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Granite Broadcasting Corporation (Nasdaq: GBTVK, GBTVP) announced today that it has completed the acquisition of WXON-TV, the WB affiliate serving Detroit, Michigan, for $175 million in cash. The acquisition was financed with the proceeds from the sale of $150 million of Cumulative Exchangeable Preferred Stock and borrowings under the Company's bank revolver.
Detroit is ranked by Nielsen Media Research as the nation's ninth largest television market. The addition of the Detroit station increases the Granite station group's reach from almost 6 percent to approximately 8 percent of United States television households and further diversifies the Company's network affiliations and sources of revenue. In addition, because Granite owns the CBS affiliate serving Grand Rapids-Kalamazoo-Battle...