Printer Friendly

DATA BROADCASTING CORP. ANNOUNCES FAVORABLE RESULT IN CNBC APPEAL OF FNN SALE PRICE

 NEW YORK, Nov. 30 ~PRNewswire~ -- Data Broadcasting Corporation (NASDAQ: DBCC) today announced that the U.S. Second Circuit Court of Appeals issued a unanimous ruling affirming the decision of the U.S. District Court dismissing a claim by the Consumer News and Business Channel (CNBC) that its purchase price for the media business of Financial News Network (FNN) be reduced by $5 million. The reorganization of FNN, under Chapter 11 of the Federal Bankruptcy Code, resulted in the creation of the new Data Broadcasting Corporation.
 In May 1991, FNN completed the sale of certain assets of its media segment to CNBC. Subsequently, CNBC contested, among other things, its obligation to pay $5 million of the total purchase price of approximately $154 million to FNN under the Bankruptcy Court approved purchase agreement. CNBC lost this contest in decisions by the Bankruptcy and District courts, whose decisions have now been unanimously affirmed by the Court of Appeals. It is unlikely that CNBC will undertake additional appeals, although they have 20 days in which to do so.
 Allan Tessler and Alan Hirschfield, DBC co-chief executives, commented, "We are very pleased that this significant matter is resolved and that FNN's creditors will receive additional monies, of approximately $4.2 million, as anticipated under FNN's reorganization plan."
 "The results for Data Broadcasting Corporation will be to reduce debt significantly, improve our balance sheet, and strengthen the company's capital structure," continued Hirschfield and Tessler.
 Data Broadcasting Corporation is a leading provider of stock market quote services and other specialized market data vital to more than 20,000 clients worldwide. Data Broadcasting's main product lines include QuoTrek, Signal and MarketWatch (used primarily by individual investors) and Shark (used by securities industry professionals).
 -0- 11~30~92
 ~CONTACT: Amber Gordon of Data Broadcasting Corporation, 703-359-6236~
 (DBCC)


CO: Data Broadcasting Corporation ST: New York IN: FIN SU:

DC -- DC023 -- 2011 11~30~92 14:54 EST
COPYRIGHT 1992 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1992 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Nov 30, 1992
Words:317
Previous Article:RUSSELL MILLER: MERGER OF FLORIDA BROKERS PROVIDES NEEDED BROADER SHAREHOLDER BASE
Next Article:PHILADELPHIA SUBURBAN WATER COMPANY REQUESTS RATE INCREASE
Topics:


Related Articles
FNN CONSUMMATES REORGANIZATION PLAN; DATA BROADCASTING CORP. WILL ISSUE STOCK TO FNN SHAREHOLDERS
DATA BROADCASTING ANNOUNCES STRONG YEAR-END SALES AND INCOME
DATA BROADCASTING RECEIVES PAYMENT FROM CNBC
DATA BROADCASTING REPORTS THIRD QUARTER RESULTS
CNBC on MSN Money's StockScouter Outperforms Standard & Poor's 500.
Critical Mention Names CNBC's Ron Insana to Its Board of Directors.

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters