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Gannett Releases April Advertising Statistical Report: Remains Steady

Press release from the issuing company

McLEAN, Va.--May 16, 2002--Gannett Co., Inc. reported today that total pro forma operating revenues for the fourth period ended May 5, 2002 were almost even with the same period in 2001. Pro forma newspaper advertising revenues declined 1 percent in the period on a 2 percent increase in ROP volume and 8 percent rise in preprint distribution. Newspaper advertising category results in part reflect the Easter switch to March this year from April in 2001. As in the past, we recommend combining March and April results for comparison purposes. Pro forma classified revenues declined 1 percent in the April period on a 7 percent increase in ad volume. Employment revenues fell 15 percent. Classified real estate revenues rose 9 percent and automotive increased 7 percent. Overall, the company's classified results for Newsquest continue to be stronger than the domestic results. Pro forma local advertising revenues declined 2 percent on a 4 percent decline in ad volume. The performance of our small to medium-sized advertisers in our domestic newspapers outpaced the revenue performance of our largest advertisers. Pro forma national advertising revenues rose 1 percent on a 2 percent decline in ad volume. National volume at the company's local domestic newspapers decreased 1 percent. USA WEEKEND, the company's weekly newspaper magazine, experienced higher revenues during the period. While revenue statistics include USA WEEKEND, its ad volume is not included in the linage numbers. At USA TODAY, advertising revenues declined 5 percent while paid pages declined 10 percent to 459 from 511. For the year-to-date, USA TODAY's paid pages numbered 1,636 compared with 1,843 last year, while ad revenues were 8 percent lower. Pro forma television revenues increased 1 percent in the fourth period. Local revenues increased 1 percent while national revenues were flat. In addition to our revenue and statistical summary, attached is a chart which shows the consolidated Gannett Internet audience shares for March from Media Metrix and Nielsen/Net Ratings. In March, Gannett's domestic Web sites had 12.3 million unique visitors reaching 10.7 percent of the Internet audience. Newsquest is also an Internet leader in the UK. Ad linage for Newsquest and Newscom is not included in the ad volume statistics. Circulation volume numbers for Newsquest's and Newscom's paid daily newspapers are included in the enclosed statistics, but volume from unpaid daily and non-daily publications is not included in the circulation volume statistics.

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