05.22.2006 11:35 AM
Shop at Home Network goes out of business
EW Scripps Co. announced last week that it's shutting down its Shop At Home network because of ongoing operating losses and the absence of a suitable buyer for the business.
The company said it would take an after-tax loss in the second quarter of up to $60 million for the shutdown, Reuters reported.
Scripps, a broadcaster and newspaper publisher, will stop broadcasting the Shop At Home TV network and close its Web site June 22.
The network's 660 full-time employees will receive severance packages and “a range of career transition services,” Scripps said in a statement. The company said it is exploring programming alternatives for the five Shop At Home affiliates it acquired in 2004 while it seeks buyers for the stations.
Scripps acquired a controlling interest in Shop At Home in 2002, and bought the remaining interest in 2004 for a about $285 million. The network has incurred $84 million in losses since 2002.