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KNIGHT-RIDDER ANNOUNCES RESULTS

 KNIGHT-RIDDER ANNOUNCES RESULTS
 MIAMI, Jan. 29 /PRNewswire/ -- Knight-Ridder, Inc. (NYSE: KRI)


earned $2.55 a share in 1991, down 13.3 percent from $2.94 earned in 1990. The annual results included fourth quarter charges of $.13 a share for early retirement costs and accruals for various severance liabilities and an additional $.04 a share previously reported in the third quarter associated with restructuring at The Miami Herald.
 Annual operating revenue dropped 2.9 percent to $2,237,318,000. Net income was $132,068,000, down 11.4 percent from $149,045,000 in 1990.
 In the fourth quarter despite the $.13 a share charges, Knight-Ridder earnings per share rose to $.86 a share vs. $.85 earned in the fourth quarter of 1990. Fourth quarter operating revenue was $588,502,000, a gain of 0.1 percent from $587,960,000 in 1990. Net income for the quarter was up 10.4 percent to $46,365,000 from $41,999,000 in 1990.
 NEWSPAPER DIVISION
 Knight-Ridder's Newspaper Division earned an annual operating profit of $259,584,000, a decline of 19.8 percent from $323,827,000 earned in 1990. Total Division revenue for the year was $1,903,817,000, down 4.4 percent from $1,992,101,000 in 1990.
 For the fourth quarter, the division's operating profit was $79,836,000, vs. $81,986,000 in 1990. This included a $10.8 million charge taken in the fourth quarter for various severance and early retirement costs. Revenue for the quarter was $504,056,000 vs. $508,170,000 in 1990.
 BUSINESS INFORMATION SERVICES
 The Business Information Services Division had another record year with an annual operating profit of $20,199,000, a 17.3 percent gain over $17,216,000 in 1990. Revenue reached $333,501,000, a 6.5 percent gain over $313,061,000 in 1990.
 For the fourth quarter, the division's operating profit was $6,500,000, a 25.2 percent gain over $5,192,000 earned in the fourth quarter of 1990. Revenue rose 5.8 percent to $84,446,000 from $79,790,000 in 1990.
 COMMENTS BY CHIEF FINANCIAL OFFICER ROBERT F. SINGLETON
 In making the year-end announcement, Senior Vice President Robert F. Singleton, Knight-Ridder's chief financial officer, said, "We knew going to into 1991 that we faced an uphill struggle to produce another year of earnings growth.
 Ultimately, the recession in the United States had too great an impact on our newspaper advertising revenue. Although our people did a great job in holding down costs, we were unable to extend our 15-year long record of earnings per share increases.
 "Newspaper advertising revenue had the most difficult year in memory. It was part of a larger national pattern that substantially affected other forms of advertising-driven media including television and magazines. This reflected the severe impact of the recession on debt-burdened American consumers as well as the debt-driven crisis of the retail industry, which represents a substantial part of our revenue base.
 "About two-thirds of the fall in advertising revenue was accounted for in classified and nearly half of that was in help-wanted. This of course was related to the high unemployment rates across the country. Real estate was down nearly 9.8 percent.
 "Our people did an excellent job in managing costs in this environment. Total operating costs for the year were down 0.5 percent even though we took $14.3 million in write-offs and accruals for severance associated with various restructurings in several of our newspapers.
 "The year was not without its bright spots. Despite the poor advertising climate, 12 of our 28 newspapers produced bottom line improvement. Our results in Detroit continued to get better. We essentially broke even in Detroit for the first time since 1979. The work on our exciting new plant in Philadelphia remained under budget and on schedule for a mid-year start. And newsprint costs softened and the year went along.
 "Our Business Information Services Division had another year of record revenue and profit. We benefited from excellent international growth of BIS operations which reached 28 percent of total BIS revenue. We continued to roll out new products, including MoneyCenter for Windows(TM), which received excellent initial reaction from the marketplace. Our joint venture operations in cable and newsprint manufacturing also did very well in 1991 and continue to develop into increasingly valuable assets.
 "We reduced our debt by year-end to $607 million with the help of the summer sale of 3 million new shares of stock. Our total-debt-to-total-capital ratio was lowered to 34.6 percent compared to 47.9 percent at year-end 1990. Total average shares outstanding for the year were 51,797,000. For the fourth quarter, average shares outstanding were 53,824,000."
 Singleton said, "The new year has begun with widespread hope of an upturn in the U.S. economy, but we have budgeted 1992 with advertising revenue growth of less than 1 percent for our newspapers which means that our costs are budgeted accordingly. This provides us with powerful leverage should the economy turn up during the year. We also look for another year of good growth from our Business Information Services Division and our cable joint venture.
 Knight-Ridder's annual meeting of shareholders will be held at 10 a.m. Tuesday, April 21, at the Omni Hotel, Biscayne Boulevard at 16th Street in Miami. All shareholders at the close of business on March 3, 1992, are entitled to receive notice of and to vote at the meeting.
 KNIGHT-RIDDER, INC. AND SUBSIDIARIES
 CONSOLIDATED STATEMENT OF INCOME
 (In thousands of dollars, except share data)
 Quarter Ended Four Quarters Ended
 Dec. 29 Dec. 30 Dec. 29 Dec. 30
 1991 1990 1991 1990
 OPERATING REVENUE
 Newspapers
 Advertising
 Retail $ 222,990 $ 229,598 $ 759,016 $ 791,793
 General 46,033 45,887 172,958 185,522
 Classified 113,401 122,426 497,687 579,617
 Total 382,424 397,911 1,429,661 1,556,932
 Circulation 112,328 102,077 439,029 403,188
 Other 9,304 8,182 35,127 31,981
 Total Newspapers 504,056 508,170 1,903,817 1,992,101
 Business Information
 Services 84,446 79,790 333,501 313,061
 Total Operating
 Revenue 588,502 587,960 2,237,318 2,305,162
 OPERATING COSTS
 Labor and employee
 benefits 247,114 236,951 942,350 929,900
 Newsprint, ink and
 supplements 95,013 103,301 379,814 402,253
 Other operating
 costs 143,620 142,161 561,849 562,813
 Depreciation and
 amortization 26,197 25,833 110,032 109,570
 Total Operating
 Costs 511,944 508,246 1,994,045 2,004,536
 OPERATING INCOME 76,558 79,714 243,273 300,626
 OTHER INCOME (EXPENSE)
 Interest expense (14,463) (18,582) (68,843) (71,803)
 Interest expense
 capitalized 6,179 3,845 22,142 10,131
 Interest income 1,221 1,762 6,433 7,567
 Other, net 2,695 1,490 7,365 (579)
 Total (4,368) (11,485) (32,903) (54,684)
 Income before
 income taxe 72,190 68,229 210,370 245,942
 Income taxes 25,825 26,230 78,302 96,897
 NET INCOME $ 46,365 $ 41,999 $ 132,068 $ 149,045
 NET INCOME PER COMMON
 AND COMMON EQUIVALENT
 SHARE $ 0.86 $ 0.85 $ 2.55 $ 2.94
 DIVIDENDS DECLARED
 PER COMMON SHARE $ 0.35 $ 0.35 $ 1.40 $ 1.34
 AVERAGE COMMON AND COMMON
 EQUIVALENT SHARES
 OUTSTANDING (000s) 53,824 49,662 51,797 50,683
 -0- 1/29/92
 /CONTACT: Frank N. Hawkins, Jr., 305-376-3838, or Lee Ann Schlatter, 305-376-3839, both of Knight-Ridder, Inc./
 (KRI) CO: Knight-Ridder, Inc. ST: Florida IN: PUB SU: ERN


SS-AW -- FL001 -- 4615 01/29/92 09:58 EST
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