Fox’s (FOX, Financial)(FOXA, Financial) shares declined during the quarter as traditional media stocks struggled, in part due to near-term challenges in advertising. With most of the economy shut, there isn’t a compelling reason to air commercials on television. Fox’s main contributor to cash flow, Fox News, has produced strong viewership through the crisis and the company has one of the strongest balance sheets in the traditional media space, in part due to significant tax assets created as part of the Disney transaction, which closed in 2019.
From the AMG Yacktman Fund (Trades, Portfolio)'s first-quarter 2020 shareholder letter.
