M&A activity slowed significantly throughout the Information Industry in the 1st Half of 2009, as the total number of announced transactions fell by 29% and aggregate value dropped by 45%, compared with the same period in 2008. These trends indicate that while desire to do deals has been tempered, it does exist; but focus has shifted to smaller, strategic transactions.

Although activity declined across the board, the hardest hit segment by far was News Media. Transaction volume in that segment fell by 70% from 68 deals in the 1st half of 2008 to 22 deals in the same period of 2009.

It should be noted that while enterprise value multiples appear to have declined dramatically in the 1st Half of 2009, this is largely attributable to sales of distressed properties taking an increased share of activity. Removing this class of transactions from the picture reveals considerably improved multiples, suggesting that sales of healthy companies continue to command healthy multiples. 

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