TEGNA (TGNA) 10-Q 30 Jul 09 2009 Q2 Quarterly report Financial data

Document and Company Informatio

Document and Company Information (USD $)
	6 Months Ended Jun. 28, 2009	Jun. 29, 2008
Document And Company Information [Abstract]
Entity Registrant Name	GANNETT CO., INC.
Entity Central Index Key	0000039899
Document Type	10-Q
Document Period End Date	2009-06-28
Amendment Flag	false
Amendment Description	N/A
Current Fiscal Year End Date	--12-27
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Public Float		$5,020,320,713
Entity Common Stock, Shares Outstanding (actual numbers)	234,751,324

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (USD $)
In Thousands	Jun. 28, 2009	Dec. 28, 2008
Current assets
Cash and cash equivalents	$104,368	$98,949
Trade receivables, less allowance for doubtful receivables (2009 - $54,430; 2008 - $59,008)	676,768	846,590
Other Receivables	50,901	58,399
Inventories	61,067	121,484
Deferred income taxes	27,121	29,386
Prepaid expenses and other current assets	79,635	91,136
Total current assets	999,860	1,245,944
Property, plant and equipment
Cost	4,598,182	4,607,363
Less accumulated depreciation	(2,474,217)	(2,385,869)
Net property, plant and equipment	2,123,965	2,221,494
Intangible and other assets
Goodwill	2,871,733	2,872,888
Indefinite-lived and amortizable intangible assets, less accumulated amortization	593,106	582,691
Deferred income taxes	422,510	460,567
Investments and other assets	410,879	413,230
Total intangible and other assets	4,298,228	4,329,376
Total assets	7,422,053	7,796,814
Current liabilities
Accounts payable and current portion of film contracts payable	224,207	324,573
Compensation, interest and other accruals	370,388	468,722
Dividends payable	9,605	91,465
Income taxes	45,568	0
Deferred income	253,800	272,381
Total current liabilities	903,568	1,157,141
Income taxes	210,857	227,067
Long-term debt	3,508,634	3,816,942
Postretirement medical and life insurance liabilities	209,399	217,143
Pension liabilities	830,784	882,511
Other long-term liabilities	248,710	248,482
Total liabilities	5,911,952	6,549,286
Redeemable noncontrolling interest	75,481	72,840
Gannett Co., Inc. shareholders' equity
Preferred stock of $1 par value per share. Authorized: 2,000,000 shares; Issued: none	0	0
Common stock of $1 par value per share. Authorized: 800,000,000 shares; Issued: 324,418,632 shares	324,419	324,419
Additional paid-in capital	651,270	743,199
Retained earnings	6,136,137	6,006,753
Accumulated other comprehensive loss	(390,111)	(469,252)
Shareholders' Equity Before Treasury stock	6,721,715	6,605,119
Less treasury stock, 89,667,308 shares and 96,295,239 shares, respectively, at cost	(5,413,774)	(5,549,237)
Total Gannett Co., Inc. shareholders' equity	1,307,941	1,055,882
Noncontrolling interest	126,679	118,806
Total equity	1,434,620	1,174,688
Total liabilities, redeemable noncontrolling interest and equity	$7,422,053	$7,796,814

1_Condensed Consolidated Balanc

Condensed Consolidated Balance Sheets (Parenthetical) (USD $)
In Thousands, except Share data	Jun. 28, 2009	Dec. 28, 2008
Allowance for doubtful receivables	$54,430	$59,008
Preferred stock, par value	1	1
Preferred stock, shares authorized	2,000,000	2,000,000
Preferred stock, shares issued	0	0
Common stock, par value	1	1
Common stock, shares authorized	800,000,000	800,000,000
Common stock, shares issued	324,418,632	324,418,632
Treasury stock, shares	89,667,308	96,295,239

Condensed Consolidated Statemen

Condensed Consolidated Statements of Income (Loss) (USD $)
In Thousands, unless otherwise specified	3 Months Ended Jun. 28, 2009	3 Months Ended Jun. 29, 2008	6 Months Ended Jun. 28, 2009	6 Months Ended Jun. 29, 2008
Net Operating Revenues:
Publishing advertising	$753,079	$1,108,189	$1,475,834	$2,205,083
Publishing circulation	292,757	305,994	592,440	615,172
Digital	142,354	20,008	285,514	33,901
Broadcasting	152,966	192,568	296,456	362,748
All other	71,437	91,230	140,827	177,954
Total	1,412,593	1,717,989	2,791,071	3,394,858
Operating Expenses:
Cost of sales and operating expenses, exclusive of depreciation	867,312	988,538	1,706,316	1,975,038
Selling, general and administrative expenses, exclusive of depreciation	293,102	299,539	602,482	594,435
Depreciation	53,798	55,109	109,534	114,711
Amortization of intangible assets	8,232	6,475	16,397	14,715
Asset impairment and other charges	47,391	2,501,874	47,391	2,501,874
Total	1,269,835	3,851,535	2,482,120	5,200,773
Operating income (loss)	142,758	(2,133,546)	308,951	(1,805,915)
Non-operating (expense) income:
Equity income (loss) in unconsolidated investees, net	2,839	(252,793)	150	(264,548)
Interest expense	(43,972)	(43,957)	(92,884)	(92,506)
Other non-operating items	16,582	5,362	19,039	29,534
Total	(24,551)	(291,388)	(73,695)	(327,520)
Income (loss) before income taxes	118,207	(2,424,934)	235,256	(2,133,435)
Provision (benefit) for income taxes	39,900	(134,200)	79,200	(34,500)
Net income (loss)	78,307	(2,290,734)	156,056	(2,098,935)
Net income attributable to noncontrolling interest	(7,826)	(22)	(8,140)	(43)
Net income (loss) attributable to Gannett Co., Inc.	$70,481	($2,290,756)	$147,916	($2,098,978)
Earnings (loss) per share - basic	0.3	-10.03	0.64	-9.17
Earnings (loss) per share - diluted	0.3	-10.03	0.64	-9.17
Dividends per share	0.04	0.4	0.08	0.8

2_Condensed Consolidated Statem

Condensed Consolidated Statements of Income Percentage Increase (Decrease) (USD $)
	3 Months Ended Jun. 28, 2009	6 Months Ended Jun. 28, 2009
Net Operating Revenues:
Publishing advertising	-0.32	-0.331
Publishing circulation	-0.043	-0.037
Digital	6.115	7.422
Broadcasting	-0.206	-0.183
All other	-0.217	-0.209
Total	-0.178	-0.178
Operating Expenses:
Cost of sales and operating expenses, exclusive of depreciation	-0.123	-0.136
Selling, general and administrative expenses, exclusive of depreciation	-0.021	0.014
Depreciation	-0.024	-0.045
Amortization of intangible assets	0.271	0.114
Asset impairment and other charges	-0.981	-0.981
Total	-0.67	-0.523
Operating income (loss)	-1.067	-1.171
Nonoperating Income Expense Percentage Increase (Decrease) Abstract
Equity income (loss) in unconsolidated investees, net	-1.011	-1.001
Interest expense	0	0.004
Other non-operating items	2.093	-0.355
Total	-0.916	-0.775
Income (loss) before income taxes	-1.049	-1.11
Provision (benefit) for income taxes	-1.297	-3.296
Net income (loss)	-1.034	-1.074
Net income attributable to noncontrolling interest	354.727	188.302
Net income (loss) attributable to Gannett Co., Inc.	-1.031	-1.07
Earnings (loss) per share - basic	-1.03	-1.07
Earnings (loss) per share - diluted	-1.03	-1.07
Dividends per share	-0.9	-0.9

3_Condensed Consolidated Statem

Condensed Consolidated Statements of Cash Flows (USD $)
In Thousands	6 Months Ended Jun. 28, 2009	6 Months Ended Jun. 29, 2008
Cash flows from operating activities:
Net income (loss)	$156,056	($2,098,935)
Adjustments to reconcile net income (loss) to operating cash flows:
Debt exchange gain	(42,746)	0
Depreciation and amortization	125,931	129,426
Asset impairment and other charges	75,426	2,501,874
Provision (benefit) for deferred income taxes	36,400	(216,100)
Pension benefit, net of pension contributions	(17,162)	(33,047)
Equity (income) loss in unconsolidated investees, net	(150)	264,548
Stock-based compensation	37,226	13,404
Change in other assets and liabilities, net	25,735	(24,398)
Net cash flow from operating activities	396,716	536,772
Cash flows from investing activities:
Purchase of property, plant and equipment	(33,214)	(57,989)
Payments for acquisitions, net of cash acquired	(7,098)	(11,295)
Payments for investments	(3,724)	(23,998)
Proceeds from investments	9,668	18,266
Proceeds from sale of assets	7,609	69,160
Net cash used for investing activities	(26,759)	(5,856)
Cash flows from financing activities
Proceeds from borrowings under revolving credit agreements	366,000	0
Payments of unsecured fixed rate notes	0	(500,000)
Payments of unsecured floating rate notes	(630,501)	0
Proceeds from unsecured promissory notes	0	726,248
Dividends paid	(100,500)	(184,043)
Cost of common shares repurchased	0	(72,764)
Distributions to noncontrolling interest shareholders	0	(200)
Net cash used for financing activities	(365,001)	(30,759)
Effect of currency exchange rate change	463	(44)
Net increase in cash and cash equivalents	5,419	500,113
Balance of cash and cash equivalents at beginning of period	98,949	77,249
Balance of cash and cash equivalents at end of period	$104,368	$577,362

Basis of presentation

Basis of presentation
	6 Months Ended Jun. 28, 2009 USD / shares
Basis Of Presentation [Abstract]
Basis of presentation	NOTE 1 Basis of presentation The accompanying unaudited Condensed Consolidated Financial Statements of Gannett Co., Inc. (the Company) have been prepared in accordance with the instructions for Form 10-Q and, therefore, do not include all information and footnotes, which are normally included in the Form 10-K and annual report to shareholders. The financial statements covering the thirteen week and year-to-date periods ended June28, 2009, and the comparable periods of 2008, reflect all adjustments which, in the opinion of the Company, are necessary for a fair statement of results for the interim periods and reflect all normal and recurring adjustments which are necessary for a fair presentation of the Companys financial position, results of operations and cash flows as of the dates and for the periods presented. The Company has evaluated subsequent events through the time of filing this Form 10-Q on July30, 2009, which is the date that these financial statements have been filed with the Securities and Exchange Commission (SEC). No material subsequent events have occurred since June28, 2009 that required recognition or disclosure in these financial statements. In the third quarter of 2008, the Company began reporting a new digital segment and a separate digital revenues line in its Statements of Income. The digital segment includes CareerBuilder, ShopLocal, ScheduleStar, Planet Discover, PointRoll and Ripple6. Results for CareerBuilder and ShopLocal were initially consolidated in the third quarter of 2008 when the Company acquired ShopLocal and a controlling interest in CareerBuilder. Ripple6 was acquired in November2008. Results for ScheduleStar, Planet Discover and PointRoll, which had been previously included in the publishing segment, have been reclassified to the digital segment for prior periods. The digital segment and the digital revenues line do not include online/digital revenues generated by Web sites that are associated with the Companys publishing and broadcasting operating properties. Such amounts are reflected within these segments and are included as part of publishing advertising revenues and broadcasting revenues in the Statements of Income. The Company adopted Financial Accounting Standards Board (FASB)Statement of Financial Accounting Standards No.160, Noncontrolling Interests in Consolidated Financial Statements, an amendment of ARB No.51 (SFAS No.160) at the beginning of its 2009 fiscal year. SFAS No.160 changed the accounting and reporting for minority interest, which was renamed noncontrolling interests and generally classified as a component of equity on the Condensed Consolidated Balance Sheet. Gannetts SFAS No.160 adoption resulted in the presentation of a new line Redeemable noncontrolling interest in the mezzanine section of the balance sheet. The balance in this line represents redeemable stock held by a noncontrolling owner in CareerBuilder, LLC (CareerBuilder). The redeemable stock is generally exercisable within 30days after January1, 2014. On the Condensed Consolidated Statement of Income, SFAS No.160 affected primarily the Companys reporting of the 49.2percent noncontrolling interest in Ca

Recently issued accounting stan

Recently issued accounting standards
	6 Months Ended Jun. 28, 2009 USD / shares
Recently Issued Accounting Standards [Abstract]
Recently issued accounting standards	NOTE 2 Recently issued accounting standards In June2009, the FASB issued SFAS No.168, The FASB Accounting Standards Codification and the Hierarchy of Generally Accepted Accounting Principlesa replacement of FASB Statement No. 162. This standard establishes only two levels of U.S. generally accepted accounting principles (GAAP), authoritative and nonauthoritative. The FASB Accounting Standards Codification (the Codification) will become the source of authoritative, nongovernmental GAAP, except for rules and interpretive releases of the SEC, which are sources of authoritative GAAP for SEC registrants. All other nongrandfathered, non-SEC accounting literature not included in the Codification will become nonauthoritative. This standard is effective for financial statements for interim or annual reporting periods ending after September15, 2009. The Company will begin to use the new guidelines and numbering system prescribed by the Codification when referring to GAAP in the third quarter of 2009. As the Codification was not intended to change or alter existing GAAP, it will not have any impact on the Companys consolidated financial statements. In May2009, the FASB issued Statement of Financial Accounting Standards No.165, Subsequent Events (SFAS No.165). This standard is intended to establish general standards of accounting for and disclosure of events that occur after the balance sheet date but before financial statements are issued or are available to be issued. Specifically, this standard sets forth the period after the balance sheet date during which management of a reporting entity should evaluate events or transactions that may occur for potential recognition or disclosure in the financial statements, the circumstances under which an entity should recognize events or transactions occurring after the balance sheet date in its financial statements, and the disclosures that an entity should make about events or transactions that occurred after the balance sheet date. The Company began applying the provisions of SFAS No.165 in the second quarter of 2009 and its adoption did not affect the Companys financial statements, other than the disclosures required by it, which can be found in Note 1. In April2009, the FASB issued FASB Staff Position FAS 107-1 and APB 28-1, Interim Disclosures about Fair Value of Financial Instruments (FSP FAS 107-1 and APB 28-1), which amends the interim disclosure requirements in scope for SFAS No.107, Disclosures about Fair Value of Financial Instruments. This FASB Staff Position is effective for interim and annual periods ending after June15, 2009. The Company began applying the provisions of FSP FAS 107-1 and APB 28-1 in the second quarter of 2009 and its adoption did not affect the Companys financial statements, other than the disclosures required by it, which can be found in Note 10. In April2009, the FASB issued FSP FAS No.115-2 and 124-2, Recognition and Presentation of Other-Than-Temporary Impairments (FSP FAS 115-2 and 124-2). This FASB staff position provides additional guidance related to the disclosure of impairment losses on securities and the accounting for impairment losses on debt sec

Asset impairment and other char

Asset impairment and other charges
	6 Months Ended Jun. 28, 2009 USD / shares
Asset Impairment And Other Charges [Abstract]
Asset impairment and other charges	NOTE 3 Asset impairment and other charges Very difficult business conditions required the Company to perform impairment tests on certain assets including goodwill, other intangible assets, other long lived assets and investments accounted for under the equity method during the 2009 and 2008 fiscal second quarters. As a result, the Company has recorded non-cash impairment charges to reduce the book value of certain of those assets. In addition, an impairment charge was taken to reduce the value of certain publishing assets held for sale to fair value less costs to sell. A summary of these charges is presented below: Per Diluted Share Pre Tax Amount (a) After Tax Amount Amount (a) Thirteen Weeks Ended Thirteen Weeks Ended Thirteen Weeks Ended June 28, June 29, June 28, June 29, June 28, June 29, (in millions, except per share amounts) 2009 2008 2009 2008 2009 2008 Asset impairment and other charges Goodwill: Publishing $ 17 $ 2,138 $ 10 $ 2,138 $ 0.04 $ 9.36 Total Goodwill 17 2,138 10 2,138 0.04 9.36 Other intangible assets: Publishing 176 113 0.50 Total other intangible assets 176 113 0.50 Property, plant and equipment: Publishing 25 185 16 115 0.07 0.50 Broadcasting 2 1 Corporate 1 1 Total property, plant and equipment 25 188 16 117 0.07 0.51 Other: Publishing 5 3 0.01 Broadcasting 1 1 Total other 6 4 0.02 Total asset impairment and other charges 47 2,502 30 2,368 0.13 10.37 Impairment of publishing assets held for sale 28 24 0.10 Newspaper publishing partnerships and other equity method investments 261 162 0.71 Total charges $ 75 $ 2,763 $ 54 $ 2,530 $ 0.23 $ 11.08 (a) Total amounts may not sum due to rounding. 2009 The goodwill impairment charge results from the application of the impairment testing provisions of Statement of Financial Accounting Standards No.142 Goodwill and Other Intangible Assets (SFAS No.142). Because of difficult business conditions, testing for

Goodwill and other intangible a

Goodwill and other intangible assets
	6 Months Ended Jun. 28, 2009 USD / shares
Goodwill And Other Intangible Assets [Abstract]
Goodwill and other intangible assets	NOTE 4 Goodwill and other intangible assets The following table displays goodwill, indefinite-lived intangible assets, and amortizable intangible assets at June28, 2009 and December28, 2008. June 28, 2009 December 28, 2008 Accumulated Accumulated (in thousands of dollars) Gross Amortization Gross Amortization Goodwill $ 2,871,733 $ 2,872,888 Indefinite-lived intangibles: Mastheads and trade names 114,454 104,512 Television station FCC licenses 255,304 255,304 Amortizable intangible assets: Customer relationships 317,656 129,991 298,566 116,803 Other 57,562 21,879 59,777 18,665 Amortization expense was $8.2million in the quarter ended June28, 2009 and $16.4million year-to-date. For the second quarter and year-to-date of 2008, amortization expense was $6.5 and $14.7million respectively. Customer relationships, which include subscriber lists and advertiser relationships, are amortized on a straight-line basis over eight to 25years. Other intangibles primarily include commercial printing relationships, internally developed technology, partner relationships, patents and amortizable trade names. These assets were assigned lives of between one and 21years and are amortized on a straight-line basis. (in thousands of dollars) Goodwill Publishing Digital Broadcasting Total Balance at Dec. 28, 2008 $ 594,328 $ 660,593 $ 1,617,967 $ 2,872,888 Acquisitions and adjustments 1,582 (4,503 ) (2,921 ) Dispositions (6,039 ) (6,039 ) Impairment (17,000 ) (17,000 ) Foreign currency exchange rate changes 24,636 1 168 24,805 Balance at June28, 2009 $ 597,507 $ 656,091 $ 1,618,135 $ 2,871,733

Long term debt

Long term debt
	6 Months Ended Jun. 28, 2009 USD / shares
Long Term Debt Disclosure [Abstract]
Long-term debt	NOTE 5 Long-term debt The long-term debt of the Company is summarized below: In thousands of dollars June 28, 2009 Dec. 28, 2008 Unsecured floating rate notes paid May2009 $ $ 632,205 Unsecured notes bearing fixed rate interest at 5.75% due June2011 432,375 498,464 Unsecured floating rate term loan due July2011 280,000 280,000 Borrowings under revolving credit agreements expiring March2012 2,273,000 1,907,000 Unsecured notes bearing fixed rate interest at 6.375% due April 2012 306,191 499,269 Unsecured notes bearing fixed rate interest at 10% due June2015 56,086 Unsecured notes bearing fixed rate interest at 10% due April2016 160,978 Other indebtedness 4 4 Total long-term debt $ 3,508,634 $ 3,816,942 In connection with each of its three revolving credit agreements and its term loan agreement, the Company agreed to provide guarantees from its domestic wholly-owned subsidiaries in the event that the Companys credit ratings from either Moodys or SP fell below investment grade. In the first quarter of 2009, the Companys credit rating was downgraded below investment grade by both SP and Moodys. Accordingly, the guarantees were triggered and the existing notes and other unsecured debt of the Company became structurally subordinated to the revolving credit agreements and the term loan. During the first quarter of 2009, the Company repurchased $68.8million in principal amount of the floating rate notes in privately negotiated transactions. In connection with these transactions, the Company recorded a gain of approximately $1.1million which is classified in Other non-operating items in the Statement of Income for the first quarter. This gain is net of $0.6million reclassified from accumulated other comprehensive loss for related interest swap agreements in the first quarter. On May5, 2009, the Company completed a private exchange offer relating to its 5.75% fixed rate notes due June2011 and its 6.375% fixed rate notes due April2012. The Company exchanged approximately $67million in principal amount of new 10% senior notes due 2015 for approximately $67million principal amount of the 2011 notes, and approximately $193million in principal amount of new 10% senior notes due 2016 for approximately $193million principal amount of the 2012 notes. The new 2015 notes and the new 2016 notes (together, the New Notes) are senior unsecured obligations and are guaranteed by those Company subsidiaries providing guarantees under the revolving credit agreements and the term loan agreement. The New Notes and the subsidiary guarantees have not been and will not be registered under the Securities Act of 1933, as amended, or any state securities laws and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements. In connection with the exchange transactions and in accordance with Emerging Issues Task Force Issue No.96-19 Debtors Accounting for a Modification or Exchange of Debt Instruments, (EITF No. 96-19)

Retirement plans

Retirement plans
	6 Months Ended Jun. 28, 2009 USD / shares
Retirement Plans [Abstract]
Retirement plans	NOTE 6 Retirement plans The Company and its subsidiaries have various retirement plans, including plans established under collective bargaining agreements, under which most full-time employees are covered. The Gannett Retirement Plan (GRP)is the Companys principal retirement plan and covers most U.S. employees of the Company and its subsidiaries. The Companys pension costs, which include costs for qualified, nonqualified and union plans are presented in the following table: Thirteen Weeks Ended Twenty-six Weeks Ended June 28, June 29, June 28, June 29, (in millions of dollars) 2009 2008 2009 2008 Service cost-benefits earned during the period $ 3.8 $ 19.4 $ 8.1 $ 43.2 Interest cost on benefit obligation 44.0 53.1 89.7 106.7 Expected return on plan assets (42.8 ) (68.4 ) (86.3 ) (139.0 ) Amortization of prior service cost (credit) 0.6 (3.8 ) 1.2 (9.0 ) Amortization of actuarial loss 12.0 7.6 24.2 15.5 Pension expense for Company-sponsored retirement plans 17.6 7.9 36.9 17.4 Curtailment gain (46.5 ) (46.5 ) Settlement gain (39.8 ) Union and other pension cost 1.3 1.8 2.6 3.6 Pension (benefit)cost $ 18.9 $ (36.8 ) $ (0.3 ) $ (25.5 ) During the first quarter of 2009, the Company reached an agreement with one of its unions for a complete withdrawal from the unions underfunded pension plan and release from any future obligations with respect thereto. Under the agreement, the Company made a settlement payment of $7.3million in May2009 and will make a payment of $7.7million in May2010. As a result of this agreement, the Company recognized a pre-tax pension settlement gain of $39.8million in the first quarter of 2009. As a result of amendments in June2008 to freeze most benefit accruals in the GRP and the Gannett Supplemental Retirement Plan, the Company recognized a net pre tax pension curtailment gain of $46.5million in the second quarter of 2008 in accordance with Statement of Financial Accounting Standards No.88, Employers Accounting for Settlements and Curtailments of Defined Benefit Pension Plans and for Termination Benefits.

Postretirement benefits other t

Postretirement benefits other than pension
	6 Months Ended Jun. 28, 2009 USD / shares
Postretirement Benefits Other Than Pension [Abstract]
Postretirement benefits other than pension	NOTE 7 Postretirement benefits other than pension The Company provides health care and life insurance benefits to certain retired employees who meet age and service requirements. Most of the Companys retirees contribute to the cost of these benefits and retiree contributions are increased as actual benefit costs increase. The Companys policy is to fund benefits as claims and premiums are paid. Postretirement benefit costs for health care and life insurance are presented in the following table: Thirteen Weeks Ended Twenty-six Weeks Ended June 28, June 29, June 28, June 29, (in millions of dollars) 2009 2008 2009 2008 Service cost-benefits earned during the period $ 0.4 $ 0.5 $ 0.8 $ 1.0 Interest cost on net benefit obligation 3.5 3.5 7.0 7.0 Amortization of prior service credit (3.9 ) (3.9 ) (7.8 ) (7.8 ) Amortization of actuarial loss 1.4 1.2 2.8 2.4 Net periodic postretirement benefit cost $ 1.4 $ 1.3 $ 2.8 $ 2.6

Income taxes

Income taxes
	6 Months Ended Jun. 28, 2009 USD / shares
Income Taxes [Abstract]
Income taxes	NOTE 8 Income taxes The total amount of unrecognized tax benefits that, if recognized, would impact the effective tax rate was approximately $116.3million as of December28, 2008 and $106.2million as of the end of the second quarter of 2009. This amount reflects the federal tax benefit of state tax deductions. Excluding the federal tax benefit of state tax deductions, the total amount of unrecognized tax benefits as of December28, 2008 was $182million and as of June28, 2009 was $170.4million. The $11.6million decrease reflects a net reduction for prior year tax positions of $14.3million, a reduction for lapses of statutes of limitations of $1.1million, and additions in the current year of $3.8million. The reduction for prior year tax positions was primarily related to favorable settlements with tax authorities and to currency exchange rate fluctuation. The Company recognizes interest and penalties related to unrecognized tax benefits as a component of income tax expense. The Company also recognizes interest income attributable to overpayment of income taxes as a component of income tax expense. The Company recognized interest and penalty expense (income)of $(0.3) million and $9million during the second quarter of 2009 and 2008, respectively, and $(2.3) million and $12.0million for the year-to-date 2009 and 2008 periods, respectively. The amount of net accrued interest and penalties related to uncertain tax benefits as of December28, 2008 was approximately $72.6million and as of June28, 2009, was approximately $70.7million. The Company files income tax returns in the U.S. and various state and foreign jurisdictions. The 2005 through 2008 tax years remain subject to examination by the IRS. The 2005 through 2008 tax years generally remain subject to examination by state authorities, and the years 2003-2008 are subject to examination in the UK. In addition, tax years prior to 2005 remain subject to examination by certain states primarily due to the filing of amended tax returns upon settlement of the IRS examination for these years and due to ongoing audits. It is reasonably possible that the amount of unrecognized benefits with respect to certain of the Companys unrecognized tax positions will significantly increase or decrease within the next 12 months. These changes may be the result of settlement of ongoing audits, lapses of statutes of limitations or other regulatory developments. At this time, the Company estimates that the amount of its gross unrecognized tax positions may decrease by up to approximately $42million within the next 12months, primarily due to lapses of statutes of limitations in various jurisdictions and potential settlements of ongoing audits and negotiations.

Supplemental shareholders equit

Supplemental shareholders equity information
	6 Months Ended Jun. 28, 2009 USD / shares
Supplemental Shareholders Equity Information [Abstract]
Supplemental shareholders' equity information	NOTE 9 Supplemental shareholders equity information The following table summarizes the shareholders equity for the 26weeks ended June28, 2009 and June29, 2008. The redeemable noncontrolling interest accretion relates to redeemable stock held by a noncontrolling owner of CareerBuilder that provides a fixed return on the noncontrolling owners investment. Gannett Co., Inc. Shareholders Noncontrolling (in thousands of dollars) Equity Interest Total Equity Balance at Dec. 28, 2008 $ 1,055,882 $ 118,806 $ 1,174,688 Comprehensive income: Net income 147,916 8,140 156,056 Less: Redeemable noncontrolling interest accretion (income not available to shareholders) (2,641 ) (2,641 ) Other comprehensive income 79,137 396 79,533 Dividends declared (18,532 ) (18,532 ) Stock-based compensation 37,226 37,226 Acquisitions 1,978 1,978 Other activity 6,312 6,312 Balance at June28, 2009 $ 1,307,941 $ 126,679 $ 1,434,620 Gannett Co., Inc. Shareholders Noncontrolling (in thousands of dollars) Equity Interest Total Equity Balance at Dec. 30, 2007 $ 9,017,159 $ 340 $ 9,017,499 Comprehensive income: Net income (loss) (2,098,978 ) 43 (2,098,935 ) Other comprehensive loss (32,480 ) (32,480 ) Dividends declared (182,509 ) (182,509 ) Treasury stock acquired (72,764 ) (72,764 ) Stock-based compensation 13,404 13,404 Other activity 338 (585 ) (247 ) Balance at June29, 2008 $ 6,644,170 $ (202 ) $ 6,643,968 The table below presents the components of comprehensive income for the second quarter and year-to-date periods of 2009 and 2008. Other comprehensive income consists primarily of foreign currency translation, pension liability adjustment and interest rate swap mark-to-market adjustments. Thirteen Weeks Ended Twenty-six Weeks Ended June 28, June 29, June 28, June 29, (in thousands of dollars) 2009 2008 2009 2008 Net income (loss) $ 78,307 $ (2,290,734 ) $ 156,056 $ (2,098,935 ) Less: Redeemable noncontrolling interest accretion (income not available to shareholders) (1,356 ) (2,641 ) Other comprehensive income (loss) Foreign currency translation adjustment 89,402 (28,681 ) 75,111 (32,698 ) Other (13,363 ) 5,260 4,422 218 Total other comprehensive income (loss) 76,039 (23,421 ) 79,533 (32,480 ) Total comprehensive income (loss) 152,990 (2,314,155 ) 232,948 (2,131,415 ) Comprehensive income attributable to t

Fair value measurement

Fair value measurement
	6 Months Ended Jun. 28, 2009 USD / shares
Fair Value Measurement [Abstract]
Fair value measurement	NOTE 10 Fair value measurement The Company measures and records in the accompanying condensed consolidated financial statements certain assets at fair value. SFAS No.157 establishes a fair value hierarchy for those instruments measured at fair value that distinguishes between assumptions based on market data (observable inputs) and the companys own assumptions (unobservable inputs). The hierarchy consists of three levels: Level 1 - Quoted market prices in active markets for identical assets or liabilities; Level 2 - Inputs other than Level 1 inputs that are either directly or indirectly observable; and Level 3 - Unobservable inputs developed using estimates and assumptions developed by the company, which reflect those that a market participant would use. The following table summarizes the financial instruments measured at fair value in the accompanying condensed consolidated balance sheet as of June28, 2009 (in thousands): Fair Value Measurements as of June 28, 2009 Level 1 Level 2 Level 3 Total Employee compensation related investments $ 30,226 $ $ $ 30,226 Sundry investments 21,190 27,350 48,540 The level 3 sundry investments are financial instruments held by CareerBuilder. As discussed in Note 1 above, the Company began consolidating the financial statements of CareerBuilder in September2008. No gain or loss was recognized in the Companys condensed consolidated statement of income with respect to these investments since the date of consolidation. The Company utilized a probability-weighted discounted cash flow technique to determine the fair value of its level 3 financial instruments. The main assumptions used in the fair value calculation were the estimated coupon rate associated with the securities and the discount rate (determined based on market yields of similar taxable obligations). The fair value of the Companys total long-term debt, determined based on estimated market prices for similar debt with the same remaining maturities and similar terms, totaled $2.7billion at June28, 2009. As described in Note 5, the Company recognized the new debt resulting from the May2009 private exchange offer at fair value in accordance with EITF No.96-19. 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). During the thirteen weeks ended June28, 2009, certain publishing goodwill was written down to implied fair value and long-lived assets held and used were written down to fair value. The valuation techniques utilized to measure fair value are discussed in Note 3 above. The following table summarizes the nonfinancial assets measured at fair value on a nonrecurring basis in the accompanying condensed consolidated balance sheet as of June28, 2009 (in thousands): Fair Value Measurements as of June 28, 2009 Level 1 Level 2 Leve

Business segment information

Business segment information
	6 Months Ended Jun. 28, 2009 USD / shares
Business Segment Information [Abstract]
Business segment information	NOTE 11 Business segment information The Company has determined that its reportable segments based on its management and internal reporting structures are publishing, digital, and broadcasting. Publishing is the largest component of the Companys business and includes U.S. Community Publishing, Newsquest operations in the UK and the USA TODAY group. The digital segment was established beginning with the third quarter of 2008 and includes CareerBuilder, ShopLocal, ScheduleStar, Planet Discover, PointRoll and Ripple6 (See Note 1). Results for PointRoll, Planet Discover and ScheduleStar for periods prior to the third quarter of 2008 have been reclassified from the publishing segment to the digital segment. Broadcasting includes the Companys 23 television stations and Captivate. Thirteen Weeks Ended June 28, June 29, % Inc (unaudited, in thousands of dollars) 2009 2008 (Dec) Net Operating Revenues: Publishing $ 1,117,273 $ 1,505,413 (25.8 ) Digital 142,354 20,008 *** Broadcasting 152,966 192,568 (20.6 ) Total $ 1,412,593 $ 1,717,989 (17.8 ) Operating Income (Loss) (net of depreciation, amortization and asset impairment and other charges See Note 3): Publishing $ 88,449 $ (2,207,296 ) *** Digital 18,406 4,510 *** Broadcasting 50,233 79,234 (36.6 ) Corporate (14,330 ) (9,994 ) 43.4 Total $ 142,758 $ (2,133,546 ) *** Depreciation, amortization and asset impairment and other charges: Publishing $ 86,864 $ 2,546,717 (96.6 ) Digital 8,839 1,405 *** Broadcasting 9,667 10,160 (4.9 ) Corporate 4,051 5,176 (21.7 ) Total $ 109,421 $ 2,563,458 (95.7 ) Twenty-six Weeks Ended June 28, June 29, % Inc 2009 2008 (Dec) Net Operating Revenues: Publishing $ 2,209,101 $ 2,998,209 (26.3 ) Digital 285,514 33,901 *** Broadcasting 296,456 362,748 (18.3 ) Total $ 2,791,071 $ 3,394,858 (17.8 ) Operating Income (Loss) (net of depreciation, amortization and asset impairment and other charges See Note 3): Publishing $ 225,612 $ (1,920,902 ) *** Digital 17,206 3,648 *** Broadcasting 94,379 137,039 (31.1 ) Corporate (28,246 ) (25,700 ) 9.9 Total $ 308,951 $ (1,805,915 ) *** Depreciation, amortization and asset impairment and other charges: Publishing $ 129,019 $ 2,600,719 (95.0 ) Digital 17,930 2,782 *** Broadcasting 18,270 18,655 (2

Derivative Instruments and Hedg

Derivative Instruments and Hedging Activities
	6 Months Ended Jun. 28, 2009 USD / shares
Derivative Instruments And Hedging Activities [Abstract]
Derivative Instruments and Hedging Activities	NOTE 12 Derivative Instruments and Hedging Activities In August2007, the Company entered into three interest rate swap agreements totaling a notional amount of $750million in order to mitigate the volatility of interest rates. These agreements effectively fixed the interest rate on the $750million in floating rate notes due May 2009 at 5.0125%. These instruments were designated as cash flow hedges in accordance with SFAS No. 133, Accounting for Derivative Instruments and Hedging Activities, and changes in fair value are recorded through accumulated other comprehensive loss with a corresponding adjustment to liabilities. As a result of the strategic redemptions of part of the floating rate notes during the fourth quarter of 2008 and first quarter of 2009, the cash flow hedging treatment was discontinued for interest rate swaps associated with approximately $186.6million of notional value on the retired floating rate notes. Amounts recorded in accumulated other comprehensive loss related to the discontinued cash flow hedges were reclassified into earnings and subsequent changes were recorded through earnings. The interest rate swap agreements expired concurrent with the maturity of the floating rate notes in May2009. Second quarter and year-to-date 2009 expense associated with the derivatives designated as hedges under SFAS No.133, which is classified as Interest expense on the Companys Condensed Consolidated Income Statement, was $3.2million and $7.7 million, respectively. Second quarter and year-to-date 2009 expense associated with the derivatives not designated as hedges under SFAS No.133, which is classified as Other non-operating items on the Companys Condensed Consolidated Income Statement, was $0.6million.

Earnings

Earnings (loss) per share
	6 Months Ended Jun. 28, 2009 USD / shares
Earnings Loss Per Share [Abstract]
Earnings (loss) per share	NOTE 13 Earnings (loss)per share The Companys earnings (loss)per share (basic and diluted) are presented below: Thirteen Weeks Ended Twenty-six Weeks Ended June 28, June 29, June 28, June 29, (in thousands except per share amounts) 2009 2008 2009 2008 Net income (loss)attributable to Gannett Co., Inc. $ 70,481 $ (2,290,756 ) $ 147,916 $ (2,098,978 ) Weighted average number of common shares outstanding basic 233,359 228,325 231,464 228,772 Effect of dilutive securities Stock options 344 415 Restricted stock 1,042 969 Weighted average number of common shares outstanding diluted 234,745 228,325 232,848 228,772 Earnings (loss)per share Basic $ 0.30 $ (10.03 ) $ 0.64 $ (9.17 ) Earnings (loss)per share Diluted $ 0.30 $ (10.03 ) $ 0.64 $ (9.17 )

Litigation

Litigation
	6 Months Ended Jun. 28, 2009 USD / shares
Litigation [Abstract]
Litigation	NOTE 14 Litigation The Company and a number of its subsidiaries are defendants in judicial and administrative proceedings involving matters incidental to their business. The Companys management does not believe that any material liability will be imposed as a result of these matters.