Table of Contents
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 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) March 11, 2005
THE E.W. SCRIPPS COMPANY
(Exact name of registrant as specified in its charter)
| Ohio | 0-16914 | 31-1223339 | ||
| (State or other jurisdiction of incorporation or organization) |
(Commission File Number) | (I.R.S. Employer Identification Number) |
| 312 Walnut Street Cincinnati, Ohio |
45202 | |
| (Address of principal executive offices) | (Zip Code) |
Registrant’s telephone number, including area code: (513) 977-3000
Not Applicable
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
| ¨ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
| ¨ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| ¨ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| ¨ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Table of Contents
INDEX TO CURRENT REPORT ON FORM 8-K
| Item No. |
Page | |||
| 8.01 |
Other Events | 3 | ||
| 9.01 |
Financial Statements and Exhibits | 3 | ||
2
Table of Contents
On March 11, 2005, we released information regarding our consolidated revenue for the month ended February 28, 2005. A copy of the press release is filed as Exhibit 99.
The discussion and the information contained in the press release contain certain forward-looking statements that are based on our current expectations. Forward-looking statements are subject to certain risks, trends, and uncertainties that could cause actual results to differ materially from the expectations expressed in the forward-looking statements. Such risks, trends and uncertainties, which in most instances are beyond our control, include changes in advertising demand and other economic conditions; consumers’ taste; newsprint prices; program costs; labor relations; technological developments; competitive pressures; interest rates; regulatory rulings; and reliance on third-party vendors for various products and services. The words “believe,” “expect,” “anticipate,” “estimate,” “intend,” and similar expressions identify forward-looking statements. All forward-looking statements, which are as of the date of this filing, should be evaluated with the understanding of their inherent uncertainty. We undertake no obligation to publicly update any forward-looking statement to reflect events or circumstances after the date the statement is made.
Item 9.01 Financial Statements and Exhibits
| (c) | Exhibits |
| 99 | Press release dated March 11, 2005. |
3
Table of Contents
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 hereunto duly authorized.
| THE E.W. SCRIPPS COMPANY | ||
| BY: |
/s/ Lori A. Hickok | |
| Lori A. Hickok | ||
| Vice President and Controller | ||
Dated: March 11, 2005
4
| PRESS RELEASE |
Exhibit 99 |
Scripps reports February revenues
| For immediate release | (NYSE: SSP) | |
| March 11, 2005 |
CINCINNATI – The E. W. Scripps Company’s consolidated revenue for February increased 10 percent year-over-year to $185 million.
Revenue for the company’s fastest growing division, Scripps Networks, was up 25 percent to $63.3 million. February advertising revenue at Scripps Networks was up 30 percent and affiliate fee revenue increased 16 percent.
Scripps Networks includes the company’s portfolio of national cable and satellite television networks, including Home & Garden Television, Food Network, DIY Network, Fine Living and Great American Country (GAC).
HGTV and Food Network can be seen in 88 million and 86 million U.S. television households, respectively. DIY Network reaches about 32 million households and Fine Living can be seen in about 25 million households. GAC reached 37 million U.S. households in February.
At the company’s newspapers, February revenue was down 5.6 percent to $58.0 million compared with the same month a year ago. February 2005 had four Sundays compared with five Sundays in 2004. Newspaper advertising revenue for the two-month period, January and February, was up 3.4 percent year-over-year.
Including the effect of one fewer Sunday in the month, newspaper advertising revenue in February by category, was:
| • | Local, down 4.0 percent to $13.9 million. |
| • | Classified, down 4.1 percent to $18.5 million. |
| • | National, down 2.0 percent to $3.3 million. |
| • | Preprint and other, down 3 percent to $10.6 million. |
The company’s share of profits from its four joint newspaper operations, before editorial costs, was $5.5 million compared with $5.9 million in February 2004. The decrease includes the effect of one fewer Sunday in February 2005. The company’s share of profits from joint newspaper operations is up 6.3 percent for the two-month period of January and February.
At Shop at Home, the company’s television retailing subsidiary, February revenue was up 39 percent to $33.2 million. Shop at Home could be seen in 53 million television households in February, up 12 percent from the same month in 2004.
At the company’s broadcast television stations February revenue was down 4.3 percent to $22.5 million. The decline reflects the absence of political advertising revenue compared with $1.1 million in political advertising revenue during the same month last year.
Broadcast television February advertising revenue, by category, was:
| • | Local, down 1.2 percent to $14.0 million. |
| • | National, up 9.2 percent to $7.5 million. |
| • | Other, down 27 percent to $1.0 million. |
About Scripps
The E.W. Scripps Company is a diverse media concern with interests in national lifestyle television networks, newspaper publishing, broadcast television, television retailing, interactive media and licensing and syndication. All of the company’s media businesses provide content and advertising services via the Internet.
Scripps is organized into the following operating divisions.
Scripps Networks, including the company’s growing portfolio of popular lifestyle television networks. Scripps Networks brands include Home & Garden Television, Food Network, DIY Network, Fine Living, Great American Country (GAC) and HGTVPro. Scripps Networks Web sites include FoodNetwork.com, HGTV.com, DIYnetwork.com, fineliving.com and gactv.com. Scripps Networks programming can be seen in 95 countries.
Scripps Newspapers, including daily and community newspapers in 19 markets and the Washington-based Scripps Media Center, home to the Scripps Howard News Service. Scripps newspapers include the Rocky Mountain News in Denver, the Commercial Appeal in Memphis, the Knoxville (Tenn.) News Sentinel and the Ventura County (Calif.) Star.
Scripps Television Station Group, including six ABC-affiliated stations, three NBC affiliates and one independent. Scripps operates broadcast television stations in Detroit, Cleveland, Cincinnati, Phoenix, Tampa, Baltimore, Kansas City, Mo., West Palm Beach, Fla., Tulsa, Okla., and Lawrence, Kan.
Shop at Home, the company’s television retailing subsidiary, which markets a growing range of consumer goods directly to television viewers and visitors to the Shop At Home Web site, shopathometv.com. Shop At Home reaches about 53 million full-time equivalent U.S. households, including 5 million households via five Scripps-owned Shop At Home affiliated television stations.
United Media, a leading licensing and syndication company. United Media is the worldwide licensing and syndication home of Peanuts, Dilbert and about 150 other features and characters.
###
Contact: Tim Stautberg, The E. W. Scripps Company, 513-977-3826
Email: stautberg@scripps.com
| THE E.W. SCRIPPS COMPANY | For more information: | |||
| Unaudited Revenue and Statistical Summary | Tim Stautberg | |||
| Period: February | The E.W. Scripps Company | |||
| Report date: March 11, 2005 | 513-977-3826 |
| ( amounts in millions, unless otherwise noted ) |
February |
Year-to-date |
|||||||||||||||||
| 2005 |
2004 |
% |
2005 |
2004 |
% |
||||||||||||||
| SEGMENT OPERATING REVENUES |
|||||||||||||||||||
| Scripps Networks (1) |
$ | 63.3 | $ | 50.5 | 25.4 | % | $ | 124.4 | $ | 98.2 | 26.6 | % | |||||||
| Newspapers |
58.0 | 61.4 | (5.6 | )% | 118.7 | 116.7 | 1.7 | % | |||||||||||
| Broadcast Television |
22.5 | 23.5 | (4.3 | )% | 45.0 | 46.9 | (4.0 | )% | |||||||||||
| Shop At Home |
33.2 | 23.9 | 38.6 | % | 64.7 | 50.0 | 29.3 | % | |||||||||||
| Licensing and Other Media |
8.4 | 8.5 | (2.1 | )% | 17.5 | 18.1 | (3.4 | )% | |||||||||||
| TOTAL |
$ | 185.4 | $ | 167.9 | 10.4 | % | $ | 370.3 | $ | 330.0 | 12.2 | % | |||||||
| SCRIPPS NETWORKS (1) |
|||||||||||||||||||
| Operating Revenues |
|||||||||||||||||||
| Advertising |
$ | 49.6 | $ | 38.2 | 29.9 | % | $ | 96.8 | $ | 74.3 | 30.2 | % | |||||||
| Affiliate fees, net |
13.4 | 11.6 | 15.8 | % | 26.8 | 22.4 | 19.9 | % | |||||||||||
| Other |
0.4 | 0.8 | (48.0 | )% | 0.8 | 1.5 | (49.9 | )% | |||||||||||
| Scripps Networks |
$ | 63.3 | $ | 50.5 | 25.4 | % | $ | 124.4 | $ | 98.2 | 26.6 | % | |||||||
| Subscribers (2) |
|||||||||||||||||||
| HGTV |
87.6 | 85.4 | 2.6 | % | |||||||||||||||
| Food Network |
86.3 | 83.8 | 3.0 | % | |||||||||||||||
| Great American Country |
37.3 | 26.1 | 42.9 | % | |||||||||||||||
| NEWSPAPERS (3) |
|||||||||||||||||||
| Operating Revenues |
|||||||||||||||||||
| Local |
$ | 13.9 | $ | 14.4 | (4.0 | )% | $ | 27.4 | $ | 27.7 | (1.2 | )% | |||||||
| Classified |
18.5 | 19.2 | (4.1 | )% | 37.9 | 36.6 | 3.6 | % | |||||||||||
| National |
3.3 | 3.4 | (2.0 | )% | 6.8 | 6.5 | 5.4 | % | |||||||||||
| Preprints and other |
10.6 | 11.0 | (3.0 | )% | 21.7 | 19.9 | 8.9 | % | |||||||||||
| Newspaper advertising |
46.3 | 48.0 | (3.6 | )% | 93.8 | 90.7 | 3.4 | % | |||||||||||
| Circulation |
10.5 | 12.1 | (12.8 | )% | 22.4 | 23.7 | (5.2 | )% | |||||||||||
| Other |
1.2 | 1.3 | (8.9 | )% | 2.5 | 2.4 | 4.0 | % | |||||||||||
| Newspapers |
$ | 58.0 | $ | 61.4 | (5.6 | )% | $ | 118.7 | $ | 116.7 | 1.7 | % | |||||||
| Ad inches (excluding JOAs) (in thousands) |
|||||||||||||||||||
| Local |
478 | 507 | (5.7 | )% | 945 | 985 | (4.1 | )% | |||||||||||
| Classified |
738 | 789 | (6.5 | )% | 1,500 | 1,539 | (2.5 | )% | |||||||||||
| National |
91 | 96 | (5.6 | )% | 184 | 188 | (2.2 | )% | |||||||||||
| Full run ROP |
1,307 | 1,392 | (6.1 | )% | 2,630 | 2,713 | (3.1 | )% | |||||||||||
| Share of JOA operating profits (4) |
$ | 5.5 | $ | 5.9 | (7.0 | )% | $ | 10.8 | $ | 10.2 | 6.3 | % | |||||||
| BROADCAST TELEVISION |
|||||||||||||||||||
| Operating Revenues |
|||||||||||||||||||
| Local |
$ | 14.0 | $ | 14.1 | (1.2 | )% | $ | 28.2 | $ | 28.7 | (1.7 | )% | |||||||
| National |
7.5 | 6.9 | 9.2 | % | 14.8 | 13.9 | 6.8 | % | |||||||||||
| Political |
1.1 | (0.0 | ) | 1.7 | |||||||||||||||
| Other |
1.0 | 1.4 | (27.3 | )% | 2.1 | 2.7 | (23.9 | )% | |||||||||||
| Broadcast Television |
$ | 22.5 | $ | 23.5 | (4.3 | )% | $ | 45.0 | $ | 46.9 | (4.0 | )% | |||||||
| SHOP AT HOME |
|||||||||||||||||||
| Operating Revenues |
|||||||||||||||||||
| Shop At Home |
$ | 33.2 | $ | 23.9 | 38.6 | % | $ | 64.7 | $ | 50.0 | 29.3 | % | |||||||
| Avg. full-time equivalent homes |
53.3 | 47.5 | 12.2 | % | 53.8 | 47.4 | 13.5 | % | |||||||||||
| (1) | Operating results include Great American Country since the November 17, 2004 acquisition date. |
| (2) | Subscriber counts are according to the Nielsen Homevideo Index of homes that receive cable networks. |
| (3) | February 2005 had 4 Sundays, versus 5 Sundays in 2004. |
| (4) | Excludes editorial costs. |