Planned News Corp. spin-off lost $2B in fiscal 2012
Rupert Murdoch's News Corp. says the news and publishing unit it plans to split off next year posted a $2 billion net loss in the fiscal year through June, mainly due to one-time charges and restructuring costs in its newspaper division.
The details of the split were revealed Friday in a filing to the Securities and Exchange Commission. It confirmed investors' suspicions that the spun-off company -to be known as News Corp.- will be smaller and less profitable than the TV and movie business that will form Fox Group Inc.
The "new" News Corp. posted $8.65 billion in revenue last fiscal year, about a quarter of the company's total.
News Corp. CEO Murdoch, 81, will be executive chairman of the spin-off company.
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