E.W. Scripps Co. (NYSE:SSP) is the latest newspaper and media company to undergo a facelift to better face challenges and opportunities online. The company proposed a spin-off that would allow investors to choose from the growth potential of new media or the dependable cash flow of old media.

The tax-free deal would create a new public entity containing the company's cable operations - including Food Network and HDTV - along with its internet operations - including Shopzilla and uSwitch. Meanwhile, SSP will retain the company's newspapers, television stations, licensing and syndication operations.

"It's our intention to create two publicly traded companies, each with a sharpened strategic focus that would foster continued growth, solid operating performance and a clear vision on how best to build on the specific strengths of our national and local media franchises," said chief executive Kenneth Lowe in a statement.

The past 24 months have been very difficult for old media companies as online publishers continue to eat into margins and reduce subscription rates. Companies like the Wall Street Journal and New York Times are even feeling the crunch and an industry shift has become all but inevitable.

Consequently, this move to divest new media from old media comes at the perfect time for shareholders and represents perhaps the company's only logical next step. Combined, these factors make SSP a stock worth watching closely!

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E-Z-EM, Inc. (NDAQ:EZEM) board members and executives may find themselves in hot water soon after a large shareholder expressed dissatisfaction with current management's desire and ability to take steps to maximize shareholder value. Shareholders are hoping that these moves could help unlock value in shares that have remained somewhat stagnant recently.

Albert Investment Strategies, which owns 7.5 percent of the company, said in a Schedule 13D/A filing with the SEC that the company should (1) implement a quarterly dividend program, (2) conduct a share repurchase, (3) evaluate a sale or spin-off of the company's RSDL division and/or (4) evaluate a sale of the company. The activist hedge fund also pointed out several other key issues dealing with the company's management.
 
"AIA established its initial position in E-Z-EM because we felt the company's prospects were not being adequately valued by the markets," said the hedge fund manager Ira Albert. "We were attracted by your meaningful market share of barium  imaging  products, your new  product pipeline, the strong macro trends in the healthcare industry, and later by the energy of new members of your senior management team coupled with the opportunity for meaningful gross profit and operating margin improvements.

"It is our intention to continue to discuss our ideas with management and hope to expand our dialogue to include the Board as well. We may also speak to other shareholders and build a strong consensus of opinion in support of our value creating ideas."

In the end, this is great news for shareholders as it means that significant value could be unlocked over the long or short term. If the company pursues a sale, it could mean rapid share appreciation in the very short term. Combined, these factors make EZEM a stock worth watching!

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Yahoo! Inc. (NDAQ:YHOO) shares are up sharply after the company announced a blowout quarter in its most recent 8-K filing with the SEC. The search giant surprised the market with a 12 percent jump in revenues on a 37 percent earnings surprise. The market loved the numbers as shares rose over eight percent in pre-market hours and continue to hold gains.

Many analysts saw the earnings numbers as a pleasant surprise but insist that Yahoo only delivered a solid quarter because expectations were so low. Analysts also question CEO Jerry Yang's strategy going forward because he hasn't proposed any new groundbreaking changes that would be a base for a robust turnaround. Instead, the chief executive simply reinforced his old adage to make Yahoo a premier destination website.

Yahoo has made several changes, however, aimed at improving its existing businesses. First, the company improved upon its email and search engine earlier this month. Secondly, the company acquired Right Media and BlueLithium in order to boost its advertising platform and expand its offerings. In the end, Yahoo's lack of technological ambition has kept it in the catch-up game with Google, who continues to dominate the market.

Overall, Jerry Yang's new strategy will likely help the company improve its existing offerings but it may take more to orchestrate a meaningful comeback and steal market share back from Google. Despite the company's recent acquisitions and strategic moves, investors are still waiting for improvements on the bottom line. However, YHOO is definitely a stock worth watching!

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