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KING WORLD ANNOUNCES STOCK REPURCHASE PROGRAM

 NEW YORK, Dec. 18 /PRNewswire/ -- King World Productions, Inc. (NYSE: KWP) today announced that its board of directors has approved a program to repurchase up to two million shares of King World common stock from time to time in the open market and privately negotiated transactions.
 In addition, King World has repurchased 1,045,000 shares from Roger King, King World's chairman of the board, 1,105,000 shares from Michael King, its president and chief executive officer and 102,000 shares from Stephen Palley, its executive vice president and chief operating officer, at $32.50 per share, which represents the Dec. 17, 1992 closing price of King World Productions' stock on the New York Stock Exchange. Of these shares, 870,000, 780,000 and 102,000 were shares acquired by Roger King, Michael King and Stephen Palley respectively pursuant to the exercise of employee stock options originally granted to them in 1989. King World Productions' board of directors had requested that the executives fully exercise all of their vested stock options in order to avoid potential adverse tax consequences to King World if tax legislation restricting the deductibility of executive compensation is enacted next year. Depending on the form of any such legislation, the tax savings to the company could be as much as $12 million. The profit realized from the options by Roger King, Michael King and Stephen Palley was $16.0 million, $13.1 million and $1.8 million respectively. The additional shares purchased from the executives were purchased to ensure that the proceeds from their sale of the option shares to King World would not be subject to onerous tax treatment as a deemed dividend.
 When the options were granted, King World's stock traded at $15.75 per share. Since then, King World's stock price has more than doubled, and King World's shareholder value has increased by more than $650 million.
 At the conclusion of this transaction, Roger King, Michael King and Stephen Palley will continue to hold 2.5 million, 2.7 million and 48,000 King World Shares and options, respectively.
 The total amount required to repurchase the shares from the executives and to complete King World's two million share repurchase program, net of the proceeds to King World from the exercise of the options, is approximately $112 million, based on yesterday's closing price of King World stock. Prior to these transactions, King World had over $356 million in cash and liquid investments. The stock repurchase program, including the repurchase of shares from King World executives, represents 11 percent of King World's shares outstanding, and is expected to have the effect of increasing King World's earnings per share.
 -0- 12/18/92
 /CONTACT: Jeffrey E. Epstein, chief financial officer or Allyson M. Kossow, both of King World Productions, 212-315-4000, or Diana Brainerd or Christian Plunkett, both of The Abernathy/MacGregor Group, 212-371-5999, for King World/
 (KWP)


CO: King World Productions, Inc. ST: New York IN: ENT SU:

WB-TM -- NY084 -- 0029 12/18/92 14:53 PST
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Publication:PR Newswire
Date:Dec 18, 1992
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