PTZ Pulitzer

Pulitzer Inc. Reports Second-Period Revenue for Four Weeks Ended February 27, 2005 ST. LOUIS, March 15 /PRNewswire-FirstCall/ -- Pulitzer Inc. (NYSE:PTZ) today announced that revenue increased 3.5 percent for the four-week accounting period ended February 27, 2005, and 3.7 percent for the nine-week year-to-date period when compared to the respective 2004 periods. February 2005 advertising revenue in St. Louis and at the 12 Pulitzer Newspapers, Inc. ("PNI") markets increased 6.4 percent, with increases of 4.4 percent at the St. Louis operations and 11.4 percent at PNI. On a comparable basis, excluding the results of PNI acquisitions absent in the comparable period of 2005 and 2004, total revenue increased 3.0 percent for the four-week period ended February 27, 2005, and increased 3.2 percent for the nine-week year-to-date period. Total comparable advertising revenue increased 5.7 percent for the four-week period ended February 27, 2005, and increased 5.4 percent for the nine-week year-to-date period. Second-period 2005 comparable advertising revenue increased 4.4 percent at the St. Louis operations and 9.0 percent at PNI. Comparable advertising revenue increased 4.0 percent at the St. Louis operations and 8.8 percent at PNI for the nine- week year-to-date period. The principal components of the second-period comparable advertising revenue results for St. Louis and PNI were: -- Comparable retail advertising revenue, including preprints, increased 5.0 percent. Comparable retail ROP revenue decreased 0.7 percent, principally due to weakness in the department store, entertainment, and furniture categories. St. Louis local territory revenues increased 1.8 percent. Comparable retail ROP revenue decreased 4.8 percent in St. Louis and increased 7.4 percent at PNI. Comparable retail preprint revenue increased 26.7 percent in St. Louis reflecting, in part, a strong performance by Local Values, the St. Louis Post-Dispatch's direct mail initiative, which began in March of 2004. PNI retail preprint revenue increased 0.3 percent. -- Comparable second-period national advertising revenue, including preprints, increased 13.9 percent versus the respective 2004 period. This increase was principally due to strength in the telecommunication, automotive, and pharmaceutical categories. Comparable national preprint revenue increased 50.1 percent for the period, and comparable national ROP revenue increased 7.7 percent. Comparable national advertising revenue, including preprints, increased 12.5 percent in St. Louis and increased 37.6 percent at PNI. -- Comparable second-period classified revenue increased 4.7 percent versus the respective 2004 period. Comparable Classified Advertising Revenue Percentage Change 2005 Versus 2004 Total Pulitzer, including Tucson Tucson Period 2 Total Newspaper Newspaper St. Louis PNI Pulitzer Agency Agency Help Wanted 7.4% 41.2% 15.1% 21.4% 16.0% Automotive (3.9%) (15.3%) (6.6%) 7.3% (5.1%) Real Estate (2.6%) 15.7% 3.0% (3.7%) 2.5% Total Classified Revenue 1.4% 13.7% 4.7% 11.1% 5.4% Comparable Classified Advertising Revenue Percentage Change 2005 Versus 2004 Total Pulitzer, including Tucson Tucson Year-To-Date Total Newspaper Newspaper St. Louis PNI Pulitzer Agency Agency Help Wanted 6.5% 39.0% 14.0% 22.5% 15.2% Automotive (7.3%) (6.8%) (7.2%) 6.1% (5.7%) Real Estate (4.1%) 15.5% 2.1% (4.3%) 1.6% Total Classified Revenue (1.4%) 15.9% 3.2% 10.9% 4.1% February 2005 circulation revenue decreased 6.5 percent principally due to the absence of favorable circulation adjustments processed in St. Louis during February 2004. February 2005 revenue associated with the Company's 50 percent interest in the Tucson Newspaper Agency ("TNI") increased 5.0 percent and total advertising revenue increased 7.2 percent. TNI retail revenue, including preprints, increased 4.8 percent, with a 3.7 percent increase in retail ROP and a 7.5 percent increase in retail preprint revenue. Local territory revenues increased 7.2 percent for the period. TNI national revenue, including preprints, increased 3.3 percent, with a 5.5 percent decrease in national ROP and 30.0 percent increase in national preprints. February classified revenue increased 11.1 percent at TNI. OTHER On January 30, 2005, Lee Enterprises, Incorporated (NYSE:LEENYSE:-NYSE:News), and Pulitzer Inc. (NYSE:PTZ) announced that they have entered into a definitive agreement for Lee to acquire all of Pulitzer's capital stock for a cash purchase price of $64 per share, with enterprise value totaling $1.46 billion based upon a value of $64 per share. The boards of directors of both companies have unanimously approved the transaction. The transaction is subject to customary closing conditions and approval by Pulitzer shareholders. The transaction is expected to close in the second quarter of calendar 2005. Pulitzer Inc., through various subsidiaries and affiliated entities, is engaged in newspaper publishing and related new media activities. The Company's newspaper operations include two major metropolitan dailies, the St. Louis Post-Dispatch and the Arizona Daily Star in Tucson, Ariz., and, through its Pulitzer Newspapers, Inc. ("PNI") subsidiary, 12 other dailies and more than 75 weekly newspapers, shoppers and niche publications. The PNI dailies are The Pantagraph, Bloomington, Ill.; The Daily Herald, Provo, Utah; the Santa Maria Times, Santa Maria, Calif.; The Napa Valley Register, Napa, Calif.; The World, Coos Bay, Ore.; The Sentinel, Hanford, Calif.; the Arizona Daily Sun, Flagstaff, Ariz.; The Daily Chronicle, DeKalb, Ill.; The Garden Island, Lihue, Hawaii; the Daily Journal, Park Hills, Mo.; The Lompoc Record, Lompoc, Calif.; and The Daily News, Rhinelander, Wis. The Company's newspaper operations also include the Suburban Journals of Greater St. Louis, a group of 36 weekly papers and various niche publications. The Company's new media and interactive initiatives include STLtoday.com in St. Louis, azstarnet.com in Tucson, and Web sites for all of its other dailies. Pulitzer Inc. is the successor to the company originally founded by Joseph Pulitzer in St. Louis in 1878. For further information, visit our Web site at http://www.pulitzerinc.com/ . NOTES: This press release contains forward-looking statements based on current management expectations. Numerous factors may cause events to differ materially from those anticipated in the forward-looking statements including regulatory and other factors. Many of the factors that will determine those events are beyond our capability to control or predict. These statements are subject to risks and uncertainties and therefore actual events may differ materially. Readers should not place undue reliance on such forward-looking statements which reflect management's view only as of the date hereof. We undertake no obligation to revise or update any forward-looking statements, or to make any other forward-looking statements, whether as a result of new information, future events or otherwise. ADDITIONAL INFORMATION AND WHERE TO FIND IT The proposed transaction will be submitted to Pulitzer's stockholders for their consideration, and Pulitzer will file with the SEC a proxy statement to be used to solicit the stockholders' approval of the proposed transaction, as well as other relevant documents concerning the proposed transaction. STOCKHOLDERS OF PULITZER ARE URGED TO READ THE PROXY STATEMENT REGARDING THE PROPOSED TRANSACTION AND ANY OTHER RELEVANT DOCUMENTS FILED WITH THE SEC WHEN THEY BECOME AVAILABLE, AS WELL AS ANY AMENDMENTS OR SUPPLEMENTS TO THOSE DOCUMENTS, BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION. A free copy of the proxy statement, as well as other filings containing information about Pulitzer, may be obtained at the SEC's Internet site (http://www.sec.gov/). Copies of the proxy statement and the SEC filings that will be incorporated by reference in the proxy statement can also be obtained, without charge, by directing a request to James V. Maloney, Secretary, Pulitzer Inc., 900 North Tucker Boulevard, St. Louis, Missouri 63101. PARTICIPANTS IN THE SOLICITATION Pulitzer and its directors and executive officers and other members of management and employees may be deemed to be participants in the solicitation of proxies from the stockholders of Pulitzer in connection with the proposed transaction. Information regarding Pulitzer's directors and executive officers is available in Pulitzer's proxy statement for its 2004 annual meeting of stockholders, which was filed with the SEC on April 2, 2004. Additional information regarding the interests of such potential participants will be included in the proxy statement and the other relevant documents filed with the SEC when they become available. PULITZER INC. AND SUBSIDIARIES PERIOD REVENUE AND STATISTICAL REPORT (Revenue in thousands--Unaudited) Four Four Nine Nine Weeks Weeks Weeks Weeks Ended Ended Ended Ended Feb. 27, Feb. 29, Feb. 27, Feb. 29, 2005 2004 Change 2005 2004 Change (Note 3) (Note 3) Consolidated Operating Revenue (Note 1): Advertising: Retail $ 8,900 $ 8,894 0.1% $18,387 $18,622 (1.3%) National 2,202 2,045 7.7% 4,253 3,950 7.7% Classified 10,658 10,096 5.6% 22,603 21,730 4.0% Total 21,760 21,035 3.4% 45,243 44,302 2.1% Preprints 5,205 4,311 20.7% 11,361 9,096 24.9% Total Advertising 26,965 25,346 6.4% 56,604 53,398 6.0% Circulation 6,108 6,536 (6.5%) 13,667 14,240 (4.0%) Other 568 611 (7.0%) 1,137 1,213 (6.3%) Total $33,641 $32,493 3.5% $71,408 $68,851 3.7% Operating Revenue of Consolidated Subsidiaries: St. Louis Operations (Note 2): Advertising $18,980 $18,178 4.4% $39,645 $38,111 4.0% Circulation 4,533 4,913 (7.7%) 10,195 10,567 (4.3%) Other 140 194 (27.8%) 299 370 (19.2%) Total $23,653 $23,285 1.6% $50,139 $49,138 2.0% Pulitzer Newspapers, Inc. Advertising $ 7,985 $ 7,168 11.4% $16,959 $15,287 10.9% Circulation 1,575 1,623 (3.0%) 3,472 3,583 (3.1%) Other 428 417 2.6% 838 843 (0.6%) Total $ 9,988 $ 9,208 8.5% $21,269 $19,713 7.9% Operating Revenue of Unconsolidated Newspaper Joint Venture: Pulitzer's 50% share of Tucson Newspaper Agency: Advertising $ 3,565 $ 3,327 7.2% $ 7,669 $ 7,046 8.8% Circulation 915 935 (2.1%) 2,050 2,091 (2.0%) Other 29 32 (9.4%) 111 91 22.0% Total $ 4,509 $ 4,294 5.0% $ 9,830 $ 9,228 6.5% Note 1 Year-to-year comparisons are affected by acquisitions of weekly newspapers, shoppers, and niche publications within the last 12 months that complement the Company's newspapers in several markets. On a comparable basis, excluding the impact of the acquisitions for comparable ownership periods in each year, advertising and total revenues would have increased as follows: Four Weeks Nine Weeks Comparable Change Comparable Change Total Total Pulitzer PNI Pulitzer PNI Advertising Revenue 5.7% 9.0% 5.4% 8.8% Total Revenue 3.0% 6.5% 3.2% 6.1% Note 2 Includes revenues of the St. Louis Post-Dispatch, Suburban Journals of Greater St. Louis, St. Louis e-media operations, and STL Distribution Services. Note 3 Certain reclassifications have been made to the 2004 financial statements and statistical data to conform with the presentation made in 2005. PULITZER INC. AND SUBSIDIARIES PERIOD REVENUE AND STATISTICAL REPORT SELECTED STATISTICAL INFORMATION Four Four Nine Nine Weeks Weeks Weeks Weeks Ended Ended Ended Ended Feb. 27, Feb. 29, Feb. 27, Feb. 29, 2005 2004 Change 2005 2004 Change (Note 3) (Note 3) Advertising Linage (in thousands of inches): ST. LOUIS POST-DISPATCH: Advertising Inches Full run (all zones) Retail 46.1 54.3 (15.1%) 96.7 115.8 (16.5%) National 15.4 13.6 13.2% 29.1 27.4 6.2% Classified 70.0 67.1 4.3% 153.2 154.9 (1.1%) Total 131.5 135.0 (2.6%) 279.0 298.1 (6.4%) Part run (Retail/ Classified) 30.6 46.8 (34.6%) 65.0 94.6 (31.3%) Total Inches 162.1 181.8 (10.8%) 344.0 392.7 (12.4%) TUCSON NEWSPAPER AGENCY: Star/Citizen advertising inches Full run (all zones) Retail 112.1 114.0 (1.7%) 244.0 246.5 (1.0%) National 8.6 7.0 22.9% 14.6 14.6 0.0% Classified 117.0 120.1 (2.6%) 255.6 262.1 (2.5%) Total 237.7 241.1 (1.4%) 514.2 523.2 (1.7%) Part run (Retail/ Classified) 1.6 1.6 0.0% 4.2 3.9 7.7% Total Inches 239.3 242.7 (1.4%) 518.4 527.1 (1.7%) Circulation (Note 4): Four Four Nine Nine Weeks Weeks Weeks Weeks Ended Ended Ended Ended Feb. 27, Feb. 29, Feb. 27, Feb. 29, 2005 2004 Change 2005 2004 Change ST. LOUIS POST-DISPATCH: Daily 279,563 276,178 1.2% 285,623 281,337 1.5% Sunday 448,347 444,090 1.0% 445,959 454,210 (1.8%) COMBINED PULITZER NEWSPAPERS, INC.: Daily 192,305 192,871 (0.3%) 191,101 191,038 0.0% Sunday 187,770 189,377 (0.8%) 186,719 188,611 (1.0%) TUCSON NEWSPAPER AGENCY: Star Daily 116,311 114,698 1.4% 114,996 113,161 1.6% Citizen Daily 30,797 33,353 (7.7%) 30,693 33,025 (7.1%) Combined Daily 147,108 148,051 (0.6%) 145,689 146,186 (0.3%) Star Sunday 180,408 181,135 (0.4%) 178,826 180,394 (0.9%) Online Page Views (in thousands): Four Four Nine Nine Weeks Weeks Weeks Weeks Ended Ended Ended Ended Feb. 27, Feb. 29, Feb. 27, Feb. 29, 2005 2004 Change 2005 2004 Change (Note 3) (Note 3) St. Louis 33,419 29,538 13.1% 75,561 65,463 15.4% Combined PNI Web sites 9,900 8,284 19.5% 20,220 16,697 21.1% Combined Tucson Web sites 8,705 6,591 32.1% 17,840 13,310 34.0% Totals 52,024 44,413 17.1% 113,621 95,470 19.0% Note 4 Year-to-date circulation levels represent averages (unaudited) for the current ABC annual audit periods ending September 30 and December 31 for the St. Louis Post-Dispatch and Tucson Newspaper Agency, respectively. Year-to-date PNI amounts represent combined averages (unaudited) for the annual periods ending December 31. DATASOURCE: Pulitzer Inc. CONTACT: James V. Maloney, Director of Shareholder Relations of Pulitzer Inc., +1-314-340-8402 Web site: http://www.pulitzerinc.com/

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