CBS to Divest European and Asian Billboard Businesses
CBS Outdoor, the billboard unit of the TV company, will seek a buyer the Europe and Asia portion of the business and turn the Americas part of it into a real estate investment trust, or REIT.
CBS said Wednesday it is submitting a request for a private letter ruling from the Internal Revenue Service this quarter and if the ruling is granted it could turn the Americas portion of CBS Outdoor into an REIT before 2014.
“We believe the moves we are announcing today will unlock the tremendous value of these unique quality assets,” said CBS chief executive Leslie Moonves. “We have studied the benefits of converting our Americas operations into a REIT, and we are increasingly enthusiastic that this transaction — as well as the sale of our business in Europe and Asia — will achieve significant value for our shareholders.”