Introduction to News Corporation

Corporate Headquarters

1211 Avenue of the Americas, 8th Floor

New York, New York 10036

212-852-7000

Corporate Website

http://www.newscorp.com/index.html

NYSE Ticker

NWS

Introduction:

News Corporation is an international media and entertainment company, ranked third in the world. Rupert Murdoch created News Corporation or News Corp, as it is most commonly referred to, was created by Rupert Murdoch. News Corporation was formed from assets Rupert Murdoch inherited from his father, Sir Keith Murdoch after his death. News Corp was originally a holding company for News Limited. News Corporation is a diversified international media and entertainment company with operations in eight industry segments, including filmed entertainment, television, cable network programming, direct broadcast satellite television, magazines and inserts, newspapers and information services, book publishing and other assets.

I. Current Situation

A. Current Performance

As of March 31, 2008, News Corporation reported third quarter operating income of $1.4 billion, a growth of 16% over third quarter a year ago. Revenues increased 16% to $8.75 billion and Net Income increased $1.8 billion to $2.7 billion. News Corporation had total assets as of March 31, 2008 of approximately US $62 billion and total annual revenues of approximately US $32 billion.

B. Strategic Posture

News Corporation’s mission statement has stayed unchanged after half a century of expansion and improvement: the creation and distribution of top-quality news, sports and entertainment around the world. A glimpse of News Corporation’s objectives comes from Rupert Murdoch’s last chairman’s message. He stated that News Corporations objectives were building an unparalleled global distribution platform and developing quality content with lasting and profitable brand names, which appeal to consumers faced with an increasing level of choice. In order to support these objectives, the Company was active in acquiring key companies and brands and taking strategic steps to expand existing brands around the world. With concern with environments, both internal and external, the company’s objectives are consistent with the mission. It seems as if News Corporation has followed through with is in the business objectives with each new acquisition.

As I searched for the strategies of this very large corporation I came across several analysts’ opinions. They all seem to share a few things in common.

News Corporation takes cash from its traditional media and uses it to purchase and grow its newer faster growing media and entertainment companies. Some of the company’s traditional media include newspapers and publishing. The strategy is to use the profits from these divisions and purchase newer sources of media and entertainment, mostly TV and web-based businesses, including Fox Network brands and MySpace.

News Corp’s policies are clearly detailed on it’s website under Standards of Business Conduct. The policies cover everything from corporate funds and property to the code of ethics. For a detailed review of News Corp’s policies, please click