May 29, 2003 -- Vienna, Va. – Newspaper advertising expenditures for the first quarter of 2003 totaled $9.9 billion, a 1.8 percent increase over the same period a year earlier, according to preliminary estimates from the Newspaper Association of America. Retail advertising spending rose 2.5 percent to $4.7 billion, national ad spending increased 3.7 percent to $1.8 billion and classified was off 0.2 percent to $3.5 billion. “While the war in Iraq may have dampened expectations for increased ad spending in the first quarter, these latest numbers show that newspaper ad spending continued to gain ground,” said NAA President and CEO John F. Sturm. “The war began – and ended – in the midst of an emerging advertising recovery, and we fully expect ad spending in newspapers to keep on growing as the overall ad market regains its momentum.” Within the classified category in the first quarter, real estate ad spending continued to be strong, increasing 8.6 percent to $832 million. Automotive gained 1.9 percent to $1.1 billion. Recruitment advertising was $932 million, a decrease of 10.8 percent over the last year. All other classifieds were up 3.4 percent to $565 million. “As consumer confidence and business investment improve in the postwar environment, the advertising marketplace will also improve,” said NAA Vice President of Business Analysis and Research Jim Conaghan. “The economy and newspaper advertising should get better in the second half of this year.”