Media General Reports Second-Quarter 2011 Results

Media General Reports Second-Quarter 2011 Results

RICHMOND, Va., July 20, 2011 /PRNewswire/ -- Media General, Inc. (NYSE: MEG), a multimedia provider of broadcast television, digital media and print products, today reported operating income in the second quarter of 2011 of $6.8 million, compared with $16.3 million in the second quarter last year. Interest expense of approximately $17 million in both years and non-cash tax expense in both years together produced a net loss in the second quarter of 2011 of $15.4 million, or 68 cents per share, compared with a net loss of $4.3 million, or 19 cents per share, last year.

Total revenues in the quarter decreased by $11.4 million, or 6.8 percent, to $154.8 million. Last year's revenues included $7 million of Political advertising spending, compared with $600,000 this year, and approximately $1 million of BP image advertising related to the Gulf of Mexico oil spill. Total operating costs were down 1.2 percent from last year, including approximately $1.6 million of severance expense in this year's second quarter.

"Media General's second-quarter results reflected the impact of a faltering economic recovery. Our broadcast television stations and website operations delivered relatively strong results, while our print operations, which are more immediately sensitive to economic shifts, and advertising services, were weaker," said Marshall N. Morton, president and chief executive officer. "To counter economic weakness, we have reduced discretionary spending, implemented targeted reductions in force and scheduled a furlough program for the second half of the year. We now expect total operating costs for this year to be down 3 percent from last year," Mr. Morton said. "We've also lowered our capital spending plan to $20-22 million for the year, down from $20-25 million," he said.

"Our television stations did an excellent job of replacing a large portion of last year's Political revenues. Excluding Political advertising in both years, broadcast revenues increased 6.6 percent in the second quarter. Local time sales grew 5.5 percent while National time sales increased 2.3 percent," Mr. Morton said. "We have garnered Political advocacy advertising in several markets already this year and we look for heightened activity in the second half of this year. We currently expect total Political revenues for 2011 to be approximately $7 million. Automotive advertising, which weakened in the past few months, is expected to strengthen by the end of summer," he said.

"Our local media websites generated an 18 percent increase in revenues, set a quarterly record with $8 million in revenues, and were profitable. Four of our five geographic markets generated double-digit percentage increases in revenues over the prior-year's quarter. Digital media revenues grew 19 percent in our Virginia/Tennessee market, 42 percent in the Mid-South, 13 percent in North Carolina, 11 percent in Ohio/Rhode Island, and 8 percent in Florida. This growth is due in part to strong partnerships with Yahoo!, Monster (formerly Yahoo! HotJobs), Zillow and mobile advertising. Local online revenues increased 31 percent, as a result of our focus on digital sales. Online Classified revenues grew 8 percent and marked the sixth consecutive quarterly increase. Unique visitors to our websites increased 13 percent, reflecting audience growth from new sources such as mobile phones, tablets and social media," Mr. Morton said. The strong performance of website operations was offset by lower results in Advertising Services, which caused total digital media revenues to decline 10.8 percent.

Print advertising remained weak in the quarter, impacted by lower advertising in all categories, particularly Classified. Total print revenues were down 9.7 percent. Classified advertising declined 22.3 percent, driven by lower foreclosure notices and continued weakness in real estate and employment classifieds. Local print revenues decreased 8 percent, reflecting softness in retail spending across most markets. National print revenues decreased 29.6 percent, mostly from the absence this year of the BP advertising.

The company's focus on third-party printing and distribution revenues led to an increase of 35 percent. This reflects continued success in attracting outside distribution and commercial printing customers. All outside printing operations generated higher revenues, and the company gained new distribution business for national and local print publications.

Market Segments

Virginia/Tennessee market profit in the second quarter was $6.1 million, compared with $10.5 million last year. Revenues declined 8.2 percent, primarily reflecting decreased print revenues. Expenses increased less than 1 percent. Local revenues decreased 5.1 percent, driven by declines on the print side, partially offset by increased Local revenues at the market's two television stations. National revenues decreased 5.2 percent, due mostly to declines in Richmond. Classified revenues decreased 22.5 percent, as a result of lower legal, real estate and help-wanted advertising, partially offset by higher automotive advertising in several groups. Printing and distribution revenues increased 25.8 percent, reflecting new outside printing and delivery business.

The Florida market had a loss of $2.2 million, compared with a profit of $1.5 million a year ago. The decline was due to the absence of $1.5 million in Political revenues and more than $900,000 in non-recurring revenues from last year's BP image advertising, along with continued weakness in print advertising. Revenues decreased 11.1 percent, and expenses declined 1.1 percent from last year, including severance costs of $754,000. Local revenues decreased 3.1 percent. Print drove the Local declines, partially offset by Local digital revenues, which increased 33.5 percent. National revenues decreased 22.1 percent, due primarily to the non-recurring BP revenues and weakness in telecommunications and other categories. Classified revenues decreased 17.7 percent as a result of continued weakness in real estate and employment classifieds. Printing and distribution revenues were up 12.5 percent.

Mid-South market profit was $7.2 million, compared with $9.6 million last year. Total revenues decreased 1.1 percent, and expenses increased 6 percent. Local advertising revenues increased 5.1 percent, as a result of higher broadcast and digital media advertising partially offset by print declines. National advertising rose 13.5 percent, with all 11 television Mid-South stations experiencing increases over prior-year levels. Classified revenues were down just 3.2 percent, the best year-to-year performance of any of the company's geographic markets. Legal advertising remained steady in the Mid-South market and help-wanted advertising was up 3.4 percent from last year, reflecting higher digital Classified spending. Printing and distribution revenues were up 82.7 percent, due to a significant growth in third-party customers at several newspapers.

North Carolina market profit was $697,000 compared with $1.5 million last year. Revenues decreased 1.2 percent, and expenses increased 3.4 percent from last year, including severance costs of $371,000. Local revenues increased nearly 1 percent, reflecting higher Local digital spending and increased Local advertising at the Greenville television station. National revenues decreased 9.2 percent, due to weakness in certain categories at the Raleigh station and Winston-Salem Journal, partially offset by increased digital spending. Classified revenues decreased 19.1 percent, due to lower real estate and legal advertising. Printing and distribution revenues increased significantly from the addition of the printing of USA TODAY in Winston-Salem and from adding the delivery of the Charlotte Observer in certain areas we already serve in North Carolina.

Ohio/Rhode Island market profit of $3.5 million compared with $3.7 million last year. Total revenues increased 1.8 percent, reflecting higher Local spending this year at the market's two NBC television stations. National advertising decreased 1.9 percent from last year. Expenses increased 3.8 percent.

The Advertising Services and Other segment loss of $1.3 million compared with a profit of $884,000 last year. The lower results were primarily due to a significant decrease in revenues at DealTaker.com, due to issues related to Google search algorithms, which DealTaker is taking aggressive actions to counter.

Other Results

Interest expense was approximately $17 million in the current and prior-year quarters.

Corporate expense increased 2.7 percent from last year, due to higher salary and benefits expense.

Non-cash income tax expense in the second quarter was $5.2 million, compared with $3.6 million in 2010. The increase is due primarily to the absence of an intraperiod tax allocation related to the pension adjustment recorded in the second quarter of 2010. The unusual relationship of income tax expense to pre-tax loss was due to the "naked credit" issue discussed in the company's public filings.

Newsprint expense in the second quarter increased 14 percent from last year's quarter. While consumption declined modestly, the average price per ton this year was $604 compared with $535 last year.

Debt at the end of the second quarter was $659 million.

EBITDA (income before interest, taxes, depreciation and amortization) was $20 million in the second quarter of 2011, compared with$30 millionin the 2010 period. After-Tax Cash Flow was $2.9 million, compared with $13 million in the prior-year's quarter. Capital expenditures in the second quarter of 2011 were $6 million, compared with $6.7 million in the second quarter last year. Free Cash Flow (After-Tax Cash Flow minus capital expenditures) wasa deficit of$3.1 million, compared with positive Free Cash Flow of $6.4 million in the prior-year period.

Supplemental Platform Financial Information

On page 10 of this news release, Media General has provided revenues, depreciation and amortization, operating profit (loss), and cash flow by platform. This information for the first quarter of 2011, four quarters of 2010 and for the full year 2009 is available on the home page of the company's website, www.mediageneral.com.

Media General provides the non-GAAP financial metrics EBITDA, After-Tax Cash Flow, and Free Cash Flow. The company believes these metrics, along with the supplemental platform results, are common alternative measures used by investors, financial analysts and rating agencies to evaluate a company's ability to service its debt requirements and to estimate the value of the company. A reconciliation of these metrics to amounts on the GAAP statements has been included in this news release.

Conference Call, Webcast and Financial Statements

The company will hold a conference call with financial analysts today at 11 a.m. ET. The conference call will be available to the media and general public through a limited number of listen-only dial-in conference lines and via simultaneous webcast. To dial in to the call, listeners may call 1-800-299-9630 about 10 minutes prior to the 11 a.m. start. The participant passcode is "Media General." Listeners may also access the live webcast by logging on to www.mediageneral.com and clicking on the "Live Webcast" link on the homepage about 10 minutes in advance. A replay of the webcast will be available online at www.mediageneral.com beginning today at 2 p.m. A telephone replay is also available, beginning at 2 p.m. today and ending at 2 p.m. on July 27, 2011, by dialing 888-286-8010 or 617-801-6888, and using the passcode 81110152.

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 a leading provider of news, information and entertainment across multiple media platforms, serving consumers and advertisers in strong local markets, primarily in the Southeastern United States. The company is transforming itself over time to a digital media model, while continuing to effectively manage its larger, cash producing broadcast television and print platforms. Media General's operations are organized in five geographic market segments and a sixth segment that includes the company's interactive advertising services and certain other operations. The company's operations include 18 network-affiliated television stations and their associated websites and 23 newspapers and their associated websites. Media General operates three digital media advertising services companies: Blockdot, which specializes in interactive entertainment and advergaming technologies; DealTaker.com, a coupon and shopping website; and NetInformer, a leading provider of wireless media and mobile marketing services.

Media General, Inc.
CONSOLIDATED STATEMENTS OF OPERATIONS

Thirteen Weeks Twenty-Six Weeks
Ending Ending
-------------- ----------------
June
June 26, 27, June 26, June 27,
(Unaudited, in
thousands except
per share amounts) 2011 2010 2011 2010
------------------- ---- ---- ---- ----

Revenues
Broadcast
television $70,359 $72,509 $135,685 $139,594
Digital media and
other 9,591 10,748 19,864 21,229
Print 74,836 82,905 148,180 164,203
----- ------ ------ ------- -------
Total revenues 154,786 166,162 303,729 325,026
-------------- ------- ------- ------- -------

Operating costs:
Employee
compensation 70,880 72,445 149,099 148,037
Production 36,410 36,831 72,166 72,364
Selling, general
and administrative 27,678 26,904 53,874 52,233
Depreciation and
amortization 13,041 13,697 26,060 27,398
---------------- ------ ------ ------ ------
Total operating
costs 148,009 149,877 301,199 300,032
--------------- ------- ------- ------- -------

Operating income 6,777 16,285 2,530 24,994
---------------- ----- ------ ----- ------

Other income
(expense):
Interest expense (17,192) (17,089) (33,756) (36,912)
Other, net 252 166 517 541
---------- --- --- --- ---
Total other expense (16,940) (16,923) (33,239) (36,371)
------------------- ------- ------- ------- -------

Loss before income
taxes (10,163) (638) (30,709) (11,377)

Income tax expense 5,219 3,645 10,477 9,652
Net loss $(15,382) $(4,283) $(41,186) $(21,029)
======== ======== ======= ======== ========

Net loss per common
share -basic and
diluted $(0.68) $(0.19) $(1.84) $(0.94)
=================== ====== ====== ====== ======

Weighted-average
common shares
outstanding:
Basic and diluted 22,488 22,343 22,444 22,316

Media General, Inc.
BUSINESS SEGMENTS

(Unaudited, in Operating
thousands) Revenues Depreciation & Profit
-------------- -------- Amortization (Loss)
------------ ------
Three Months Ending
June 26, 2011
Virginia/Tennessee $44,917 $(3,154) $6,139
Florida 33,244 (1,602) (2,211)
Mid-South 41,012 (2,984) 7,197
North Carolina 18,974 (1,398) 697
Ohio/Rhode Island 14,071 (752) 3,539
Advertising Services &
Other 4,028 (246) (1,333)
Eliminations (1,460) - -
---
14,028
Unallocated amounts:
Acquisition
intangibles
amortization - (1,500) (1,500)
Corporate expense - (1,405) (7,966)
$154,786 $(13,041)
======== ========

Corporate interest
expense (17,180)
Other 2,455
-----

Consolidated loss
before income taxes $(10,163)
========

(Unaudited, in Operating
thousands) Revenues Depreciation & Profit
-------------- -------- Amortization (Loss)
------------ ------
Three Months Ending
June 27, 2010
Virginia/Tennessee $48,947 $(3,288) $10,483
Florida 37,393 (1,762) 1,526
Mid-South 41,477 (3,010) 9,563
North Carolina 19,212 (1,557) 1,537
Ohio/Rhode Island 13,826 (835) 3,681
Advertising Services &
Other 5,942 (234) 884
Eliminations (635) - -
---
27,674
Unallocated amounts:
Acquisition
intangibles
amortization - (1,571) (1,571)
Corporate expense - (1,440) (7,756)
$166,162 $(13,697)
======== ========

Corporate interest
expense (17,083)
Other (1,902)
------

Consolidated loss
before income taxes $(638)
=====

Media General, Inc.
BUSINESS SEGMENTS

(Unaudited, in Operating
thousands) Revenues Depreciation & Profit
-------------- -------- Amortization (Loss)
------------ ------
Six Months Ending June
26, 2011
Virginia/Tennessee $87,497 $(6,331) $9,976
Florida 67,189 (3,202) (5,346)
Mid-South 79,304 (5,941) 12,609
North Carolina 36,603 (2,808) 824
Ohio/Rhode Island 26,428 (1,525) 5,883
Advertising Services &
Other 9,177 (486) (1,346)
Eliminations (2,469) - -
---
22,600
Unallocated amounts:
Acquisition
intangibles
amortization - (3,014) (3,014)
Corporate expense - (2,753) (16,238)
$303,729 $(26,060)
======== ========

Corporate interest
expense (33,733)
Other (324)
----
Consolidated loss
before income taxes $(30,709)
========

(Unaudited, in Operating
thousands) Revenues Depreciation & Profit
-------------- -------- Amortization (Loss)
------------ ------
Six Months Ending June
27, 2010
Virginia/Tennessee $94,798 $(6,577) $18,092
Florida 75,466 (3,525) 2,771
Mid-South 78,062 (6,020) 14,239
North Carolina 38,021 (3,114) 2,648
Ohio/Rhode Island 27,441 (1,669) 6,962
Advertising Services &
Other 12,278 (465) 2,323
Eliminations (1,040) - -
---
47,035
Unallocated amounts:
Acquisition
intangibles
amortization - (3,142) (3,142)
Corporate expense - (2,886) (15,712)
$325,026 $(27,398)
======== ========

Corporate interest
expense (36,897)
Other (2,661)
------
Consolidated loss
before income taxes $(11,377)
========

Media General, Inc.
REVENUES DETAIL

Thirteen Weeks Ending
---------------------
June 26, June 27,
(Unaudited, in thousands) 2011 2010 % Change
---- ---- --------

Virginia/Tennessee
Broadcast television 5,402 5,299 1.9 %
Digital media and other 2,926 2,457 19.1 %
Print $36,589 $41,191 (11.2)%
Total Virginia/Tennessee
revenues 44,917 48,947 (8.2)%
------ ------ -----

Florida
Broadcast television 12,944 14,505 (10.8)%
Digital media and other 1,933 1,797 7.6 %
Print 18,367 21,091 (12.9)%
Total Florida revenues 33,244 37,393 (11.1)%
------ ------ ------

Mid-South
Broadcast television 31,409 32,113 (2.2)%
Digital media and other 1,661 1,172 41.7 %
Print 7,942 8,192 (3.1)%
Total Mid-South revenues 41,012 41,477 (1.1)%
------ ------ -----

North Carolina
Broadcast television 5,665 5,563 1.8 %
Digital media and other 1,257 1,112 13.0 %
Print 12,052 12,537 (3.9)%
Total North Carolina
revenues 18,974 19,212 (1.2)%
------ ------ -----

Ohio/Rhode Island
Broadcast television 13,472 13,285 1.4 %
Digital media and other 599 541 10.7 %
Total Ohio/Rhode Island
revenues 14,071 13,826 1.8 %
------ ------ ----

Advertising Services &
Other
Broadcast television
(equipment/design
company) 2,510 2,036 23.3 %
Digital media and other 1,518 3,906 (61.1)%
Total Advertising Services
& Other revenues 4,028 5,942 (32.2)%
----- ----- ------

Eliminations (1,460) (635) 129.9 %

Total revenues $154,786 $166,162 (6.8)%
======== ======== =====

Selected revenue
categories
(Unaudited, in thousands)

Print revenues
Local $33,657 $36,595 (8.0)%
National 4,081 5,799 (29.6)%
Classified 15,302 19,683 (22.3)%
Circulation 15,863 16,758 (5.3)%
Printing/Distribution 4,540 3,359 35.2 %
----- ----- -----

Broadcast television
revenues (gross)
Local $45,008 $42,655 5.5 %
National 22,739 22,224 2.3 %
Political 591 7,062 (91.6)%
Cable/Satellite
(retransmission) fees 5,363 4,681 14.6 %
----- ----- -----

Digital media and other
revenues
Local $4,718 $3,601 31.0 %
National 781 851 (8.2)%
Classified 2,624 2,429 8.0 %
Advertising Services 1,541 3,883 (60.3)%
----- ----- ------

Twenty-Six Weeks Ending
-----------------------
June
26, June 27,
(Unaudited, in thousands) 2011 2010 % Change
---- ---- --------

Virginia/Tennessee
Broadcast television 10,284 10,249 0.3 %
Digital media and other 5,640 4,616 22.2 %
Print $71,573 $79,933 (10.5)%
Total Virginia/Tennessee revenues 87,497 94,798 (7.7)%
------ ------ -----

Florida
Broadcast television 25,826 28,859 (10.5)%
Digital media and other 3,690 3,377 9.3 %
Print 37,673 43,230 (12.9)%
Total Florida revenues 67,189 75,466 (11.0)%
------ ------ ------

Mid-South
Broadcast television 60,705 59,590 1.9 %
Digital media and other 2,924 2,197 33.1 %
Print 15,675 16,275 (3.7)%
Total Mid-South revenues 79,304 78,062 1.6 %
------ ------ ----

North Carolina
Broadcast television 10,782 11,056 (2.5)%
Digital media and other 2,387 2,054 16.2 %
Print 23,434 24,911 (5.9)%
Total North Carolina revenues 36,603 38,021 (3.7)%
------ ------ -----

Ohio/Rhode Island
Broadcast television 25,278 26,434 (4.4)%
Digital media and other 1,150 1,007 14.2 %
Total Ohio/Rhode Island revenues 26,428 27,441 (3.7)%
------ ------ -----

Advertising Services & Other
Broadcast television (equipment/
design company) 4,556 3,873 17.6 %
Digital media and other 4,621 8,405 (45.0)%
Total Advertising Services & Other
revenues 9,177 12,278 (25.3)%
----- ------ ------

Eliminations (2,469) (1,040) 137.4 %

Total revenues $303,729 $325,026 (6.6)%
======== ======== =====

Selected revenue categories
(Unaudited, in thousands)

Print revenues
Local $66,039 $71,846 (8.1)%
National 7,983 11,394 (29.9)%
Classified 30,917 38,669 (20.0)%
Circulation 32,010 34,123 (6.2)%
Printing/Distribution 8,533 6,572 29.8 %
----- ----- -----

Broadcast television revenues
(gross)
Local $87,548 $84,652 3.4 %
National 42,928 45,343 (5.3)%
Political 779 8,041 (90.3)%
Cable/Satellite (retransmission)
fees 10,703 9,291 15.2 %
------ ----- -----

Digital media and other revenues
Local $8,755 $6,597 32.7 %
National 1,616 1,674 (3.5)%
Classified 4,937 4,589 7.6 %
Advertising Services 4,642 8,362 (44.5)%
----- ----- ------

Media General, Inc.
CONSOLIDATED BALANCE SHEETS

December
June 26, 26,
(Unaudited, in thousands) 2011 2010
------------------------- ---- ----

ASSETS

Current assets:
Cash and cash equivalents $13,599 $31,860
Accounts receivable - net 86,933 102,314
Inventories 5,765 7,053
Other 23,119 29,745
------ ------
Total current assets 129,416 170,972
------- -------

Other assets 38,215 40,629

Property, plant and equipment -
net 388,134 398,939

FCC licenses and other
intangibles -net 566,419 569,433

Total assets $1,122,184 $1,179,973
============ ========== ==========

LIABILITIES AND STOCKHOLDERS'
EQUITY

Current liabilities:
Accounts payable $24,900 $30,030
Accrued expenses and other
liabilities 75,016 89,784
------ ------
Total current liabilities 99,916 119,814
------ -------

Long-term debt 658,985 663,341

Deferred income taxes 45,745 34,729

Other liabilities and deferred
credits 190,122 198,167

Stockholders' equity 127,416 163,922
Total liabilities and
stockholders' equity $1,122,184 $1,179,973
===================== ========== ==========

SUPPLEMENTAL INFORMATION

Media General, Inc.
EBITDA, After-tax Cash Flow, and Free Cash Flow

Thirteen Weeks Twenty-Six Weeks
Ending Ending
-------------- ----------------
June June June June
26, 27, 26, 27,
(Unaudited, in
thousands) 2011 2010 2011 2010
-------------- ---- ---- ---- ----

Net loss $(15,382) $(4,283) $(41,186) $(21,029)
Interest 17,192 17,089 33,756 36,912
Taxes 5,219 3,645 10,477 9,652
Depreciation and
amortization 13,041 13,697 26,060 27,398

EBITDA $20,070 $30,148 $29,107 $52,933
====== ======= ======= ======= =======

Net loss $(15,382) $(4,283) $(41,186) $(21,029)
Taxes * 5,219 3,645 10,477 9,652
Depreciation and
amortization 13,041 13,697 26,060 27,398

After-tax cash flow $2,878 $13,059 $(4,649) $16,021
=================== ====== ======= ======= =======

After-tax cash flow $2,878 $13,059 $(4,649) $16,021
Capital expenditures 5,967 6,668 10,579 8,796

Free cash flow $(3,089) $6,391 $(15,228) $7,225
============== ======= ====== ======== ======

* The Company's income tax expense is non-cash in nature and has
been added back accordingly.
See 2010 Form 10-K for further discussion.

SUPPLEMENTAL INFORMATION

Media General, Inc.
RESULTS BY PLATFORM

The Company manages its operations and financial performance in five
geographic market segments and a sixth segment that includes the
Company's interactive advertising services and certain other
operations. Although the Company is principally managed
geographically, its operations generally fall into the following
three platforms: Broadcast Television, Digital Media and Print. The
Broadcast Television platform consists of 18 network-affiliated
television stations. The Print platform includes 23 daily newspapers
and more than 200 specialty publications including weekly newspapers
and niche publications. The Digital Media platform consists of all
of the websites associated with the Broadcast Television and Print
properties along with three advertising services companies:
Blockdot, which specializes in interactive entertainment and
advergaming technologies; DealTaker.com, a coupon and shopping
website; and NetInformer, a provider of wireless media and mobile
marketing services.

Platform revenue, depreciation and amortization, operating profit
(loss) and cash flow are presented for informational purposes only
and are provided for the benefit of investors, lenders, financial
analysts and rating agencies. These groups may use this information,
along with other measures, to evaluate the Company's performance in
comparison to peers. Consistent with the Company's segment
presentation, amortization of acquired intangibles is not allocated
to individual platforms. In the presentation by platform,
depreciation and amortization of certain corporate assets that
relate solely to a particular platform are allocated to the related
platform. Additionally, intercompany costs associated with content
that was originally developed for Print or Broadcast and also used
on the websites, along with certain sales commissions, are not
allocated to the Digital Media results. The results by platform
exclude intercompany sales.

(Unaudited, in
thousands) Revenues Depreciation Operating Platform Cash
Profit
-------------- -------- and (Loss) Flow
Amortization ------ ----
------------
Three Months
Ended June 26,
2011
Broadcast
television $70,359 $(5,094) $14,876 $19,970
Digital media and
other 9,591 (254) (1,117) (863)
Print 74,836 (5,534) 269 5,803
--- -----
14,028 $24,910
=======
Unallocated
amounts:
Acquisitions
intangibles
amortization - (1,500) (1,500)
Corporate expense - (659) (7,966)
--- ----
$154,786 $(13,041)
======== ========
Corporate
interest expense (17,180)
Other 2,455
-----
Consolidated loss
before income
taxes $(10,163)
========

(Unaudited, in
thousands) Revenues Depreciation & Operating Platform Cash
Profit
-------------- -------- Amortization (Loss) Flow
------------ ------ ----
Three Months
Ended June 27,
2010
Broadcast
television $72,509 $(5,332) $18,258 $23,590
Digital media and
other 10,748 (365) 677 1,042
Print 82,905 (5,822) 8,739 14,561
-----
27,674 $39,193
=======
Unallocated
amounts:
Acquisition
intangibles
amortization - (1,571) (1,571)
Corporate expense - (607) (7,756)
--- ----
$166,162 $(13,697)
======== ========
Corporate
interest expense (17,083)
Other (1,902)
------
Consolidated loss
before income
taxes $(638)
=====

SUPPLEMENTAL
INFORMATION

Media General,
Inc.
RESULTS BY
PLATFORM

(Unaudited, in
thousands) Revenues Depreciation Operating Platform Cash
Profit
-------------- -------- and (Loss) Flow
Amortization ------- ----
------------
Six Months Ended
June 26, 2011
Broadcast
television $135,685 $(10,184) $26,372 $36,556
Digital media and
other 19,864 (493) (1,496) (1,003)
Print 148,180 (11,090) (2,276) 8,814
------ -----
22,600 $44,367
=======
Unallocated
amounts:
Acquisitions
intangibles
amortization - (3,014) (3,014)
Corporate expense - (1,279) (16,238)
--- ------
$303,729 $(26,060)
======== ========
Corporate
interest expense (33,733)
Other (324)
----
Consolidated loss
before income
taxes $(30,709)
========

(Unaudited, in
thousands) Revenues Depreciation & Operating Platform Cash
Profit
-------------- -------- Amortization (Loss) Flow
------------ ------- ----
Six Months Ended
June 27, 2010
Broadcast
television $139,594 $(10,663) $30,613 $41,276
Digital media and
other 21,229 (728) 1,888 2,616
Print 164,203 (11,645) 14,534 26,179
------
47,035 $70,071
=======
Unallocated
amounts:
Acquisition
intangibles
amortization - (3,142) (3,142)
Corporate expense - (1,220) (15,712)
--- ------
$325,026 $(27,398)
======== ========
Corporate
interest expense (36,897)
Other (2,661)
------
Consolidated loss
before income
taxes $(11,377)
========

SOURCE Media General, Inc.

Media General, Inc.

CONTACT: Investor Contact: Lou Anne Nabhan, +1-804-649-6103, or Media Contact: Ray Kozakewicz, +1-804-649-6748

Web Site: http://www.mediageneral.com

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Profile: intent