NEW YORK, Feb 19, 2009 (BUSINESS WIRE) -- The New York Times Company's Board of Directors today voted to suspend
the quarterly dividend on the Company's Class A and Class B common
stock. In November 2008, the Company reduced the payout level of its
fourth-quarter dividend to $.06 per from $.23 per share in the third
quarter of 2008.
"Today's decision provides the Company with additional financial
flexibility given the current economic environment and the uncertain
business outlook," said Arthur Sulzberger, Jr., chairman of the Company.
"We have taken decisive steps to reduce capital spending, lower
operating costs and re-evaluate our assets. Last month we announced a
private financing transaction for $250 million in senior unsecured notes
and warrants. We also recently announced that we are exploring the
possible sale of our ownership interest in New England Sports Ventures,
LLC. We expect the suspension of the dividend, coupled with our other
actions, will help us decrease debt and improve the liquidity of the
Company, a difficult but prudent measure in this operating environment."
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 30, 2007 and
Quarterly Report on Form 10-Q for the quarter ended September 28, 2008.
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, a leading media company with 2008 revenues
of $2.9 billion, includes The New York Times, the International Herald
Tribune, The Boston Globe, 16 other daily newspapers, WQXR-FM and more
than 50 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.
SOURCE: The New York Times Company
The New York Times Company
Catherine J. Mathis, 212-556-1981
Paula Schwartz, 212-556-5224