Tribune Revises Circ Figures, Increases Advertisers' Compensation Amount

By: Jennifer Saba The Tribune Co. announced today that once again past circulation numbers for Newsday and Hoy would be revised downward. The company also said it was raising the amount of money set aside for advertiser's compensation from $35 million to somewhere between $45 and $60 million.

The start-up versions of Hoy based in Chicago and Los Angeles will withdraw their circulation figures for the six-month period ending March 2004.

The Audit Bureau of Circulations today praised Tribune's announcement and confirmed that the revised figures closely match their audit report expected by mid-October for Newsday and the beginning of November for Hoy. ABC's report for the six-month period ending March 2004 is expected in November.

Robert Troutbeck, chairman of the ABC Board, said in a statement, ?No audit, financial or circulation can provide absolute assurance. However, taken together, the changes we've made and those that we will continue to explore and implement will help close the audit expectation gap between reasonable assurance and absolute assurance.?

For the 12-month period ending September 2003, daily circulation at Newsday is expected to be revised downward to between 480,000 and 490,000, roughly 55,000 copies less than what the paper initially believed in June. Sunday circulation is expected to be between 570,000 and 580,000, approximately 35,000 copies less than the number announced in June.

For the six-month period ending March 2004, daily circulation at Newsday is expected to also be between 480,000 and 490,000. Sunday circulation is expected to be between 540,000 and 550,000.

These revisions will also affect the outcome of the September 2004 numbers, which are expected ?due to seasonal fluctuations, to be somewhat below the March 2004 range.?

At Hoy, for the 12-month period ending September 2003, daily circulation is expected to be between 45,000 and 55,000. And for the six-month period ending March 2004, daily circulation is expected to dip between 40,000 and 50,000.

?The ABC audit and our internal investigation at Newsday and Hoy, New York revealed a range of issues affecting circulation, including poor documentation, records mismanagement and programs that deliberately violated ABC regulations and Tribune policies,? Jack Fuller, president of Tribune Publishing, said in a statement. ?Since these discoveries, the publishers of both newspapers have left the company, we have changed the circulation management at both newspapers and implemented tougher circulation controls.

"In addition, the publisher, chief financial officer and vice president of circulation at all of our newspapers must now certify to Tribune on a quarterly basis as the accuracy of their newspaper's circulation and that ABC guidelines and Tribune polices have been followed. Finally, we will be working closely with ABC to make sure the circulation practices and procedures at Newsday and Hoy comply with ABC regulations.?