Hollinger Int'l to Release 2003 Financials by Year's End

By: E&P Staff In its latest status update, Chicago Sun-Times owner Hollinger International said it would finish its long-delayed annual financial statement for the year ended Dec. 31, 2003 by the end of this year -- but Hollinger Inc., the holding company that controls the Chicago publisher, said Monday that would not be sufficient for it to file its own overdue financial statements.

In its bi-weekly status update to investors last Friday, the publisher of the Sun-Times and other Chicago-area dailies and weeklies said its auditors still needed time to review the figures in light of the weighty final report of the special committee that accused Conrad Black, the former head of both Hollinger entities, and other Hollinger International executives of "looting" the firm by collecting improper fees and payments. Hollinger International said it would complete the annual 2003 financial report by the end of the month, and soon after complete interim financial statements for the first, second, and third quarters of 2004.

"This is a necessary but not sufficient condition to permit Hollinger [Inc.] to complete and file its financial statements for the same periods, as the completion and audit of Hollinger's financial statements will require a level of cooperation from Hollinger International and its auditors which is still in negotiation," Hollinger Inc. said in its own status update issued after markets closed on Monday afternoon.

Hollinger Inc.'s principal asset is its approximately 68.0% voting and 18.2% equity interest in Hollinger International. The firm said the market value of its holdings in Hollinger International were about $296 million based on the stock price at the close of Dec. 10.