Lee Enterprises (LEE) 8-K Regulation FD Disclosure

Exhibit 99.1

Exhibit 99.1 - Supplemental Financial Information – First fiscal quarter ended December 29, 2019.

4600 E. 53rd St

Davenport, IA 52807

www.lee.net

Quarter Ended (unaudited)

	December 29, 2019								December 30, 2018
(in thousands)	Consolidated			Lee Legacy			Pulitzer Inc.		Consolidated			Lee Legacy			Pulitzer Inc.
Operating revenue:
Advertising and marketing services		65,727			45,648			20,079		75,962			52,195			23,767
Subscription		41,694			28,242			13,452		46,268			31,972			14,296
Other		14,922			13,500			1,422		13,971			12,396			1,575
Total operating revenue		122,343			87,390			34,953		136,201			96,563			39,638
Operating expenses:
Compensation		43,243			31,937			11,306		47,038			35,286			11,752
Newsprint and ink		4,736			3,290			1,446		6,339			4,323			2,016
Other operating expenses		48,462			30,755			17,707		49,743			30,450			19,293
Depreciation and amortization		6,719			4,359			2,360		7,529			4,932			2,597
Assets loss (gain) on sales, impairments, and other		814			806			8		(100	)		(100	)		—
Restructuring costs and other		1,632			1,400			232		62			44			18
Total operating expenses		105,606			72,547			33,059		110,611			74,935			35,676
Equity in earnings of associated companies		1,569			658			911		2,129			699			1,430
Operating income		18,306			15,501			2,805		27,719			22,327			5,392
Non-operating income (expense), net		(10,718	)		(13,530	)		2,812		(12,487	)		(15,995	)		3,508
Income tax expense		1,871			467			1,404		4,513			2,288			2,225
Net income		5,717			1,504			4,213		10,719			4,044			6,675

Adjusted EBITDA is a non-GAAP financial measure. Below is a reconciliation of adjusted EBITDA to net income, the most directly comparable measure under GAAP:

Net Income	5,717		1,504		4,213		10,719		4,044		6,675
Adjusted to exclude
Non-operating expenses (income), net	10,718		13,530		(2,812	)	12,487		15,995		(3,508	)
Income tax expense	1,871		467		1,404		4,513		2,288		2,225
Equity in earnings of TNI and MNI	(1,569	)	(658	)	(911	)	(2,129	)	(699	)	(1,430	)
Depreciation and amortization	6,719		4,359		2,360		7,529		4,932		2,597
Assets loss (gain) on sales, impairments, and other	814		806		8		(100	)	(100	)	—
Restructuring costs and other	1,632		1,400		232		62		44		18
Stock compensation	302		302		—		463		463		—
Add:
Ownership share of TNI and MNI EBITDA (50%)	1,918		903		1,015		2,601		1,066		1,535
Adjusted EBITDA	28,122		22,613		5,509		36,145		28,033		8,112
Supplemental cash flow information
Distributions from MNI and TNI	738		0		738		1,299		750		549
Capital expenditures	(2,428	)	(2,308	)	(120	)	(1,002	)	(752	)	(250	)
Pension Contributions	—		—		—		(650	)	—		(650	)
Cash income tax payments	(8	)	(8	)	—		(21	)	(20	)	(1	)
Interest income	76		(2,252	)	2,328		124		(2,660	)	2,784
Interest to be settled in cash	(11,115	)	(8,734	)	(2,381	)	(12,256	)	(9,463	)	(2,793	)
Debt financing and administrative costs	(193	)	(193	)	—		(8	)	(8	)	—