By: Lucia Moses
Company Cites Lower Ad Growth, Non-Recurring Charge
Pulitzer Inc. said fourth-quarter earnings per share (EPS) will
come in “slightly below” analysts’ consensus estimate of 47 cents
because of softening ad revenue growth and a 3 cent-charge
associated with an employee buyout being offered at the flagship
St. Louis Post-Dispatch.
“We are concerned with some revenue softness in retail, and to
some extent in classified,” President and CEO Robert C. Woodworth
said at the annual UBS Warburg Media Conference 2000 in New York
The Post-Dispatch expects to reduce its staff by 30, or
2%, through buyouts and attrition by the end of the year. The
buyout was offered to non-union employees in all departments in
mid November and is part of the paper’s ongoing effort to reduce
non-revenue-producing head count.
Looking ahead to 2001, Pulitzer predicted its total ad revenue
would increase 5% to 6%, with EPS coming in at $1.67 to $1.77.
The St. Louis-based company said the expected $50 per-ton
newsprint price increase could raise costs by about $10 million
in 2001. Noting some indications that the newsprint market is
starting to soften, Woodworth said, “I’m more optimistic about
newsprint pricing than I was a month ago.”
Lucia Moses (firstname.lastname@example.org) is an associate editor covering business for E&P.
Copyright 2000, Editor & Publisher.