News Release

Printer Friendly Version View printer-friendly version
<< Back
Scripps Reports Fourth Quarter Results
     Quarterly dividend increased from 15 cents to 17-1/2 cents per share

CINCINNATI, Jan. 22 /PRNewswire-FirstCall/ -- The E. W. Scripps Company (NYSE: SSP) today reported financial results for the fourth quarter 2003 which reflect continued strong performance at Home & Garden Television and Food Network.

Net income for the three-month period ended Dec. 31 was $102 million. Fourth quarter earnings per share were $1.24 compared to 94 cents in the fourth quarter of 2002.

The combined effect of the following items increased fourth quarter 2003 net income by $25.9 million, or 32 cents per share:

     * Adjustments to the company's state and federal tax provision that
       increased net income by $27.1 million.
     * A charge for estimated employee severance costs that reduced net income
       by $1.2 million.

For comparison purposes, net income in the fourth quarter 2002 was increased by $3.2 million, or 4 cents per share, because of unusual items, including an after-tax gain of $2.4 million from the sale of property in Denver.

Scripps today also reported that the company's board of directors has approved an increase in the quarterly dividend to shareholders from 15 cents to 17 1/2 cents a share. The company last increased its dividend in the first quarter of 2001.

At the company's fastest growing business unit, Scripps Networks, fourth quarter segment profits increased 59 percent to $66.4 million. Scripps Networks revenues increased 31 percent to $155 million for the three-month period. Scripps Networks includes the company's portfolio of popular, national cable and satellite television networks, Home & Garden Television, Food Network, DIY - Do It Yourself Network and Fine Living.

The improved results at Scripps Networks reflect continued growth in popularity of HGTV and Food Network, the company's flagship networks. Primetime household viewership of HGTV increased 34 percent during the fourth quarter and was up 22 percent at the Food Network. HGTV is now available in about 85 million cable and satellite television households. Food Network reaches about 83 million television households.

DIY and Fine Living, the company's developing networks, reach about 26 million and 20 million U.S. households, respectively. Programming from all of the company's networks can be viewed on-demand on cable television systems in about 84 U.S. markets.

At the Shop At Home Network, fourth quarter pro forma revenues rose 16 percent. Implementation of the company's television commerce strategy at Shop At Home reduced segment profits by $6.8 million and net income by 6 cents per share. Scripps, which acquired 70 percent of Shop At Home in 2002, is integrating management of Shop At Home with its Scripps Networks division and shifting the mix of retail products offered for sale on the network to parallel the consumer categories targeted by the company's national lifestyle programming networks.

Also at Shop At Home, the company announced during the fourth quarter that it had reached a definitive agreement with Summit America Television Inc. to acquire Summit's 30 percent share of Shop At Home and Summit's five Shop At Home-affiliated broadcast television stations in Boston, San Francisco, Cleveland, Raleigh-Durham, N.C., and Bridgeport, Conn. Scripps will pay $4.05 in cash per share, or about $184 million. Scripps also will forgive repayment of a $47.5 million secured loan to Summit and redemption of $3 million in preferred Summit stock that the company holds. The transaction, which requires approval by the Federal Communications Commission and Summit shareholders, is expected to be completed by June 2004.

At the company's newspapers, fourth quarter revenues were $182 million, up 1.2 percent, and segment profits were $77.0 million, up 2.3 percent from the same period in 2002. Higher newsprint prices and persistent weakness in local retail and help wanted advertising held back newspaper segment profits during the quarter.

At the company's broadcast television stations, segment profits were down 28 percent to $26.4 million in the fourth quarter due primarily to the relative absence of political advertising. Broadcast television revenues were down about 9.1 percent during the period to $82.9 million. Fourth quarter television revenues included $1.3 million in political advertising compared to $17.3 million in the same period a year ago.

"The increasing success and popularity of HGTV and Food Network continue to drive growth at Scripps, providing the company and its shareholders with another quarter, and year, of solid financial results," said Kenneth W. Lowe, president and chief executive officer for Scripps. "Robust advertising sales at both of our flagship networks are the direct result of our strategic investment in quality original programming combined with effective consumer marketing that has increased viewer awareness. The double-digit growth in viewership at both of the networks sets the stage for a solid 2004."

"At our developing networks, DIY and Fine Living, start-up losses narrowed during the quarter as momentum builds in ad sales and distribution growth," Lowe said. "At DIY, operating revenues doubled during the period and distribution grew sequentially by another 3 million households. Advertising sales at Fine Living approached $3 million during the fourth quarter, just 18 months after its 2002 launch. We're very encouraged by the progress made by our emerging networks and will continue to invest in their development."

"Scripps also has demonstrated its commitment to building an innovative television commerce business at the Shop At Home Network," Lowe said. "We've strengthened the management team by asking Judy Girard from the Food Network to guide Shop At Home's transition and we took steps during the fourth quarter to bring the rest of this valuable business into the Scripps fold. We firmly believe our investment in Shop At Home, combined with our expertise as operators of national cable television networks, will create value for shareholders in the long term."

"In our newspaper division, we saw some improvement, but results were held back once again by persistent weakness in local retail and help wanted advertising," Lowe said. "Our newspapers did an admirable job making up for lost department store revenue and positioning themselves to take full advantage of economic recovery, which appears to be underway. We also saw improved results from our newspaper in Denver, as we continue to reap the benefits of the joint operating agreement we helped create there."

"At our TV stations, hard work by our ad sales teams and the improving economy resulted in solid growth in local and national advertising, but not enough to make up for the record political advertising revenues that we booked in the prior year," Lowe said. "We're anticipating a strong 2004 as political advertising returns."

    Here are detailed fourth-quarter results by segment:

    Newspapers
    Newspaper segment profits were $77.0 million, up 2.3 percent.

Newspaper advertising revenue was $144 million, up 1.8 percent. Broken down by category:

     * Local retail decreased 3.8 percent to $46.4 million.
     * Classified increased 2.2 percent to $50.4 million.
     * National increased 10 percent to $11 million.
     * Preprint and other increased 6.6 percent to $36.6 million.

    Circulation revenues were $33.9 million, down 2.4 percent.

Newsprint expenses increased about 9 percent on a similar percentage increase in newsprint prices.

Scripps Networks

Scripps Networks segment profits were $66.4 million, up 59 percent from $41.9 million in the prior year period.

Scripps Networks advertising revenue increased 31 percent to $128 million. Affiliate fee revenue was $23.9 million, up 24 percent.

Programming expense increased 32 percent to $37.8 million.

Home & Garden Television contributed $44.6 million to segment profits, up 35 percent from the year-ago period. HGTV revenues grew 23 percent to $82.9 million. Home & Garden Television now reaches about 85 million domestic subscribers.

Food Network had revenues of $61.8 million, up 32 percent. The network contributed $30.3 million to segment profits, up 62 percent from the fourth quarter last year. Food Network reaches 83 million domestic subscribers.

Development of the DIY -- Do It Yourself Network and Fine Living reduced segment profits by $7.5 million compared to $9.3 million in the year ago period. DIY can be seen in about 26 million U.S. television households and Fine Living now reaches about 20 million households.

Broadcast Television

Broadcast television segment profits decreased 28 percent to $26.4 million.

Broadcast television revenues decreased 9.1 percent to $82.9 million. Local broadcast television advertising rose 9.5 percent to $49.3 million. National broadcast television advertising was $28.6 million, up 14 percent from the year-ago period. Political advertising was $1.3 million compared to $17.3 million in 2002.

Shop At Home Network

Shop At Home Network revenues for the fourth quarter were $65.1 million. On a pro forma basis (as if the company had owned the business for the entire fourth quarter 2002), revenues were up 16 percent from the same year-ago period.

Shop At Home reported a segment loss of $6.8 million and net income by 6 cents per share for the quarter.

The network reached an average 46 million full-time equivalent homes during the quarter.

Scripps acquired controlling interest of Shop At Home in October 2002.

Licensing and Other Media

Segment profit was $6.3 million, up 55 percent from the year-ago period due to strong trends in the sale of licensed apparel.

    Revenues increased 21 percent to $28.9 million.

    Full-year results

Net income was $271 million, or $3.32 per share, vs. $188 million, or $2.34 per share. Segment profits were up 8.8 percent to $523 million.

    Following are full-year results by operating group:

     * Newspapers: Total revenues increased 1.4 percent to $692 million.
       Segment profits were down 0.6 percent to $269 million. The Rocky
       Mountain News contributed  $15.3 million to segment profits compared to
       $9.4 million in 2002.
     * Scripps Networks: Home & Garden Television revenues increased
       22 percent to $299 million; contribution to segment profits increased
       37 percent to $153 million. Food Network revenues increased 31 percent
       to $207 million; contribution to segment profits increased 66 percent
       to $87.5 million. Development of DIY and Fine Living reduced segment
       profits by $36.2 million compared to $38.0 million in 2002.
     * Shop At Home Network: On a pro forma basis (as if the company had owned
       the business for the full year 2002), revenues increased 12 percent to
       $239 million. Segment losses for the year were $22.1 million.
     * Broadcast television: Revenues were $304 million compared to
       $305 million in the prior year. Segment profits declined about
       13 percent to $85.2 million. Political advertising revenues for the
       year were $3.4 million compared to $23.7 million in 2002.
     * Licensing and other media: Total revenues were up 17 percent to
       $105 million; contribution to segment profits increased 11 percent to
       $19.2 million.

    Guidance

Based on advance advertising sales, the company currently anticipates first quarter 2004 advertising revenue for Scripps Networks will be up about 30 percent year over year. Affiliate fee revenue for Scripps Networks is expected to increase about 40 percent during the quarter, net of distribution fee amortization. Programming and marketing expenses are expected to increase 30 to 35 percent in the first quarter as the company continues to invest in building viewership across all four networks. Investments in the development of DIY and Fine Living are expected to reduce segment profits by about $10.5 million and earnings per share by about 8 cents during the quarter.

Newspaper advertising revenues are expected to be up 3 to 5 percent over the prior year in the first quarter.

At the company's broadcast television stations, advertising revenues, including political, are expected to be up about 5 to 7 percent in the first quarter.

The company's continuing investment in the Shop At Home Network is expected to reduce first quarter segment profits by about $6.0 million and earnings per share by about 6 cents.

Due primarily to increased profitability of the Food Network and the company's allocation of net income to Tribune Company, which owns 30 percent of the network, minority interest will increase from between $5 to $6 million in the first quarter compared to the same period a year ago.

First quarter earnings per share are expected to be between 65 cents and 75 cents, compared to 65 cents per share in the first quarter of 2003.

    Other financial projections for the full year follow:

     * Capital expenditures, $80 million, down 10 percent.
     * Depreciation and amortization, about $68 million.
     * Interest expense, about $30 million.
     * Minority interest, $23 to $25 million.
     * Tax rate, about 39 percent.

    Conference call

The senior management team at Scripps will discuss the company's fourth quarter results during a telephone conference call at 11 a.m. EST today. Scripps will offer a live audio Web cast of the conference call. To access the Web cast, visit www.scripps.com , choose "Investor Relations," then follow the "Live Web Cast" link at the top of the page. Listeners need Windows Media Player to access the call online.

To access the conference call by telephone, dial 1-888-428-4479 (U.S.) or 1-651-291-0900 (International), approximately 10 minutes before the start of the call. Callers will need the name of the call (fourth quarter earnings report) to be granted access. Callers also will be asked to provide their name and company affiliation. The media and general public are provided access to the conference call on a listen-only basis.

A replay line will be open from 2:30 p.m. EST Jan. 22 until 11:59 p.m. EST Monday, Jan. 26. The domestic number to access the replay is 1-800-475-6701 and the international number is 1-320-365-3844. The access code for both numbers is 716651.

A replay of the conference call will be archived and available online for an extended period of time following the call. To access the audio replay, visit www.scripps.com approximately four hours after the call, choose "Investor Relations" then follow the "Audio Archives" link at the top of the page.

Forward-looking statements

This press release contains certain forward-looking statements related to the company's businesses that are based on management's 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. The company's written policy on forward-looking statements can be found on page F-5 of its 2002 SEC Form 10K and page F-21 of its most recent Form 10Q.

About Scripps

The E.W. Scripps Company is a diverse media concern with interests in newspaper publishing, broadcast television, national television networks, interactive media and television-retailing. Scripps operates 21 daily newspapers, 10 broadcast TV stations, four cable and satellite television programming services and a television retailing network. All of the company's media businesses provide content and advertising services via the Internet.

Scripps Networks brands include Home & Garden Television, Food Network, DIY -- Do It Yourself Network and Fine Living. HGTV reaches about 85 million U.S. television households and Food Network can be seen in about 83 million households. Scripps Networks Web sites include FoodNetwork.com , HGTV.com , DIYnetwork.com and fineliving.com . Scripps Networks programming can be seen in 33 countries.

The company's home shopping subsidiary, Shop At Home Network, markets a growing range of consumer goods directly to television viewers and visitors to the Shop At Home Web site, shopathometv.com . Shop At Home reaches about 46 million full-time equivalent U.S. households.

Scripps also operates Scripps Howard News Service and United Media, which is the worldwide licensing and syndication home of PEANUTS and DILBERT.


    THE E. W. SCRIPPS COMPANY
    RESULTS OF OPERATIONS
    (in thousands, except
     per share data)

                           Three months               Twelve months
                          ended Dec. 31,              ended Dec. 31
                   2003      2002    Fav(Unf)    2003      2002      Fav(Unf)

    Operating
     revenues   $514,324   $456,277    12.7%  $1,874,845 $1,535,664      2.1%
    Costs and
     expenses   (380,634)  (330,528)  (15.2)% (1,439,575)(1,134,288)   (26.9)%
    Depreciation
     and
     amortization
     of intang-
     ibles       (17,839)   (18,431)    3.2%     (68,087)   (62,768)    (8.5)%
    Operating
     income      115,851    107,318     8.0%     367,183    338,608      8.4%
    Restructuring
     charges      (1,847)                         (1,847)
    Interest
     expense      (7,814)    (7,237)   (8.0)%    (31,593)   (28,301)   (11.6)%
    Equity in
     earnings
     of JOAs
     and other
     joint
     ventures    27,060      27,763    (2.5)%     87,954    83,245        5.7%
    Interest
     and dividend
     income       1,217         957                5,062     1,860
    Other
     investment
     results, net
     of expenses             (1,676)              (3,200)  (85,667)
    Miscell-
     aneous, net   (198)         23                 (497)     (823)
    Income before
     income taxes
     and minority
     interests  134,269     127,148              423,062   308,922
    Provision
     for income
     taxes       27,431      49,044              142,812   115,619
    Income
     before
     minority
     interests  106,838      78,104              280,250   193,303
    Minority
     interests    5,304       2,319                9,435     5,006
    Net income $101,534     $75,785     34.0%   $270,815  $188,297       43.8%
    Net income
     per diluted
     share of
     common
     stock        $1.24        $.94     31.9%     $ 3.32    $ 2.34       41.9%
    Weighted
     average
     diluted
     shares out-
     standing    81,940      80,815               81,469    80,619

    See notes to results of operations.


                          Notes to Results of Operations

    1. RESTRUCTURING CHARGES AND OTHER ITEMS

    Results of operations include the following items which affect the
    comparability of results:

    2003 - The Company was notified by Gannett, owner of The Cincinnati
    Enquirer, that the Cincinnati joint operating agreement with the Scripps
    newspapers, The Cincinnati Post and The Kentucky Post, will not be renewed
    when it expires on December 31, 2007.  As a result of the notification and
    as stipulated by terms of a collective bargaining agreement, we recorded a
    $1.8 million restructuring charge in the fourth quarter for estimated
    severance costs to Post editorial employees.  The charge reduced net
    income by $1.2 million, $.01 per share.

    In the fourth quarter, we closed several open state tax years and reached
    agreement with the Internal Revenue Service ("IRS") on proposed
    adjustments to our 1996 through 2001 consolidated federal income tax
    returns.  As a result we adjusted our estimates of our prior year state
    and federal income tax liabilities and our estimate of unrealizable state
    net operating loss carryforwards.  The changes in these estimates reduced
    the income tax provision by $27.1 million.  The audit of our 1996 through
    2001 federal income tax returns will remain open until two remaining
    issues are settled with the IRS.  Those issues, if settled in our favor,
    will result in additional tax refunds of approximately $2.0 million.

    Year-to-date other investment results were a pre-tax charge of $3.2
    million for write-downs associated with declines in value of certain
    development-stage business investments.  Net income was reduced $2.1
    million, $.03 per share.

    The combined effects of the above items increased fourth quarter 2003 net
    income by $25.9 million, $.32 per share.  Year-to-date net income was
    increased by $23.8 million, $.29 per share.

    2002 - Equity in earnings of JOAs and joint ventures includes our
    proportionate share of restructuring activities.  A $3.9 million gain on
    the sale of excess real estate in Denver increased net income in the
    fourth quarter by $2.4 million, $.03 per share.

    Fourth quarter other investment results were a pre-tax charge of $1.7
    million, reducing net income by $1.0 million, $.01 per share.  Included in
    other investment results were $1.5 million of write-downs associated with
    declines in value of the Scripps Ventures investment portfolios and other
    investments in development-stage businesses.  Year-to-date other
    investment results were a pre-tax charge of $85.7 million, reducing net
    income by $55.6 million, $.69 per share. Year-to-date other investment
    results include a $35.1 million write-down of our investment in AOL Time
    Warner and $45.0 million of write-downs associated with declines in value
    of the Scripps Ventures investment portfolios and other investments in
    development-stage businesses. Also included in other investment results
    were $3.6 million of costs associated with winding down active management
    of Scripps Ventures.

    In the fourth quarter, we reached an agreement with the IRS to settle the
    audits of our 1992 through 1995 consolidated federal income tax returns.
    As a result of the settlement and proposed adjustments in the IRS
    examination of our 1996 through 2001 tax returns, we reduced our estimated
    liability for open tax years and increased the amount we expect to realize
    from foreign tax credit carryforwards.  These changes in estimates reduced
    the income tax provision by $1.8 million, $.02 per share.  We had
    previously changed our estimated tax liability for prior years in the
    second quarter by $8.0 million based upon the adjustments proposed by the
    IRS in the examination of our 1992 through 1995 federal income tax
    returns.  The combined effect of these changes reduced the year-to-date
    tax provision by $9.8 million, $.12 per share.

    The combined effects of the above items increased fourth quarter 2002 net
    income by $3.2 million, $.04 per share.  Year-to-date net income was
    reduced by $43.4 million, $.54 per share.


    2. SEGMENT INFORMATION

    Our reportable segments are strategic businesses that offer different
    products and services.  Our chief operating decision maker (as defined by
    FAS 131 - Segment Reporting) evaluates the operating performance of our
    business segments using a measure we call segment profits.  Segment
    profits excludes interest, income taxes, depreciation and amortization,
    divested operating units, restructuring activities (including our
    proportionate share of JOA restructuring activities), investment results
    and certain other items that are included in net income determined in
    accordance with accounting principles generally accepted in the United
    States.

    Items excluded from segment profits generally result from prior decisions
    or from decisions made by corporate executives rather than the managers of
    the business segments.  Depreciation and amortization charges are the
    result of past decisions regarding the allocation of resources and are
    therefore excluded from the measure.  Financing, tax structure and
    divestiture decisions are generally made by corporate executives.
    Excluding these items from our segment performance measure enables us to
    evaluate business segment operating performance for the current period
    based upon current economic conditions and decisions made by the manager
    of those business segments in the current period.

    Segment profits include our share of the earnings of JOAs and certain
    other investments included in our consolidated operating results using the
    equity method of accounting.  Newspaper segment profits include equity in
    earnings of JOAs and other joint ventures.  Scripps Networks segment
    profits include equity in earnings of FOX Sports Net South and certain
    other joint ventures.

    Information regarding the operating performance of our business segments
    determined in accordance with FAS 131 and a reconciliation to our Results
    of Operations is as follows:

    (in thousands)
                             Three months                Twelve months
                            ended Dec. 31,               ended Dec. 31
                        2003      2002   Fav(Unf)    2003      2002   Fav(Unf)

    Segment operating
      revenues:
      Newspapers managed
       solely by us    $182,389  $180,148   1.2%   $691,591    $682,21   1.4%
      Joint operating
       agencies              93        90   3.3%        267        230  16.1%
      Total newspapers  182,482   180,238   1.2%    691,858    682,449   1.4%
      Scripps Networks  154,971   118,665  30.6%    535,013    415,402  28.8%
      Broadcast
       television        82,862    91,167 (9.1)%    304,162    305,154 (0.3)%
      Shop At Home       65,104    42,345           238,484     42,345
      Licensing and
       other media       28,905    23,862  21.1%    105,328     90,314  16.6%

    Total operating
     revenues          $514,324  $456,277  12.7% $1,874,845 $1,535,664  22.1%

    Segment profit
     (loss):
      Newspapers
       managed solely
       by us           $61,769    $62,384  (1.0)%  $227,132   $232,148  (2.2)%
      Joint operating
       agencies          15,18    312,845  18.2 %    41,573     38,120   9.1 %
      Total newspapers  76,952     75,229   2.3 %   268,705    270,268  (0.6)%
      Scripps Networks  66,442     41,874  58.7 %   204,263    124,596  63.9 %
      Broadcast
       television       26,377     36,711 (28.1)%    85,218     98,109 (13.1)%
      Shop At Home      (6,782)                     (22,075)    (1,682)
      Licensing and
       other media       6,261      4,047  54.7 %    19,238     17,284  11.3 %
      Corporate         (8,500)    (6,523)(30.3)%   (32,125)   (27,810)(15.5)%

    Total segment
     profit            160,750    149,656   7.4 %    523,224   480,765    8.8%
    Depreciation and
     amortization of
     intangibles       (17,839)   (18,431)  3.2 %   (68,087)   (62,768) (8.5)%
    Restructuring
     charges,
     including share
     of JOA
     restructurings
     (see note 1)       (1,847)     3,856            (1,847)     3,856
    Interest expense    (7,814)    (7,237) (8.0)%   (31,593)   (28,301)(11.6)%
    Interest and
     dividend income     1,217        957             5,062      1,860
    Other investment
     results, net of
     expenses                      (1,676)           (3,200)   (85,667)
    Miscellaneous, net   (198)         23              (497)      (823)

    Income before
     income taxes and
     minority
     interests       $134,269    $127,148          $423,062   $308,922


       (in thousands)
                          Three months               Twelve months
                         ended Dec. 31,              ended Dec. 31
                    2003      2002    Fav(Unf)    2003      2002      Fav(Unf)

    Depreciation:
    Newspapers
     managed solely
     by us        $6,013    $6,443      6.7%    $23,135   $24,715        6.4%
    Joint opera-
     ting agencies   335       340      1.5%      1,301     1,124      (15.7)%
    Total news-
     papers        6,348     6,783      6.4%     24,436    25,839        5.4%
    Scripps
     Networks      2,730     2,773      1.6%     10,489     9,300      (12.8)%
    Broadcast
     television    5,284     5,263     (0.4)%    19,852    19,618       (1.2)%
    Shop At Home   1,645     1,372                5,871     1,372
    Licensing and
     other media     154       273     43.6%        630       856       26.4%
    Corporate        598       485    (23.3)%     2,266     1,334      (69.9)%
    Total
     deprecia-
     tion        $16,759   $16,949      1.1%    $63,544   $58,319       (9.0)%
    Amortization
     of intangible
     assets:
    Newspapers
     managed solely
     by us          $107      $103     (3.9)%      $425      $410       (3.7)%
    Joint operat-
     ing agencies     67        67                  267       267
    Total newspapers 174       170     (2.4)%       692       677       (2.2)%
    Scripps Networks 505       770     34.4 %     2,226     3,135        29.0%
    Broadcast
     television       47        32                  142       127
    Shop At Home     354       510                1,483       510
    Total amorti-
     zation of
     intangible
     assets       $1,080    $1,482      27.1%    $4,543    $4,449       (2.1)%


    3. JOINT OPERATING AGENCIES ("JOAs")

    We are a partner in JOAs in four of our newspaper markets.  As permitted
    by the Newspaper Preservation Act of 1970, a JOA provides a limited
    exemption from anti-trust laws, permitting competing newspapers in a
    market to combine all but their editorial operations in order to reduce
    aggregate expenses and take advantage of economies of scale, thereby
    allowing the continuing operation of both newspapers in that market.  The
    JOA sells advertising and subscriptions for both newspapers in the market,
    and produces, distributes and markets both newspapers.  The operating
    profits earned by the JOA are distributed to the JOA partners in
    accordance with the joint operating agreement.  Each JOA partner
    independently maintains editorial operations for its newspaper.

    As discussed in note 1, Gannett notified us that the Cincinnati JOA will
    not be renewed when it expires on December 31, 2007.  Gannett was required
    to notify us at least three years in advance of the expiration date if it
    intended not to renew the agreement. We intend to continue publishing The
    Post newspapers for the duration of the agreement.

    Information related to the operating results of our JOAs, excluding
    restructuring activities, is as follows:


    (in thousands, except per share data)
                     Three months ended Dec. 31,  Twelve months ended Dec. 31,
                       2003     2002   Fav(Unf)     2003    2002   Fav(Unf)

    Equity in earnings of JOAs,
     excluding share of JOA
     restructurings
     (see note 1):
         Denver      $13,509  $10,658    26.7%   $37,854  $30,157   25.5%
         Cincinnati    6,079    7,097   -14.3%    22,246   25,069  -11.3%
         Other         5,244    3,953    32.6%    18,582   17,976    3.4%
    Total equity in
     earnings of JOAs,
     excluding share
     of JOA
     restructurings   24,832   21,708    14.4%    78,682   73,202    7.5%
    Operating revenues    93       90     3.8%       267      230   16.3%
    Total             24,925   21,798             78,949   73,432    7.5%
    Contribution to
     segment profit:
         Denver        7,632    5,517    38.3%    15,303    9,418   62.5%
         Cincinnati    3,944    4,995   -21.0%    14,359   17,258  -16.8%
         Other         3,607    2,333    54.6%    11,911   11,444    4.1%
    Total contribution
     to segment
     profit           15,183   12,845    18.2%    41,573   38,120    9.1%


    4. SCRIPPS NETWORKS

    Financial information for each of our four national networks is as
    follows:

    (in thousands, except per share data)

                           Three months               Twelve months
                          ended Dec. 31,              ended Dec. 31
                    2003      2002    Fav(Unf)    2003      2002      Fav(Unf)

    HGTV:
    Operating
     revenues    $82,874    $67,529     22.7%   $298,998  $245,721      21.7%
    Contribution
     to segment
     profit       44,577     33,080     34.8%    152,785   111,201      37.4%
    Net income
     effect       25,735     19,178     34.2%     87,986    64,424      36.6%
    Net income
     effect per
     share of
     diluted
     common stock  $ .31      $ .24     29.2%      $1.08     $ .80      35.0%

    Food Network:
    Operating
     revenues    $61,814    $46,929     31.7%   $207,260  $157,956      31.2%
    Contribution
     to segment
     profit       30,303     18,734     61.8%     87,497    52,580      66.4%
    Net income
     effect:
     Income before
      minority
      share       16,834      9,799     71.8%     47,325    26,210      80.6%
     Minority
      owner share
      of net
      income       4,510      2,200                7,915     2,200
    Net income
     effect       12,324      7,599     62.2%     39,410    24,010      64.1%
    Net income
     effect per
     share of
     diluted common
     stock         $ .15      $ .09     66.7%      $ .48     $ .30      60.0%

    DIY:
    Operating
     revenues     $6,879     $3,122              $20,305   $10,053
    Contribution
     to segment
     profit (loss)(1,661)    (3,238)    48.7%    (10,430)  (13,275)     21.4%
    Net income
     (loss) effect(1,236)    (2,200)    43.8%     (7,267)   (9,024)     19.5%
    Net income
     (loss) effect
     per share of
     diluted
     common stock  $(.02)     $(.03)    33.3%      $(.09)    $(.11)     18.2%

    Fine Living:
    Operating
     revenues     $3,514       $928               $8,308    $1,344
    Contribution
     to segment
     profit (loss)(5,792)    (6,077)     4.7%    (25,784)  (24,737)     (4.2)%
    Net income
     (loss) effect(3,606)    (3,959)     8.9%    (16,024)  (15,584)     (2.8)%
    Net income
     (loss) effect
     per share of
     diluted
     common stock  $(.04)     $(.05)    20.0%      $(.20)    $(.19)     (5.3)%


                THE E.W. SCRIPPS COMPANY
                Unaudited Revenue and Statistical Summary
                Period: December
                Report date: January 22, 2004

        For comparative purposes, this report excludes divested operations and
    unusual items, and includes acquired operations as if they had been
    purchased January 1, 2002.

    (amounts in millions,
    unless otherwise noted)
                           December (5)                 Year-to-date
                          2003      2002       %       2003     2002      %

    SEGMENT OPERATING
     REVENUES
    Newspapers          $58.1     $ 60.7    (4.3)%   $691.9    $682.4    1.4%
    Scripps Networks     49.2       36.6     34.2%    535.0     415.4   28.8%
    Broadcast Television 24.8       25.0    (0.8)%    304.2     305.2  (0.3)%
    Shop At Home (1)     29.5       22.8     29.5%    238.5     212.7   12.1%
    Licensing and
    Other Media          10.2        8.1     25.2%    105.3      90.3   16.6%

    TOTAL              $171.7     $153.2     12.1% $1,874.8  $1,706.0    9.9%

    NEWSPAPERS (2)
     Operating Revenues
     Local              $15.4      $16.6    (7.2)%   $167.3    $173.2  (3.4)%
     Classified          14.8       15.3    (3.7)%    209.7     207.9    0.9%
     National             3.6        3.5      3.5%     39.2      34.7   13.1%
     Preprints and other 11.9       12.0    (0.8)%    125.8     115.9    8.5%
    Newspaper
      Advertising        45.7       47.4    (3.7)%    542.1     531.8    1.9%
    Circulation          11.1       12.2    (9.2)%    135.5     138.1  (1.9)%
    Other                 1.3        1.1     25.9%     14.2      12.5   13.6%

    Newspapers          $58.1     $ 60.7    (4.3)%   $691.9    $682.4    1.4%

    Ad inches
    (excluding JOAs)
    (in thousands)
    Local                660        729     (9.4)%    7,200     7,608  (5.4)%
    Classified           784        795     (1.4)%   10,474    10,202    2.7%
    National             117        110       6.5%    1,331     1,166   14.1%
    Full run ROP       1,561      1,634     (4.4)%   19,005    18,977    0.1%

    Share of JOA
    operating
    profits (3)         $7.8       $6.7      14.4%    $78.7     $73.2    7.3%

    SCRIPPS NETWORKS
     Operating Revenues
     Advertising       $38.6      $29.7      30.1%   $434.2    $330.8   31.2%
     Affiliate
      fees, net          8.5        5.8      46.3%     92.9      78.7   18.1%
     Other               2.0        1.1      79.8%      7.9       5.9   33.7%

    Scripps Networks   $49.2      $36.6      34.2%   $535.0    $415.4   28.8%

    Subscribers (4)
    HGTV                                               84.5      80.4    5.1%
    Food Network                                       83.0      78.2    6.1%

    BROADCAST TELEVISION
     Operating Revenues
     Local             $15.3      $15.2       0.5%   $184.4    $171.3    7.6%
     National            8.2        8.3     (0.9)%    100.8      95.5    5.5%
     Political           0.2                            3.4      23.7
     Other               1.0        1.5    (29.2)%     15.7      14.7    6.8%

    Broadcast
     Television        $24.8      $25.0     (0.8)%   $304.2    $305.2  (0.3)%

    SHOP AT HOME (1)
     Operating Revenues
     As reported       $29.5      $22.8      29.5%   $238.5     $42.3
    Pro forma           29.5       22.8      29.5%    238.5     212.7   12.1%

    Avg. full-time
    equivalent homes    46.5       47.7     (2.5)%     46.4      42.1   10.2%

     (1)    Shop At Home was acquired October 31, 2002.

     (2)    For comparative purposes, certain 2002 newspaper revenues have
            been reclassified to conform to 2003 classifications.

     (3)    Excludes editorial costs and proportionate share of JOA
            activities.

     (4)    Subscriber counts are according to the Nielsen Homevideo Index of
            homes that receive cable networks.

     (5)    December 2003 had 4 Sundays, versus 5 in 2002.


              THE E.W. SCRIPPS COMPANY
              Unaudited Revenue and Statistical Summary
              Period: December
              Report date: January 22, 2004

    For comparative purposes, this report excludes divested operations and
    unusual items, and includes acquired operations as if they had been
    purchased January 1, 2002.

    (amounts in millions, unless otherwise noted )
                                                     Fourth Quarter
                                               2003         2002       %
    SEGMENT OPERATING REVENUE
    Newspapers                                $182.5      $180.2      1.2%
    Scripps Networks                           155.0       118.7     30.6%
    Broadcast Television                        82.9        91.2     (9.1)%
    Shop At Home (1)                            65.1        56.3     15.6%
    Licensing and Other Media                   28.9        23.9     21.1%
    TOTAL                                     $514.3      $470.2      9.4%

    NEWSPAPERS (2)
            Operating Revenue
            Local                              $46.4       $48.3     (3.8)%
            Classified                          50.4        49.3      2.2%
            National                            11.0        10.0     10.0%
            Preprints and other                 36.6        34.3      6.6%
            Newspaper advertising              144.3       141.8      1.8%
            Circulation                         33.9        34.8     (2.4)%
            Other                                4.2         3.7     15.2%

            Newspapers                        $182.5      $180.2      1.2%

            Ad inches (excluding JOAs)
             (in thousands)
            Local                              1,946       2,073     (6.1)%
            Classified                         2,558       2,501      2.3%
            National                             365         339      7.5%
            Full run ROP                       4,868       4,914     (0.9)%

            Share of JOA operating profits (3) $24.8       $21.7     14.4%

    SCRIPPS NETWORKS
            Operating Revenue
            Advertising                       $127.6       $97.5     30.9%
            Affiliate fees                      23.9        19.3     23.9%
            Other                                3.5         1.9     80.0%

            Scripps Networks                  $155.0      $118.7     30.6%

            Subscribers (4)
            HGTV                                84.5        80.4      5.1%
            Food Network                        83.0        78.2      6.1%

    BROADCAST TELEVISION
            Operating Revenue
            Local                              $49.3       $45.1      9.5%
            National                            28.6        25.0     14.3%
            Political                            1.3        17.3
            Other                                3.6         3.8     (6.2)%

            Broadcast Television               $82.9       $91.2     (9.1)%

    SHOP AT HOME (1)
            Operating Revenue
            As reported                        $65.1       $42.3
            Pro forma                           65.1        56.3     15.6%

            Avg. full-time equivalent homes     45.5        46.5     (2.2)%

    (1) Shop At Home was acquired October 31, 2002.
    (2) For comparative purposes, certain 2002 newspaper revenues have been
        reclassified to conform to 2003 classifications.
    (3) Excludes editorial costs and proportionate share of JOA restructuring
        activities.
    (4) Subscriber counts are according to the Nielsen Homevideo Index of
        homes that receive cable networks.
SOURCE  The E. W. Scripps Company
    -0-                                           01/22/2004
    /CONTACT:  Tim Stautberg of The E.W. Scripps Company, +1-513-977-3826, or
stautberg@scripps.com/
    /Web site:  http://www.scripps.com/
    (SSP)

CO:  E. W. Scripps Company
ST:  Ohio, Colorado
IN:  RAD TVN PUB
SU:  ERN CCA MAV ERP



PF-JK 
-- CLTH027 --
7606 01/22/2004 07:31 EST http://www.prnewswire.com