McClatchy reports $2 million net loss in first quarter
The owner of the Sacramento Bee, Kansas City Star and other papers says its revenues in the latest quarter were $303.7 million, down 9.5 percent from the first quarter of 2010. Advertising revenues were down 11 percent; circulation revenues were down 5 percent; and digital advertising revenues grew 2.2 percent. They were 20.1 percent of total advertising revenues compared to 17.5 percent of total advertising revenues in the first quarter of 2010.
McClatchy's CFO says in release:
We were pleased to be able to reduce debt by $20.6 million in the first quarter to $1.75 billion, despite large cash outlays for interest costs in the quarter. ... Our financial condition continues to be solid. Our leverage ratio as defined under our credit agreement was 4.71 times cash flow at the end of the quarter and our interest coverage ratio was 2.25 times cash flow. Both of these measures are well within the amounts required to be in compliance with our credit agreement.