Posted on 12/21/2005 2:10:52 PM PST by abb
NEW YORK--(BUSINESS WIRE)--Dec. 21, 2005--The New York Times Company announced today that fourth-quarter diluted earnings per share are expected to be in the range of 45 to 47 cents, compared with 75 cents in the same quarter last year.
The range includes estimated expenses for the Company's staff reduction program announced in September of $34 to $37 million or 14 to 15 cents per share. The Company also plans to take a charge associated with this program in the first quarter of 2006, at which time the program is expected to be substantially complete.
In addition, in the fourth quarter the Company plans to record approximately $16 to $17 million, or 7 cents per share, of stock-based compensation expense. For the year, stock-based compensation expense is expected to be $31 to $33 million. Previously, the Company had estimated expense of $28 to $32 million.
In the fourth quarter of 2004, the Company recorded a $5.8 million (2 cents per share) charge for the restructuring of its NYT-TV production facility.
The Company only presents EPS guidance on a GAAP basis. This differs from the pro forma EPS provided by databases such as First Call and Reuters.
The Company has updated its effective tax rate for 2005 from 41 percent to 40.4 percent because of the elimination of a state tax contingency. With the exceptions of stock-based compensation expense and the tax rate, there are no other changes to the Company's full-year guidance for 2005 or its outlook for 2006, which were announced on December 6, 2005.
Except for the historical information contained herein, the matters discussed in this press release are forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from those predicted by such forward-looking statements. These risks and uncertainties include national and local conditions, as well as competition, that could influence the levels (rate and volume) of retail, national and classified advertising and circulation generated by our various markets, material increases in newsprint prices and the timing and amount of savings realized as a result of our cost-control initiatives. They also include 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 December 26, 2004. The Company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events or otherwise.
The New York Times Company (NYSE: NYT - News), a leading media company with 2004 revenues of $3.3 billion, includes The New York Times, the International Herald Tribune, The Boston Globe, 15 other daily newspapers, nine network-affiliated television stations, two New York City radio stations and 35 Web sites, including NYTimes.com, Boston.com and About.com. For the fifth consecutive year, the Company was ranked No. 1 in the publishing industry in Fortune's 2005 list of America's Most Admired Companies. The Company's core purpose is to enhance society by creating, collecting and distributing high-quality news, information and entertainment.
This press release can be downloaded from www.nytco.com
Gee, why do I feel like having another glass of merlot? HA!
HA HA HA HA!!! They will NEVER figure it out! They'll go down rather than be a balanced news source!
Here's Rooter's story
http://yahoo.reuters.com/financeQuoteCompanyNewsArticle.jhtml?duid=mtfh25074_2005-12-21_22-47-38_n21250279_newsml
UPDATE 1-New York Times forecasts lower quarterly profit
Wed Dec 21, 2005 05:47 PM ET
(Recasts first paragraph, adds details)
LOS ANGELES, Dec 21 (Reuters) - The New York Times Co (NYT.N: Quote, Profile, Research) on Wednesday said fourth-quarter net earnings per share are expected to drop 40 percent from the year-earlier period, due to costs for staff reductions and stock compensation.
The company said fourth-quarter net earnings are expected to be in the range of 45 cents to 47 cents, including estimated expenses for previously announced staff cuts, compared with 75 cents in the same quarter last year.
Analysts expected net earnings of 58 cents per share for the fourth quarter, according to Reuters Estimates.
The costs for the staff reductions announced in September are expected to be $34 million to $37 million, or 14 cents to 15 cents per share. The company also plans to take a charge in the fourth quarter of $16 million to $17 million, or 7 cents per share, for stock-based compensation expenses.
Stock-compensation expense for the year came in higher than expected, at $31 million to $33 million. Previously, the Times Co had said it would be $28 million to $32 million.
In last year's fourth quarter, the company recorded a charge of $5.8 million, or 2 cents per share, for restructuring its NYT-TV production facility.
Aside from a slightly lower tax rate of 40.4 percent for 2005, compared with 41 percent for 2005, the company had no other change to its fiscal-year forecast for 2005 or its outlook for advertising rates for 2006.
The forecast of lower earnings comes amid a tough environment for the U.S. newspaper industry, which has lost market share, subscribers and advertising revenue to online news services. Newspaper publishers also have had to contend with rising costs and falling circulation.
Earlier this month, the New York Times Co., which also publishes the Boston Globe and International Herald Tribune, said it would not issue 2006 forecasts for earnings, revenue growth, or expense growth due to a tough advertising environment.
Shares of the New York Times Co. slid 3.4 percent or 91 cents, to $26.07 in light after-hours trade on Inet, after closing at $26.98 a share on the New York Stock Exchange.
Note where the NYT says it won't issue forcasts for '06 earnings (or lack thereof).
I guess they still think that they get to decide what is and isn't news...
I noticed that. I guess they are following the "no news is good news" theory.
Lie for food?
I wonder what the journos'll do for actual cash......heheh.
Beautiful..........Slimes et al have no place to go but down.
I guess Dads is really upset that Pinch lacks the punch to get the job done.
I expect this time next year for it to drop to $.17 per share. I think the public is going to end up looking at the NYT as the people who weakened our security and they'll take it out on anyone who advertises in the NYT.
bttt
Wanna bet?
There is something I don't know, but should find out. That is, how are the very few "straight" news operations doing these days. Know of any???
FGS
Now we know. The NYT does actually believe all that garbage written by Krugman, their so-called economic columnist, and their business reporters. And, of course, this proves they were right all along - the economy is terrible and it's all President Bush's fault!
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