The New York Times Company is reportedly preparing to sell information site About.com to Answers.com for $270 million.
Last month, the Times Company took a $194.7 million write-down of About.com. The company purchased the Web site in 2005 for just over $400 million. In its latest earnings news release, the company said that About Group’s revenues declined 8.7 percent to $25.4 million, largely because of a drop in display and cost-per-click advertising.
At AdExchanger, David Kaplan notes that “Answers.com’s president and COO is none other than Peter Horan, the former About.com head who helped engineer the sale of the About to the NYTCo in the first place.”
Earlier this year, the New York Times sold off its last shares in the Fenway Sports Group, and in December 2011 the NYT sold its regional papers to Halifax Media Group for $143 million. The company still owns the Boston Globe and International Herald Tribune.
Update, 1:34 PM: The New York Times confirmed this afternoon that “it is engaged in discussions regarding the potential sale of its About Group. No definitive agreement has been reached. The negotiations are ongoing and there can be no assurances that an agreement will be reached or that a transaction will be completed.”