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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
The Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) November 11, 2005
THE E.W. SCRIPPS COMPANY
(Exact name of registrant as specified in its charter)
| Ohio | 0-16914 | 31-1223339 | ||
| (State or other jurisdiction of incorporation or organization) |
(Commission File Number) | (I.R.S. Employer Identification Number) |
| 312 Walnut Street | ||
| Cincinnati, Ohio | 45202 | |
| (Address of principal executive offices) | (Zip Code) |
Registrant’s telephone number, including area code: (513) 977-3000
Not Applicable
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
| ¨ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
| ¨ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| ¨ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| ¨ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
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INDEX TO CURRENT REPORT ON FORM 8-K
| Item No. |
Page | |||
| 8.01 Other Events |
3 | |||
| 3 | ||||
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On November 11, 2005, we released information regarding our consolidated revenue for the month ended October 31, 2005. A copy of the press release is filed as Exhibit 99.
The discussion and the information contained in the press release contain certain forward-looking statements that are based on our current expectations. Forward-looking statements are subject to certain risks, trends, and uncertainties that could cause actual results to differ materially from the expectations expressed in the forward-looking statements. Such risks, trends and uncertainties, which in most instances are beyond our control, include changes in advertising demand and other economic conditions; consumers’ taste; newsprint prices; program costs; labor relations; technological developments; competitive pressures; interest rates; regulatory rulings; and reliance on third-party vendors for various products and services. The words “believe,” “expect,” “anticipate,” “estimate,” “intend,” and similar expressions identify forward-looking statements. All forward-looking statements, which are as of the date of this filing, should be evaluated with the understanding of their inherent uncertainty. We undertake no obligation to publicly update any forward-looking statement to reflect events or circumstances after the date the statement is made.
Item 9.01 Financial Statements and Exhibits
| (c) | Exhibits |
| 99 | Press release dated November 11, 2005. |
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| THE E.W. SCRIPPS COMPANY | ||
| BY: | /s/ Lori A. Hickok | |
| Lori A. Hickok | ||
| Vice President and Controller | ||
Dated: November 14, 2005
4
| PRESS RELEASE | EXHIBIT 99 |
Scripps reports October revenue, statistics
| For immediate release |
(NYSE: SSP) | |
| Nov. 11, 2005 |
CINCINNATI – The E. W. Scripps Company today reported October revenue and statistics for its Scripps Networks, Shop At Home, newspaper and broadcast television operating divisions.
For competitive reasons, the company is not reporting monthly revenue from its online comparison shopping subsidiary, Shopzilla, which was acquired in June. The company reports Shopzilla revenue on a quarterly basis.
At Scripps Networks – the company’s most profitable division – revenue was up 30 percent to $84.3 million in October compared with the same month a year ago.
October advertising revenue at Scripps Networks was up 32 percent and affiliate fee revenue increased 17 percent.
Scripps Networks includes the company’s portfolio of national cable and satellite television networks, including HGTV, Food Network, DIY Network, Fine Living and Great American Country (GAC).
HGTV and Food Network can be seen in 89 million and 88 million U.S. television households, respectively. DIY Network reaches about 35 million households and Fine Living can be seen in about 29 million households. GAC reached about 39 million U.S. households in October.
At the company’s newspapers, total revenue was up 1.4 percent to $64.1 million. Year-over-year revenue growth was negatively affected by Hurricane Wilma, which caused a loss of business in the company’s two Florida newspaper markets.
Newspaper advertising revenue grew 2.6 percent during October. Broken down by category, newspaper advertising revenue during the month was:
| • | Local, down 1.0 percent to $14.4 million. |
| • | Classified, up 2.7 percent to $19.8 million. |
| • | National, down 0.2 percent to $3.9 million. |
| • | Preprint and other, up 7.4 percent to $13.3 million. |
At Shop At Home, the company’s television retailing subsidiary, October revenue was up 3.3 percent to $25.1 million. The rate of revenue growth at Shop At Home during the month was held back by softer than expected retail sales and a strategic shift away from electronics and toward home-related products with relatively lower price points.
Shop At Home could be seen in 56 million full-time equivalent television households in October, up 4.9 percent from the same month in 2004.
At the company’s broadcast television stations, October revenue was down 28 percent to $30.7 million. The decline reflects the relative absence of political advertising revenue compared with the same month last year. Political advertising revenue during October reached $1.0 million compared with $19.2 million in October 2004.
Guidance
Based on the financial effects of Hurricane Wilma on the company’s Florida newspapers and West Palm Beach, Fla., television station, and softer than expected retail sales at Shop At Home, fourth quarter earnings per share are expected to be near the lower end of the previously issued guidance of 52 to 56 cents per share.
About Scripps
The E.W. Scripps Company (NYSE: SSP) is a diverse and growing media enterprise with interests in national cable networks, newspaper publishing, broadcast television stations, electronic commerce, interactive media, and licensing and syndication.
The company’s portfolio of media properties includes: Scripps Networks, with such brands as HGTV, Food Network, DIY Network, Fine Living, Great American Country and HGTVPro; daily and community newspapers in 18 markets and the Washington-based Scripps Media Center, home to the Scripps Howard News Service; 10 broadcast TV stations, including six ABC-affiliated stations, three NBC affiliates and one independent; United Media, a leading worldwide licensing and syndication company that is the home of PEANUTS, DILBERT and approximately 150 other features and comics; Shop At Home, which markets a growing range of consumer goods directly to television viewers in roughly 55 million U.S. households and online through shopathometv.com; and Shopzilla, the online comparison shopping service that carries an index of more than 30 million products from approximately 55,000 merchants.
###
Contact: Tim Stautberg, The E. W. Scripps Company, 513-977-3826
Email: stautberg@scripps.com
| THE E.W. SCRIPPS COMPANY | For more information: | |||
| Unaudited Revenue and Statistical Summary |
Tim Stautberg | |||
| Period: October |
The E.W. Scripps Company | |||
| Report date: November 11, 2005 |
513-977-3826 |
REVENUE AND STATISTICAL SUMMARY FOR SELECTED OPERATING SEGMENTS
| October |
Year-to-date |
|||||||||||||||||
| ( amounts in millions, unless otherwise noted ) |
2005 |
2004 |
% |
2005 |
2004 |
% |
||||||||||||
| SCRIPPS NETWORKS (1) |
||||||||||||||||||
| Operating Revenues |
||||||||||||||||||
| Advertising |
$ | 69.5 | $ | 52.6 | 32.3 | % | $ | 594.1 | $ | 460.6 | 29.0 | % | ||||||
| Affiliate fees, net |
13.8 | 11.8 | 16.8 | % | 139.0 | 116.3 | 19.5 | % | ||||||||||
| Other |
1.0 | 0.6 | 60.1 | % | 7.2 | 7.2 | (1.1 | )% | ||||||||||
| Scripps Networks |
$ | 84.3 | $ | 65.0 | 29.8 | % | $ | 740.3 | $ | 584.1 | 26.7 | % | ||||||
| Subscribers (2) |
||||||||||||||||||
| HGTV |
89.1 | 87.3 | 2.1 | % | ||||||||||||||
| Food Network |
88.1 | 85.6 | 2.9 | % | ||||||||||||||
| Great American Country |
39.3 | 34.5 | 13.9 | % | ||||||||||||||
| NEWSPAPERS |
||||||||||||||||||
| Operating Revenues |
||||||||||||||||||
| Local |
$ | 14.4 | $ | 14.6 | (1.0 | )% | $ | 135.8 | $ | 134.5 | 0.9 | % | ||||||
| Classified |
19.8 | 19.3 | 2.7 | % | 192.6 | 182.9 | 5.3 | % | ||||||||||
| National |
3.9 | 3.9 | (0.2 | )% | 35.3 | 34.0 | 3.8 | % | ||||||||||
| Preprints and other |
13.3 | 12.4 | 7.4 | % | 116.3 | 107.7 | 8.0 | % | ||||||||||
| Newspaper advertising |
51.5 | 50.2 | 2.6 | % | 480.1 | 459.2 | 4.5 | % | ||||||||||
| Circulation |
11.1 | 11.5 | (3.6 | )% | 107.3 | 109.7 | (2.1 | )% | ||||||||||
| Other |
1.5 | 1.5 | 0.3 | % | 13.8 | 13.5 | 2.0 | % | ||||||||||
| Newspapers |
$ | 64.1 | $ | 63.2 | 1.4 | % | $ | 601.2 | $ | 582.3 | 3.2 | % | ||||||
| Ad inches (excluding JOAs) (in thousands) |
||||||||||||||||||
| Local |
503 | 526 | (4.4 | )% | 4,775 | 4,827 | (1.1 | )% | ||||||||||
| Classified |
817 | 797 | 2.5 | % | 7,868 | 7,886 | (0.2 | )% | ||||||||||
| National |
102 | 104 | (1.6 | )% | 965 | 929 | 3.9 | % | ||||||||||
| Full run ROP |
1,422 | 1,426 | (0.3 | )% | 13,607 | 13,641 | (0.2 | )% | ||||||||||
| BROADCAST TELEVISION |
||||||||||||||||||
| Operating Revenues |
||||||||||||||||||
| Local |
$ | 18.9 | $ | 14.4 | 31.5 | % | $ | 161.6 | $ | 151.3 | 6.8 | % | ||||||
| National |
9.9 | 7.9 | 25.6 | % | 83.7 | 81.3 | 2.9 | % | ||||||||||
| Political |
1.0 | 19.2 | 2.5 | 39.7 | ||||||||||||||
| Other |
0.9 | 1.3 | (31.3 | )% | 11.2 | 14.1 | (20.7 | )% | ||||||||||
| Broadcast Television |
$ | 30.7 | $ | 42.7 | (28.1 | )% | $ | 258.9 | $ | 286.4 | (9.6 | )% | ||||||
| SHOP AT HOME |
||||||||||||||||||
| Operating Revenues |
||||||||||||||||||
| Shop At Home |
$ | 25.1 | $ | 24.3 | 3.3 | % | $ | 293.5 | $ | 228.1 | 28.7 | % | ||||||
| Avg. full-time equivalent homes |
55.8 | 53.2 | 4.9 | % | 53.9 | 49.7 | 8.5 | % | ||||||||||
| (1) | Operating results include Great American Country since the November 17, 2004 acquisition date. |
| (2) | Subscriber counts are according to the Nielsen Homevideo Index of homes that receive cable networks. |