NEW YORK | 13-1102020 | |
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) |
Large accelerated filer x | Accelerated filer o | Non-accelerated filer o | Smaller reporting company o |
Class A Common Stock | 148,633,764 | shares | |||
Class B Common Stock | 818,061 | shares |
ITEM NO. | ||||||
Financial Information | ||||||
Item | Financial Statements | |||||
Condensed Consolidated Balance Sheets as of June 30, 2013 (unaudited) and December 30, 2012 | ||||||
Condensed Consolidated Statements of Operations (unaudited) for the quarter and six months ended June 30, 2013 and June 24, 2012 | ||||||
Consolidated Statements of Comprehensive Income/(Loss) (unaudited) for the quarter and six months ended June 30, 2013 and June 24, 2012 | ||||||
Consolidated Statements of Cash Flows (unaudited) for the six months ended June 30, 2013 and June 24, 2012 | ||||||
Notes to the Condensed Consolidated Financial Statements | ||||||
Item | Management’s Discussion and Analysis of Financial Condition and Results of Operations | |||||
Item | Quantitative and Qualitative Disclosures about Market Risk | |||||
Item | Controls and Procedures | |||||
Other Information | ||||||
Item | 1A | Risk Factors | ||||
Item | 2 | Unregistered Sales of Equity Securities and Use of Proceeds | ||||
Item | 6 | Exhibits |
June 30, 2013 | December 30, 2012 | ||||||
(Unaudited) | |||||||
Assets | |||||||
Current assets | |||||||
Cash and cash equivalents | $ | 358,601 | $ | 820,489 | |||
Short-term marketable securities | 388,370 | 134,820 | |||||
Accounts receivable (net of allowances of $14,369 in 2013 and $17,390 in 2012) | 191,869 | 237,932 | |||||
Inventories: | |||||||
Newsprint and magazine paper | 7,434 | 8,038 | |||||
Other inventory | 1,931 | 2,376 | |||||
Total inventories | 9,365 | 10,414 | |||||
Deferred income taxes | 58,214 | 58,214 | |||||
Other current assets | 47,088 | 46,539 | |||||
Total current assets | 1,053,507 | 1,308,408 | |||||
Other assets | |||||||
Long-term marketable securities | 170,990 | 4,444 | |||||
Investments in joint ventures | 39,243 | 42,702 | |||||
Property, plant and equipment (less accumulated depreciation and amortization of $984,190 in 2013 and $941,728 in 2012) | 822,414 | 860,385 | |||||
Goodwill (less accumulated impairment losses of $805,218 in 2013 and 2012) | 121,433 | 122,691 | |||||
Deferred income taxes | 276,253 | 280,523 | |||||
Miscellaneous assets | 163,781 | 166,627 | |||||
Total assets | $ | 2,647,621 | $ | 2,785,780 |
June 30, 2013 | December 30, 2012 | ||||||
(Unaudited) | |||||||
Liabilities and stockholders’ equity | |||||||
Current liabilities | |||||||
Accounts payable | $ | 79,944 | $ | 96,962 | |||
Accrued payroll and other related liabilities | 73,119 | 95,180 | |||||
Unexpired subscriptions | 67,280 | 66,850 | |||||
Accrued expenses and other | 119,403 | 124,653 | |||||
Accrued income taxes | 13,355 | 38,932 | |||||
Total current liabilities | 353,101 | 422,577 | |||||
Other liabilities | |||||||
Long-term debt and capital lease obligations | 694,158 | 696,914 | |||||
Pension benefits obligation | 642,276 | 737,889 | |||||
Postretirement benefits obligation | 108,089 | 110,347 | |||||
Other | 145,258 | 152,418 | |||||
Total other liabilities | 1,589,781 | 1,697,568 | |||||
Stockholders’ equity | |||||||
Common stock of $.10 par value: | |||||||
Class A – authorized 300,000,000 shares; issued: 2013 – 150,472,065; 2012 – 150,270,975 (including treasury shares: 2013 – 2,305,554; 2012 – 2,483,537) | 15,047 | 15,027 | |||||
Class B – convertible – authorized and issued shares: 2013 – 818,061; 2012 – 818,385 (including treasury shares: 2013 – none; 2012 – none) | 82 | 82 | |||||
Additional paid-in capital | 27,818 | 25,610 | |||||
Retained earnings | 1,254,155 | 1,230,450 | |||||
Common stock held in treasury, at cost | (90,391 | ) | (96,278 | ) | |||
Accumulated other comprehensive loss, net of income taxes: | |||||||
Foreign currency translation adjustments | 10,091 | 11,327 | |||||
Unrealized loss on available-for-sale security | (498 | ) | (431 | ) | |||
Funded status of benefit plans | (514,633 | ) | (523,463 | ) | |||
Total accumulated other comprehensive loss, net of income taxes | (505,040 | ) | (512,567 | ) | |||
Total New York Times Company stockholders’ equity | 701,671 | 662,324 | |||||
Noncontrolling interest | 3,068 | 3,311 | |||||
Total stockholders’ equity | 704,739 | 665,635 | |||||
Total liabilities and stockholders’ equity | $ | 2,647,621 | $ | 2,785,780 |
For the Quarters Ended | For the Six Months Ended | |||||||||||||||
June 30, 2013 | June 24, 2012 | June 30, 2013 | June 24, 2012 | |||||||||||||
(13 weeks) | (26 weeks) | |||||||||||||||
Revenues | ||||||||||||||||
Circulation | $ | 245,132 | $ | 233,291 | $ | 486,921 | $ | 460,285 | ||||||||
Advertising | 207,454 | 220,228 | 398,621 | 435,462 | ||||||||||||
Other | 32,777 | 36,283 | 65,754 | 69,487 | ||||||||||||
Total revenues | 485,363 | 489,802 | 951,296 | 965,234 | ||||||||||||
Operating costs | ||||||||||||||||
Production costs: | ||||||||||||||||
Raw materials | 28,854 | 33,596 | 58,947 | 66,959 | ||||||||||||
Wages and benefits | 106,090 | 107,153 | 215,219 | 215,786 | ||||||||||||
Other | 57,452 | 61,829 | 114,496 | 122,540 | ||||||||||||
Total production costs | 192,396 | 202,578 | 388,662 | 405,285 | ||||||||||||
Selling, general and administrative costs | 217,928 | 220,236 | 442,131 | 449,360 | ||||||||||||
Depreciation and amortization | 21,608 | 22,920 | 43,408 | 53,036 | ||||||||||||
Total operating costs | 431,932 | 445,734 | 874,201 | 907,681 | ||||||||||||
Operating profit | 53,431 | 44,068 | 77,095 | 57,553 | ||||||||||||
Gain on sale of investment | — | 37,797 | — | 55,645 | ||||||||||||
Impairment of investments | — | — | — | 4,900 | ||||||||||||
(Loss)/income from joint ventures | (459 | ) | 1,079 | (3,399 | ) | 1,050 | ||||||||||
Interest expense, net | 14,646 | 15,464 | 28,720 | 30,916 | ||||||||||||
Income from continuing operations before income taxes | 38,326 | 67,480 | 44,976 | 78,432 | ||||||||||||
Income tax expense | 18,189 | 29,440 | 21,516 | 31,233 | ||||||||||||
Income from continuing operations | 20,137 | 38,040 | 23,460 | 47,199 | ||||||||||||
Loss from discontinued operations, net of income taxes | — | (125,689 | ) | — | (92,298 | ) | ||||||||||
Net income/(loss) | 20,137 | (87,649 | ) | 23,460 | (45,099 | ) | ||||||||||
Net (income)/loss attributable to the noncontrolling interest | (6 | ) | 27 | 243 | 80 | |||||||||||
Net income/(loss) attributable to The New York Times Company common stockholders | $ | 20,131 | $ | (87,622 | ) | $ | 23,703 | $ | (45,019 | ) | ||||||
Amounts attributable to The New York Times Company common stockholders: | ||||||||||||||||
Income from continuing operations | $ | 20,131 | $ | 38,067 | $ | 23,703 | $ | 47,279 | ||||||||
Loss from discontinued operations, net of income taxes | — | (125,689 | ) | — | (92,298 | ) | ||||||||||
Net income/(loss) | $ | 20,131 | $ | (87,622 | ) | $ | 23,703 | $ | (45,019 | ) | ||||||
Average number of common shares outstanding: | ||||||||||||||||
Basic | 148,797 | 148,005 | 148,754 | 147,936 | ||||||||||||
Diluted | 156,511 | 149,799 | 156,101 | 150,669 | ||||||||||||
Basic earnings/(loss) per share attributable to The New York Times Company common stockholders: | ||||||||||||||||
Income from continuing operations | $ | 0.14 | $ | 0.26 | $ | 0.16 | $ | 0.32 | ||||||||
Loss from discontinued operations, net of income taxes | — | (0.85 | ) | — | (0.62 | ) | ||||||||||
Net income/(loss) | $ | 0.14 | $ | (0.59 | ) | $ | 0.16 | $ | (0.30 | ) | ||||||
Diluted earnings/(loss) per share attributable to The New York Times Company common stockholders: | ||||||||||||||||
Income from continuing operations | $ | 0.13 | $ | 0.25 | $ | 0.15 | $ | 0.31 | ||||||||
Loss from discontinued operations, net of income taxes | — | (0.83 | ) | — | (0.61 | ) | ||||||||||
Net income/(loss) | $ | 0.13 | $ | (0.58 | ) | $ | 0.15 | $ | (0.30 | ) |
For the Quarters Ended | For the Six Months Ended | |||||||||||||||
June 30, 2013 | June 24, 2012 | June 30, 2013 | June 24, 2012 | |||||||||||||
(13 weeks) | (26 weeks) | |||||||||||||||
Net income/(loss) | $ | 20,137 | $ | (87,649 | ) | $ | 23,460 | $ | (45,099 | ) | ||||||
Other comprehensive income/(loss), before tax: | ||||||||||||||||
Foreign currency translation adjustments | 713 | (6,712 | ) | (1,764 | ) | (4,399 | ) | |||||||||
Unrealized derivative gain on cash-flow hedge of equity method investment | — | — | — | 1,143 | ||||||||||||
Unrealized gain/(loss) on available-for-sale security | 1,260 | (3,425 | ) | (114 | ) | 3,589 | ||||||||||
Pension and postretirement benefits obligation | 6,598 | 5,817 | 14,857 | (4,461 | ) | |||||||||||
Other comprehensive income/(loss), before tax | 8,571 | (4,320 | ) | 12,979 | (4,128 | ) | ||||||||||
Income tax expense/(benefit) | 3,672 | (1,647 | ) | 5,452 | (1,807 | ) | ||||||||||
Other comprehensive income/(loss), net of tax | 4,899 | (2,673 | ) | 7,527 | (2,321 | ) | ||||||||||
Comprehensive income/(loss) | 25,036 | (90,322 | ) | 30,987 | (47,420 | ) | ||||||||||
Comprehensive (income)/loss attributable to the noncontrolling interest | (6 | ) | 27 | 243 | 80 | |||||||||||
Comprehensive income/(loss) attributable to The New York Times Company common stockholders | $ | 25,030 | $ | (90,295 | ) | $ | 31,230 | $ | (47,340 | ) |
For the Six Months Ended | |||||||
June 30, 2013 | June 24, 2012 | ||||||
(26 weeks) | |||||||
Cash flows from operating activities | |||||||
Net income/(loss) | $ | 23,460 | $ | (45,099 | ) | ||
Adjustments to reconcile net income/(loss) to net cash (used in)/provided by operating activities: | |||||||
Impairment of assets | — | 194,732 | |||||
Gain on sale of investment | — | (55,645 | ) | ||||
Impairment of investments | — | 4,900 | |||||
Loss on sale of Regional Media Group | — | 4,717 | |||||
Depreciation and amortization | 43,408 | 57,811 | |||||
Stock-based compensation expense | 5,201 | 4,144 | |||||
Undistributed loss of equity method investments | 3,399 | 4,769 | |||||
Long-term retirement benefit obligations | (82,503 | ) | (21,925 | ) | |||
Other–net | 9,581 | 4,934 | |||||
Changes in operating assets and liabilities–net of dispositions: | |||||||
Accounts receivable–net | 46,063 | 35,954 | |||||
Inventories | 1,049 | 814 | |||||
Other current assets | 2,079 | (3,085 | ) | ||||
Accounts payable and other liabilities | (78,729 | ) | (116,028 | ) | |||
Unexpired subscriptions | 430 | 2,878 | |||||
Net cash (used in)/provided by operating activities | (26,562 | ) | 73,871 | ||||
Cash flows from investing activities | |||||||
Purchases of marketable securities | (584,600 | ) | (284,856 | ) | |||
Maturities of marketable securities | 160,262 | 109,844 | |||||
Capital expenditures | (6,983 | ) | (19,215 | ) | |||
Change in restricted cash | 2,000 | 3,287 | |||||
(Purchase of)/proceeds from investments–net | (541 | ) | 92,525 | ||||
Proceeds from sale of Regional Media Group | — | 140,044 | |||||
Net cash (used in)/provided by investing activities | (429,862 | ) | 41,629 | ||||
Cash flows from financing activities | |||||||
Long-term obligations: | |||||||
Repayment of debt and capital lease obligations | (5,925 | ) | (280 | ) | |||
Capital shares: | |||||||
Issuances from stock option exercises | 611 | 207 | |||||
Net cash used in financing activities | (5,314 | ) | (73 | ) | |||
(Decrease)/increase in cash and cash equivalents | (461,738 | ) | 115,427 | ||||
Effect of exchange rate changes on cash and cash equivalents | (150 | ) | (286 | ) | |||
Cash and cash equivalents at the beginning of the year | 820,489 | 175,151 | |||||
Cash and cash equivalents at the end of the quarter | $ | 358,601 | $ | 290,292 |
(In thousands) | March 31, 2013 | 2012 by quarter | December 25, 2011 | |||||||||||||||||||||
December 30, 2012 | September 23, 2012 | June 24, 2012 | March 25, 2012 | |||||||||||||||||||||
As previously reported: | ||||||||||||||||||||||||
Condensed Consolidated Balance Sheets | ||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||
Current assets | ||||||||||||||||||||||||
Cash and cash equivalents | $ | 308,014 | $ | 820,489 | $ | 334,374 | $ | 290,292 | $ | 206,468 | $ | 175,151 | ||||||||||||
Short-term marketable securities | 366,805 | 134,820 | 279,740 | 279,858 | 224,878 | 104,846 | ||||||||||||||||||
Accounts receivable (net of allowances) | 190,813 | 237,932 | 195,489 | 227,932 | 230,042 | 247,436 | ||||||||||||||||||
Inventories: | ||||||||||||||||||||||||
Newsprint and magazine paper | 9,235 | 8,038 | 11,536 | 13,589 | 16,643 | 14,567 | ||||||||||||||||||
Other inventory | 2,213 | 2,376 | 2,373 | 2,817 | 3,144 | 3,213 | ||||||||||||||||||
Total inventories | 11,448 | 10,414 | 13,909 | 16,406 | 19,787 | 17,780 | ||||||||||||||||||
Deferred income taxes | 58,214 | 58,214 | 73,055 | 73,055 | 73,055 | 73,055 | ||||||||||||||||||
Other current assets | 56,038 | 46,539 | 49,883 | 50,556 | 66,743 | 55,665 | ||||||||||||||||||
Assets held for sale | — | — | 223,887 | — | — | 590,002 | ||||||||||||||||||
Total current assets | 991,332 | 1,308,408 | 1,170,337 | 938,099 | 820,973 | 1,263,935 | ||||||||||||||||||
Other assets | ||||||||||||||||||||||||
Long-term marketable securities | 190,841 | 4,444 | — | — | — | — | ||||||||||||||||||
Investments in joint ventures | 40,169 | 42,702 | 43,151 | 43,541 | 45,138 | 82,019 | ||||||||||||||||||
Property, plant and equipment (less accumulated depreciation and amortization) | 842,383 | 860,385 | 877,883 | 896,093 | 912,338 | 937,140 | ||||||||||||||||||
Goodwill (less accumulated impairment losses) | 120,275 | 122,691 | 121,251 | 306,087 | 506,160 | 121,618 | ||||||||||||||||||
Deferred income taxes | 300,364 | 301,078 | 344,062 | 348,101 | 295,373 | 280,283 | ||||||||||||||||||
Miscellaneous assets | 165,613 | 166,627 | 168,881 | 184,885 | 237,798 | 198,455 | ||||||||||||||||||
Total assets | $ | 2,650,977 | $ | 2,806,335 | $ | 2,725,565 | $ | 2,716,806 | $ | 2,817,780 | $ | 2,883,450 | ||||||||||||
Liabilities and stockholders’ equity | ||||||||||||||||||||||||
Current liabilities | ||||||||||||||||||||||||
Accounts payable | $ | 88,513 | $ | 96,962 | $ | 94,315 | $ | 90,616 | $ | 93,126 | $ | 98,385 | ||||||||||||
Accrued payroll and other related liabilities | 60,959 | 95,180 | 97,401 | 81,920 | 80,945 | 112,024 | ||||||||||||||||||
Unexpired subscriptions | 69,114 | 66,850 | 66,537 | 65,776 | 67,863 | 63,103 | ||||||||||||||||||
Accrued expenses and other | 119,405 | 124,653 | 204,847 | 205,414 | 205,993 | 240,464 | ||||||||||||||||||
Accrued income taxes | — | 38,932 | — | — | — | — | ||||||||||||||||||
Total current liabilities | 337,991 | 422,577 | 463,100 | 443,726 | 447,927 | 513,976 | ||||||||||||||||||
Other liabilities | ||||||||||||||||||||||||
Long-term debt and capital lease obligations | 698,071 | 696,914 | 701,678 | 700,820 | 699,349 | 698,220 | ||||||||||||||||||
Pension benefits obligation | 714,505 | 788,268 | 830,868 | 848,669 | 860,836 | 880,504 | ||||||||||||||||||
Postretirement benefits obligation | 109,500 | 110,347 | 100,248 | 101,397 | 102,689 | 104,192 | ||||||||||||||||||
Other | 144,576 | 152,418 | 154,537 | 155,353 | 151,048 | 177,049 | ||||||||||||||||||
Total other liabilities | 1,666,652 | 1,747,947 | 1,787,331 | 1,806,239 | 1,813,922 | 1,859,965 | ||||||||||||||||||
Stockholders’ equity | ||||||||||||||||||||||||
Common stock of $.10 par value: | ||||||||||||||||||||||||
Class A | 15,045 | 15,027 | 15,023 | 15,009 | 15,005 | 15,001 | ||||||||||||||||||
Class B | 82 | 82 | 82 | 82 | 82 | 82 | ||||||||||||||||||
Additional paid-in capital | 27,656 | 25,610 | 31,181 | 34,278 | 35,820 | 32,024 | ||||||||||||||||||
Retained earnings | 1,222,936 | 1,219,798 | 1,042,888 | 1,040,606 | 1,128,755 | 1,086,625 | ||||||||||||||||||
Common stock held in treasury, at cost | (93,506 | ) | (96,278 | ) | (102,690 | ) | (107,572 | ) | (110,827 | ) | (110,974 | ) | ||||||||||||
Accumulated other comprehensive loss, net of income taxes: | ||||||||||||||||||||||||
Foreign currency translation adjustments | 9,858 | 11,327 | 10,418 | 8,286 | 12,382 | 10,928 | ||||||||||||||||||
Unrealized (loss)/gain on available-for-sale security | (1,242 | ) | (431 | ) | 732 | 2,102 | 4,109 | (652 | ) | |||||||||||||||
Funded status of benefit plans | (537,557 | ) | (542,635 | ) | (525,548 | ) | (529,019 | ) | (532,491 | ) | (526,674 | ) | ||||||||||||
Total accumulated other comprehensive loss, net of income taxes | (528,941 | ) | (531,739 | ) | (514,398 | ) | (518,631 | ) | (516,000 | ) | (516,398 | ) | ||||||||||||
Total New York Times Company stockholders’ equity | 643,272 | 632,500 | 472,086 | 463,772 | 552,835 | 506,360 | ||||||||||||||||||
Noncontrolling interest | 3,062 | 3,311 | 3,048 | 3,069 | 3,096 | 3,149 | ||||||||||||||||||
Total stockholders’ equity | 646,334 | 635,811 | 475,134 | 466,841 | 555,931 | 509,509 | ||||||||||||||||||
Total liabilities and stockholders’ equity | $ | 2,650,977 | $ | 2,806,335 | $ | 2,725,565 | $ | 2,716,806 | $ | 2,817,780 | $ | 2,883,450 |
(In thousands) | March 31, 2013 | 2012 by quarter | December 25, 2011 | |||||||||||||||||||||
December 30, 2012 | September 23, 2012 | June 24, 2012 | March 25, 2012 | |||||||||||||||||||||
Adjustments: | ||||||||||||||||||||||||
Condensed Consolidated Balance Sheets | ||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||
Current assets | ||||||||||||||||||||||||
Cash and cash equivalents | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||
Short-term marketable securities | — | — | — | — | — | — | ||||||||||||||||||
Accounts receivable (net of allowances) | — | — | — | — | — | — | ||||||||||||||||||
Inventories: | ||||||||||||||||||||||||
Newsprint and magazine paper | — | — | — | — | — | — | ||||||||||||||||||
Other inventory | — | — | — | — | — | — | ||||||||||||||||||
Total inventories | — | — | — | — | — | — | ||||||||||||||||||
Deferred income taxes | — | — | — | — | — | — | ||||||||||||||||||
Other current assets | — | — | — | — | — | — | ||||||||||||||||||
Assets held for sale | — | — | — | — | — | — | ||||||||||||||||||
Total current assets | — | — | — | — | — | — | ||||||||||||||||||
Other assets | ||||||||||||||||||||||||
Long-term marketable securities | — | — | — | — | — | — | ||||||||||||||||||
Investments in joint ventures | — | — | — | — | — | — | ||||||||||||||||||
Property, plant and equipment (less accumulated depreciation and amortization) | — | — | — | — | — | — | ||||||||||||||||||
Goodwill (less accumulated impairment losses) | — | — | — | — | — | — | ||||||||||||||||||
Deferred income taxes | (20,438 | ) | (20,555 | ) | (19,862 | ) | (19,493 | ) | (19,185 | ) | (18,820 | ) | ||||||||||||
Miscellaneous assets | — | — | — | — | — | — | ||||||||||||||||||
Total assets | $ | (20,438 | ) | $ | (20,555 | ) | $ | (19,862 | ) | $ | (19,493 | ) | $ | (19,185 | ) | $ | (18,820 | ) | ||||||
Liabilities and stockholders’ equity | ||||||||||||||||||||||||
Current liabilities | ||||||||||||||||||||||||
Accounts payable | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||
Accrued payroll and other related liabilities | — | — | — | — | — | — | ||||||||||||||||||
Unexpired subscriptions | — | — | — | — | — | — | ||||||||||||||||||
Accrued expenses and other | — | — | — | — | — | — | ||||||||||||||||||
Accrued income taxes | 360 | — | — | — | — | — | ||||||||||||||||||
Total current liabilities | 360 | — | — | — | — | — | ||||||||||||||||||
Other liabilities | ||||||||||||||||||||||||
Long-term debt and capital lease obligations | — | — | — | — | — | — | ||||||||||||||||||
Pension benefits obligation | (50,888 | ) | (50,379 | ) | (48,515 | ) | (47,723 | ) | (46,931 | ) | (46,138 | ) | ||||||||||||
Postretirement benefits obligation | — | — | — | — | — | — | ||||||||||||||||||
Other | — | — | — | — | — | — | ||||||||||||||||||
Total other liabilities | (50,888 | ) | (50,379 | ) | (48,515 | ) | (47,723 | ) | (46,931 | ) | (46,138 | ) | ||||||||||||
Stockholders’ equity | ||||||||||||||||||||||||
Common stock of $.10 par value: | ||||||||||||||||||||||||
Class A | — | — | — | — | — | — | ||||||||||||||||||
Class B | — | — | — | — | — | — | ||||||||||||||||||
Additional paid-in capital | — | — | — | — | — | — | ||||||||||||||||||
Retained earnings | 11,087 | 10,652 | 9,439 | 8,974 | 8,448 | 7,978 | ||||||||||||||||||
Common stock held in treasury, at cost | — | — | — | — | — | — | ||||||||||||||||||
Accumulated other comprehensive gain, net of income taxes: | ||||||||||||||||||||||||
Foreign currency translation adjustments | — | — | — | — | — | — | ||||||||||||||||||
Unrealized (loss)/gain on available-for-sale security | — | — | — | — | — | — | ||||||||||||||||||
Funded status of benefit plans | 19,003 | 19,172 | 19,214 | 19,256 | 19,298 | 19,340 | ||||||||||||||||||
Total accumulated other comprehensive gain, net of income taxes | 19,003 | 19,172 | 19,214 | 19,256 | 19,298 | 19,340 | ||||||||||||||||||
Total New York Times Company stockholders’ equity | 30,090 | 29,824 | 28,653 | 28,230 | 27,746 | 27,318 | ||||||||||||||||||
Noncontrolling interest | — | — | — | — | — | — | ||||||||||||||||||
Total stockholders’ equity | 30,090 | 29,824 | 28,653 | 28,230 | 27,746 | 27,318 | ||||||||||||||||||
Total liabilities and stockholders’ equity | $ | (20,438 | ) | $ | (20,555 | ) | $ | (19,862 | ) | $ | (19,493 | ) | $ | (19,185 | ) | $ | (18,820 | ) |
(In thousands) | March 31, 2013 | 2012 by quarter | December 25, 2011 | |||||||||||||||||||||
December 30, 2012 | September 23, 2012 | June 24, 2012 | March 25, 2012 | |||||||||||||||||||||
As adjusted: | ||||||||||||||||||||||||
Condensed Consolidated Balance Sheets | ||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||
Current assets | ||||||||||||||||||||||||
Cash and cash equivalents | $ | 308,014 | $ | 820,489 | $ | 334,374 | $ | 290,292 | $ | 206,468 | $ | 175,151 | ||||||||||||
Short-term marketable securities | 366,805 | 134,820 | 279,740 | 279,858 | 224,878 | 104,846 | ||||||||||||||||||
Accounts receivable (net of allowances) | 190,813 | 237,932 | 195,489 | 227,932 | 230,042 | 247,436 | ||||||||||||||||||
Inventories: | ||||||||||||||||||||||||
Newsprint and magazine paper | 9,235 | 8,038 | 11,536 | 13,589 | 16,643 | 14,567 | ||||||||||||||||||
Other inventory | 2,213 | 2,376 | 2,373 | 2,817 | 3,144 | 3,213 | ||||||||||||||||||
Total inventories | 11,448 | 10,414 | 13,909 | 16,406 | 19,787 | 17,780 | ||||||||||||||||||
Deferred income taxes | 58,214 | 58,214 | 73,055 | 73,055 | 73,055 | 73,055 | ||||||||||||||||||
Other current assets | 56,038 | 46,539 | 49,883 | 50,556 | 66,743 | 55,665 | ||||||||||||||||||
Assets held for sale | — | — | 223,887 | — | — | 590,002 | ||||||||||||||||||
Total current assets | 991,332 | 1,308,408 | 1,170,337 | 938,099 | 820,973 | 1,263,935 | ||||||||||||||||||
Other assets | ||||||||||||||||||||||||
Long-term marketable securities | 190,841 | 4,444 | — | — | — | — | ||||||||||||||||||
Investments in joint ventures | 40,169 | 42,702 | 43,151 | 43,541 | 45,138 | 82,019 | ||||||||||||||||||
Property, plant and equipment (less accumulated depreciation and amortization) | 842,383 | 860,385 | 877,883 | 896,093 | 912,338 | 937,140 | ||||||||||||||||||
Goodwill (less accumulated impairment losses) | 120,275 | 122,691 | 121,251 | 306,087 | 506,160 | 121,618 | ||||||||||||||||||
Deferred income taxes | 279,926 | 280,523 | 324,200 | 328,608 | 276,188 | 261,463 | ||||||||||||||||||
Miscellaneous assets | 165,613 | 166,627 | 168,881 | 184,885 | 237,798 | 198,455 | ||||||||||||||||||
Total assets | $ | 2,630,539 | $ | 2,785,780 | $ | 2,705,703 | $ | 2,697,313 | $ | 2,798,595 | $ | 2,864,630 | ||||||||||||
Liabilities and stockholders’ equity | ||||||||||||||||||||||||
Current liabilities | ||||||||||||||||||||||||
Accounts payable | $ | 88,513 | $ | 96,962 | $ | 94,315 | $ | 90,616 | $ | 93,126 | $ | 98,385 | ||||||||||||
Accrued payroll and other related liabilities | 60,959 | 95,180 | 97,401 | 81,920 | 80,945 | 112,024 | ||||||||||||||||||
Unexpired subscriptions | 69,114 | 66,850 | 66,537 | 65,776 | 67,863 | 63,103 | ||||||||||||||||||
Accrued expenses and other | 119,405 | 124,653 | 204,847 | 205,414 | 205,993 | 240,464 | ||||||||||||||||||
Accrued income taxes | 360 | 38,932 | — | — | — | — | ||||||||||||||||||
Total current liabilities | 338,351 | 422,577 | 463,100 | 443,726 | 447,927 | 513,976 | ||||||||||||||||||
Other liabilities | ||||||||||||||||||||||||
Long-term debt and capital lease obligations | 698,071 | 696,914 | 701,678 | 700,820 | 699,349 | 698,220 | ||||||||||||||||||
Pension benefits obligation | 663,617 | 737,889 | 782,353 | 800,946 | 813,905 | 834,366 | ||||||||||||||||||
Postretirement benefits obligation | 109,500 | 110,347 | 100,248 | 101,397 | 102,689 | 104,192 | ||||||||||||||||||
Other | 144,576 | 152,418 | 154,537 | 155,353 | 151,048 | 177,049 | ||||||||||||||||||
Total other liabilities | 1,615,764 | 1,697,568 | 1,738,816 | 1,758,516 | 1,766,991 | 1,813,827 | ||||||||||||||||||
Stockholders’ equity | ||||||||||||||||||||||||
Common stock of $.10 par value: | ||||||||||||||||||||||||
Class A | 15,045 | 15,027 | 15,023 | 15,009 | 15,005 | 15,001 | ||||||||||||||||||
Class B | 82 | 82 | 82 | 82 | 82 | 82 | ||||||||||||||||||
Additional paid-in capital | 27,656 | 25,610 | 31,181 | 34,278 | 35,820 | 32,024 | ||||||||||||||||||
Retained earnings | 1,234,023 | 1,230,450 | 1,052,327 | 1,049,580 | 1,137,203 | 1,094,603 | ||||||||||||||||||
Common stock held in treasury, at cost | (93,506 | ) | (96,278 | ) | (102,690 | ) | (107,572 | ) | (110,827 | ) | (110,974 | ) | ||||||||||||
Accumulated other comprehensive loss, net of income taxes: | ||||||||||||||||||||||||
Foreign currency translation adjustments | 9,858 | 11,327 | 10,418 | 8,286 | 12,382 | 10,928 | ||||||||||||||||||
Unrealized (loss)/gain on available-for-sale security | (1,242 | ) | (431 | ) | 732 | 2,102 | 4,109 | (652 | ) | |||||||||||||||
Funded status of benefit plans | (518,554 | ) | (523,463 | ) | (506,334 | ) | (509,763 | ) | (513,193 | ) | (507,334 | ) | ||||||||||||
Total accumulated other comprehensive loss, net of income taxes | (509,938 | ) | (512,567 | ) | (495,184 | ) | (499,375 | ) | (496,702 | ) | (497,058 | ) | ||||||||||||
Total New York Times Company stockholders’ equity | 673,362 | 662,324 | 500,739 | 492,002 | 580,581 | 533,678 | ||||||||||||||||||
Noncontrolling interest | 3,062 | 3,311 | 3,048 | 3,069 | 3,096 | 3,149 | ||||||||||||||||||
Total stockholders’ equity | 676,424 | 665,635 | 503,787 | 495,071 | 583,677 | 536,827 | ||||||||||||||||||
Total liabilities and stockholders’ equity | $ | 2,630,539 | $ | 2,785,780 | $ | 2,705,703 | $ | 2,697,313 | $ | 2,798,595 | $ | 2,864,630 |
(In thousands, except per share data) | March 31, 2013 | Full Year 2012 | 2012 by quarter | Full Year 2011 | ||||||||||||||||||||||||
December 30, 2012 | September 23, 2012 | June 24, 2012 | March 25, 2012 | |||||||||||||||||||||||||
As previously reported: | ||||||||||||||||||||||||||||
Condensed Consolidated Statements of Operations | ||||||||||||||||||||||||||||
Revenues | $ | 465,933 | $ | 1,990,080 | $ | 575,818 | $ | 449,028 | $ | 489,802 | $ | 475,432 | $ | 1,952,630 | ||||||||||||||
Operating costs | ||||||||||||||||||||||||||||
Production costs | 196,874 | 832,228 | 224,110 | 201,577 | 203,206 | 203,335 | 810,569 | |||||||||||||||||||||
Selling, general and administrative costs | 224,389 | 901,405 | 235,114 | 216,457 | 220,473 | 229,361 | 886,232 | |||||||||||||||||||||
Depreciation and amortization | 21,800 | 96,758 | 21,237 | 22,485 | 22,920 | 30,116 | 94,224 | |||||||||||||||||||||
Total operating costs | 443,063 | 1,830,391 | 480,461 | 440,519 | 446,599 | 462,812 | 1,791,025 | |||||||||||||||||||||
Pension settlement expense | — | 48,729 | 48,729 | — | — | — | — | |||||||||||||||||||||
Other expense | — | 2,620 | 2,620 | — | — | — | 4,500 | |||||||||||||||||||||
Impairment of assets | — | — | — | — | — | — | 9,225 | |||||||||||||||||||||
Pension withdrawal expense | — | — | — | — | — | — | 4,228 | |||||||||||||||||||||
Operating profit | 22,870 | 108,340 | 44,008 | 8,509 | 43,203 | 12,620 | 143,652 | |||||||||||||||||||||
Gain on sale of investment | — | 220,275 | 164,630 | — | 37,797 | 17,848 | 71,171 | |||||||||||||||||||||
Impairment of investments | — | 5,500 | — | 600 | — | 4,900 | — | |||||||||||||||||||||
(Loss)/income from joint ventures | (2,940 | ) | 3,004 | 927 | 1,027 | 1,079 | (29 | ) | 28 | |||||||||||||||||||
Premium on debt redemption | — | — | — | — | — | — | 46,381 | |||||||||||||||||||||
Interest expense, net | 14,074 | 62,815 | 16,402 | 15,497 | 15,464 | 15,452 | 85,243 | |||||||||||||||||||||
Income/(loss) from continuing operations before income taxes | 5,856 | 263,304 | 193,163 | (6,561 | ) | 66,615 | 10,087 | 83,227 | ||||||||||||||||||||
Income tax expense/(benefit) | 2,967 | 103,482 | 75,775 | (2,796 | ) | 29,102 | 1,401 | 31,932 | ||||||||||||||||||||
Income/(loss) from continuing operations | 2,889 | 159,822 | 117,388 | (3,765 | ) | 37,513 | 8,686 | 51,295 | ||||||||||||||||||||
(Loss)/income from discontinued operations, net of income taxes | — | (26,483 | ) | 59,789 | 6,026 | (125,689 | ) | 33,391 | (91,519 | ) | ||||||||||||||||||
Net income/(loss) | 2,889 | 133,339 | 177,177 | 2,261 | (88,176 | ) | 42,077 | (40,224 | ) | |||||||||||||||||||
Net loss/(income) attributable to the noncontrolling interest | 249 | (166 | ) | (267 | ) | 21 | 27 | 53 | 555 | |||||||||||||||||||
Net income/(loss) attributable to The New York Times Company common stockholders | $ | 3,138 | $ | 133,173 | $ | 176,910 | $ | 2,282 | $ | (88,149 | ) | $ | 42,130 | $ | (39,669 | ) | ||||||||||||
Amounts attributable to The New York Times Company common stockholders: | ||||||||||||||||||||||||||||
Income/(loss) from continuing operations | $ | 3,138 | $ | 159,656 | $ | 117,121 | $ | (3,744 | ) | $ | 37,540 | $ | 8,739 | $ | 51,850 | |||||||||||||
(Loss)/income from discontinued operations, net of income taxes | — | (26,483 | ) | 59,789 | 6,026 | (125,689 | ) | 33,391 | (91,519 | ) | ||||||||||||||||||
Net income/(loss) | $ | 3,138 | $ | 133,173 | $ | 176,910 | $ | 2,282 | $ | (88,149 | ) | $ | 42,130 | $ | (39,669 | ) | ||||||||||||
Average number of common shares outstanding: | ||||||||||||||||||||||||||||
Basic | 148,710 | 148,147 | 148,461 | 148,254 | 148,005 | 147,867 | 147,190 | |||||||||||||||||||||
Diluted | 155,270 | 152,693 | 154,685 | 148,254 | 149,799 | 151,468 | 152,007 | |||||||||||||||||||||
Basic earnings per share attributable to The New York Times Company common stockholders: | ||||||||||||||||||||||||||||
Income/(loss) from continuing operations | $ | 0.02 | $ | 1.08 | $ | 0.79 | $ | (0.02 | ) | $ | 0.25 | $ | 0.06 | $ | 0.35 | |||||||||||||
(Loss)/income from discontinued operations, net of income taxes | — | (0.18 | ) | 0.40 | 0.04 | (0.85 | ) | 0.22 | (0.62 | ) | ||||||||||||||||||
Net income/(loss) | $ | 0.02 | $ | 0.90 | $ | 1.19 | $ | 0.02 | $ | (0.60 | ) | $ | 0.28 | $ | (0.27 | ) | ||||||||||||
Diluted earnings per share attributable to The New York Times Company common stockholders: | ||||||||||||||||||||||||||||
Income/(loss) from continuing operations | $ | 0.02 | $ | 1.04 | $ | 0.76 | $ | (0.02 | ) | $ | 0.25 | $ | 0.06 | $ | 0.34 | |||||||||||||
(Loss)/income from discontinued operations, net of income taxes | — | (0.17 | ) | 0.38 | 0.04 | (0.84 | ) | 0.22 | (0.60 | ) | ||||||||||||||||||
Net income/(loss) | $ | 0.02 | $ | 0.87 | $ | 1.14 | $ | 0.02 | $ | (0.59 | ) | $ | 0.28 | $ | (0.26 | ) |
(In thousands, except per share data) | March 31, 2013 | Full Year 2012 | 2012 by quarter | Full Year 2011 | ||||||||||||||||||||||||
December 30, 2012 | September 23, 2012 | June 24, 2012 | March 25, 2012 | |||||||||||||||||||||||||
Adjustments: | ||||||||||||||||||||||||||||
Condensed Consolidated Statements of Operations | ||||||||||||||||||||||||||||
Revenues | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||||
Operating costs | ||||||||||||||||||||||||||||
Production costs | (607 | ) | (2,565 | ) | (676 | ) | (633 | ) | (628 | ) | (628 | ) | (2,113 | ) | ||||||||||||||
Selling, general and administrative costs | (188 | ) | (889 | ) | (185 | ) | (230 | ) | (237 | ) | (237 | ) | (786 | ) | ||||||||||||||
Depreciation and amortization | — | — | — | — | — | — | — | |||||||||||||||||||||
Total operating costs | (795 | ) | (3,454 | ) | (861 | ) | (863 | ) | (865 | ) | (865 | ) | (2,899 | ) | ||||||||||||||
Pension settlement expense | — | (1,072 | ) | (1,072 | ) | — | — | — | — | |||||||||||||||||||
Other expense | — | — | — | — | — | — | — | |||||||||||||||||||||
Impairment of assets | — | — | — | — | — | — | — | |||||||||||||||||||||
Pension withdrawal expense | — | — | — | — | — | — | — | |||||||||||||||||||||
Operating profit | 795 | 4,526 | 1,933 | 863 | 865 | 865 | 2,899 | |||||||||||||||||||||
Gain on sale of investment | — | — | — | — | — | — | — | |||||||||||||||||||||
Impairment of investments | — | — | — | — | — | — | — | |||||||||||||||||||||
(Loss)/income from joint ventures | — | — | — | — | — | — | — | |||||||||||||||||||||
Premium on debt redemption | — | — | — | — | — | — | — | |||||||||||||||||||||
Interest expense, net | — | — | — | — | — | — | — | |||||||||||||||||||||
Income from continuing operations before income taxes | 795 | 4,526 | 1,933 | 863 | 865 | 865 | 2,899 | |||||||||||||||||||||
Income tax expense | 361 | 1,852 | 722 | 400 | 338 | 392 | 878 | |||||||||||||||||||||
Income from continuing operations | 434 | 2,674 | 1,211 | 463 | 527 | 473 | 2,021 | |||||||||||||||||||||
(Loss)/income from discontinued operations, net of income taxes | — | — | — | — | — | — | — | |||||||||||||||||||||
Net income | 434 | 2,674 | 1,211 | 463 | 527 | 473 | 2,021 | |||||||||||||||||||||
Net loss/(income) attributable to the noncontrolling interest | — | — | — | — | — | — | — | |||||||||||||||||||||
Net income attributable to The New York Times Company common stockholders | $ | 434 | $ | 2,674 | $ | 1,211 | $ | 463 | $ | 527 | $ | 473 | $ | 2,021 | ||||||||||||||
Amounts attributable to The New York Times Company common stockholders: | ||||||||||||||||||||||||||||
Income from continuing operations | $ | 434 | $ | 2,674 | $ | 1,211 | $ | 463 | $ | 527 | $ | 473 | $ | 2,021 | ||||||||||||||
(Loss)/income from discontinued operations, net of income taxes | — | — | — | — | — | — | — | |||||||||||||||||||||
Net income | $ | 434 | $ | 2,674 | $ | 1,211 | $ | 463 | $ | 527 | $ | 473 | $ | 2,021 | ||||||||||||||
Average number of common shares outstanding: | ||||||||||||||||||||||||||||
Basic | 148,710 | 148,147 | 148,461 | 148,254 | 148,005 | 147,867 | 147,190 | |||||||||||||||||||||
Diluted | 155,270 | 152,693 | 154,685 | 148,254 | 149,799 | 151,468 | 152,007 | |||||||||||||||||||||
Basic earnings per share attributable to The New York Times Company common stockholders: | ||||||||||||||||||||||||||||
Income from continuing operations | $ | — | $ | 0.02 | $ | 0.01 | $ | — | $ | 0.01 | $ | — | $ | 0.01 | ||||||||||||||
(Loss)/income from discontinued operations, net of income taxes | — | — | — | — | — | — | ||||||||||||||||||||||
Net income | $ | — | $ | 0.02 | $ | 0.01 | $ | — | $ | 0.01 | $ | — | $ | 0.01 | ||||||||||||||
Diluted earnings per share attributable to The New York Times Company common stockholders: | ||||||||||||||||||||||||||||
Income from continuing operations | $ | — | $ | 0.02 | $ | — | $ | — | $ | — | $ | — | $ | 0.01 | ||||||||||||||
(Loss)/income from discontinued operations, net of income taxes | — | — | — | — | — | — | — | |||||||||||||||||||||
Net income | $ | — | $ | 0.02 | $ | — | $ | — | $ | — | $ | — | $ | 0.01 |
(In thousands, except per share data) | March 31, 2013 | Full Year 2012 | 2012 by quarter | Full Year 2011 | ||||||||||||||||||||||||
December 30, 2012 | September 23, 2012 | June 24, 2012 | March 25, 2012 | |||||||||||||||||||||||||
As adjusted: | ||||||||||||||||||||||||||||
Condensed Consolidated Statements of Operations | ||||||||||||||||||||||||||||
Revenues | $ | 465,933 | $ | 1,990,080 | $ | 575,818 | $ | 449,028 | $ | 489,802 | $ | 475,432 | $ | 1,952,630 | ||||||||||||||
Operating costs | ||||||||||||||||||||||||||||
Production costs | 196,267 | 829,663 | 223,434 | 200,944 | 202,578 | 202,707 | 808,456 | |||||||||||||||||||||
Selling, general and administrative costs | 224,201 | 900,516 | 234,929 | 216,227 | 220,236 | 229,124 | 885,446 | |||||||||||||||||||||
Depreciation and amortization | 21,800 | 96,758 | 21,237 | 22,485 | 22,920 | 30,116 | 94,224 | |||||||||||||||||||||
Total operating costs | 442,268 | 1,826,937 | 479,600 | 439,656 | 445,734 | 461,947 | 1,788,126 | |||||||||||||||||||||
Pension settlement expense | — | 47,657 | 47,657 | — | — | — | — | |||||||||||||||||||||
Other expense | — | 2,620 | 2,620 | — | — | — | 4,500 | |||||||||||||||||||||
Impairment of assets | — | — | — | — | — | — | 9,225 | |||||||||||||||||||||
Pension withdrawal expense | — | — | — | — | — | — | 4,228 | |||||||||||||||||||||
Operating profit | 23,665 | 112,866 | 45,941 | 9,372 | 44,068 | 13,485 | 146,551 | |||||||||||||||||||||
Gain on sale of investment | — | 220,275 | 164,630 | — | 37,797 | 17,848 | 71,171 | |||||||||||||||||||||
Impairment of investments | — | 5,500 | — | 600 | — | 4,900 | — | |||||||||||||||||||||
(Loss)/income from joint ventures | (2,940 | ) | 3,004 | 927 | 1,027 | 1,079 | (29 | ) | 28 | |||||||||||||||||||
Premium on debt redemption | — | — | — | — | — | — | 46,381 | |||||||||||||||||||||
Interest expense, net | 14,074 | 62,815 | 16,402 | 15,497 | 15,464 | 15,452 | 85,243 | |||||||||||||||||||||
Income/(loss) from continuing operations before income taxes | 6,651 | 267,830 | 195,096 | (5,698 | ) | 67,480 | 10,952 | 86,126 | ||||||||||||||||||||
Income tax expense/(benefit) | 3,328 | 105,334 | 76,497 | (2,396 | ) | 29,440 | 1,793 | 32,810 | ||||||||||||||||||||
Income/(loss) from continuing operations | 3,323 | 162,496 | 118,599 | (3,302 | ) | 38,040 | 9,159 | 53,316 | ||||||||||||||||||||
(Loss)/income from discontinued operations, net of income taxes | — | (26,483 | ) | 59,789 | 6,026 | (125,689 | ) | 33,391 | (91,519 | ) | ||||||||||||||||||
Net income/(loss) | 3,323 | 136,013 | 178,388 | 2,724 | (87,649 | ) | 42,550 | (38,203 | ) | |||||||||||||||||||
Net loss/(income) attributable to the noncontrolling interest | 249 | (166 | ) | (267 | ) | 21 | 27 | 53 | 555 | |||||||||||||||||||
Net income/(loss) attributable to The New York Times Company common stockholders | $ | 3,572 | $ | 135,847 | $ | 178,121 | $ | 2,745 | $ | (87,622 | ) | $ | 42,603 | $ | (37,648 | ) | ||||||||||||
Amounts attributable to The New York Times Company common stockholders: | ||||||||||||||||||||||||||||
Income/(loss) from continuing operations | $ | 3,572 | $ | 162,330 | $ | 118,332 | $ | (3,281 | ) | $ | 38,067 | $ | 9,212 | $ | 53,871 | |||||||||||||
(Loss)/income from discontinued operations, net of income taxes | — | (26,483 | ) | 59,789 | 6,026 | (125,689 | ) | 33,391 | (91,519 | ) | ||||||||||||||||||
Net income/(loss) | $ | 3,572 | $ | 135,847 | $ | 178,121 | $ | 2,745 | $ | (87,622 | ) | $ | 42,603 | $ | (37,648 | ) | ||||||||||||
Average number of common shares outstanding: | ||||||||||||||||||||||||||||
Basic | 148,710 | 148,147 | 148,461 | 148,254 | 148,005 | 147,867 | 147,190 | |||||||||||||||||||||
Diluted | 155,270 | 152,693 | 154,685 | 148,254 | 149,799 | 151,468 | 152,007 | |||||||||||||||||||||
Basic earnings per share attributable to The New York Times Company common stockholders: | ||||||||||||||||||||||||||||
Income/(loss) from continuing operations | $ | 0.02 | $ | 1.10 | $ | 0.80 | $ | (0.02 | ) | $ | 0.26 | $ | 0.06 | $ | 0.36 | |||||||||||||
(Loss)/income from discontinued operations, net of income taxes | — | (0.18 | ) | 0.40 | 0.04 | (0.85 | ) | 0.23 | (0.62 | ) | ||||||||||||||||||
Net income/(loss) | $ | 0.02 | $ | 0.92 | $ | 1.20 | $ | 0.02 | $ | (0.59 | ) | $ | 0.29 | $ | (0.26 | ) | ||||||||||||
Diluted earnings per share attributable to The New York Times Company common stockholders: | ||||||||||||||||||||||||||||
Income/(loss) from continuing operations | $ | 0.02 | $ | 1.06 | $ | 0.76 | $ | (0.02 | ) | $ | 0.25 | $ | 0.06 | $ | 0.35 | |||||||||||||
(Loss)/income from discontinued operations, net of income taxes | — | (0.17 | ) | 0.39 | 0.04 | (0.83 | ) | 0.22 | (0.60 | ) | ||||||||||||||||||
Net income/(loss) | $ | 0.02 | $ | 0.89 | $ | 1.15 | $ | 0.02 | $ | (0.58 | ) | $ | 0.28 | $ | (0.25 | ) |
2012 by quarter | ||||||||||||||||||||||||||||
(In thousands) | March 31, 2013 | Full Year 2012 | December 30, 2012 | September 23, 2012 | June 24, 2012 | March 25, 2012 | Full Year 2011 | |||||||||||||||||||||
As previously reported: | ||||||||||||||||||||||||||||
Condensed Consolidated Statements of Comprehensive Income/(Loss) | ||||||||||||||||||||||||||||
Net income/(loss) | $ | 2,889 | $ | 133,339 | $ | 177,177 | $ | 2,261 | $ | (88,176 | ) | $ | 42,077 | $ | (40,224 | ) | ||||||||||||
Other comprehensive income/(loss), before tax: | ||||||||||||||||||||||||||||
Foreign currency translation adjustments | (2,477 | ) | 536 | 1,684 | 3,251 | (6,712 | ) | 2,313 | (523 | ) | ||||||||||||||||||
Unrealized derivative gain on cash-flow hedge of equity method investment | — | 1,143 | — | — | — | 1,143 | 839 | |||||||||||||||||||||
Unrealized (loss)/gain on available-for-sale security | (1,374 | ) | (729 | ) | (1,980 | ) | (2,338 | ) | (3,425 | ) | 7,014 | — | ||||||||||||||||
Pension and postretirement benefits obligation | 8,546 | (26,938 | ) | (28,507 | ) | 5,888 | 5,888 | (10,207 | ) | (219,590 | ) | |||||||||||||||||
Other comprehensive income/(loss), before tax | 4,695 | (25,988 | ) | (28,803 | ) | 6,801 | (4,249 | ) | 263 | (219,274 | ) | |||||||||||||||||
Income tax expense/(benefit) | 1,897 | (10,643 | ) | (11,458 | ) | 2,568 | (1,618 | ) | (135 | ) | (89,502 | ) | ||||||||||||||||
Other comprehensive income/(loss), net of tax | 2,798 | (15,345 | ) | (17,345 | ) | 4,233 | (2,631 | ) | 398 | (129,772 | ) | |||||||||||||||||
Comprehensive income/(loss) | 5,687 | 117,994 | 159,832 | 6,494 | (90,807 | ) | 42,475 | (169,996 | ) | |||||||||||||||||||
Comprehensive loss/(income) attributable to the noncontrolling interest | 249 | (162 | ) | (263 | ) | 21 | 27 | 53 | 1,000 | |||||||||||||||||||
Comprehensive income/(loss) attributable to The New York Times Company common stockholders | $ | 5,936 | $ | 117,832 | $ | 159,569 | $ | 6,515 | $ | (90,780 | ) | $ | 42,528 | $ | (168,996 | ) |
2012 by quarter | ||||||||||||||||||||||||||||
(In thousands) | March 31, 2013 | Full Year 2012 | December 30, 2012 | September 23, 2012 | June 24, 2012 | March 25, 2012 | Full Year 2011 | |||||||||||||||||||||
Adjustments: | ||||||||||||||||||||||||||||
Condensed Consolidated Statements of Comprehensive Income/(Loss) | ||||||||||||||||||||||||||||
Net income | $ | 434 | $ | 2,674 | $ | 1,211 | $ | 463 | $ | 527 | $ | 473 | $ | 2,021 | ||||||||||||||
Other comprehensive income, before tax: | ||||||||||||||||||||||||||||
Foreign currency translation adjustments | — | — | — | — | — | — | — | |||||||||||||||||||||
Unrealized derivative gain on cash-flow hedge of equity method investment | — | — | — | — | — | — | — | |||||||||||||||||||||
Unrealized (loss)/gain on available-for-sale security | — | — | — | — | — | — | — | |||||||||||||||||||||
Pension and postretirement benefits obligation | (287 | ) | (284 | ) | (71 | ) | (71 | ) | (71 | ) | (71 | ) | 8,301 | |||||||||||||||
Other comprehensive (loss)/income, before tax | (287 | ) | (284 | ) | (71 | ) | (71 | ) | (71 | ) | (71 | ) | 8,301 | |||||||||||||||
Income tax expense/(benefit) | (117 | ) | (117 | ) | (34 | ) | (29 | ) | (29 | ) | (25 | ) | 3,437 | |||||||||||||||
Other comprehensive (loss)/income, net of tax | (170 | ) | (167 | ) | (37 | ) | (42 | ) | (42 | ) | (46 | ) | 4,864 | |||||||||||||||
Comprehensive income | 264 | 2,507 | 1,174 | 421 | 485 | 427 | 6,885 | |||||||||||||||||||||
Comprehensive loss/(income) attributable to the noncontrolling interest | — | — | — | — | — | — | — | |||||||||||||||||||||
Comprehensive income attributable to The New York Times Company common stockholders | $ | 264 | $ | 2,507 | $ | 1,174 | $ | 421 | $ | 485 | $ | 427 | $ | 6,885 |
2012 by quarter | ||||||||||||||||||||||||||||
(In thousands) | March 31, 2013 | Full Year 2012 | December 30, 2012 | September 23, 2012 | June 24, 2012 | March 25, 2012 | Full Year 2011 | |||||||||||||||||||||
As adjusted: | ||||||||||||||||||||||||||||
Condensed Consolidated Statements of Comprehensive Income/(Loss) | ||||||||||||||||||||||||||||
Net income/(loss) | $ | 3,323 | $ | 136,013 | $ | 178,388 | $ | 2,724 | $ | (87,649 | ) | $ | 42,550 | $ | (38,203 | ) | ||||||||||||
Other comprehensive income/(loss), before tax: | ||||||||||||||||||||||||||||
Foreign currency translation adjustments | (2,477 | ) | 536 | 1,684 | 3,251 | (6,712 | ) | 2,313 | (523 | ) | ||||||||||||||||||
Unrealized derivative gain on cash-flow hedge of equity method investment | — | 1,143 | — | — | — | 1,143 | 839 | |||||||||||||||||||||
Unrealized (loss)/gain on available-for-sale security | (1,374 | ) | (729 | ) | (1,980 | ) | (2,338 | ) | (3,425 | ) | 7,014 | — | ||||||||||||||||
Pension and postretirement benefits obligation | 8,259 | (27,222 | ) | (28,578 | ) | 5,817 | 5,817 | (10,278 | ) | (211,289 | ) | |||||||||||||||||
Other comprehensive income/(loss), before tax | 4,408 | (26,272 | ) | (28,874 | ) | 6,730 | (4,320 | ) | 192 | (210,973 | ) | |||||||||||||||||
Income tax expense/(benefit) | 1,780 | (10,760 | ) | (11,492 | ) | 2,539 | (1,647 | ) | (160 | ) | (86,065 | ) | ||||||||||||||||
Other comprehensive income/(loss), net of tax | 2,628 | (15,512 | ) | (17,382 | ) | 4,191 | (2,673 | ) | 352 | (124,908 | ) | |||||||||||||||||
Comprehensive income/(loss) | 5,951 | 120,501 | 161,006 | 6,915 | (90,322 | ) | 42,902 | (163,111 | ) | |||||||||||||||||||
Comprehensive loss/(income) attributable to the noncontrolling interest | 249 | (162 | ) | (263 | ) | 21 | 27 | 53 | 1,000 | |||||||||||||||||||
Comprehensive income/(loss) attributable to The New York Times Company common stockholders | $ | 6,200 | $ | 120,339 | $ | 160,743 | $ | 6,936 | $ | (90,295 | ) | $ | 42,955 | $ | (162,111 | ) |
(In thousands) | June 30, 2013 | December 30, 2012 | ||||||
Short-term marketable securities | ||||||||
Marketable debt securities | ||||||||
U.S Treasury securities | $ | 172,988 | $ | 124,831 | ||||
Corporate debt securities | 76,840 | — | ||||||
U.S. agency securities | 57,302 | — | ||||||
Municipal securities | 30,650 | — | ||||||
Certificates of deposit | 27,067 | — | ||||||
Commercial paper | 23,523 | 9,989 | ||||||
Total short-term marketable securities | $ | 388,370 | $ | 134,820 | ||||
Long-term marketable securities | ||||||||
Marketable debt securities | ||||||||
Corporate debt securities | $ | 100,140 | $ | — | ||||
U.S. agency securities | 53,497 | — | ||||||
Municipal securities | 13,023 | — | ||||||
Total | 166,660 | — | ||||||
Marketable equity security | ||||||||
Available-for-sale security | 4,330 | 4,444 | ||||||
Total long-term marketable securities | $ | 170,990 | $ | 4,444 |
(In thousands) | Total Company | |||
Balance as of December 30, 2012: | ||||
Goodwill | $ | 927,909 | ||
Accumulated impairment losses | (805,218 | ) | ||
Balance as of December 30, 2012 | 122,691 | |||
Foreign currency translation | (1,258 | ) | ||
Balance as of June 30, 2013: | ||||
Goodwill | 926,651 | |||
Accumulated impairment losses | (805,218 | ) | ||
Balance as of June 30, 2013 | $ | 121,433 |
Company | Approximate % Ownership | ||
Metro Boston LLC (“Metro Boston”) | 49 | % | |
Donohue Malbaie Inc. | 49 | % | |
Madison Paper Industries | 40 | % |
(In thousands) | Coupon Rate | June 30, 2013 | December 30, 2012 | ||||||||
Senior notes due 2015 | 5.0 | % | $ | 244,040 | $ | 244,022 | |||||
Senior notes due 2016 | 6.625 | % | 216,900 | 221,523 | |||||||
Option to repurchase ownership interest in headquarters building in 2019 | 226,372 | 224,510 | |||||||||
Total debt | 687,312 | 690,055 | |||||||||
Short-term capital lease obligations(1) | 115 | 164 | |||||||||
Long-term capital lease obligations | 6,846 | 6,859 | |||||||||
Total capital lease obligations | 6,961 | 7,023 | |||||||||
Total debt and capital lease obligations | $ | 694,273 | $ | 697,078 |
For the Quarters Ended | For the Six Months Ended | |||||||||||||||
(In thousands) | June 30, 2013 | June 24, 2012 | June 30, 2013 | June 24, 2012 | ||||||||||||
Cash interest expense | $ | 13,892 | $ | 14,434 | $ | 27,145 | $ | 28,796 | ||||||||
Non-cash amortization of discount on debt | 1,103 | 1,098 | 2,267 | 2,257 | ||||||||||||
Capitalized interest | — | (7 | ) | — | (14 | ) | ||||||||||
Interest income | (349 | ) | (61 | ) | (692 | ) | (123 | ) | ||||||||
Total interest expense, net | $ | 14,646 | $ | 15,464 | $ | 28,720 | $ | 30,916 |
(In thousands) | June 30, 2013 | |||||||||||||||
Total | Level 1 | Level 2 | Level 3 | |||||||||||||
Assets | ||||||||||||||||
Available-for-sale security | $ | 4,330 | $ | 4,330 | $ | — | $ | — | ||||||||
Liabilities | ||||||||||||||||
Deferred compensation | $ | 45,775 | $ | 45,775 | $ | — | $ | — |
(In thousands) | December 30, 2012 | |||||||||||||||
Total | Level 1 | Level 2 | Level 3 | |||||||||||||
Assets | ||||||||||||||||
Available-for-sale security | $ | 4,444 | $ | 4,444 | $ | — | $ | — | ||||||||
Liabilities | ||||||||||||||||
Deferred compensation | $ | 52,882 | $ | 52,882 | $ | — | $ | — |
For the Quarters Ended | ||||||||||||||||||||||||
June 30, 2013 | June 24, 2012 | |||||||||||||||||||||||
(In thousands) | Qualified Plans | Non- Qualified Plans | All Plans | Qualified Plans | Non- Qualified Plans | All Plans | ||||||||||||||||||
Service cost | $ | 2,323 | $ | 256 | $ | 2,579 | $ | 2,894 | $ | 377 | $ | 3,271 | ||||||||||||
Interest cost | 19,284 | 2,643 | 21,927 | 23,592 | 3,122 | 26,714 | ||||||||||||||||||
Expected return on plan assets | (31,063 | ) | — | (31,063 | ) | (29,614 | ) | — | (29,614 | ) | ||||||||||||||
Amortization of prior service (credit)/cost | (486 | ) | — | (486 | ) | 201 | — | 201 | ||||||||||||||||
Recognized actuarial loss | 8,442 | 1,312 | 9,754 | 7,229 | 1,122 | 8,351 | ||||||||||||||||||
Net periodic pension (income)/cost | $ | (1,500 | ) | $ | 4,211 | $ | 2,711 | $ | 4,302 | $ | 4,621 | $ | 8,923 |
For the Six Months Ended | ||||||||||||||||||||||||
June 30, 2013 | June 24, 2012 | |||||||||||||||||||||||
(In thousands) | Qualified Plans | Non- Qualified Plans | All Plans | Qualified Plans | Non- Qualified Plans | All Plans | ||||||||||||||||||
Service cost | $ | 4,645 | $ | 512 | $ | 5,157 | $ | 5,901 | $ | 754 | $ | 6,655 | ||||||||||||
Interest cost | 38,568 | 5,286 | 43,854 | 47,241 | 6,244 | 53,485 | ||||||||||||||||||
Expected return on plan assets | (62,125 | ) | — | (62,125 | ) | (59,191 | ) | — | (59,191 | ) | ||||||||||||||
Amortization of prior service (credit)/cost | (972 | ) | — | (972 | ) | 402 | — | 402 | ||||||||||||||||
Recognized actuarial loss | 16,884 | 2,623 | 19,507 | 14,452 | 2,245 | 16,697 | ||||||||||||||||||
Net periodic pension (income)/cost | $ | (3,000 | ) | $ | 8,421 | $ | 5,421 | $ | 8,805 | $ | 9,243 | $ | 18,048 |
For the Quarters Ended | For the Six Months Ended | |||||||||||||||
(In thousands) | June 30, 2013 | June 24, 2012 | June 30, 2013 | June 24, 2012 | ||||||||||||
Service cost | $ | 285 | $ | 239 | $ | 570 | $ | 478 | ||||||||
Interest cost | 1,009 | 1,246 | 2,018 | 2,492 | ||||||||||||
Amortization of prior service credit | (3,693 | ) | (3,778 | ) | (7,385 | ) | (7,556 | ) | ||||||||
Recognized actuarial loss | 1,022 | 832 | 2,044 | 1,664 | ||||||||||||
Curtailment gain | — | — | — | (27,213 | ) | |||||||||||
Net periodic postretirement benefit income | $ | (1,377 | ) | $ | (1,461 | ) | $ | (2,753 | ) | $ | (30,135 | ) |
For the Quarter Ended | For the Six Months Ended | |||||||||||||||||||||||
June 24, 2012 | June 24, 2012 | |||||||||||||||||||||||
(In thousands) | About Group | Regional Media Group | Total | About Group | Regional Media Group | Total | ||||||||||||||||||
Revenues | $ | 25,410 | $ | — | $ | 25,410 | $ | 49,354 | $ | 6,115 | $ | 55,469 | ||||||||||||
Total operating costs | 17,505 | — | 17,505 | 34,453 | 8,017 | 42,470 | ||||||||||||||||||
Impairment of goodwill | 194,732 | — | 194,732 | 194,732 | — | 194,732 | ||||||||||||||||||
Pre-tax loss | (186,827 | ) | — | (186,827 | ) | (179,831 | ) | (1,902 | ) | (181,733 | ) | |||||||||||||
Income tax benefit | (65,643 | ) | — | (65,643 | ) | (62,968 | ) | (736 | ) | (63,704 | ) | |||||||||||||
Loss from discontinued operations, net of income taxes | (121,184 | ) | — | (121,184 | ) | (116,863 | ) | (1,166 | ) | (118,029 | ) | |||||||||||||
(Loss)/gain on sale, net of income taxes | ||||||||||||||||||||||||
Loss on sale | — | (7,026 | ) | (7,026 | ) | — | (4,717 | ) | (4,717 | ) | ||||||||||||||
Income tax benefit(1) | — | 2,521 | 2,521 | — | 30,448 | 30,448 | ||||||||||||||||||
(Loss)/gain on sale, net of income taxes | — | (4,505 | ) | (4,505 | ) | — | 25,731 | 25,731 | ||||||||||||||||
(Loss)/income from discontinued operations, net of income taxes | $ | (121,184 | ) | $ | (4,505 | ) | $ | (125,689 | ) | $ | (116,863 | ) | $ | 24,565 | $ | (92,298 | ) |
(1) | The income tax benefit for the Regional Media Group included a tax deduction for goodwill, which was previously non-deductible, triggered upon the sale of the Regional Media Group. |
For the Quarters Ended | For the Six Months Ended | |||||||||||||||
(In thousands, except per share data) | June 30, 2013 | June 24, 2012 | June 30, 2013 | June 24, 2012 | ||||||||||||
Amounts attributable to The New York Times Company common stockholders: | ||||||||||||||||
Income from continuing operations | $ | 20,131 | $ | 38,067 | $ | 23,703 | $ | 47,279 | ||||||||
Loss from discontinued operations, net of income taxes | — | (125,689 | ) | — | (92,298 | ) | ||||||||||
Net income/(loss) | $ | 20,131 | $ | (87,622 | ) | $ | 23,703 | $ | (45,019 | ) | ||||||
Average number of common shares outstanding–Basic | 148,797 | 148,005 | 148,754 | 147,936 | ||||||||||||
Incremental shares for assumed exercise of securities | 7,714 | 1,794 | 7,347 | 2,733 | ||||||||||||
Average number of common shares outstanding–Diluted | 156,511 | 149,799 | 156,101 | 150,669 | ||||||||||||
Basic earnings/(loss) per share attributable to The New York Times Company common stockholders: | ||||||||||||||||
Income from continuing operations | $ | 0.14 | $ | 0.26 | $ | 0.16 | $ | 0.32 | ||||||||
Loss from discontinued operations, net of income taxes | — | (0.85 | ) | — | (0.62 | ) | ||||||||||
Net income/(loss)–Basic | $ | 0.14 | $ | (0.59 | ) | $ | 0.16 | $ | (0.30 | ) | ||||||
Diluted earnings/(loss) per share attributable to The New York Times Company common stockholders: | ||||||||||||||||
Income from continuing operations | $ | 0.13 | $ | 0.25 | $ | 0.15 | $ | 0.31 | ||||||||
Loss from discontinued operations, net of income taxes | — | (0.83 | ) | — | (0.61 | ) | ||||||||||
Net income/(loss)–Diluted | $ | 0.13 | $ | (0.58 | ) | $ | 0.15 | $ | (0.30 | ) |
(In thousands) | Total New York Times Company Stockholders’ Equity | Noncontrolling Interest | Total Stockholders’ Equity | |||||||||
Balance as of December 30, 2012 | $ | 662,324 | $ | 3,311 | $ | 665,635 | ||||||
Net income/(loss) | 23,703 | (243 | ) | 23,460 | ||||||||
Other comprehensive income, net of tax | 7,527 | — | 7,527 | |||||||||
Effect of issuance of shares | 2,307 | — | 2,307 | |||||||||
Stock-based compensation | 5,810 | — | 5,810 | |||||||||
Balance as of June 30, 2013 | $ | 701,671 | $ | 3,068 | $ | 704,739 |
(In thousands) | Total New York Times Company Stockholders’ Equity | Noncontrolling Interest | Total Stockholders’ Equity | |||||||||
Balance as of December 25, 2011 | $ | 533,678 | $ | 3,149 | $ | 536,827 | ||||||
Net income/(loss) | (45,019 | ) | (80 | ) | (45,099 | ) | ||||||
Other comprehensive income, net of tax | (2,321 | ) | — | (2,321 | ) | |||||||
Effect of issuance of shares | 1,057 | — | 1,057 | |||||||||
Stock-based compensation | 4,607 | — | 4,607 | |||||||||
Balance as of June 24, 2012 | $ | 492,002 | $ | 3,069 | $ | 495,071 |
(In thousands) | Foreign Currency Translation Adjustments | Unrealized Loss on Available-For-Sale Security | Funded Status of Benefit Plans | Total Accumulated Other Comprehensive Loss | ||||||||||||
Balance as of December 30, 2012 | $ | 11,327 | $ | (431 | ) | $ | (523,463 | ) | $ | (512,567 | ) | |||||
Other comprehensive (loss)/income before reclassifications, before tax | (1,764 | ) | (114 | ) | 1,662 | (216 | ) | |||||||||
Amounts reclassified from accumulated other comprehensive loss, before tax | — | — | 13,195 | 13,195 | ||||||||||||
Income tax (benefit)/expense | (528 | ) | (47 | ) | 6,027 | 5,452 | ||||||||||
Net current-period other comprehensive (loss)/income, net of tax | (1,236 | ) | (67 | ) | 8,830 | 7,527 | ||||||||||
Balance as of June 30, 2013 | $ | 10,091 | $ | (498 | ) | $ | (514,633 | ) | $ | (505,040 | ) |
For the Quarter Ended June 30, 2013 | For the Six Months Ended June 30, 2013 | |||||||
(In thousands) | Amounts reclassified from accumulated other comprehensive loss | |||||||
Detail about accumulated other comprehensive loss components | ||||||||
Funded status of benefit plans: | ||||||||
Amortization of prior service credit(1) | $ | (4,178 | ) | (8,358 | ) | |||
Recognized actuarial loss(1) | 10,776 | 21,553 | ||||||
Total reclassification, before tax | 6,598 | 13,195 | ||||||
Income tax expense | 3,672 | 5,452 | ||||||
Total reclassification, net of tax | $ | 2,926 | $ | 7,743 |
(1) | These items are included in the components of net periodic benefit cost for pension and other retirement benefits. See Note 10 for additional information. |
(In thousands) | June 30, 2013 | December 30, 2012 | ||||||
Cash and cash equivalents | $ | 5,585 | $ | 11,068 | ||||
Accounts receivable, net | 35,105 | 40,343 | ||||||
Inventories | 2,258 | 3,078 | ||||||
Property, plant, and equipment, net | 82,479 | 86,917 | ||||||
Other assets | 5,731 | 4,470 | ||||||
Investments | 2,129 | 2,241 | ||||||
Total assets | 133,287 | 148,117 | ||||||
Total liabilities | 35,371 | 37,387 | ||||||
Net assets | $ | 97,916 | $ | 110,730 |
▪ | a 49% interest in Metro Boston LLC (“Metro Boston”), which publishes a free daily newspaper in the greater Boston area; |
▪ | a 49% interest in a Canadian newsprint company, Donohue Malbaie Inc.; and |
▪ | a 40% interest in a partnership, Madison Paper Industries, operating a supercalendered paper mill in Maine. |
For the Quarters Ended | For the Six Months Ended | |||||||||||||||||||||
(In thousands) | June 30, 2013 | June 24, 2012 | % Change | June 30, 2013 | June 24, 2012 | % Change | ||||||||||||||||
Revenues | ||||||||||||||||||||||
Circulation | $ | 245,132 | $ | 233,291 | 5.1 | 486,921 | 460,285 | 5.8 | ||||||||||||||
Advertising | 207,454 | 220,228 | (5.8 | ) | $ | 398,621 | $ | 435,462 | (8.5 | ) | ||||||||||||
Other | 32,777 | 36,283 | (9.7 | ) | 65,754 | 69,487 | (5.4 | ) | ||||||||||||||
Total revenues | 485,363 | 489,802 | (0.9 | ) | 951,296 | 965,234 | (1.4 | ) | ||||||||||||||
Operating costs | ||||||||||||||||||||||
Production costs: | ||||||||||||||||||||||
Raw materials | 28,854 | 33,596 | (14.1 | ) | 58,947 | 66,959 | (12.0 | ) | ||||||||||||||
Wages and benefits | 106,090 | 107,153 | (1.0 | ) | 215,219 | 215,786 | (0.3 | ) | ||||||||||||||
Other | 57,452 | 61,829 | (7.1 | ) | 114,496 | 122,540 | (6.6 | ) | ||||||||||||||
Total production costs | 192,396 | 202,578 | (5.0 | ) | 388,662 | 405,285 | (4.1 | ) | ||||||||||||||
Selling, general and administrative costs | 217,928 | 220,236 | (1.0 | ) | 442,131 | 449,360 | (1.6 | ) | ||||||||||||||
Depreciation and amortization | 21,608 | 22,920 | (5.7 | ) | 43,408 | 53,036 | (18.2 | ) | ||||||||||||||
Total operating costs | 431,932 | 445,734 | (3.1 | ) | 874,201 | 907,681 | (3.7 | ) | ||||||||||||||
Operating profit | 53,431 | 44,068 | 21.2 | 77,095 | 57,553 | 34.0 | ||||||||||||||||
Gain on sale of investment | — | 37,797 | N/A | — | 55,645 | N/A | ||||||||||||||||
Impairment of investments | — | — | N/A | — | 4,900 | N/A | ||||||||||||||||
(Loss)/income from joint ventures | (459 | ) | 1,079 | * | (3,399 | ) | 1,050 | * | ||||||||||||||
Interest expense, net | 14,646 | 15,464 | (5.3 | ) | 28,720 | 30,916 | (7.1 | ) | ||||||||||||||
Income from continuing operations before income taxes | 38,326 | 67,480 | (43.2 | ) | 44,976 | 78,432 | (42.7 | ) | ||||||||||||||
Income tax expense | 18,189 | 29,440 | (38.2 | ) | 21,516 | 31,233 | (31.1 | ) | ||||||||||||||
Income from continuing operations | 20,137 | 38,040 | (47.1 | ) | 23,460 | 47,199 | (50.3 | ) | ||||||||||||||
Loss from discontinued operations, net of income taxes | — | (125,689 | ) | N/A | — | (92,298 | ) | N/A | ||||||||||||||
Net income/(loss) | 20,137 | (87,649 | ) | * | 23,460 | (45,099 | ) | * | ||||||||||||||
Net (income)/loss attributable to the noncontrolling interest | (6 | ) | 27 | * | 243 | 80 | * | |||||||||||||||
Net income/(loss) attributable to The New York Times Company common stockholders | $ | 20,131 | $ | (87,622 | ) | * | $ | 23,703 | $ | (45,019 | ) | * | ||||||||||
* Represents an increase or decrease in excess of 100%. |
For the Quarters Ended | For the Six Months Ended | |||||||||||||||||||||
(In thousands) | June 30, 2013 | June 24, 2012 | % Change | June 30, 2013 | June 24, 2012 | % Change | ||||||||||||||||
The New York Times Media Group | ||||||||||||||||||||||
Circulation | $ | 206,965 | $ | 194,208 | 6.6 | $ | 412,447 | $ | 384,175 | 7.4 | ||||||||||||
Advertising | 163,040 | 171,129 | (4.7 | ) | 316,578 | 344,488 | (8.1 | ) | ||||||||||||||
Other | 20,953 | 22,503 | (6.9 | ) | 42,608 | 43,226 | (1.4 | ) | ||||||||||||||
Total | $ | 390,958 | $ | 387,840 | 0.8 | $ | 771,633 | $ | 771,889 | — | ||||||||||||
New England Media Group | ||||||||||||||||||||||
Circulation | $ | 38,167 | $ | 39,083 | (2.3 | ) | $ | 74,474 | $ | 76,110 | (2.1 | ) | ||||||||||
Advertising | 44,414 | 49,099 | (9.5 | ) | 82,043 | 90,974 | (9.8 | ) | ||||||||||||||
Other | 11,824 | 13,780 | (14.2 | ) | 23,146 | 26,261 | (11.9 | ) | ||||||||||||||
Total | $ | 94,405 | $ | 101,962 | (7.4 | ) | $ | 179,663 | $ | 193,345 | (7.1 | ) | ||||||||||
Total Company | ||||||||||||||||||||||
Circulation | $ | 245,132 | $ | 233,291 | 5.1 | $ | 486,921 | $ | 460,285 | 5.8 | ||||||||||||
Advertising | 207,454 | 220,228 | (5.8 | ) | 398,621 | 435,462 | (8.5 | ) | ||||||||||||||
Other | 32,777 | 36,283 | (9.7 | ) | 65,754 | 69,487 | (5.4 | ) | ||||||||||||||
Total | $ | 485,363 | $ | 489,802 | (0.9 | ) | $ | 951,296 | $ | 965,234 | (1.4 | ) |
For the Quarters Ended | For the Six Months Ended | |||||||||||||||||||||
(In thousands) | June 30, 2013 | June 24, 2012 | % Change | June 30, 2013 | June 24, 2012 | % Change | ||||||||||||||||
National | $ | 142,284 | $ | 147,486 | (3.5 | ) | $ | 272,389 | $ | 292,883 | (7.0 | ) | ||||||||||
Retail | 31,332 | 35,971 | (12.9 | ) | 60,494 | 70,272 | (13.9 | ) | ||||||||||||||
Classified | 27,869 | 30,484 | (8.6 | ) | 54,870 | 60,777 | (9.7 | ) | ||||||||||||||
Other | 5,969 | 6,287 | (5.1 | ) | 10,868 | 11,530 | (5.7 | ) | ||||||||||||||
Total Company | $ | 207,454 | $ | 220,228 | (5.8 | ) | $ | 398,621 | $ | 435,462 | (8.5 | ) |
Classified | |||||||||||||||||||||||||||
National | Retail and Preprint | Help- Wanted | Real Estate | Auto- motive | Other | Total Classified | Other Advertising Revenues | Total | |||||||||||||||||||
The New York Times Media Group | 78 | % | 12 | % | 2 | % | 4 | % | — | % | 3 | % | 9 | % | 1 | % | 100 | % | |||||||||
New England Media Group | 32 | % | 28 | % | 6 | % | 5 | % | 12 | % | 7 | % | 30 | % | 10 | % | 100 | % | |||||||||
Total Company | 68 | % | 15 | % | 3 | % | 4 | % | 3 | % | 4 | % | 14 | % | 3 | % | 100 | % |
For the Quarters Ended | For the Six Months Ended | |||||||||||||||||||||
(In thousands) | June 30, 2013 | June 24, 2012 | % Change | June 30, 2013 | June 24, 2012 | % Change | ||||||||||||||||
Production costs: | ||||||||||||||||||||||
Raw materials | $ | 28,854 | $ | 33,596 | (14.1 | ) | $ | 58,947 | $ | 66,959 | (12.0 | ) | ||||||||||
Wages and benefits | 106,090 | 107,153 | (1.0 | ) | 215,219 | 215,786 | (0.3 | ) | ||||||||||||||
Other | 57,452 | 61,829 | (7.1 | ) | 114,496 | 122,540 | (6.6 | ) | ||||||||||||||
Total production costs | 192,396 | 202,578 | (5.0 | ) | 388,662 | 405,285 | (4.1 | ) | ||||||||||||||
Selling, general and administrative costs | 217,928 | 220,236 | (1.0 | ) | 442,131 | 449,360 | (1.6 | ) | ||||||||||||||
Depreciation and amortization | 21,608 | 22,920 | (5.7 | ) | 43,408 | 53,036 | (18.2 | ) | ||||||||||||||
Total operating costs | $ | 431,932 | $ | 445,734 | (3.1 | ) | $ | 874,201 | $ | 907,681 | (3.7 | ) |
For the Quarters Ended | For the Six Months Ended | |||||||||||||||
(In thousands) | June 30, 2013 | June 24, 2012 | June 30, 2013 | June 24, 2012 | ||||||||||||
Cash interest expense | $ | 13,892 | $ | 14,434 | $ | 27,145 | $ | 28,796 | ||||||||
Non-cash amortization of discount on debt | 1,103 | 1,098 | 2,267 | 2,257 | ||||||||||||
Capitalized interest | — | (7 | ) | — | (14 | ) | ||||||||||
Interest income | (349 | ) | (61 | ) | (692 | ) | (123 | ) | ||||||||
Total interest expense, net | $ | 14,646 | $ | 15,464 | $ | 28,720 | $ | 30,916 |
For the Quarter Ended | For the Six Months Ended | |||||||||||||||||||||||
June 24, 2012 | June 24, 2012 | |||||||||||||||||||||||
(In thousands) | About Group | Regional Media Group | Total | About Group | Regional Media Group | Total | ||||||||||||||||||
Revenues | $ | 25,410 | $ | — | $ | 25,410 | $ | 49,354 | $ | 6,115 | $ | 55,469 | ||||||||||||
Total operating costs | 17,505 | — | 17,505 | 34,453 | 8,017 | 42,470 | ||||||||||||||||||
Impairment of goodwill | 194,732 | — | 194,732 | 194,732 | — | 194,732 | ||||||||||||||||||
Pre-tax loss | (186,827 | ) | — | (186,827 | ) | (179,831 | ) | (1,902 | ) | (181,733 | ) | |||||||||||||
Income tax benefit | (65,643 | ) | — | (65,643 | ) | (62,968 | ) | (736 | ) | (63,704 | ) | |||||||||||||
Loss from discontinued operations, net of income taxes | (121,184 | ) | — | (121,184 | ) | (116,863 | ) | (1,166 | ) | (118,029 | ) | |||||||||||||
(Loss)/gain on sale, net of income taxes | ||||||||||||||||||||||||
Loss on sale | — | (7,026 | ) | (7,026 | ) | — | (4,717 | ) | (4,717 | ) | ||||||||||||||
Income tax benefit(1) | — | 2,521 | 2,521 | — | 30,448 | 30,448 | ||||||||||||||||||
(Loss)/gain on sale, net of income taxes | — | (4,505 | ) | (4,505 | ) | — | 25,731 | 25,731 | ||||||||||||||||
(Loss)/income from discontinued operations, net of income taxes | $ | (121,184 | ) | $ | (4,505 | ) | $ | (125,689 | ) | $ | (116,863 | ) | $ | 24,565 | $ | (92,298 | ) |
(1) | The income tax benefit for the Regional Media Group included a tax deduction for goodwill, which was previously non-deductible, triggered upon the sale of the Regional Media Group. |
For the Six Months Ended | ||||||||
(In thousands) | June 30, 2013 | June 24, 2012 | ||||||
Operating Activities | $ | (26,562 | ) | $ | 73,871 | |||
Investing Activities | $ | (429,862 | ) | $ | 41,629 | |||
Financing Activities | $ | (5,314 | ) | $ | (73 | ) |
(In thousands) | Coupon Rate | June 30, 2013 | December 30, 2012 | ||||||||
Senior notes due 2015 | 5.0 | % | $ | 244,040 | $ | 244,022 | |||||
Senior notes due 2016 | 6.625 | % | 216,900 | 221,523 | |||||||
Option to repurchase ownership interest in headquarters building in 2019 | 226,372 | 224,510 | |||||||||
Total debt | 687,312 | 690,055 | |||||||||
Short-term capital lease obligations(1) | 115 | 164 | |||||||||
Long-term capital lease obligations | 6,846 | 6,859 | |||||||||
Total capital lease obligations | 6,961 | 7,023 | |||||||||
Total debt and capital lease obligations | $ | 694,273 | $ | 697,078 |
(1) | Included in “Accrued expenses and other” in our Condensed Consolidated Balance Sheets. |
Payment due in | |||||||||||||||||||||
(In thousands) | Total | 2013 | 2014-2015 | 2016-2017 | Later Years | ||||||||||||||||
Benefit plans(1) | $ | 1,239,969 | $ | 115,001 | $ | 231,886 | $ | 243,218 | $ | 649,864 |
(1) | Includes estimated benefit payments under our Company-sponsored pension and other postretirement benefit plans. Payments for these plans have been estimated over a 10-year period; therefore the amounts included in the “Later Years” column only include payments for the period of 2018-2022. While benefit payments under these plans are expected to continue beyond 2022, we believe that an estimate beyond this period is impracticable. Payments under our Company-sponsored qualified pension plans will be made with existing assets of the pension plans and not with Company cash. Benefit plans in the table above also include estimated payments for multiemployer pension plan withdrawal liabilities. |
Total Number of Shares of Class A Common Stock Purchased | Average Price Paid Per Share of Class A Common Stock | Total Number of Shares of Class A Common Stock Purchased as Part of Publicly Announced Plans or Programs | Maximum Number (or Approximate Dollar Value) of Shares of Class A Common Stock that May Yet Be Purchased Under the Plans or Programs | ||||||||||
Period | (a) | (b) | (c) | (d) | |||||||||
April 1, 2013 – May 5, 2013 | — | — | — | $ | 91,386,000 | ||||||||
May 6, 2013 – June 2, 2013 | — | — | — | $ | 91,386,000 | ||||||||
June 3, 2013 – June 30, 2013 | — | — | — | $ | 91,386,000 | ||||||||
Total for the second quarter of 2013 | — | — | — | $ | 91,386,000 |
(1) | On April 13, 2004, our Board of Directors authorized repurchases in an amount up to $400.0 million. During the second quarter of 2013, we did not purchase any shares of Class A Common Stock pursuant to our publicly announced share repurchase program. As of August 2, 2013, we had authorization from our Board of Directors to repurchase an amount of up to approximately $91 million of our Class A Common Stock. Our Board of Directors has authorized us to purchase shares from time to time as market conditions permit. There is no expiration date with respect to this authorization. |
THE NEW YORK TIMES COMPANY | |||
(Registrant) | |||
Date: August 8, 2013 | /s/ JAMES M. FOLLO | ||
James M. Follo Executive Vice President and Chief Financial Officer (Principal Financial Officer) |
Exhibit No. | ||
10.1 | Amendment No. 2 to The New York Times Company Savings Restoration Plan, amended effective January 1, 2011. | |
10.2 | Amendment No. 3 to The New York Times Company Supplemental Executive Savings Plan, amended effective January 1, 2011. | |
10.3 | Amendment Nos. 1 and 2 to The New York Times Companies Supplemental Retirement and Investment Plan, amended effective January 1, 2012 and November 1, 2012, respectively. | |
10.4 | Letter agreement, dated as of May 15, 2013, between The New York Times Company and Christopher Mayer. | |
12 | Ratio of Earnings to Fixed Charges. | |
31.1 | Rule 13a-14(a)/15d-14(a) Certification. | |
31.2 | Rule 13a-14(a)/15d-14(a) Certification. | |
32.1 | Certification pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. | |
32.2 | Certification pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. | |
101.INS | XBRL Instance Document. | |
101.SCH | XBRL Taxonomy Extension Schema Document. | |
101.CAL | XBRL Taxonomy Extension Calculation Linkbase Document. | |
101.DEF | XBRL Taxonomy Extension Definition Linkbase Document. | |
101.LAB | XBRL Taxonomy Extension Label Linkbase Document. | |
101.PRE | XBRL Taxonomy Extension Presentation Linkbase Document. |
ERISA MANAGEMENT COMMITTEE | |||
By: | /s/ R. Anthony Benten | ||
R. Anthony Benten | |||
Chairman |
ERISA MANAGEMENT COMMITTEE | |||
By: | /s/ R. Anthony Benten | ||
R. Anthony Benten | |||
Chairman |
ERISA MANAGEMENT COMMITTEE | |||
By: | /s/ R. Anthony Benten | ||
R. Anthony Benten | |||
Chairman |
ERISA MANAGEMENT COMMITTEE | |||
By: | /s/ R. Anthony Benten | ||
R. Anthony Benten | |||
Chairman |
Very truly yours, | ||
/s/ Michael Golden | ||
Michael Golden | ||
For the Six Months Ended June 30, 2013 | For the Years Ended | |||||||||||||||||||||||
(In thousands, except ratio) | December 30, 2012 | December 25, 2011 | December 26, 2010 | December 27, 2009 | December 28, 2008 | |||||||||||||||||||
Earnings/(loss) from continuing operations before fixed charges | ||||||||||||||||||||||||
Earnings/(loss) from continuing operations before income taxes, noncontrolling interest and income/(loss) from joint ventures | $ | 48,375 | $ | 264,827 | $ | 86,098 | $ | 72,366 | $ | (92,294 | ) | $ | (180,403 | ) | ||||||||||
Distributed earnings from less than fifty-percent owned affiliates | — | 9,251 | 3,463 | 8,325 | 2,775 | 35,733 | ||||||||||||||||||
Adjusted pre-tax earnings/(loss) from continuing operations | 48,375 | 274,078 | 89,561 | 80,691 | (89,519 | ) | (144,670 | ) | ||||||||||||||||
Fixed charges less capitalized interest | 31,414 | 68,058 | 90,247 | 92,245 | 87,769 | 53,226 | ||||||||||||||||||
Earnings/(loss) from continuing operations before fixed charges | $ | 79,789 | $ | 342,136 | $ | 179,808 | $ | 172,936 | $ | (1,750 | ) | $ | (91,444 | ) | ||||||||||
Fixed charges | ||||||||||||||||||||||||
Interest expense, net of capitalized interest(1) | $ | 29,412 | $ | 63,225 | $ | 85,693 | $ | 86,301 | $ | 83,124 | $ | 48,191 | ||||||||||||
Capitalized interest | — | 17 | 427 | 299 | 1,566 | 2,639 | ||||||||||||||||||
Portion of rentals representative of interest factor | 2,002 | 4,833 | 4,554 | 5,944 | 4,645 | 5,035 | ||||||||||||||||||
Total fixed charges | $ | 31,414 | $ | 68,075 | $ | 90,674 | $ | 92,544 | $ | 89,335 | $ | 55,865 | ||||||||||||
Ratio of earnings to fixed charges(2) | 2.54 | 5.03 | 1.98 | 1.87 | — | — |
Note: The Ratio of Earnings to Fixed Charges should be read in conjunction with this Quarterly Report on Form 10-Q, as well as the Annual Report on Form 10-K for the year ended December 30, 2012 for The New York Times Company (the “Company”). | ||
(1 | ) | The Company’s policy is to classify interest expense recognized on uncertain tax positions as income tax expense. The Company has excluded interest expense recognized on uncertain tax positions from the Ratio of Earnings to Fixed Charges. |
(2 | ) | In 2009 and 2008, earnings were inadequate to cover fixed charges by approximately $91 million and $147 million, respectively, due to certain charges in each year. |
1. | I have reviewed this Quarterly Report on Form 10-Q of The New York Times Company; |
2. | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; |
3. | Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report; |
4. | The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have: |
(a) | Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; |
(b) | Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; |
(c) | Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and |
(d) | Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and |
5. | The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions): |
(a) | All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and |
(b) | Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting. |
Date: August 8, 2013 | /s/ MARK THOMPSON | |||
Mark Thompson Chief Executive Officer |
1. | I have reviewed this Quarterly Report on Form 10-Q of The New York Times Company; |
2. | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; |
3. | Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report; |
4. | The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have: |
(a) | Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; |
(b) | Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; |
(c) | Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and |
(d) | Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and |
5. | The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions): |
(a) | All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and |
(b) | Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting. |
Date: August 8, 2013 | /s/ JAMES M. FOLLO | |||
James M. Follo Chief Financial Officer |
(1) | The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and |
(2) | The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company. |
/s/ MARK THOMPSON |
Mark Thompson |
Chief Executive Officer |
August 8, 2013 |
(1) | The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and |
(2) | The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company. |
/s/ JAMES M. FOLLO |
James M. Follo |
Chief Financial Officer |
August 8, 2013 |
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