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NEW YORK TIMES COMPANY ASSESSES 1991 FOURTH-QUARTER AND YEAR OUTLOOK

 NEW YORK TIMES COMPANY ASSESSES 1991 FOURTH-QUARTER AND YEAR OUTLOOK
 NEW YORK, Dec. 13 /PRNewswire/ -- The New York Times Company (AMEX: NYT.A) said today that earnings for the 1991 fourth quarter would exceed 1990 and be higher than earlier anticipated. This is due to a change in the company's income tax provision and somewhat stronger earnings in the newspaper and magazine lines of business.
 As a result of these factors, the company currently anticipates that 1991 fourth-quarter earnings will be in the range of $.40 to $.45 per share as compared with $.16 per share in 1990. For the year, 1991 earnings are expected to be in the range of $.55 to $.60 per share. This range is after the second-quarter charge of $.15 per share for an early retirement program at The New York Times newspaper. In 1990 earnings per share were $.85.
 The factors positively affecting fourth quarter earnings are:
 -- The reversal of a provision for income tax contingencies of approximately $10 million, which relates to a settlement with the Internal Revenue Service for tax years 1980 through 1984, resulting in an increase of $.13 per share for 1991.
 -- Higher Newspaper Group earnings due to higher circulation revenues and stronger than anticipated advertising linage as well as lower expenses.
 Although advertising at The New York Times is stronger in the fourth quarter than in the first nine months of 1991, it is still expected to decline by about 11 percent from 1990 due to the continuing recession. Advertising was 17.9 percent below 1990 for the first nine months.
 Favorable year-end adjustments will also aid the group's results.
 -- Higher than anticipated Magazine Group earnings in the fourth quarter are due to strong performances by both the Women's Publishing and Sports/Leisure Divisions. Costs associated with the July 1989 acquisition of McCall's, which was structured to maximize cash flow, will be lower in 1991 than in 1990.
 Collective bargaining agreements that expire on March 30, 1993, state that if The Times and its production unions are unable to agree on certain matters relating to the startup of its new production and distribution facility in Edison, N.J., such matters will be decided by binding arbitration. On Dec. 12, 1991 an agreement in principle was reached with the Newspaper Mail and Deliverers' Union which will substantially reduce costs at the newspaper while providing job security for long-term employees. In conjunction with this agreement, the estimated cost of voluntary buyouts and benefit payments will be $9 million. This amount will be charged against a 1989 reserve provided for this purpose.
 Arbitration with the Mailers' Union is in process. If negotiated settlements with the Mailers' Union and other unions are reached, it is possible that there will be an additional charge against 1991 earnings. However, should the differences with the rest of the unions with jurisdiction at Edison be settled by binding arbitration with no subsequent agreements, the remaining amount of the 1989 reserve, approximately $16 million, will not be required.
 Last week, the company and Kimberly-Clark Corporation announced the completion of the divestiture of their jointly owned affiliate, Spruce Falls Power and Paper Company, Limited, to the employees of Spruce Falls. The company took an after-tax charge of $27 million at the end of 1989 with respect to its investment in Spruce Falls. The divestiture will not result in any further gain or loss.
 -0- 12/13/91
 /CONTACT: Nancy Nielsen of the New York Times, 212-556-7078/
 (NYT) CO: The New York Times Company ST: New York IN: PUB SU: ERN


TS -- NY006 -- 2278 12/13/91 09:55 EST
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Publication:PR Newswire
Date:Dec 13, 1991
Words:600
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