Tribune Co. reported Wednesday that its fourth-quarter profit plunged 38 percent amid a series of charges related to its publishing division and continued advertising weakness at its television operation.
The Chicago-based owner of television stations and newspapers reported a fourth-quarter profit of $134.4 million, down from a year-earlier figure of $216.8 million. Revenue fell 5 percent to $1.4 billion. For the year, Tribune’s profit was off 4 percent to $534 million and revenue was down 2 percent to $5.6 billion.
The company blamed the profit decline on a series of charges booked in the quarter related to the elimination of 900 positions in the publishing division and the shutdown of a printing facility in Los Angeles.
Also weighing on the results was advertising weakness in the broadcasting division, with the television operation posting a 10 percent decline in revenue to $319 million due to ratings challenges at The WB Network and softness in several major advertising categories, including telecom, auto and food categories.
Tribune presently owns a 22 percent stake in The WB Network but will give up that stake once the network shuts down later this summer to make way for the new CW Television Network.
Tribune Takes Fourth-Quarter Hit
Feb 1, 2006 • Post A Comment