV in Cheyenne, Wyoming;KSTF in Scottsbluff, Nebraska; andKNEP in Sydney, Nebraska. At the same time Gray will get Marquee’s FCC permit authorizing construction of a new and currently unbuilt TV station KCBU in Salt Lake City.[73]
On February 14, 2024, Gray Television and Syncbak launched Zeam, a free ad-supported steaming service that features local news, sports and weather.[74]
On December 30, 2024, the Board of Directors at Gray Television formally approved changing the name of the company to "Gray Media," after years of referring to the company internally and externally by that informal name.[75]
Under the direction of executive chairman and CEO Hilton Howell, Gray Television was one of the first broadcasters to implement aCOVID-19 vaccination mandate. He has said he is "proud" of the corporate culture he has helped create. Howell says he supportsmedia consolidation and opposes an FCC cap on ownership.[76] In their 2022environmental, social, and governance (ESG) report, Howell noted he was committed to "improving our gender and racial diversity in leadership, our business ethics and compliance policies, our training and development, and our responsible energy use". According to the report, under Howell's leadership, the company aired a six-month series on health and wellness in Appalachia, known as "Bridging the Great Health Divide", expanded their relationship with Telemundo to provide additional Spanish-language content in the United States, highlighted stories abouthistorically black colleges and universities (HBCUs), aired and produced content about Pride Month and Hispanic Heritage Month in local markets, and aired and produced twoclimate change series,Troubled Water, a documentary about the water crisis, andCoast & Climate, a series about the impact of climate change in Louisiana.[77] Howell is a donor to theRepublican Party.[78]
Gray Television has an investment in broadcasting companySarkes Tarzian, Inc.[80]
On July 22, 2009, a New York bankruptcy judge approved a plan transferring ownership ofYoung Broadcasting and its stations to the company's secured lenders. The plan included Gray Television coming in as an outside party to advise on the operations of Young-owned stations in seven markets through December 2012. The new Young Broadcasting still held the final say on overall operations for their stations, including programming and personnel.[16][18]
The former Young-owned stations managed by Gray Television include:
Young Broadcasting would retain ownership of all its stations, including three stations that Gray would not operate:KRON-TV inSan Francisco, California,WATE-TV inKnoxville, Tennessee, andWLNS-TV inLansing, Michigan, the last two due to Gray already owning stations in those markets. Gray considered the possibility of purchasing the Young stations if the group went on the market.[81]
The agreement ended without any further extensions on December 31, 2012, and Young agreed to a merger withMedia General in mid-2013. Gray would eventually purchase KWQC and WBAY outright whenNexstar Broadcasting Group acquired Media General in 2017, as Nexstar already ownedWHBF-TV andWFRV-TV in each market.[35][36] At that time, Gray had already acquired Sioux Falls rival stationKSFY. Gray would also re-enter the Richmond market when it boughtWWBT in 2019, following its merger withRaycom Media, and would also re-enter the Nashville market in 2021 withWSMV-TV after acquiring the television assets ofMeredith Corporation.[45]
By January 20, 2016, Gray had set up theirWashington news bureau by Jacqueline Policastro to enable stations to get interviews with U.S. Senators and Representatives serving their communities. The bureau cooperates withLilly Broadcasting's Washington bureau, previously started by Policastro, and is located at theNBC News Capitol Hill bureau, 400 N. Capitol Street.[33] In February 2019, Gray announced that journalistGreta Van Susteren joined the company as its Chief National Political Analyst. Gray then announced in April 2019 Greta Van Susteren as host of a Sunday morning syndicated show,Full Court Press with Greta Van Susteren, which was launched in September 2019.[82] Van Susteren departed the company forNewsmax TV in late 2022.
Originating from Gray's Washington bureau isLocal News Live, a hosted service of live breaking news and events from the 113 Gray television markets across the country, similar toLiveNOW from Fox (produced byFox Television Stations) andThe National Desk (produced bySinclair Broadcast Group). The channel operates from 7 a.m. to midnight Eastern (with paid programing vacating their spots), features live newscasts at 7 a.m., 2 p.m., and 8 p.m. Eastern time, and repeats throughout the day when no breaking news is occurring. In addition to live events, the anchors interview reporters and use footage not otherwise seen on broadcast.Local News Live airs on Gray television live streams between local newscasts and as a separate option on Gray station websites.[83]
Since 2023, Gray has created severalover-the-airregional sports networks; includingArizona's Family Sports,Gulf Coast Sports & Entertainment Network,Matrix Midwest,Palmetto Sports & Entertainment,Peachtree Sports Network,Rock Entertainment Sports Network (a joint venture withRock Entertainment Group),Tennessee Valley Sports Entertainment Network andSilver State Sports & Entertainment Network.[84][85][86]
Nationally, Gray holds the rights to theAmerican Association of Professional Baseball,[87] theNational Collegiate Hockey Conference,[88] and Fight Sports.[89]
