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KNIGHT-RIDDER REPORTS RESULTS

 KNIGHT-RIDDER REPORTS RESULTS
 MIAMI, July 21 /PRNewswire/ -- Knight-Ridder, Inc. (NYSE: KRI)


earned $.84 a share in the second quarter of 1992, a 2.4 percent increase over the $.82 a share earned in the same quarter in 1991.
 The results were impacted by a previously announced charge in the quarter related to buyout and severance provisions of new labor agreements at the company's jointly owned newspaper operation in Detroit. Excluding the impact of the $.12 charge, earnings per share would have been $.96 a share, a gain of 17.1 percent.
 Net income rose 10.9 percent to $46,090,000 from $41,573,000 in the second quarter of last year.
 Operating income was up 4.7 percent to $79,049,000 from $75,474,000 a year ago. Operating costs rose 2.4 percent to $511,482,000. This included a $10.5 million provision for the Detroit severance and buyout costs.
 Newspaper Division
 Knight-Ridder's Newspaper Division earned $80,631,000, after the severance and buyout provision noted above, a gain of 1.4 percent over the $79,525,000 earned in the second quarter of 1991. Newspaper Division operating revenue was up 1.9 percent to $494,947,000 from $485,850,000 in 1991. Total newspaper advertising revenue was up 0.3 percent to $370,252,000. Full-run ROP advertising linage was down 2.0 percent.
 Business Information Services Division
 Business Information Services operating profit increased 15.1 percent to $5,169,000 from $4,489,000 in the second quarter last year. Operating revenue for the division was up 7.4 percent to $95,584,000 from $88,992,000 in 1991.
 Comments by Chief Financial Officer Robert F. Singleton
 Robert F. Singleton, Knight-Ridder's chief financial officer, said, "We saw some welcome improvement during the quarter in national advertising revenue, which was up 5.8 percent as a result of increased airline and factory automotive advertising. Retail revenue was down slightly from a year ago. Classified revenue was essentially flat for the second consecutive quarter; however, we did see a steady improvement during the course of the quarter with a 1.3 percent gain in June.
 "Several of our newspaper markets, including Miami, St. Paul, Philadelphia and Detroit, showed some improvement in advertising revenue. But most of our markets continued to reflect the overall sluggish performance of the national economy," Singleton said.
 "Our positive results for the quarter came largely on the cost side. Excluding the $10.5 million provision in Detroit for severance and buyout costs, total operating costs were virtually flat thanks to a major contribution from lower newsprint costs. Newsprint, ink and supplements costs were $78,764,000, a drop of 18.8 percent from a year ago.
 "We began to feel the impact of the successful startup of our new $299.5 million production facility in Philadelphia. The first two of nine new press lines began operation on June 29. This increases our operating costs in Philadelphia as we phase in the startup of the new presses over the next four quarters," Singleton said.
 "We again recorded improvement in our Business Information Services operations. Dialog had a good quarter, with solid gains in subscribers and database usage. The growth of Knight-Ridder Financial continued with the help of double-digit sales of our MoneyCenter product line. But the rate of growth was hampered by some disconnects and softness in other product lines.
 "TKR Cable, the cable company we jointly own with Liberty media, had an excellent quarter and provided a useful contribution to earnings growth.
 "As we look ahead," Singleton said, "we remain on track for a respectable year of earnings growth in 1992. Newspaper advertising revenue has picked up in several key markets. Our BIS and cable operations are providing welcome growth and our costs are under control. The benefit of lower newsprint prices will continue to be favorable."
 Knight-Ridder is an international communications company engaged in newspaper publishing, business news and information services, electronic retrieval services, news, graphics and photo services, cable television and newsprint manufacturing. The company publishes 29 daily newspapers in the United States. Around the world, news, advertising and information from Knight-Ridder reach more than 100 million people in well over 100 countries.
 The financial schedules for the quarter follows.
 KNIGHT-RIDDER, INC. AND SUBSIDIARIES
 CONSOLIDATED STATEMENT OF INCOME
 (In thousands of dollars, except share data)
 Quarter Ended Two Quarters Ended
 June 28 June 30 June 28 June 30
 1992 1991 1992 1991
 OPERATING REVENUE
 Newspapers
 Advertising
 Retail $ 188,486 $ 189,996 $ 354,392 $ 363,265
 General 49,603 46,889 93,989 90,256
 Classified 132,163 132,145 255,894 255,922
 Total 370,252 369,030 704,275 709,443
 Circulation 115,006 108,550 230,241 215,157
 Other 9,689 8,270 19,429 17,176
 Total Newspapers 494,947 485,850 953,945 941,776
 Business Information
 Services 95,584 88,992 192,024 178,507
 Total Operating
 Revenue 590,531 574,842 1,145,969 1,120,283
 OPERATING COSTS
 Labor and employee
 benefits 249,834 230,431 489,178 463,987
 Newsprint, ink and
 supplements 78,764 96,981 160,431 193,357
 Other operating
 costs 151,152 140,618 302,353 285,064
 Depreciation and
 amortization 31,732 31,338 64,598 62,881
 Total Operating
 Costs 511,482 499,368 1,016,560 1,005,289
 OPERATING INCOME 79,049 75,474 129,409 114,994
 OTHER INCOME (EXPENSE)
 Interest expense (12,521) (18,735) (26,674) (37,988)
 Interest expense
 capitalized 7,109 5,249 13,786 10,221
 Interest income 829 1,641 2,254 3,487
 Other, net 1,091 2,652 (350) 1,299
 Total (3,492) (9,193) (10,984) (22,981)
 Income before
 income taxes 75,557 66,281 118,425 92,013
 Income taxes 29,467 24,708 47,329 34,610
 NET INCOME $ 46,090 $ 41,573 $ 71,096 $ 57,403
 NET INCOME PER COMMON
 AND COMMON EQUIVALENT
 SHARE $ 0.84 $ 0.82 $ 1.30 $ 1.14
 DIVIDENDS DECLARED
 PER COMMON SHARE $ 0.35 $ 0.35 $ 0.70 $ 0.70
 AVERAGE COMMON AND COMMON
 EQUIVALENT SHARES
 OUTSTANDING (000s) 55,149 50,747 54,898 50,460
 Four Quarters Ended
 June 28 June 30
 1992 1991
 OPERATING REVENUE
 Newspapers
 Advertising
 Retail $ 750,143 $ 778,475
 General 176,691 179,751
 Classified 497,659 530,818
 Total 1,424,493 1,489,044
 Circulation 454,113 420,886
 Other 37,380 33,650
 Total Newspapers 1,915,986 1,943,580
 Business Information
 Services 367,879 344,922
 Total Operating
 Revenue 2,283,865 2,288,502
 OPERATING COSTS
 Labor and employee
 benefits 967,541 931,806
 Newsprint, ink and
 supplements 346,888 396,307
 Other operating
 costs 587,621 566,539
 Depreciation and
 amortization 124,127 124,074
 Total Operating
 Costs 2,026,177 2,018,726
 OPERATING INCOME 257,688 269,776
 OTHER INCOME (EXPENSE)
 Interest expense (57,529) (74,149)
 Interest expense
 capitalized 25,707 16,971
 Interest income 5,200 7,216
 Other, net 5,716 2,204
 Total (20,906) (47,758)
 Income before
 income taxes 236,782 222,018
 Income taxes 91,021 86,028
 NET INCOME $ 145,761 $ 135,990
 NET INCOME PER COMMON
 AND COMMON EQUIVALENT
 SHARE $ 2.70 $ 2.70
 DIVIDENDS DECLARED
 PER COMMON SHARE $ 1.40 $ 1.38
 AVERAGE COMMON AND COMMON
 EQUIVALENT SHARES
 OUTSTANDING (000s) 54,016 50,321
 BUSINESS SEGMENT INFORMATION
 (In thousands of dollars)
 Quarter Ended Two Quarters Ended
 June 28, June 30, June 28, June 30,
 1992 1991 1992 1991
 Operating
 Revenue
 Newspapers $494,947 $485,850 $953,945 $941,776
 Business
 information
 services 95,584 88,992 192,024 178,507
 $590,531 $574,842 $1,145,969 $1,120,283
 Operating
 Income
 Newspapers $80,631 $79,525 $135,041 $124,887
 Business
 information
 services 5,169 4,489 9,793 8,285
 Corporate (6,751) (8,540) (15,425) (18,178)
 $79,049 $75,474 $129,409 $114,994
 Depreciation and
 Amortization
 Newspapers $21,581 $21,405 $44,301 $42,787
 Business
 information
 services 9,731 9,588 19,442 19,160
 Corporate 420 345 855 934
 $31,732 $31,338 $64,598 $62,881
 Four Quarter Ended
 June 28, June 30,
 1992 1991
 Operating Revenue
 Newspapers $1,915,986 $1,943,580
 Business information
 services 367,879 344,922
 $2,283,865 $2,288,502
 Operating Income
 Newspapers $269,738 $288,562
 Business information
 services 21,707 17,407
 Corporate (33,757) (36,193)
 $257,688 $269,776
 Depreciation and Amortization
 Newspapers $86,649 $85,942
 Business information
 services 35,795 36,116
 Corporate 1,683 2,016
 $124,127 $124,074
 -0- 7/21/92
 /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


JB-AW-SS -- FL004 -- 1291 07/21/92 11:39 EDT
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