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HEARST CORPORATION AND NEWS CORPORATION ANNOUNCE ACQUISITION

 HEARST CORPORATION AND NEWS CORPORATION ANNOUNCE ACQUISITION
 NEW YORK, Oct. 6 /PRNewswire/ -- The Hearst Corporation and The News Corporation Limited (NYSE: NWS) announced today that agreement had been reached for the acquisition by Hearst from News Corporation of the Express-News, a daily and Sunday newspaper located in San Antonio, Texas, for a cash purchase price of $185 million. The purchase price includes the acquisition by Hearst for $47 million of new offset presses which are scheduled for installation at the Express-News upon completion of a new building addition which is presently under construction.
 The announcement was made jointly by Frank A. Bennack, Jr., president and chief executive officer of Hearst, and Rupert Murdoch, chairman and chief executive of News Corporation.
 Hearst also announced that it has engaged a newspaper broker, Dirks, Van Essen & Associates of Birmingham, Mich. to seek a buyer for the San Antonio Light, a daily and Sunday newspaper owned by Hearst and which had historically operated in the afternoon field. Hearst said that after many years of profitable operations, the Light fell into the red beginning with 1987 and has lost in excess of $60 million since then. Despite vigorous efforts to reverse the trends, Hearst has concluded that the Light's losses are irreversible particularly in view of the fact that the number of cities which can support two competing daily newspapers continues to shrink. Therefore, Hearst has determined to attempt to find a buyer for the Light. If a qualified buyer is not found, Hearst stated that it would reluctantly close the newspaper.
 Hearst said that its $185 million investment in the Express-News and the additional capital expenditures of approximately $20 million which will be required to complete the installation of the new presses are both an affirmation of its belief in San Antonio and a continuing opportunity to be of service to the community.
 Under the terms of the agreement, all of the Express-News employees will be offered continued employment at the newspaper. If the Light is closed, Hearst will offer severance benefits to the employees of the Light.
 The consummation of the transaction is subject to the filing with the Department of Justice of notifications under the Hart-Scott-Rodino Anti-Trust Improvements Act and the passage of the requisite waiting period required thereunder. The notifications which have been submitted to the Department of Justice request clearance for the transaction on the basis that the Light is a failing firm.
 The Express-News, with circulation of 188,797 daily and 284,728 Sunday, has been owned by News Corporation since 1973. The Light, owned by Hearst since the early 1920s, has circulation of 148,591 daily and 221,186 Sunday.
 Rupert Murdoch, chairman and chief executive of News Corporation stated:
 "I would like to extend my heartfelt appreciation to the many employees of the Express-News who have been vital in developing the Express-News into San Antonio's leading newspaper. From the beginning our overriding concern was to protect the employees of the Express News. They waged a long and victorious contest in the San Antonio market and no agreement would have been possible without a guarantee that they would all be offered continued employment.
 "The acquisition in 1973 of the Express-News was the first major endeavor of News Corporation in the U.S. Through the efforts of a very dedicated staff, headed by Publishers Charles Kilpatrick for 17 years and Lawrence Walker for two years, the Express-News has become a newspaper of which all of us at News Corporation are justly proud.
 "It is with mixed feelings that we enter into this transaction. As publishers of newspapers around the world, we recognize the economic realities of competitive newspaper markets in the United States and that this transaction will strengthen both News Corporation and Hearst. We will miss owning the Express-News which has been an important part of the company's history.
 "We extend our best wishes for future success to The Hearst Corporation, the employees of the Express-News and the people of San Antonio."
 -0- 10/6/92
 /CONTACT: Peter Rosenthal or David Santos of Howard J. Rubenstein Associates, Inc., 212-489-6900/
 (NWS) CO: News Corporation; Hearst Corporation ST: New York, Texas IN: PUB SU: TNM


TS-KW -- NY055 -- 7096 10/06/92 13:03 EDT
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Date:Oct 6, 1992
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