Crown Media Holdings Inc.(CRWN), who has had rumors that it was going to sell the company, decided on Monday to stop the process after a long look at the overall situation. Crown Media Holdings owns the Hallmark channel as one of its assets.
The company said that instead of selling they will develop a cost-cutting plan, make improvements on its structuring of capital and renew its current licenses on more favorable terms.
Chief Executive David Evans "We worked diligently with the special committee and our financial advisors to evaluate various strategic initiatives, ultimately the board determined that the greatest value for our shareholders will be derived by our continued operation of our business."
Last February they sold their international television division of the Hallmark Channel for $242 million so that it could center on the U.S. operations.Because there was some certainty that the company would sell, shares dropped by 78 cents in the early trading hours to $5.02 on the Nasdaq on news of the decision.
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