COMPANY TOWN ANNEX

FCC May Allow Murdoch Long Restructuring Period: In an effort to win unanimous approval for a staff plan that would force Rupert Murdoch into a costly restructuring of his Fox television stations, FCC Chairman Reed Hundt is considering allowing a long restructuring period to ease the financial impact, sources say. The Federal Communications Commission’s Mass Media Bureau staff last week recommended that News Corp., Murdoch’s Australian company, reduce its equity control of the eight Fox stations to about 25% from 99% to comply with rules limiting foreign ownership of TV stations. Although the FCC has the discretion to allow News Corp. a greater stake in the stations, the staff plan recommending 25% is believed to enjoy Hundt’s support. But the controversial proposal would leave Murdoch with a tax liability exceeding $100 million, according to one source.