Printer Friendly

THE NEW YORK TIMES COMPANY ANNOUNCES FOURTH-QUARTER CHARGE

 NEW YORK, Dec. 6 /PRNewswire/ -- The New York Times Company (AMEX: NYT) announced today that fourth-quarter earnings will be negatively affected by $4.5 million ($.03 per share) as a result of severance and related charges resulting from voluntary early retirements from the composing room of The New York Times newspaper.
 Exclusive of the acquisition of The Boston Globe, as well as mandated accounting changes and other special one-time factors, the Company expects 1993 annual earnings to be in the range of $.70 to $.80 per share. This compares with $.66 per share in 1992. On the same basis, fourth-quarter 1993 earnings will be in the range of $.22 to $.32 per share compared with $.20 per share in 1992.
 Special charges that were previously announced that affect 1993 include:
 -- $.04 per share ($.02 per share in the third quarter and $.02 per share in the fourth quarter) due to the enactment of the Omnibus Budget Reconciliation Act of 1993 (Tax Act), which increased the Federal corporate income tax rate from 34 percent to 35 percent retroactively to Jan. 1, 1993, and affected the deductibility of certain costs
 -- $.05 per share (third quarter) that relates to the measurement of the Company's year-end 1992 deferred tax balances to reflect the higher tax rate as a result of the Tax Act
 -- $3.7 million pre-tax or $.02 per share (first quarter) due to a snowstorm in March that affected delivery of The Times, which resulted in advertising and circulation rate adjustments Annual operating profit for each line of business, exclusive of the October 1993 acquisition of The Boston Globe and the 1993 special factors, and the adoption of accounting changes and special factors in 1992, is expected to be in the following ranges:
 -- Newspaper Group: $123 million to $138 million in 1993 compared with $129 million in 1992
 -- Magazine Group: $11 million to $13 million in 1993 compared with $10 million in 1992 ($2 million of the change in 1993 is attributable to lower acquisition structuring costs)
 -- Broadcasting/Information Services Group: $19 million to $21 million in 1993 compared with $15 million in 1992
 -- Forest Products Group: (equity in earnings, an after-tax amount) $6 million to $8 million loss in 1993 compared with a loss of $9 million in 1992 One should recall that reported results for 1992 were affected by the following items:
 -- $33.4 million or $.43 per share for the adoption as of January 1, 1992, of three mandated non-cash accounting changes related to income taxes, postretirement benefits and postemployment benefits
 -- $3.1 million pre-tax or $.02 per share (first quarter) from the gains on the sale of assets
 -- $28.0 million pre-tax or $.20 per share (fourth quarter) to cover severance and related costs for production unions at The Times
 -- a pre-tax loss of $53.8 million or $.47 per share ($.01 per share in each of the first two quarters and $.45 per share in the third quarter) due to the closing of The Gwinnett (Ga.) Daily News, the sale of its residual assets and its 1992 operations
 -- $10.4 million pre-tax or $.07 per share ($2.8 million or $.02 per share in the third quarter; and $7.6 million or $.05 per share in the fourth quarter) for training and start-up costs related to The Times's new production and distribution facility located in Edison, N.J.
 -- $11.0 million pre-tax or $.08 per share (second quarter) due to labor disruptions arising from a dispute between independent distributors of The Times and its Drivers' Union
 -0- 12/6/93
 /CONTACT: Nancy Nielsen of The New York Times Company, 212-556-7078/
 (NYT.A)


CO: New York Times Company ST: New York IN: PUB SU: ERP

WB -- NY105 -- 1006 12/06/93 17:51 EST
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Dec 6, 1993
Words:626
Previous Article:CDP ACQUIRES HOUSTON BRANCH
Next Article:MFS COMMUNICATIONS COMPANY, INC. ANNOUNCES SENIOR DISCOUNT NOTE FILING
Topics:

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters