Lorimar, Facing Loss, to Sell TV, Magazine Interests

Lorimar Telepictures Corp., the maker of the TV soap “Dallas,” said today it expects a fourth-quarter net loss of $63 million and will sell off its television, magazine and advertising interests while restructuring its core production and distributing divisions.

Merv Adelson, Lorimar’s chairman and chief executive officer, said the move does not reflect on the Culver City-based company’s strength.

“We took a hard look at our operations and made the strategic decision to put our financial and managerial muscle behind our core television, motion picture and home video business,” he said.

The restructuring calls for the sale of six television stations, in Pittsburgh, Midland-Odessa, Tex., Chico-Redding, Calif., Springfield, Mo., and two in Puerto Rico.

Lorimar’s interest in US magazine and its children’s publishing operations will be sold to their respective managements, officials said.

The company is also exploring the sale to BJK&E; Management of its advertising agencies, Bozell, Jacobs, Kenyon & Eckhardt and Poppe Tyson, and its interest in Caroline Jones.

Adelson said Lorimar remains the leading supplier of original television programming in the United States and said the company’s net worth is nearly $400 million.

The company announced one-time losses of $31 million in its home video subsidiary for the fourth quarter of fiscal 1987. Three top executives of the subsidiary were replaced in March due to conflicts of interest.

Lorimar also operates a major studio and a full-service film processing laboratory.