For Immediate Release

Chicago, IL – October 20, 2009 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Gannett Co. Inc. (GCI), Washington Post Company (WPO), Journal Communications (JRN), McClatchy Company (MNI) and The New York Times Company (NYT).

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Here are highlights from Monday’s AnalystBlog:

Gannett Beats Zacks Consensus

Gannett Co. Inc. (GCI), the largest newspaper publisher in the U.S., recently reported third-quarter 2009 results. Despite a faltering economy and decline in print advertising revenue, the company’s earnings topped expectations, buoyed by effective cost-cutting measures, lower newsprint expense,

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Gannett Co. Inc. (GCI), the largest newspaper publisher in the U.S., recently reported third-quarter 2009 results. Despite a faltering economy and decline in print advertising revenue, the company’s earnings topped expectations, buoyed by effective cost-cutting measures, lower newsprint expense, reduction in headcount and pay cuts. Operating expenses dropped 14.4% to $1,179.6 million. Gannett’s quarterly earnings of 44 cents a share surpassed the Zacks Consensus Estimate of 38 cents as well as the company’s expected guidance range of 39 cents to 42 cents a share. However, earnings fell 42.1% year-on-year from 76 cents reported in the prior-year quarter due to an 18.4% decline registered in the total revenue of $1,336.6 million. On a reported basis, including one-time items, earnings came in at 31 cents a share, down 55.1% from 69 cents posted in the year-ago quarter. Gannett is facing the same dramatic decline in advertising revenue ...

Meredith Corporation (MDP) reported a dismal fourth quarter 2009. Revenue plunged 8.1% year over year to $345.8 million primarily driven by the decline in total advertising revenue (down 14.9% to $189.3 million).

Consequently, EPS plunged 26.7% year over year to $0.55, despite a 7% decline in total operating costs. However, it did surpass the Zacks Consensus Estimate of $0.54. On a reported basis, the company announced a net loss per share of $3.64, compared to EPS of $0.42 in the prior-year quarter.

Management expects EPS for the first quarter 2010 in the range of $0.30 to $0.35, and fiscal year 2010 in the range of $1.60 to $2.00.

Although a well-run company, Meredith is not immune to the secular downturn in the print media industry, which has been exacerbated by sluggish economic growth and an increase in paper costs. Publishing revenue continues to fall (down 4.7% to $283.4 million).

Publishing advertising revenue

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Shares of Gannett Co. (GCI) surged 28.9% to close at $4.50 on Jul 15, 2009. The upbeat sentiment in the stock was due to the company’s stronger-than-expected second-quarter results, due to cost-cutting initiatives such as job cuts, salary reduction, furloughs and lower newsprint expenses. The company is laying off nearly 1,400 employees or about 3% of its headcount.

Gannett reported EPS of $0.46, excluding special items, surpassing the Street estimate of $0.37. Although, EPS fell more than 50% year over year, it increased sharply by 84% on a sequential basis. On a reported basis, the company's EPS was $0.30, compared to a net loss per share of $10.03 in the prior-year quarter.

Total revenue, however, tumbled 17.8% to $1,412.6 million due to sustained weakness in the U.S. and U.K. economies. The turbulent economy continues to hamper advertising revenue. Gannett's Publishing segment revenue declined 25.8% to $1,117.3 million as newspaper advertising

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Highlights include Washington Post Company (WPO), The New York Times Co. (NYT), The McClatchy Company (MNI), Gannett Co, Inc. (GCI) and The E.W. Scripps Company (SSP).WPO: Margins Contract in Mainstay Education BusinessWashington Post Company (WPO) posted 1Q09 results that proves even the higher education business isn't impervious to a recession.The publisher of its namesake newspaper and Newsweek magazine reported that 1Q09 EPS from continuing operations excluding one-time charges plunged to $0.41, grossly missing our estimate of $3.37 and the consensus of $3.48. EPS in 1Q08 was $5.68. Including the myriad charges, the company lost $2.04 in 1Q09, after earning $4.08 for 1Q08.As expected, strong cable TV earnings partially offset accelerating declines in the company's newspaper, magazine and television broadcasting businesses -- which together generate nearly one-third of the company's revenue. Unexpected, however, was the margin contraction ...

Free cash flow set to decline as fall in revenue accelerates, potentially endangering the dividend.Journal Communications (JRN) is scheduled to report 4Q08 earnings on February 12th. We think the company will not likely meet the Consensus estimate of $0.15 – our estimate is $0.12 and the Street low is $0.11. JRN's free cash flow, which had been increasing as capital expenditures shrink faster than revenue and operating cash flow, is set to decline, in our opinion.JRN's revenue decline accelerated faster-than-expected in October and November, a trend we think will likely continue as the recession deepens and political advertising evaporates.In turn, we think free cash flow BEFORE dividends, which covered cash dividends by a multiple of 1.6x in 3Q08, will contract, potentially endangering the company's dividend later in 2009. JRN's plummeting stock price has propelled its dividend yield to a very lofty 17.5%....