Primedia to Sell Its Educational Unit

Primedia Inc., publisher of Seventeen, New York and other magazines, said it plans to sell its publishing group that includes Weekly Reader and World Almanac to reduce debt and consolidate operations. Primedia has hired investment bankers Morgan Stanley, Dean Witter & Co. and Berkery, Noyes & Co. to help with the sale of the unit, whose publications are used by teachers. The company is paring its operations to include only magazines that target niche audiences, spokesman David Adler said. Primedia said in February that it fired 100 workers and sold some unprofitable businesses. Primedia, which is 83%-owned by investment firm Kohlberg Kravis Roberts & Co., is highly leveraged and had debt of about $2.4 billion at the end of 1998. New York-based Primedia shares fell 63 cents to close at $17.13 on the NYSE.