Lee Enterprises Reports Advertising Revenue for December
DAVENPORT, Iowa--(BUSINESS WIRE)--Jan. 18, 2006--Lee Enterprises, Incorporated (NYSE:LEE), reported today that same property advertising revenue in December increased 1.0 percent over a year ago, reflecting a continuing lag in automotive advertising and the negative impact of Christmas Day falling on a Sunday.
On a same property(1) basis, which excludes the impact of acquisitions and divestitures made in the current or prior year, retail advertising revenue increased 0.5 percent. Classified advertising revenue decreased 0.1 percent, with employment up 11.3 percent, automotive down 14.0 percent, real estate down 1.7 percent, other newspaper classified categories up 5.1 percent, and classified in non-daily publications up 2.0 percent. The timing of Christmas Day had a detrimental effect on both retail and classified advertising. National advertising revenue increased 4.4 percent. Online advertising revenue increased 31.4 percent. Niche publication advertising revenue decreased 8.0 percent, partly a result of timing. Circulation revenue decreased 3.5 percent.
Total same property operating revenue was flat. Including the effect of acquisitions and divestitures, total advertising revenue increased 65.1 percent, and total operating revenue increased 60.1 percent, due primarily to the acquisition of Pulitzer Inc. in June 2005.
PULITZER RESULTS
Pulitzer revenue is reported in statistical periods. For the statistical reporting period ended Dec. 25, 2005, comparing the current year period to last year, which is before Lee's ownership, Pulitzer advertising revenue decreased 0.5 percent, with total revenue up 0.7 percent. In St. Louis, advertising revenue decreased 2.0 percent, led by a decline in classified automotive, and total revenue decreased 0.6 percent. In Pulitzer's other newspapers, advertising revenue increased 3.1 percent, with strong employment and retail advertising revenue, and total revenue increased 3.7 percent.
In the 50 percent partnership in Tucson, which is accounted for using the equity method and is not included in the Pulitzer revenue described above, advertising revenue for the December statistical reporting period increased 3.4 percent, and total revenue rose 5.2 percent.
Tables follow.
Lee Enterprises is a premier publisher of newspapers in midsize markets, with 52 dailies and a joint interest in six others, a rapidly growing online business and more than 300 weekly newspapers and specialty publications in 23 states. Lee's newspapers have circulation of 1.7 million daily and 1.9 million Sunday, reaching more than four million readers daily, and its weekly publications have distribution of more than 4.5 million households. Lee's newspapers include such diverse markets as Napa, Calif.; Bloomington, Ill.; Billings, Mont.; Escondido, Calif.; Madison, Wis.; and St. Louis, Mo. Lee is based in Davenport, Iowa, and its stock is traded on the New York Stock Exchange under the symbol LEE. For more information about Lee Enterprises, please visit www.lee.net.
LEE ENTERPRISES, INCORPORATED
Revenue and Statistical Summary
(Unaudited)
OPERATING REVENUE
December Year to Date
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(Thousands) 2005 2004 % 2005 2004 %
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Advertising
revenue:
Retail..........$27,820 $27,673 0.5 % $83,868 $83,280 0.7 %
National........ 2,155 2,065 4.4 6,685 6,549 2.1
Classified:
Daily
newspapers:
Employment.... 3,237 2,909 11.3 12,321 10,782 14.3
Automotive.... 2,674 3,110 (14.0) 8,363 9,863 (15.2)
Real estate... 2,699 2,747 (1.7) 9,526 9,221 3.3
All other..... 1,823 1,735 5.1 5,810 5,703 1.9
Other
publications.. 2,694 2,642 2.0 8,105 8,387 (3.4)
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Total classified
revenue........ 13,127 13,143 (0.1) 44,125 43,956 0.4
Online.......... 1,279 973 31.4 4,162 3,124 33.2
Niche
publications... 936 1,017 (8.0) 2,578 2,663 (3.2)
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Total advertising
revenue......... 45,317 44,871 1.0 141,418 139,572 1.3
Circulation...... 10,197 10,562 (3.5) 31,544 32,430 (2.7)
Commercial
printing........ 1,650 1,724 (4.3) 5,026 5,379 (6.6)
Online services
and other....... 2,152 2,151 - 6,314 6,237 1.2
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Total same
property
operating
revenue......... 59,316 59,308 - 184,302 183,618 0.4
Acquisitions &
divestitures.... 35,998 218 NM 118,337 466 NM
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Total operating
revenue.........$95,314 $59,526 60.1 % $302,639 $184,084 64.4 %
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DAILY NEWSPAPER ADVERTISING VOLUME
December Year to Date
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(Thousands of
Inches) 2005 2004 % 2005 2004 %
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Retail........... 986 1,006 (2.0)% 2,891 2,977 (2.9)%
National......... 47 51 (7.8) 141 158 (10.8)
Classified....... 882 916 (3.7) 2,810 2,894 (2.9)
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Total, same
property........ 1,915 1,973 (2.9)% 5,842 6,029 (3.1)%
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NOTES:
(1) Same property comparisons exclude acquisitions and divestitures
made in the current and prior year. Same property revenue also
excludes revenue of Madison Newspapers, Inc. (MNI), in which Lee
owns a 50% share. It is reported using the equity method of
accounting.
(2) December had one more Saturday and one fewer Wednesday than the
prior period. The year to date had one more Saturday and one fewer
Friday than the prior period.
(3) Certain amounts as previously reported have been reclassified to
conform with the current period presentation. The prior period has
been restated for comparative purposes, and the reclassifications
have no impact on earnings.
(4) The Company's fiscal year ends on September 30.
(5) The Company disclaims responsibility for updating information
beyond the release date.
The Private Securities Litigation Reform Act of 1995 provides a "Safe Harbor" for forward-looking statements. This release contains information that may be deemed forward-looking and that is based largely on the Company's current expectations and is subject to certain risks, trends and uncertainties that could cause actual results to differ materially from those anticipated. Among such risks, trends and other uncertainties are changes in advertising demand, newsprint prices, energy costs, interest rates, labor costs, legislative and regulatory rulings and other results of operations or financial conditions, difficulties in integration of acquired businesses or maintaining employee and customer relationships and increased capital and other costs. The words "may," "will," "would," "could," "believes," "expects," "anticipates," "intends," "plans," "projects," "considers" and similar expressions generally identify forward-looking statements. Readers are cautioned not to place undue reliance on such forward-looking statements, which are made as of the date of this release. The Company does not publicly undertake to update or revise its forward-looking statements.
CONTACT:
Lee Enterprises, Incorporated, Davenport
Dan Hayes, 563-383-2100
dan.hayes@lee.net
SOURCE: Lee Enterprises, Incorporated