Scripps Files 10-K, Reports Final Fourth Quarter and Full-Year Results

Scripps Files 10-K, Reports Final Fourth Quarter and Full-Year Results

CINCINNATI, Feb. 29 /PRNewswire-FirstCall/ -- The E. W. Scripps Company (NYSE:SSP) today filed its annual Form 10-K for the year ended December 31, 2007 with the Securities and Exchange Commission, including final operating results for the fourth quarter and full year 2007.

The company reported a net loss for the fourth quarter of $256 million, or $1.56 per share, including the effect of a non-cash charge against earnings related to its uSwitch online comparison shopping subsidiary in the United Kingdom. Net income for the same period a year earlier was $134 million, or 81 cents per share.

The company reported a $411 million non-cash, pre-tax charge against earnings in the fourth quarter for impairment of goodwill and other intangible assets related to losses and challenging business conditions at uSwitch.

The company's net loss for the full year, including the effects of the non-cash charge, was $1.6 million, or 1 cent per share, vs. net income of $353 million, or $2.14 per share, in 2006. The charge reduced net income for 2007 by $382 million or $2.32 per share.

"As we indicated when reporting preliminary financial results for the fourth quarter, the reduced levels of energy switching activity at uSwitch throughout 2007 have resulted in a non-cash write-down of the businesses' carrying value," said Kenneth W. Lowe, president and chief executive officer for Scripps. "We anticipate a return to profitability at uSwitch during the first quarter of 2008 and in the meantime have tactically aligned the costs of operating the business with lower levels of anticipated revenue."

Most of the charge resulted from a general reduction in financial earnings at uSwitch and the impact this decline is expected to have on the future results at the business. Acquired by Scripps in 2006, uSwitch is an online comparison and switching service that helps consumers in the United Kingdom compare prices on car insurance, gas, electricity, water, heating cover, home telephone, digital television, broadband, credit cards, personal loans, secured loans and current accounts.

Forward-looking statements

This press release contains certain forward-looking statements related to the company's businesses, including the proposed separation plan, 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 2007 SEC Form 10K.

We undertake no obligation to publicly update any forward-looking statements to reflect events or circumstances after the date the statement is made.

About Scripps

The E. W. Scripps Company (www.scripps.com) is a diverse and growing media enterprise with interests in national cable networks, newspaper publishing, broadcast television stations, 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 and Great American Country; daily and community newspapers in 15 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; Scripps Interactive Media, including leading online search and comparison shopping services, Shopzilla and uSwitch; and United Media, a leading worldwide licensing and syndication company that is the home of PEANUTS, DILBERT and approximately 150 other features and comics.

   THE E. W. SCRIPPS COMPANY   RESULTS OF OPERATIONS    (in thousands, except per share data)                      Three months ended            Twelve months ended                       December 31,                    December 31,                     2007        2006   Change      2007       2006   Change    Operating    revenues     $679,196   $682,985   (0.6)%  $2,517,140 $2,498,077   0.8%   Costs and    expenses     (440,760)  (439,258)   0.3 %  (1,763,828)(1,701,059)  3.7%   Depreciation    and    amortization    of    intangibles   (33,246)   (29,190)  13.9 %    (131,550)  (115,099) 14.3%   Write-down    of uSwitch    goodwill and    intangible    assets       (411,006)                       (411,006)   Gain on    formation of    Colorado    newspaper    partnership                                                3,535   Gains (losses)    on disposal    of PP&E           244       (691)                (632)    (1,124)(43.8)%   Hurricane    recoveries, net                                            1,900    Operating    income       (205,572)   213,846              210,124    686,230 (69.4)%   Interest    expense        (7,980)   (12,994) (38.6)%     (37,982)   (55,965)(32.1)%   Equity    in earnings    of JOAs and    other joint    ventures       21,989     15,273   44.0 %      63,221     55,196  14.5%   Miscellaneous,    net             3,467       (521)              19,284      4,743    Income from    continuing    operations    before income    taxes and    minority    interests    (188,096)   215,604              254,647    690,204 (63.1)%   Provision    for income    taxes         (42,000)   (59,332) (29.2)%    (177,265)  (219,261)(19.2)%    Income from    continuing    operations    before    minority    interests    (230,096)   156,272               77,382    470,943 (83.6)%   Minority    interests     (25,837)   (23,885)   8.2%      (82,981)   (73,766) 12.5%    Income from    continuing    operations   (255,933)   132,387               (5,599)   397,177   Income (loss)    from    discontinued    operations,    net of tax                 1,561                3,978    (43,957)   Net income   $(255,933)  $133,948              $(1,621)  $353,220    Net income    (loss) per    diluted share    of common    stock:     Income from      continuing      operations   $(1.56)      $.80                $(.03)     $2.41     Income (loss)      from      discontinued      operations                 .01                  .02       (.27)   Net income per    diluted share    of common    stock          $(1.56)      $.81                $(.01)     $2.14    Weighted    average    diluted    shares    outstanding   163,895    164,924              164,267    164,849    Net income per share amounts may not foot since each is calculated   independently.  

First Call Analyst:
FCMN Contact:

Source: The E. W. Scripps Company

CONTACT: Tim Stautberg of The E. W. Scripps Company, +1-513-977-3826,
stautberg@scripps.com

Web site: http://www.scripps.com/

---

Profile: International Entertainment