EX-99.2 3 pulitzerandleelegacyfinanc.htm EXHIBIT 99.2 Exhibit


Exhibit 99.2 - Supplemental Financial Information – Fourth fiscal quarter ended December 24, 2017.

leelogo2013a01a01a03a02a03.jpg
201 N. Harrison St.
Davenport, IA 52801
www.lee.net





13 Weeks Ended (unaudited)
 
 
 
 
 
 
 
 
December 24, 2017
 
December 25, 2016
(in thousands)
Consolidated
Lee Legacy
Pulitzer Inc.
 
Consolidated
Lee Legacy
Pulitzer Inc.
Operating revenue:
 
 
 
 
 
 
 
Advertising and marketing services
84,661

59,077

25,584

 
93,035

64,105

28,930

Subscription
48,269

32,913

15,356

 
48,888

34,018

14,870

Other
10,856

9,014

1,842

 
12,066

9,988

2,078

Total operating revenue
143,786

101,004

42,782

 
153,989

108,111

45,878

Operating expenses:
 
 
 
 
 
 
 
Compensation
50,911

39,008

11,903

 
55,056

42,053

13,003

Newsprint and ink
5,838

4,111

1,727

 
6,893

4,902

1,991

Other cash costs
50,357

30,166

20,191

 
52,777

31,224

21,553

Depreciation and amortization
8,053

5,236

2,817

 
10,380

7,410

2,970

Loss on sale of assets, net
2

1

1

 
68

—

68

Workforce adjustments and other
468

322

146

 
65

62

3

Total operating expenses
115,629

78,844

36,785

 
125,239

85,651

39,588

Equity in earnings of MNI and TNI
2,383

864

1,519

 
2,689

1,136

1,553

Operating income
30,540

23,024

7,516

 
31,439

23,596

7,843

Non-operating income (expense), net
(14,903
)
(16,948
)
2,045

 
(12,733
)
(13,576
)
843

Income tax expense
(19,690
)
(23,163
)
3,473

 
6,266

3,111

3,155

Net income
35,327

29,239

6,088

 
12,440

6,909

5,531


Adjusted EBITDA is a non-GAAP financial measure. Below is a reconciliation of adjusted EBITDA to net income, the most directly comparable measure under GAAP:
Net Income
35,327

29,239

6,088

 
12,440

6,909

5,531

Adjusted to exclude
 
 
 
 
 
 
 
Non-operating expenses, net
14,903

16,948

(2,045
)
 
12,733

13,576

(843
)
Income tax expense
(19,690
)
(23,163
)
3,473

 
6,266

3,111

3,155

Equity in earnings of TNI and MNI
(2,383
)
(864
)
(1,519
)
 
(2,689
)
(1,136
)
(1,553
)
Depreciation and amortization
8,053

5,236

2,817

 
10,380

7,410

2,970

Loss (gain) on sale of assets, net
2

1

1

 
68

—

68

Workforce adjustments and other
468

322

146

 
65

62

3

Stock compensation
519

519

—

 
524

524

—

Add:
 
 
 
 
 
 
 
Ownership share of TNI and MNI EBITDA (50%)
3,159

1,535

1,624

 
3,476

1,818

1,658

Adjusted EBITDA
40,358

29,773

10,585

 
43,263

32,274

10,989

 
 
 
 
 
 
 
 
Supplemental cash flow information
 
 
 
 
 
Distributions from MNI and TNI
2,317

750

1,567

 
2,233

1,250

983

Capital expenditures
(1,103
)
(890
)
(213
)
 
(1,090
)
(926
)
(164
)
Cash income tax refunds (payments)
(110
)
(65
)
(45
)
 
(370
)
(366
)
(4
)
Interest income
96

(1,770
)
1,866

 
75

(768
)
843

Interest to be settled in cash
(13,650
)
(10,165
)
(3,485
)
 
(14,952
)
(11,051
)
(3,901
)
Debt financing and administrative costs
(4
)
(4
)
—

 
—

—

—