Journal Communications Reports June Revenue for Its Publishing and Broadcast Groups

Journal Communications, Inc. (NYSE:JRN) announced today that for the sixth period ended June 29, 2008, total revenues for its Publishing and Broadcast groups of $42.75 million decreased 6.4% compared to $45.69 million reported for the sixth period ended July 1, 2007. For the sixth period 2008, advertising revenues of $36.07 million decreased 8.4% compared to $39.39 million for the 2007 sixth period. Both periods contained 35 days. Note that unless otherwise indicated, all comparisons are to the sixth period ended July 1, 2007. At the Publishing segment, revenues at the daily newspaper and the community newspapers and shoppers totaled $23.22 million, down 8.6% compared to $25.41 million. Advertising revenue was $16.53 million, down 13.5% compared to $19.11 million. Circulation revenue of $5.02 million was up 0.2%. Other revenue of $1.66 million was up 28.3%. At the daily newspaper, total advertising revenue was $13.17 million, down 15.6% compared to $15.60 million. Specifically, retail advertising revenue was down 8.2%, classified advertising revenue was down 22.1%, national advertising revenue of $0.47 million decreased 37.3% and direct marketing revenue of $0.38 million was down 29.0%. Within classified advertising, the help wanted, real estate/rentals and auto verticals were down 28.4%, 32.9% and 11.2%, respectively, and the other vertical was up 5.3%. Circulation revenue at the daily newspaper was $4.92 million. Other revenue at the daily newspaper of $1.36 million was up 54.4% compared to $0.88 million primarily due to the addition of new commercial printing customers. Total interactive advertising revenue at the daily newspaper, which is reflected in the various revenue categories, increased 3.0% to $1.29 million compared to $1.25 million. At the Company’s community newspapers and shoppers operations, total advertising revenue was $3.37 million, down 4.0% compared to $3.51 million. This largely reflects declines in retail advertising revenue (down 3.7%) and classified advertising revenue (down 4.4%), primarily due to the challenging economy. Other advertising revenue was $30,000. Circulation revenue at the community newspapers and shoppers of $0.10 million increased 11.0%. Other revenue at the community newspapers and shoppers of $0.30 million decreased 26.9%. At the Broadcasting segment, total revenue at the Company’s radio and television stations of $19.54 million decreased 3.7% compared to $20.28 million. At the television group, revenue decreased 2.5% to $11.60 million compared to $11.90 million, largely from softness in the Tucson, Ft. Myers and Milwaukee markets, partially offset by a $0.19 million increase in political and issue advertising. At the radio group, revenue of $7.94 million was down 5.3% compared to $8.38 million, reflecting softness in all of our radio markets except Milwaukee and Omaha and a $34,000 decrease in political and issue advertising. Forward-looking Statements This press release contains certain forward-looking statements related to our businesses that are based on our 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. Our written policy on forward-looking statements can be found on page 1 of our most recent Annual Report on Form 10-K and on page 18 of our most recent Quarterly Report on Form 10-Q, each as filed with the Securities and Exchange Commission. About Journal Communications Journal Communications, Inc., headquartered in Milwaukee, Wisconsin, was founded in 1882. We are a diversified media company with operations in publishing, radio and television broadcasting, interactive media and printing services. We publish the Milwaukee Journal Sentinel, which serves as the only major daily newspaper for the Milwaukee metropolitan area, and 52 community newspapers and shoppers in Wisconsin and Florida. We own and operate 35 radio stations and 11 television stations in 12 states and operate an additional television station under a local marketing agreement. Our interactive media assets include more than 121 online enterprises that are associated with our daily and community newspapers and television and radio stations. We also provide a wide range of commercial printing services – including printing of publications, professional journals and documentation material – and operate a direct marketing services business. Tables Follow Journal Communications, Inc. Publishing Segment Information (unaudited) (dollars in thousands)                 Publishing revenue by category:   Sixth period of 2008 (A) Sixth period of 2007 (A) Community Community Daily Newspapers Daily Newspapers % Change % Change % Change Newspaper & Shoppers Total Newspaper & Shoppers Total Daily CN&S Total   Advertising revenue: Retail $ 7,670 $ 2,749 $ 10,419 $ 8,351 $ 2,855 $ 11,206 (8.2 ) (3.7 ) (7.0 ) Classified 4,642 589 5,231 5,956 616 6,572 (22.1 ) (4.4 ) (20.4 ) National 474 -- 474 756 -- 756 (37.3 ) N/A (37.3 ) Direct Marketing 380 -- 380 535 -- 535 (29.0 ) N/A (29.0 ) Other -- 30 30 -- 36 36 N/A (16.7 ) (16.7 ) Total advertising revenue 13,166 3,368 16,534 15,598 3,507 19,105 (15.6 ) (4.0 ) (13.5 ) Circulation revenue 4,919 101 5,020 4,920 91 5,011 (0.0 ) 11.0 0.2 Other revenue 1,357 304 1,661 879 416 1,295 54.4 (26.9 ) 28.3 Total revenue $ 19,442 $ 3,773 $ 23,215 $ 21,397 $ 4,014 $ 25,411 (9.1 ) (6.0 ) (8.6 )   Six periods of 2008 (B) Six periods of 2007 (B) Community Community Daily Newspapers Daily Newspapers % Change % Change % Change Newspaper & Shoppers Total Newspaper & Shoppers Total Daily CN&S Total   Advertising revenue: Retail $ 41,186 $ 14,079 $ 55,265 $ 43,511 $ 14,934 $ 58,445 (5.3 ) (5.7 ) (5.4 ) Classified 24,393 2,763 27,156 31,132 3,067 34,199 (21.6 ) (9.9 ) (20.6 ) National 3,520 -- 3,520 4,320 -- 4,320 (18.5 ) N/A (18.5 ) Direct Marketing 1,634 -- 1,634 2,168 -- 2,168 (24.6 ) N/A (24.6 ) Other -- 195 195 -- 251 251 N/A (22.3 ) (22.3 ) Total advertising revenue 70,733 17,037 87,770 81,131 18,252 99,383 (12.8 ) (6.7 ) (11.7 ) Circulation revenue 24,837 540 25,377 25,525 584 26,109 (2.7 ) (7.5 ) (2.8 ) Other revenue 7,725 1,669 9,394 6,461 2,060 8,521 19.6 (19.0 ) 10.2 Total revenue $ 103,295 $ 19,246 $ 122,541 $ 113,117 $ 20,896 $ 134,013 (8.7 ) (7.9 ) (8.6 )       (A) 2008 sixth period: May 26, 2008 to June 29, 2008. 2007 sixth period: May 28, 2007 to July 1, 2007. (B) Six periods of 2008: December 31, 2007 to June 29, 2008. Six periods of 2007: January 1, 2007 to July 1, 2007.   NOTE: Publishing segment information is provided to facilitate comparison of our publishing segment results with those of other publishing companies and is not representative of the overall business of Journal Communications or its operating results. The revenues for the period are not necessarily indicative of the results that may be expected for the fiscal year ending December 28, 2008.   Journal Communications, Inc. Broadcasting Segment Information (unaudited) (dollars in thousands)                 Broadcasting revenue by radio and television:     Sixth period of 2008 (A) Sixth period of 2007 (A) % Change % Change % Change Television Radio Total Television Radio Total Television Radio Total     Revenue $ 11,598 $ 7,941 $ 19,539 $ 11,896 $ 8,384 $ 20,280 (2.5 ) (5.3 ) (3.7 )     Six periods of 2008 (B) Six periods of 2007 (B) % Change % Change % Change Television Radio Total Television Radio Total Television Radio Total     Revenue $ 64,936 $ 37,860 $ 102,796 $ 67,535 $ 40,190 $ 107,725 (3.8 ) (5.8 ) (4.6 )     (A) 2008 sixth period: May 26, 2008 to June 29, 2008. 2007 sixth period: May 28, 2007 to July 1, 2007. (B) Six periods of 2008: December 31, 2007 to June 29, 2008. Six periods of 2007: January 1, 2007 to July 1, 2007.   NOTE: Broadcasting segment information is provided to facilitate comparison of our broadcasting segment results with those of other broadcasting companies and is not representative of the overall business of Journal Communications or its operating results. The revenues for the period are not necessarily indicative of the results that may be expected for the fiscal year ending December 28, 2008.