New York -- CBS Corp. reported that its revenue rose
47 percent in the first quarter, and that it posted net income of $19 million, or 3 cents
per share, versus a loss in the same period a year ago.
Revenue rose 155 percent in the cable division, due to its
acquisition of The Nashville Network and Country Music Television, while cash flow in the
unit rose 3 percent. Both networks had double-digit revenue and cash-flow growth in the
quarter, the latter offset by about $9 million in losses at start-ups CBS Eye on People
and CBS TeleNoticias.
CBS spokesman Jack Bergen said Fred Reynolds, CBS'
chief financial officer, told analysts two weeks ago that CBS intended to watch the
start-ups closely, but Bergen disputed a published report that Reynolds said there would
be a decision soon on whether to continue the start-ups.
"There was no ultimatum meant," said Bergen, who
was on the call and who discussed the interpretation with Reynolds Friday. Bergen said the
point that Reynolds intended to get across was that "we're going to do
whatever's necessary to make sure [that Eye on People] becomes a profitable