Cover Page
Cover Page - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Feb. 16, 2024 | Jun. 30, 2023 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2023 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Transition Report | false | ||
Entity File Number | 001-36097 | ||
Entity Registrant Name | GANNETT CO., INC. | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 38-3910250 | ||
Entity Address, Address Line One | 7950 Jones Branch Drive, | ||
Entity Address, City or Town | McLean, | ||
Entity Address, State or Province | VA | ||
Entity Address, Postal Zip Code | 22107-0910 | ||
City Area Code | 703 | ||
Local Phone Number | 854-6000 | ||
Title of 12(b) Security | Common Stock, par value $0.01 per share | ||
Trading Symbol | GCI | ||
Security Exchange Name | NYSE | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Document Financial Statement Error Correction Flag | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 320.4 | ||
Entity Common Stock, Shares Outstanding | 148,814,354 | ||
Documents Incorporated by Reference | The definitive proxy statement relating to the registrant's Annual Meeting of Stockholders for 2024 is incorporated by reference in Part III to the extent described therein. | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2023 | ||
Document Fiscal Period Focus | FY | ||
Entity Central Index Key | 0001579684 |
Audit Information
Audit Information | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Auditor Information [Abstract] | ||
Auditor Firm ID | 248 | 42 |
Auditor Name | GRANT THORNTON LLP | Ernst & Young LLP |
Auditor Location | New York, New York | Tysons, VA |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Current assets: | ||
Cash and cash equivalents | $ 100,180 | $ 94,255 |
Accounts receivable, net of allowance for doubtful accounts of $16,338 and $16,697, respectively | 266,096 | 289,415 |
Inventories | 26,794 | 45,223 |
Prepaid expenses | 36,210 | 46,205 |
Other current assets | 14,957 | 32,679 |
Total current assets | 444,237 | 507,777 |
Property, plant, and equipment, net | 239,087 | 305,994 |
Operating lease assets | 221,733 | 233,322 |
Goodwill | 533,876 | 533,166 |
Intangible assets, net | 524,350 | 613,358 |
Deferred tax assets | 37,125 | 56,618 |
Pension and other assets | 180,839 | 143,320 |
Total assets | 2,181,247 | 2,393,555 |
Current liabilities: | ||
Accounts payable and accrued liabilities | 293,444 | 351,848 |
Deferred revenue | 120,502 | 153,648 |
Current portion of long-term debt | 63,752 | 60,452 |
Operating lease liabilities | 45,763 | 44,872 |
Other current liabilities | 10,052 | 6,218 |
Total current liabilities | 533,513 | 617,038 |
Long-term debt | 564,836 | 695,642 |
Convertible debt | 416,036 | 405,681 |
Deferred tax liabilities | 2,028 | 1,439 |
Pension and other postretirement benefit obligations | 42,661 | 50,710 |
Long-term operating lease liabilities | 203,871 | 219,109 |
Other long-term liabilities | 100,989 | 108,563 |
Total noncurrent liabilities | 1,330,421 | 1,481,144 |
Total liabilities | 1,863,934 | 2,098,182 |
Commitments and contingent liabilities (see Note 13) | ||
Equity | ||
Preferred stock, $0.01 par value per share, 300,000 shares authorized, none of which were issued and outstanding at December 31, 2023 and December 31, 2022 | 0 | 0 |
Common stock, $0.01 par value per share, 2,000,000,000 shares authorized; 158,554,705 shares issued and 148,939,463 shares outstanding at December 31, 2023; 153,286,104 shares issued and 146,223,179 shares outstanding at December 31, 2022 | 1,586 | 1,533 |
Treasury stock, at cost, 9,615,242 shares and 7,062,925 shares at December 31, 2023 and December 31, 2022, respectively | (17,393) | (14,737) |
Additional paid-in capital | 1,426,325 | 1,409,578 |
Accumulated deficit | (1,027,192) | (999,401) |
Accumulated other comprehensive loss | (65,541) | (101,231) |
Total Gannett stockholders' equity | 317,785 | 295,742 |
Noncontrolling interests | (472) | (369) |
Total equity | 317,313 | 295,373 |
Total liabilities and equity | $ 2,181,247 | $ 2,393,555 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Trade receivables, allowance for doubtful receivables | $ 16,338 | $ 16,697 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock authorized (in shares) | 300,000 | 300,000 |
Preferred stock, outstanding (in shares) | 0 | 0 |
Preferred stock, issued (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, authorized (in shares) | 2,000,000,000 | 2,000,000,000 |
Common stock, issued (in shares) | 158,554,705 | 153,286,104 |
Common stock, outstanding (in shares) | 148,939,463 | 146,223,179 |
Treasury stock (in shares) | 9,615,242 | 7,062,925 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | ||
Total revenues | $ 2,663,550 | $ 2,945,303 | $ 3,208,083 | |
Operating costs | 1,692,031 | 1,860,353 | 1,901,564 | |
Selling, general and administrative expenses | 735,339 | 852,488 | 902,064 | |
Depreciation and amortization | 162,622 | 182,022 | 203,958 | |
Integration and reorganization costs | 24,468 | 87,974 | 49,284 | |
Asset impairments | 1,370 | 1,056 | 3,976 | |
(Gain) loss on sale or disposal of assets, net | (40,101) | (6,883) | 17,208 | |
Other operating expenses | 1,550 | 1,892 | 20,952 | |
Total operating expenses | 2,577,279 | 2,978,902 | 3,099,006 | |
Operating income (loss) | 86,271 | (33,599) | 109,077 | |
Interest expense | 111,776 | 108,366 | 135,748 | |
(Gain) loss on early extinguishment of debt | (4,529) | (399) | 48,708 | |
Non-operating pension income | (9,382) | (58,953) | (95,357) | |
Loss on convertible notes derivative | 0 | 0 | 126,600 | |
Other non-operating income, net | (5,429) | (5,707) | (18,701) | |
Non-operating expenses | 92,436 | 43,307 | 196,998 | |
Loss before income taxes | (6,165) | (76,906) | (87,921) | |
Provision for income taxes | 21,729 | 1,349 | 48,250 | |
Net loss | (27,894) | (78,255) | (136,171) | |
Net loss attributable to noncontrolling interests | (103) | (253) | (1,209) | |
Net loss attributable to Gannett | $ (27,791) | $ (78,002) | $ (134,962) | |
Loss per share attributable to Gannett - basic (in dollars per share) | $ (0.20) | $ (0.57) | $ (1) | |
Loss per share attributable to Gannett - diluted (in dollars per share) | $ (0.20) | $ (0.57) | $ (1) | |
Other comprehensive income (loss): | ||||
Foreign currency translation adjustments | $ 13,683 | $ (24,008) | $ (604) | |
Pension and other postretirement benefit items: | ||||
Net actuarial gain (loss) | 33,135 | (185,282) | 13,811 | |
Amortization of net actuarial gain (loss) | (305) | (500) | 64 | |
Change in prior service cost | 3,307 | 0 | 0 | |
Amortization of prior service cost | (502) | 66 | 0 | |
Equity method investments | 610 | 0 | 0 | |
Other | (7,415) | 5,283 | (387) | |
Total pension and other postretirement benefit items | 28,830 | (180,433) | 13,488 | |
Other comprehensive income (loss) before tax | 42,513 | (204,441) | 12,884 | |
Income tax provision (benefit) related to components of other comprehensive income (loss) | 6,823 | (43,212) | 3,059 | |
Other comprehensive income (loss), net of tax | [1] | 35,690 | (161,229) | 9,825 |
Comprehensive income (loss) | 7,796 | (239,484) | (126,346) | |
Comprehensive loss attributable to noncontrolling interests | [2] | (103) | (253) | (1,209) |
Comprehensive income (loss) attributable to Gannett | 7,899 | (239,231) | (125,137) | |
Advertising and marketing services | ||||
Total revenues | 1,387,114 | 1,496,137 | 1,651,161 | |
Circulation | ||||
Total revenues | 927,821 | 1,084,637 | 1,249,674 | |
Other | ||||
Total revenues | $ 348,615 | $ 364,529 | $ 307,248 | |
[1] (b) (a) |
CONSOLIDATED STATEMENTS OF OP_2
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) (Parenthetical) - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Statement [Abstract] | |||
Net loss attributable to redeemable noncontrolling interests | $ 0 | $ 0 | $ (1,100,000) |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Operating activities | |||
Net loss | $ (27,894) | $ (78,255) | $ (136,171) |
Adjustments to reconcile net loss to operating cash flows: | |||
Depreciation and amortization | 162,622 | 182,022 | 203,958 |
Share-based compensation expense | 16,567 | 16,751 | 18,439 |
Non-cash interest expense | 21,199 | 21,303 | 25,507 |
Provision for deferred income taxes | 11,514 | 2,549 | 44,970 |
(Gain) loss on sale or disposal of assets, net | (40,101) | (6,883) | 17,208 |
Loss on convertible notes derivative | 0 | 0 | 126,600 |
(Gain) loss on early extinguishment of debt | (4,529) | (399) | 48,708 |
Asset impairments | 1,370 | 1,056 | 3,976 |
Pension and other postretirement benefit obligations | (13,917) | (80,012) | (150,824) |
Change in other assets and liabilities: | |||
Accounts receivable, net | 34,135 | 44,943 | (33,246) |
Inventory | 18,510 | (7,434) | (2,824) |
Prepaid expenses | 16,680 | 3,244 | 5,576 |
Accounts payable and accrued liabilities | (65,094) | (23,653) | (33,457) |
Deferred revenue | (29,971) | (30,076) | 931 |
Other assets and liabilities | (6,517) | (4,380) | (11,898) |
Cash provided by operating activities | 94,574 | 40,776 | 127,453 |
Investing activities | |||
Acquisitions, net of cash acquired | 0 | (15,432) | (125) |
Purchase of property, plant, and equipment | (38,116) | (45,376) | (39,560) |
Proceeds from sale of real estate and other assets | 85,298 | 83,504 | 111,765 |
Change in other investing activities | (203) | (572) | (1,433) |
Cash provided by investing activities | 46,979 | 22,124 | 70,647 |
Financing activities | |||
Payments of deferred financing costs | 0 | (1,652) | (21,071) |
Borrowings of long-term debt | 0 | 80,000 | 1,934,940 |
Repayments of long-term debt | (133,821) | (170,994) | (2,156,046) |
Repurchase of convertible debt | 0 | 0 | (15,012) |
Acquisition of noncontrolling interests | 0 | (2,050) | 0 |
Treasury stock | (2,642) | (6,555) | (3,244) |
Changes in other financing activities | 952 | (1,616) | (739) |
Cash used for financing activities | (135,511) | (102,867) | (261,172) |
Effect of currency exchange rate change on cash | (234) | 1,152 | (35) |
Increase (decrease) in cash, cash equivalents and restricted cash | 5,808 | (38,815) | (63,107) |
Cash, cash equivalents and restricted cash at beginning of year | 104,804 | 143,619 | 206,726 |
Cash, cash equivalents and restricted cash at end of year | $ 110,612 | $ 104,804 | $ 143,619 |
CONSOLIDATED STATEMENTS OF EQUI
CONSOLIDATED STATEMENTS OF EQUITY - USD ($) $ in Thousands | Total | Common stock | Additional paid-in capital | Accumulated other comprehensive income (loss) | Accumulated deficit | Treasury stock | Non-controlling interests | [1] | |
Beginning Balance (in shares) at Dec. 31, 2020 | 139,495,000 | ||||||||
Beginning Balance at Dec. 31, 2020 | $ 364,109 | $ 1,395 | $ 1,103,881 | $ 50,173 | $ (786,437) | $ (4,903) | $ 0 | ||
Beginning Balance (in shares) at Dec. 31, 2020 | 1,392,000 | ||||||||
Increase (Decrease) in Stockholders' Equity | |||||||||
Net income (loss) attributable to Gannett | (135,028) | (134,962) | (66) | ||||||
Restricted share grants ( in shares) | 3,883,000 | ||||||||
Restricted share grants | 0 | $ 39 | (39) | ||||||
Restricted stock awards settled, net of withholdings (in shares) | 1,072,000 | ||||||||
Restricted stock awards settled, net of withholdings | (1,902) | $ 10 | (1,912) | ||||||
Other comprehensive income, net of income taxes | [2] | 9,825 | 9,825 | ||||||
Share-based compensation expense | 18,439 | 18,439 | |||||||
Equity component - 2027 Notes | 279,557 | 279,557 | |||||||
Issuance of common stock (in shares) | 217,000 | ||||||||
Issuance of common stock | 138 | $ 2 | 136 | ||||||
Remeasurement of redeemable noncontrolling interests | 126 | 126 | |||||||
Treasury stock (in shares) | 597,000 | ||||||||
Treasury stock | (3,244) | $ (3,244) | |||||||
Restricted share forfeiture (in shares) | 379,000 | ||||||||
Restricted share forfeiture | (4) | $ (4) | |||||||
Other activity | (2,401) | 18 | (2,419) | ||||||
Ending Balance (in shares) at Dec. 31, 2021 | 144,667,000 | ||||||||
Ending Balance at Dec. 31, 2021 | 529,615 | $ 1,446 | 1,400,206 | 59,998 | (921,399) | $ (8,151) | (2,485) | ||
Ending Balance (in shares) at Dec. 31, 2021 | 2,368,000 | ||||||||
Increase (Decrease) in Stockholders' Equity | |||||||||
Net income (loss) attributable to Gannett | (78,255) | (78,002) | (253) | ||||||
Acquisition of noncontrolling interests | (2,050) | (4,419) | 2,369 | ||||||
Restricted share grants ( in shares) | 7,127,000 | ||||||||
Restricted share grants | 0 | $ 71 | (71) | ||||||
Restricted stock awards settled, net of withholdings (in shares) | 615,000 | ||||||||
Restricted stock awards settled, net of withholdings | (1,730) | $ 7 | (1,737) | ||||||
Performance stock units settled, net of withholdings (in shares) | 563,000 | ||||||||
Performance stock units settled, net of withholdings | (886) | $ 6 | (892) | ||||||
Other comprehensive income, net of income taxes | [2] | (161,229) | (161,229) | ||||||
Share-based compensation expense | 16,751 | 16,751 | |||||||
Issuance of common stock (in shares) | 314,000 | ||||||||
Issuance of common stock | 138 | $ 3 | 135 | ||||||
Treasury stock (in shares) | 1,568,000 | ||||||||
Treasury stock | (6,555) | $ (6,555) | |||||||
Restricted share forfeiture (in shares) | 3,127,000 | ||||||||
Restricted share forfeiture | (31) | $ (31) | |||||||
Other activity | $ (395) | (395) | |||||||
Ending Balance (in shares) at Dec. 31, 2022 | 146,223,179 | 153,286,000 | |||||||
Ending Balance at Dec. 31, 2022 | $ 295,373 | $ 1,533 | 1,409,578 | (101,231) | (999,401) | $ (14,737) | (369) | ||
Ending Balance (in shares) at Dec. 31, 2022 | 7,062,925 | 7,063,000 | |||||||
Increase (Decrease) in Stockholders' Equity | |||||||||
Net income (loss) attributable to Gannett | $ (27,894) | (27,791) | (103) | ||||||
Restricted share grants ( in shares) | 4,682,000 | ||||||||
Restricted share grants | 0 | $ 47 | (47) | ||||||
Performance stock units settled, net of withholdings (in shares) | 97,000 | ||||||||
Performance stock units settled, net of withholdings | (126) | $ 1 | (127) | ||||||
Other comprehensive income, net of income taxes | [2] | 35,690 | 35,690 | ||||||
Share-based compensation expense | 16,567 | 16,567 | |||||||
Issuance of common stock (in shares) | 490,000 | ||||||||
Issuance of common stock | 100 | $ 5 | 95 | ||||||
Treasury stock (in shares) | 1,132,000 | ||||||||
Treasury stock | (2,642) | $ (2,642) | |||||||
Restricted share forfeiture (in shares) | 1,420,000 | ||||||||
Restricted share forfeiture | (14) | $ (14) | |||||||
Other activity | $ 259 | 259 | |||||||
Ending Balance (in shares) at Dec. 31, 2023 | 148,939,463 | 158,555,000 | |||||||
Ending Balance at Dec. 31, 2023 | $ 317,313 | $ 1,586 | $ 1,426,325 | $ (65,541) | $ (1,027,192) | $ (17,393) | $ (472) | ||
Ending Balance (in shares) at Dec. 31, 2023 | 9,615,242 | 9,615,000 | |||||||
[1] (a) Excludes Redeemable noncontrolling interests which are reflected in temporary equity. (b) |
CONSOLIDATED STATEMENTS OF EQ_2
CONSOLIDATED STATEMENTS OF EQUITY (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Statement of Stockholders' Equity [Abstract] | |||
Income tax provision (benefit) related to components of other comprehensive income (loss) | $ 6,823 | $ (43,212) | $ 3,059 |
Description of business and bas
Description of business and basis of presentation | 12 Months Ended |
Dec. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Description of business and basis of presentation | NOTE 1 — Description of business and basis of presentation Description of business Gannett Co., Inc. ("Gannett", "we", "us", "our", or the "Company") is a diversified media company with expansive reach at the national and local level dedicated to empowering and enriching communities. We seek to inspire, inform, and connect audiences as a sustainable, growth focused media and digital marketing solutions company. We endeavor to deliver essential content, marketing solutions, and experiences for curated audiences, advertisers, consumers, and stakeholders by leveraging our diverse teams and suite of products to enrich the local communities and businesses we serve. Our current portfolio of trusted media brands includes the USA TODAY NETWORK, comprised of the national publication, USA TODAY, and local media organizations in the United States (the "U.S."), and Newsquest, a wholly-owned subsidiary operating in the United Kingdom (the "U.K."). Our digital marketing solutions brand, LocaliQ, uses innovation and software to enable small and medium-sized businesses ("SMBs") to grow, and USA TODAY NETWORK Ventures, our events division, creates impactful consumer engagements, promotions, and races. Through USA TODAY, our network of local properties, and Newsquest, we deliver high-quality, trusted content with a commitment to balanced, unbiased journalism, where and when consumers want to engage. We have strong relationships with hundreds of thousands of local and national businesses in both our U.S. and U.K. markets due to our large local and national sales forces and a robust advertising and digital marketing solutions product suite. Our strategy prioritizes maximizing the monetization of our audience through the growth of increasingly diverse and highly recurring digital businesses. We deliver value to our customers, advertisers, partners and shareholders with essential content, joyful experiences, and relevant digital solutions. We report in three segments: Domestic Gannett Media, Newsquest and Digital Marketing Solutions ("DMS"). We also have a Corporate and other category that includes activities not directly attributable to a specific reportable segment and includes broad corporate functions, such as legal, human resources, accounting, analytics, finance, marketing and technology, as well as other general business costs. Effective with the fourth quarter of 2023, the Company is reporting financial information for its Newsquest business in a separate segment. Previously, the financial information for this segment was aggregated with Domestic Gannett Media and, together, formed the Gannett Media reportable segment. As a result, the Company has revised its historical disclosures to reflect the new Domestic Gannett Media and Newsquest reportable segments for all years presented. A full description of our reportable segments is included in Note 14 — Segment reporting. Additionally, certain other disclosures in Note 3 — Revenues, Note 6 — Goodwill and intangible assets and Note 7 — Integration and reorganization costs and asset impairments have been revised to reflect the new reportable segments. Basis of presentation The Consolidated financial statements include all the assets, liabilities, revenues, expenses and cash flows of entities which Gannett controls due to ownership of a majority voting interest ("subsidiaries"). All significant intercompany accounts and transactions have been eliminated in consolidation. The Company consolidates entities that it controls due to ownership of a majority voting interest. Use of estimates The preparation of the financial statements in conformity with U.S. generally accepted accounting principles ("U.S. GAAP") requires management to make estimates and assumptions that affect the amounts reported in the Consolidated financial statements and footnotes thereto. Actual results could differ materially from those estimates. Significant estimates inherent in the preparation of the Consolidated financial statements include pension and postretirement benefit obligation assumptions, income taxes, goodwill and intangible asset impairment analysis, valuation of property, plant, and equipment and the mark to market of the conversion feature associated with the convertible debt. Reclassifications Certain reclassifications have been made to the prior year Consolidated financial statements to conform to classifications used in the current year. These reclassifications had no impact on net loss, shareholders' equity or cash flows as previously reported. |
Summary of significant accounti
Summary of significant accounting policies | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Summary of significant accounting policies | NOTE 2 — Summary of significant accounting policies Cash, cash equivalents and restricted cash and Supplementary cash flow information Cash equivalents represent highly liquid certificates of deposit which have original maturities of three months or less. Restricted cash is held as cash collateral for certain business operations. Restricted cash primarily consists of funding for letters of credit, cash held in an irrevocable grantor trust for our deferred compensation plans and cash held with banking institutions for insurance plans. The following table presents a reconciliation of cash, cash equivalents and restricted cash: December 31, In thousands 2023 2022 2021 Cash and cash equivalents $ 100,180 $ 94,255 $ 130,756 Restricted cash, included in prepaid expenses and other current assets 371 563 4,606 Restricted cash, included in other assets 10,061 9,986 8,257 Total cash, cash equivalents and restricted cash $ 110,612 $ 104,804 $ 143,619 The following table presents supplementary cash flow information, including non-cash investing and financing activities: Year ended December 31, In thousands 2023 2022 2021 Net cash paid (refund) for taxes, net $ 8,222 $ 3,409 $ (8,324) Cash paid for interest 89,335 86,485 103,879 Non-cash investing and financing activities: Accrued capital expenditures 2,390 699 1,682 Accounts receivable Accounts receivable are stated at amounts due from customers, net of allowances, which reflect the Company's expected credit losses based on historical experience as well as current and expected economic conditions. Inventory Inventory consists principally of newsprint, which is valued at the lower of cost or net realizable value. Cost is determined using the first-in, first-out ("FIFO") method. Property, plant, and equipment, software development costs and depreciation Property, plant, and equipment are recorded at cost or at fair value for property, plant, and equipment related to acquired businesses. Routine maintenance and repairs are expensed as incurred. Depreciation is calculated under the straight-line method over the estimated useful lives. Leasehold improvements are amortized under the straight-line method over the shorter of the lease term or estimated useful life of the asset. We capitalize costs to develop software for internal use when it is determined the development efforts will result in new or additional functionality or new products. Costs incurred prior to meeting these criteria and costs associated with ongoing maintenance are expensed as incurred and included in Operating costs in the accompanying Consolidated statements of operations and comprehensive income (loss). Property, plant, and equipment and software development costs are evaluated for impairment in accordance with our policy for amortizable intangible assets and other long-lived assets. A breakout of property, plant, and equipment and software is presented below: December 31, In thousands 2023 2022 Useful Lives (range) Land $ 21,990 $ 30,328 Buildings and improvements 147,171 179,657 10 years - 30 years Machinery and equipment 258,432 320,414 3 years - 20 years Capitalized software 114,122 95,480 3 years - 5 years Furniture and fixtures 23,541 28,904 7 years - 10 years Construction in progress 10,239 11,733 Total 575,495 666,516 Less: accumulated depreciation (a) (336,408) (360,522) Property, plant, and equipment, net $ 239,087 $ 305,994 (a) Includes accumulated depreciation of capitalized software of approximately $74.4 million and $62.5 million for the years ended December 31, 2023 and 2022, respectively. Depreciation expense was $72.6 million, $86.4 million, and $100.9 million for the years ended December 31, 2023, 2022, and 2021, respectively. Goodwill, intangible and long-lived assets Goodwill represents the excess of acquisition cost over the fair value of assets acquired, including identifiable intangible assets, net of liabilities assumed. Indefinite-lived intangible assets consist of newspaper mastheads and finite-lived intangible assets consist of advertiser, subscriber and other customer relationships, as well as trade names, and developed technology. Newspaper mastheads are not amortized because it has been determined that the useful lives of such mastheads are indefinite. Intangible assets that have finite useful lives are amortized over those useful lives. Goodwill is tested for impairment annually as of November 30 and between annual tests if events occur or circumstances change that would more likely than not reduce the fair value of a reporting unit below its carrying amount. We perform our impairment analysis on each of our reporting units. We evaluate our reporting units annually, as well as when changes in our operating structure occur. The Company has the option to qualitatively assess whether it is more likely than not that the fair value of a reporting unit is less than its carrying value. If the Company elects to perform a qualitative assessment and concludes it is more likely than not that the fair value of the reporting unit is equal to or greater than its carrying value, no further assessment of that reporting unit's goodwill is necessary; otherwise goodwill must be tested for impairment. In the quantitative test, we are required to determine the fair value of each reporting unit and compare it to the carrying amount of the reporting unit. Fair value of the reporting unit is defined as the price that would be received to sell the unit as a whole in an orderly transaction between market participants at the measurement date. The Company generally determines the fair value of a reporting unit using a combination of a discounted cash flow analysis and a market-based approach. Estimates of fair value include inputs that are subjective in nature, involve uncertainties, and involve matters of significant judgment that are made at a specific point in time. Changes in key assumptions from period to period could significantly affect the estimates of fair value. Significant assumptions used in the fair value estimates include projected revenues and related growth rates over time, projected operating cash flow margins, discount rates, and future economic and market conditions. If the carrying value of the reporting unit exceeds the estimate of fair value, we calculate the impairment as the excess of the carrying value of goodwill over its implied fair value. Indefinite-lived intangible assets, which are newspaper mastheads, are tested for impairment annually or more frequently if events or changes in circumstances indicate the asset might be impaired. The impairment test consists of a comparison of the fair value of each group of mastheads with their carrying amount. We use a relief from royalty approach which utilizes a discounted cash flow model to determine the fair value of newspaper mastheads. Our judgments and estimates of future operating results in determining the reporting unit fair values are consistently applied in determining the fair value of mastheads. The Company assesses the recoverability of its long-lived assets, including property, plant, and equipment and finite-lived intangible assets, whenever events or changes in circumstances indicate their carrying amounts may not be recoverable. The evaluation is performed by asset group, which is the lowest level of identifiable cash flows independent of other assets. The assessment of recoverability is based on management's estimates by comparing the sum of the estimated undiscounted cash flows generated by the underlying asset groups to its carrying value of the asset groups to determine whether an impairment existed at its lowest level of identifiable cash flows. If the carrying amount of the asset group is greater than the expected undiscounted cash flows to be generated by the asset group, an impairment is recognized to the extent the carrying value of such asset group exceeds its fair value. All three of our reporting units have goodwill balances. We conducted our goodwill and indefinite-lived intangible asset impairment testing in the fourth quarter of 2023 and did not identify any impairment. In addition, we had no impairments of goodwill and indefinite-lived intangible assets in 2022 and 2021. See Note 6 — Goodwill and intangible assets for further discussion of Goodwill and intangible assets. Income taxes Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. The Company establishes a valuation allowance if it is more likely than not that all or a portion of a deferred tax asset will not be realized. See Note 11 — Income taxes for further discussion. We also evaluate any uncertain tax positions and recognize a liability for the tax benefit associated with an uncertain tax position if it is more likely than not that the tax position will not be sustained on examination by the taxing authorities upon consideration of the technical merits of the position. The tax benefits recognized in the financial statements from such positions are measured based on the largest benefit that has a greater than 50% likelihood of being realized upon ultimate settlement. We record a liability for uncertain tax positions taken or expected to be taken in a tax return. Any change in judgment related to the expected ultimate resolution of uncertain tax positions is recognized in earnings in the period in which such change occurs. Fair value of financial instruments The carrying value of the Company's cash equivalents, accounts receivable, accounts payable, and accrued liabilities approximate fair value due to the short maturity of these instruments. A discussion of the fair value level of the Company's debt and embedded conversion option is disclosed in Note 8 — Debt. For further details surrounding our policies on fair value measurement, including the fair values of our pension plan assets, refer to Note 10 — Fair value measurement. Deferred financing costs Deferred financing costs consist of costs incurred in connection with debt financings and are recorded as a contra-liability in Long-term debt on the Consolidated balance sheets. Such costs are amortized using the effective interest method over the estimated remaining term of the debt. This amortization represents a component of Interest expense. Revenue recognition Revenues are recognized when control of the promised goods or services is transferred to customers, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services. Our contracts with customers sometimes include promises to transfer multiple products and services to a customer. Revenue from sales agreements that contain multiple performance obligations are allocated to each obligation based on the relative standalone selling price. We determine standalone selling prices based on observable prices charged to customers. Advertising and marketing services revenues The Company generates Print advertising revenues primarily by delivering advertising in its national publication, USA TODAY, and in its local publications including newspapers. Advertising revenues are categorized as local retail, local classified, online, and national. Print advertising revenue is recognized upon publication of the advertisement. Digital advertising and marketing revenues are generated primarily by online marketing products provided by our DMS segment. The Company enters into agreements for products in which our clients typically pay in advance and on a monthly basis. These prepayments include all charges for the included technology and any media services, management, third-party content, and other costs and fees, all of which are accounted for as a single performance obligation. Revenue is then recognized as we purchase and deliver media on behalf of the customer and perform other marketing-related services. For our Advertising and marketing services revenues, we evaluate whether we are the principal (i.e., report revenues on a gross basis) or agent (i.e., report revenues on a net basis) by performing analyses regarding whether we control the provision of specified goods or services before they are transferred to our customers. We report Advertising and marketing services revenues gross when we control advertising inventory before it is transferred to the customer. Our control is evidenced by us being primarily responsible or sharing responsibility for the fulfillment of services and maintaining control over transaction pricing. We recognize revenue when the performance obligation is satisfied. Circulation revenues Circulation revenues are derived from print and digital subscriptions as well as single copy sales at retail stores, vending racks and boxes. Circulation revenues from subscribers are generally billed to customers at the beginning of the subscription period and are typically recognized over the subscription period as the performance obligations are delivered. The term of customer subscriptions normally ranges from one Other revenues The Company provides commercial printing services to third parties as a means to generate incremental revenue and utilize excess printing capacity. Customers consist primarily of other publishers that do not have their own printing presses and do not compete with other Gannett publications. The Company also prints other commercial materials, including flyers, business cards and invitations. Revenue is generally recognized upon delivery. In addition, the Company generates revenues from its events and promotions business. Revenues are generated primarily through ticket sales, endurance events and race management services. Revenue is generally recognized when the event occurs. Practical expedients and exemptions The Company generally expenses sales commissions or other costs to obtain contracts when incurred because the amortization period is generally one year or less. These costs are recorded within Selling, general and administrative expenses. The Company does not disclose unsatisfied performance obligations for (i) contracts with an original expected length of one year or less and (ii) contracts for which the Company recognizes revenue at the amount to which the Company has the right to invoice for services performed. Deferred revenues The Company records deferred revenues when cash payments are received in advance of the Company's performance obligation. The Company's primary source of deferred revenues is from circulation subscriptions paid in advance of the service provided, which represents future delivery of publications (the performance obligation) to subscription customers. The Company expects to recognize the revenue related to unsatisfied performance obligations over the next one The Company's payment terms vary by the type and location of the customer and the products or services offered. The period between invoicing and when payment is due is not significant. For certain products or services and customer types, the Company requires payment before the products or services are delivered to the customer. The majority of our subscription customers are billed and required to pay on monthly terms. Advertising costs Advertising costs are expensed in the period incurred. The Company incurred total advertising expenses for the years ended December 31, 2023, 2022, and 2021 of $41.9 million, $56.8 million, and $45.3 million, respectively. Pension and postretirement liabilities Pension and other postretirement benefit costs under our defined benefit retirement plans are actuarially determined. For plans with frozen benefits, we recognize the cost of postretirement benefits such as pension, medical, and life insurance benefits on an accrual basis over the average life expectancy of employees expected to receive such benefits. For active plans, costs are recognized over the estimated average future service period. We also recognize liabilities associated with the withdrawal from multiemployer pension plans. See Note 9 — Pensions and other postretirement benefit plans for further details. Share-based compensation Share-based payments to employees and members of the Board of Directors, including grants of stock options and restricted stock, are recognized in the Consolidated financial statements over the service period (generally the vesting period) based on fair values measured on grant dates, less forfeitures. The Company accounts for forfeitures as they occur. Self-insurance liability accruals The Company maintains self-insured medical and workers' compensation programs. The Company purchases stop loss coverage from third parties, which limits our exposure to large claims. The Company records a liability for healthcare and workers' compensation costs during the period in which they occur, including an estimate of incurred but not reported claims. Concentration of risk Due to the distributed nature of our operations, we are not subject to significant concentrations of risk relating to customers, products, or geographic locations. Our foreign revenues, principally from businesses in the U.K. at our Newsquest segment and international operations at our DMS segment, were $234.0 million and $39.5 million, respectively, for the year ended December 31, 2023. Our long-lived assets in foreign countries, at our Newsquest segment and international operations at our DMS segment were $130.8 million and $7.5 million, respectively, as of December 31, 2023. Leases We determine if an arrangement is a lease at inception. Operating leases are included in Operating lease assets, Other current liabilities, and Long-term operating lease liabilities on our Consolidated balance sheets. Operating lease right-of-use ("ROU") assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. The rates implicit within the Company's leases are generally not determinable; therefore, the Company uses judgment to determine the incremental borrowing rate used to calculate the present value of lease payments. The incremental borrowing rate is determined using our credit rating and information available related to similar terms and payments as of the commencement date. ROU assets are assessed for impairment in accordance with the Company's accounting policy for long-lived assets. Our lease terms include options to extend or terminate. The period which is subject to an option to extend the lease is included in the lease term if it is reasonably certain that the option will be exercised. The period which is subject to an option to terminate the lease is included if it is reasonably certain that the option will not be exercised. Lease expense for minimum lease payments is recognized on a straight-line basis over the lease term. For all material classes of leased assets, we do not separate lease components from non-lease components, and account for both components as a single lease component. For certain equipment leases, we apply a portfolio approach to account for the operating lease ROU assets and liabilities. Accounts payable and accrued liabilities A breakout of Accounts payable and accrued liabilities is presented below: December 31, In thousands 2023 2022 Accounts payable $ 142,215 $ 189,094 Compensation 82,160 87,937 Taxes (primarily property, sales, and payroll taxes) 9,990 11,940 Benefits 19,422 21,942 Interest 5,617 6,162 Other 34,040 34,773 Accounts payable and accrued liabilities $ 293,444 $ 351,848 Loss contingencies We are subject to various legal proceedings, claims, and regulatory matters, the outcomes of which are subject to significant uncertainty. We determine whether to disclose or accrue for loss contingencies based on an assessment of whether the risk of loss is remote, reasonably possible, or probable and whether it can be reasonably estimated. We accrue for loss contingencies when such amounts are probable and reasonably estimable. If a contingent liability is only reasonably possible, we will disclose the potential range of the loss if material and estimable. Legal costs expected to be incurred in connection with loss contingencies are expensed as incurred. Foreign currency translation The statements of income of foreign operations have been translated to U.S. dollars using the average currency exchange rates in effect during the relevant period. The balance sheets have been translated using the currency exchange rates as of the end of the accounting period. The impact of currency exchange rate changes on the translation of the balance sheets are included in Comprehensive income (loss) in the Consolidated statements of operations and comprehensive income (loss) and are classified as Accumulated other comprehensive loss in the Consolidated balance sheets and Consolidated statements of equity. Recent accounting pronouncements adopted Reference rate reform In March 2020, the Financial Accounting Standards Board (the "FASB") issued guidance, ASU 2020-04, that provides optional expedients and exceptions for contracts, hedging relationships, and other transactions that reference the London Inter-bank Offered Rate ("LIBOR"). The guidance in ASU 2020-04 (as amended by ASU 2022-06 in December 2022) is optional and may be elected over time as reference rate reform activities occur through December 31, 2024. During the quarter ended March 31, 2022, the Company applied the optional expedient for contract modifications to the amendment of its five-year senior secured term loan facility in an original aggregate principal amount of $516.0 million (the "Senior Secured Term Loan") with Citibank N.A., as collateral agent and administrative agent for the lenders. The adoption of this guidance did not have a material impact on the Consolidated financial statements. Accounting for convertible instruments and contracts in an entity's own equity In August 2020, the FASB issued guidance, ASU 2020-06, that simplifies the accounting for convertible instruments by reducing the number of accounting models for convertible debt instruments and convertible preferred stock. In addition to eliminating certain accounting models, the guidance amends the disclosures for convertible instruments and earnings-per-share guidance. It also amends the guidance for the derivatives scope exception for contracts in an entity's own equity to reduce form-over-substance-based accounting conclusions. The adoption of this guidance, effective January 1, 2022, did not have a material impact on the accounting for the Company's $497.1 million in aggregate principal amount of 6.0% Senior Secured Convertible Notes due 2027 issued by the Company on November 17, 2020 (the "2027 Notes"), or on the Consolidated financial statements. Accounting for contract assets and contract liabilities from contracts with customers in a business combination In October 2021, the FASB issued guidance, ASU 2021-08, that requires an acquirer to recognize and measure certain contract assets and contract liabilities in a business combination in accordance with ASC 606, "Revenue from Contracts with Customers," rather than at fair value on the acquisition date as required under current U.S. GAAP. This guidance is effective for fiscal years beginning after December 15, 2022, with early adoption permitted, including interim periods within those fiscal years. The early adoption of this guidance effective January 1, 2022 did not have a material impact on the Consolidated financial statements. Disclosures by business entities about government assistance In November 2021, the FASB issued guidance, ASU 2021-10, that requires annual disclosures for transactions with a government that are accounted for by applying a grant or contribution accounting model by analogy, including: (i) information about the nature of the transactions and related accounting policy used to account for the transactions; (ii) the line items on the Consolidated balance sheets and Consolidated statements of operations and comprehensive income (loss) affected by these transactions, including amounts applicable to each line; and (iii) significant terms and conditions of the transactions, including commitments and contingencies. The early adoption of this guidance effective January 1, 2022, did not have a material impact on the Consolidated financial statements. Recent accounting pronouncements not yet adopted Disclosure improvements In October 2023, the FASB issued guidance, ASU 2023-06, that incorporates several disclosure and presentation requirements into the FASB’s Accounting Standards Codification (the "Codification") currently residing in Securities and Exchange Commission ("SEC") Regulation S-X and Regulation S-K. As the Company is currently subject to these SEC requirements, ASU 2023-06 is not expected to have a material impact on the Consolidated financial statements. The effective date for each amendment in the Codification will be the date on which the SEC's removal of the related disclosure from Regulation S-X or Regulation S-K becomes effective. If, by June 30, 2027, the SEC has not removed the existing disclosure requirements from Regulation S-X or Regulation S-K, the pending disclosure requirements will be removed from the Codification and will not become effective for any entity. ASU 2023-06 will be applied prospectively. In November 2023, the FASB issued guidance, ASU 2023-07, which will improve reportable segment disclosure requirements primarily through enhanced disclosures about significant segment expenses. ASU 2023-07 applies to all public entities that are required to report segment information in accordance with ASC 280, "Segment Reporting." The Company will be required to report these enhanced segment disclosures starting in annual periods beginning after December 15, 2023 and requires retrospective application to all prior periods presented in the financial statements. The Company does not expect the adoption of this guidance will have a material impact on the Consolidated financial statements. In November 2023, the FASB issued guidance, ASU 2023-09, which enhances annual income tax disclosures. ASU 2023-09 requires disaggregated information about a reporting entity's effective tax rate reconciliation as well as information on income taxes paid. ASU 2023-09 will be effective for annual periods beginning after December 15, 2024. The Company is currently evaluating the provisions of the updated guidance and assessing the impact on the Consolidated financial statements. |
Revenues
Revenues | 12 Months Ended |
Dec. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Revenues | NOTE 3 — Revenues Revenues are recognized when control of the promised goods or services is transferred to customers, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services. The Company's Consolidated statements of operations and comprehensive income (loss) present revenues disaggregated by revenue type. Sales taxes and other usage-based taxes are excluded from revenues. The following tables present our revenues disaggregated by segment and revenue type: Year ended December 31, 2023 In thousands Domestic Gannett Media Newsquest Digital Marketing Solutions Corporate and other Intersegment Eliminations Consolidated Local and national print $ 292,211 $ 37,745 $ — $ — $ — $ 329,956 Classified print 209,490 37,099 — — — 246,589 Print advertising 501,701 74,844 — — — 576,545 Digital media 238,706 41,890 — — — 280,596 Digital marketing services 140,589 8,920 477,909 — (150,460) 476,958 Digital classified 44,543 8,472 — — — 53,015 Digital advertising and marketing services 423,838 59,282 477,909 — (150,460) 810,569 Advertising and marketing services 925,539 134,126 477,909 — (150,460) 1,387,114 Print circulation 704,158 68,042 — — — 772,200 Digital-only subscription 150,384 5,237 — — — 155,621 Circulation 854,542 73,279 — — — 927,821 Other (a)(b) 315,772 26,575 — 6,268 — 348,615 Total revenues $ 2,095,853 $ 233,980 $ 477,909 $ 6,268 $ (150,460) $ 2,663,550 (a) For the year ended December 31, 2023, included Other Digital revenues of $67.5 million, $10.4 million, and $6.3 million at the Domestic Gannett Media and Newsquest segments and the Corporate and other category, respectively. (b) At the Domestic Gannett Media segment, Other Digital revenues include digital content syndication and affiliate revenues, at the Newsquest segment, Other Digital revenues include digital production revenues, and at the Corporate and other category, Other Digital revenues include licensing revenues. Year ended December 31, 2022 In thousands Domestic Gannett Media Newsquest Digital Marketing Solutions Corporate and other Intersegment Eliminations Consolidated Local and national print $ 363,772 $ 40,526 $ — $ — $ — $ 404,298 Classified print 230,969 35,615 — — — 266,584 Print advertising 594,741 76,141 — — — 670,882 Digital media 260,417 39,358 — — — 299,775 Digital marketing services 133,219 9,263 468,883 — (143,456) 467,909 Digital classified 46,039 11,532 — — — 57,571 Digital advertising and marketing services 439,675 60,153 468,883 — (143,456) 825,255 Advertising and marketing services 1,034,416 136,294 468,883 — (143,456) 1,496,137 Print circulation 884,854 67,165 — — — 952,019 Digital-only subscription 127,671 4,947 — — — 132,618 Circulation 1,012,525 72,112 — — — 1,084,637 Other (a)(b) 332,865 26,224 — 5,440 — 364,529 Total revenues $ 2,379,806 $ 234,630 $ 468,883 $ 5,440 $ (143,456) $ 2,945,303 (a) For the year ended December 31, 2022, included Other Digital revenues of $65.8 million, $9.5 million, and $5.4 million at the Domestic Gannett Media and Newsquest segments and the Corporate and other category, respectively. (b) At the Domestic Gannett Media segment, Other Digital revenues include digital content syndication and affiliate revenues, at the Newsquest segment, Other Digital revenues include digital production revenues, and at the Corporate and other category, Other Digital revenues include licensing revenues. Year ended December 31, 2021 In thousands Domestic Gannett Media Newsquest Digital Marketing Solutions Corporate and other Intersegment Eliminations Consolidated Local and national print $ 469,211 $ 32,803 $ — $ — $ — $ 502,014 Classified print 259,081 31,191 — — — 290,272 Print advertising 728,292 63,994 — — — 792,286 Digital media 324,843 36,445 409 1,452 — 363,149 Digital marketing services 125,861 5,872 440,985 379 (129,322) 443,775 Digital classified 40,245 11,651 — 55 — 51,951 Digital advertising and marketing services 490,949 53,968 441,394 1,886 (129,322) 858,875 Advertising and marketing services 1,219,241 117,962 441,394 1,886 (129,322) 1,651,161 Print circulation 1,083,760 65,421 — 5 — 1,149,186 Digital-only subscription 95,340 5,148 — — — 100,488 Circulation 1,179,100 70,569 — 5 — 1,249,674 Other (a)(b) 279,776 20,087 905 6,480 — 307,248 Total revenues $ 2,678,117 $ 208,618 $ 442,299 $ 8,371 $ (129,322) $ 3,208,083 (a) For the year ended December 31, 2021, included Other Digital revenues of $57.4 million, $7.0 million, $0.9 million, and $3.3 million at the Domestic Gannett Media, Newsquest and DMS segments and the Corporate and other category, respectively. (b) At the Domestic Gannett Media segment, Other Digital revenues include digital content syndication and affiliate revenues, at the Newsquest segment, Other Digital revenues include digital production revenues, and at DMS segment and the Corporate and other category, Other Digital revenues include licensing revenues. Revenues generated from international operations comprised 10.3%, 9.3%, and 7.7% of total revenues for the years ended December 31, 2023, 2022, and 2021, respectively. The following table presents the change in the deferred revenues balance by type of revenue: Year ended December 31, 2023 Year ended December 31, 2022 In thousands Advertising, marketing services and other Circulation Total Advertising, marketing services and other Circulation Total Beginning balance $ 46,327 $ 107,321 $ 153,648 $ 60,665 $ 124,173 $ 184,838 Acquisition — — — — 2,388 2,388 Cash receipts, net of refunds 293,079 804,620 1,097,699 273,308 939,473 1,212,781 Revenue recognized (305,443) (825,402) (1,130,845) (287,646) (958,713) (1,246,359) Ending balance $ 33,963 $ 86,539 $ 120,502 $ 46,327 $ 107,321 $ 153,648 |
Leases
Leases | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
Leases | NOTE 4 — Leases We lease certain real estate, vehicles, and equipment. Our leases have remaining lease terms of one The components of lease expense are as follows: Year ended December 31, In thousands 2023 2022 2021 Operating lease cost (a) $ 64,845 $ 73,103 $ 80,213 Short-term lease cost (b) 900 929 886 Variable lease cost 13,200 13,002 11,464 Net lease cost $ 78,945 $ 87,034 $ 92,563 (a) Includes sublease income of $9.1 million, $7.7 million, and $6.5 million for the years ended December 31, 2023, 2022, and 2021, respectively. (b) Excludes expenses relating to leases with a lease term of one month or less. In 2023, the Company sold two properties in Michigan and Arizona for a total of $60.5 million, which resulted in a net gain of $39.3 million. Contemporaneously with the closing of the sales, the Company entered into leases pursuant to which we leased back the properties for cumulative annual rent of $39.9 million, subject to annual escalations. The leases are accounted for as operating leases. Supplemental information related to leases are as follows: Year ended December 31, In thousands, except lease term and discount rate 2023 2022 2021 Cash paid for amounts included in the measurement of operating lease liabilities $ 76,338 $ 79,659 $ 81,380 Right-of-use assets obtained in exchange for operating lease obligations 31,501 15,272 38,137 (Gain) loss on sale and leaseback transactions, net (40,221) (12,249) 1,938 Weighted-average remaining lease term (in years) 6.4 6.8 7.3 Weighted-average discount rate 13.0 % 12.6 % 12.8 % Future minimum lease payments under non-cancellable leases are as follows: In thousands Year ended December 31, 2024 $ 72,031 2025 61,421 2026 49,531 2027 42,269 2028 37,825 Thereafter 112,133 Total future minimum lease payments 375,210 Less: Imputed interest 125,576 Total $ 249,634 |
Accounts receivable, net
Accounts receivable, net | 12 Months Ended |
Dec. 31, 2023 | |
Receivables [Abstract] | |
Accounts receivable, net | NOTE 5 — Accounts receivable, net The Company performs its evaluation of the collectability of trade receivables based on customer category. For example, trade receivables from individual subscribers to our publications are evaluated separately from trade receivables related to advertising customers. For advertising trade receivables, the Company applies a "black motor formula" methodology as the baseline to calculate the allowance for doubtful accounts. The reserve percentage is calculated as a ratio of total net bad debts (less write-offs and recoveries) for the prior three-year period to total outstanding trade accounts receivable for the same three-year period. The calculated reserve percentage by customer category is applied to the consolidated gross advertising receivable balance, irrespective of aging. In addition, each category has specific reserves for at risk accounts that vary based on the nature of the underlying trade receivables. Due to the short-term nature of our circulation receivables, the Company reserves all receivables aged over 90 days. The following table presents changes in the allowance for doubtful accounts: Year ended December 31, In thousands 2023 2022 Beginning balance $ 16,697 $ 16,470 Current period provision 12,316 9,498 Write-offs charged against the allowance (17,143) (14,333) Recoveries of amounts previously written-off 4,325 4,567 Other 143 495 Ending balance $ 16,338 $ 16,697 The calculation of the allowance considers current economic, industry and customer-specific conditions relative to their respective operating environments in the incremental allowances recorded related to high-risk accounts, bankruptcies, receivables in repayment plan and other aging specific reserves. As a result of this analysis, the Company adjusts specific reserves and the amount of allowable credit as appropriate. The collectability of trade receivables related to advertising, marketing services and other customers depends on a variety of factors, including trends in local, regional, or national economic conditions that affect our customers' ability to pay. The advertisers in our newspapers and other publications and related websites are primarily retail businesses that can be significantly affected by regional or national economic downturns and other developments that may impact our ability to collect on the related receivables. Similarly, while circulation revenues related to individual subscribers are primarily prepaid, changes in economic conditions may also affect our ability to collect on amounts owed from single copy circulation customers. |
Goodwill and intangible assets
Goodwill and intangible assets | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and intangible assets | NOTE 6 — Goodwill and intangible assets Goodwill and intangible assets consisted of the following: December 31, 2023 December 31, 2022 In thousands Gross Accumulated Net Gross Accumulated Net Finite-lived intangible assets: Advertiser relationships $ 446,609 $ 236,168 $ 210,441 $ 445,775 $ 192,032 $ 253,743 Other customer relationships 101,819 56,601 45,218 102,224 45,811 56,413 Subscriber relationships 251,099 155,528 95,571 251,083 126,899 124,184 Other intangible assets 68,780 62,536 6,244 68,780 55,932 12,848 Sub-total $ 868,307 $ 510,833 $ 357,474 $ 867,862 $ 420,674 $ 447,188 Indefinite-lived intangible assets: Mastheads 166,876 166,170 Total intangible assets $ 524,350 $ 613,358 Goodwill $ 533,876 $ 533,166 As of December 31, 2023, the weighted average amortization periods for amortizable intangible assets were 11.1 years for advertiser relationships, 9.7 years for other customer relationships, 10.3 years for subscriber relationships, and 3.9 years for other intangible assets. The weighted average amortization period in total for all amortizable intangible assets is 10.1 years. For the years ended December 31, 2023, 2022, and 2021, amortization expense was $90.0 million, $95.6 million, and $103.1 million, respectively. As of December 31, 2023, the estimated future amortization expense for each of the five fiscal years was as follows: 2024 - $89.2 million; 2025 - $82.0 million; 2026 - $63.9 million; 2027 - $62.3 million; and 2028 and thereafter - $60.1 million. Changes in the carrying amount of Goodwill by segment are as follows: In thousands Domestic Gannett Media Newsquest Digital Marketing Solutions Total Balance at December 31, 2021 $ 401,253 $ 14,985 $ 117,471 $ 533,709 Acquisitions 990 1,869 — 2,859 Divestitures (1,147) — — (1,147) Foreign exchange 10 (2,265) — (2,255) Balance at December 31, 2022 $ 401,106 $ 14,589 $ 117,471 $ 533,166 Acquisitions — 30 — 30 Divestitures (46) (82) — (128) Foreign exchange (3) 811 — 808 Balance at December 31, 2023 $ 401,057 $ 15,348 $ 117,471 $ 533,876 As of both December 31, 2023 and 2022, the carrying amount of goodwill reflected accumulated impairment losses of $340.8 million, $70.5 million and $44.1 million related to impairments at the Domestic Gannett Media, Newsquest and Digital Marketing Solutions segments, respectively. Annual impairment assessment The Company performed its goodwill and indefinite-lived intangible impairment assessment in the fourth quarter of 2023 with the assistance of third-party valuation specialists. Determining fair value requires the exercise of significant judgments, including judgments about appropriate discount rates, long-term growth rates, company earnings multiples and relevant comparable transactions, as applicable, and the amount and timing of expected future cash flows. The cash flows employed in the analysis are based on the Company's internal forecasts, which considered the current and expected future economic and market conditions for each reporting unit. The long-term growth rates are dependent on various factors and could be adversely impacted by a sustained decrease in overall market growth rates, the competitive environment, relative currency exchange rates and a sustained increase in inflation, all of which the Company considered in determining the long-term growth rates used in the 2023 analysis, which ranged from 0% to 3.0%. The discount rates for each reporting unit are determined based on the inherent risks of each reporting unit's underlying operations and may be impacted by adverse changes in the macroeconomic environment and volatility in the equity and debt markets. The Company considered these factors in determining the discount rates used in the 2023 analysis, which ranged from 17.0% to 22.5%. For goodwill, the Company determined the fair value of each reporting unit using a combination of a discounted cash flow analysis and a market-based approach. During the fourth quarter of 2023, t he Company compared the fair value of each reporting unit to its carrying amount, which resulted in the fair value of all the reporting units being in excess of their carrying values. For mastheads, the Company applied a "relief from royalty" approach, a discounted cash flow model, reflecting current assumptions, to determine the fair value of indefinite-lived intangible assets. During the fourth quarter of 2023, the Company compared the fair value of each indefinite-lived intangible asset to its carrying amount, which resulted in the fair value of each indefinite-lived intangible asset being in excess of its carrying value. In addition to the annual impairment test, the Company is required to regularly assess whether a triggering event has occurred under ASC 360, "Property, Plant and Equipment ("ASC 360"), which would require interim impairment testing. As of December 31, 2023, the Company performed a review of potential indicators for its long-lived asset groups under ASC 360 and it was determined that no indicators of impairment were present. During 2022 and 2021, there were no impairments of goodwill and indefinite-lived intangible assets. While the Company believes its judgments represent reasonably possible outcomes based on available facts and circumstances, adverse changes to the assumptions, including those related to macroeconomic factors, comparable public company trading values and prevailing conditions in the capital markets, could lead to future declines in the fair value of a reporting unit. The Company continually evaluates whether current factors or indicators, such as prevailing conditions in the business environment, capital markets or the economy generally, and actual or projected operating results, require the performance of an interim impairment assessment of goodwill, as well as other long-lived assets. For example, any significant shortfall, now or in the future, in advertising revenues or subscribers and/or consumer acceptance of our products could lead to a downward revision in the fair value of certain reporting units. |
Integration and reorganization
Integration and reorganization costs and asset impairments | 12 Months Ended |
Dec. 31, 2023 | |
Restructuring and Related Activities [Abstract] | |
Integration and reorganization costs and asset impairments | NOTE 7 — Integration and reorganization costs and asset impairments Over the past several years, the Company has engaged in a series of individual restructuring programs, designed primarily to right-size the Company's employee base, consolidate facilities and improve operations, including those of recently acquired entities. These initiatives impact all the Company's operations and can be influenced by the terms of union contracts. Costs related to these programs, which primarily include severance, facility consolidation and other restructuring-related expenses, are accrued when probable and reasonably estimable or at the time of program announcement. Severance-related expenses The Company recorded severance-related expenses by segment as follows: Year ended December 31, In thousands 2023 2022 2021 Domestic Gannett Media 9,935 40,654 13,576 Newsquest 1,762 4,216 953 Digital Marketing Solutions 756 434 321 Corporate and other 6,064 12,310 1,621 Total $ 18,517 $ 57,614 $ 16,471 A roll-forward of the accrued severance and related expenses included in Accounts payable and accrued liabilities on the Consolidated balance sheets for the years ended December 31, 2023 and 2022 is as follows: In thousands Severance and related expenses Balance at December 31, 2021 $ 12,558 Restructuring provision included in integration and reorganization costs 57,614 Cash payments (40,399) Balance at December 31, 2022 29,773 Restructuring provision included in integration and reorganization costs 18,517 Cash payments (41,362) Balance at December 31, 2023 $ 6,928 Other restructuring-related expenses Other restructuring-related expenses represent costs for consolidating operations, systems implementation, outsourcing of corporate functions and facility consolidations. The Company recorded Other restructuring-related costs by segment as follows: Year ended December 31, In thousands 2023 2022 2021 Domestic Gannett Media (a) (4,353) 14,921 1,145 Newsquest 1 209 286 Digital Marketing Solutions 28 674 1,389 Corporate and other 10,275 14,556 29,993 Total $ 5,951 $ 30,360 $ 32,813 (a) For the year ended December 31, 2023, Other restructuring-related costs at the Domestic Gannett Media segment reflected the reversal of withdrawal liabilities related to multiemployer pension plans based on settlement of the withdrawal liability. For the year ended December 31, 2022 , Other restructuring-related costs at the Domestic Gannett Media segment reflected a withdrawal liability which was expensed as a result of ceasing contributions to a multiemployer pension plan, as well as facilities consolidation expenses associated with exiting a lease. Accelerated depreciation The Company incurred accelerated depreciation, a component of Depreciation and amortization expense in the Consolidated statements of operations and comprehensive income (loss) of $6.7 million , $12.5 million, and $15.3 million for the years ended December 31, 2023 , |
Debt
Debt | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
Debt | NOTE 8 — Debt The Company's debt consisted of the following: December 31, 2023 December 31, 2022 In millions Principal balance Unamortized original issue discount Unamortized deferred financing costs Carrying value Principal balance Unamortized original issue discount Unamortized deferred financing costs Carrying value Senior Secured Term Loan $ 350.4 $ (5.2) $ (1.1) $ 344.1 $ 438.4 $ (8.9) $ (1.9) $ 427.6 2026 Senior Notes 291.6 (5.8) (4.6) 281.2 345.2 (9.4) (7.3) 328.5 2027 Notes 485.3 (67.8) (1.5) 416.0 485.3 (81.2) (1.7) 402.4 2024 Notes 3.3 — — 3.3 3.3 — — 3.3 Total debt $ 1,130.6 $ (78.8) $ (7.2) $ 1,044.6 $ 1,272.2 $ (99.5) $ (10.9) $ 1,161.8 Less: Current portion of long-term debt $ (63.8) $ — $ — $ (63.8) $ (60.5) $ — $ — $ (60.5) Non-current portion of long-term debt $ 1,066.8 $ (78.8) $ (7.2) $ 980.8 $ 1,211.7 $ (99.5) $ (10.9) $ 1,101.3 Senior Secured Term Loan On October 15, 2021, Gannett Holdings LLC ("Gannett Holdings"), a wholly-owned subsidiary of the Company, entered into the Senior Secured Term Loan in an original aggregate principal amount of $516.0 million with Citibank N.A., as collateral agent and administrative agent for the lenders. On January 31, 2022, Gannett Holdings entered into an amendment (the "Term Loan Amendment") to the Senior Secured Term Loan to provide for new incremental senior secured term loans (the "Incremental Term Loans") in an aggregate principal amount of $50 million. The Incremental Term Loans have substantially identical terms as the Senior Secured Term Loan and are treated as a single tranche with the Senior Secured Term Loan. The Term Loan Amendment also amended the Senior Secured Term Loan to transition the interest rate base from the London Inter-bank Offered Rate ("LIBOR") to the Adjusted Term Secured Overnight Financing Rate ("Adjusted Term SOFR"). Effective as of March 21, 2022 and April 8, 2022, Gannett Holdings entered into two separate amendments to the Senior Secured Term Loan to provide for incremental senior secured term loans totaling an aggregate principal amount of $30.0 million (collectively, the "Exchanged Term Loans"). The Exchanged Term Loans have substantially identical terms as the Senior Secured Term Loan and Incremental Term Loans and are treated as a single tranche with the Senior Secured Term Loan and the Incremental Term Loans. The Senior Secured Term Loan bears interest at a per annum rate equal to the Adjusted Term SOFR (which shall not be less than 0.50% per annum) plus a margin equal to 5.00% or an alternate base rate (which shall not be less than 1.50% per annum) plus a margin equal to 4.00%. Loans under the Senior Secured Term Loan may be prepaid, at the option of Gannett Holdings, at any time without premium. In addition, we are required to repay the Senior Secured Term Loan from time to time with (i) the proceeds of non-ordinary course asset sales and casualty and condemnation events, (ii) the proceeds of indebtedness not permitted under the Senior Secured Term Loan , and (iii) the aggregate amount of cash and cash equivalents on hand at the Company and its restricted subsidiaries in excess of $100 million at the end of each fiscal year of the Company. Subsequent to the amendment effective as of April 8, 2022, the Senior Secured Term Loan is amortized at $15.1 million per quarter (or, if the ratio of debt secured on an equal basis with the Senior Secured Term Loan less unrestricted cash of the Company and its restricted subsidiaries to Consolidated EBITDA (as such terms are defined in the Senior Secured Term Loan) (such ratio, the "First Lien Net Leverage Ratio"), for the most recently ended period of four consecutive fiscal quarters is equal to or less than 1.20 to 1.00, $7.6 million per quarter). All obligations under the Senior Secured Term Loan are secured by all or substantially all of the assets of the Company and the wholly-owned domestic subsidiaries of the Company (the "Senior Secured Term Loan Guarantors"). The obligations of Gannett Holdings under the Senior Secured Term Loan are guaranteed on a senior secured basis by the Company and the Senior Secured Term Loan Guarantors. The Senior Secured Term Loan contains usual and customary covenants for credit facilities of this type, including a requirement to have minimum unrestricted cash of $30 million as of the last day of each fiscal quarter, and restricts, among other things, our ability to incur debt, grant liens, sell assets, make investments and pay dividends, in each case with customary exceptions, including an exception that permits dividends and repurchases of outstanding junior debt or equity in (i) an amount of up to $25 million per fiscal quarter if the First Lien Net Leverage Ratio for such fiscal quarter is equal to or less than 2.00 to 1.00, (ii) an amount of up to $50 million per fiscal quarter if the First Lien Net Leverage Ratio for such fiscal quarter is equal to or less than 1.50 to 1.00, and (iii) an unlimited amount if First Lien Net Leverage Ratio for such fiscal quarter is equal to or less than 1.00 to 1.00. As of December 31, 2023, the Company was in compliance with all of the covenants and obligations under the Senior Secured Term Loan. As of December 31, 2023 and 2022, the Senior Secured Term Loan was recorded at carrying value, which approximated fair value, in the Consolidated balance sheets and was classified as Level 2. For the years ended December 31, 2023 and 2022, the Company recognized interest expense of $40.0 million and $33.5 million, respectively, and paid cash interest of $40.0 million and $33.3 million, respectively. For the years ended December 31, 2023 and 2022, the Company recognized amortization of original issue discount of $2.8 million and $3.5 million, respectively, and amortization of deferred financing costs of $0.6 million and $0.7 million, respectively. Additionally, during the years ended December 31, 2023 and 2022, the Company recognized a loss on early extinguishment of debt of $1.1 million and $2.2 million, respectively, related to the write-off of original issue discount and deferred financing costs as a result of early prepayments on the Senior Secured Term Loan. For the year ended December 31, 2023, the Company made $88.0 million of prepayments, including quarterly amortization payments, on the Senior Secured Term Loan, which were classified as financing activities in the Consolidated statements of cash flows. During 2023, the Company received waivers from certain lenders of the Senior Secured Term Loan that reduced the scheduled quarterly amortization payments payable to those lenders by $25.1 million for the year ended December 31, 2023, and which was the amount used by the Company to repurchase a portion of its 2026 Senior Notes (defined below). As of December 31, 2023, the effective interest rate for the Senior Secured Term Loan was 11.3%. Senior Secured Notes due 2026 On October 15, 2021, Gannett Holdings completed a private offering of $400 million aggregate principal amount of 6.00% first lien notes due November 1, 2026 (the "2026 Senior Notes"). The 2026 Senior Notes were issued pursuant to an indenture, dated October 15, 2021 (the "2026 Senior Notes Indenture") among Gannett Holdings, the Company, the guarantors from time to time party thereto (the "2026 Senior Notes Guarantors"), U.S. Bank National Association, as trustee, and U.S. Bank National Association, as collateral agent, registrar, paying agent and authenticating agent. During 2023, the Company entered into privately negotiated agreements with certain holders of our 2026 Senior Notes, and for the year ended December 31, 2023, repurchased $53.6 million of principal of our outstanding 2026 Senior Notes at a discount to par value. In connection with the repurchase of our 2026 Senior Notes during 2023, the Company received waivers from certain lenders of the Senior Secured Term Loan which reduced the scheduled quarterly amortization payments payable to those lenders by $25.1 million for the year ended December 31, 2023. As a result of these transactions, for the year ended December 31, 2023, the Company recognized a gain on the early extinguishment of debt of approximately $5.6 million, which included the write-off of unamortized original issue discount and deferred financing costs. During 2022, the Company entered into privately negotiated agreements with certain holders of our 2026 Senior Notes, and for the year ended December 31, 2022, repurchased $54.8 million of principal of our outstanding 2026 Senior Notes at a discount to par value. In connection with the repurchases of our 2026 Senior Notes during 2022, the Company exchanged an aggregate principal amount equal to $30.0 million of the 2026 Senior Notes for $30.0 million of the Exchanged Term Loans. As a result of these transactions, for the year ended December 31, 2022, the Company recognized a gain on the early extinguishment of debt of approximately $2.6 million, which included the write-off of unamortized original issue discount and deferred financing costs. Interest on the 2026 Senior Notes is payable semi-annually in arrears, beginning on May 1, 2022. The 2026 Senior Notes mature on November 1, 2026, unless redeemed or repurchased earlier pursuant to the 2026 Senior Notes Indenture. The 2026 Senior Notes may be redeemed at the option of Gannett Holdings, in whole or in part, at any time and from time to time after November 1, 2023, at the redemption prices set forth in the 2026 Senior Notes Indenture. If certain changes of control with respect to Gannett Holdings or the Company occur, Gannett Holdings must offer to purchase the 2026 Senior Notes at a purchase price in cash equal to 101% of the principal amount thereof on the date of purchase, plus accrued and unpaid interest to, but excluding, the date of purchase. The 2026 Senior Notes are unconditionally guaranteed, jointly and severally, on a senior secured basis by the 2026 Senior Notes Guarantors. The 2026 Senior Notes and such guarantees are secured on a first-priority basis by the collateral, consisting of substantially all of the assets of Gannett Holdings and the 2026 Senior Notes Guarantors, subject to certain intercreditor arrangements. The 2026 Senior Notes Indenture limits the Company and its restricted subsidiaries' ability to, among other things, make investments, loans, advances, guarantees and acquisitions; incur or guarantee additional debt and issue certain disqualified equity interests and preferred stock; make certain restricted payments, including a limit on dividends on equity securities or payments to redeem, repurchase or retire equity securities or other indebtedness; dispose of assets; create liens on assets to secure debt; engage in transactions with affiliates; enter into certain restrictive agreements; and consolidate, merge, sell or otherwise dispose of all or substantially all of their or the 2026 Senior Notes Guarantor's assets. These covenants are subject to a number of limitations and exceptions. The 2026 Senior Notes Indenture also contains customary events of default. As of December 31, 2023 and 2022, the 2026 Senior Notes were recorded at carrying value in the Consolidated balance sheets. As of December 31, 2023, the carrying value of the 2026 Senior Notes did not approximate fair value. The 2026 Senior Notes were classified as Level 2, and based on unadjusted quoted prices in the active market obtained from third-party pricing services, the Company determined that the estimated fair value of the 2026 Senior Notes was $256.6 million as of December 31, 2023 and was primarily affected by fluctuations in market interest rates. The unamortized original issue discount and deferred financing costs will be amortized over the remaining contractual life of the 2026 Senior Notes using the effective interest method. For the years ended December 31, 2023 and 2022, the Company recognized interest expense of $19.5 million and $22.3 million, respectively, and paid cash interest of $20.1 million and $23.9 million, respectively. For the years ended December 31, 2023 and 2022, the Company recognized amortization of original issue discount of $2.3 million and $2.7 million, respectively, and amortization of deferred financing costs of $1.8 million and $2.1 million, respectively. The effective interest rate on the 2026 Senior Notes was 7.3% as of December 31, 2023. Senior Secured Convertible Notes due 2027 The 2027 Notes were issued pursuant to an Indenture dated as of November 17, 2020, as amended by the First Supplemental Indenture dated as of December 21, 2020 and the Second Supplemental Indenture dated as of February 9, 2021 (collectively, the "2027 Notes Indenture"), between the Company and U.S. Bank National Association, as trustee. In connection with the issuance of the 2027 Notes, the Company entered into an Investor Agreement (the "Investor Agreement") with the holders of the 2027 Notes (the "Holders") establishing certain terms and conditions concerning the rights and restrictions on the Holders with respect to the Holders' ownership of the 2027 Notes. The Company also entered into an amendment to the Registration Rights Agreement dated November 19, 2019, between the Company and FIG LLC. Interest on the 2027 Notes is payable semi-annually in arrears. The 2027 Notes mature on December 1, 2027, unless earlier repurchased or converted. The 2027 Notes may be converted at any time by the holders into cash, shares of the Company's common stock, par value $0.01 per share (the "Common Stock") or any combination of cash and Common Stock, at the Company's election. The initial conversion rate is 200 shares of Common Stock per $1,000 principal amount of the 2027 Notes, which is equal to a conversion price of $5.00 per share of Common Stock (the "Conversion Price"). In November 2021, the Company entered into separate, privately negotiated agreements with certain holders of our 2027 Notes and repurchased $11.8 million in aggregate principal amount of our outstanding 2027 Notes for $15.3 million in cash, including accrued interest. The repurchase was treated as an extinguishment of a portion of the 2027 Notes and as a result, for the year ended December 31, 2021, the Company recognized a loss on extinguishment of $0.8 million and a write-off of unamortized original issue discount of $2.3 million and an immaterial write-off of unamortized deferred financing costs. The repurchase of the 2027 Notes resulted in a $4.2 million reduction in Additional paid-in capital, net of tax, in the Consolidated balance sheets . The remaining 2027 Notes are convertible into 97.1 million shares of Common Stock, based on a conversion price of $5.00 per share. The conversion rate is subject to customary adjustment provisions as provided in the 2027 Notes Indenture. In addition, the conversion rate will be subject to adjustment in the event of any issuance or sale of Common Stock (or securities convertible into Common Stock) at a price equal to or less than the Conversion Price in order to ensure that following such issuance or sale, the 2027 Notes would be convertible into approximately 42% (adjusted for repurchases and certain other events that reduce the outstanding amount of the 2027 Notes) of the Common Stock after giving effect to such issuance or sale (assuming the initial principal amount of the 2027 Notes remains outstanding). After giving effect to the repurchase of $11.8 million in aggregate principal amount of outstanding 2027 Notes during the year ended December 31, 2021, such percentage was approximately 41%. Upon the occurrence of a "Make-Whole Fundamental Change" (as defined in the 2027 Notes Indenture), the Company will in certain circumstances increase the conversion rate for a specified period of time. If a "Fundamental Change" (as defined in the 2027 Notes Indenture) occurs, the Company will be required to offer to repurchase the 2027 Notes at a repurchase price of 110% of the principal amount thereof. Holders of the 2027 Notes will have the right to put up to approximately $100 million of the 2027 Notes at par on or after the date that is 91 days after the maturity date of the Senior Secured Term Loan. Under the 2027 Notes Indenture, the Company can only pay cash dividends up to an agreed-upon amount, provided the ratio of consolidated debt to EBITDA (as such terms are defined in the 2027 Notes Indenture) does not exceed a specified ratio. In addition, the 2027 Notes Indenture provides that, at any time that the Company's Total Gross Leverage Ratio (as defined in the 2027 Notes Indenture) exceeds 1.5 and the Company approves the declaration of a dividend, the Company must offer to purchase a principal amount of 2027 Notes equal to the proposed amount of the dividend. Until the four-year anniversary of the issuance date, the Company will have the right to redeem for cash up to approximately $99.4 million of the 2027 Notes at a redemption price of 130% of the principal amount thereof, with such amount reduced ratably by any principal amount of 2027 Notes that has been converted by the holders or redeemed or purchased by the Company. The 2027 Notes are guaranteed by Gannett Holdings and any subsidiaries of the Company that guarantee the Senior Secured Term Loan. The 2027 Notes are secured by the same collateral that secures the Senior Secured Term Loan. The 2027 Notes rank as senior secured debt of the Company and are secured by a second priority lien on the same collateral package that secured the indebtedness incurred in connection with the Senior Secured Term Loan. The 2027 Notes Indenture includes affirmative and negative covenants, including limitations on liens, indebtedness, dispositions, loans, advances and investors, sale and leaseback transactions, restricted payments, transactions with affiliates, restrictions on dividends and other payment restrictions affecting restricted subsidiaries, negative pledges, and modifications to certain agreements. The 2027 Notes Indenture also requires that the Company maintain, as of the last day of each fiscal quarter, at least $30.0 million of Qualified Cash (as defined in the 2027 Notes Indenture). The 2027 Notes Indenture includes customary events of default. The 2027 Notes have two components: (i) a debt component, and (ii) an equity component. As of December 31, 2023, the debt component of the 2027 Notes was recorded at carrying value in the Consolidated balance sheets. The carrying value of the 2027 Notes reflected the balance of the unamortized discount related to the value of the conversion feature assessed at inception and did not approximate fair value as of December 31, 2023. The 2027 Notes were classified as Level 2, and based on unadjusted quoted prices in the active market obtained from third-party pricing services, the Company determined that the estimated fair value of the 2027 Notes was $395.6 million as of December 31, 2023, and was primarily affected by fluctuations in market interest rates and the price of the Company's Common Stock. At the Special Meeting of stockholders of the Company, held on February 26, 2021, our stockholders approved the issuance of the maximum number of shares of Common Stock issuable upon conversion of the 2027 Notes. As a result, the conversion option can be share-settled in full. The Company concluded that as of February 26, 2021, the conversion option qualified for equity classification and the bifurcated derivative liability no longer needed to be accounted for as a separate derivative on a prospective basis from the date of reassessment. As of February 26, 2021, the fair value of the conversion option of $316.2 million was reclassified to Equity as Additional paid-in capital. Any remaining debt discount that arose at the date of debt issuance from the original bifurcation will continue to be amortized through interest expense. As of February 26, 2021, the date of reassessment, the estimated fair value of the derivative liability for the embedded conversion feature was $316.2 million which was reported within Convertible debt in the Consolidated balance sheets. The increase in the fair value of the derivative liability of $126.6 million at the date of reassessment and reclassification to Equity was due to the increase in our stock price, partially offset by the increase in the discount rate, and was recorded in earnings for the year ended December 31, 2021. The loss due to the revaluation of the derivative is not deductible for tax purposes. The assumptions used to determine the fair value as of February 26, 2021 were: February 26, 2021 Annual volatility 70.0 % Discount rate 12.2 % Stock price $ 4.95 The fair value of the equity component was classified as Level 3 because it was measured at fair value using a binomial lattice model using assumptions based on market information and historical data, and significant unobservable inputs. As of each of December 31, 2023 and December 31, 2022, the amount of the conversion feature recorded in Additional paid-in capital was $279.6 million. The unamortized original issue discount and deferred financing costs will be amortized over the remaining contractual life of the 2027 Notes. For the years ended December 31, 2023 and 2022, the Company recognized interest expense of $29.1 million and $29.1 million, respectively, and paid cash interest of $29.1 million and $29.1 million, respectively. For the years ended December 31, 2023 and 2022, the Company recognized amortization of original issue discount of $13.4 million and $12.1 million, respectively, and amortization of deferred financing costs of $0.3 million and $0.3 million, respectively. The effective interest rate on the liability component of the 2027 Notes was 10.5% as of both December 31, 2023 and December 31, 2022. For the year ended December 31, 2023, no shares were issued upon conversion, exercise, or satisfaction of the required conditions. Refer to Note 12 — Supplemental equity and other information for details on the convertible debt's impact to diluted earnings per share under the if-converted method. Senior Convertible Notes due 2024 The $3.3 million principal value of the remaining 4.75% convertible senior notes due April 15, 2024 (the "2024 Notes") outstanding is reported within the Current portion of long-term debt in the December 31, 2023 Consolidated balance sheet. As of December 31, 2023, the effective interest rate on the 2024 Notes was 6.05%. As of December 31, 2023 and 2022, the 2024 Notes were recorded at carrying value, which approximated fair value, in the Consolidated balance sheets and were classified as Level 2. Future debt obligation payments Future debt obligation payments for the year ended December 31, are as follows: In millions Principal payments 2024 $ 63.8 2025 60.5 2026 521.0 2027 485.3 2028 and thereafter — Total debt obligations $ 1,130.6 |
Pensions and other postretireme
Pensions and other postretirement benefit plans | 12 Months Ended |
Dec. 31, 2023 | |
Retirement Benefits [Abstract] | |
Pensions and other postretirement benefit plans | NOTE 9 — Pensions and other postretirement benefit plans We, along with our subsidiaries, sponsor various defined benefit retirement plans, including plans established under collective bargaining agreements. Our retirement plans include the Gannett Retirement Plan (the "GR Plan"), the Newsquest and Romanes Pension Schemes in the U.K. (the "U.K. Pension Plans"), the Newspaper Guild of Detroit Pension Plan, the George W. Prescott Publishing Company Pension Plan (the "GWP Plan") and the Times Publishing Company Defined Benefit Pension Plan (the "TPC Plan"). The GWP Plan was amended to freeze all future benefit accruals by December 31, 2008, except for a select group of union employees whose benefits were frozen in 2009, the GR Plan was amended to freeze all future benefit accruals by August 1, 2008, except for a select group of unions and the TPC Plan was frozen as of May 31, 2007, prior to the Company's acquisition of the TPC Plan. The Company also maintains several postretirement medical and life insurance plans which cover certain employees. We also provide health care and life insurance benefits to certain retired employees who meet age and service requirements. Most of our retirees contribute to the cost of these benefits and retiree contributions are increased as actual benefit costs increase. The cost of providing retiree health care and life insurance benefits is actuarially determined. Our policy is to fund benefits as claims and premiums are paid. We use a December 31 measurement date for these plans. The following table presents the change in the projected benefit obligation for the years ended December 31: Pension benefits Postretirement benefits In thousands 2023 2022 2023 2022 Projected benefit obligation at beginning of period $ 1,642,180 $ 3,003,324 $ 47,043 $ 64,038 Service cost 1,366 1,754 40 77 Interest cost 84,449 71,733 2,334 1,770 Change in prior service cost — — (3,307) — Actuarial loss (gain) 21,769 (724,223) 109 (14,092) Foreign currency translation 33,973 (107,930) — — Benefits and expenses paid (125,692) (147,640) (4,500) (4,750) Pension settlement — (454,838) — — Projected benefit obligation at end of period $ 1,658,045 $ 1,642,180 $ 41,719 $ 47,043 The following table presents the change in the fair value of plan assets for the years ended December 31, and the plans' funded status at December 31: Pension benefits Postretirement benefits In thousands 2023 2022 2023 2022 Fair value of plan assets at beginning of period $ 1,720,810 $ 3,218,953 $ — $ — Actual return on plan assets 150,371 (792,302) — — Employer contributions 1,441 18,140 4,500 4,750 Pension settlement — (454,838) — — Benefits paid (125,692) (147,640) (4,500) (4,750) Foreign currency translation 36,968 (121,503) — — Fair value of plan assets at end of period $ 1,783,898 $ 1,720,810 $ — $ — Funded status at end of period 125,853 78,630 (41,719) (47,043) Unrecognized actuarial loss (gain) 90,813 118,914 (13,555) (16,154) Unrecognized prior service cost 1,581 1,561 (2,738) — Net prepaid (accrued) benefit cost 218,247 199,105 (58,012) (63,197) Amounts recognized in the Consolidated balance sheets at December 31, are listed below: Pension benefits Postretirement benefits In thousands 2023 2022 2023 2022 Other assets $ 131,881 $ 87,909 $ — $ — Accounts payable and accrued liabilities 282 332 4,804 5,280 Pension and other postretirement benefit obligations 5,746 8,947 36,915 41,763 Accumulated other comprehensive (loss) income (92,394) (120,475) 16,293 16,154 Net prepaid (accrued) benefit cost $ 218,247 $ 199,105 $ (58,012) $ (63,197) Accumulated pension benefit obligations were $1.7 billion and $1.6 billion as of December 31, 2023 and 2022 , respectively. For the Funded plans, the fair value of plan assets exceeds both the projected benefit obligation and accumulated benefit obligation. For the Underfunded plans, the projected benefit obligation and accumulated benefit obligation exceed the fair value of plan assets. The following table presents information about funded and underfunded pension plans at December 31: Funded plans Underfunded plans In thousands 2023 2022 2023 2022 Projected benefit obligation $ 1,602,112 $ 1,584,658 $ 55,933 $ 57,522 Accumulated benefit obligation 1,601,306 1,583,793 55,933 57,522 Fair value of plan assets 1,733,993 1,672,568 49,905 48,242 Net periodic benefit cost and amounts recognized in Other comprehensive income (loss) The combined net pension and postretirement expense (benefit) recognized in the Consolidated statements of operations and comprehensive income (loss) was $8.0 million, $57.1 million, and $93.2 million for the years ended December 31, 2023, 2022, and 2021, respectively. The following table presents the components of net periodic benefit cost and amounts recognized in Other comprehensive income (loss) at December 31, 2023, 2022, and 2021: Pension benefits Postretirement benefits In thousands 2023 2022 2021 2023 2022 2021 Components of net periodic benefit cost: Operating expenses: Service cost - benefits earned during the period $ 1,366 $ 1,754 $ 2,064 $ 40 $ 77 $ 89 Non-operating expenses: Interest cost on benefit obligations 84,449 71,733 68,139 2,334 1,770 1,758 Expected return on plan assets (95,358) (131,295) (165,390) — — — Amortization of actuarial loss (gain) 2,185 89 152 (2,490) (589) (88) Amortization of prior service costs 67 66 — (569) — — Pension settlement gain — (727) — — — — Other adjustment — — 72 — — — Total non-operating (benefit) expense (8,657) (60,134) (97,027) (725) 1,181 1,670 Total (benefit) expense for retirement plans $ (7,291) $ (58,380) $ (94,963) $ (685) $ 1,258 $ 1,759 Other changes in plan assets and benefit obligations recognized in Other comprehensive income (loss): Net actuarial (gain) loss $ (33,244) $ 199,374 $ (5,875) $ 109 $ (14,092) $ (7,936) Amortization of net actuarial (loss) gain (2,185) (89) (152) 2,490 589 88 Change in prior service cost — — — (3,307) — — Amortization of prior service costs (67) (66) — 569 — — Other adjustment 6,805 (5,283) 387 — — — (Gain) loss recognized in Other comprehensive income (loss) $ (28,691) $ 193,936 $ (5,640) $ (139) $ (13,503) $ (7,848) Assumptions The following assumptions were used in connection with the Company's actuarial valuation of its pension plans and postretirement benefit obligations at December 31: Pension benefits Postretirement benefits 2023 2022 2023 2022 Weighted average discount rate 5.1 % 5.4 % 5.4 % 5.7 % Rate of increase in future compensation levels (a) 2.0 % 2.0 % N/A N/A Current year medical trend N/A N/A 6.3 % 6.5 % Ultimate year medical trend N/A N/A 4.5 % 4.5 % Year of ultimate trend N/A N/A 2031 2031 (a) Relates only to the Newspaper Guild of Detroit defined benefit pension plans. The following assumptions were used to calculate the net periodic benefit cost for the Company's pension plans and postretirement benefit obligations at December 31, 2023, 2022, and 2021: Pension benefits Postretirement benefits 2023 2022 2021 2023 2022 2021 Weighted average discount rate 5.4 % 3.8 % 2.2 % 5.7 % 3.0 % 2.6 % Rate of increase in future compensation levels (a) 2.0 % 2.0 % 2.0 % N/A N/A N/A Weighted average expected return on assets 5.7 % 4.8 % 5.3 % N/A N/A N/A Current year medical trend N/A N/A N/A 6.5 % 6.0 % 6.0 % Ultimate year medical trend N/A N/A N/A 4.5 % 4.5 % 4.5 % Year of ultimate trend N/A N/A N/A 2031 2028 2028 (a) Relates only to the Newspaper Guild of Detroit defined benefit pension plans. To determine the expected long-term rate of return on pension plan assets, the Company considers the current and expected asset allocations as well as historical and expected returns on various categories of plan assets, input from the actuaries and investment consultants, and long-term inflation assumptions. The expected allocation of pension plan assets is based on a diversified portfolio consisting of domestic and international equity securities and fixed income securities. This expected return is then applied to the fair value of plan assets. The Company amortizes experienced gains and losses, including the effects of changes in actuarial assumptions and plan provisions, over a period equal to the average future service of plan participants or over the average remaining life expectancy of inactive participants. The Company updates the estimates used to measure the defined benefit pension assets and obligations annually or upon a remeasurement event. The fiduciaries of the pension plans set investment policies and strategies for the pension trusts. Objectives include preserving the funded status of the plan and balancing risk against return. The weighted average target asset allocation of our plans for 2024 and allocations at the end of 2023 and 2022, by asset category, are presented in the table below: Target allocation Allocation of plan assets 2024 2023 2022 Equity securities 22% 24% 16% Debt securities 62% 57% 60% Alternative investments (a) 16% 19% 24% Total 100% 100% 100% (a) Alternative investments include real estate, private equity and hedge funds. Purchase of pension annuity contract On August 31, 2022, Gannett Media Corp., a wholly-owned subsidiary of the Company, as sponsor of the GR Plan, entered into an agreement pursuant to which the GR Plan used a portion of its assets to purchase annuities from two insurance companies (the "Insurers") and transferred approximately $450 million of the GR Plan's pension liabilities and related pension assets. As of August 31, 2022, this agreement irrevocably transferred to the Insurers future GR Plan benefit obligations for certain U.S. retirees and beneficiaries ("Participants") beginning with payments due to the Participants on November 1, 2022 (the "Effective Date") and Gannett Media Corp. has no financial responsibility for the Participants' benefits on or after such date. As of the Effective Date, the Insurers assumed responsibility for administrative and customer service support, including distribution of payments to the Participants. Participants' benefits were not reduced as a result of this transaction. As a result of this transaction, we were required to remeasure the related plan benefit obligations and assets as of August 31, 2022 reflecting the use of an updated discount rate. The plan remeasurement resulted in a decrease of $99.9 million to our net funded pension obligation, which included a decrease in benefit obligation of $281.8 million (primarily due to an increase in the discount rate from 2.95% at January 1, 2022 to 5.05%) and an incremental decrease in plan assets of $381.7 million. In addition, we recognized a noncash pension settlement gain of $0.7 million ($0.5 million after tax) for the GR Plan for the year ended December 31, 2022, which represented the accelerated recognition of actuarial gains that were included in accumulated other comprehensive income (loss) within stockholders' equity. Contributions We are contractually obligated to contribute to our pension and postretirement benefit plans. During the year ended December 31, 2023, we contributed $1.4 million and $4.5 million to our pension and other postretirement plans, respectively. Beginning with the quarter ended December 31, 2022, and ending with the quarter ending September 30, 2024, the GR Plan's appointed actuary has and will certify the GR Plan's funded status for each quarter (the "Quarterly Certification") in accordance with U.S. GAAP. If the GR Plan is less than 100% funded, the Company will make a $1.0 million contribution to the GR Plan no later than 60 days following the receipt of the Quarterly Certification, provided, however, that the Company's obligation to make additional contractual contributions will terminate the earlier of (a) the day following the date that a contractual contribution would be due for the quarter ending September 30, 2024, and (b) the date the Company has made a total of $5.0 million of contractual contributions subsequent to June 30, 2022. As of December 31, 2023, the GR Plan was more than 100% funded. Future contributions to our pension and postretirement benefit plans, which we are contractually obligated to contribute, are estimated to be $13.0 million in 2024. Contributions beyond 2024 are not estimated due to uncertainties regarding significant assumptions involved in estimating these contributions, such as interest rate levels, as well as the amount and timing of invested asset returns. These future contributions do not include additional contributions which may be required to meet Internal Revenue Service ("IRS") minimum funding standards as these contributions are subject to uncertainties regarding significant assumptions involved in their estimation such as interest rate levels as well as the amount and timing of invested asset returns. Estimated future benefit payments We estimate making the following benefit payments, which reflect expected future service: In thousands Pension benefits Postretirement benefits 2024 $ 139,335 $ 4,932 2025 137,694 4,663 2026 135,636 4,395 2027 136,027 4,144 2028 130,738 3,894 Thereafter 563,088 16,151 The amounts above exclude the participants' share of the benefit cost. We expect no subsidy benefits for 2024 and beyond. Multiemployer plans The Company is a participant in six multiemployer pension plans covering certain employees with collective bargaining agreements ("CBAs"). The risks of participating in these multiemployer plans are different from single-employer plans in the following aspects: • The Company plays no part in the management of plan investments or any other aspect of plan administration; • Assets contributed to the multiemployer plan by one employer may be used to provide benefits to employees of other participating employers; • If a participating employer stops contributing to the plan, the unfunded obligations of the plan may be borne by the remaining participating employers; and • If the Company chooses to stop participating in some of its multiemployer plans, the Company may be required to pay those plans in an amount based on the unfunded status of the plan, referred to as withdrawal liability. The Company's participation in these plans for the year ended December 31, 2023, is outlined in the table below. The "EIN/Pension Plan Number" column provides the Employee Identification Number ("EIN") and the three-digit plan number. Unless otherwise noted, the two most recent Pension Protection Act zone statuses available are for the plans for the years ended December 31, 2023, and 2022, respectively. The zone status is based on information the Company received from the plan and is certified by the plan's actuary. Among other factors, plans in the red zone are generally less than 65% funded; plans in the orange zone are both (i) less than 80% funded and (ii) have an accumulated/expected funding deficiency in any of the next six EIN/Plan number Zone status Year Ended FIP/RP status Contributions (In thousands) Surcharge imposed Expiration dates of CBAs Pension Plan Name December 31, 2023 December 31, 2022 2023 2022 2021 CWA/ITU Negotiated Pension Plan 13-6212879/001 Red Red Implemented $ 255 $ 276 $ 369 No March 30, 2024 and April 25, 2024 GCIU—Employer Retirement Benefit Plan (a) 91-6024903/001 Red Red Implemented 41 42 63 No 4/25/2024 The Newspaper Guild International Pension Plan (a) 52-1082662/001 Red Red Implemented 14 15 12 No 10/6/2021 IAM National Pension Plan (a) (b) 51-6031295/002 Red Red Implemented 147 177 188 Yes January 6, 2024 and January 8, 2024 Teamsters Pension Trust Fund of Philadelphia and Vicinity (a) 23-1511735/001 Green as of Apr. 30, 2023 Green as of Apr. 29, 2022 N/A 965 1,249 1,098 N/A 6/2/2022 Central Pension Fund of the International Union of Operating Engineers and Participating Employers (a) 36-6052390/001 Green Green N/A 58 56 59 N/A 1/9/2024 Total $ 1,480 $ 1,815 $ 1,789 (a) This plan has elected to utilize special amortization provisions provided under the Preservation of Access to Care for Medicare Beneficiaries and Pension Relief Act of 2010. (b) The trustees of this plan have voluntarily elected to put the fund in critical status to strengthen its funding position. As of December 31, 2023, the total unpaid balance for the Company's withdrawal liabilities was approximately $35.1 million, which are payable over 15.2 years. Defined contribution plans Employees are immediately eligible to participate in the Gannett Media Corp. 401(k) Savings Plan (the "Gannett 401(k) Plan") and can elect to save up to 75% of compensation on a pre-tax basis, subject to IRS limitations. Effective January 1, 2021, employees covered under collective bargaining agreements are eligible to participate in the Gannett 401(k) Plan only if participation has been bargained, unless previously eligible in the New Media Investment Group Inc. Retirement Savings Plan (the "New Media 401(k) Plan"). The plan's matching formula is 100% of the first 4% of employee contributions and 50% on the next 2% of employee contributions. Matching contributions to the Gannett 401(k) Plan, with the exception of certain employees covered under collective bargaining agreements, were suspended in August 2020. Beginning on July 4, 2021 or July 5, 2021 (as applicable) matching contributions to the Gannett 401(k) Plan were reinstated with eligible pay. In addition, in October 2022, matching contributions to the Gannett 401(k) Plan, with the exception of certain employees covered under collective bargaining agreements, were suspended and have not resumed. For the years ended December 31, 2023, 2022, and 2021, the Company's matching contributions were $0.8 million, $13.5 million, and $8.2 million, respectively. |
Fair value measurement
Fair value measurement | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair value measurement | NOTE 10 — Fair value measurement In accordance with ASC 820, "Fair Value Measurement," fair value measurements are required to be disclosed using a three-tiered fair value hierarchy which distinguishes between assumptions based on market data (observable inputs) and the Company's own assumptions (unobservable inputs). Level 1 refers to fair values determined based on quoted prices in active markets for identical assets or liabilities, Level 2 refers to fair values estimated using significant other observable inputs and Level 3 includes fair values estimated using significant unobservable inputs. As of December 31, 2023, and 2022, assets and liabilities recorded at fair value and measured on a recurring basis primarily consist of pension plan assets. As permitted by U.S. GAAP, we use net asset values ("NAV") as a practical expedient to determine the fair value of certain investments. These investments measured at NAV have not been classified in the fair value hierarchy. The Company's debt is recorded on the Consolidated balance sheets at carrying value. Refer to Note 8 — Debt for additional discussion regarding fair value of the Company's debt instruments. Certain assets are measured at fair value on a nonrecurring basis; that is, the instruments are not measured at fair value on an ongoing basis but are subject to fair value adjustments only in certain circumstances (for example, when there is evidence of impairment). Assets held for sale (Level 3) are measured on a nonrecurring basis and are evaluated using executed purchase agreements, letters of intent or third-party valuation analyses when certain circumstances arise. The Company had assets held for sale of $0.2 million and $8.4 million as of December 31, 2023 and 2022, respectively. Any resulting asset impairment from the Company's annual goodwill and indefinite-lived intangible impairment assessment would require that the asset be recorded at its fair value. The resulting fair value measurements of the assets are considered to be Level 3 measurements. Refer to Note 6 — Goodwill and intangible assets for additional discussion regarding the annual impairment assessment. The following table sets forth by level, within the fair value hierarchy, the fair values of assets related to the following pension plans: the (i) GWP Plan, (ii) TPC Plan, (iii) GR Plan, (iv) U.K. Pension Plans and (v) Newspaper Guild of Detroit Pension Plan as of December 31, 2023 : Pension Plan Assets and Liabilities as of December 31, 2023 In thousands Level 1 Level 2 Level 3 Total Assets: Cash and cash equivalents $ 11,524 $ 1,899 $ — $ 13,423 Corporate common stock 98,309 — — 98,309 Corporate and government bonds — 253,403 — 253,403 Real estate — — 133,503 133,503 Mutual funds 22,764 — — 22,764 Exchange traded funds 21,050 — — 21,050 Interest in common/collective trusts: Equities — 296,624 — 296,624 Fixed income — 691,479 — 691,479 Partnership/joint venture interests — — 169,932 169,932 Hedge funds — — 48,695 48,695 Total plan assets at fair value excluding those measured at NAV $ 153,647 $ 1,243,405 $ 352,130 $ 1,749,182 Instruments measured at NAV using the practical expedient: Real estate funds 9,576 Interest in common/collective trusts - fixed income 23,396 Partnerships/joint ventures 3,213 Total plan assets at fair value $ 1,785,367 Liabilities: Other liabilities $ (1,469) $ — $ — $ (1,469) Total plan liabilities at fair value $ (1,469) $ — $ — $ (1,469) The following table sets forth a summary of changes in the fair value of the Level 3 pension plan assets for the year ended December 31, 2023: Actual return on plan In thousands Balance at Relating to assets still held at report date Relating to assets sold during the period Purchases Sales Settlements Balance at Assets: Real estate $ 132,593 $ 2,683 $ — $ 13 $ (1,786) $ — $ 133,503 Partnership/joint venture interests 166,184 4,164 — 30,714 (25,917) (5,213) 169,932 Hedge funds 63,054 3,141 — — — (17,500) 48,695 Other assets 2 — — — — (2) — Total assets $ 361,833 $ 9,988 $ — $ 30,727 $ (27,703) $ (22,715) $ 352,130 Liabilities: Other liabilities $ 2,008 $ — $ — $ — $ — $ (2,008) $ — There were no transfers between Levels 1 and 2 for the year ended December 31, 2023. The following table sets forth by level, within the fair value hierarchy, the fair values of assets and liabilities related to the following pension plans: the (i) GWP Plan, (ii) TPC Plan, (iii) GR Plan, (iv) U.K. Pension Plans and (v) the Newspaper Guild of Detroit Pension Plan as of December 31, 2022 : Pension Plan Assets and Liabilities as of December 31, 2022 (a) In thousands Level 1 Level 2 Level 3 Total Assets: Cash and cash equivalents $ 11,133 $ 1,660 $ — $ 12,793 Corporate common stock 111,351 — — 111,351 Corporate and government bonds — 246,555 — 246,555 Real estate — — 132,593 132,593 Mutual funds 24,346 — — 24,346 Exchange traded funds 18,494 — — 18,494 Interest in common/collective trusts: Equities — 252,718 — 252,718 Fixed income — 614,718 — 614,718 Partnership/joint venture interests — — 166,184 166,184 Hedge funds — — 63,054 63,054 Other assets — — 2 2 Total plan assets at fair value, excluding those measured at NAV $ 165,324 $ 1,115,651 $ 361,833 $ 1,642,808 Assets measured at NAV using the practical expedient: Real estate funds 12,415 Interest in common/collective trusts - fixed income 21,547 Partnership/joint venture interests 48,927 Total plan assets at fair value $ 1,725,697 Liabilities: Other liabilities $ (2,381) $ (498) $ (2,008) $ (4,887) Total plan liabilities at fair value $ (2,381) $ (498) $ (2,008) $ (4,887) (a) Certain reclassifications have been made to the 2022 table above to conform to classifications used in the current year. These reclassifications had no impact on the leveling of assets or liabilities within the table nor on the total plan assets or liabilities held at fair value as of December 31, 2022. The following table sets forth a summary of changes in the fair value of the Level 3 pension plan assets and liabilities for the year ended December 31, 2022 : Actual return on plan In thousands Balance at Relating to assets still held at report date Relating to assets sold during the period Purchases Sales Settlements Balance at Assets: Real estate $ 150,589 $ (29,890) $ — $ 18,819 $ (6,925) $ — $ 132,593 Partnership/joint venture interests 186,817 (9,315) — 37,712 (31,648) (17,382) 166,184 Hedge funds 100,828 2,226 — — — (40,000) 63,054 Other assets 2 — — — — — 2 Total assets $ 438,236 $ (36,979) $ — $ 56,531 $ (38,573) $ (57,382) $ 361,833 Liabilities: Other liabilities $ 2,008 $ — $ — $ — $ — $ — $ 2,008 There were no transfers between Levels 1 and 2 for the year ended December 31, 2022. Valuation methodologies used for pension plan assets and liabilities measured at fair value are as follows: • Corporate common stock is valued primarily at the closing price reported on the active market on which the individual securities are traded; • Corporate bonds are a type of debt security issued by a corporation and are primarily valued using trades or quotes in secondary markets for that specific issue or similar security; • Investments in direct real estate in the U.K. have been valued by an independent qualified valuation professional in the U.K. using a valuation approach that capitalizes any current or future income streams at an appropriate multiplier. Investments in real estate funds are mainly valued utilizing the net asset valuations provided by the underlying private investment companies or through proprietary models with varying degrees of complexity; • Mutual funds are valued at the daily closing price as reported by the fund. Mutual funds held are open ended funds that are registered with the SEC. These funds are required to publish their NAV and to transact at that price. The mutual funds held are deemed to be actively traded; • Exchange traded funds are valued at the closing price reported on the active market on which the individual securities are traded; • Interests in common/collective trusts are primarily equity and fixed income investments valued using the NAV provided by the administrator of the underlying fund available daily to the administrator of the respective plan. Where the daily NAV is not provided, interests in common/collective trusts are valued either through the use of a NAV as provided monthly by the fund family or fund company or through proprietary models with varying degrees of complexity. Shares in the common/collective trusts are generally redeemable upon request; • Investments in partnerships and joint venture interests classified in Level 3 are valued considering items such as expected cash flows, changes in market outlook and subsequent rounds of financing. These investments are included in Level 3 of the fair value hierarchy because exit prices tend to be unobservable and reliance is placed on the above methods. Most of the partnerships are general leveraged buyout funds, others include a venture capital fund, a fund formed to invest in special credit opportunities, an infrastructure fund and a real estate fund. Interest in partnership investments could be sold on the secondary market but cannot be redeemed. Instead, distributions are received as the underlying assets of the funds are liquidated. As of both December 31, 2023 and 2022, there were $3.3 million and $4.0 million, respectively, in unfunded commitments related to partnership/joint venture interests. One of the investments in partnerships and joint venture interests represents a limited partnership commingled fund valued using the NAV as reported by the fund manager; and • Investments in hedge funds consist of hedge funds whose strategy is to produce a return uncorrelated with market movements. This fund is classified as a Level 3 because its valuation is derived from unobservable inputs. Shares in the hedge funds are generally redeemable twice a year or on the last business day of each quarter with at least 60 days written notice subject to a potential 5% holdback. |
Income taxes
Income taxes | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Income taxes | NOTE 11 — Income taxes The components of Loss before income taxes consist of the following: Year ended December 31, In thousands 2023 2022 2021 Domestic $ (55,073) $ (121,840) $ (152,796) Foreign 48,908 44,934 64,875 Loss before income taxes $ (6,165) $ (76,906) $ (87,921) The Provision for income taxes consists of the following: Year ended December 31, In thousands 2023 2022 2021 Current: Federal $ (311) $ (3,579) $ 579 State and local 1,705 804 1,180 Foreign 8,821 1,575 1,521 Total current 10,215 (1,200) 3,280 Deferred: Federal 6,436 (692) 27,842 State and local 399 (5,868) 1,663 Foreign 4,679 9,109 15,465 Total deferred 11,514 2,549 44,970 Provision for income taxes $ 21,729 $ 1,349 $ 48,250 The Provision for income taxes varies from the federal statutory tax rate as a result of the following differences: Year ended December 31, In percentage 2023 2022 2021 Federal statutory tax rate 21.0 % 21.0 % 21.0 % (Increase) decrease in taxes resulting from: State and local income taxes, net of federal benefit 3.6 6.0 (3.0) Debt refinancing — — (30.2) Change in valuation allowance (130.0) (30.9) (40.6) Foreign tax rates differences (9.2) 0.4 0.8 Non-deductible parking (2.5) (0.2) (0.3) Non-deductible meals, entertainment (12.8) (0.9) (0.9) Gain (loss) on foreign exchange rate 2.4 0.4 (0.2) Stock compensation windfall/(shortfall) (24.2) (0.2) (0.2) Partnership permanent differences (2.0) (0.1) — Tegna indemnification release (2.8) (0.7) (0.4) Foreign entities loss adjustments (1.3) (1.6) (0.5) Newsquest permanent differences (7.6) (0.1) 3.2 Nondeductible compensation (13.4) (2.3) (0.4) Provision to return and deferred tax adjustments (45.1) 5.4 (4.9) Capital loss carryforward — — (1.6) Paycheck Protection Program Loan forgiveness — — 3.8 Global intangible low-taxed income (112.7) (4.6) (5.8) Branch income 5.4 1.2 1.6 Profit on non-qualifying land and buildings 0.2 0.1 2.4 Uncertain tax positions (134.5) (2.6) (8.6) Deduction for interest expense 102.7 8.5 8.4 Other expenses 10.3 (0.6) 1.5 Effective tax rate NM (1.8) % NM NM indicates not meaningful. Our effective tax rate for the year ended December 31, 2023 was not meaningful. The tax provision for 2023 was primarily impacted by the valuation allowances on non-deductible U.S. interest expense carryforwards, the global intangible low-taxed income inclusion from our U.K. operations, nondeductible compensation, and state and local tax expense, partially offset by the benefit from the pre-tax book loss. Our effective tax rate for the year ended December 31, 2022 was negative 1.8%. The tax provision for 2022 was primarily impacted by the valuation allowances on non-deductible U.S. interest expense carryforwards, the global intangible low-taxed income inclusion, the release of uncertain tax positions in the U.S., and the reduction in the blended state tax rate, which were offset by the tax benefit of the pre-tax book loss. Recent U.S. and international tax legislation On August 16, 2022, the U.S. government enacted the Inflation Reduction Act of 2022 (the "Inflation Reduction Act"), which includes, among other provisions, changes to the U.S. corporate income tax system, including a 15% minimum tax based on "average adjusted financial statement income" exceeding $1 billion for any three consecutive years preceding the tax year and a 1% excise tax on net repurchases of stock in excess of $1 million after December 31, 2022. During the year ended December 31, 2023, we did not experience a material financial impact from the Inflation Reduction Act. We do not anticipate a material financial impact from the Inflation Reduction Act during 2024. We are subject to income taxes and various other taxes in the U.S. and in many foreign jurisdictions; therefore, changes in both domestic and international tax laws or regulations have affected and may affect our effective tax rate, results of operations, and cash flows. The Organization for Economic Co-operation and Development (the "OECD")/G20 Inclusive Framework on Base Erosion and Profit Shifting has agreed on a two-pillar approach to address tax challenges arising from the digitalization of the global economy by (i) allocating profits to market jurisdictions ("Pillar One") and (ii) ensuring multinational enterprises pay a minimum level of tax regardless of where the headquarters are located or the jurisdictions in which the company operates ("Pillar Two"). Pillar One targets multinational groups with global revenue exceeding €20 billion and a profit-to-revenue ratio of more than 10%. Companies subject to Pillar One will be required to allocate profits and pay taxes to market jurisdictions. Based on the current proposed revenue and profit thresholds, we do not expect to be subject to tax changes associated with Pillar One. Pillar Two focuses on global profit allocation and a global minimum tax rate. In December 2022, the European Union ("EU") Member States formally adopted the EU's Pillar Two Directive, which generally provides for a minimum effective tax rate of 15%, as established by the OECD Pillar Two Framework that was supported by over 130 countries worldwide. The EU Pillar Two Directive became effective on January 1, 2024. The U.K. has enacted legislation to implement the OECD's Pillar Two rules with the passing of Finance (No.2) Act 2023. The legislation introduces a global minimum effective tax rate of 15% by implementing a domestic top-up tax and a multinational top-up tax for U.K. multinational corporations effective January 1, 2024. Other countries are also actively considering changes to their tax laws to adopt certain parts of the OECD's proposals. We do not expect that Pillar Two will have a material impact on the Consolidated financial statements. The tax effects of each type of temporary differences and carryforwards that give rise to significant portions of our deferred tax assets and deferred tax liabilities are presented below: December 31, In thousands 2023 2022 Deferred tax liabilities: Fixed assets $ (5,565) $ (13,850) Right of use asset (60,384) (61,366) Convertible debt (18,441) (22,808) Pension and other postretirement benefit obligations (8,388) — Definite and indefinite lived intangible assets (20,457) (32,197) Total deferred tax liabilities $ (113,235) $ (130,221) Deferred tax assets: Accrued compensation costs 12,900 15,507 Accrued liabilities 14,676 15,837 Disallowed interest 115,030 103,012 Goodwill 3,200 6,605 Pension and other postretirement benefit obligations — 7,671 Partnership investments 4,231 4,491 Loss carryforwards 224,505 248,516 Lease liabilities 58,828 61,511 Other 27,000 22,309 Total deferred tax assets $ 460,370 $ 485,459 Less: Valuation allowances (312,038) (300,059) Total net deferred tax assets $ 148,332 $ 185,400 Net deferred tax assets $ 35,097 $ 55,179 In assessing the realizability of deferred tax assets, management considered whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. During the year ended December 31, 2023, the Company recorded an additional $12.0 million of valuation allowances against its deferred tax assets. The net increase in the valuation allowance was primarily due to changes in the U.S. disallowed interest expense carryforward of $12.0 million, a decrease of $4.7 million related to foreign valuation allowances, an increase related to currency translation adjustments of $3.0 million and other increases in the valuation allowance of $1.7 million. The Company considered all available evidence, both positive and negative, to determine whether, based on the weight of that evidence, a valuation allowance for deferred tax assets was needed. The Company reached the conclusion it was appropriate to record a valuation allowance against a portion of its federal deferred tax assets in light of available evidence. We relied on evidence shown by reversing taxable temporary differences, as well as expectations of future taxable income with the appropriate tax character. During the year ended December 31, 2022, the Company recorded an additional $25.7 million of valuation allowances against its deferred tax assets. The increase in the valuation allowance is primarily due to increases in the U.S. disallowed interest expense carryforward, increases related to acquisitions, and decreases related to currency translation adjustment. The Company continues to maintain its existing valuation allowance against net deferred tax assets in many of its state and foreign jurisdictions as it is not believed to be more likely than not that its deferred tax assets will be realized in such jurisdictions. The following table summarizes the activity related to our valuation allowance for deferred tax assets for the year ended December 31, 2023 (In thousands ): Balance at beginning of period Additions/(reductions) charged to expenses Additions/(reductions) for acquisitions/dispositions Other additions to (deductions from) reserves Foreign currency translation Balance at end of period $ 300,059 $ 9,024 $ — $ — $ 2,954 $ 312,037 The aforementioned valuation allowance relates to indefinite-lived intangible assets, nondeductible interest expense carryforwards, capital losses, state and foreign net operating losses and other tax attributes. As of December 31, 2023, the Company had $444.5 million of Federal net operating loss ("NOL") carryforwards, $478.3 million of Federal disallowed business interest expense carryforwards, $1.088 billion of apportioned state NOL carryforwards and $203.9 million of foreign net NOL carryforwards. Additionally, as of December 31, 2023, the Company had $6.0 million of other business tax credits, $0.3 million of foreign tax credits, $4.9 million of state credits and $43.8 million of foreign capital loss carryforwards. The Federal NOL carryforwards begin to expire in 2033 and the state NOL carryforwards began to expire in 2023. The foreign NOLs begin to expire in 2030. The tax credits begin to expire in 2024. A portion of the NOLs are subject to the limitations of the Internal Revenue Code Section 382. This section provides limitations on the availability of NOL carryforwards to offset income if a corporation undergoes an "ownership change," generally defined as a greater than 50% change in equity ownership over a three-year period. The most recent analysis of our historical ownership change was completed through December 31, 2023. Based on the analysis, we do not anticipate a current limitation on tax attributes. The following table summarizes the activity related to unrecognized tax benefits, excluding the federal tax benefit of state tax deductions: Year ended December 31, In thousands 2023 2022 2021 Change in unrecognized tax benefits: Balance at beginning of year $ 43,697 $ 46,082 $ 40,885 Additions based on tax positions related to the current year 7,017 5,411 6,574 Additions for tax positions of prior years 1,327 — 607 Reductions for tax positions of prior years (652) (2,664) (1,984) Reductions due to lapsed statutes of limitations (208) (2,264) — Foreign currency translation 1,640 (2,868) — Balance at end of year $ 52,821 $ 43,697 $ 46,082 At December 31, 2023, the Company's uncertain tax positions of $52.6 million, if recognized, would impact the effective tax rate. It is reasonably possible that the total amount of unrecognized tax benefits related to certain of the Company's uncertain tax positions could decrease by as much as $10 million to $16 million within the next twelve months as a result of ongoing audits, foreign judicial proceedings, lapses of statutes of limitations, or regulatory developments. The Company recognizes interest and penalties related to unrecognized tax benefits as a component of income tax expense. At December 31, 2023 and 2022, the accrual for uncertain tax positions included $4.6 million and $3.9 million of interest and penalties, respectively. The Company files a federal consolidated income tax return for which the statute of limitations remains open for any year for which a net operating loss is utilized, which for the Company is the 2010 tax year and subsequent years. U.S. state jurisdictions have statute of limitations generally ranging from 3 to 6 years. On November 19, 2019, New Media Investment Group Inc. ("New Media") completed its acquisition of Gannett Co., Inc. (which was renamed Gannett Media Corp. and is referred to as "Legacy Gannett"). The federal income tax returns for calendar years 2015-2017 for Legacy Gannett are under federal audit. The U.K. income tax returns for calendar years 2018-2021 for Newsquest Capital Ltd. are under audit. The statute of limitations for the Company's U.K. income tax return remains open for tax years for 2021 and forward. |
Supplemental equity and other i
Supplemental equity and other information | 12 Months Ended |
Dec. 31, 2023 | |
Equity [Abstract] | |
Supplemental equity and other information | NOTE 12 — Supplemental equity and other information Loss per share The following table sets forth the information to compute basic and diluted loss per share: Year ended December 31, In thousands, except per share data 2023 2022 2021 Net loss attributable to Gannett $ (27,791) $ (78,002) $ (134,962) Basic weighted average shares outstanding 139,633 136,903 134,783 Diluted weighted average shares outstanding 139,633 136,903 134,783 Loss per share attributable to Gannett - basic $ (0.20) $ (0.57) $ (1.00) Loss per share attributable to Gannett - diluted $ (0.20) $ (0.57) $ (1.00) The Company excluded the following securities from the computation of diluted income per share because their effect would have been antidilutive: Year ended December 31, In thousands 2023 2022 2021 Warrants (a) — 845 845 Stock options 6,068 6,068 6,068 Restricted stock grants (b) 8,608 8,616 9,854 2027 Notes (c) 97,057 97,057 98,168 (a) The warrants expired on November 26, 2023. (b) Includes Restricted stock awards ("RSA"), Restricted stock units ("RSU") and Performance stock units ("PSU"). (c) Represents the total number of shares that would be convertible at December 31, 2023 and 2022 as stipulated in the 2027 Notes Indenture. The amount for the year ended December 31, 2021 reflects the adjustment for the weighted average impact of the repurchase of $11.8 million aggregate principal of 2027 Notes as described below . The 2027 Notes may be converted at any time by the holders into cash, shares of the Company's Common Stock or any combination of cash and Common Stock, at the Company's election. In November 2021, the Company entered into separate, privately negotiated agreements with certain holders of our 2027 Notes and repurchased $11.8 million aggregate principal of outstanding 2027 Notes. Conversion of all of the 2027 Notes into Common Stock (assuming the maximum increase in the conversion rate as a result of a Make-Whole Fundamental Change but no other adjustments to the conversion rate), would result in the issuance of an aggregate of 287.2 million shares of Common Stock. The Company has excluded approximately 190.1 million shares from the loss per share calculation, representing the difference between the total number of shares that would be convertible at December 31, 2023 and the total number of shares issuable assuming the maximum increase in the conversion rate. Share-based compensation Share-based compensation expense was $16.6 million, $16.8 million, and $18.4 million for the years ended December 31, 2023 , 2022, and 2021, respectively, and is included in Selling, general and administrative expenses on the Consolidated statements of operations and comprehensive income (loss). Total compensation cost not yet recognized related to non-vested awards as of December 31, 2023 was $15.9 million, which is expected to be recognized over a weighted average period of 1.6 years through August 2025. Equity awards On June 5, 2023, the Company's 2023 Stock Incentive Plan (the "2023 Incentive Plan") was approved by the Company's stockholders and became effective. The 2023 Incentive Plan replaced the Company's 2020 Omnibus Incentive Compensation Plan (the "2020 Incentive Plan"), which had replaced the Company's 2015 Omnibus Incentive Compensation Plan (the "2015 Incentive Plan"), such that no further awards were or will be granted pursuant to the 2020 Incentive Plan and the 2015 Incentive Plan. With respect to restricted stock awards ("RSAs") granted pursuant to award agreements under the 2023 Incentive Plan, if service terminates for certain specified conditions, all unvested shares of restricted stock may be forfeited. During the period prior to the lapse and removal of the vesting restrictions, a grantee of a RSA will have all the rights of a stockholder, including without limitation, the right to vote and the right to receive dividends or other distributions, if any. Any dividends or other distributions that are declared with respect to the shares of restricted stock will be paid at the time such shares vest. The value of the RSAs on the date of issuance is recognized in Selling, general, and administrative expenses over the vesting period with a corresponding increase to additional paid-in-capital. Beginning in 2023, RSAs granted generally vest in equal annual installments over a three-year period subject to the participants' continued employment with the Company and the terms of the applicable award agreements. RSAs granted prior to 2023 vest 33.3% on the first and second anniversary of the date of grant, and 33.4% on the third anniversary of the date of grant, subject to the participants' continued employment with the Company and the terms of the applicable award agreement. The following table outlines RSA activity: Year ended December 31, 2023 2022 2021 Number of RSAs (In thousands) Weighted- Number of RSAs (In thousands) Weighted- Number of RSAs (In thousands) Weighted- Unvested at beginning of year 8,616 $ 4.40 6,949 $ 4.32 5,181 $ 3.39 Granted 5,171 1.87 7,427 4.29 4,100 5.29 Vested (3,910) 4.11 (2,633) 4.63 (1,956) 3.80 Forfeited (1,421) 3.68 (3,127) 3.75 (376) 4.76 Unvested at end of year 8,456 $ 3.09 8,616 $ 4.40 6,949 $ 4.32 As of December 31, 2023, the aggregate intrinsic value of unvested RSAs was $19.4 million. Restricted stock units ("RSUs") generally vest in equal annual installments over a three-year period subject to the participants' continued employment with the Company and the terms of the applicable award agreement, and we recognize compensation costs for these awards based on the fair market value of the award as of the grant date. Performance stock units ("PSUs") are subject to the achievement of certain performance goals over the eligible period and the terms of the applicable award agreement. Compensation cost ultimately recognized for these PSUs will equal the grant-date fair market value of the unit that coincides with the actual outcome of the performance conditions. On an interim basis, we record compensation cost based on the expected level of achievement of the performance conditions. The following table outlines RSU and PSU activity: Year ended December 31, 2023 2022 2021 Number of RSUs & PSUs (In thousands) Weighted- Number of RSUs & PSUs (In thousands) Weighted- Number of RSUs & PSUs (In thousands) Weighted- Unvested at beginning of year 1,000 $ 3.04 2,905 $ 4.05 2,513 $ 6.28 Granted (a) 332 1.83 332 4.63 2,000 3.04 Vested (152) 3.04 (1,905) 4.58 (1,576) 6.28 Forfeited and canceled (b) (999) 2.85 (332) 4.63 (32) 6.28 Unvested at end of year 181 $ 1.83 1,000 $ 3.04 2,905 $ 4.05 (a) There were no RSUs granted during the years ended December 31, 2023, 2022 and 2021. (b) For the years ended December 31, 2023 and 2022, includes 900 thousand and 332 thousand, respectively, of PSUs canceled since the performance goals were not achieved during the eligible period. There were no PSUs canceled during the year ended December 31, 2021. As of December 31, 2023, the aggregate intrinsic value of unvested PSUs was $0.4 million. Stock options As of December 31, 2023, FIG LLC, the former manager of the Company, held stock options exercisable for 6,068 thousand shares of Common Stock, all of which are exercisable and had a weighted-average grant date fair value, weighted-average exercise price and weighted-average remaining contractual term of $1.78, $13.97 and 4.2 years, respectively. Cash awards The Company grants certain employees either long-term cash awards ("LTCAs") or cash performance units ("CPUs"). During 2023, our LTCAs and CPUs were granted during the first quarter, and in the future we anticipate the majority of our LTCAs and CPUs to be granted in the third quarter of our fiscal year. CPUs generally vest and pay out in cash on the third anniversary of the grant date based upon the achievement of threshold goals depending on actual performance against financial objectives over a three-year period. LTCAs generally vest and pay out in cash on the first, second and third anniversaries of the date of grant. As of December 31, 2023, there was approximately $8.9 million of unrecognized compensation expense related to cash awards. Preferred stock The Company has authorized 300,000 shares of preferred stock, par value $0.01 per share, issuable in one or more series designated by the Company's Board of Directors, none of which are outstanding. There were no issuances of preferred stock during the year ended December 31, 2023. Stock repurchase program On February 1, 2022, the Company's Board of Directors authorized the repurchase of up to $100 million (the "Stock Repurchase Program") of the Company's Common Stock. Repurchases may be made from time to time through open market purchases or privately negotiated transactions, pursuant to one or more plans established pursuant to Rule 10b5-1 under the Securities Exchange Act of 1934, as amended, or by means of one or more tender offers, in each case, as permitted by securities laws and other legal requirements. The amount and timing of the purchases, if any, will depend on a number of factors, including, but not limited to, the price and availability of the Company's shares, trading volume, capital availability, Company performance and general economic and market conditions. The Stock Repurchase Program may be suspended or discontinued at any time. Further, future repurchases under our Stock Repurchase Program may be subject to various conditions under the terms of our various debt instruments and agreements, unless an exception is available or we obtain a waiver or similar relief. During the year ended December 31, 2023, we did not repurchase any shares of Common Stock under the Stock Repurchase Program. As of December 31, 2023, the remaining authorized amount under the Stock Repurchase Program was approximately $96.9 million. Accumulated other comprehensive income (loss) The following tables summarize the components of, and the changes in, Accumulated other comprehensive income (loss), net of tax: In thousands Pension and postretirement benefit plans Foreign currency translation Total Balance at December 31, 2020 $ 40,441 $ 9,732 $ 50,173 Other comprehensive income (loss) before reclassifications 10,382 (604) 9,778 Amounts reclassified from accumulated other comprehensive income (a) (b) 47 — 47 Net current period other comprehensive income (loss), net of taxes 10,429 (604) 9,825 Balance at December 31, 2021 $ 50,870 $ 9,128 $ 59,998 Other comprehensive loss before reclassifications (136,352) (24,008) (160,360) Amounts reclassified from accumulated other comprehensive loss (a) (b) (c) (869) — (869) Net current period other comprehensive loss, net of taxes (137,221) (24,008) (161,229) Balance at December 31, 2022 $ (86,351) $ (14,880) $ (101,231) Other comprehensive income before reclassifications 22,639 13,683 36,322 Amounts reclassified from accumulated other comprehensive loss (a) (b) (632) — (632) Net current period other comprehensive income, net of taxes 22,007 13,683 35,690 Balance at December 31, 2023 $ (64,344) $ (1,197) $ (65,541) (a) Accumulated other comprehensive income (loss) component represents amortization of actuarial loss and is included in the computation of net periodic benefit cost. See Note 9 — Pensions and other postretirement benefit plans. (b) Amounts reclassified from accumulated other comprehensive income (loss) are recorded net of tax impacts of $0.2 million, $0.3 million, and $0.02 million for the years ended December 31, 2023, 2022, and 2021, respectively. (c) Amounts reclassified from accumulated other comprehensive income (loss) include a net pension settlement gain of $0.7 million ($0.5 million, net of tax) for the year ended December 31, 2022. See Note 9 — Pensions and other postretirement benefit plans. |
Commitments, contingencies and
Commitments, contingencies and other matters | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments, contingencies and other matters | NOTE 13 — Commitments, contingencies and other matters Legal proceedings The Company is and may become involved from time to time in legal proceedings in the ordinary course of its business, including, but not limited to, matters such as libel, invasion of privacy, intellectual property infringement, wrongful termination actions, complaints alleging employment discrimination, and regulatory investigations and inquiries. In addition, the Company is involved from time to time in governmental and administrative proceedings concerning employment, labor, environmental, and other claims. Insurance coverage mitigates potential loss for certain of these matters. Historically, such claims and proceedings have not had a material adverse effect on the Company's consolidated results of operations or financial position. We are also defendants in judicial and administrative proceedings involving matters incidental to our business. Although the Company is unable to predict with certainty the eventual outcome of any litigation, regulatory investigation or inquiry, in the opinion of management, the Company does not expect its current and any threatened legal proceedings to have a material adverse effect on the Company's business, financial position or consolidated results of operations. Given the inherent unpredictability of these types of proceedings, however, it is possible that future adverse outcomes could have a material effect on the Company's financial results. On June 20, 2023, the Company filed a civil action against Google LLC and Alphabet Inc. (together, "Google") in the U.S. District Court in the Southern District of New York seeking injunctive relief and damages for the anticompetitive monopolization of advertising technology markets and for deceptive commercial practices. The Company's complaint details more than a dozen anticompetitive and deceptive acts that the Company believes demonstrate Google's unfair control and manipulation of all sides of each online advertising transaction. The Company intends to vigorously pursue this action. However, at this stage, the Company is unable to predict the outcome or impact on its business and financial results. The Company is accounting for this matter as a gain contingency, and will record any such gain in future periods, if and when the contingency is resolved, in accordance with ASC 450, "Contingencies." We do not expect pursuing this lawsuit to be a significant cost to us. The Company was a defendant in a lawsuit titled Scott O. Sapulpa ("Plaintiff") v. Gannett Co., Inc. in the District Court in the State of Oklahoma. In February 2024, a jury found for the Plaintiff and awarded compensatory damages of $5 million and $20 million in punitive damages. While we cannot predict with certainty the ultimate outcome of this action, the Company intends to seek appellate review of the case. We are currently unable to estimate a range of reasonably possible loss; however, we believe that damages, if any, would be covered by the Company's insurance policies. As a result, we believe the outcome will not have a material impact on the Company's consolidated financial statements. Other Purchase obligations We have future expected purchase obligations, in the normal course of operations, of $256.2 million related to digital licenses and information technology services, printing contracts, professional services, interactive marketing agreements, and other legally binding commitments. Amounts which we are liable for under purchase orders outstanding at December 31, 2023, are reflected in the Consolidated balance sheets as Accounts payable and are excluded from the amounts referred to above. Self-insurance |
Segment reporting
Segment reporting | 12 Months Ended |
Dec. 31, 2023 | |
Segment Reporting [Abstract] | |
Segment reporting | NOTE 14 — Segment reporting We define our reportable segments based on the way the Chief Operating Decision Maker ("CODM"), which is our Chief Executive Officer, manages the operations for purposes of allocating resources and assessing performance. Effective with the fourth quarter of 2023, the Company is reporting financial information for its Newsquest business in a separate segment. Previously, the financial information for this segment was aggregated with Domestic Gannett Media and, together, formed the Gannett Media reportable segment. As a result, the Company has revised its historical disclosures to reflect the new Domestic Gannett Media and Newsquest reportable segments for all years presented. Our reportable segments include the following: • Domestic Gannett Media is comprised of our portfolio of local, regional, and national newspaper publishers. The results of this segment include Advertising and marketing services revenues from local, classified, and national advertising across multiple platforms, including print, online, mobile, and tablet as well as niche publications, Circulation revenues from home delivery, digital distribution and single copy sales of our publications, and Other revenues, mainly from commercial printing, distribution arrangements, revenues from our events business, digital content syndication and affiliate revenues, and third-party newsprint sales. • Newsquest is comprised of our portfolio of international newspaper publishers. The results of this segment include Advertising and marketing services revenues from local, classified, and national advertising across multiple platforms, including print, online, mobile, and tablet as well as niche publications, Circulation revenues from home delivery, digital distribution and single copy sales of our publications, and Other revenues, mainly from digital production revenues and commercial printing. • Digital Marketing Solutions is comprised of our digital marketing services companies under the brand LocaliQ. The results of this segment include Advertising and marketing services revenues through multiple services, including search advertising, display advertising, search optimization, social media, website development, web presence products, customer relationship management, and software-as-a-service solutions. In addition to the reportable segments above, we have a Corporate and other category that includes activities not directly attributable to a specific reportable segment. This category primarily consists of broad corporate functions, including legal, human resources, accounting, analytics, finance, marketing and technology, as well as other general business costs. In the ordinary course of business, our reportable segments enter into transactions with one another. While intersegment transactions are treated like third-party transactions to determine segment performance, the revenues and expenses recognized by the segment that is the counterparty to the transaction are eliminated in consolidation and do not affect consolidated results. The CODM uses Adjusted EBITDA to evaluate the performance of the segments and allocate resources. Adjusted EBITDA is a non-GAAP financial performance measure we believe offers a useful view of the overall operation of our businesses and may be different than similarly-titled measures used by other companies. We define Adjusted EBITDA as Net income (loss) attributable to Gannett before (1) Income tax expense (benefit), (2) Interest expense, (3) Gains or losses on the early extinguishment of debt, (4) Non-operating pension income, (5) Loss on convertible notes derivative, (6) Depreciation and amortization, (7) Integration and reorganization costs, (8) Other operating expenses, including third-party debt expenses and acquisition costs, (9) Asset impairments, (10) Goodwill and intangible impairments, (11) Gains or losses on the sale or disposal of assets, (12) Share-based compensation, and (13) certain other non-recurring charges. Management considers Adjusted EBITDA to be an important metric to evaluate and compare the ongoing operating performance of our segments on a consistent basis across reporting periods as it eliminates the effect of items that we do not believe are indicative of each segment's core operating performance. Year ended December 31, In thousands 2023 2022 2021 Revenues: Domestic Gannett Media 2,095,853 2,379,806 2,678,117 Newsquest 233,980 234,630 208,618 Digital Marketing Solutions 477,909 468,883 442,299 Corporate and other 6,268 5,440 8,371 Intersegment Eliminations (150,460) (143,456) (129,322) Total revenues 2,663,550 2,945,303 3,208,083 Adjusted EBITDA: Domestic Gannett Media 194,641 207,648 384,933 Newsquest 50,128 40,027 49,040 Digital Marketing Solutions 53,223 57,580 50,960 Corporate and other (30,309) (47,972) (51,221) Net loss attributable to noncontrolling interests 103 253 1,209 Interest expense 111,776 108,366 135,748 (Gain) loss on early extinguishment of debt (4,529) (399) 48,708 Non-operating pension income (9,382) (58,953) (95,357) Loss on convertible notes derivative — — 126,600 Depreciation and amortization 162,622 182,022 203,958 Integration and reorganization costs (a) 24,468 87,974 49,284 Other operating expenses 1,550 1,892 20,952 Asset impairments 1,370 1,056 3,976 (Gain) loss on sale or disposal of assets, net (40,101) (6,883) 17,208 Share-based compensation expense 16,567 16,751 18,439 Other items 9,404 2,110 (9,092) Loss before income taxes (6,165) (76,906) (87,921) Provision for income taxes 21,729 1,349 48,250 Net loss (27,894) (78,255) (136,171) Net loss attributable to noncontrolling interests $ (103) $ (253) $ (1,209) Net loss attributable to Gannett $ (27,791) $ (78,002) $ (134,962) (a) For the years ended December 31, 2023, 2022 and 2021, Integration and restructuring costs mainly reflect severance-related expenses and other restructuring-related expenses, which represent costs for consolidating operations, systems implementation, outsourcing of corporate functions and facility consolidations. Asset information by segment is not a key measure of performance used by the CODM function. Accordingly, we have not disclosed asset information by segment. Additionally, equity income in unconsolidated investees, net, interest expense, other non-operating items, net, and provision for income taxes, as reported in the Consolidated financial statements, are not part of operating income and are primarily recorded at the corporate level. |
Subsequent events
Subsequent events | 12 Months Ended |
Dec. 31, 2023 | |
Subsequent Events [Abstract] | |
Subsequent events | NOTE 15 — Subsequent events On February 15, 2024, t he Company decided to relocate its Corporate headquarters from McLean, Virginia to its existing leased office space in New York, New York effective March 31, 2024. The Company will exit, cease use and continue to seek subleases for its leased facility in McLean. As a result of the headquarters relocation, the Company expects to record impairment charges of approximately $45.0 million during the three months ended March 31, 2024 related to the McLean operating lease right-of-use asset and the associated leasehold improvements. |
Summary of significant accoun_2
Summary of significant accounting policies (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Basis of presentation | Basis of presentation The Consolidated financial statements include all the assets, liabilities, revenues, expenses and cash flows of entities which Gannett controls due to ownership of a majority voting interest ("subsidiaries"). All significant intercompany accounts and transactions have been eliminated in consolidation. The Company consolidates entities that it controls due to ownership of a majority voting interest. |
Use of estimates | Use of estimates The preparation of the financial statements in conformity with U.S. generally accepted accounting principles ("U.S. GAAP") requires management to make estimates and assumptions that affect the amounts reported in the Consolidated financial statements and footnotes thereto. Actual results could differ materially from those estimates. |
Reclassifications | Reclassifications Certain reclassifications have been made to the prior year Consolidated financial statements to conform to classifications used in the current year. These reclassifications had no impact on net loss, shareholders' equity or cash flows as previously reported. |
Cash, cash equivalents, and restricted cash and Supplementary cash flow information | Cash, cash equivalents and restricted cash and Supplementary cash flow information Cash equivalents represent highly liquid certificates of deposit which have original maturities of three months or less. Restricted cash is held as cash collateral for certain business operations. Restricted cash primarily consists of funding for letters of credit, cash held in an irrevocable grantor trust for our deferred compensation plans and cash held with banking institutions for insurance plans. |
Accounts receivable | Accounts receivable |
Inventory | Inventory |
Property, plant, and equipment, software development costs, and depreciation | Property, plant, and equipment, software development costs and depreciation Property, plant, and equipment are recorded at cost or at fair value for property, plant, and equipment related to acquired businesses. Routine maintenance and repairs are expensed as incurred. Depreciation is calculated under the straight-line method over the estimated useful lives. Leasehold improvements are amortized under the straight-line method over the shorter of the lease term or estimated useful life of the asset. We capitalize costs to develop software for internal use when it is determined the development efforts will result in new or additional functionality or new products. Costs incurred prior to meeting these criteria and costs associated with ongoing maintenance are expensed as incurred and included in Operating costs in the accompanying Consolidated statements of operations and comprehensive income (loss). |
Goodwill, intangible assets, and long-lived assets | Goodwill, intangible and long-lived assets Goodwill represents the excess of acquisition cost over the fair value of assets acquired, including identifiable intangible assets, net of liabilities assumed. Indefinite-lived intangible assets consist of newspaper mastheads and finite-lived intangible assets consist of advertiser, subscriber and other customer relationships, as well as trade names, and developed technology. Newspaper mastheads are not amortized because it has been determined that the useful lives of such mastheads are indefinite. Intangible assets that have finite useful lives are amortized over those useful lives. Goodwill is tested for impairment annually as of November 30 and between annual tests if events occur or circumstances change that would more likely than not reduce the fair value of a reporting unit below its carrying amount. We perform our impairment analysis on each of our reporting units. We evaluate our reporting units annually, as well as when changes in our operating structure occur. The Company has the option to qualitatively assess whether it is more likely than not that the fair value of a reporting unit is less than its carrying value. If the Company elects to perform a qualitative assessment and concludes it is more likely than not that the fair value of the reporting unit is equal to or greater than its carrying value, no further assessment of that reporting unit's goodwill is necessary; otherwise goodwill must be tested for impairment. In the quantitative test, we are required to determine the fair value of each reporting unit and compare it to the carrying amount of the reporting unit. Fair value of the reporting unit is defined as the price that would be received to sell the unit as a whole in an orderly transaction between market participants at the measurement date. The Company generally determines the fair value of a reporting unit using a combination of a discounted cash flow analysis and a market-based approach. Estimates of fair value include inputs that are subjective in nature, involve uncertainties, and involve matters of significant judgment that are made at a specific point in time. Changes in key assumptions from period to period could significantly affect the estimates of fair value. Significant assumptions used in the fair value estimates include projected revenues and related growth rates over time, projected operating cash flow margins, discount rates, and future economic and market conditions. If the carrying value of the reporting unit exceeds the estimate of fair value, we calculate the impairment as the excess of the carrying value of goodwill over its implied fair value. Indefinite-lived intangible assets, which are newspaper mastheads, are tested for impairment annually or more frequently if events or changes in circumstances indicate the asset might be impaired. The impairment test consists of a comparison of the fair value of each group of mastheads with their carrying amount. We use a relief from royalty approach which utilizes a discounted cash flow model to determine the fair value of newspaper mastheads. Our judgments and estimates of future operating results in determining the reporting unit fair values are consistently applied in determining the fair value of mastheads. The Company assesses the recoverability of its long-lived assets, including property, plant, and equipment and finite-lived intangible assets, whenever events or changes in circumstances indicate their carrying amounts may not be recoverable. The evaluation is performed by asset group, which is the lowest level of identifiable cash flows independent of other assets. The assessment of recoverability is based on management's estimates by comparing the sum of the estimated undiscounted cash flows generated by the underlying asset groups to its carrying value of the asset groups to determine whether an impairment existed at its lowest level of identifiable cash flows. If the carrying amount of the asset group is greater than the expected undiscounted cash flows to be generated by the asset group, an impairment is recognized to the extent the carrying value of such asset group exceeds its fair value. All three of our reporting units have goodwill balances. We conducted our goodwill and indefinite-lived intangible asset impairment testing in the fourth quarter of 2023 and did not identify any impairment. In addition, we had no impairments of goodwill and indefinite-lived intangible assets in 2022 and 2021. |
Income taxes | Income taxes Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. The Company establishes a valuation allowance if it is more likely than not that all or a portion of a deferred tax asset will not be realized. See Note 11 — Income taxes for further discussion. We also evaluate any uncertain tax positions and recognize a liability for the tax benefit associated with an uncertain tax position if it is more likely than not that the tax position will not be sustained on examination by the taxing authorities upon consideration of the technical merits of the position. The tax benefits recognized in the financial statements from such positions are measured based on the largest benefit that has a greater than 50% likelihood of being realized upon ultimate settlement. We record a liability for uncertain tax positions taken or expected to be taken in a tax return. Any change in judgment related to the expected ultimate resolution of uncertain tax positions is recognized in earnings in the period in which such change occurs. |
Fair value of financial instruments | Fair value of financial instruments The carrying value of the Company's cash equivalents, accounts receivable, accounts payable, and accrued liabilities approximate fair value due to the short maturity of these instruments. A discussion of the fair value level of the Company's debt and embedded conversion option is disclosed in Note 8 — Debt. For further details surrounding our policies on fair value measurement, including the fair values of our pension plan assets, refer to Note 10 — Fair value measurement. |
Deferred financing costs | Deferred financing costs Deferred financing costs consist of costs incurred in connection with debt financings and are recorded as a contra-liability in Long-term debt on the Consolidated balance sheets. Such costs are amortized using the effective interest method over the estimated remaining term of the debt. This amortization represents a component of Interest expense. |
Revenue recognition | Revenue recognition Revenues are recognized when control of the promised goods or services is transferred to customers, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services. Our contracts with customers sometimes include promises to transfer multiple products and services to a customer. Revenue from sales agreements that contain multiple performance obligations are allocated to each obligation based on the relative standalone selling price. We determine standalone selling prices based on observable prices charged to customers. Advertising and marketing services revenues The Company generates Print advertising revenues primarily by delivering advertising in its national publication, USA TODAY, and in its local publications including newspapers. Advertising revenues are categorized as local retail, local classified, online, and national. Print advertising revenue is recognized upon publication of the advertisement. Digital advertising and marketing revenues are generated primarily by online marketing products provided by our DMS segment. The Company enters into agreements for products in which our clients typically pay in advance and on a monthly basis. These prepayments include all charges for the included technology and any media services, management, third-party content, and other costs and fees, all of which are accounted for as a single performance obligation. Revenue is then recognized as we purchase and deliver media on behalf of the customer and perform other marketing-related services. For our Advertising and marketing services revenues, we evaluate whether we are the principal (i.e., report revenues on a gross basis) or agent (i.e., report revenues on a net basis) by performing analyses regarding whether we control the provision of specified goods or services before they are transferred to our customers. We report Advertising and marketing services revenues gross when we control advertising inventory before it is transferred to the customer. Our control is evidenced by us being primarily responsible or sharing responsibility for the fulfillment of services and maintaining control over transaction pricing. We recognize revenue when the performance obligation is satisfied. Circulation revenues Circulation revenues are derived from print and digital subscriptions as well as single copy sales at retail stores, vending racks and boxes. Circulation revenues from subscribers are generally billed to customers at the beginning of the subscription period and are typically recognized over the subscription period as the performance obligations are delivered. The term of customer subscriptions normally ranges from one Other revenues The Company provides commercial printing services to third parties as a means to generate incremental revenue and utilize excess printing capacity. Customers consist primarily of other publishers that do not have their own printing presses and do not compete with other Gannett publications. The Company also prints other commercial materials, including flyers, business cards and invitations. Revenue is generally recognized upon delivery. In addition, the Company generates revenues from its events and promotions business. Revenues are generated primarily through ticket sales, endurance events and race management services. Revenue is generally recognized when the event occurs. Practical expedients and exemptions The Company generally expenses sales commissions or other costs to obtain contracts when incurred because the amortization period is generally one year or less. These costs are recorded within Selling, general and administrative expenses. The Company does not disclose unsatisfied performance obligations for (i) contracts with an original expected length of one year or less and (ii) contracts for which the Company recognizes revenue at the amount to which the Company has the right to invoice for services performed. Deferred revenues The Company records deferred revenues when cash payments are received in advance of the Company's performance obligation. The Company's primary source of deferred revenues is from circulation subscriptions paid in advance of the service provided, which represents future delivery of publications (the performance obligation) to subscription customers. The Company expects to recognize the revenue related to unsatisfied performance obligations over the next one The Company's payment terms vary by the type and location of the customer and the products or services offered. The period between invoicing and when payment is due is not significant. For certain products or services and customer types, the Company requires payment before the products or services are delivered to the customer. The majority of our subscription customers are billed and required to pay on monthly terms. |
Advertising costs | Advertising costs |
Pension and postretirement liabilities | Pension and postretirement liabilities Pension and other postretirement benefit costs under our defined benefit retirement plans are actuarially determined. For plans with frozen benefits, we recognize the cost of postretirement benefits such as pension, medical, and life insurance benefits on an accrual basis over the average life expectancy of employees expected to receive such benefits. For active plans, costs are |
Share-based compensation | Share-based compensation Share-based payments to employees and members of the Board of Directors, including grants of stock options and restricted stock, are recognized in the Consolidated financial statements over the service period (generally the vesting period) based on fair values measured on grant dates, less forfeitures. The Company accounts for forfeitures as they occur. |
Self-insurance liability accruals | Self-insurance liability accruals The Company maintains self-insured medical and workers' compensation programs. The Company purchases stop loss coverage from third parties, which limits our exposure to large claims. The Company records a liability for healthcare and workers' compensation costs during the period in which they occur, including an estimate of incurred but not reported claims. |
Concentration of risk | Concentration of risk |
Leases | Leases We determine if an arrangement is a lease at inception. Operating leases are included in Operating lease assets, Other current liabilities, and Long-term operating lease liabilities on our Consolidated balance sheets. Operating lease right-of-use ("ROU") assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. The rates implicit within the Company's leases are generally not determinable; therefore, the Company uses judgment to determine the incremental borrowing rate used to calculate the present value of lease payments. The incremental borrowing rate is determined using our credit rating and information available related to similar terms and payments as of the commencement date. ROU assets are assessed for impairment in accordance with the Company's accounting policy for long-lived assets. Our lease terms include options to extend or terminate. The period which is subject to an option to extend the lease is included in the lease term if it is reasonably certain that the option will be exercised. The period which is subject to an option to terminate the lease is included if it is reasonably certain that the option will not be exercised. Lease expense for minimum lease payments is recognized on a straight-line basis over the lease term. For all material classes of leased assets, we do not separate lease components from non-lease components, and account for both components as a single lease component. For certain equipment leases, we apply a portfolio approach to account for the operating lease ROU assets and liabilities. |
Loss contingencies | Loss contingencies We are subject to various legal proceedings, claims, and regulatory matters, the outcomes of which are subject to significant uncertainty. We determine whether to disclose or accrue for loss contingencies based on an assessment of whether the risk of loss is remote, reasonably possible, or probable and whether it can be reasonably estimated. We accrue for loss contingencies when such amounts are probable and reasonably estimable. If a contingent liability is only reasonably possible, we will disclose the potential range of the loss if material and estimable. Legal costs expected to be incurred in connection with loss contingencies are expensed as incurred. |
Foreign currency translation | Foreign currency translation The statements of income of foreign operations have been translated to U.S. dollars using the average currency exchange rates in effect during the relevant period. The balance sheets have been translated using the currency exchange rates as of the end of the accounting period. The impact of currency exchange rate changes on the translation of the balance sheets are included in Comprehensive income (loss) in the Consolidated statements of operations and comprehensive income (loss) and are classified as Accumulated other comprehensive loss in the Consolidated balance sheets and Consolidated statements of equity. |
Recent accounting pronouncements adopted and not yet updated | Recent accounting pronouncements adopted Reference rate reform In March 2020, the Financial Accounting Standards Board (the "FASB") issued guidance, ASU 2020-04, that provides optional expedients and exceptions for contracts, hedging relationships, and other transactions that reference the London Inter-bank Offered Rate ("LIBOR"). The guidance in ASU 2020-04 (as amended by ASU 2022-06 in December 2022) is optional and may be elected over time as reference rate reform activities occur through December 31, 2024. During the quarter ended March 31, 2022, the Company applied the optional expedient for contract modifications to the amendment of its five-year senior secured term loan facility in an original aggregate principal amount of $516.0 million (the "Senior Secured Term Loan") with Citibank N.A., as collateral agent and administrative agent for the lenders. The adoption of this guidance did not have a material impact on the Consolidated financial statements. Accounting for convertible instruments and contracts in an entity's own equity In August 2020, the FASB issued guidance, ASU 2020-06, that simplifies the accounting for convertible instruments by reducing the number of accounting models for convertible debt instruments and convertible preferred stock. In addition to eliminating certain accounting models, the guidance amends the disclosures for convertible instruments and earnings-per-share guidance. It also amends the guidance for the derivatives scope exception for contracts in an entity's own equity to reduce form-over-substance-based accounting conclusions. The adoption of this guidance, effective January 1, 2022, did not have a material impact on the accounting for the Company's $497.1 million in aggregate principal amount of 6.0% Senior Secured Convertible Notes due 2027 issued by the Company on November 17, 2020 (the "2027 Notes"), or on the Consolidated financial statements. Accounting for contract assets and contract liabilities from contracts with customers in a business combination In October 2021, the FASB issued guidance, ASU 2021-08, that requires an acquirer to recognize and measure certain contract assets and contract liabilities in a business combination in accordance with ASC 606, "Revenue from Contracts with Customers," rather than at fair value on the acquisition date as required under current U.S. GAAP. This guidance is effective for fiscal years beginning after December 15, 2022, with early adoption permitted, including interim periods within those fiscal years. The early adoption of this guidance effective January 1, 2022 did not have a material impact on the Consolidated financial statements. Disclosures by business entities about government assistance In November 2021, the FASB issued guidance, ASU 2021-10, that requires annual disclosures for transactions with a government that are accounted for by applying a grant or contribution accounting model by analogy, including: (i) information about the nature of the transactions and related accounting policy used to account for the transactions; (ii) the line items on the Consolidated balance sheets and Consolidated statements of operations and comprehensive income (loss) affected by these transactions, including amounts applicable to each line; and (iii) significant terms and conditions of the transactions, including commitments and contingencies. The early adoption of this guidance effective January 1, 2022, did not have a material impact on the Consolidated financial statements. Recent accounting pronouncements not yet adopted Disclosure improvements In October 2023, the FASB issued guidance, ASU 2023-06, that incorporates several disclosure and presentation requirements into the FASB’s Accounting Standards Codification (the "Codification") currently residing in Securities and Exchange Commission ("SEC") Regulation S-X and Regulation S-K. As the Company is currently subject to these SEC requirements, ASU 2023-06 is not expected to have a material impact on the Consolidated financial statements. The effective date for each amendment in the Codification will be the date on which the SEC's removal of the related disclosure from Regulation S-X or Regulation S-K becomes effective. If, by June 30, 2027, the SEC has not removed the existing disclosure requirements from Regulation S-X or Regulation S-K, the pending disclosure requirements will be removed from the Codification and will not become effective for any entity. ASU 2023-06 will be applied prospectively. In November 2023, the FASB issued guidance, ASU 2023-07, which will improve reportable segment disclosure requirements primarily through enhanced disclosures about significant segment expenses. ASU 2023-07 applies to all public entities that are required to report segment information in accordance with ASC 280, "Segment Reporting." The Company will be required to report these enhanced segment disclosures starting in annual periods beginning after December 15, 2023 and requires retrospective application to all prior periods presented in the financial statements. The Company does not expect the adoption of this guidance will have a material impact on the Consolidated financial statements. In November 2023, the FASB issued guidance, ASU 2023-09, which enhances annual income tax disclosures. ASU 2023-09 requires disaggregated information about a reporting entity's effective tax rate reconciliation as well as information on income taxes paid. ASU 2023-09 will be effective for annual periods beginning after December 15, 2024. The Company is currently evaluating the provisions of the updated guidance and assessing the impact on the Consolidated financial statements. |
Summary of significant accoun_3
Summary of significant accounting policies (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Schedule of Cash and Cash Equivalents | The following table presents a reconciliation of cash, cash equivalents and restricted cash: December 31, In thousands 2023 2022 2021 Cash and cash equivalents $ 100,180 $ 94,255 $ 130,756 Restricted cash, included in prepaid expenses and other current assets 371 563 4,606 Restricted cash, included in other assets 10,061 9,986 8,257 Total cash, cash equivalents and restricted cash $ 110,612 $ 104,804 $ 143,619 |
Schedule Restrictions on Cash and Cash Equivalents | The following table presents a reconciliation of cash, cash equivalents and restricted cash: December 31, In thousands 2023 2022 2021 Cash and cash equivalents $ 100,180 $ 94,255 $ 130,756 Restricted cash, included in prepaid expenses and other current assets 371 563 4,606 Restricted cash, included in other assets 10,061 9,986 8,257 Total cash, cash equivalents and restricted cash $ 110,612 $ 104,804 $ 143,619 |
Schedule of Cash Flow, Supplemental Disclosures | The following table presents supplementary cash flow information, including non-cash investing and financing activities: Year ended December 31, In thousands 2023 2022 2021 Net cash paid (refund) for taxes, net $ 8,222 $ 3,409 $ (8,324) Cash paid for interest 89,335 86,485 103,879 Non-cash investing and financing activities: Accrued capital expenditures 2,390 699 1,682 |
Schedule Property, Plant and Equipment | A breakout of property, plant, and equipment and software is presented below: December 31, In thousands 2023 2022 Useful Lives (range) Land $ 21,990 $ 30,328 Buildings and improvements 147,171 179,657 10 years - 30 years Machinery and equipment 258,432 320,414 3 years - 20 years Capitalized software 114,122 95,480 3 years - 5 years Furniture and fixtures 23,541 28,904 7 years - 10 years Construction in progress 10,239 11,733 Total 575,495 666,516 Less: accumulated depreciation (a) (336,408) (360,522) Property, plant, and equipment, net $ 239,087 $ 305,994 (a) Includes accumulated depreciation of capitalized software of approximately $74.4 million and $62.5 million for the years ended December 31, 2023 and 2022, respectively. |
Schedule of Accounts Payable and Accrued Liabilities | A breakout of Accounts payable and accrued liabilities is presented below: December 31, In thousands 2023 2022 Accounts payable $ 142,215 $ 189,094 Compensation 82,160 87,937 Taxes (primarily property, sales, and payroll taxes) 9,990 11,940 Benefits 19,422 21,942 Interest 5,617 6,162 Other 34,040 34,773 Accounts payable and accrued liabilities $ 293,444 $ 351,848 |
Revenues (Tables)
Revenues (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Disaggregation of Revenue | The following tables present our revenues disaggregated by segment and revenue type: Year ended December 31, 2023 In thousands Domestic Gannett Media Newsquest Digital Marketing Solutions Corporate and other Intersegment Eliminations Consolidated Local and national print $ 292,211 $ 37,745 $ — $ — $ — $ 329,956 Classified print 209,490 37,099 — — — 246,589 Print advertising 501,701 74,844 — — — 576,545 Digital media 238,706 41,890 — — — 280,596 Digital marketing services 140,589 8,920 477,909 — (150,460) 476,958 Digital classified 44,543 8,472 — — — 53,015 Digital advertising and marketing services 423,838 59,282 477,909 — (150,460) 810,569 Advertising and marketing services 925,539 134,126 477,909 — (150,460) 1,387,114 Print circulation 704,158 68,042 — — — 772,200 Digital-only subscription 150,384 5,237 — — — 155,621 Circulation 854,542 73,279 — — — 927,821 Other (a)(b) 315,772 26,575 — 6,268 — 348,615 Total revenues $ 2,095,853 $ 233,980 $ 477,909 $ 6,268 $ (150,460) $ 2,663,550 (a) For the year ended December 31, 2023, included Other Digital revenues of $67.5 million, $10.4 million, and $6.3 million at the Domestic Gannett Media and Newsquest segments and the Corporate and other category, respectively. (b) At the Domestic Gannett Media segment, Other Digital revenues include digital content syndication and affiliate revenues, at the Newsquest segment, Other Digital revenues include digital production revenues, and at the Corporate and other category, Other Digital revenues include licensing revenues. Year ended December 31, 2022 In thousands Domestic Gannett Media Newsquest Digital Marketing Solutions Corporate and other Intersegment Eliminations Consolidated Local and national print $ 363,772 $ 40,526 $ — $ — $ — $ 404,298 Classified print 230,969 35,615 — — — 266,584 Print advertising 594,741 76,141 — — — 670,882 Digital media 260,417 39,358 — — — 299,775 Digital marketing services 133,219 9,263 468,883 — (143,456) 467,909 Digital classified 46,039 11,532 — — — 57,571 Digital advertising and marketing services 439,675 60,153 468,883 — (143,456) 825,255 Advertising and marketing services 1,034,416 136,294 468,883 — (143,456) 1,496,137 Print circulation 884,854 67,165 — — — 952,019 Digital-only subscription 127,671 4,947 — — — 132,618 Circulation 1,012,525 72,112 — — — 1,084,637 Other (a)(b) 332,865 26,224 — 5,440 — 364,529 Total revenues $ 2,379,806 $ 234,630 $ 468,883 $ 5,440 $ (143,456) $ 2,945,303 (a) For the year ended December 31, 2022, included Other Digital revenues of $65.8 million, $9.5 million, and $5.4 million at the Domestic Gannett Media and Newsquest segments and the Corporate and other category, respectively. (b) At the Domestic Gannett Media segment, Other Digital revenues include digital content syndication and affiliate revenues, at the Newsquest segment, Other Digital revenues include digital production revenues, and at the Corporate and other category, Other Digital revenues include licensing revenues. Year ended December 31, 2021 In thousands Domestic Gannett Media Newsquest Digital Marketing Solutions Corporate and other Intersegment Eliminations Consolidated Local and national print $ 469,211 $ 32,803 $ — $ — $ — $ 502,014 Classified print 259,081 31,191 — — — 290,272 Print advertising 728,292 63,994 — — — 792,286 Digital media 324,843 36,445 409 1,452 — 363,149 Digital marketing services 125,861 5,872 440,985 379 (129,322) 443,775 Digital classified 40,245 11,651 — 55 — 51,951 Digital advertising and marketing services 490,949 53,968 441,394 1,886 (129,322) 858,875 Advertising and marketing services 1,219,241 117,962 441,394 1,886 (129,322) 1,651,161 Print circulation 1,083,760 65,421 — 5 — 1,149,186 Digital-only subscription 95,340 5,148 — — — 100,488 Circulation 1,179,100 70,569 — 5 — 1,249,674 Other (a)(b) 279,776 20,087 905 6,480 — 307,248 Total revenues $ 2,678,117 $ 208,618 $ 442,299 $ 8,371 $ (129,322) $ 3,208,083 (a) For the year ended December 31, 2021, included Other Digital revenues of $57.4 million, $7.0 million, $0.9 million, and $3.3 million at the Domestic Gannett Media, Newsquest and DMS segments and the Corporate and other category, respectively. (b) |
Schedule of Deferred Revenue | The following table presents the change in the deferred revenues balance by type of revenue: Year ended December 31, 2023 Year ended December 31, 2022 In thousands Advertising, marketing services and other Circulation Total Advertising, marketing services and other Circulation Total Beginning balance $ 46,327 $ 107,321 $ 153,648 $ 60,665 $ 124,173 $ 184,838 Acquisition — — — — 2,388 2,388 Cash receipts, net of refunds 293,079 804,620 1,097,699 273,308 939,473 1,212,781 Revenue recognized (305,443) (825,402) (1,130,845) (287,646) (958,713) (1,246,359) Ending balance $ 33,963 $ 86,539 $ 120,502 $ 46,327 $ 107,321 $ 153,648 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
Schedule of Components Of Leases Expenses | The components of lease expense are as follows: Year ended December 31, In thousands 2023 2022 2021 Operating lease cost (a) $ 64,845 $ 73,103 $ 80,213 Short-term lease cost (b) 900 929 886 Variable lease cost 13,200 13,002 11,464 Net lease cost $ 78,945 $ 87,034 $ 92,563 (a) Includes sublease income of $9.1 million, $7.7 million, and $6.5 million for the years ended December 31, 2023, 2022, and 2021, respectively. (b) Excludes expenses relating to leases with a lease term of one month or less. Supplemental information related to leases are as follows: Year ended December 31, In thousands, except lease term and discount rate 2023 2022 2021 Cash paid for amounts included in the measurement of operating lease liabilities $ 76,338 $ 79,659 $ 81,380 Right-of-use assets obtained in exchange for operating lease obligations 31,501 15,272 38,137 (Gain) loss on sale and leaseback transactions, net (40,221) (12,249) 1,938 Weighted-average remaining lease term (in years) 6.4 6.8 7.3 Weighted-average discount rate 13.0 % 12.6 % 12.8 % |
Schedule of Future Minimum Lease Payments | Future minimum lease payments under non-cancellable leases are as follows: In thousands Year ended December 31, 2024 $ 72,031 2025 61,421 2026 49,531 2027 42,269 2028 37,825 Thereafter 112,133 Total future minimum lease payments 375,210 Less: Imputed interest 125,576 Total $ 249,634 |
Accounts receivable, net (Table
Accounts receivable, net (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Receivables [Abstract] | |
Schedule of Allowance for Doubtful Accounts | The following table presents changes in the allowance for doubtful accounts: Year ended December 31, In thousands 2023 2022 Beginning balance $ 16,697 $ 16,470 Current period provision 12,316 9,498 Write-offs charged against the allowance (17,143) (14,333) Recoveries of amounts previously written-off 4,325 4,567 Other 143 495 Ending balance $ 16,338 $ 16,697 |
Goodwill and intangible assets
Goodwill and intangible assets (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill and Intangible Assets | Goodwill and intangible assets consisted of the following: December 31, 2023 December 31, 2022 In thousands Gross Accumulated Net Gross Accumulated Net Finite-lived intangible assets: Advertiser relationships $ 446,609 $ 236,168 $ 210,441 $ 445,775 $ 192,032 $ 253,743 Other customer relationships 101,819 56,601 45,218 102,224 45,811 56,413 Subscriber relationships 251,099 155,528 95,571 251,083 126,899 124,184 Other intangible assets 68,780 62,536 6,244 68,780 55,932 12,848 Sub-total $ 868,307 $ 510,833 $ 357,474 $ 867,862 $ 420,674 $ 447,188 Indefinite-lived intangible assets: Mastheads 166,876 166,170 Total intangible assets $ 524,350 $ 613,358 Goodwill $ 533,876 $ 533,166 |
Schedule of the Change in Net Goodwill | Changes in the carrying amount of Goodwill by segment are as follows: In thousands Domestic Gannett Media Newsquest Digital Marketing Solutions Total Balance at December 31, 2021 $ 401,253 $ 14,985 $ 117,471 $ 533,709 Acquisitions 990 1,869 — 2,859 Divestitures (1,147) — — (1,147) Foreign exchange 10 (2,265) — (2,255) Balance at December 31, 2022 $ 401,106 $ 14,589 $ 117,471 $ 533,166 Acquisitions — 30 — 30 Divestitures (46) (82) — (128) Foreign exchange (3) 811 — 808 Balance at December 31, 2023 $ 401,057 $ 15,348 $ 117,471 $ 533,876 |
Integration and reorganizatio_2
Integration and reorganization costs and asset impairments (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Restructuring and Related Activities [Abstract] | |
Schedule of Restructuring and Related Costs | The Company recorded severance-related expenses by segment as follows: Year ended December 31, In thousands 2023 2022 2021 Domestic Gannett Media 9,935 40,654 13,576 Newsquest 1,762 4,216 953 Digital Marketing Solutions 756 434 321 Corporate and other 6,064 12,310 1,621 Total $ 18,517 $ 57,614 $ 16,471 A roll-forward of the accrued severance and related expenses included in Accounts payable and accrued liabilities on the Consolidated balance sheets for the years ended December 31, 2023 and 2022 is as follows: In thousands Severance and related expenses Balance at December 31, 2021 $ 12,558 Restructuring provision included in integration and reorganization costs 57,614 Cash payments (40,399) Balance at December 31, 2022 29,773 Restructuring provision included in integration and reorganization costs 18,517 Cash payments (41,362) Balance at December 31, 2023 $ 6,928 |
Schedule of Facility Consolidation Charges | The Company recorded Other restructuring-related costs by segment as follows: Year ended December 31, In thousands 2023 2022 2021 Domestic Gannett Media (a) (4,353) 14,921 1,145 Newsquest 1 209 286 Digital Marketing Solutions 28 674 1,389 Corporate and other 10,275 14,556 29,993 Total $ 5,951 $ 30,360 $ 32,813 (a) For the year ended December 31, 2023, Other restructuring-related costs at the Domestic Gannett Media segment reflected the reversal of withdrawal liabilities related to multiemployer pension plans based on settlement of the withdrawal liability. For the year ended December 31, 2022 , Other restructuring-related costs at the Domestic Gannett Media segment reflected a withdrawal liability which was expensed as a result of ceasing contributions to a multiemployer pension plan, as well as facilities consolidation expenses associated with exiting a lease. |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of Debt | The Company's debt consisted of the following: December 31, 2023 December 31, 2022 In millions Principal balance Unamortized original issue discount Unamortized deferred financing costs Carrying value Principal balance Unamortized original issue discount Unamortized deferred financing costs Carrying value Senior Secured Term Loan $ 350.4 $ (5.2) $ (1.1) $ 344.1 $ 438.4 $ (8.9) $ (1.9) $ 427.6 2026 Senior Notes 291.6 (5.8) (4.6) 281.2 345.2 (9.4) (7.3) 328.5 2027 Notes 485.3 (67.8) (1.5) 416.0 485.3 (81.2) (1.7) 402.4 2024 Notes 3.3 — — 3.3 3.3 — — 3.3 Total debt $ 1,130.6 $ (78.8) $ (7.2) $ 1,044.6 $ 1,272.2 $ (99.5) $ (10.9) $ 1,161.8 Less: Current portion of long-term debt $ (63.8) $ — $ — $ (63.8) $ (60.5) $ — $ — $ (60.5) Non-current portion of long-term debt $ 1,066.8 $ (78.8) $ (7.2) $ 980.8 $ 1,211.7 $ (99.5) $ (10.9) $ 1,101.3 |
Schedule of Fair Value Assumptions | The assumptions used to determine the fair value as of February 26, 2021 were: February 26, 2021 Annual volatility 70.0 % Discount rate 12.2 % Stock price $ 4.95 |
Schedule of Future Debt Obligation Payments | Future debt obligation payments for the year ended December 31, are as follows: In millions Principal payments 2024 $ 63.8 2025 60.5 2026 521.0 2027 485.3 2028 and thereafter — Total debt obligations $ 1,130.6 |
Pensions and other postretire_2
Pensions and other postretirement benefit plans (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Retirement Benefits [Abstract] | |
Schedule Changes in Projected Benefit Obligations Amounts Recognized in Other Comprehensive Income Loss | The following table presents the change in the projected benefit obligation for the years ended December 31: Pension benefits Postretirement benefits In thousands 2023 2022 2023 2022 Projected benefit obligation at beginning of period $ 1,642,180 $ 3,003,324 $ 47,043 $ 64,038 Service cost 1,366 1,754 40 77 Interest cost 84,449 71,733 2,334 1,770 Change in prior service cost — — (3,307) — Actuarial loss (gain) 21,769 (724,223) 109 (14,092) Foreign currency translation 33,973 (107,930) — — Benefits and expenses paid (125,692) (147,640) (4,500) (4,750) Pension settlement — (454,838) — — Projected benefit obligation at end of period $ 1,658,045 $ 1,642,180 $ 41,719 $ 47,043 The following table presents the change in the fair value of plan assets for the years ended December 31, and the plans' funded status at December 31: Pension benefits Postretirement benefits In thousands 2023 2022 2023 2022 Fair value of plan assets at beginning of period $ 1,720,810 $ 3,218,953 $ — $ — Actual return on plan assets 150,371 (792,302) — — Employer contributions 1,441 18,140 4,500 4,750 Pension settlement — (454,838) — — Benefits paid (125,692) (147,640) (4,500) (4,750) Foreign currency translation 36,968 (121,503) — — Fair value of plan assets at end of period $ 1,783,898 $ 1,720,810 $ — $ — Funded status at end of period 125,853 78,630 (41,719) (47,043) Unrecognized actuarial loss (gain) 90,813 118,914 (13,555) (16,154) Unrecognized prior service cost 1,581 1,561 (2,738) — Net prepaid (accrued) benefit cost 218,247 199,105 (58,012) (63,197) Amounts recognized in the Consolidated balance sheets at December 31, are listed below: Pension benefits Postretirement benefits In thousands 2023 2022 2023 2022 Other assets $ 131,881 $ 87,909 $ — $ — Accounts payable and accrued liabilities 282 332 4,804 5,280 Pension and other postretirement benefit obligations 5,746 8,947 36,915 41,763 Accumulated other comprehensive (loss) income (92,394) (120,475) 16,293 16,154 Net prepaid (accrued) benefit cost $ 218,247 $ 199,105 $ (58,012) $ (63,197) Funded plans Underfunded plans In thousands 2023 2022 2023 2022 Projected benefit obligation $ 1,602,112 $ 1,584,658 $ 55,933 $ 57,522 Accumulated benefit obligation 1,601,306 1,583,793 55,933 57,522 Fair value of plan assets 1,733,993 1,672,568 49,905 48,242 |
Schedule of Defined Benefit Plan Amounts Recognized in Other Comprehensive Income (Loss) | The following table presents the components of net periodic benefit cost and amounts recognized in Other comprehensive income (loss) at December 31, 2023, 2022, and 2021: Pension benefits Postretirement benefits In thousands 2023 2022 2021 2023 2022 2021 Components of net periodic benefit cost: Operating expenses: Service cost - benefits earned during the period $ 1,366 $ 1,754 $ 2,064 $ 40 $ 77 $ 89 Non-operating expenses: Interest cost on benefit obligations 84,449 71,733 68,139 2,334 1,770 1,758 Expected return on plan assets (95,358) (131,295) (165,390) — — — Amortization of actuarial loss (gain) 2,185 89 152 (2,490) (589) (88) Amortization of prior service costs 67 66 — (569) — — Pension settlement gain — (727) — — — — Other adjustment — — 72 — — — Total non-operating (benefit) expense (8,657) (60,134) (97,027) (725) 1,181 1,670 Total (benefit) expense for retirement plans $ (7,291) $ (58,380) $ (94,963) $ (685) $ 1,258 $ 1,759 Other changes in plan assets and benefit obligations recognized in Other comprehensive income (loss): Net actuarial (gain) loss $ (33,244) $ 199,374 $ (5,875) $ 109 $ (14,092) $ (7,936) Amortization of net actuarial (loss) gain (2,185) (89) (152) 2,490 589 88 Change in prior service cost — — — (3,307) — — Amortization of prior service costs (67) (66) — 569 — — Other adjustment 6,805 (5,283) 387 — — — (Gain) loss recognized in Other comprehensive income (loss) $ (28,691) $ 193,936 $ (5,640) $ (139) $ (13,503) $ (7,848) |
Schedule of Assumptions Used | The following assumptions were used in connection with the Company's actuarial valuation of its pension plans and postretirement benefit obligations at December 31: Pension benefits Postretirement benefits 2023 2022 2023 2022 Weighted average discount rate 5.1 % 5.4 % 5.4 % 5.7 % Rate of increase in future compensation levels (a) 2.0 % 2.0 % N/A N/A Current year medical trend N/A N/A 6.3 % 6.5 % Ultimate year medical trend N/A N/A 4.5 % 4.5 % Year of ultimate trend N/A N/A 2031 2031 (a) Relates only to the Newspaper Guild of Detroit defined benefit pension plans. The following assumptions were used to calculate the net periodic benefit cost for the Company's pension plans and postretirement benefit obligations at December 31, 2023, 2022, and 2021: Pension benefits Postretirement benefits 2023 2022 2021 2023 2022 2021 Weighted average discount rate 5.4 % 3.8 % 2.2 % 5.7 % 3.0 % 2.6 % Rate of increase in future compensation levels (a) 2.0 % 2.0 % 2.0 % N/A N/A N/A Weighted average expected return on assets 5.7 % 4.8 % 5.3 % N/A N/A N/A Current year medical trend N/A N/A N/A 6.5 % 6.0 % 6.0 % Ultimate year medical trend N/A N/A N/A 4.5 % 4.5 % 4.5 % Year of ultimate trend N/A N/A N/A 2031 2028 2028 (a) Relates only to the Newspaper Guild of Detroit defined benefit pension plans. |
Schedule of Allocation of Plan Assets | The weighted average target asset allocation of our plans for 2024 and allocations at the end of 2023 and 2022, by asset category, are presented in the table below: Target allocation Allocation of plan assets 2024 2023 2022 Equity securities 22% 24% 16% Debt securities 62% 57% 60% Alternative investments (a) 16% 19% 24% Total 100% 100% 100% (a) Alternative investments include real estate, private equity and hedge funds. |
Schedule of Estimated Benefit Payments | We estimate making the following benefit payments, which reflect expected future service: In thousands Pension benefits Postretirement benefits 2024 $ 139,335 $ 4,932 2025 137,694 4,663 2026 135,636 4,395 2027 136,027 4,144 2028 130,738 3,894 Thereafter 563,088 16,151 |
Schedule of Multiemployer Pension Plans | For each of the plans listed below, the Company's contribution represented less than 5% of total contributions to the plan. EIN/Plan number Zone status Year Ended FIP/RP status Contributions (In thousands) Surcharge imposed Expiration dates of CBAs Pension Plan Name December 31, 2023 December 31, 2022 2023 2022 2021 CWA/ITU Negotiated Pension Plan 13-6212879/001 Red Red Implemented $ 255 $ 276 $ 369 No March 30, 2024 and April 25, 2024 GCIU—Employer Retirement Benefit Plan (a) 91-6024903/001 Red Red Implemented 41 42 63 No 4/25/2024 The Newspaper Guild International Pension Plan (a) 52-1082662/001 Red Red Implemented 14 15 12 No 10/6/2021 IAM National Pension Plan (a) (b) 51-6031295/002 Red Red Implemented 147 177 188 Yes January 6, 2024 and January 8, 2024 Teamsters Pension Trust Fund of Philadelphia and Vicinity (a) 23-1511735/001 Green as of Apr. 30, 2023 Green as of Apr. 29, 2022 N/A 965 1,249 1,098 N/A 6/2/2022 Central Pension Fund of the International Union of Operating Engineers and Participating Employers (a) 36-6052390/001 Green Green N/A 58 56 59 N/A 1/9/2024 Total $ 1,480 $ 1,815 $ 1,789 (a) This plan has elected to utilize special amortization provisions provided under the Preservation of Access to Care for Medicare Beneficiaries and Pension Relief Act of 2010. (b) The trustees of this plan have voluntarily elected to put the fund in critical status to strengthen its funding position. |
Fair value measurement (Tables)
Fair value measurement (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value of Pension Plan Assets by Level Within Fair Value Hierarchy | The following table sets forth by level, within the fair value hierarchy, the fair values of assets related to the following pension plans: the (i) GWP Plan, (ii) TPC Plan, (iii) GR Plan, (iv) U.K. Pension Plans and (v) Newspaper Guild of Detroit Pension Plan as of December 31, 2023 : Pension Plan Assets and Liabilities as of December 31, 2023 In thousands Level 1 Level 2 Level 3 Total Assets: Cash and cash equivalents $ 11,524 $ 1,899 $ — $ 13,423 Corporate common stock 98,309 — — 98,309 Corporate and government bonds — 253,403 — 253,403 Real estate — — 133,503 133,503 Mutual funds 22,764 — — 22,764 Exchange traded funds 21,050 — — 21,050 Interest in common/collective trusts: Equities — 296,624 — 296,624 Fixed income — 691,479 — 691,479 Partnership/joint venture interests — — 169,932 169,932 Hedge funds — — 48,695 48,695 Total plan assets at fair value excluding those measured at NAV $ 153,647 $ 1,243,405 $ 352,130 $ 1,749,182 Instruments measured at NAV using the practical expedient: Real estate funds 9,576 Interest in common/collective trusts - fixed income 23,396 Partnerships/joint ventures 3,213 Total plan assets at fair value $ 1,785,367 Liabilities: Other liabilities $ (1,469) $ — $ — $ (1,469) Total plan liabilities at fair value $ (1,469) $ — $ — $ (1,469) The following table sets forth by level, within the fair value hierarchy, the fair values of assets and liabilities related to the following pension plans: the (i) GWP Plan, (ii) TPC Plan, (iii) GR Plan, (iv) U.K. Pension Plans and (v) the Newspaper Guild of Detroit Pension Plan as of December 31, 2022 : Pension Plan Assets and Liabilities as of December 31, 2022 (a) In thousands Level 1 Level 2 Level 3 Total Assets: Cash and cash equivalents $ 11,133 $ 1,660 $ — $ 12,793 Corporate common stock 111,351 — — 111,351 Corporate and government bonds — 246,555 — 246,555 Real estate — — 132,593 132,593 Mutual funds 24,346 — — 24,346 Exchange traded funds 18,494 — — 18,494 Interest in common/collective trusts: Equities — 252,718 — 252,718 Fixed income — 614,718 — 614,718 Partnership/joint venture interests — — 166,184 166,184 Hedge funds — — 63,054 63,054 Other assets — — 2 2 Total plan assets at fair value, excluding those measured at NAV $ 165,324 $ 1,115,651 $ 361,833 $ 1,642,808 Assets measured at NAV using the practical expedient: Real estate funds 12,415 Interest in common/collective trusts - fixed income 21,547 Partnership/joint venture interests 48,927 Total plan assets at fair value $ 1,725,697 Liabilities: Other liabilities $ (2,381) $ (498) $ (2,008) $ (4,887) Total plan liabilities at fair value $ (2,381) $ (498) $ (2,008) $ (4,887) (a) Certain reclassifications have been made to the 2022 table above to conform to classifications used in the current year. These reclassifications had no impact on the leveling of assets or liabilities within the table nor on the total plan assets or liabilities held at fair value as of December 31, 2022. |
Schedule of Changes in Fair Value of Pension Plan Assets and Liabilities, Categorized as Level 3 | The following table sets forth a summary of changes in the fair value of the Level 3 pension plan assets for the year ended December 31, 2023: Actual return on plan In thousands Balance at Relating to assets still held at report date Relating to assets sold during the period Purchases Sales Settlements Balance at Assets: Real estate $ 132,593 $ 2,683 $ — $ 13 $ (1,786) $ — $ 133,503 Partnership/joint venture interests 166,184 4,164 — 30,714 (25,917) (5,213) 169,932 Hedge funds 63,054 3,141 — — — (17,500) 48,695 Other assets 2 — — — — (2) — Total assets $ 361,833 $ 9,988 $ — $ 30,727 $ (27,703) $ (22,715) $ 352,130 Liabilities: Other liabilities $ 2,008 $ — $ — $ — $ — $ (2,008) $ — The following table sets forth a summary of changes in the fair value of the Level 3 pension plan assets and liabilities for the year ended December 31, 2022 : Actual return on plan In thousands Balance at Relating to assets still held at report date Relating to assets sold during the period Purchases Sales Settlements Balance at Assets: Real estate $ 150,589 $ (29,890) $ — $ 18,819 $ (6,925) $ — $ 132,593 Partnership/joint venture interests 186,817 (9,315) — 37,712 (31,648) (17,382) 166,184 Hedge funds 100,828 2,226 — — — (40,000) 63,054 Other assets 2 — — — — — 2 Total assets $ 438,236 $ (36,979) $ — $ 56,531 $ (38,573) $ (57,382) $ 361,833 Liabilities: Other liabilities $ 2,008 $ — $ — $ — $ — $ — $ 2,008 |
Income taxes (Tables)
Income taxes (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Loss Before Income Taxes and Provision for Income Taxes | The components of Loss before income taxes consist of the following: Year ended December 31, In thousands 2023 2022 2021 Domestic $ (55,073) $ (121,840) $ (152,796) Foreign 48,908 44,934 64,875 Loss before income taxes $ (6,165) $ (76,906) $ (87,921) The Provision for income taxes consists of the following: Year ended December 31, In thousands 2023 2022 2021 Current: Federal $ (311) $ (3,579) $ 579 State and local 1,705 804 1,180 Foreign 8,821 1,575 1,521 Total current 10,215 (1,200) 3,280 Deferred: Federal 6,436 (692) 27,842 State and local 399 (5,868) 1,663 Foreign 4,679 9,109 15,465 Total deferred 11,514 2,549 44,970 Provision for income taxes $ 21,729 $ 1,349 $ 48,250 |
Schedule of Reconciliation of Effective Tax Rate | The Provision for income taxes varies from the federal statutory tax rate as a result of the following differences: Year ended December 31, In percentage 2023 2022 2021 Federal statutory tax rate 21.0 % 21.0 % 21.0 % (Increase) decrease in taxes resulting from: State and local income taxes, net of federal benefit 3.6 6.0 (3.0) Debt refinancing — — (30.2) Change in valuation allowance (130.0) (30.9) (40.6) Foreign tax rates differences (9.2) 0.4 0.8 Non-deductible parking (2.5) (0.2) (0.3) Non-deductible meals, entertainment (12.8) (0.9) (0.9) Gain (loss) on foreign exchange rate 2.4 0.4 (0.2) Stock compensation windfall/(shortfall) (24.2) (0.2) (0.2) Partnership permanent differences (2.0) (0.1) — Tegna indemnification release (2.8) (0.7) (0.4) Foreign entities loss adjustments (1.3) (1.6) (0.5) Newsquest permanent differences (7.6) (0.1) 3.2 Nondeductible compensation (13.4) (2.3) (0.4) Provision to return and deferred tax adjustments (45.1) 5.4 (4.9) Capital loss carryforward — — (1.6) Paycheck Protection Program Loan forgiveness — — 3.8 Global intangible low-taxed income (112.7) (4.6) (5.8) Branch income 5.4 1.2 1.6 Profit on non-qualifying land and buildings 0.2 0.1 2.4 Uncertain tax positions (134.5) (2.6) (8.6) Deduction for interest expense 102.7 8.5 8.4 Other expenses 10.3 (0.6) 1.5 Effective tax rate NM (1.8) % NM NM indicates not meaningful. |
Schedule of Deferred Tax Liabilities and Assets | The tax effects of each type of temporary differences and carryforwards that give rise to significant portions of our deferred tax assets and deferred tax liabilities are presented below: December 31, In thousands 2023 2022 Deferred tax liabilities: Fixed assets $ (5,565) $ (13,850) Right of use asset (60,384) (61,366) Convertible debt (18,441) (22,808) Pension and other postretirement benefit obligations (8,388) — Definite and indefinite lived intangible assets (20,457) (32,197) Total deferred tax liabilities $ (113,235) $ (130,221) Deferred tax assets: Accrued compensation costs 12,900 15,507 Accrued liabilities 14,676 15,837 Disallowed interest 115,030 103,012 Goodwill 3,200 6,605 Pension and other postretirement benefit obligations — 7,671 Partnership investments 4,231 4,491 Loss carryforwards 224,505 248,516 Lease liabilities 58,828 61,511 Other 27,000 22,309 Total deferred tax assets $ 460,370 $ 485,459 Less: Valuation allowances (312,038) (300,059) Total net deferred tax assets $ 148,332 $ 185,400 Net deferred tax assets $ 35,097 $ 55,179 |
Schedule of Valuation Allowance | The following table summarizes the activity related to our valuation allowance for deferred tax assets for the year ended December 31, 2023 (In thousands ): Balance at beginning of period Additions/(reductions) charged to expenses Additions/(reductions) for acquisitions/dispositions Other additions to (deductions from) reserves Foreign currency translation Balance at end of period $ 300,059 $ 9,024 $ — $ — $ 2,954 $ 312,037 |
Schedule of Activity Related to Unrecognized Tax Benefits, Excluding Federal Tax Benefit of State Tax Deductions | The following table summarizes the activity related to unrecognized tax benefits, excluding the federal tax benefit of state tax deductions: Year ended December 31, In thousands 2023 2022 2021 Change in unrecognized tax benefits: Balance at beginning of year $ 43,697 $ 46,082 $ 40,885 Additions based on tax positions related to the current year 7,017 5,411 6,574 Additions for tax positions of prior years 1,327 — 607 Reductions for tax positions of prior years (652) (2,664) (1,984) Reductions due to lapsed statutes of limitations (208) (2,264) — Foreign currency translation 1,640 (2,868) — Balance at end of year $ 52,821 $ 43,697 $ 46,082 |
Supplemental equity and other_2
Supplemental equity and other information (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Equity [Abstract] | |
Schedule of Loss Per Share (Basic And Diluted) | The following table sets forth the information to compute basic and diluted loss per share: Year ended December 31, In thousands, except per share data 2023 2022 2021 Net loss attributable to Gannett $ (27,791) $ (78,002) $ (134,962) Basic weighted average shares outstanding 139,633 136,903 134,783 Diluted weighted average shares outstanding 139,633 136,903 134,783 Loss per share attributable to Gannett - basic $ (0.20) $ (0.57) $ (1.00) Loss per share attributable to Gannett - diluted $ (0.20) $ (0.57) $ (1.00) |
Schedule of Securities From Computation of Diluted Income Per Share | The Company excluded the following securities from the computation of diluted income per share because their effect would have been antidilutive: Year ended December 31, In thousands 2023 2022 2021 Warrants (a) — 845 845 Stock options 6,068 6,068 6,068 Restricted stock grants (b) 8,608 8,616 9,854 2027 Notes (c) 97,057 97,057 98,168 (a) The warrants expired on November 26, 2023. (b) Includes Restricted stock awards ("RSA"), Restricted stock units ("RSU") and Performance stock units ("PSU"). (c) Represents the total number of shares that would be convertible at December 31, 2023 and 2022 as stipulated in the 2027 Notes Indenture. The amount for the year ended December 31, 2021 reflects the adjustment for the weighted average impact of the repurchase of $11.8 million aggregate principal of 2027 Notes as described below . |
Schedule of Nonvested RSA, RSU and PSU Cost | The following table outlines RSA activity: Year ended December 31, 2023 2022 2021 Number of RSAs (In thousands) Weighted- Number of RSAs (In thousands) Weighted- Number of RSAs (In thousands) Weighted- Unvested at beginning of year 8,616 $ 4.40 6,949 $ 4.32 5,181 $ 3.39 Granted 5,171 1.87 7,427 4.29 4,100 5.29 Vested (3,910) 4.11 (2,633) 4.63 (1,956) 3.80 Forfeited (1,421) 3.68 (3,127) 3.75 (376) 4.76 Unvested at end of year 8,456 $ 3.09 8,616 $ 4.40 6,949 $ 4.32 The following table outlines RSU and PSU activity: Year ended December 31, 2023 2022 2021 Number of RSUs & PSUs (In thousands) Weighted- Number of RSUs & PSUs (In thousands) Weighted- Number of RSUs & PSUs (In thousands) Weighted- Unvested at beginning of year 1,000 $ 3.04 2,905 $ 4.05 2,513 $ 6.28 Granted (a) 332 1.83 332 4.63 2,000 3.04 Vested (152) 3.04 (1,905) 4.58 (1,576) 6.28 Forfeited and canceled (b) (999) 2.85 (332) 4.63 (32) 6.28 Unvested at end of year 181 $ 1.83 1,000 $ 3.04 2,905 $ 4.05 (a) There were no RSUs granted during the years ended December 31, 2023, 2022 and 2021. (b) For the years ended December 31, 2023 and 2022, includes 900 thousand and 332 thousand, respectively, of PSUs canceled since the performance goals were not achieved during the eligible period. There were no PSUs canceled during the year ended December 31, 2021. |
Schedule of Accumulated Other Comprehensive Income (Loss) | The following tables summarize the components of, and the changes in, Accumulated other comprehensive income (loss), net of tax: In thousands Pension and postretirement benefit plans Foreign currency translation Total Balance at December 31, 2020 $ 40,441 $ 9,732 $ 50,173 Other comprehensive income (loss) before reclassifications 10,382 (604) 9,778 Amounts reclassified from accumulated other comprehensive income (a) (b) 47 — 47 Net current period other comprehensive income (loss), net of taxes 10,429 (604) 9,825 Balance at December 31, 2021 $ 50,870 $ 9,128 $ 59,998 Other comprehensive loss before reclassifications (136,352) (24,008) (160,360) Amounts reclassified from accumulated other comprehensive loss (a) (b) (c) (869) — (869) Net current period other comprehensive loss, net of taxes (137,221) (24,008) (161,229) Balance at December 31, 2022 $ (86,351) $ (14,880) $ (101,231) Other comprehensive income before reclassifications 22,639 13,683 36,322 Amounts reclassified from accumulated other comprehensive loss (a) (b) (632) — (632) Net current period other comprehensive income, net of taxes 22,007 13,683 35,690 Balance at December 31, 2023 $ (64,344) $ (1,197) $ (65,541) (a) Accumulated other comprehensive income (loss) component represents amortization of actuarial loss and is included in the computation of net periodic benefit cost. See Note 9 — Pensions and other postretirement benefit plans. (b) Amounts reclassified from accumulated other comprehensive income (loss) are recorded net of tax impacts of $0.2 million, $0.3 million, and $0.02 million for the years ended December 31, 2023, 2022, and 2021, respectively. (c) Amounts reclassified from accumulated other comprehensive income (loss) include a net pension settlement gain of $0.7 million ($0.5 million, net of tax) for the year ended December 31, 2022. See Note 9 — Pensions and other postretirement benefit plans. |
Segment reporting (Tables)
Segment reporting (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | Year ended December 31, In thousands 2023 2022 2021 Revenues: Domestic Gannett Media 2,095,853 2,379,806 2,678,117 Newsquest 233,980 234,630 208,618 Digital Marketing Solutions 477,909 468,883 442,299 Corporate and other 6,268 5,440 8,371 Intersegment Eliminations (150,460) (143,456) (129,322) Total revenues 2,663,550 2,945,303 3,208,083 Adjusted EBITDA: Domestic Gannett Media 194,641 207,648 384,933 Newsquest 50,128 40,027 49,040 Digital Marketing Solutions 53,223 57,580 50,960 Corporate and other (30,309) (47,972) (51,221) Net loss attributable to noncontrolling interests 103 253 1,209 Interest expense 111,776 108,366 135,748 (Gain) loss on early extinguishment of debt (4,529) (399) 48,708 Non-operating pension income (9,382) (58,953) (95,357) Loss on convertible notes derivative — — 126,600 Depreciation and amortization 162,622 182,022 203,958 Integration and reorganization costs (a) 24,468 87,974 49,284 Other operating expenses 1,550 1,892 20,952 Asset impairments 1,370 1,056 3,976 (Gain) loss on sale or disposal of assets, net (40,101) (6,883) 17,208 Share-based compensation expense 16,567 16,751 18,439 Other items 9,404 2,110 (9,092) Loss before income taxes (6,165) (76,906) (87,921) Provision for income taxes 21,729 1,349 48,250 Net loss (27,894) (78,255) (136,171) Net loss attributable to noncontrolling interests $ (103) $ (253) $ (1,209) Net loss attributable to Gannett $ (27,791) $ (78,002) $ (134,962) (a) |
Description of business and b_2
Description of business and basis of presentation (Details) | 12 Months Ended |
Dec. 31, 2023 segment | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of operating segments | 3 |
Summary of significant accoun_4
Summary of significant accounting policies - Schedule of Reconciliation of Cash, Cash Equivalents and Restricted Cash (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | ||||
Cash and cash equivalents | $ 100,180 | $ 94,255 | $ 130,756 | |
Restricted cash, included in prepaid expenses and other current assets | 371 | 563 | 4,606 | |
Restricted cash, included in other assets | 10,061 | 9,986 | 8,257 | |
Total cash, cash equivalents and restricted cash | $ 110,612 | $ 104,804 | $ 143,619 | $ 206,726 |
Summary of significant accoun_5
Summary of significant accounting policies - Schedule of Cash Flow, Supplemental Disclosures (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Accounting Policies [Abstract] | |||
Net cash paid (refund) for taxes, net | $ 8,222 | $ 3,409 | $ (8,324) |
Cash paid for interest | 89,335 | 86,485 | 103,879 |
Non-cash investing and financing activities: | |||
Accrued capital expenditures | $ 2,390 | $ 699 | $ 1,682 |
Summary of significant accoun_6
Summary of significant accounting policies - Schedule Property, Plant and Equipment (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Property, Plant and Equipment | ||
Total property, plant and equipment | $ 575,495 | $ 666,516 |
Less: accumulated depreciation | (336,408) | (360,522) |
Net property, plant and equipment | 239,087 | 305,994 |
Land | ||
Property, Plant and Equipment | ||
Total property, plant and equipment | 21,990 | 30,328 |
Buildings and improvements | ||
Property, Plant and Equipment | ||
Total property, plant and equipment | $ 147,171 | 179,657 |
Buildings and improvements | Minimum | ||
Property, Plant and Equipment | ||
Property, plant and equipment, useful life | 10 years | |
Buildings and improvements | Maximum | ||
Property, Plant and Equipment | ||
Property, plant and equipment, useful life | 30 years | |
Machinery and equipment | ||
Property, Plant and Equipment | ||
Total property, plant and equipment | $ 258,432 | 320,414 |
Machinery and equipment | Minimum | ||
Property, Plant and Equipment | ||
Property, plant and equipment, useful life | 3 years | |
Machinery and equipment | Maximum | ||
Property, Plant and Equipment | ||
Property, plant and equipment, useful life | 20 years | |
Capitalized software | ||
Property, Plant and Equipment | ||
Total property, plant and equipment | $ 114,122 | 95,480 |
Capitalized computer software, accumulated amortization | $ 74,400 | 62,500 |
Capitalized software | Minimum | ||
Property, Plant and Equipment | ||
Property, plant and equipment, useful life | 3 years | |
Capitalized software | Maximum | ||
Property, Plant and Equipment | ||
Property, plant and equipment, useful life | 5 years | |
Furniture and fixtures | ||
Property, Plant and Equipment | ||
Total property, plant and equipment | $ 23,541 | 28,904 |
Furniture and fixtures | Minimum | ||
Property, Plant and Equipment | ||
Property, plant and equipment, useful life | 7 years | |
Furniture and fixtures | Maximum | ||
Property, Plant and Equipment | ||
Property, plant and equipment, useful life | 10 years | |
Construction in progress | ||
Property, Plant and Equipment | ||
Total property, plant and equipment | $ 10,239 | $ 11,733 |
Summary of significant accoun_7
Summary of significant accounting policies - Narrative (Details) | 3 Months Ended | 12 Months Ended | |||
Mar. 31, 2022 USD ($) | Dec. 31, 2023 USD ($) reporting_unit | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | Nov. 17, 2020 USD ($) | |
Significant Accounting Policies | |||||
Depreciation expense | $ 72,600,000 | $ 86,400,000 | $ 100,900,000 | ||
Reporting units (units) | reporting_unit | 3 | ||||
Goodwill and intangible impairments | $ 0 | 0 | 0 | ||
Advertising expense | 41,900,000 | 56,800,000 | $ 45,300,000 | ||
Principal balance | 1,130,600,000 | 1,272,200,000 | |||
Long-term debt | $ 564,836,000 | 695,642,000 | |||
Minimum | |||||
Significant Accounting Policies | |||||
Customer subscription term | 1 month | ||||
Minimum | Customer Subscription | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-01 | |||||
Significant Accounting Policies | |||||
Expected timing of satisfaction | 1 month | ||||
Maximum | |||||
Significant Accounting Policies | |||||
Customer subscription term | 12 months | ||||
Maximum | Customer Subscription | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-01 | |||||
Significant Accounting Policies | |||||
Expected timing of satisfaction | 12 months | ||||
Senior Secured Term Loan | Senior Secured Term Loan | |||||
Significant Accounting Policies | |||||
Senior-secured term loan (in years) | 5 years | ||||
Principal balance | $ 516,000,000 | $ 350,400,000 | 438,400,000 | ||
2027 Notes | Convertible Debt | |||||
Significant Accounting Policies | |||||
Principal balance | 485,300,000 | 485,300,000 | |||
Long-term debt | $ 416,000,000 | $ 402,400,000 | $ 497,100,000 | ||
Stated interest rate | 6% |
Summary of significant accoun_8
Summary of significant accounting policies - Concentration Risk (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Total revenues | $ 2,663,550 | $ 2,945,303 | $ 3,208,083 |
United Kingdom | Newsquest | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Total revenues | 234,000 | ||
Foreign Countries | Newsquest | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Long-lived assets | 130,800 | ||
Foreign Countries | Digital Marketing Solutions | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Total revenues | 39,500 | ||
Long-lived assets | $ 7,500 |
Summary of significant accoun_9
Summary of significant accounting policies - Schedule of Accounts Payable and Accrued Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Accounting Policies [Abstract] | ||
Accounts payable | $ 142,215 | $ 189,094 |
Compensation | 82,160 | 87,937 |
Taxes (primarily property, sales, and payroll taxes) | 9,990 | 11,940 |
Benefits | 19,422 | 21,942 |
Interest | 5,617 | 6,162 |
Other | 34,040 | 34,773 |
Accounts payable and accrued liabilities | $ 293,444 | $ 351,848 |
Revenues - Schedule of Disaggre
Revenues - Schedule of Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disaggregation of Revenue | |||
Total revenues | $ 2,663,550 | $ 2,945,303 | $ 3,208,083 |
Operating Segments | Domestic Gannett Media | |||
Disaggregation of Revenue | |||
Total revenues | 2,095,853 | 2,379,806 | 2,678,117 |
Operating Segments | Newsquest | |||
Disaggregation of Revenue | |||
Total revenues | 233,980 | 234,630 | 208,618 |
Operating Segments | Digital Marketing Solutions | |||
Disaggregation of Revenue | |||
Total revenues | 477,909 | 468,883 | 442,299 |
Corporate and other | |||
Disaggregation of Revenue | |||
Total revenues | 6,268 | 5,440 | 8,371 |
Intersegment Eliminations | |||
Disaggregation of Revenue | |||
Total revenues | 150,460 | 143,456 | 129,322 |
Print advertising | |||
Disaggregation of Revenue | |||
Total revenues | 576,545 | 670,882 | 792,286 |
Print advertising | Operating Segments | Domestic Gannett Media | |||
Disaggregation of Revenue | |||
Total revenues | 501,701 | 594,741 | 728,292 |
Print advertising | Operating Segments | Newsquest | |||
Disaggregation of Revenue | |||
Total revenues | 74,844 | 76,141 | 63,994 |
Local and national print | |||
Disaggregation of Revenue | |||
Total revenues | 329,956 | 404,298 | 502,014 |
Local and national print | Operating Segments | Domestic Gannett Media | |||
Disaggregation of Revenue | |||
Total revenues | 292,211 | 363,772 | 469,211 |
Local and national print | Operating Segments | Newsquest | |||
Disaggregation of Revenue | |||
Total revenues | 37,745 | 40,526 | 32,803 |
Classified print | |||
Disaggregation of Revenue | |||
Total revenues | 246,589 | 266,584 | 290,272 |
Classified print | Operating Segments | Domestic Gannett Media | |||
Disaggregation of Revenue | |||
Total revenues | 209,490 | 230,969 | 259,081 |
Classified print | Operating Segments | Newsquest | |||
Disaggregation of Revenue | |||
Total revenues | 37,099 | 35,615 | 31,191 |
Digital advertising and marketing services | |||
Disaggregation of Revenue | |||
Total revenues | 810,569 | 825,255 | 858,875 |
Digital advertising and marketing services | Operating Segments | Domestic Gannett Media | |||
Disaggregation of Revenue | |||
Total revenues | 423,838 | 439,675 | 490,949 |
Digital advertising and marketing services | Operating Segments | Newsquest | |||
Disaggregation of Revenue | |||
Total revenues | 59,282 | 60,153 | 53,968 |
Digital advertising and marketing services | Operating Segments | Digital Marketing Solutions | |||
Disaggregation of Revenue | |||
Total revenues | 477,909 | 468,883 | 441,394 |
Digital advertising and marketing services | Corporate and other | |||
Disaggregation of Revenue | |||
Total revenues | 1,886 | ||
Digital advertising and marketing services | Intersegment Eliminations | |||
Disaggregation of Revenue | |||
Total revenues | 150,460 | 143,456 | 129,322 |
Digital media | |||
Disaggregation of Revenue | |||
Total revenues | 280,596 | 299,775 | 363,149 |
Digital media | Operating Segments | Domestic Gannett Media | |||
Disaggregation of Revenue | |||
Total revenues | 238,706 | 260,417 | 324,843 |
Digital media | Operating Segments | Newsquest | |||
Disaggregation of Revenue | |||
Total revenues | 41,890 | 39,358 | 36,445 |
Digital media | Operating Segments | Digital Marketing Solutions | |||
Disaggregation of Revenue | |||
Total revenues | 409 | ||
Digital media | Corporate and other | |||
Disaggregation of Revenue | |||
Total revenues | 1,452 | ||
Digital marketing services | |||
Disaggregation of Revenue | |||
Total revenues | 476,958 | 467,909 | 443,775 |
Digital marketing services | Operating Segments | Domestic Gannett Media | |||
Disaggregation of Revenue | |||
Total revenues | 140,589 | 133,219 | 125,861 |
Digital marketing services | Operating Segments | Newsquest | |||
Disaggregation of Revenue | |||
Total revenues | 8,920 | 9,263 | 5,872 |
Digital marketing services | Operating Segments | Digital Marketing Solutions | |||
Disaggregation of Revenue | |||
Total revenues | 477,909 | 468,883 | 440,985 |
Digital marketing services | Corporate and other | |||
Disaggregation of Revenue | |||
Total revenues | 379 | ||
Digital marketing services | Intersegment Eliminations | |||
Disaggregation of Revenue | |||
Total revenues | 150,460 | 143,456 | 129,322 |
Digital classified | |||
Disaggregation of Revenue | |||
Total revenues | 53,015 | 57,571 | 51,951 |
Digital classified | Operating Segments | Domestic Gannett Media | |||
Disaggregation of Revenue | |||
Total revenues | 44,543 | 46,039 | 40,245 |
Digital classified | Operating Segments | Newsquest | |||
Disaggregation of Revenue | |||
Total revenues | 8,472 | 11,532 | 11,651 |
Digital classified | Corporate and other | |||
Disaggregation of Revenue | |||
Total revenues | 55 | ||
Advertising and marketing services | |||
Disaggregation of Revenue | |||
Total revenues | 1,387,114 | 1,496,137 | 1,651,161 |
Advertising and marketing services | Operating Segments | Domestic Gannett Media | |||
Disaggregation of Revenue | |||
Total revenues | 925,539 | 1,034,416 | 1,219,241 |
Advertising and marketing services | Operating Segments | Newsquest | |||
Disaggregation of Revenue | |||
Total revenues | 134,126 | 136,294 | 117,962 |
Advertising and marketing services | Operating Segments | Digital Marketing Solutions | |||
Disaggregation of Revenue | |||
Total revenues | 477,909 | 468,883 | 441,394 |
Advertising and marketing services | Corporate and other | |||
Disaggregation of Revenue | |||
Total revenues | 1,886 | ||
Advertising and marketing services | Intersegment Eliminations | |||
Disaggregation of Revenue | |||
Total revenues | 150,460 | 143,456 | 129,322 |
Circulation | |||
Disaggregation of Revenue | |||
Total revenues | 927,821 | 1,084,637 | 1,249,674 |
Circulation | Operating Segments | Domestic Gannett Media | |||
Disaggregation of Revenue | |||
Total revenues | 854,542 | 1,012,525 | 1,179,100 |
Circulation | Operating Segments | Newsquest | |||
Disaggregation of Revenue | |||
Total revenues | 73,279 | 72,112 | 70,569 |
Circulation | Corporate and other | |||
Disaggregation of Revenue | |||
Total revenues | 5 | ||
Print circulation | |||
Disaggregation of Revenue | |||
Total revenues | 772,200 | 952,019 | 1,149,186 |
Print circulation | Operating Segments | Domestic Gannett Media | |||
Disaggregation of Revenue | |||
Total revenues | 704,158 | 884,854 | 1,083,760 |
Print circulation | Operating Segments | Newsquest | |||
Disaggregation of Revenue | |||
Total revenues | 68,042 | 67,165 | 65,421 |
Print circulation | Corporate and other | |||
Disaggregation of Revenue | |||
Total revenues | 5 | ||
Digital-only subscription | |||
Disaggregation of Revenue | |||
Total revenues | 155,621 | 132,618 | 100,488 |
Digital-only subscription | Operating Segments | Domestic Gannett Media | |||
Disaggregation of Revenue | |||
Total revenues | 150,384 | 127,671 | 95,340 |
Digital-only subscription | Operating Segments | Newsquest | |||
Disaggregation of Revenue | |||
Total revenues | 5,237 | 4,947 | 5,148 |
Other | |||
Disaggregation of Revenue | |||
Total revenues | 348,615 | 364,529 | 307,248 |
Other | Operating Segments | Domestic Gannett Media | |||
Disaggregation of Revenue | |||
Total revenues | 315,772 | 332,865 | 279,776 |
Other | Operating Segments | Newsquest | |||
Disaggregation of Revenue | |||
Total revenues | 26,575 | 26,224 | 20,087 |
Other | Operating Segments | Digital Marketing Solutions | |||
Disaggregation of Revenue | |||
Total revenues | 905 | ||
Other | Corporate and other | |||
Disaggregation of Revenue | |||
Total revenues | 6,268 | 5,440 | 6,480 |
Other digital revenue | Operating Segments | Domestic Gannett Media | |||
Disaggregation of Revenue | |||
Total revenues | 67,500 | 65,800 | 57,400 |
Other digital revenue | Operating Segments | Newsquest | |||
Disaggregation of Revenue | |||
Total revenues | 10,400 | 9,500 | 7,000 |
Other digital revenue | Operating Segments | Digital Marketing Solutions | |||
Disaggregation of Revenue | |||
Total revenues | 900 | ||
Other digital revenue | Corporate and other | |||
Disaggregation of Revenue | |||
Total revenues | $ 6,300 | $ 5,400 | $ 3,300 |
Revenues - Narrative (Details)
Revenues - Narrative (Details) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
International | Revenue Benchmark | Geographic Concentration Risk | |||
Revenue, Initial Application Period Cumulative Effect Transition | |||
Revenue, percentage | 10.30% | 9.30% | 7.70% |
Revenues - Schedule of Deferred
Revenues - Schedule of Deferred Revenue (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Movement in Deferred Revenue | ||
Beginning balance | $ 153,648 | $ 184,838 |
Acquisition | 0 | 2,388 |
Cash receipts, net of refunds | 1,097,699 | 1,212,781 |
Revenue recognized | (1,130,845) | (1,246,359) |
Ending balance | 120,502 | 153,648 |
Advertising, marketing services and other | ||
Movement in Deferred Revenue | ||
Beginning balance | 46,327 | 60,665 |
Acquisition | 0 | 0 |
Cash receipts, net of refunds | 293,079 | 273,308 |
Revenue recognized | (305,443) | (287,646) |
Ending balance | 33,963 | 46,327 |
Circulation | ||
Movement in Deferred Revenue | ||
Beginning balance | 107,321 | 124,173 |
Acquisition | 0 | 2,388 |
Cash receipts, net of refunds | 804,620 | 939,473 |
Revenue recognized | (825,402) | (958,713) |
Ending balance | $ 86,539 | $ 107,321 |
Leases - Narrative (Details)
Leases - Narrative (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2023 USD ($) Property | |
Lessee, Lease, Description | |
Number of properties sold | Property | 2 |
Proceeds from sale, property, held-for-sale | $ 60.5 |
Net gain on sale of properties | 39.3 |
Sale-leaseback transaction, cumulative annual rent | $ 39.9 |
Minimum | |
Lessee, Lease, Description | |
Remaining lease term with option to extend (in years) | 1 year |
Maximum | |
Lessee, Lease, Description | |
Remaining lease term with option to extend (in years) | 13 years |
Leases - Schedule of Components
Leases - Schedule of Components Of Leases Expenses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Leases [Abstract] | |||
Operating lease cost | $ 64,845 | $ 73,103 | $ 80,213 |
Short-term lease cost | 900 | 929 | 886 |
Variable lease cost | 13,200 | 13,002 | 11,464 |
Net lease cost | 78,945 | 87,034 | 92,563 |
Sublease Income | $ 9,100 | $ 7,700 | $ 6,500 |
Leases - Schedule of Other Info
Leases - Schedule of Other Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Supplemental Information | |||
Cash paid for amounts included in the measurement of operating lease liabilities | $ 76,338 | $ 79,659 | $ 81,380 |
Right-of-use assets obtained in exchange for operating lease obligations | 31,501 | 15,272 | 38,137 |
(Gain) loss on sale and leaseback transactions, net | $ (40,221) | $ (12,249) | $ 1,938 |
Weighted-average remaining lease term (in years) | 6 years 4 months 24 days | 6 years 9 months 18 days | 7 years 3 months 18 days |
Weighted-average discount rate | 13% | 12.60% | 12.80% |
Leases - Schedule of Future Min
Leases - Schedule of Future Minimum Lease Payments (Details) $ in Thousands | Dec. 31, 2023 USD ($) |
Year ended December 31, | |
2024 | $ 72,031 |
2025 | 61,421 |
2026 | 49,531 |
2027 | 42,269 |
2028 | 37,825 |
Thereafter | 112,133 |
Total future minimum lease payments | 375,210 |
Less: Imputed interest | 125,576 |
Total | $ 249,634 |
Accounts receivable, net - Narr
Accounts receivable, net - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Receivables [Abstract] | ||
Accounts receivable, reserve percentage calculation period | 3 years | |
Threshold period for reserves | 90 days | |
Bad debt expense | $ 12,316 | $ 9,498 |
Accounts receivable, net - Sche
Accounts receivable, net - Schedule of Allowance for Doubtful Accounts (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Accounts Receivable, Allowance for Credit Loss | ||
Beginning balance | $ 16,697 | $ 16,470 |
Current period provision | 12,316 | 9,498 |
Write-offs charged against the allowance | (17,143) | (14,333) |
Recoveries of amounts previously written-off | 4,325 | 4,567 |
Other | 143 | 495 |
Ending balance | $ 16,338 | $ 16,697 |
Goodwill and intangible asset_2
Goodwill and intangible assets - Schedule of Goodwill and Intangible Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Finite-lived intangible assets: | ||
Gross carrying amount | $ 868,307 | $ 867,862 |
Accumulated amortization | 510,833 | 420,674 |
Net carrying amount | 357,474 | 447,188 |
Indefinite-lived intangible assets: | ||
Intangible assets, net | 524,350 | 613,358 |
Goodwill | 533,876 | 533,166 |
Mastheads | ||
Indefinite-lived intangible assets: | ||
Nonamortized intangible assets | 166,876 | 166,170 |
Advertiser relationships | ||
Finite-lived intangible assets: | ||
Gross carrying amount | 446,609 | 445,775 |
Accumulated amortization | 236,168 | 192,032 |
Net carrying amount | 210,441 | 253,743 |
Other customer relationships | ||
Finite-lived intangible assets: | ||
Gross carrying amount | 101,819 | 102,224 |
Accumulated amortization | 56,601 | 45,811 |
Net carrying amount | 45,218 | 56,413 |
Subscriber relationships | ||
Finite-lived intangible assets: | ||
Gross carrying amount | 251,099 | 251,083 |
Accumulated amortization | 155,528 | 126,899 |
Net carrying amount | 95,571 | 124,184 |
Other intangible assets | ||
Finite-lived intangible assets: | ||
Gross carrying amount | 68,780 | 68,780 |
Accumulated amortization | 62,536 | 55,932 |
Net carrying amount | $ 6,244 | $ 12,848 |
Goodwill and intangible asset_3
Goodwill and intangible assets - Narrative (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Intangible Assets | |||
Weighted average useful life | 10 years 1 month 6 days | ||
Amortization expenses | $ 90,000,000 | $ 95,600,000 | $ 103,100,000 |
Future amortization expense - 2024 | 89,200,000 | ||
Future amortization expense - 2025 | 82,000,000 | ||
Future amortization expense - 2026 | 63,900,000 | ||
Future amortization expense - 2027 | 62,300,000 | ||
Future amortization expense - 2028 and thereafter | 60,100,000 | ||
Goodwill accumulated impairment losses | 340,800,000 | 70,500,000 | 44,100,000 |
Property, plant and equipment impairments | 0 | ||
Goodwill and intangible impairments | $ 0 | $ 0 | $ 0 |
Minimum | Measurement Input, Long-term Revenue Growth Rate | |||
Intangible Assets | |||
Intangible assets measurement inputs (percent) | 0% | ||
Minimum | Discount rate | |||
Intangible Assets | |||
Intangible assets measurement inputs (percent) | 17% | ||
Maximum | Measurement Input, Long-term Revenue Growth Rate | |||
Intangible Assets | |||
Intangible assets measurement inputs (percent) | 3% | ||
Maximum | Discount rate | |||
Intangible Assets | |||
Intangible assets measurement inputs (percent) | 22.50% | ||
Advertiser relationships | |||
Intangible Assets | |||
Weighted average useful life | 11 years 1 month 6 days | ||
Other customer relationships | |||
Intangible Assets | |||
Weighted average useful life | 9 years 8 months 12 days | ||
Subscriber relationships | |||
Intangible Assets | |||
Weighted average useful life | 10 years 3 months 18 days | ||
Other intangible assets | |||
Intangible Assets | |||
Weighted average useful life | 3 years 10 months 24 days |
Goodwill and intangible asset_4
Goodwill and intangible assets - Schedule of the Change in Net Goodwill (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Goodwill | ||
Beginning Balance | $ 533,166 | $ 533,709 |
Acquisitions | 30 | 2,859 |
Divestitures | (128) | (1,147) |
Foreign exchange | 808 | (2,255) |
Ending Balance | 533,876 | 533,166 |
Domestic Gannett Media | ||
Goodwill | ||
Beginning Balance | 401,106 | 401,253 |
Acquisitions | 0 | 990 |
Divestitures | (46) | (1,147) |
Foreign exchange | (3) | 10 |
Ending Balance | 401,057 | 401,106 |
Newsquest | ||
Goodwill | ||
Beginning Balance | 14,589 | 14,985 |
Acquisitions | 30 | 1,869 |
Divestitures | (82) | 0 |
Foreign exchange | 811 | (2,265) |
Ending Balance | 15,348 | 14,589 |
Digital Marketing Solutions | ||
Goodwill | ||
Beginning Balance | 117,471 | 117,471 |
Acquisitions | 0 | 0 |
Divestitures | 0 | 0 |
Foreign exchange | 0 | 0 |
Ending Balance | $ 117,471 | $ 117,471 |
Integration and reorganizatio_3
Integration and reorganization costs and asset impairments - Schedule of Severance-Related Expenses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Restructuring Cost and Reserve | |||
Consolidation charges and other restructuring-related costs | $ 24,468 | $ 87,974 | $ 49,284 |
Severance | |||
Restructuring Cost and Reserve | |||
Consolidation charges and other restructuring-related costs | 18,517 | 57,614 | 16,471 |
Operating Segments | Domestic Gannett Media | Severance | |||
Restructuring Cost and Reserve | |||
Consolidation charges and other restructuring-related costs | 9,935 | 40,654 | 13,576 |
Operating Segments | Newsquest | Severance | |||
Restructuring Cost and Reserve | |||
Consolidation charges and other restructuring-related costs | 1,762 | 4,216 | 953 |
Operating Segments | Digital Marketing Solutions | Severance | |||
Restructuring Cost and Reserve | |||
Consolidation charges and other restructuring-related costs | 756 | 434 | 321 |
Corporate and other | Severance | |||
Restructuring Cost and Reserve | |||
Consolidation charges and other restructuring-related costs | $ 6,064 | $ 12,310 | $ 1,621 |
Integration and reorganizatio_4
Integration and reorganization costs and asset impairments - Schedule of Severance-Related Liabilities Activity (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Restructuring Reserve | |||
Restructuring provision included in integration and reorganization costs | $ 24,468 | $ 87,974 | $ 49,284 |
Severance | |||
Restructuring Reserve | |||
Balance, beginning of period | 29,773 | 12,558 | |
Restructuring provision included in integration and reorganization costs | 18,517 | 57,614 | 16,471 |
Cash payments | (41,362) | (40,399) | |
Balance, end of period | $ 6,928 | $ 29,773 | $ 12,558 |
Integration and reorganizatio_5
Integration and reorganization costs and asset impairments - Schedule of Other Restructuring-related Charges (Details) - Other Restructuring - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Restructuring Cost and Reserve | |||
Restructuring-related costs (reversals) | $ 5,951 | $ 30,360 | $ 32,813 |
Operating Segments | Domestic Gannett Media | |||
Restructuring Cost and Reserve | |||
Restructuring-related costs (reversals) | (4,353) | 14,921 | 1,145 |
Operating Segments | Newsquest | |||
Restructuring Cost and Reserve | |||
Restructuring-related costs (reversals) | 1 | 209 | 286 |
Operating Segments | Digital Marketing Solutions | |||
Restructuring Cost and Reserve | |||
Restructuring-related costs (reversals) | 28 | 674 | 1,389 |
Corporate and other | |||
Restructuring Cost and Reserve | |||
Restructuring-related costs (reversals) | $ 10,275 | $ 14,556 | $ 29,993 |
Integration and reorganizatio_6
Integration and reorganization costs and asset impairments - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Domestic Gannett Media | |||
Restructuring Cost and Reserve | |||
Accelerated depreciation | $ 6.7 | $ 12.5 | $ 15.3 |
Debt - Schedule of Debt (Detail
Debt - Schedule of Debt (Details) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 | Mar. 31, 2022 | Oct. 15, 2021 | Nov. 17, 2020 |
Debt Instrument | |||||
Principal balance | $ 1,130,600,000 | $ 1,272,200,000 | |||
Unamortized original issue discount | (78,800,000) | (99,500,000) | |||
Unamortized deferred financing costs | (7,200,000) | (10,900,000) | |||
Long-term debt | 564,836,000 | 695,642,000 | |||
Aggregate principal amount of debt | 1,044,600,000 | 1,161,800,000 | |||
Long term debt, gross, current | (63,800,000) | (60,500,000) | |||
Debt instrument unamortized discount current | 0 | 0 | |||
Debt issuance costs, current, net | 0 | 0 | |||
Long-term debt, current maturities | (63,800,000) | (60,500,000) | |||
Non-current debt, gross, noncurrent | 1,066,800,000 | 1,211,700,000 | |||
Debt instrument, unamortized discount, noncurrent | (78,800,000) | (99,500,000) | |||
Debt issuance costs, noncurrent, net | (7,200,000) | (10,900,000) | |||
Non-current portion of long-term debt | 980,800,000 | 1,101,300,000 | |||
Senior Secured Term Loan | Senior Secured Term Loan | |||||
Debt Instrument | |||||
Principal balance | 350,400,000 | 438,400,000 | $ 516,000,000 | ||
Unamortized original issue discount | (5,200,000) | (8,900,000) | |||
Unamortized deferred financing costs | (1,100,000) | (1,900,000) | |||
Secured debt | 344,100,000 | 427,600,000 | |||
Senior Secured Term Loan | 2026 Senior Notes | |||||
Debt Instrument | |||||
Principal balance | 30,000,000 | ||||
Senior Notes | 2026 Senior Notes | |||||
Debt Instrument | |||||
Principal balance | 291,600,000 | 345,200,000 | $ 400,000,000 | ||
Unamortized original issue discount | (5,800,000) | (9,400,000) | |||
Unamortized deferred financing costs | (4,600,000) | (7,300,000) | |||
Long-term debt | 281,200,000 | 328,500,000 | |||
Convertible Debt | 2027 Notes | |||||
Debt Instrument | |||||
Principal balance | 485,300,000 | 485,300,000 | |||
Unamortized original issue discount | (67,800,000) | (81,200,000) | |||
Unamortized deferred financing costs | (1,500,000) | (1,700,000) | |||
Long-term debt | 416,000,000 | 402,400,000 | $ 497,100,000 | ||
Convertible Debt | 2024 Notes | |||||
Debt Instrument | |||||
Principal balance | 3,300,000 | 3,300,000 | |||
Unamortized original issue discount | 0 | 0 | |||
Unamortized deferred financing costs | 0 | 0 | |||
Long-term debt | $ 3,300,000 | $ 3,300,000 |
Debt - Senior Secured Term Loan
Debt - Senior Secured Term Loan Narrative (Details) | 12 Months Ended | |||||
Oct. 15, 2021 USD ($) | Dec. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) amendment | Dec. 31, 2021 USD ($) | Apr. 08, 2022 USD ($) | Jan. 31, 2022 USD ($) | |
Line of Credit Facility | ||||||
Principal balance | $ 1,130,600,000 | $ 1,272,200,000 | ||||
Cash paid for interest | 89,335,000 | 86,485,000 | $ 103,879,000 | |||
(Loss) gain on extinguishment of debt | 4,529,000 | 399,000 | $ (48,708,000) | |||
Incremental Term Loans | Senior Secured Term Loan | ||||||
Line of Credit Facility | ||||||
Principal balance | $ 30,000,000 | $ 50,000,000 | ||||
Number of separate amendments | amendment | 2 | |||||
Senior Secured Term Loan | Senior Secured Term Loan | ||||||
Line of Credit Facility | ||||||
Principal balance | $ 516,000,000 | |||||
Cash requirement | $ 100,000,000 | |||||
Amortization quarterly amount | $ 15,100,000 | |||||
First lien net leverage ratio | 1.20 | |||||
Amortization quarterly amount upon ratio threshold | $ 7,600,000 | |||||
Interest expense | 40,000,000 | $ 33,500,000 | ||||
Cash paid for interest | 40,000,000 | 33,300,000 | ||||
Amortization of the discount | 2,800,000 | 3,500,000 | ||||
Amortization of debt issuance costs | 600,000 | 700,000 | ||||
(Loss) gain on extinguishment of debt | (1,100,000) | $ (2,200,000) | ||||
Mandatory and optional prepayments | 88,000,000 | |||||
Amortization payment waived | $ 25,100,000 | |||||
Effective interest rate | 11.30% | |||||
Senior Secured Term Loan | Senior Secured Term Loan | Debt Covenant, Range One | ||||||
Line of Credit Facility | ||||||
First lien net leverage ratio | 2 | |||||
Maximum debt or equity purchasable | $ 25,000,000 | |||||
Senior Secured Term Loan | Senior Secured Term Loan | Debt Covenant, Range Two | ||||||
Line of Credit Facility | ||||||
First lien net leverage ratio | 1.50 | |||||
Maximum debt or equity purchasable | $ 50,000,000 | |||||
Senior Secured Term Loan | Senior Secured Term Loan | Debt Covenant, Range Three | ||||||
Line of Credit Facility | ||||||
First lien net leverage ratio | 1 | |||||
Senior Secured Term Loan | Senior Secured Term Loan | SOFR | ||||||
Line of Credit Facility | ||||||
Variable rate (percent) | 5% | |||||
Senior Secured Term Loan | Senior Secured Term Loan | Alternate Base Rate | ||||||
Line of Credit Facility | ||||||
Variable rate (percent) | 4% | |||||
Senior Secured Term Loan | Senior Secured Term Loan | Minimum | ||||||
Line of Credit Facility | ||||||
Unrestricted cash requirement | $ 30,000,000 | |||||
Senior Secured Term Loan | Senior Secured Term Loan | Minimum | SOFR | ||||||
Line of Credit Facility | ||||||
Variable rate (percent) | 0.50% | |||||
Senior Secured Term Loan | Senior Secured Term Loan | Minimum | Alternate Base Rate | ||||||
Line of Credit Facility | ||||||
Variable rate (percent) | 1.50% |
Debt - Senior Secured Notes due
Debt - Senior Secured Notes due 2026 Narrative (Details) - USD ($) | 12 Months Ended | |||
Oct. 15, 2021 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Line of Credit Facility | ||||
Principal balance | $ 1,130,600,000 | $ 1,272,200,000 | ||
Gain on extinguishment of debt | 4,529,000 | 399,000 | $ (48,708,000) | |
2026 Senior Notes | Senior Notes | ||||
Line of Credit Facility | ||||
Principal balance | $ 400,000,000 | 291,600,000 | 345,200,000 | |
Stated interest rate | 6% | |||
Mandatory and optional prepayments | 53,600,000 | 54,800,000 | ||
Gain on extinguishment of debt | 5,600,000 | 2,600,000 | ||
Interest expense | 19,500,000 | 22,300,000 | ||
Interest paid | 20,100,000 | 23,900,000 | ||
Amortization of the discount | 2,300,000 | 2,700,000 | ||
Amortization of debt issuance costs | $ 1,800,000 | 2,100,000 | ||
Effective interest rate | 7.30% | |||
2026 Senior Notes | Senior Notes | Level 2 | ||||
Line of Credit Facility | ||||
Debt fair value | $ 256,600,000 | |||
2026 Senior Notes | Senior Notes | Period One | ||||
Line of Credit Facility | ||||
Redemption rate | 101% | |||
2026 Senior Notes | Senior Secured Term Loan | ||||
Line of Credit Facility | ||||
Principal balance | 30,000,000 | |||
Extinguishment of debt, amount | 30,000,000 | |||
Senior Secured Term Loan | Senior Secured Term Loan | ||||
Line of Credit Facility | ||||
Principal balance | $ 516,000,000 | |||
Amortization payment waived | 25,100,000 | |||
Gain on extinguishment of debt | (1,100,000) | (2,200,000) | ||
Interest expense | 40,000,000 | 33,500,000 | ||
Amortization of the discount | 2,800,000 | 3,500,000 | ||
Amortization of debt issuance costs | $ 600,000 | $ 700,000 | ||
Effective interest rate | 11.30% |
Debt - Senior Secured Convertib
Debt - Senior Secured Convertible Notes due 2027 Narrative (Details) | 1 Months Ended | 12 Months Ended | ||||
Nov. 17, 2020 USD ($) component $ / shares shares | Nov. 30, 2021 USD ($) $ / shares shares | Dec. 31, 2023 USD ($) $ / shares | Dec. 31, 2022 USD ($) $ / shares | Dec. 31, 2021 USD ($) | Feb. 26, 2021 USD ($) | |
Line of Credit Facility | ||||||
Common stock, par value (in dollars per share) | $ / shares | $ 0.01 | $ 0.01 | ||||
Repayments of convertible debt | $ 0 | $ 0 | $ 15,012,000 | |||
(Loss) gain on extinguishment of debt | 4,529,000 | 399,000 | (48,708,000) | |||
Loss on convertible notes derivative | 0 | 0 | (126,600,000) | |||
2027 Notes | Convertible Debt | ||||||
Line of Credit Facility | ||||||
Common stock, par value (in dollars per share) | $ / shares | $ 0.01 | |||||
Repurchased face amount | $ 11,800,000 | $ 11,800,000 | ||||
Repayments of convertible debt | 15,300,000 | |||||
(Loss) gain on extinguishment of debt | (800,000) | |||||
Amortization of the discount | 2,300,000 | 13,400,000 | 12,100,000 | |||
Amortization of debt issuance costs | 0 | 300,000 | 300,000 | |||
Reduction in additional paid-in capital | $ 4,200,000 | |||||
Percentage of notes initially convertible to common stock | 42% | 41% | ||||
Minimum qualified cash required | $ 30,000,000 | |||||
Number of components | component | 2 | |||||
Debt fair value | 395,600,000 | |||||
Fair value of embedded derivative liability | $ 316,200,000 | |||||
Loss on convertible notes derivative | $ 126,600,000 | |||||
Fair value of conversion feature | 279,600,000 | 279,600,000 | ||||
Interest expense | 29,100,000 | 29,100,000 | ||||
Interest paid | $ 29,100,000 | $ 29,100,000 | ||||
Effective interest rate | 10.50% | 10.50% | ||||
2027 Notes | Convertible Debt | Period One | ||||||
Line of Credit Facility | ||||||
Redemption rate | 110% | |||||
Maximum repurchase amount | $ 100,000,000 | |||||
Total gross leverage ratio | 1.5 | |||||
2027 Notes | Convertible Debt | Period Two | ||||||
Line of Credit Facility | ||||||
Redemption rate | 130% | |||||
Maximum repurchase amount | $ 99,400,000 | |||||
Redemption period (term) | 4 years | |||||
2027 Notes | Convertible Debt | Scenario, Plan | ||||||
Line of Credit Facility | ||||||
Initial conversion rate (in shares) | shares | 200 | |||||
Stated conversion price (in usd per share) | $ / shares | $ 5 | $ 5 | ||||
Initial conversion rate (in shares) | shares | 97,100,000 |
Debt - Schedule of Fair Value A
Debt - Schedule of Fair Value Assumptions (Details) | Feb. 26, 2021 $ / shares |
Annual volatility | |
Line of Credit Facility | |
Debt instrument, measurement input | 0.700 |
Discount rate | |
Line of Credit Facility | |
Debt instrument, measurement input | 0.122 |
Stock price | |
Line of Credit Facility | |
Debt instrument, measurement input | 4.95 |
Debt - Senior Convertible Notes
Debt - Senior Convertible Notes due 2024 Narrative (Details) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Debt Instrument | ||
Principal balance | $ 1,130,600,000 | $ 1,272,200,000 |
2024 Notes | Convertible Debt | ||
Debt Instrument | ||
Principal balance | $ 3,300,000 | $ 3,300,000 |
Stated interest rate | 4.75% | |
Effective interest rate | 6.05% |
Debt - Schedule of Future Debt
Debt - Schedule of Future Debt Obligation Payments (Details) $ in Thousands | Dec. 31, 2023 USD ($) |
Principal payments | |
2024 | $ 63,800 |
2025 | 60,500 |
2026 | 521,000 |
2027 | 485,300 |
2028 and thereafter | 0 |
Total debt obligations | $ 1,130,600 |
Pensions and other postretire_3
Pensions and other postretirement benefit plans - Schedule of Reconciliation of Benefit Obligations, Plan Assets and Funded Status (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Change in plan assets | |||
Fair value of plan assets at beginning of period | $ 1,725,697 | ||
Actual return on plan assets | $ (381,700) | ||
Fair value of plan assets at end of period | 1,785,367 | 1,725,697 | |
Pension benefits | |||
Change in benefit obligations | |||
Projected benefit obligation at beginning of period | 1,642,180 | 3,003,324 | |
Service cost | 1,366 | 1,754 | $ 2,064 |
Interest cost | 84,449 | 71,733 | 68,139 |
Change in prior service cost | 0 | 0 | |
Actuarial loss (gain) | 21,769 | (724,223) | |
Foreign currency translation | 33,973 | (107,930) | |
Benefits and expenses paid | (125,692) | (147,640) | |
Pension settlement | 0 | (454,838) | |
Projected benefit obligation at end of period | 1,658,045 | 1,642,180 | 3,003,324 |
Change in plan assets | |||
Fair value of plan assets at beginning of period | 1,720,810 | 3,218,953 | |
Actual return on plan assets | 150,371 | (792,302) | |
Employer contributions | 1,441 | 18,140 | |
Pension settlement | 0 | (454,838) | |
Benefits paid | (125,692) | (147,640) | |
Foreign currency translation | 36,968 | (121,503) | |
Fair value of plan assets at end of period | 1,783,898 | 1,720,810 | 3,218,953 |
Reconciliation of funded status | |||
Funded status at end of period | 125,853 | 78,630 | |
Unrecognized actuarial loss (gain) | 90,813 | 118,914 | |
Unrecognized prior service cost | 1,581 | 1,561 | |
Net prepaid (accrued) benefit cost | 218,247 | 199,105 | |
Balance sheet presentation | |||
Other assets | 131,881 | 87,909 | |
Accounts payable and accrued liabilities | 282 | 332 | |
Pension and other postretirement benefit obligations | 5,746 | 8,947 | |
Accumulated other comprehensive (loss) income | (92,394) | (120,475) | |
Net prepaid (accrued) benefit cost | 218,247 | 199,105 | |
Postretirement benefits | |||
Change in benefit obligations | |||
Projected benefit obligation at beginning of period | 47,043 | 64,038 | |
Service cost | 40 | 77 | 89 |
Interest cost | 2,334 | 1,770 | 1,758 |
Change in prior service cost | (3,307) | 0 | |
Actuarial loss (gain) | 109 | (14,092) | |
Foreign currency translation | 0 | 0 | |
Benefits and expenses paid | (4,500) | (4,750) | |
Pension settlement | 0 | 0 | |
Projected benefit obligation at end of period | 41,719 | 47,043 | 64,038 |
Change in plan assets | |||
Fair value of plan assets at beginning of period | 0 | 0 | |
Actual return on plan assets | 0 | 0 | |
Employer contributions | 4,500 | 4,750 | |
Pension settlement | 0 | 0 | |
Benefits paid | (4,500) | (4,750) | |
Foreign currency translation | 0 | 0 | |
Fair value of plan assets at end of period | 0 | 0 | $ 0 |
Reconciliation of funded status | |||
Funded status at end of period | (41,719) | (47,043) | |
Unrecognized actuarial loss (gain) | (13,555) | (16,154) | |
Unrecognized prior service cost | (2,738) | 0 | |
Net prepaid (accrued) benefit cost | (58,012) | (63,197) | |
Balance sheet presentation | |||
Other assets | 0 | 0 | |
Accounts payable and accrued liabilities | 4,804 | 5,280 | |
Pension and other postretirement benefit obligations | 36,915 | 41,763 | |
Accumulated other comprehensive (loss) income | 16,293 | 16,154 | |
Net prepaid (accrued) benefit cost | $ (58,012) | $ (63,197) |
Pensions and other postretire_4
Pensions and other postretirement benefit plans - Narrative (Details) $ in Thousands | 12 Months Ended | 21 Months Ended | ||||
Aug. 31, 2022 USD ($) insurer | Dec. 31, 2023 USD ($) plan | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | Sep. 30, 2024 USD ($) | Jan. 01, 2022 | |
Defined Benefit Plans and Other Postretirement Benefit Plans | ||||||
Accumulated pension benefit obligations | $ 1,700,000 | $ 1,600,000 | ||||
Net periodic expense (benefit) | $ (8,000) | (57,100) | $ (93,200) | |||
Decrease in net unfunded pension obligations | 99,900 | |||||
Decrease in benefit obligation due to remeasurement | $ 281,800 | |||||
Weighted average discount rate | 5.05% | 2.95% | ||||
Incremental decrease in plan assets | $ 381,700 | |||||
Number of multiemployer pension plans | plan | 6 | |||||
Other current and non-current liabilities, withdrawal liabilities for multi-employer pension plans | $ 35,100 | |||||
Penalties amortization period | 15 years 2 months 12 days | |||||
Compensation expense related to 401(k) contributions | $ 800 | 13,500 | 8,200 | |||
Plans in Red Zone | ||||||
Defined Benefit Plans and Other Postretirement Benefit Plans | ||||||
Percentage of plans funded | 65% | |||||
Plans in Orange Zone | ||||||
Defined Benefit Plans and Other Postretirement Benefit Plans | ||||||
Percentage of plans funded | 80% | |||||
Plans in Green Zone | ||||||
Defined Benefit Plans and Other Postretirement Benefit Plans | ||||||
Percentage of plans funded | 80% | |||||
Pension benefits | ||||||
Defined Benefit Plans and Other Postretirement Benefit Plans | ||||||
Net periodic expense (benefit) | $ 7,291 | $ 58,380 | 94,963 | |||
Weighted average discount rate | 5.10% | 5.40% | ||||
Incremental decrease in plan assets | $ (150,371) | $ 792,302 | ||||
Pension settlement gain | 0 | 727 | $ 0 | |||
Contribution to the defined benefit plans | 1,441 | 18,140 | ||||
Other Postretirement Benefits Plan | ||||||
Defined Benefit Plans and Other Postretirement Benefit Plans | ||||||
Contribution to the defined benefit plans | 4,500 | |||||
Pension Plan and Postemployment Retirement Benefits | ||||||
Defined Benefit Plans and Other Postretirement Benefit Plans | ||||||
Employer contributions expected to be paid during the next fiscal year | $ 13,000 | |||||
Gannett Retirement Plan | ||||||
Defined Benefit Plans and Other Postretirement Benefit Plans | ||||||
Current funding status, percentage | 100% | |||||
Gannett Retirement Plan | Forecast | ||||||
Defined Benefit Plans and Other Postretirement Benefit Plans | ||||||
Defined benefit plan required funding status | 100% | |||||
Expected future employer contributions, quarterly certification funding requirement | $ 1,000 | |||||
Defined benefit plan, expected future employee contributions, quarterly certification funding requirement term | 60 days | |||||
Expected future employer contributions, quarterly certification funding requirement (maximum) | $ 5,000 | |||||
Gannett Retirement Plan | Pension benefits | ||||||
Defined Benefit Plans and Other Postretirement Benefit Plans | ||||||
Number of insurance companies, assets used to purchase annuities | insurer | 2 | |||||
Transfer of pension liability | $ 450,000 | |||||
Pension settlement gain | 700 | |||||
Noncash pension settlement gain, after tax | $ 500 | |||||
Multiemployer Plans | ||||||
Defined Benefit Plans and Other Postretirement Benefit Plans | ||||||
Expected funding deficiency term | 6 years | |||||
Gannett 401(k) Plan | ||||||
Defined Benefit Plans and Other Postretirement Benefit Plans | ||||||
Maximum annual contributions per employee, percent | 75% | |||||
Gannett 401(k) Plan | First 4% of employee contributions | ||||||
Defined Benefit Plans and Other Postretirement Benefit Plans | ||||||
Employer matching contribution, percent of match | 100% | |||||
Contributions per employee subject to employer match (as a percent) | 4% | |||||
Gannett 401(k) Plan | Next 2% of employee contributions | ||||||
Defined Benefit Plans and Other Postretirement Benefit Plans | ||||||
Employer matching contribution, percent of match | 50% | |||||
Contributions per employee subject to employer match (as a percent) | 2% |
Pensions and other postretire_5
Pensions and other postretirement benefit plans - Schedule of Retirement Plans (Details) - Pension benefits - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Funded plans | ||
Defined Benefit Plans and Other Postretirement Benefit Plans | ||
Projected benefit obligation | $ 1,602,112 | $ 1,584,658 |
Accumulated benefit obligation | 1,601,306 | 1,583,793 |
Fair value of plan assets | 1,733,993 | 1,672,568 |
Underfunded plans | ||
Defined Benefit Plans and Other Postretirement Benefit Plans | ||
Projected benefit obligation | 55,933 | 57,522 |
Accumulated benefit obligation | 55,933 | 57,522 |
Fair value of plan assets | $ 49,905 | $ 48,242 |
Pensions and other postretire_6
Pensions and other postretirement benefit plans - Schedule of Pension Costs (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Non-operating expenses: | |||
Total non-operating (benefit) expense | $ (9,382) | $ (58,953) | $ (95,357) |
Total (benefit) expense for retirement plans | 8,000 | 57,100 | 93,200 |
Other changes in plan assets and benefit obligations recognized in Other comprehensive income (loss): | |||
Net actuarial (gain) loss | (33,135) | 185,282 | (13,811) |
Amortization of net actuarial (loss) gain | 305 | 500 | (64) |
Change in prior service cost | (3,307) | 0 | 0 |
Amortization of prior service costs | 502 | (66) | 0 |
(Gain) loss recognized in Other comprehensive income (loss) | (28,830) | 180,433 | (13,488) |
Pension benefits | |||
Operating expenses: | |||
Service cost - benefits earned during the period | 1,366 | 1,754 | 2,064 |
Non-operating expenses: | |||
Interest cost on benefit obligations | 84,449 | 71,733 | 68,139 |
Expected return on plan assets | (95,358) | (131,295) | (165,390) |
Amortization of actuarial loss (gain) | 2,185 | 89 | 152 |
Amortization of prior service costs | 67 | 66 | 0 |
Pension settlement gain | 0 | (727) | 0 |
Other adjustment | 0 | 0 | 72 |
Total non-operating (benefit) expense | (8,657) | (60,134) | (97,027) |
Total (benefit) expense for retirement plans | (7,291) | (58,380) | (94,963) |
Other changes in plan assets and benefit obligations recognized in Other comprehensive income (loss): | |||
Net actuarial (gain) loss | (33,244) | 199,374 | (5,875) |
Amortization of net actuarial (loss) gain | (2,185) | (89) | (152) |
Change in prior service cost | 0 | 0 | 0 |
Amortization of prior service costs | (67) | (66) | 0 |
Other adjustment | 6,805 | (5,283) | 387 |
(Gain) loss recognized in Other comprehensive income (loss) | (28,691) | 193,936 | (5,640) |
Postretirement benefits | |||
Operating expenses: | |||
Service cost - benefits earned during the period | 40 | 77 | 89 |
Non-operating expenses: | |||
Interest cost on benefit obligations | 2,334 | 1,770 | 1,758 |
Expected return on plan assets | 0 | 0 | 0 |
Amortization of actuarial loss (gain) | (2,490) | (589) | (88) |
Amortization of prior service costs | (569) | 0 | 0 |
Pension settlement gain | 0 | 0 | 0 |
Other adjustment | 0 | 0 | 0 |
Total non-operating (benefit) expense | (725) | 1,181 | 1,670 |
Total (benefit) expense for retirement plans | (685) | 1,258 | 1,759 |
Other changes in plan assets and benefit obligations recognized in Other comprehensive income (loss): | |||
Net actuarial (gain) loss | 109 | (14,092) | (7,936) |
Amortization of net actuarial (loss) gain | 2,490 | 589 | 88 |
Change in prior service cost | (3,307) | 0 | 0 |
Amortization of prior service costs | 569 | 0 | 0 |
Other adjustment | 0 | 0 | 0 |
(Gain) loss recognized in Other comprehensive income (loss) | $ (139) | $ (13,503) | $ (7,848) |
Pensions and other postretire_7
Pensions and other postretirement benefit plans - Schedule of Assumptions Used to Determine Defined Benefit Plans Costs (Details) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Jan. 01, 2022 | |
Defined Benefit Plans and Other Postretirement Benefit Plans | |||
Weighted average discount rate | 5.05% | 2.95% | |
Pension benefits | |||
Defined Benefit Plans and Other Postretirement Benefit Plans | |||
Weighted average discount rate | 5.10% | 5.40% | |
Rate of increase in future compensation levels | 2% | 2% | |
Postretirement benefits | |||
Defined Benefit Plans and Other Postretirement Benefit Plans | |||
Weighted average discount rate | 5.40% | 5.70% | |
Current year medical trend | 6.30% | 6.50% | |
Ultimate year medical trend | 4.50% | 4.50% | |
Year of ultimate trend | 2031 | 2031 |
Pensions and other postretire_8
Pensions and other postretirement benefit plans - Schedule of Assumptions Used to Determine Pension Year-End Benefit Obligations (Details) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Pension benefits | |||
Defined Benefit Plans and Other Postretirement Benefit Plans | |||
Weighted average discount rate | 5.40% | 3.80% | 2.20% |
Rate of increase in future compensation levels | 2% | 2% | 2% |
Weighted average expected return on assets | 5.70% | 4.80% | 5.30% |
Postretirement benefits | |||
Defined Benefit Plans and Other Postretirement Benefit Plans | |||
Weighted average discount rate | 5.70% | 3% | 2.60% |
Current year medical trend | 6.50% | 6% | 6% |
Ultimate year medical trend | 4.50% | 4.50% | 4.50% |
Year of ultimate trend | 2031 | 2028 | 2028 |
Pensions and other postretire_9
Pensions and other postretirement benefit plans - Schedule of Allocation of Plan Assets (Details) - Retirement Plans | Dec. 31, 2023 | Dec. 31, 2022 |
Defined Benefit Plans and Other Postretirement Benefit Plans | ||
Target allocation | 100% | |
Allocation of plan assets | 100% | 100% |
Equity securities | ||
Defined Benefit Plans and Other Postretirement Benefit Plans | ||
Target allocation | 22% | |
Allocation of plan assets | 24% | 16% |
Debt securities | ||
Defined Benefit Plans and Other Postretirement Benefit Plans | ||
Target allocation | 62% | |
Allocation of plan assets | 57% | 60% |
Alternative investments | ||
Defined Benefit Plans and Other Postretirement Benefit Plans | ||
Target allocation | 16% | |
Allocation of plan assets | 19% | 24% |
Pensions and other postretir_10
Pensions and other postretirement benefit plans - Schedule of Estimated Benefit Payments (Details) $ in Thousands | Dec. 31, 2023 USD ($) |
Pension benefits | |
Defined Benefit Plans and Other Postretirement Benefit Plans | |
2024 | $ 139,335 |
2025 | 137,694 |
2026 | 135,636 |
2027 | 136,027 |
2028 | 130,738 |
Thereafter | 563,088 |
Postretirement benefits | |
Defined Benefit Plans and Other Postretirement Benefit Plans | |
2024 | 4,932 |
2025 | 4,663 |
2026 | 4,395 |
2027 | 4,144 |
2028 | 3,894 |
Thereafter | $ 16,151 |
Pensions and other postretir_11
Pensions and other postretirement benefit plans - Schedule of Multiemployer Pension Plans (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Defined Benefit Plans and Other Postretirement Benefit Plans | |||
Contributions | $ 1,480 | $ 1,815 | $ 1,789 |
CWA/ITU Negotiated Pension Plan | |||
Defined Benefit Plans and Other Postretirement Benefit Plans | |||
Contributions | 255 | 276 | 369 |
GCIU—Employer Retirement Benefit Plan | |||
Defined Benefit Plans and Other Postretirement Benefit Plans | |||
Contributions | 41 | 42 | 63 |
The Newspaper Guild International Pension Plan | |||
Defined Benefit Plans and Other Postretirement Benefit Plans | |||
Contributions | 14 | 15 | 12 |
IAM National Pension Plan | |||
Defined Benefit Plans and Other Postretirement Benefit Plans | |||
Contributions | 147 | 177 | 188 |
Teamsters Pension Trust Fund of Philadelphia and Vicinity | |||
Defined Benefit Plans and Other Postretirement Benefit Plans | |||
Contributions | 965 | 1,249 | 1,098 |
Central Pension Fund of the International Union of Operating Engineers and Participating Employers | |||
Defined Benefit Plans and Other Postretirement Benefit Plans | |||
Contributions | $ 58 | $ 56 | $ 59 |
Fair value measurement - Narrat
Fair value measurement - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions | ||
Hedge funds redemption period | 60 days | |
Hedge funds redemption potential holdback percentage | 5% | |
Level 3 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions | ||
Unfunded commitments related to partnership/joint venture interests | $ 3.3 | $ 4 |
Fair Value, Measurements, Nonrecurring | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions | ||
Assets held for sale | $ 0.2 | $ 8.4 |
Fair value measurement - Schedu
Fair value measurement - Schedule of Fair Value of Pension Plan Assets by Level Within Fair Value Hierarchy (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | $ 1,785,367 | $ 1,725,697 | |
Liabilities | (1,469) | (4,887) | |
Other liabilities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Liabilities | (1,469) | (4,887) | |
Total | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 1,749,182 | 1,642,808 | |
Level 1 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 153,647 | 165,324 | |
Liabilities | (1,469) | (2,381) | |
Level 1 | Other liabilities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Liabilities | (1,469) | (2,381) | |
Level 2 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 1,243,405 | 1,115,651 | |
Liabilities | 0 | (498) | |
Level 2 | Other liabilities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Liabilities | 0 | (498) | |
Level 3 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 352,130 | 361,833 | $ 438,236 |
Liabilities | 0 | (2,008) | |
Level 3 | Other liabilities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Liabilities | 0 | (2,008) | (2,008) |
Cash and cash equivalents | Total | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 13,423 | 12,793 | |
Cash and cash equivalents | Level 1 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 11,524 | 11,133 | |
Cash and cash equivalents | Level 2 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 1,899 | 1,660 | |
Cash and cash equivalents | Level 3 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 0 | 0 | |
Corporate common stock | Total | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 98,309 | 111,351 | |
Corporate common stock | Level 1 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 98,309 | 111,351 | |
Corporate common stock | Level 2 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 0 | 0 | |
Corporate common stock | Level 3 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 0 | 0 | |
Corporate and government bonds | Total | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 253,403 | 246,555 | |
Corporate and government bonds | Level 1 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 0 | 0 | |
Corporate and government bonds | Level 2 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 253,403 | 246,555 | |
Corporate and government bonds | Level 3 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 0 | 0 | |
Real estate | Total | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 133,503 | 132,593 | |
Real estate | Level 1 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 0 | 0 | |
Real estate | Level 2 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 0 | 0 | |
Real estate | Level 3 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 133,503 | 132,593 | 150,589 |
Real estate | Instruments measured at NAV using the practical expedient: | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 9,576 | 12,415 | |
Mutual funds | Total | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 22,764 | 24,346 | |
Mutual funds | Level 1 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 22,764 | 24,346 | |
Mutual funds | Level 2 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 0 | 0 | |
Mutual funds | Level 3 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 0 | 0 | |
Exchange traded funds | Total | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 21,050 | 18,494 | |
Exchange traded funds | Level 1 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 21,050 | 18,494 | |
Exchange traded funds | Level 2 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 0 | 0 | |
Exchange traded funds | Level 3 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 0 | 0 | |
Equities | Total | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 296,624 | 252,718 | |
Equities | Level 1 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 0 | 0 | |
Equities | Level 2 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 296,624 | 252,718 | |
Equities | Level 3 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 0 | 0 | |
Fixed income | Total | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 691,479 | 614,718 | |
Fixed income | Level 1 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 0 | 0 | |
Fixed income | Level 2 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 691,479 | 614,718 | |
Fixed income | Level 3 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 0 | 0 | |
Fixed income | Instruments measured at NAV using the practical expedient: | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 23,396 | 21,547 | |
Partnership/joint venture interests | Total | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 169,932 | 166,184 | |
Partnership/joint venture interests | Level 1 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 0 | 0 | |
Partnership/joint venture interests | Level 2 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 0 | 0 | |
Partnership/joint venture interests | Level 3 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 169,932 | 166,184 | 186,817 |
Partnership/joint venture interests | Instruments measured at NAV using the practical expedient: | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Partnerships/joint ventures | 3,213 | 48,927 | |
Hedge funds | Total | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 48,695 | 63,054 | |
Hedge funds | Level 1 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 0 | 0 | |
Hedge funds | Level 2 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 0 | 0 | |
Hedge funds | Level 3 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 48,695 | 63,054 | 100,828 |
Other assets | Total | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 2 | ||
Other assets | Level 1 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 0 | ||
Other assets | Level 2 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | 0 | ||
Other assets | Level 3 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |||
Assets | $ 0 | $ 2 | $ 2 |
Fair value measurement - Sche_2
Fair value measurement - Schedule of Changes in Fair Value of Pension Plan Assets and Liabilities, Categorized as Level 3 (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Fair Value, Assets (Liabilities) Measured on Recurring Basis, Unobservable Input Reconciliation | ||
Fair value of plan assets at beginning of period | $ 1,725,697 | |
Fair value of plan assets at end of period | 1,785,367 | $ 1,725,697 |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation | ||
Fair value of plan liabilities at beginning of year | 4,887 | |
Fair value of plan liabilities at end of year | 1,469 | 4,887 |
Level 3 | ||
Fair Value, Assets (Liabilities) Measured on Recurring Basis, Unobservable Input Reconciliation | ||
Fair value of plan assets at beginning of period | 361,833 | 438,236 |
Actual return on plan assets - Relating to assets still held at report date | 9,988 | (36,979) |
Actual return on plan assets - Relating to assets sold during the period | 0 | 0 |
Purchases | 30,727 | 56,531 |
Sales | (27,703) | (38,573) |
Settlements | (22,715) | (57,382) |
Fair value of plan assets at end of period | 352,130 | 361,833 |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation | ||
Fair value of plan liabilities at beginning of year | 2,008 | |
Fair value of plan liabilities at end of year | 0 | 2,008 |
Other liabilities | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation | ||
Fair value of plan liabilities at beginning of year | 4,887 | |
Fair value of plan liabilities at end of year | 1,469 | 4,887 |
Other liabilities | Level 3 | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation | ||
Fair value of plan liabilities at beginning of year | 2,008 | 2,008 |
Relating to assets still held at report date | 0 | 0 |
Relating to assets sold during the period | 0 | 0 |
Purchases | 0 | 0 |
Sales | 0 | 0 |
Settlements | (2,008) | 0 |
Fair value of plan liabilities at end of year | 0 | 2,008 |
Real estate | Level 3 | ||
Fair Value, Assets (Liabilities) Measured on Recurring Basis, Unobservable Input Reconciliation | ||
Fair value of plan assets at beginning of period | 132,593 | 150,589 |
Actual return on plan assets - Relating to assets still held at report date | 2,683 | (29,890) |
Actual return on plan assets - Relating to assets sold during the period | 0 | 0 |
Purchases | 13 | 18,819 |
Sales | (1,786) | (6,925) |
Settlements | 0 | 0 |
Fair value of plan assets at end of period | 133,503 | 132,593 |
Partnership/joint venture interests | Level 3 | ||
Fair Value, Assets (Liabilities) Measured on Recurring Basis, Unobservable Input Reconciliation | ||
Fair value of plan assets at beginning of period | 166,184 | 186,817 |
Actual return on plan assets - Relating to assets still held at report date | 4,164 | (9,315) |
Actual return on plan assets - Relating to assets sold during the period | 0 | 0 |
Purchases | 30,714 | 37,712 |
Sales | (25,917) | (31,648) |
Settlements | (5,213) | (17,382) |
Fair value of plan assets at end of period | 169,932 | 166,184 |
Hedge funds | Level 3 | ||
Fair Value, Assets (Liabilities) Measured on Recurring Basis, Unobservable Input Reconciliation | ||
Fair value of plan assets at beginning of period | 63,054 | 100,828 |
Actual return on plan assets - Relating to assets still held at report date | 3,141 | 2,226 |
Actual return on plan assets - Relating to assets sold during the period | 0 | 0 |
Purchases | 0 | 0 |
Sales | 0 | 0 |
Settlements | (17,500) | (40,000) |
Fair value of plan assets at end of period | 48,695 | 63,054 |
Other assets | Level 3 | ||
Fair Value, Assets (Liabilities) Measured on Recurring Basis, Unobservable Input Reconciliation | ||
Fair value of plan assets at beginning of period | 2 | 2 |
Actual return on plan assets - Relating to assets still held at report date | 0 | 0 |
Actual return on plan assets - Relating to assets sold during the period | 0 | 0 |
Purchases | 0 | 0 |
Sales | 0 | 0 |
Settlements | (2) | 0 |
Fair value of plan assets at end of period | $ 0 | $ 2 |
Income taxes - Schedule of Comp
Income taxes - Schedule of Components of Income Tax Expense (Benefit) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |||
Domestic | $ (55,073) | $ (121,840) | $ (152,796) |
Foreign | 48,908 | 44,934 | 64,875 |
Loss before income taxes | $ (6,165) | $ (76,906) | $ (87,921) |
Income taxes - Schedule of Prov
Income taxes - Schedule of Provision (Benefit) for Income Taxes on Income from Continuing Operations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Current: | |||
Federal | $ (311) | $ (3,579) | $ 579 |
State and local | 1,705 | 804 | 1,180 |
Foreign | 8,821 | 1,575 | 1,521 |
Total current | 10,215 | (1,200) | 3,280 |
Deferred: | |||
Federal | 6,436 | (692) | 27,842 |
State and local | 399 | (5,868) | 1,663 |
Foreign | 4,679 | 9,109 | 15,465 |
Total deferred | 11,514 | 2,549 | 44,970 |
Provision for income taxes | $ 21,729 | $ 1,349 | $ 48,250 |
Income taxes - Schedule of Reco
Income taxes - Schedule of Reconciliation of Effective Tax Rate (Details) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |||
Federal statutory tax rate | 21% | 21% | 21% |
(Increase) decrease in taxes resulting from: | |||
State and local income taxes, net of federal benefit | 3.60% | 6% | (3.00%) |
Debt refinancing | 0% | 0% | (30.20%) |
Change in valuation allowance | (130.00%) | (30.90%) | (40.60%) |
Foreign tax rates differences | (9.20%) | 0.40% | 0.80% |
Non-deductible parking | (2.50%) | (0.20%) | (0.30%) |
Non-deductible meals, entertainment | (12.80%) | (0.90%) | (0.90%) |
Gain (loss) on foreign exchange rate | 2.40% | 0.40% | (0.20%) |
Stock compensation windfall/(shortfall) | (24.20%) | (0.20%) | (0.20%) |
Partnership permanent differences | (2.00%) | (0.10%) | 0% |
Tegna indemnification release | (2.80%) | (0.70%) | (0.40%) |
Foreign entities loss adjustments | (1.30%) | (1.60%) | (0.50%) |
Newsquest permanent differences | (7.60%) | (0.10%) | 3.20% |
Nondeductible compensation | (13.40%) | (2.30%) | (0.40%) |
Provision to return and deferred tax adjustments | (45.10%) | 5.40% | (4.90%) |
Capital loss carryforward | 0% | 0% | (1.60%) |
Paycheck Protection Program Loan forgiveness | 0% | 0% | 3.80% |
Global intangible low-taxed income | (112.70%) | (4.60%) | (5.80%) |
Branch income | 5.40% | 1.20% | 1.60% |
Profit on non-qualifying land and buildings | 0.20% | 0.10% | 2.40% |
Uncertain tax positions | (134.50%) | (2.60%) | (8.60%) |
Deduction for interest expense | 102.70% | 8.50% | 8.40% |
Other expenses | 10.30% | (0.60%) | 1.50% |
Effective tax rate | 0% | (1.80%) | 0% |
Income taxes - Narrative (Detai
Income taxes - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Effective tax rate (as a percent) | 0% | (1.80%) | 0% |
Deferred tax asset valuation allowance, increase (decrease) | $ 12 | $ 25.7 | |
Operating loss carryforwards | 444.5 | ||
Disallowed business interest expense carryforwards | 478.3 | ||
State net operating loss carryforwards | 1,088 | ||
Foreign net operating loss carryforwards | 203.9 | ||
General business tax credit | 6 | ||
Foreign tax credits | 0.3 | ||
State credits | 4.9 | ||
Uncertain tax positions | 52.6 | ||
Interest and penalties included in uncertain tax position accrual | 4.6 | $ 3.9 | |
Minimum | |||
SEC Schedule, 12-09, Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Decrease in unrecognized tax benefits is reasonably possible | 10 | ||
Maximum | |||
SEC Schedule, 12-09, Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Decrease in unrecognized tax benefits is reasonably possible | 16 | ||
U.S Disallowed Interest Expense Carryforward | |||
SEC Schedule, 12-09, Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Deferred tax asset valuation allowance, increase (decrease) | 12 | ||
Foreign Valuation Allowances | |||
SEC Schedule, 12-09, Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Deferred tax asset valuation allowance, increase (decrease) | (4.7) | ||
Currency Translation Adjustment | |||
SEC Schedule, 12-09, Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Deferred tax asset valuation allowance, increase (decrease) | 3 | ||
Other | |||
SEC Schedule, 12-09, Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Deferred tax asset valuation allowance, increase (decrease) | 1.7 | ||
Foreign Tax Authority | |||
SEC Schedule, 12-09, Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Foreign capital loss carry forwards | $ 43.8 |
Income taxes - Schedule of Defe
Income taxes - Schedule of Deferred Tax Liabilities and Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Deferred tax liabilities: | ||
Fixed assets | $ (5,565) | $ (13,850) |
Right of use asset | (60,384) | (61,366) |
Convertible debt | (18,441) | (22,808) |
Pension and other postretirement benefit obligations | (8,388) | 0 |
Definite and indefinite lived intangible assets | (20,457) | (32,197) |
Total deferred tax liabilities | (113,235) | (130,221) |
Deferred tax assets: | ||
Accrued compensation costs | 12,900 | 15,507 |
Accrued liabilities | 14,676 | 15,837 |
Disallowed interest | 115,030 | 103,012 |
Goodwill | 3,200 | 6,605 |
Pension and other postretirement benefit obligations | 0 | 7,671 |
Partnership investments | 4,231 | 4,491 |
Loss carryforwards | 224,505 | 248,516 |
Lease liabilities | 58,828 | 61,511 |
Other | 27,000 | 22,309 |
Total deferred tax assets | 460,370 | 485,459 |
Less: Valuation allowances | (312,038) | (300,059) |
Total net deferred tax assets | 148,332 | 185,400 |
Net deferred tax assets | $ 35,097 | $ 55,179 |
Income taxes - Schedule of Valu
Income taxes - Schedule of Valuation Allowance (Details) - Valuation Allowance of Deferred Tax Assets $ in Thousands | 12 Months Ended |
Dec. 31, 2023 USD ($) | |
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves | |
Balance at beginning of period | $ 300,059 |
Additions/(reductions) charged to expenses | 9,024 |
Additions/(reductions) for acquisitions/dispositions | 0 |
Other additions to (deductions from) reserves | 0 |
Foreign currency translation | 2,954 |
Balance at end of period | $ 312,037 |
Income taxes - Schedule of Acti
Income taxes - Schedule of Activity Related to Unrecognized Tax Benefits, Excluding Federal Tax Benefit of State Tax Deductions (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns | |||
Balance at beginning of year | $ 43,697 | $ 46,082 | $ 40,885 |
Additions based on tax positions related to the current year | 7,017 | 5,411 | 6,574 |
Additions for tax positions of prior years | 1,327 | 0 | 607 |
Reductions for tax positions of prior years | (652) | (2,664) | (1,984) |
Reductions due to lapsed statutes of limitations | (208) | (2,264) | 0 |
Foreign currency translation | 1,640 | ||
Foreign currency translation | (2,868) | 0 | |
Balance at end of year | $ 52,821 | $ 43,697 | $ 46,082 |
Supplemental equity and other_3
Supplemental equity and other information - Schedule of Earnings (Loss) Per Share (Basic And Diluted) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Equity [Abstract] | |||
Net loss attributable to Gannett | $ (27,791) | $ (78,002) | $ (134,962) |
Basic weighted average shares outstanding (in shares) | 139,633 | 136,903 | 134,783 |
Diluted weighted average shares outstanding (in shares) | 139,633 | 136,903 | 134,783 |
Loss per share attributable to Gannett - basic (in dollars per share) | $ (0.20) | $ (0.57) | $ (1) |
Loss per share attributable to Gannett - diluted (in dollars per share) | $ (0.20) | $ (0.57) | $ (1) |
Supplemental equity and other_4
Supplemental equity and other information - Schedule of Securities From Computation of Diluted Income Per Share (Details) - USD ($) shares in Thousands, $ in Millions | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Nov. 30, 2021 | |
2027 Notes | Convertible Debt | ||||
Share-based Compensation Arrangement by Share-based Payment Award | ||||
Repurchased face amount | $ 11.8 | $ 11.8 | ||
Warrants | ||||
Share-based Compensation Arrangement by Share-based Payment Award | ||||
Computation of diluted income per share (in shares) | 0 | 845 | 845 | |
Stock options | ||||
Share-based Compensation Arrangement by Share-based Payment Award | ||||
Computation of diluted income per share (in shares) | 6,068 | 6,068 | 6,068 | |
Restricted stock grants | ||||
Share-based Compensation Arrangement by Share-based Payment Award | ||||
Computation of diluted income per share (in shares) | 8,608 | 8,616 | 9,854 | |
2027 Notes | ||||
Share-based Compensation Arrangement by Share-based Payment Award | ||||
Computation of diluted income per share (in shares) | 97,057 | 97,057 | 98,168 |
Supplemental equity and other_5
Supplemental equity and other information - Narrative (Details) $ / shares in Units, shares in Thousands, $ in Millions | 12 Months Ended | |||
Dec. 31, 2023 USD ($) shares $ / shares | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | Nov. 30, 2021 USD ($) | |
Stockholders Equity Note | ||||
Share-based compensation cost | $ 16.6 | $ 16.8 | $ 18.4 | |
Unrecognized compensation cost related to non-vested share-based compensation | $ 15.9 | |||
Unrecognized compensation recognition period | 1 year 7 months 6 days | |||
Number of stock options (in shares) | shares | 6,068 | |||
Weighted average grant date fair value (in dollars per shares) | $ / shares | $ 1.78 | |||
Weighted average exercise price (in dollars per share) | $ / shares | $ 13.97 | |||
Remaining contractual term (in years) | 4 years 2 months 12 days | |||
Share-Based Payment Arrangement, Tranche One | ||||
Stockholders Equity Note | ||||
Vesting, percentage | 33.30% | |||
Share-Based Payment Arrangement, Tranche Two | ||||
Stockholders Equity Note | ||||
Vesting, percentage | 33.30% | |||
Share-Based Payment Arrangement, Tranche Three | ||||
Stockholders Equity Note | ||||
Vesting, percentage | 33.40% | |||
2027 Notes | Convertible Debt | ||||
Stockholders Equity Note | ||||
Repurchased face amount | $ 11.8 | $ 11.8 | ||
Aggregate shares receivable upon conversion (shares) | shares | 287,200 | |||
2027 Notes and restricted stock grants (in shares) | shares | 190,100 | |||
RSA | ||||
Stockholders Equity Note | ||||
Aggregate intrinsic value of unvested | $ 19.4 | |||
Vesting period (years) | 3 years | |||
RSUs | ||||
Stockholders Equity Note | ||||
Vesting period (years) | 3 years | |||
RSU's & PSU's | ||||
Stockholders Equity Note | ||||
Aggregate intrinsic value of unvested | $ 0.4 | |||
CPU's and LTCA's | ||||
Stockholders Equity Note | ||||
Unrecognized compensation expense | $ 8.9 |
Supplemental equity and other_6
Supplemental equity and other information - Schedule of RSU's; PSU's; and Restricted Stock Grants (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
RSA | |||
Unvested Shares | |||
Unvested at beginning of year (in shares) | 8,616,000 | 6,949,000 | 5,181,000 |
Granted (in shares) | 5,171,000 | 7,427,000 | 4,100,000 |
Vested (in shares) | (3,910,000) | (2,633,000) | (1,956,000) |
Forfeited (in shares) | (1,421,000) | (3,127,000) | (376,000) |
Unvested at end of year (in shares) | 8,456,000 | 8,616,000 | 6,949,000 |
Weighted- average grant date fair value | |||
Unvested at beginning (in dollars per shares) | $ 4.40 | $ 4.32 | $ 3.39 |
Granted (in dollars per share) | 1.87 | 4.29 | 5.29 |
Vested (in dollars per shares) | 4.11 | 4.63 | 3.80 |
Forfeited (in dollars per share) | 3.68 | 3.75 | 4.76 |
Unvested at end of year (in dollars per shares) | $ 3.09 | $ 4.40 | $ 4.32 |
RSU's & PSU's | |||
Unvested Shares | |||
Unvested at beginning of year (in shares) | 1,000,000 | 2,905,000 | 2,513,000 |
Granted (in shares) | 332,000 | 332,000 | 2,000,000 |
Vested (in shares) | (152,000) | (1,905,000) | (1,576,000) |
Forfeited (in shares) | (999,000) | (332,000) | (32,000) |
Unvested at end of year (in shares) | 181,000 | 1,000,000 | 2,905,000 |
Weighted- average grant date fair value | |||
Unvested at beginning (in dollars per shares) | $ 3.04 | $ 4.05 | $ 6.28 |
Granted (in dollars per share) | 1.83 | 4.63 | 3.04 |
Vested (in dollars per shares) | 3.04 | 4.58 | 6.28 |
Forfeited (in dollars per share) | 2.85 | 4.63 | 6.28 |
Unvested at end of year (in dollars per shares) | $ 1.83 | $ 3.04 | $ 4.05 |
RSUs | |||
Unvested Shares | |||
Granted (in shares) | 0 | 0 | 0 |
Performance Stock Units | |||
Unvested Shares | |||
Forfeited (in shares) | (900,000) | (332,000) | 0 |
Supplemental equity and other_7
Supplemental equity and other information - Preferred Stock Narrative (Details) - $ / shares | Dec. 31, 2023 | Dec. 31, 2022 |
Equity [Abstract] | ||
Preferred stock authorized (in shares) | 300,000 | 300,000 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, outstanding (in shares) | 0 | 0 |
Preferred stock, issued (in shares) | 0 | 0 |
Supplemental equity and other_8
Supplemental equity and other information - Stock Repurchase Program (Details) - Stock Repurchase Program - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Feb. 01, 2022 | |
Class of Stock | ||
Shares authorized for repurchase, value | $ 100 | |
Repurchase of common stock (in shares) | 0 | |
Remaining authorized shares for share repurchase program | $ 96.9 |
Supplemental equity and other_9
Supplemental equity and other information - Schedule of Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax | |||
Beginning Balance | $ 295,742 | ||
Other comprehensive income (loss) before reclassifications | 36,322 | $ (160,360) | $ 9,778 |
Amounts reclassified from accumulated other comprehensive income (loss) | (632) | (869) | 47 |
Net current period other comprehensive income (loss), net of taxes | 35,690 | (161,229) | 9,825 |
Ending Balance | 317,785 | 295,742 | |
Amounts reclassified from accumulated other comprehensive (loss) income | 200 | 300 | (20) |
Pension benefits | |||
Accumulated Other Comprehensive Income (Loss), Net of Tax | |||
Amount reclassified from accumulated other comprehensive (loss) income, net pension settlement gain | 0 | 727 | 0 |
Gannett Retirement Plan | Pension benefits | |||
Accumulated Other Comprehensive Income (Loss), Net of Tax | |||
Amount reclassified from accumulated other comprehensive (loss) income, net pension settlement gain | 700 | ||
Noncash pension settlement gain, after tax | 500 | ||
Total | |||
Accumulated Other Comprehensive Income (Loss), Net of Tax | |||
Beginning Balance | (101,231) | 59,998 | 50,173 |
Ending Balance | (65,541) | (101,231) | 59,998 |
Pension and postretirement benefit plans | |||
Accumulated Other Comprehensive Income (Loss), Net of Tax | |||
Beginning Balance | (86,351) | 50,870 | 40,441 |
Other comprehensive income (loss) before reclassifications | 22,639 | (136,352) | 10,382 |
Amounts reclassified from accumulated other comprehensive income (loss) | (632) | (869) | 47 |
Net current period other comprehensive income (loss), net of taxes | 22,007 | (137,221) | 10,429 |
Ending Balance | (64,344) | (86,351) | 50,870 |
Foreign currency translation | |||
Accumulated Other Comprehensive Income (Loss), Net of Tax | |||
Beginning Balance | (14,880) | 9,128 | 9,732 |
Other comprehensive income (loss) before reclassifications | 13,683 | (24,008) | (604) |
Amounts reclassified from accumulated other comprehensive income (loss) | 0 | 0 | 0 |
Net current period other comprehensive income (loss), net of taxes | 13,683 | (24,008) | (604) |
Ending Balance | $ (1,197) | $ (14,880) | $ 9,128 |
Commitments, contingencies an_2
Commitments, contingencies and other matters (Details) - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | |
Feb. 29, 2024 | Dec. 31, 2023 | Dec. 31, 2022 | |
Commitments and Contingencies Disclosure | |||
Self insurance liabilities | $ 43.1 | $ 51.1 | |
Compensatory Damages | Scott O. Sapulpa v. Gannett Co., Inc. | Subsequent Event | |||
Commitments and Contingencies Disclosure | |||
Damages awarded | $ 5 | ||
Punitive Damages | Scott O. Sapulpa v. Gannett Co., Inc. | Subsequent Event | |||
Commitments and Contingencies Disclosure | |||
Damages awarded | $ 20 | ||
Printing Contracts and Others | |||
Commitments and Contingencies Disclosure | |||
Purchase commitments under contract | $ 256.2 |
Segment reporting - Schedule of
Segment reporting - Schedule of Reconciliation of EBITDA to Operating Loss (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Segment Reporting Information | |||
Total revenues | $ 2,663,550 | $ 2,945,303 | $ 3,208,083 |
Net loss attributable to noncontrolling interests | 103 | 253 | 1,209 |
Interest expense | 111,776 | 108,366 | 135,748 |
(Gain) loss on early extinguishment of debt | (4,529) | (399) | 48,708 |
Non-operating pension income | (9,382) | (58,953) | (95,357) |
Loss on convertible notes derivative | 0 | 0 | 126,600 |
Depreciation and amortization | 162,622 | 182,022 | 203,958 |
Integration and reorganization costs | 24,468 | 87,974 | 49,284 |
Other operating expenses | 1,550 | 1,892 | 20,952 |
Asset impairments | 1,370 | 1,056 | 3,976 |
(Gain) loss on sale or disposal of assets, net | (40,101) | (6,883) | 17,208 |
Share-based compensation expense | 16,567 | 16,751 | 18,439 |
Other items | 9,404 | 2,110 | (9,092) |
Loss before income taxes | (6,165) | (76,906) | (87,921) |
Provision for income taxes | 21,729 | 1,349 | 48,250 |
Net loss | (27,894) | (78,255) | (136,171) |
Net loss attributable to noncontrolling interests | (103) | (253) | (1,209) |
Net loss attributable to Gannett | (27,791) | (78,002) | (134,962) |
Operating Segments | Domestic Gannett Media | |||
Segment Reporting Information | |||
Total revenues | 2,095,853 | 2,379,806 | 2,678,117 |
Adjusted EBITDA: | 194,641 | 207,648 | 384,933 |
Operating Segments | Newsquest | |||
Segment Reporting Information | |||
Total revenues | 233,980 | 234,630 | 208,618 |
Adjusted EBITDA: | 50,128 | 40,027 | 49,040 |
Operating Segments | Digital Marketing Solutions | |||
Segment Reporting Information | |||
Total revenues | 477,909 | 468,883 | 442,299 |
Adjusted EBITDA: | 53,223 | 57,580 | 50,960 |
Corporate and other | |||
Segment Reporting Information | |||
Total revenues | 6,268 | 5,440 | 8,371 |
Adjusted EBITDA: | (30,309) | (47,972) | (51,221) |
Intersegment Eliminations | |||
Segment Reporting Information | |||
Total revenues | $ 150,460 | $ 143,456 | $ 129,322 |
Subsequent events (Details)
Subsequent events (Details) $ in Millions | 3 Months Ended |
Mar. 31, 2024 USD ($) | |
Forecast | |
Subsequent Event | |
Impairment charges | $ 45 |