Washington Post Company Sells Stake in American Personal Communications

The Washington Post Company has sold nearly its entire stake in American Personal Communications (APC) to APC, Inc., and the Sprint/Cable Venture, a partnership among Sprint, TCI, Cox, and Comcast. This sale allows APC to proceed with building and operating a personal communications services (PCS) system in the Washington-Baltimore market. The sale price of approximately $33 million does not exceed the amounts The Washington Post Company invested in the partnership since its formation in August 1990.

Key Takeaways:

• The Washington Post Company sold its 70 percent limited partnership interest in American Personal Communications (APC) to APC, Inc., and the Sprint/Cable Venture.
• APC, Inc. now holds a 49.5 percent ownership interest in APC, while the Sprint/Cable Venture has a 49 percent limited partnership interest.
• The Washington Post Company retains a 1.5 percent limited partnership interest in APC.
• The sale price was approximately $33 million, less 1.5 percent of the amount invested since APC's formation in August 1990.
• APC has been awarded a license from the FCC to build and operate a PCS system in the Washington-Baltimore market.
• The company's departure from APC is due to changes in the economics of the business, including subsequent governmental delays and policy reversals.
• The Washington Post Company continues to explore PCS opportunities abroad.

Statistics:

• The sale price of approximately $33 million.
• The Washington Post Company invested in APC since its formation in August 1990.
• APC holds a 49.5 percent ownership interest in APC, while the Sprint/Cable Venture has a 49 percent limited partnership interest.
• The Washington Post Company retains a 1.5 percent limited partnership interest in APC.

Sources:

• "Wash. Post Co. Sells APC Stake," PR Newswire, January 9, 1995.
• "American Personal Communications, Inc.," FCC license award, date not specified.