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Journal Communications Reports October Revenue for Its Publishing and Broadcast Groups

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MILWAUKEE, Nov 20, 2008 (BUSINESS WIRE) -- Journal Communications, Inc. (NYSE:JRN) announced today that for the tenth period ended October 26, 2008, total revenues for its Publishing and Broadcast groups of $38.02 million decreased 2.8% compared to $39.10 million reported for the tenth period ended October 28, 2007. For the tenth period 2008, advertising revenues of $32.48 million decreased 3.8% compared to $33.75 million for the 2007 tenth period. Both periods contained 28 days.

Note that unless otherwise indicated, all comparisons are to the tenth period ended October 28, 2007.

At the Publishing segment, revenues at the daily newspaper and the community newspapers and shoppers totaled $18.77 million, down 10.6% compared to $20.99 million. Advertising revenue was $13.23 million, down 15.4% compared to $15.64 million. Circulation revenue of $4.11 million was essentially flat. Other revenue of $1.43 million was up 13.1%.

At the daily newspaper, total advertising revenue was $10.42 million, down 17.4% compared to $12.63 million. Specifically, retail advertising revenue was down 7.1%, classified advertising revenue was down 32.9%, national advertising revenue of $0.66 million decreased 4.6% and direct marketing revenue of $0.16 million was down 54.9%. Within classified advertising, the help wanted, real estate/rentals, auto verticals and the other classified verticals were down 44.7%, 37.8%, 20.3% and 8.4%, respectively. Circulation revenue at the daily newspaper was $3.99 million. Other revenue at the daily newspaper of $1.19 million was up 18.2% compared to $1.01 million primarily due to new commercial printing customers in 2008. Total interactive advertising revenue at the daily newspaper, which is reflected in the various revenue categories, increased 2.0% to $1.29 million compared to $1.26 million.

At the Company's community newspapers and shoppers operations, total advertising revenue was $2.81 million, down 6.8% compared to $3.02 million, including $0.38 million from new acquisitions in Northern Wisconsin and Florida. Specifically retail advertising revenue was down 10.0% primarily due to the challenging economy. Classified revenue was up 7.1% due to revenue from the new acquisitions. Other advertising revenue was $36,000. Circulation revenue at the community newspapers and shoppers of $0.12 increased 45.6%. Other revenue at the community newspapers and shoppers of $0.24 million decreased 6.9%.

At the Broadcasting segment, total revenue at the Company's radio and television stations of $19.25 million increased 6.3% compared to $18.11 million. At the television group, revenue increased 11.0% to $12.81 million compared to $11.55 million, primarily due to a $4.6 million increase in political and issue advertising, partially offset by softness in the Ft. Myers, Boise and Palm Springs markets. At the radio group, revenue of $6.43 million was down 2.0% compared to $6.56 million, reflecting declines in all of our radio markets except Milwaukee, Springfield and Wichita, partially offset by a $0.24 million increase in political and issue advertising.

Forward-looking Statements

This press release contains certain forward-looking statements related to our businesses that are based on our current expectations. Forward-looking statements are subject to certain risks, trends and uncertainties, including changes in advertising demand and other economic conditions that could cause actual results to differ materially from the expectations expressed in forward-looking statements. All forward-looking statements should be evaluated with the understanding of their inherent uncertainty. Our written policy on forward-looking statements can be found on page 1 of our most recent Annual Report on Form 10-K and on page 23 of our most recent Quarterly Report on Form 10-Q, each as filed with the Securities and Exchange Commission.

About Journal Communications

Journal Communications, Inc., headquartered in Milwaukee, Wisconsin, was founded in 1882. We are a diversified media company with operations in publishing, radio and television broadcasting, interactive media and printing services. We publish the Milwaukee Journal Sentinel, which serves as the only major daily newspaper for the Milwaukee metropolitan area, and 55 community newspapers and shoppers in Wisconsin and Florida. We own and operate 35 radio stations and 12 television stations in 12 states and operate an additional television station under a local marketing agreement. Our interactive media assets include about 120 online enterprises that are associated with our daily and community newspapers and television and radio stations. We also provide a wide range of commercial printing services -- including printing of publications, professional journals and documentation material -- and operate a direct marketing services business.

Journal Communications, Inc.
Publishing Segment Information (unaudited)
(dollars in thousands)
             
Publishing revenue by category:
 
Tenth period of 2008 (A) Tenth period of 2007 (A)
 
Community Community
Daily Newspapers Daily Newspapers % Change % Change % Change
Newspaper & Shoppers Total Newspaper & Shoppers Total Daily CN&S Total
 
Advertising revenue:
Retail $ 6,604 $ 2,257 $ 8,861 $ 7,106 $ 2,508 $ 9,614 (7.1 ) (10.0 ) (7.8 )
Classified 3,006 516 3,522 4,482 482 4,964 (32.9 ) 7.1 (29.0 )
National 657 -- 657 689 -- 689 (4.6 ) N/A (4.6 )
Direct Marketing 157 -- 157 348 -- 348 (54.9 ) N/A (54.9 )
Other -- 36 36 -- 25 25 N/A 44.0 44.0
Total advertising revenue 10,424 2,809 13,233 12,625 3,015 15,640 (17.4 ) (6.8 ) (15.4 )
Circulation revenue 3,994 115 4,109 4,005 79 4,084 (0.3 ) 45.6 0.6
Other revenue 1,188 241 1,429 1,005 259 1,264 18.2 (6.9 ) 13.1
Total revenue $ 15,606 $ 3,165 $ 18,771 $ 17,635 $ 3,353 $ 20,988 (11.5 ) (5.6 ) (10.6 )
 
 
 
Ten periods of 2008 (B) Ten periods of 2007 (B)
 
Community Community
Daily Newspapers Daily Newspapers % Change % Change % Change
Newspaper & Shoppers Total Newspaper & Shoppers Total Daily CN&S Total
 
Advertising revenue:
Retail $ 67,963 $ 22,925 $ 90,888 $ 72,130 $ 24,499 $ 96,629 (5.8 ) (6.4 ) (5.9 )
Classified 38,469 4,802 43,271 50,522 5,210 55,732 (23.9 ) (7.8 ) (22.4 )
National 5,914 -- 5,914 7,455 -- 7,455 (20.7 ) N/A (20.7 )
Direct Marketing 2,492 -- 2,492 3,344 -- 3,344 (25.5 ) N/A (25.5 )
Other -- 319 319 -- 343 343 N/A (7.0 ) (7.0 )
Total advertising revenue 114,838 28,046 142,884 133,451 30,052 163,503 (13.9 ) (6.7 ) (12.6 )
Circulation revenue 41,714 926 42,640 42,420 899 43,319 (1.7 ) 3.0 (1.6 )
Other revenue 12,443 2,801 15,244 9,997 3,374 13,371 24.5 (17.0 ) 14.0
Total revenue $ 168,995 $ 31,773 $ 200,768 $ 185,868 $ 34,325 $ 220,193 (9.1 ) (7.4 ) (8.8 )
 
 
 
(A) 2008 tenth period: September 29, 2008 to October 26, 2008.
2007 tenth period: October 1, 2007 to October 28, 2007.
(B) Ten periods of 2008: December 31, 2007 to October 26, 2008.
Ten periods of 2007: January 1, 2007 to October 28, 2007.
 
NOTE:

Publishing segment information is provided to facilitate comparison of our publishing segment results with those of other publishing companies and is not representative of the overall business of Journal Communications or its operating results. The revenues for the period are not necessarily indicative of the results that may be expected for the fiscal year ending December 28, 2008.

Journal Communications, Inc.
Broadcasting Segment Information (unaudited)
(dollars in thousands)
                 
 
Broadcasting revenue by radio and television:
 
Tenth period of 2008 (A) Tenth period of 2007 (A)
% Change % Change % Change
Television Radio Total Television Radio Total Television Radio Total
 
 
Revenue $ 12,813 $ 6,434 $ 19,247 $ 11,546 $ 6,563 $ 18,109 11.0 (2.0 ) 6.3
 
 
Ten periods of 2008 (B) Ten periods of 2007 (B)
% Change % Change % Change
Television Radio Total Television Radio Total Television Radio Total
 
 
Revenue $ 110,018 $ 66,019 $ 176,037 $ 110,275 $ 69,213 $ 179,488 (0.2 ) (4.6 ) (1.9 )
 
 
(A) 2008 tenth period: September 29, 2008 to October 26, 2008.
2007 tenth period: October 1, 2007 to October 28, 2007.
(B) Ten periods of 2008: December 31, 2007 to October 26, 2008.
Ten periods of 2007: January 1, 2007 to October 28, 2007.
 

NOTE: Broadcasting segment information is provided to facilitate comparison of our broadcasting segment results with those of other broadcasting companies and is not representative of the overall business of Journal Communications or its operating results. The revenues for the period are not necessarily indicative of the results that may be expected for the fiscal year ending December 28, 2008.

SOURCE: Journal Communications, Inc.

for Journal Communications, Inc.
Andre J. Fernandez, 414-224-2884
(Executive Vice President, Finance and Strategy)