UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, DC. 20549
Form 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): April 1, 2003
MEDIA GENERAL, INC.
(Exact name of registrant as specified in its charter)
Commonwealth of Virginia 54-0850433
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
333 E. Franklin St., Richmond, VA 23219
(Address of principal executive offices) (Zip Code)
(804) 649-6000
(Registrant's telephone number, including area code)
N/A
(Former name, former address and former fiscal year,
if changed since last report.)
Item 9. Regulation FD Disclosure
The following information is being furnished pursuant to Item 12,
Results of Operations and Financial Condition.
FOR IMMEDIATE RELEASE
Tuesday, April 1, 2003
Media General Lowers First-Quarter Guidance to Reflect
War-Related Ad Cancellations, Deferral of Newsprint Price Increase
RICHMOND, Va. - Media General, Inc. (NYSE: MEG) today announced that its
first-quarter results will reflect the negative impact of advertising
cancellations related to the war in Iraq and an announcement by newsprint
producers that an expected March 1 price increase has been deferred.
"Media General learned this week that the newsprint price increase of $50 per
metric ton, scheduled to take effect March 1, has been deferred," said J.
Stewart Bryan III, chairman and chief executive. "The deferral reflects softness
in consumption, driven by lower ad linage, which is related to advertiser
concerns about the war. This softness in the newsprint business will further
dampen the performance of our one-third interest in SP Newsprint, which was
already expected to come in substantially lower than last year," he said.
Midway through March, Media General experienced a softening in publishing and
broadcast advertising revenues as a result of geopolitical concerns related to
uncertainty about war with Iraq. During the first quarter, the company has also
experienced the unfavorable impact on advertiser spending of an unusually long,
harsh winter, particularly in Virginia and North Carolina.
"After war broke out on March 19, we experienced significant advertising
cancellations in both our publishing and broadcasting businesses across all
markets. The broadcast business was more severely affected, particularly in the
national category, and we believe war-related cancellations hit our many small
television markets harder than large TV markets," said Bryan.
As a result of this deterioration in business conditions, Media General expects
first-quarter earnings per share to be in the area of 26 cents, including a gain
of 16 cents per share from Media General's sale of its Hoover's stock to Dun &
Bradstreet, which was completed in March. Media General earned 26 cents per
share in the first quarter of 2002.
"During this difficult time of uncontrollable external events and their impact
on our business, Media General is focusing on what we can control. We have
implemented cost control measures, such as a hiring freeze and aggressive
management of discretionary spending, and we will defer some of our planned
capital expenditures. At the same time, we continue to emphasize new revenue
generating initiatives, and we are realizing significant gains in circulation as
a result of our readership initiatives," Bryan said. "Our underlying businesses
are sound. We believe that once the situation in Iraq stabilizes and advertisers
return to their accustomed spending levels, our results will rebound
significantly."
Media General will announce first-quarter results on April 16.
Forward-Looking Statements
This news release contains forward-looking statements that are subject to
various risks and uncertainties and should be understood in the context of the
company's publicly available reports filed with the Securities and Exchange
Commission. Media General's future performance could differ materially from its
current expectations.
About Media General
Media General is an independent communications company situated primarily in the
Southeast with interests in newspapers, television stations, interactive media
and diversified information services. The company's publishing assets include
The Tampa Tribune, the Richmond Times-Dispatch, the Winston-Salem Journal and 22
other daily newspapers in Virginia, North Carolina, Florida, Alabama and South
Carolina, as well as nearly 100 other periodicals and a 20 percent interest in
The Denver Post. Media General's 26 network-affiliated television stations reach
more than 30 percent of the television households in the Southeast, and nearly 8
percent of those in the United States. The company's extensive interactive media
offerings include more than 50 online enterprises. Media General also has a 33
percent interest in SP Newsprint Co., which operates newsprint mills in Dublin,
Ga., and Newberg, Ore.
Contact:
Lou Anne Nabhan
(804) 649-6103
lnabhan@mediageneral.com
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
MEDIA GENERAL, INC.
DATE: April 3, 2003 /s/ Marshall N. Morton
-----------------------------------------
Marshall N. Morton
Vice Chairman and Chief Financial
Officer