NEW YORK--(BUSINESS WIRE)--Dec. 5, 2006--The New York Times Company announced today updated full-year 2006 guidance and its outlook for 2007.

"The media marketplace has been challenging in 2006, and we expect it will continue to be next year," said Janet L. Robinson, president and chief executive officer. "To address these challenges, we have focused our efforts around five strategic areas that we believe will strengthen our businesses and benefit our shareholders."

    The five areas are:

    --  enhancing the positions of the Company's strong brands through
        the introduction of innovative new products and services
        across media platforms;

    --  aggressively pursuing leadership positions in key content
        verticals, both in print and online;

    --  building a vibrant long-term innovation capability that helps
        the Company anticipate consumer preferences and create ways of
        satisfying them;

    --  continuing to rebalance our portfolio of properties and to
        exercise financial discipline as we allocate capital for the
        benefit of our shareholders, and

    --  increasing our operational efficiency and reducing both fixed
        and variable costs.

    2007 Expectations

    --  Advertising rates for The New York Times and the regional
        newspapers will increase in the low-single digits, and will be
        flat to slightly up at The Boston Globe.

    --  We expect our revenues from Internet-related businesses,
        including About.com, NYTimes.com, Boston.com, iht.com and the
        sites associated with our regional newspapers, will grow
        approximately 30% or more than $80 million mainly from organic
        growth.

    --  In the fourth quarter of 2006, The New York Times raised the
        newsstand price of the Northeast edition of the Sunday Times
        to same price as the national edition, and increased
        home-delivery prices by 4%. These two price increases are
        expected to add approximately $12 million to circulation
        revenues in 2007.

    --  We anticipate wages will increase 2% to 3%.

    --  Newsprint cost per ton is expected to remain flat with 2006,
        based on current expectations of the newsprint market.

    --  Cost savings and productivity gains - estimated $65 to $75
        million. We expect, however, to have incremental costs
        associated with a portion of these savings.

    --  Depreciation and amortization - $195 to $205 million, which
        includes $45 to $48 million of accelerated depreciation
        expense associated with our plant consolidation project. Total
        depreciation and amortization includes approximately $16 to
        $19 million for the new building in the second half of 2007.

    --  Income from joint ventures - $10 to $15 million.

    --  Interest expense - $48 to $52 million. It will be lower in the
        first half of 2007 and then increase in the second half of the
        year when interest capitalization on the new building ends.

    --  Capital expenditures - $340 to $370 million, including $155 to
        $170 million for our new headquarters and $75 million for the
        plant consolidation.

    --  We expect our tax rate will be higher in 2007 primarily due to
        a new accounting rule related to taxes, and will provide an
        estimated effective tax rate when our analysis of this rule is
        complete.

    --  We expect to complete the sale of our Broadcast Media Group in
        the first half of the year.

    --  We expect to complete the sale of one of our radio stations,
        WQEW, for $40 million in the first quarter of the year.

    2006 Guidance

    --  In 2006 the Company's financial statements will include an
        extra week. Because we have a fiscal year that equalizes the
        number of Sundays, 2006 has an extra week. In the fourth
        quarter of 2006, there will be 14 weeks rather than 13. The
        53rd week will benefit revenues but will also increase costs,
        by 1% to 2%.

    --  In 2006 we expect to generate nearly $270 million in revenue
        from Internet-related businesses, including About.com,
        NYTimes.com, Boston.com, iht.com and the sites associated with
        our regional newspapers. In total, our Internet businesses are
        expected to account for over 8% of the Company's revenues this
        year.

    --  The Company's revenues will include a full year of revenue
        from About.com, which is expected to have revenue growth above
        the industry average of 26% as well as double-digit operating
        profit growth.

    --  Cost savings and productivity gains - estimated $55 to $60
        million. We expect, however, to have incremental costs
        associated with a portion of these savings.

    --  Newsprint cost per ton - growth rate expected to be 9% to 10%.

    --  Depreciation and amortization - $167 to $175 million (includes
        $20 to $22 million of accelerated depreciation expense in the
        fourth quarter associated with the consolidation of the New
        York metro area printing plants and $8 million of depreciation
        and amortization expense associated with the first nine months
        of operations of the Broadcast Media Group, which is now
        considered a discontinued operation, and no longer records
        this expense).

    --  Net income from joint ventures - $18 to $20 million, including
        the $7.8 million loss from the sale of the Company's interest
        in Discovery Times Channel.

    --  Interest expense - $51 to $55 million.

    --  Tax rate - 38.0% to 38.5 %.

    --  Capital expenditures -

        Company*                                  $310 to $330 million
        Development partner (through August 2006)          $55 million
            Total                                 $365 to $385 million

        *Includes $195 to $210 million for new
         headquarters

Except for the historical information contained herein, the matters discussed in this press release are forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from those predicted by such forward-looking statements. These risks and uncertainties include national and local conditions, as well as competition, that could influence the levels (rate and volume) of retail, national and classified advertising and circulation generated by our various markets and material increases in newsprint prices. They also include 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 December 25, 2005, and quarterly report on Form 10-Q for the quarter ended September 24, 2006. The Company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events or otherwise.

The New York Times Company (NYSE: NYT), a leading media company with 2005 revenues of $3.4 billion, includes The New York Times, the International Herald Tribune, The Boston Globe, 15 other daily newspapers, nine network-affiliated television stations, two New York City radio stations and 35 Web sites, including NYTimes.com, Boston.com and About.com. The Company's core purpose is to enhance society by creating, collecting and distributing high-quality news, information and entertainment.

This press release can be downloaded from www.nytco.com

CONTACT: For The New York Times Company
Catherine J. Mathis, 212-556-1981
mathis@nytimes.com
Or
Paula Schwartz, 212-556-5224
schwap@nytimes.com

SOURCE: The New York Times Company