Tegna to spin off Cars.com, stay in McLean

WASHINGTON — McLean-based Tegna Inc., plans to spin off its Cars.com business, creating a separate, publicly-traded company.

Tegna also announced that it is evaluating alternatives for CareerBuilder, which it jointly owns with newspaper publishers Tribune Media and McClatchy Company.

Tegna chief executive Gracia Martore will retire once the Cars.com spinoff is complete, expected in the first half of 2017. Martore will be succeeded by broadcasting President David Lougee.

Alex Vetter, Cars.com chief executive, will continue to lead the company.

Tegna, the company that separated from USA Today-owner Gannett a year ago, owns a 53 percent majority stake in CareerBuilder, but said it makes sense to evaluate strategic alternatives, including selling its stake.

After the spinoff, Cars.com will remain headquartered in Chicago and trade under the ticker symbol CARS. Tegna will remain in its McLean headquarters.

Tegna spun off the Gannett newspaper publishing business last summer, leaving it with a portfolio of 46 local television stations, including WUSA 9 in D.C., and a number of digital properties.

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