1

Forward-Looking Statements

This

presentation

contains

“forward-looking

statements,”

within

the

meaning

of

the

federal

securities

laws

that

involve

risks

and

uncertainties.

All

statements

herein

that

address

activities,

events

or

developments

that

the

Company

expects

or

anticipates

will

or

may

occur

in

the

future,

including

the

Company’s

estimates

of

financial

performance

and

such

things

as

business

strategy,

measures

to

implement

strategy,

competitive

strengths,

goals,

references

to

future

success

and

other

events,

are

generally

forward-looking

statements.

As

previously

announced,

the

Company

has

restated

certain

of

its

previously

issued

financial

statements.

The

fiscal

2006

financial

statements

and

the

first

quarter

2007

financial

statements

(together

with

the

restatements

of

the

relevant

prior

corresponding

periods)

have

been

completed.

The

remainder

of

fiscal

2007

financial

statements

(as

well

as

the

restatement

of

any

relevant

corresponding

periods

of

fiscal

2006

(the

“Remaining

Restatement”))

are

in

the

process

of

being

prepared

and

accordingly

all

statements

herein

with

respect

to

such

fiscal

2007

financial

performance

are

preliminary

estimates

and

are

subject

to

revision

pending

completion

of

such

financial

statements.

The

Company’s

actual

results

may

differ

materially

from

its

estimates.

Whether

actual

results,

events

and

developments

will

conform

to

the

Company’s

expectations

is

subject

to

a

number

of

risks

and

uncertainties

and

important

factors,

many

of

which

are

beyond

the

control

of

the

Company.

Among

the

risks

and

uncertainties

which

could

cause

the

Company’s

actual

results

to

differ

from

those

contemplated

by

its

forward-looking

statements

are

the

risk

that

the

Company’s

actual

financial

results

may

change

as

a

result

of

the

completion

of

the

fiscal

2007

audit

and

the

review

of

the

second

and

third

quarters

of

fiscal

2007

and

the

Remaining

Restatement;

the

Company

may

not

be

able

to

successfully

develop

its

magazine

operations

so

that

they

continue

to

generate

sufficient

cash

flow

to

enable

the

Company

to

meet

its

obligations

under

its

senior

credit

facility

and

bond

indentures,

including

the

financial

covenants

under

its

senior

credit

facility;

actions

of

rating

agencies;

industry

and

general

economic

conditions;

the

Company’s

ability

to

realize

its

expected

benefits

from

cost

savings

and

revenue

enhancement

initiatives;

the

Company’s

ability

to

implement

and

maintain

an

effective

system

of

internal

controls

over

financial

reporting;

and

the

risks

and

uncertainties

contained

in

the

Company’s

periodic

reports

filed

with

the

Securities

and

Exchange

Commission.

Consequently,

all

forward-looking

statements

made

herein

are

qualified

by

these

cautionary

statements

and

there

can

be

no

assurance

that

the

results,

events

or

developments

referenced

herein

will

occur

or

be

realized.

Exhibit 99.1

2

Business Update –

Q4 Fiscal 2007

Results for the March 2007 quarter were strong versus the March 2006 quarter, with higher advertising

revenue and lower SG&A expenses as the primary drivers

–

$37.2 million in Bank EBITDA for March 2007 quarter versus $21.3

million in Bank EBITDA for

the March 2006 quarter

•

Advertising revenue is $4.1 million better due primarily to Shape

($2.3 million) and Men’s

Fitness

($1.3 million)

•

Substantially lower SG&A expenses ($20 million versus $29 million in March 2006 quarter,

before one-time costs)

•

Lower distribution costs $3.0 million

–

The March 2007 quarter was $2.1 million ahead of the EBITDA guidance management provided in

February

•

Higher ad revenue ($0.4 million) and lower distribution expenses

($1.5 million)

–

Fiscal 2007 Bank EBITDA is forecasted at $108.7 million versus fiscal 2006 Bank EBIDTA of

$102.8 million –

an increase of 5.7%

3

Circulation Trends

•

Star

newsstand sales for the March & June quarter are promising: March 2007 was up 13% vs

December 2006 quarter and June 2007 is ahead of the prior six-week period as well as flat to the same

six-week period in 2006

•

National

Enquirer

and

Globe

have

experienced

softness

due to

cover

price

increase,

lack

of

celebrity

news

and

impact

of

Virginia

Tech

shooting

Note: Reflects estimated results through May 14, 2007 issue

Newsstand Sales In Thousands

National

Smaller

Enquirer

Star

Globe

Tabs

Total

Last Six Weeks (First  6 Weeks of June '07 Quarter)

690

728

338

238

1,994

Prior 6 Weeks

722

716

371

246

2,056

Year Ago Six Weeks

765

730

378

303

2,175

Better/(Worse) - Prior 6 Weeks

(4%)

2%

(9%)

(3%)

(3%)

Better/(Worse) - Year Ago 6 Weeks

(10%)

(0%)

(10%)

(21%)

(8%)

March 2007 Quarter

730

720

372

253

2,076

December 2006 Quarter

771

640

381

261

2,053

March 2006 Quarter

776

803

379

303

2,261

Better/(Worse) - December 2006 Quarter

(5%)

13%

(2%)

(3%)

1%

Better/(Worse) - March 2006 Quarter

(6%)

(10%)

(2%)

(17%)

(8%)

4

Advertising Trends

•

Ad revenue Fiscal 2007 ad revenue versus fiscal 2006

–

Shape

ad revenue up 1%

–

Men’s Fitness

ad revenue up 5%

–

Total AMI ad revenue up 1% (excluding results of discontinued titles)

5

Recent Financial Results –

FY06 and FYE07

•

The estimates previously provided for fiscal 2006, all quarters of fiscal 2007 and fiscal 2007 have been

updated:

Bank

EBITDA

is

a

non-GAAP

financial

measure.

See

page

7

for

an

explanation

of

why

Bank

EBITDA

is

presented

and

a

reconciliation

of

Bank

EBITDA

to

the

most

directly

comparable GAAP financial measure.

* Estimated

($ in millions)

FYE

FYE

3/31/2006

6/30/2006

9/30/2006*

12/31/2006*

3/31/2007*

3/31/2007*

Bank EBITDA From February Presentation

$107.0

$22.5

$34.2

$21.5

$35.1

$113.3

Advertising Revenue

$0.0

$0.0

$0.1

$0.0

$0.4

$0.6

Distribution Costs

$0.0

$0.0

($0.3)

($1.8)

$1.5

($0.6)

Editorial Costs

$0.0

$0.0

$0.0

($1.1)

$0.0

($1.1)

Professional Fees In Excess of Bank Agrmt

Cap

$0.0

$0.0

$0.0

($1.3)

$0.0

($1.3)

Circulation Revenue

$0.0

$0.0

$0.0

($2.5)

$0.2

($2.3)

Treatment of Short Term Programs

($4.2)

$0.1

$0.0

$0.0

$0.0

$0.1

Current Bank EBITDA Estimate

$102.8

$22.6

$34.0

$14.9

$37.2

$108.7

3 Months Ended

6

Recent Financial Results –

Q4 FY07 vs Q4 FY06

•

Q4 fiscal 2007 performance is strong vs Q4 fiscal 2006 primarily

due to higher ad revenue and lower

operating expenses

Bank

EBITDA

is

a

non-GAAP

financial

measure.

See

page

7

for

an

explanation

of

why

Bank

EBITDA

is

presented

and

a

reconciliation

of

Bank

EBITDA

to

the

most

directly

comparable

GAAP financial measure

($ in millions)

Comment

Q4 FY06 Bank EBITDA

$21.3

Higher Advertising/Other Revenue

5.8

Shape

, Men's Fitness

,

Star

and Interactive

Lower Editorial Costs

3.1

Cost controls implemented ($1.7mm) and discontinued ops ($1.4mm)

Lower Distribution Costs

2.9

Lower circulation promo ($2.0mm) and discontinued ops ($0.9mm)

Lower SG&A

7.1

FY07 action plans ($9mm) offset by discontinued ops ($2mm)

Lower Newsstand Revenue

(3.7)

Lower average unit sales ($1.1mm) and discontinued ops ($2.6mm)

Miscellaneous

0.8

Higher sub revenue and higher other income

Current Q4 FYE07 Bank EBITDA Estimate

$37.2

7

EBITDA Reconciliation

* Currently in the process of determining the FY07 impairment amount

(1)

Bank

EBITDA

per

AMI’s

Credit

Agreement.

Bank

EBITDA

is

a

non-GAAP

financial

measure

and

is

presented

because

certain

covenants

in

the

company’s Credit

Agreement are

tied

to

ratios

based

on

this

measure.

Bank

EBITDA

should

not

be

considered

as

an

alternative

to

GAAP

measures

such

as

operating

income,

and

the

company’s

calculation

thereof

may

not

be

comparable

to

similarly

entitled

measures

reported

by

other

companies.

In

addition,

the

amounts

of

Bank

EBITDA

are

preliminary

estimates

and

are

subject

to

revisions.

Estimated Financial Results

($ in millions)

FYE

FYE

3/31/2006

3/31/2007E

3/31/2006

3/31/2007E

6/30/2006

6/30/2007E

Revenue

$496.2

$477.4

$123.4

$126.6

$117.4

$119.3

Bank EBITDA (1)

102.8

108.7

21.3

37.2

22.6

30.9

Add Backs Permitted in Credit Agreement

Investments in Launches & Re-Launches

11.1

1.1

4.0

0.0

0.7

0.0

Restructuring Costs & Severance

2.1

4.5

0.1

0.5

3.2

0.4

Professional fees related to Restatement

4.3

9.4

4.3

0.7

4.7

0.9

Management Fees

2.0

2.0

0.5

0.5

0.5

0.5

Reported EBITDA before Add Backs

83.3

91.7

12.4

35.5

13.4

29.1

Less: Deprecation & Amortization

42.8

35.0

8.7

7.8

9.8

6.1

Less: Interest Expense, Net

86.0

96.2

23.3

24.2

24.3

31.4

Less: Amortization of Deferred Debt Costs

10.7

11.6

5.5

1.8

1.5

2.4

Less: Trademark Write Off *

147.5

0.0

*

147.5

0.0

*

0.0

0.0

Income/(Loss) Before Provision for Taxes

(203.7)

(51.2)

(172.6)

1.7

(22.3)

(10.7)

3 Months Ended

3 Months Ended