SACRAMENTO, Calif.,
Oct. 20, 2016 /PRNewswire/ --
McClatchy (NYSE-MNI) today reported a net loss in the third
quarter of 2016 of $9.8 million, or
$1.30 per share. In the third
quarter of 2015, the company reported a net loss of $1.1 million, or $0.15 per share. Per share amounts reflect the
company's 1 for 10 reverse stock split that became effective in
June 2016.
The company reported an adjusted net loss in the third quarter
of 2016 of $2.1 million. In the third
quarter of 2015 the company reported adjusted net income of
$3.2 million.
Pat Talamantes, McClatchy's
president and CEO, said, "Ad revenue trends were relatively stable
compared to the first half of 2016 and audience revenues grew. In
short, we remain diligent in identifying ways to improve total
revenue trends while reorganizing our business to reduce legacy
costs and propel our digital
transformation.
"On August 30th we
announced the launch of our new digital advertising agency,
excelerate™ (exceleratedigital.com), a full-service
agency designed to offer advertising clients marketing solutions
that drive results. Just as the news landscape has evolved, so have
the needs of our advertisers, and we are evolving with those needs.
We have also strengthened our advertising solutions with
partnerships in Nucleus (nucleusmarketing.com) and the Local Media
Consortium, and continue to provide digital reach beyond our
markets to advertisers who seek larger inventories. These offerings
set us up nicely in the years ahead to succeed in the digital
advertising space.
"We remain confident in our advertising sales force reinvention
and our focus on a digital news strategy. We have created strong
digital teams and tools, including greater use of video. Not
coincidently, our total unique visitors are up 43.3% in the third
quarter of 2016 versus the same period last year while local unique
visitors grew 15.6% over the same period. More visitors not only
means an increased interest in our content, but additional
advertising opportunities for our sales teams."
Third Quarter Results
Total revenues in the third quarter of 2016 were $234.7 million, down 6.6% compared to the third
quarter of 2015, an improvement of one-percentage point when
compared to the results reported for the second quarter of 2016.
Total advertising revenues were $133.2
million, down 11.1% in the third quarter of 2016 compared to
the third quarter of 2015, consistent with the decline in the
second quarter of 2016. The declines in advertising revenues
largely reflect softness in traditional print advertising and
direct marketing.
Digital-only advertising revenues grew 15.2% in the third
quarter of 2016 and total digital advertising revenues were up 4.9%
compared to the same quarter last year.
Audience revenues were $91.0
million, up 1.9% in the third quarter compared to the same
period in 2015. Digital-only audience revenues were up 10.7%, and
the number of digital-only subscribers ended the quarter at 80,300,
representing an increase of 3.3% from the third quarter of
2015.
Average total unique and local unique visitors to the company's
online products grew to 60.2 million and 14.4 million,
respectively, in the third quarter of 2016. These results
represented growth of 43.3% in total unique visitors and 15.6% in
local unique visitors in the third quarter of 2016 compared to the
same quarter last year. Mobile users represented 56.7% of average
total unique visitors in the third quarter of 2016 compared to
54.9% in the third quarter of 2015.
Revenues exclusive of print newspaper advertising accounted for
72.0% of total revenues in the third quarter of 2016, an increase
from 68.0% in the third quarter of 2015.
Results in the third quarter of 2016 included the following
items:
- Severance charges totaling $4.7
million ($2.9 million
after-tax);
- Conversion costs related to co-sourcing information technology
operations totaling $4.6 million
($2.9 million after-tax);
- Costs associated with reorganizing sales and other operations
totaling $2.1 million ($1.3 million after-tax).
- A $0.3 million non-cash
impairment on property held for sale ($0.2
million after-tax);
- Accelerated depreciation charges totaling $0.3 million ($0.2
million after-tax); and
- Charges associated with relocations of certain operations
totaling $0.3 million ($0.2 after-tax).
Adjusted net loss, which excludes the items above, was
$2.1 million. Adjusted EBITDA
(formerly referred to as operating cash flow) was $34.1 million in the third quarter of 2016, down
14.0% compared to the third quarter last year. Operating expenses
were down 4% while adjusted operating expenses (formerly referred
to as cash expenses), which exclude non-cash and other
non-operating charges, were down 5.2% in the third quarter of 2016
compared to the same quarter last year. (A discussion of our
non-GAAP measures and a reconciliation to the comparable GAAP
measure are provided below.)
First Nine Months Results
Total revenues for the first nine months of 2016 were
$714.9 million, down 7.2% compared to
the first nine months of 2015. Advertising revenues were
$410.4 million, down 10.7% compared
to the first nine months of last year. Softness in print
advertising negatively impacted traditional newspaper and direct
marketing advertising revenues, while digital advertising revenues
grew 4.5%. Digital-only advertising was up 16.3% through the first
nine months of 2016 compared to the same period last year.
The company reported a net loss for the first nine months of
2016 of $37.3 million, or
$4.77 per share, compared to a net
loss for the first nine months of 2015 of $309.0 million or $35.40 a share, which included a non-cash
impairment charge to goodwill and other intangible assets of
$300.4 million.
Results for the first nine months of 2016 included the following
items:
- Severance charges totaling $13.4
million ($8.2 million
after-tax);
- Accelerated depreciation charges totaling $6.9 million ($4.2
million after-tax);
- Conversion costs related to co-sourcing information technology
operations totaling $10.2 million
($6.5 million after-tax);
- Costs associated with reorganizing sales and other operations
totaling $6.0 million ($3.7 million after-tax).
- Charges associated with relocations of certain operations
totaling $5.8 million ($3.6 after-tax);
- A gain on the extinguishment of debt totaling $1.5 million ($1.0
million after-tax);
- Non-cash charges totaling $1.4
million related to the sale of the Charlotte Observer's
building and land by the company's pension plan and assets held for
sale ($0.9 million after tax);
- Non-cash charges related to a write-down of an equity
investment totaling $0.9 million
($0.6 million after-tax);
- Net decrease in taxes totaling $0.9
million for adjustments of certain deferred tax credits
related to tax positions taken in prior years.
Adjusted net loss for the first nine months of 2016, excluding
the items above, was $11.5 million.
Adjusted EBITDA was $99.1 million for
the first nine months of 2016, down 8.5% compared to the first nine
months of 2015. Operating expenses have declined 31.4%, mainly due
to non-cash impairments charges recorded in the second quarter of
2015, while adjusted operating expenses were down 7.0% in the first
nine months of 2016 compared to the same period last year.
Other Third Quarter Business and Highlights
In the third quarter, the company completed the sale of the
Wichita Eagle headquarters and is currently discussing sale terms
under nonbinding letters of intent with potential buyers for
Sacramento, CA and Columbia, SC land and buildings. The company
also continues to consider indications of interest for the
Kansas City, MO property, where,
based on the local commercial real estate market, it has lowered
the asking price and the related rents associated with a
sale-leaseback for the property. There is no assurance that the
company will proceed with a sale in Kansas City if it does not see what it
considers to be a fair price in the near term.
One of McClatchy's larger and longest held investments has been
in CareerBuilder (CB). CB has been a valuable investment for the
company and McClatchy management is supportive of the decision made
by its co-owners to review strategic alternatives for this
asset.
Debt at the end of the third quarter of 2016 was $906.5 million. The company finished the quarter
with $23.2 million in cash, resulting
in net debt of $883.3 million. During
the third quarter of 2016, capital expenditures were $2.1 million, and $10.5
million for the first nine months of 2016. The leverage
ratio at the end of the third quarter in the company's credit
agreement was 5.30 times cash flow (as defined) compared to a
maximum leverage covenant of 6.0 times cash flow. The company
expects its current deleveraging strategies to reduce this ratio
over the course of the next year.
During the third quarter of 2016, the company repurchased
approximately 89,000 shares of Class A Common stock at a weighted
average price of $16.08 per share
under its share repurchase program. Under the program, the company
has repurchased a total of approximately 1.3 million shares
(reflects the effect of the reverse stock split) through the third
quarter of 2016, using $15.6 million
of the $20 million total authorized
repurchase program.
Outlook
The company reaffirms the guidance previously provided for all
of 2016. Digital-only advertising revenue is expected to grow at a
double-digit rate in 2016. While the company remains committed to
communicating the value of print advertising, the declining trends
in direct marketing and print advertising are not anticipated to
subside in the fourth quarter. Management expects print advertising
revenues to continue to become a smaller portion of advertising and
total revenues.
Audience revenues are expected to be relatively flat for all of
2016. Management will be vigilant in reducing legacy costs and
finding efficiencies and expects adjusted operating expenses to
decline in the fourth quarter. Management will also remain focused
on growing digital revenues, stabilizing adjusted EBITDA, reducing
debt and interest costs and creating shareholder value.
The company's statistical report, which summarizes revenue
performance for the third quarter and first nine months of 2016, is
attached.
Non-GAAP Operating Performance Measures
In addition to the results reported in accordance with
accounting principles generally accepted in the United States ("GAAP") included in this
press release, the company has presented non-GAAP operating
performance measures such as adjusted EBITDA (formerly referred to
as operating cash flow), adjusted EBITDA margin, adjusted net
income (loss), and adjusted operating expenses (formerly referred
to as cash expenses). Adjusted EBITDA is defined as net income
(loss) plus interest, taxes, depreciation and amortization,
non-operating income and expenses, severance charges associated
with changes in our operations, equity income in unconsolidated
companies, net, and certain other charges as outlined in the
non-GAAP reconciliation schedule accompanying this release.
Adjusted EBITDA margin is defined as adjusted EBITDA divided by
total net revenues. Adjusted net income (loss) is defined as net
income (loss) excluding amounts for a gain on the sale of an
equity investment, goodwill and other intangible asset impairment,
impairment charges related to equity investments, gain on
extinguishment of debt, severance charges, accelerated depreciation
on equipment, real estate related charges, reversal of interest on
tax items and certain discrete tax items, and certain other charges
as outlined in the non-GAAP reconciliation schedule accompanying
this release. The tax impact of these non-GAAP adjustments is
calculated using the federal statutory rate of 35% plus the net
state rate for the jurisdictions in which the subsidiaries file tax
returns and ranges from 1.6% to 8.1%. Adjusted operating expenses
is defined as operating expenses less non-cash charges, charges not
directly related to operations, and unique or non-recurring
transactions. These non-GAAP operating performance measures are
reconciled to GAAP measures in the attached schedule. Management
believes these non-GAAP measures, when read in conjunction with the
company's GAAP financials, including the corresponding GAAP
measures, provide useful information to investors by offering
supplemental information that enables investors to:
- make more meaningful period-to-period comparisons of the
company's ongoing operating results. Management believes variances
in the excluded line items are not reflective of the underlying
business operations of the company or trends in the company's
markets or industry;
- better identify trends in the company's underlying
business;
- better understand how management plans and measures the
company's underlying business;
- more easily compare operating results to those of our peers;
and
- more directly compare the company's operating results against
investor and analyst financial models.
These non-GAAP operating performance measures should not be
considered a substitute or an alternative to these computations
calculated in accordance with and required by GAAP. Also,
McClatchy's non-GAAP operating performance measures may not be
comparable to similarly titled measures presented by other
companies.
Conference Call Information
At noon Eastern time today,
McClatchy will review its results in a conference call
(877-278-1205, pass code 46060860) and webcast (www.mcclatchy.com).
The webcast will be archived at McClatchy's website.
About McClatchy
McClatchy is a 21st century news and information
leader, publisher of iconic brands such as the Miami
Herald, The Kansas City Star, The Sacramento
Bee, The Charlotte Observer, The (Raleigh) News and Observer, and
the (Fort
Worth) Star-Telegram. McClatchy operates media
companies in 28 U.S. markets in 14 states, providing each of its
communities with high-quality news and advertising services in a
wide array of digital and print formats. McClatchy is headquartered
in Sacramento, Calif., and listed
on the New York Stock Exchange under the symbol MNI.
Additional Information
Statements in this press release regarding future financial and
operating results, including our strategies for success and their
effects, our real estate monetization efforts, the future of CB,
revenues, and management's efforts with respect to cost reduction
efforts and efficiencies, cash expenses, revenues, adjusted EBITDA,
debt levels, interest costs and creation of shareholder value as
well as future opportunities for the company and any other
statements about management's future expectations, beliefs, goals,
plans or prospects constitute forward-looking statements as
defined in the Private Securities Litigation Reform Act of
1995. Any statements that are not statements of historical
fact (including statements containing the words "believes,"
"plans," "anticipates," "expects," "estimates" and similar
expressions) should also be considered to be forward-looking
statements. There are a number of important risks and
uncertainties that could cause actual results or events to differ
materially from those indicated by such forward-looking statements,
including: McClatchy may not generate cash from operations, or
otherwise, necessary to reduce debt or meet debt covenants as
expected; we may not be successful in the reducing debt whether
through tenders offers, open market repurchase programs or other
negotiated transactions; transactions, including sales of real
estate properties or transactions related to strategic alternatives
for its investments, may not close as anticipated or result in cash
distributions in the amount or timing anticipated; McClatchy may
not successfully implement audience strategies designed to increase
audience revenues and may experience decreased audience volumes or
subscriptions; McClatchy may experience diminished revenues from
retail, classified, national and direct marketing advertising;
McClatchy may not achieve its expense reduction targets including
efforts related to legacy expense initiatives or may do harm to its
operations in attempting to achieve such targets; McClatchy's
operations have been, and will likely continue to be, adversely
affected by competition, including competition from internet
publishing and advertising platforms; increases in the cost of
newsprint; bankruptcies or financial strain of its major
advertising customers; litigation or any potential litigation;
geo-political uncertainties including the risk of war; changes in
printing and distribution costs from anticipated levels, including
changes in postal rates or agreements; changes in interest rates;
changes in pension assets and liabilities; changes in factors that
impact pension contribution requirements, including, without
limitation, the value of the company-owned real property that
McClatchy has contributed to its pension plan; increased
consolidation among major retailers in our markets or other events
depressing the level of advertising; our inability to negotiate and
obtain favorable terms under collective bargaining agreements with
unions; competitive action by other companies; an inability to
fully implement and execute its share repurchase plan; and other
factors, many of which are beyond our control; as well as the other
risks detailed from time to time in the company's publicly filed
documents, including the company's Annual Report on Form 10-K for
the year ended Dec. 27, 2015, filed
with the U.S. Securities and Exchange Commission. McClatchy
disclaims any intention and assumes no obligation to update the
forward-looking information contained in this release.
THE MCCLATCHY
COMPANY
|
CONDENSED
CONSOLIDATED STATEMENTS OF OPERATIONS
|
(Unaudited; In
thousands, except per share amounts)
|
|
|
|
|
|
|
|
|
|
Quarter
Ended
|
|
Nine Months
Ended
|
|
September
25,
|
|
September
27,
|
|
September
25,
|
|
September
27,
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
REVENUES -
NET:
|
|
|
|
|
|
|
|
Advertising
|
$
133,212
|
|
$
149,860
|
|
$
410,368
|
|
$
459,627
|
Audience
|
91,022
|
|
89,310
|
|
272,163
|
|
273,361
|
Other
|
10,467
|
|
12,041
|
|
32,383
|
|
37,761
|
|
234,701
|
|
251,211
|
|
714,914
|
|
770,749
|
OPERATING
EXPENSES:
|
|
|
|
|
|
|
|
Compensation
|
95,045
|
|
95,015
|
|
296,056
|
|
302,778
|
Newsprint,
supplements and printing expenses
|
19,320
|
|
22,583
|
|
57,917
|
|
71,882
|
Depreciation and
amortization
|
20,559
|
|
27,295
|
|
69,551
|
|
75,892
|
Other operating
expenses
|
97,912
|
|
97,929
|
|
298,265
|
|
301,503
|
Goodwill and other
asset impairments
|
330
|
|
-
|
|
330
|
|
300,429
|
|
233,166
|
|
242,822
|
|
722,119
|
|
1,052,484
|
|
|
|
|
|
|
|
|
OPERATING INCOME
(LOSS)
|
1,535
|
|
8,389
|
|
(7,205)
|
|
(281,735)
|
|
|
|
|
|
|
|
|
NON-OPERATING
(EXPENSES) INCOME:
|
|
|
|
|
|
|
|
Interest
expense
|
(20,953)
|
|
(21,230)
|
|
(62,423)
|
|
(65,740)
|
Interest
income
|
110
|
|
64
|
|
318
|
|
197
|
Equity income in
unconsolidated companies, net
|
3,632
|
|
5,158
|
|
9,745
|
|
13,701
|
Gains related to
equity investments
|
-
|
|
-
|
|
-
|
|
8,093
|
Gain (loss) on
extinguishment of debt, net
|
-
|
|
1,632
|
|
1,535
|
|
749
|
Other -
net
|
(13)
|
|
(44)
|
|
20
|
|
(292)
|
|
(17,224)
|
|
(14,420)
|
|
(50,805)
|
|
(43,292)
|
|
|
|
|
|
|
|
|
Loss before income
taxes
|
(15,689)
|
|
(6,031)
|
|
(58,010)
|
|
(325,027)
|
Income tax
benefit
|
(5,885)
|
|
(4,882)
|
|
(20,731)
|
|
(16,035)
|
NET
LOSS
|
$
(9,804)
|
|
$
(1,149)
|
|
$
(37,279)
|
|
$
(308,992)
|
|
|
|
|
|
|
|
|
Net loss per
common share:
|
|
|
|
|
|
|
|
Basic
|
$
(1.30)
|
|
$
(0.15)
|
|
$
(4.77)
|
|
$
(35.40)
|
Diluted
|
$
(1.30)
|
|
$
(0.15)
|
|
$
(4.77)
|
|
$
(35.40)
|
|
|
|
|
|
|
|
|
Weighted average
number of common shares used to calculate basic and diluted earnings per
share:
|
|
|
|
|
|
|
|
Basic
|
7,614
|
|
8,717
|
|
7,809
|
|
8,728
|
Diluted
|
7,614
|
|
8,717
|
|
7,809
|
|
8,728
|
THE McCLATCHY
COMPANY
|
|
Reconciliation of
GAAP Measures to Non-GAAP Amounts
|
|
(In
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of
Net Loss to Adjusted EBITDA
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Quarters
Ended
|
|
Nine Months
Ended
|
|
|
|
September
25,
|
|
September
27,
|
|
September
25,
|
|
September
27,
|
|
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
|
|
|
|
|
|
|
|
|
|
NET LOSS
|
|
$
(9,804)
|
|
$
(1,149)
|
|
$
(37,279)
|
|
$
(308,992)
|
|
|
|
|
|
|
|
|
|
|
|
Income tax
benefit
|
|
(5,885)
|
|
(4,882)
|
|
(20,731)
|
|
(16,035)
|
|
Interest
expense
|
|
20,953
|
|
21,230
|
|
62,423
|
|
65,740
|
|
Depreciation and
amortization
|
|
20,559
|
|
27,295
|
|
69,551
|
|
75,892
|
|
|
|
|
|
|
|
|
|
|
|
EBITDA
|
|
25,823
|
|
42,494
|
|
73,964
|
|
(183,395)
|
|
|
|
|
|
|
|
|
|
|
|
Severance
charges
|
|
4,746
|
|
2,554
|
|
13,398
|
|
10,686
|
|
Equity income in
unconsolidated companies, net
|
|
(3,632)
|
|
(5,158)
|
|
(9,745)
|
|
(13,701)
|
|
Charges associated
with relocations of certain operations
|
|
274
|
|
108
|
|
6,896
|
|
392
|
|
Technology conversion
costs related to co-sourcing a majority
|
|
|
|
|
|
|
|
|
|
of information
technology operations
|
|
4,576
|
|
-
|
|
10,218
|
|
-
|
|
Costs associated with
reorganizing sales and other operations
|
|
2,070
|
|
1,304
|
|
5,948
|
|
2,697
|
|
Goodwill and other
asset impairment charges
|
|
330
|
|
-
|
|
330
|
|
300,429
|
|
Other non-operating,
net
|
|
(97)
|
|
(1,652)
|
|
(1,873)
|
|
(8,747)
|
|
Adjusted
EBITDA
|
|
$
34,090
|
|
$
39,650
|
|
$
99,136
|
|
$
108,361
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA
Margin
|
|
14.5%
|
|
15.8%
|
|
13.9%
|
|
14.1%
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of
Net Loss to Adjusted Net Income (Loss)
|
|
|
|
|
|
|
|
|
|
|
|
NET LOSS
|
|
$
(9,804)
|
|
$
(1,149)
|
|
$
(37,279)
|
|
$
(308,992)
|
|
|
|
|
|
|
|
|
|
|
|
Add back certain
items:
|
|
|
|
|
|
|
|
|
|
Gain on
extinguishment of debt
|
|
-
|
|
(1,632)
|
|
(1,535)
|
|
(749)
|
|
Impairment charges
related to equity investments
|
|
-
|
|
-
|
|
901
|
|
-
|
|
Intangible asset
impairment charges
|
|
330
|
|
-
|
|
330
|
|
300,429
|
|
Gain on sale of
equity investments
|
|
-
|
|
-
|
|
-
|
|
(8,093)
|
|
Severance
charges
|
|
4,746
|
|
2,554
|
|
13,398
|
|
10,686
|
|
Accelerated
depreciation on equipment
|
|
293
|
|
4,894
|
|
6,935
|
|
6,659
|
|
Loss on pension plan
asset sale
|
|
-
|
|
-
|
|
1,112
|
|
-
|
|
Charges associated
with relocations of certain operations
|
|
274
|
|
108
|
|
5,784
|
|
392
|
|
Technology conversion
costs related to co-sourcing a majority
|
|
|
|
|
|
|
|
|
|
of information
technology operations
|
|
4,576
|
|
-
|
|
10,218
|
|
-
|
|
Costs associated with
reorganizing sales and other operations
|
|
2,070
|
|
1,304
|
|
5,948
|
|
2,697
|
|
Other
|
|
-
|
|
17
|
|
-
|
|
22
|
|
Certain discrete tax
items
|
|
-
|
|
-
|
|
(897)
|
|
-
|
|
Less: Tax effect of
adjustments
|
|
(4,626)
|
|
(2,895)
|
|
(16,429)
|
|
(8,467)
|
|
Adjusted net income
(loss) (1)
|
|
$
(2,141)
|
|
$
3,201
|
|
$
(11,514)
|
|
$
(5,416)
|
|
|
|
|
|
|
|
|
|
|
|
(1) The tax impact of
these non-GAAP adjustments is calculated using the federal
statutory rate of 35% plus the net state rate for the jurisdictions
in which the subsidiaries file tax returns and ranges from 1.6% to
8.1%.
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of
Operating Expenses to Adjusted Operating Expenses
|
|
|
|
|
|
|
|
|
|
|
|
OPERATING
EXPENSES:
|
|
$
233,166
|
|
$
242,822
|
|
$
722,119
|
|
$
1,052,484
|
|
Add back:
|
|
|
|
|
|
|
|
|
|
Depreciation and
amortization
|
|
20,559
|
|
27,295
|
|
69,551
|
|
75,892
|
|
Goodwill and other
asset impairments
|
|
330
|
|
-
|
|
330
|
|
300,429
|
|
Severance
charges
|
|
4,746
|
|
2,554
|
|
13,398
|
|
10,686
|
|
Charges associated
with relocations of certain operations
|
|
274
|
|
108
|
|
6,896
|
|
392
|
|
Technology conversion
costs related to co-sourcing a majority
|
|
|
|
|
|
|
|
|
|
of information
technology operations
|
|
4,576
|
|
-
|
|
10,218
|
|
-
|
|
Costs associated with
reorganizing sales and other operations
|
|
2,070
|
|
1,304
|
|
5,948
|
|
2,697
|
|
Adjusted operating
expenses
|
|
$
200,611
|
|
$
211,561
|
|
$
615,778
|
|
$
662,388
|
|
The McClatchy
Company
|
Consolidated
Statistical Report
|
(In thousands, except
for preprints)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Quarter
3
|
|
|
Combined
|
|
Print
|
|
Digital
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues -
Net:
|
|
2016
|
|
2015
|
|
% Change
|
|
2016
|
|
2015
|
|
% Change
|
|
2016
|
|
2015
|
|
% Change
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Advertising
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Retail
|
|
$64,613
|
|
$71,511
|
|
-9.6%
|
|
$42,609
|
|
$51,876
|
|
-17.9%
|
|
$22,004
|
|
$19,635
|
|
12.1%
|
National
|
|
10,277
|
|
11,186
|
|
-8.1%
|
|
4,264
|
|
5,940
|
|
-28.2%
|
|
6,013
|
|
5,246
|
|
14.6%
|
Classified
Total
|
|
33,844
|
|
38,571
|
|
-12.3%
|
|
18,750
|
|
22,369
|
|
-16.2%
|
|
15,094
|
|
16,202
|
|
-6.8%
|
Automotive
|
|
7,955
|
|
9,804
|
|
-18.9%
|
|
2,310
|
|
3,816
|
|
-39.5%
|
|
5,644
|
|
5,988
|
|
-5.7%
|
Real
Estate
|
|
5,815
|
|
6,536
|
|
-11.0%
|
|
3,125
|
|
3,880
|
|
-19.5%
|
|
2,691
|
|
2,656
|
|
1.3%
|
Employment
|
|
5,694
|
|
7,753
|
|
-26.6%
|
|
2,404
|
|
3,608
|
|
-33.4%
|
|
3,290
|
|
4,145
|
|
-20.6%
|
Other
|
|
14,380
|
|
14,478
|
|
-0.7%
|
|
10,911
|
|
11,064
|
|
-1.4%
|
|
3,468
|
|
3,414
|
|
1.6%
|
Direct
Marketing
|
|
24,282
|
|
28,398
|
|
-14.5%
|
|
24,282
|
|
28,398
|
|
-14.5%
|
|
|
|
|
|
|
Other
Advertising
|
|
196
|
|
194
|
|
1.0%
|
|
196
|
|
194
|
|
1.0%
|
|
|
|
|
|
|
Total
Advertising
|
|
$133,212
|
|
$149,860
|
|
-11.1%
|
|
$90,101
|
|
$108,777
|
|
-17.2%
|
|
$43,111
|
|
$41,083
|
|
4.9%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Memo:
Digital-only
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$30,828
|
|
$26,762
|
|
15.2%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Audience
|
|
91,022
|
|
89,310
|
|
1.9%
|
|
66,112
|
|
64,317
|
|
2.8%
|
|
24,911
|
|
24,993
|
|
-0.3%
|
Other
|
|
10,467
|
|
12,041
|
|
-13.1%
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
Revenues
|
|
$234,701
|
|
$251,211
|
|
-6.6%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Advertising
Statistics for Dailies:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Full Run ROP
Linage
|
|
|
|
|
|
3,012.5
|
|
3,203.5
|
|
-6.0%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Millions of Preprints
Distributed
|
|
|
|
634.1
|
|
755.4
|
|
-16.1%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Audience:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Daily Average Total
Circulation*
|
|
|
|
1,360.4
|
|
1,517.3
|
|
-10.3%
|
|
|
|
|
|
|
Sunday Average Total
Circulation*
|
|
|
|
2,087.2
|
|
2,327.5
|
|
-10.3%
|
|
|
|
|
|
|
Average Monthly
Unique Visitors
|
|
|
|
|
|
|
|
|
|
60,229.5
|
|
42,035.6
|
|
43.3%
|
Columns may not
add due to rounding
|
|
* Reflects total average
circulation based upon number of days in the period. Does not
reflect AAM reported figures.
|
The McClatchy
Company
|
Consolidated
Statistical Report
|
(In thousands, except
for preprints)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
September
Year-to-Date
|
|
|
Combined
|
|
Print
|
|
Digital
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues -
Net:
|
|
2016
|
|
2015
|
|
% Change
|
|
2016
|
|
2015
|
|
% Change
|
|
2016
|
|
2015
|
|
% Change
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Advertising
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Retail
|
|
$199,911
|
|
$225,585
|
|
-11.4%
|
|
$136,025
|
|
$166,193
|
|
-18.2%
|
|
$63,886
|
|
$59,393
|
|
7.6%
|
National
|
|
30,659
|
|
31,838
|
|
-3.7%
|
|
13,942
|
|
18,264
|
|
-23.7%
|
|
16,717
|
|
13,574
|
|
23.2%
|
Classified
Total
|
|
105,407
|
|
117,437
|
|
-10.2%
|
|
59,471
|
|
69,283
|
|
-14.2%
|
|
45,936
|
|
48,154
|
|
-4.6%
|
Automotive
|
|
24,581
|
|
28,319
|
|
-13.2%
|
|
7,639
|
|
11,824
|
|
-35.4%
|
|
16,942
|
|
16,495
|
|
2.7%
|
Real
Estate
|
|
18,559
|
|
20,554
|
|
-9.7%
|
|
10,355
|
|
12,437
|
|
-16.7%
|
|
8,204
|
|
8,117
|
|
1.1%
|
Employment
|
|
18,383
|
|
23,796
|
|
-22.7%
|
|
8,237
|
|
10,955
|
|
-24.8%
|
|
10,146
|
|
12,842
|
|
-21.0%
|
Other
|
|
43,884
|
|
44,768
|
|
-2.0%
|
|
33,239
|
|
34,068
|
|
-2.4%
|
|
10,645
|
|
10,700
|
|
-0.5%
|
Direct
Marketing
|
|
73,742
|
|
84,075
|
|
-12.3%
|
|
73,742
|
|
84,075
|
|
-12.3%
|
|
|
|
|
|
|
Other
Advertising
|
|
649
|
|
692
|
|
-6.2%
|
|
649
|
|
692
|
|
-6.2%
|
|
|
|
|
|
|
Total
Advertising
|
|
$410,368
|
|
$459,627
|
|
-10.7%
|
|
$283,829
|
|
$338,507
|
|
-16.2%
|
|
$126,539
|
|
$121,121
|
|
4.5%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Memo:
Digital-only
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$87,327
|
|
$75,058
|
|
16.3%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Audience
|
|
272,163
|
|
273,361
|
|
-0.4%
|
|
197,065
|
|
199,638
|
|
-1.3%
|
|
75,098
|
|
73,723
|
|
1.9%
|
Other
|
|
32,383
|
|
37,761
|
|
-14.2%
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
Revenues
|
|
$714,914
|
|
$770,749
|
|
-7.2%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Advertising
Statistics for Dailies:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Full Run ROP
Linage
|
|
|
|
|
|
9,211.2
|
|
9,941.9
|
|
-7.3%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Millions of Preprints
Distributed
|
|
|
1,855.8
|
|
2,327.7
|
|
-20.3%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Audience:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Daily Average Total
Circulation*
|
|
|
1,482.0
|
|
1,627.9
|
|
-9.0%
|
|
|
|
|
|
|
Sunday Average Total
Circulation*
|
|
|
2,212.6
|
|
2,463.0
|
|
-10.2%
|
|
|
|
|
|
|
Monthly Unique
Visitors
|
|
|
|
|
|
|
|
|
55,226.7
|
|
42,955.3
|
|
28.6%
|
Columns may not
add due to rounding
|
|
* Reflects total average
circulation based upon number of days in period. Does not reflect
AAM reported figures.
|
Logo - http://photos.prnewswire.com/prnh/20160801/394690LOGO
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/mcclatchy-reports-third-quarter-2016-results-300348114.html
SOURCE McClatchy