“CBS Corp. (CBS:US), the broadcaster that’s spinning off its U.S. billboard advertising unit, said it received a favorable tax ruling on the transaction in a private letter from the Internal Revenue Service. CBS said the IRS approved its proposed plan to convert CBS Outdoor Americas Inc. (CBSO:US) to a real estate investment trust, which normally is taxed only at the shareholder level. The unit raised $560 million in a March 27 initial public offering, selling 19 percent of its shares. Parent CBS plans a tax-free spinoff of its remaining 81 percent stake later this year. CBS Outdoor then will convert to a REIT.” Source: Businessweek.com
Spin-Off
