Letter to shareholders
We moved into this year after working through the transitions of 2015, brought about mostly by the completion of our merger with the former Journal Communications television and radio stations and the spinoff of our 13 newspapers, which were then merged with the Journal newspaper group to form an independent public company, Journal Media Group.
The new E.W. Scripps Company reaches one in five U.S. television households, with 33 television stations weighted heavily toward cities benefiting from attractive economic growth, including Tampa, Phoenix, Denver, Nashville, West Palm Beach and San Diego. We also have 34 radio stations clustered into eight markets with a focus on local talent as well as programming formats with local appeal.
We also have a digital reporting segment made up of a collection of businesses, including local advertising products and marketing services for our stations' digital brands, our burgeoning over-the-top video news service Newsy; and our newly acquired podcast-industry leading business Midroll Media.
Scripps retains the strongest balance sheet of the industry, which means we have the ability to act quickly and show good returns when an attractive acquisition opportunity arises. Our financial strength also provides firepower for share repurchases. In addition, our modest cash requirements for capital expenditures, pension contributions and debt repayments mean we have strong and growing cash flow.
With one of the most attractive footprints in the local media industry, a strong financial position and a focus on long-term value creation, we are poised to seize the opportunity afforded by 2016 and beyond.
Chairman, President and Chief Executive Officer