SACRAMENTO, Calif., Dec. 10, 2013 /PRNewswire/ -- The McClatchy Company (NYSE: MNI) said today that it will provide an update of business trends for 2013 and an outlook for 2014 at the 41st Annual UBS Global Media and Communications Conference at the Westin New York at Times Square in New York City on Dec. 11, 2013, at 1:30 p.m. Eastern, 10:30 a.m. Pacific time. The company's presentation will be webcast live on its website, www.mcclatchy.com, and at http://bit.ly/1i2rsIM. The webcast will be archived at McClatchy's website for future reference.
Pat Talamantes, McClatchy's president and CEO, said, "We continue to execute on our strategic goals of producing high-quality journalism while transforming our business to a digital model. We are diversifying our revenue base, making investments in our digital future and maintaining our focus on cost efficiencies all while continuing to reduce debt. We look forward to discussing our strategies for achieving these goals at the conference tomorrow."
In addition to its strategies, management plans to discuss the following outlook for 2014:
- The company expects double-digit growth in digital-only advertising revenues along with low single-digit growth in both direct marketing and circulation revenues in 2014. Additionally, expenses are expected to be down in the low single-digits in 2014, excluding the impact of circulation-related expense reclassification as a result of moving to fee-for-service delivery contracts at several newspapers. Expenses in 2014 will include approximately $13 million of expense associated with digital initiatives next year.
- McClatchy is well equipped to meet its financial obligations in 2014. The company expects to contribute approximately $25 million to its pension plan and to spend about $29 million in capital expenditures next year. The company also expects to continue to pay down debt, including the retirement of approximately $29 million in bonds maturing in November 2014.
The McClatchy Company is a leading news and information provider, offering a wide array of print and digital products in each of the markets it serves. McClatchy's operations include 30 daily newspapers, community newspapers, websites, mobile news and advertising, niche publications, direct marketing and direct mail services. The company's largest newspapers include the (Fort Worth) Star-Telegram, The Sacramento Bee, The Kansas City Star, the Miami Herald, The Charlotte Observer and The (Raleigh) News & Observer. McClatchy is listed on the New York Stock Exchange under the symbol MNI.
Statements in this press release regarding future financial and operating results, including revenues, anticipated savings from cost reduction efforts, cash flows, debt levels, as well as future opportunities for the company and any other statements about management's future expectations, beliefs, goals, plans or prospects constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Any statements that are not statements of historical fact (including statements containing the words "believes," "plans," "anticipates," "expects," "estimates" and similar expressions) should also be considered to be forward-looking statements. There are a number of important risks and uncertainties that could cause actual results or events to differ materially from those indicated by such forward-looking statements, including: McClatchy may not generate cash from operations, or otherwise, necessary to reduce debt or meet debt covenants as expected; McClatchy may not successfully implement circulation strategies designed to increase circulation revenue, including the Plus Program, and may experience decreased circulation volumes or subscriptions through the Plus Program; McClatchy may experience diminished revenues from retail, classified, national and direct marketing advertising; McClatchy may not achieve its expense reduction targets or may do harm to its operations in attempting to achieve such targets; McClatchy's operations have been, and will likely continue to be, adversely affected by competition, including competition from internet publishing and advertising platforms; increases in the cost of newsprint; bankruptcies or financial strain of its major advertising customers; litigation or any potential litigation; geo-political uncertainties including the risk of war; changes in printing and distribution costs from anticipated levels, including changes in postal rates or agreements; changes in interest rates; changes in pension assets and liabilities; changes in factors that impact pension contribution requirements, including, without limitation, the value of the company-owned real property that McClatchy has contributed to its pension plan; increased consolidation among major retailers in our markets or other events depressing the level of advertising; our inability to negotiate and obtain favorable terms under collective bargaining agreements with unions; competitive action by other companies; and other factors, many of which are beyond our control; as well as the other risks detailed from time to time in the company's publicly filed documents, including the company's Annual Report on Form 10-K for the year ended Dec. 30, 2012, as amended by the Form 10-K/A, filed with the U.S. Securities and Exchange Commission. McClatchy disclaims any intention and assumes no obligation to update the forward-looking information contained in this release.
SOURCE The McClatchy Company