Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Jun. 27, 2021 | Jul. 31, 2021 | |
Document Information [Line Items] | ||
Entity Central Index Key | 0000058361 | |
Entity Registrant Name | LEE ENTERPRISES, INC | |
Amendment Flag | false | |
Current Fiscal Year End Date | --09-26 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2021 | |
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 27, 2021 | |
Document Transition Report | false | |
Entity File Number | 1-6227 | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 42-0823980 | |
Entity Address, Address Line One | 4600 E. 53rd Street | |
Entity Address, City or Town | Davenport | |
Entity Address, State or Province | IA | |
Entity Address, Postal Zip Code | 52807 | |
City Area Code | 563 | |
Local Phone Number | 383-2100 | |
Title of 12(b) Security | Common Stock, par value $.01 per share | |
Trading Symbol | LEE | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 5,888,983 |
Consolidated Balance Sheets (Cu
Consolidated Balance Sheets (Current Period Unaudited) - USD ($) | Jun. 27, 2021 | Sep. 27, 2020 |
Current assets: | ||
Cash and cash equivalents | $ 21,070,000 | $ 33,733,000 |
Accounts receivable and contract assets, net | 62,085,000 | 52,598,000 |
Inventories | 6,478,000 | 7,534,000 |
Prepaids and other | 15,952,000 | 14,888,000 |
Total current assets | 105,585,000 | 108,753,000 |
Investments: | ||
Associated companies | 27,172,000 | 27,624,000 |
Other | 6,256,000 | 6,255,000 |
Total investments | 33,428,000 | 33,879,000 |
Property and equipment: | ||
Land and improvements | 16,853,000 | 18,711,000 |
Buildings and improvements | 108,719,000 | 128,475,000 |
Equipment | 231,662,000 | 245,117,000 |
Construction in process | 4,569,000 | 2,323,000 |
Property, Plant and Equipment, Gross, Ending Balance | 361,803,000 | 394,626,000 |
Less accumulated depreciation | 275,375,000 | 289,017,000 |
Property and equipment, net | 86,428,000 | 105,609,000 |
Operating lease right-of-use assets | 67,260,000 | 70,933,000 |
Goodwill | 330,204,000 | 328,445,000 |
Other intangible assets, net | 163,064,000 | 182,680,000 |
Other | 11,877,000 | 13,699,000 |
Total assets | 820,793,000 | 864,057,000 |
Current liabilities: | ||
Current portion of lease liabilities | 8,803,000 | 8,577,000 |
Current maturities of long-term debt | 1,070,000 | 13,733,000 |
Accounts payable | 17,788,000 | 17,163,000 |
Compensation and other accrued liabilities | 47,625,000 | 44,278,000 |
Unearned revenue | 62,255,000 | 60,271,000 |
Total current liabilities | 137,541,000 | 144,022,000 |
Long-term debt, net of current maturities | 484,092,000 | 524,557,000 |
Operating lease liabilities | 59,016,000 | 62,374,000 |
Pension obligations | 70,622,000 | 75,656,000 |
Postretirement and postemployment benefit obligations | 14,481,000 | 39,543,000 |
Deferred income taxes | 14,625,000 | 15,208,000 |
Income taxes payable | 19,921,000 | 18,048,000 |
Warrants and other | 28,958,000 | 14,282,000 |
Total liabilities | 829,256,000 | 893,690,000 |
Stockholders' equity (deficit): | ||
Serial convertible preferred stock, no par value; authorized 500 shares; none issued | 0 | 0 |
Additional paid-in capital | 257,851,000 | 256,957,000 |
Accumulated deficit | (250,534,000) | (268,529,000) |
Accumulated other comprehensive loss | (17,953,000) | (20,050,000) |
Total stockholders' deficit | (10,577,000) | (31,564,000) |
Non-controlling interests | 2,114,000 | 1,931,000 |
Total deficit | (8,463,000) | (29,633,000) |
Total liabilities and deficit | 820,793,000 | 864,057,000 |
Common Class A [Member] | ||
Stockholders' equity (deficit): | ||
Common Stock | 59,000 | 58,000 |
Common Class B [Member] | ||
Stockholders' equity (deficit): | ||
Common Stock | 0 | 0 |
Pension Plan [Member] | ||
Property and equipment: | ||
Retirement plan assets, net | 6,831,000 | 4,147,000 |
Postretirement Health Coverage [Member] | ||
Property and equipment: | ||
Retirement plan assets, net | $ 16,116,000 | $ 15,912,000 |
Consolidated Balance Sheets (_2
Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - $ / shares | Jun. 27, 2021 | Sep. 27, 2020 |
Preferred stock, par value (in dollars per share) | $ 0 | $ 0 |
Preferred stock, shares authoritzed (in shares) | 500,000 | 500,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Common Class A [Member] | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 12,000,000 | 12,000,000 |
Common stock, shares issued (in shares) | 5,889,000 | 5,835,000 |
Common stock, shares outstanding (in shares) | 5,889,000 | 5,835,000 |
Common Class B [Member] | ||
Common stock, par value (in dollars per share) | $ 2 | $ 2 |
Common stock, shares authorized (in shares) | 3,000,000 | 3,000,000 |
Common stock, shares issued (in shares) | 0 | 0 |
Consolidated Statements of Inco
Consolidated Statements of Income (Loss) and Comprehensive Income (Loss) (Unaudited) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Jun. 27, 2021 | Jun. 28, 2020 | Jun. 27, 2021 | Jun. 28, 2020 | |
Operating revenue: | ||||
Total operating revenue | $ 196,490,000 | $ 182,528,000 | $ 600,736,000 | $ 426,238,000 |
Operating expenses: | ||||
Compensation | 82,731,000 | 72,396,000 | 250,048,000 | 164,330,000 |
Newsprint and ink | 7,051,000 | 7,572,000 | 22,222,000 | 16,629,000 |
Other operating expenses | 82,117,000 | 77,440,000 | 243,749,000 | 178,744,000 |
Depreciation and amortization | 10,836,000 | 11,201,000 | 33,794,000 | 25,196,000 |
Assets loss (gain) on sales, impairments and other, net | 242,000 | 147,000 | 6,938,000 | (5,153,000) |
Restructuring costs and other | 1,419,000 | 2,865,000 | 5,880,000 | 6,422,000 |
Total operating expenses | 184,396,000 | 171,621,000 | 562,631,000 | 386,168,000 |
Equity in earnings of associated companies | 1,689,000 | 842,000 | 4,902,000 | 3,773,000 |
Operating income | 13,783,000 | 11,749,000 | 43,007,000 | 43,843,000 |
Non-operating income (expense): | ||||
Interest expense | (11,010,000) | (13,135,000) | (34,129,000) | (35,377,000) |
Debt financing and administrative costs | 0 | 0 | 0 | (11,865,000) |
Curtailment gain | 0 | 0 | 23,830,000 | 0 |
Pension withdrawal cost | 0 | 0 | (12,310,000) | 0 |
Other, net | 2,330,000 | 1,027,000 | 6,240,000 | 3,309,000 |
Total non-operating expense, net | (8,680,000) | (12,108,000) | (16,369,000) | (43,933,000) |
Income (loss) before income taxes | 5,103,000 | (359,000) | 26,638,000 | (90,000) |
Income tax (benefit) expense | 1,366,000 | 368,000 | 7,106,000 | (92,000) |
Net income (loss) | 3,737,000 | (727,000) | 19,532,000 | 2,000 |
Net income attributable to non-controlling interests | (510,000) | (548,000) | (1,537,000) | (1,322,000) |
Income (loss) attributable to Lee Enterprises, Incorporated | 3,227,000 | (1,275,000) | 17,995,000 | (1,320,000) |
Other comprehensive income, net of income taxes | 477,000 | 317,000 | 2,097,000 | 950,000 |
Comprehensive (loss) income attributable to Lee Enterprises, Incorporated | $ 3,704,000 | $ (958,000) | $ 20,092,000 | $ (370,000) |
Earnings per common share: | ||||
Basic: (in dollars per share) | $ 0.56 | $ (0.23) | $ 3.15 | $ (0.23) |
Diluted: (in dollars per share) | $ 0.55 | $ (0.23) | $ 3.10 | $ (0.23) |
Advertising and Marketing Services [Member] | ||||
Operating revenue: | ||||
Total operating revenue | $ 91,122,000 | $ 77,754,000 | $ 279,326,000 | $ 204,426,000 |
Subscription and Circulation [Member] | ||||
Operating revenue: | ||||
Total operating revenue | 88,792,000 | 89,115,000 | 269,905,000 | 178,234,000 |
Product and Service, Other [Member] | ||||
Operating revenue: | ||||
Total operating revenue | $ 16,576,000 | $ 15,659,000 | $ 51,505,000 | $ 43,578,000 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity (Deficit) (Unaudited) - USD ($) $ in Thousands | Retained Earnings [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | AOCI Attributable to Parent [Member] | Total |
Balance at Sep. 29, 2019 | $ (265,423) | $ 57 | $ 255,996 | $ (29,114) | $ (38,484) |
Shares issued (redeemed) | 0 | 1 | (376) | 0 | (375) |
(Loss) Income attributable to Lee Enterprises, Incorporated | 5,320 | 0 | 0 | 0 | 5,320 |
Stock compensation | 0 | 0 | 545 | 0 | 545 |
Other comprehensive income (loss) | 0 | 0 | 0 | 452 | 452 |
Deferred income taxes, net | 0 | 0 | 0 | (135) | (135) |
Balance at Dec. 29, 2019 | (260,103) | 58 | 256,165 | (28,797) | (32,677) |
Balance at Sep. 29, 2019 | (265,423) | 57 | 255,996 | (29,114) | (38,484) |
(Loss) Income attributable to Lee Enterprises, Incorporated | (1,320) | ||||
Balance at Jun. 28, 2020 | (266,745) | 58 | 256,705 | (28,163) | (38,145) |
Balance at Dec. 29, 2019 | (260,103) | 58 | 256,165 | (28,797) | (32,677) |
Shares issued (redeemed) | 0 | 0 | (199) | 0 | (199) |
(Loss) Income attributable to Lee Enterprises, Incorporated | (5,367) | 0 | 0 | 0 | (5,367) |
Stock compensation | 0 | 0 | 269 | 0 | 269 |
Other comprehensive income (loss) | 0 | 0 | 0 | 451 | 451 |
Deferred income taxes, net | 0 | 0 | 0 | (135) | (135) |
Balance at Mar. 29, 2020 | (265,470) | 58 | 256,235 | (28,481) | (37,658) |
Shares issued (redeemed) | 0 | 0 | 242 | 0 | 242 |
(Loss) Income attributable to Lee Enterprises, Incorporated | (1,275) | 0 | 0 | 0 | (1,275) |
Stock compensation | 0 | 0 | 228 | 0 | 228 |
Other comprehensive income (loss) | 0 | 0 | 0 | 451 | 451 |
Deferred income taxes, net | 0 | 0 | 0 | (134) | (134) |
Balance at Jun. 28, 2020 | (266,745) | 58 | 256,705 | (28,163) | (38,145) |
Balance at Sep. 27, 2020 | (268,529) | 58 | 256,957 | (20,050) | (31,564) |
Shares issued (redeemed) | 0 | 1 | (55) | 0 | (54) |
(Loss) Income attributable to Lee Enterprises, Incorporated | 15,902 | 0 | 0 | 0 | 15,902 |
Stock compensation | 0 | 0 | 220 | 0 | 220 |
Other comprehensive income (loss) | 0 | 0 | 0 | 1,347 | 1,347 |
Deferred income taxes, net | 0 | 0 | 0 | (205) | (205) |
Balance at Dec. 27, 2020 | (252,627) | 59 | 257,122 | (18,908) | (14,354) |
Balance at Sep. 27, 2020 | (268,529) | 58 | 256,957 | (20,050) | (31,564) |
(Loss) Income attributable to Lee Enterprises, Incorporated | 17,995 | ||||
Balance at Jun. 27, 2021 | (250,534) | 59 | 257,851 | (17,953) | (10,577) |
Balance at Dec. 27, 2020 | (252,627) | 59 | 257,122 | (18,908) | (14,354) |
Shares issued (redeemed) | 0 | 0 | (8) | 0 | (8) |
(Loss) Income attributable to Lee Enterprises, Incorporated | (1,134) | 0 | 0 | 0 | (1,134) |
Stock compensation | 0 | 0 | 214 | 0 | 214 |
Other comprehensive income (loss) | 0 | 0 | 0 | 682 | 682 |
Deferred income taxes, net | 0 | 0 | 0 | (204) | (204) |
Balance at Mar. 28, 2021 | (253,761) | 59 | 257,328 | (18,430) | (14,804) |
Shares issued (redeemed) | 0 | 0 | 318 | 0 | 318 |
(Loss) Income attributable to Lee Enterprises, Incorporated | 3,227 | 0 | 0 | 0 | 3,227 |
Stock compensation | 0 | 0 | 205 | 0 | 205 |
Other comprehensive income (loss) | 0 | 0 | 0 | 682 | 682 |
Deferred income taxes, net | 0 | 0 | 0 | (205) | (205) |
Balance at Jun. 27, 2021 | $ (250,534) | $ 59 | $ 257,851 | $ (17,953) | $ (10,577) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Jun. 27, 2021 | Jun. 28, 2020 | |
Cash provided by operating activities: | ||
Net income | $ 19,532 | $ 2 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 33,794 | 25,196 |
Curtailment gain | (23,830) | 0 |
Pension withdrawal cost | 12,310 | 0 |
Stock compensation expense | 639 | 1,042 |
Assets loss (gain) on sales, impairments and other, net | 6,938 | (5,153) |
Deferred income taxes | (398) | (8,377) |
Debt financing and administrative costs | 0 | 11,865 |
Pension contributions | (965) | 0 |
Return of collateral on (Payments to collateralize) letters of credit | 1,686 | (6,105) |
Other, net | (147) | (316) |
Changes in operating assets and liabilities: | ||
(Increase) decrease in receivables and contract assets | (8,720) | 24,173 |
Decrease in inventories and other | 1,080 | 855 |
Increase (decrease) in accounts payable and other accrued liabilities | 2,494 | (7,893) |
Decrease in pension and other postretirement and postemployment benefit obligations | (4,807) | (3,947) |
Change in income taxes payable | 2,459 | 6,875 |
Other, including warrants | 706 | (207) |
Net cash provided by operating activities | 42,771 | 38,010 |
Cash required for investing activities: | ||
Purchases of property and equipment | (5,350) | (7,297) |
Proceeds from sales of assets | 3,095 | 17,649 |
Acquisitions, net of cash acquired | 0 | (130,985) |
Distributions greater (less) than earnings of TNI and MNI | 159 | (154) |
Other, net | (369) | (350) |
Net cash required for investing activities | (2,465) | (121,137) |
Cash provided by (required for) financing activities: | ||
Proceeds from long term debt | 0 | 576,000 |
Payments on long-term debt | 53,128 | 443,627 |
Debt financing and administrative costs paid | 0 | (609) |
Common stock transactions, net | 159 | (572) |
Net cash (required for) provided by financing activities | (52,969) | 131,192 |
Net (decrease) increase in cash and cash equivalents | (12,663) | 48,065 |
Cash and cash equivalents: | ||
Beginning of period | 33,733 | 8,645 |
End of period | $ 21,070 | $ 56,710 |
Note 1 - Basis of Presentation
Note 1 - Basis of Presentation and Summary of Significant Accounting Policies | 9 Months Ended |
Jun. 27, 2021 | |
Notes to Financial Statements | |
Basis of Presentation and Significant Accounting Policies [Text Block] | 1 BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The accompanying unaudited, interim, Consolidated Financial Statements included herein have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission for quarterly reports. In the opinion of management, these financial statements contain all adjustments (consisting of only normal recurring items) necessary to present fairly the financial position of Lee Enterprises, Incorporated and its subsidiaries (the “Company”) as of June 27, 2021, 2020 10 Because of seasonal and other factors, the results of operations for the 13 39 June 27, 2021, not References to “we”, “our”, “us” and the like throughout the Consolidated Financial Statements refer to the Company. References to “ 2021 2020 September. The Consolidated Financial Statements include our accounts and those of our subsidiaries, all of which are wholly-owned, except for our 82.5% interest in INN Partners, L.C. (“TownNews.com”), 50% interest in TNI Partners (“TNI”) and 50% interest in Madison Newspapers, Inc. (“MNI”). Investments in TNI and MNI are accounted for using the equity method and are reported at cost, plus our share of undistributed earnings since acquisition less, for TNI, amortization of intangible assets. Certain amounts in prior period Consolidated Financial Statements have been reclassified to conform to the current year presentation. Pursuant to our acquisition of BH Media Group, Inc. a Delaware corporation, ("BHMG") and The Buffalo News, Inc. a Delaware corporation ("Buffalo News"), we realigned the presentation of certain home delivery print revenue and certain other Subscription revenue from Other revenue to Subscription revenue on the Consolidated Statements of Income (loss) and Comprehensive Income (loss). As a result of this updated presentation, Subscription revenue increased and Other revenue decreased for the 13 June 28, 2020 39 June 28, 2020 13 December 27, 2020 On February 25, 2021, one March 15, 2021 one ten March 2021. not March 29, 2020, Use of Estimates The preparation of the Consolidated Financial Statements in conformity with U.S. generally accepted accounting principles (“GAAP”) requires us to make estimates and judgments that affect the reported amounts of assets, liabilities, revenue and expenses, and related disclosure of contingent assets and liabilities. We evaluate these estimates and judgments on an ongoing basis. We base our estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not may Business Combinations The Company accounts for acquisitions in accordance with the provisions of Accounting Standards Codification 805 805” COVID- 19 The ongoing COVID- 19 19 19 Recently Issued Accounting Standards - Standards Adopted in 2021 In June 2016, 326" September 28, 2020, not In August 2018, 2018 13" September 28, 2020, not In December 2019, 740 September 28, 2020 not Recently Issued Accounting Standards - Standards Not In August 2018, 2018 14" September 27, 2021 In October 2020, |
Note 2 - Revenue
Note 2 - Revenue | 9 Months Ended |
Jun. 27, 2021 | |
Notes to Financial Statements | |
Revenue from Contract with Customer [Text Block] | 2 REVENUE The following table presents our revenue disaggregated by source: 13 Weeks Ended 39 Weeks Ended June 27, June 28, June 27, June 28, (Thousands of Dollars) 2021 2020 2021 2020 Advertising and marketing services revenue 91,122 77,754 279,326 204,426 Subscription revenue 88,792 89,115 269,905 178,234 TownNews and other digital services revenue 4,713 5,010 14,363 14,544 Other revenue 11,863 10,649 37,142 29,034 Total operating revenue 196,490 182,528 600,736 426,238 Recognition principles: Arrangements with multiple performance obligations: Contract Assets and Liabilities: twelve June 27, 2021 September 27, 2020 13 39 June 27, 2021 September 27, 2020 Accounts receivable, excluding allowance for credit losses was $70,558,000 and $66,029,000 as of June 27, 2021 September 27, 2020 June 27, 2021 September 27, 2020 Practical expedients: one one |
Note 3 - Investments in Associa
Note 3 - Investments in Associated Companies | 9 Months Ended |
Jun. 27, 2021 | |
Notes to Financial Statements | |
Equity Method Investments and Joint Ventures Disclosure [Text Block] | 3 INVESTMENTS IN ASSOCIATED COMPANIES TNI Partners In Tucson, Arizona, TNI, acting as agent for our subsidiary, Star Publishing Company (“Star Publishing”), and Citizen Publishing Company (“Citizen”), a subsidiary of Gannett Co. Inc., is responsible for printing, delivery, advertising, and subscription activities of the Arizona Daily Star Income or loss of TNI (before income taxes) is allocated equally to Star Publishing and Citizen. Summarized results of TNI are as follows: 13 Weeks Ended 39 Weeks Ended June 27, June 28, June 27, June 28, (Thousands of Dollars) 2021 2020 2021 2020 Operating revenue 8,389 8,222 26,548 28,602 Operating expenses 6,077 6,645 19,506 22,576 Operating income 2,312 1,577 7,042 6,026 Company's 50% share of operating income 1,156 789 3,521 3,013 Less amortization of intangible assets — — — 209 Equity in earnings of TNI 1,156 789 3,521 2,804 TNI makes weekly distributions of its earnings and for the 13 June 27, 2021 June 28, 2020 39 June 27, 2021 June 28, 2020, Madison Newspapers, Inc. We have a 50% ownership interest in MNI, which publishes daily and Sunday newspapers, and other publications in Madison, Wisconsin, and other Wisconsin locations, and operates their related digital platforms. Net income or loss of MNI (after income taxes) is allocated equally to us and The Capital Times Company (“TCT”). MNI conducts its business under the trade name Capital Newspapers. Summarized results of MNI are as follows: 13 Weeks Ended 39 Weeks Ended June 27, June 28, June 27, June 28, (Thousands of Dollars) 2021 2020 2021 2020 Operating revenue 11,479 10,875 34,425 37,125 Operating expenses, excluding restructuring costs, depreciation and amortization 8,657 10,542 29,324 34,222 Restructuring costs — — 106 — Depreciation and amortization 188 172 480 514 Operating income 2,634 161 4,515 2,389 Net income 1,066 107 2,762 1,938 Equity in earnings of MNI 533 54 1,381 969 MNI makes quarterly distributions of its earnings and in the 13 June 27, 2021 June 28, 2020, 39 June 27, 2021 June 28, 2020, |
Note 4 - Goodwill and Other Int
Note 4 - Goodwill and Other Intangible Assets | 9 Months Ended |
Jun. 27, 2021 | |
Notes to Financial Statements | |
Goodwill and Intangible Assets Disclosure [Text Block] | 4 GOODWILL AND OTHER INTANGIBLE ASSETS Changes in the carrying amount of goodwill are as follows: 39 Weeks Ended June 27, (Thousands of Dollars) 2021 Goodwill, gross amount 1,617,174 Accumulated impairment losses (1,288,729 ) Goodwill, beginning of September 27, 2020 328,445 Measurement period adjustments 1,759 Goodwill, end of period 330,204 Identified intangible assets consist of the following: June 27, September 27, (Thousands of Dollars) 2021 2020 Non-amortized intangible assets: Mastheads 40,459 40,459 Amortizable intangible assets: Customer and newspaper subscriber lists 774,291 774,604 Less accumulated amortization 651,704 632,457 122,587 142,147 Non-compete and consulting agreements 28,656 28,656 Less accumulated amortization 28,638 28,582 18 74 Other intangible assets, net 163,064 182,680 The Company recognized $27,620,000 of advertiser relationships, $27,850,000 of subscriber relationships, $19,560,000 of commercial print relationships and $20,390,000 of indefinite-lived masthead assets as part of the Transactions as defined in Note 7. Annual amortization of intangible assets for the five December 2022 December 2026 The Company recognized $79,896,000 of Goodwill as part of the Transactions as defined in Note 7. 7 |
Note 5 - Debt
Note 5 - Debt | 9 Months Ended |
Jun. 27, 2021 | |
Notes to Financial Statements | |
Debt Disclosure [Text Block] | 5 DEBT On March 16, 2020 7, “2020 2020 2014 "2014 March 16, 2045. As of June 27, 2021, June 27, 2021 For the 13 June 27, 2021 July 2021. June 27, 2021 The Credit Agreement contains certain customary representations and warranties, certain affirmative and negative covenants and certain conditions, including restrictions on incurring additional indebtedness, creating certain liens, making certain investments or acquisitions, issuing dividends, repurchasing shares of stock of the Company and certain other capital transactions. Certain existing and future direct and indirect material domestic subsidiaries of the Company are guarantors of the Company’s obligations under the Credit Agreement. The Credit Agreement restricts us from paying dividends on our Common Stock. This restriction does not may 2020 Principal Payments Voluntary payments under the Credit Agreement are not There are no • The Company must prepay the Term Loan in an aggregate amount equal to 100% of any Net Cash Proceeds received by the Company or any subsidiary from a sale, transfer, license, lease or other disposition of any property of the Company or any subsidiary in excess of $500,000 ninety 90 • Beginning on June 28, 2020, $20,000,000 • If there is a Change of Control (as defined in the Credit Agreement), BH Finance has the option to require the Company to prepay the Term Loan in cash equal to 105% of the unpaid principal balance, plus accrued and unpaid interest. The Company may, Warrants In connection with the 2 nd March 31, 2014 ( 2 nd March 31, 2014 March 30, 2014 March 2022. 1. The Warrant Agreement contains provisions requiring the Warrants to be measured at fair value and included in warrants and other liabilities in our Consolidated Balance Sheets. We re-measure the fair value of the liability each reporting period, with changes reported in other, net non-operating income (expense). The initial fair value of the Warrants was $16,930,000. See Note 11. In connection with the issuance of the Warrants entered into in the 2014 March 31, 2014 |
Note 6 - Pension, Postretiremen
Note 6 - Pension, Postretirement and Postemployment Defined Benefit Plans | 9 Months Ended |
Jun. 27, 2021 | |
Pension Plan [Member] | |
Notes to Financial Statements | |
Retirement Benefits [Text Block] | 6 PENSION, POSTRETIREMENT AND POSTEMPLOYMENT DEFINED BENEFIT PLANS We have several noncontributory defined benefit pension plans that together cover selected employees, including plans established under collective bargaining agreements. Our liability and related expense for benefits under the plans are recorded over the service period of employees based upon annual actuarial calculations. Plan funding strategies are influenced by government regulations. Plan assets consist primarily of domestic and foreign corporate equity securities, government and corporate bonds, hedge fund investments and cash. We provide retiree medical and life insurance benefits under postretirement plans at several of our operating locations. Our liability and related expense for benefits under the postretirement plans are recorded over the service period of active employees based upon annual actuarial calculations. We accrue postemployment disability benefits when it becomes probable that such benefits will be paid and when sufficient information exists to make reasonable estimates of the amounts to be paid. With the exception of defined benefit plans acquired in the Transactions as defined in Note 7, 2012, During the 13 December 27, 2020 We use a fiscal year end measurement date for all of our Pension and postretirement medical plan obligations. The net periodic pension and postretirement cost (benefit) components for our plans are as follows: PENSION PLANS 13 Weeks Ended 39 Weeks Ended June 27, June 28, June 27, June 28, (Thousands of Dollars) 2021 2020 2021 2020 Service cost for benefits earned during the period 633 626 1,899 737 Interest cost on projected benefit obligation 1,787 2,462 5,361 5,113 Expected return on plan assets (4,672 ) (4,356 ) (14,016 ) (8,628 ) Amortization of net loss 1,004 792 3,013 2,376 Amortization of prior service benefit — (2 ) (1 ) (6 ) Pension benefit (1,248 ) (478 ) (3,744 ) (408 ) POSTRETIREMENT MEDICAL PLANS 13 Weeks Ended 39 Weeks Ended June 27, June 28, June 27, June 28, (Thousands of Dollars) 2021 2020 2021 2020 Service cost for benefits earned during the period 240 232 690 268 Interest cost on projected benefit obligation 239 346 601 523 Expected return on plan assets (252 ) (265 ) (756 ) (795 ) Amortization of net gain (172 ) (186 ) (516 ) (558 ) Amortization of prior service benefit (162 ) (161 ) (485 ) (483 ) Curtailment gain — — (23,830 ) — Postretirement medical benefit (107 ) (34 ) (24,296 ) (1,045 ) In the 39 June 27, 2021 we contributed $965,000 to our pension plans. In March 2021, 2021. Multiemployer Pension Plans During the 13 December 27, 2020, |
Note 7 - Acquisitions
Note 7 - Acquisitions | 9 Months Ended |
Jun. 27, 2021 | |
Notes to Financial Statements | |
Business Combination Disclosure [Text Block] | 7 ACQUISITIONS On March 16, 2020, January 29, 2020 30 49 32 second 2021. March 16, 2020. Pro Forma Information The following table sets forth unaudited pro forma results of operations assuming the Transactions, along with the credit arrangements necessary to finance the Transactions, occurred on September 30, 2019, first 2020. Unaudited Unaudited 13 Weeks Ended 39 Weeks Ended June 28, June 28, (Thousands of Dollars, Except Per Share Data) 2020 2020 Total revenues 182,528 630,027 Income (loss) attributable to Lee Enterprises, Incorporated (1,275 ) 19,334 Earnings per share - diluted (0.20 ) 3.40 Prior period results have been adjusted to reflect the one March 2021. 1 This pro forma financial information is based on historical results of operations, adjusted for the allocation of the purchase price and other acquisition accounting adjustments. This pro forma information is not 2020 The only material, nonrecurring adjustment made relates to the write-off of previously unamortized debt-issuance costs as of October 1, 2019 39 June 28, 2020. |
Note 8 - Income Taxes
Note 8 - Income Taxes | 9 Months Ended |
Jun. 27, 2021 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | 8 INCOME TAXES We recorded an income tax expense of $1,366,000 related to income before taxes of $5,103,000 for the 13 June 27, 2021, 39 June 27, 2021. 13 June 27, 2020, 39 June 28, 2020. 13 39 June 27, 2021 13 39 June 28, 2020 The primary differences between these rates and the U.S. federal statutory rate of 21% We file a consolidated federal tax return, as well as combined and separate tax returns in approximately 27 not 2013. At September 27, 2020, |
Note 9 - Earnings Per Common Sh
Note 9 - Earnings Per Common Share | 9 Months Ended |
Jun. 27, 2021 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | 9 EARNINGS PER COMMON SHARE The following table sets forth the computation of basic and diluted earnings per common share as adjusted to give effect to the reverse stock split: 13 Weeks Ended 39 Weeks Ended June 27, June 28, June 27, June 28, (Thousands of Dollars and Shares, Except Per Share Data) 2021 2020 2021 2020 Income (loss) attributable to Lee Enterprises, Incorporated: 3,227 (1,275 ) 17,995 (1,320 ) Weighted average common shares 5,881 5,820 5,867 5,823 Less weighted average restricted Common Stock (156 ) (156 ) (155 ) (153 ) Basic average common shares 5,725 5,664 5,712 5,670 Dilutive stock options and restricted Common Stock 123 — 102 — Diluted average common shares 5,848 5,664 5,814 5,670 Earnings per common share: Basic 0.56 (0.23 ) 3.15 (0.23 ) Diluted 0.55 (0.23 ) 3.10 (0.23 ) For the 13 39 June 27, 2021 , 600,000 shares were not because the exercise prices of the related stock options and Warrants were in excess of the fair market value of our Common Stock. For the 13 39 June 28, 2020, not Prior period results have been adjusted to reflect the one ten March 2021. 1 |
Note 10 - Stock Ownership Plans
Note 10 - Stock Ownership Plans | 9 Months Ended |
Jun. 27, 2021 | |
Notes to Financial Statements | |
Share-based Payment Arrangement [Text Block] | 10 STOCK OWNERSHIP PLANS A summary of stock option activity during the 39 June 27, 2021 follows, as adjusted to give effect to the reverse stock split: (Thousands of Dollars and Shares, Except Per Share Data) Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (Years) Aggregate Intrinsic Value Outstanding, September 27, 2020 41 11.40 Exercised (2 ) 11.30 Cancelled (3 ) 11.30 Outstanding, June 27, 2021 36 11.40 0.95 604 Exercisable, June 27, 2021 36 11.40 0.95 604 Restricted Common Stock The table below summarizes restricted Common Stock activity during the 39 June 27, 2021 , as adjusted to give effect to the reverse stock split: (Thousands of Shares, Except Per Share Data) Shares Weighted Average Grant Date Fair Value Outstanding, September 27, 2020 155 21.50 Vested (45 ) 27.70 Granted 46 11.20 Cancelled — — Outstanding, June 27, 2021 156 16.70 Total unrecognized compensation expense for unvested restricted Common Stock at June 27, 2021 is $ , which will be recognized over a weighted average period of years. |
Note 11 - Fair Value Measuremen
Note 11 - Fair Value Measurements | 9 Months Ended |
Jun. 27, 2021 | |
Notes to Financial Statements | |
Fair Value Disclosures [Text Block] | 11 FAIR VALUE MEASUREMENTS We utilize FASB ASC Topic 820, Fair Value Measurements and Disclosures 820 820 three Level 1 Level 2 not Level 3 one The following methods and assumptions are used to estimate the fair value of each class of financial instruments for which it is practicable to estimate value. The carrying amounts of cash equivalents, accounts receivable and accounts payable approximate fair value because of the short maturity of those instruments. Investments totaling $ , including ou ownership of the non-voting common stock of TCT, are carried at cost. Fair value of the remaining investments are carried at cost. Our fixed rate debt consists of $485,162,000 principal amount of the Term Loan recorded at carrying value. At June 27, 2021, 2 As discussed more fully in Note 5, June 27, 2021, and September 27, 2020 ,are $1,317,000 and $363,000 , respectively. Fair value is determined using the Black-Scholes option pricing model. These represent level 2 |
Note 12 - Commitments and Conti
Note 12 - Commitments and Contingent Liabilities | 9 Months Ended |
Jun. 27, 2021 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | 12 COMMITMENTS AND CONTINGENT LIABILITIES Income Taxes Commitments exclude unrecognized tax benefits to be recorded in accordance with FASB ASC Topic 740, Income Taxes 8. We file income tax returns with the Internal Revenue Service (“IRS”) and various state tax jurisdictions. From time to time, we are subject to routine audits by those agencies and those audits may may not We have various income tax examinations ongoing and at various stages of completion, but generally our income tax returns have been audited or closed to audit through 2013. Legal Proceedings We are involved in a variety of legal actions that arise in the normal course of business. Insurance coverage mitigates potential loss for certain of these matters. While we are unable to predict the ultimate outcome of these legal actions, it is our opinion that the disposition of these matters will not Restructuring Costs and Other We have recognized $1,419,000 and $5,880,000, respectively of expense related to restructuring costs and other for the 13 39 June 27, 2021 13 39 June 28, 2020. June 27, 2021 June 28, 2020, not June 27, 2021 June 28, 2020. Subsequent events We have evaluated subsequent events through August 6, 2021. No June 27, 2021 |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 9 Months Ended |
Jun. 27, 2021 | |
Accounting Policies [Abstract] | |
Basis of Accounting, Policy [Policy Text Block] | Basis of Presentation The accompanying unaudited, interim, Consolidated Financial Statements included herein have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission for quarterly reports. In the opinion of management, these financial statements contain all adjustments (consisting of only normal recurring items) necessary to present fairly the financial position of Lee Enterprises, Incorporated and its subsidiaries (the “Company”) as of June 27, 2021, 2020 10 Because of seasonal and other factors, the results of operations for the 13 39 June 27, 2021, not References to “we”, “our”, “us” and the like throughout the Consolidated Financial Statements refer to the Company. References to “ 2021 2020 September. The Consolidated Financial Statements include our accounts and those of our subsidiaries, all of which are wholly-owned, except for our 82.5% interest in INN Partners, L.C. (“TownNews.com”), 50% interest in TNI Partners (“TNI”) and 50% interest in Madison Newspapers, Inc. (“MNI”). Investments in TNI and MNI are accounted for using the equity method and are reported at cost, plus our share of undistributed earnings since acquisition less, for TNI, amortization of intangible assets. Certain amounts in prior period Consolidated Financial Statements have been reclassified to conform to the current year presentation. Pursuant to our acquisition of BH Media Group, Inc. a Delaware corporation, ("BHMG") and The Buffalo News, Inc. a Delaware corporation ("Buffalo News"), we realigned the presentation of certain home delivery print revenue and certain other Subscription revenue from Other revenue to Subscription revenue on the Consolidated Statements of Income (loss) and Comprehensive Income (loss). As a result of this updated presentation, Subscription revenue increased and Other revenue decreased for the 13 June 28, 2020 39 June 28, 2020 13 December 27, 2020 On February 25, 2021, one March 15, 2021 one ten March 2021. not March 29, 2020, |
Use of Estimates, Policy [Policy Text Block] | Use of Estimates The preparation of the Consolidated Financial Statements in conformity with U.S. generally accepted accounting principles (“GAAP”) requires us to make estimates and judgments that affect the reported amounts of assets, liabilities, revenue and expenses, and related disclosure of contingent assets and liabilities. We evaluate these estimates and judgments on an ongoing basis. We base our estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not may |
Business Combinations Policy [Policy Text Block] | Business Combinations The Company accounts for acquisitions in accordance with the provisions of Accounting Standards Codification 805 805” |
COVID-19 Pandemic, Policy [Policy Text Block] | COVID- 19 The ongoing COVID- 19 19 19 |
New Accounting Pronouncements, Policy [Policy Text Block] | Recently Issued Accounting Standards - Standards Adopted in 2021 In June 2016, 326" September 28, 2020, not In August 2018, 2018 13" September 28, 2020, not In December 2019, 740 September 28, 2020 not Recently Issued Accounting Standards - Standards Not In August 2018, 2018 14" September 27, 2021 In October 2020, |
Note 2 - Revenue (Tables)
Note 2 - Revenue (Tables) | 9 Months Ended |
Jun. 27, 2021 | |
Notes Tables | |
Disaggregation of Revenue [Table Text Block] | 13 Weeks Ended 39 Weeks Ended June 27, June 28, June 27, June 28, (Thousands of Dollars) 2021 2020 2021 2020 Advertising and marketing services revenue 91,122 77,754 279,326 204,426 Subscription revenue 88,792 89,115 269,905 178,234 TownNews and other digital services revenue 4,713 5,010 14,363 14,544 Other revenue 11,863 10,649 37,142 29,034 Total operating revenue 196,490 182,528 600,736 426,238 |
Note 3 - Investments in Assoc_2
Note 3 - Investments in Associated Companies (Tables) | 9 Months Ended |
Jun. 27, 2021 | |
Notes Tables | |
Equity Method Investments [Table Text Block] | 13 Weeks Ended 39 Weeks Ended June 27, June 28, June 27, June 28, (Thousands of Dollars) 2021 2020 2021 2020 Operating revenue 8,389 8,222 26,548 28,602 Operating expenses 6,077 6,645 19,506 22,576 Operating income 2,312 1,577 7,042 6,026 Company's 50% share of operating income 1,156 789 3,521 3,013 Less amortization of intangible assets — — — 209 Equity in earnings of TNI 1,156 789 3,521 2,804 13 Weeks Ended 39 Weeks Ended June 27, June 28, June 27, June 28, (Thousands of Dollars) 2021 2020 2021 2020 Operating revenue 11,479 10,875 34,425 37,125 Operating expenses, excluding restructuring costs, depreciation and amortization 8,657 10,542 29,324 34,222 Restructuring costs — — 106 — Depreciation and amortization 188 172 480 514 Operating income 2,634 161 4,515 2,389 Net income 1,066 107 2,762 1,938 Equity in earnings of MNI 533 54 1,381 969 |
Note 4 - Goodwill and Other I_2
Note 4 - Goodwill and Other Intangible Assets (Tables) | 9 Months Ended |
Jun. 27, 2021 | |
Notes Tables | |
Schedule of Goodwill [Table Text Block] | 39 Weeks Ended June 27, (Thousands of Dollars) 2021 Goodwill, gross amount 1,617,174 Accumulated impairment losses (1,288,729 ) Goodwill, beginning of September 27, 2020 328,445 Measurement period adjustments 1,759 Goodwill, end of period 330,204 |
Schedule of Intangible Assets [Table Text Block] | June 27, September 27, (Thousands of Dollars) 2021 2020 Non-amortized intangible assets: Mastheads 40,459 40,459 Amortizable intangible assets: Customer and newspaper subscriber lists 774,291 774,604 Less accumulated amortization 651,704 632,457 122,587 142,147 Non-compete and consulting agreements 28,656 28,656 Less accumulated amortization 28,638 28,582 18 74 Other intangible assets, net 163,064 182,680 |
Note 6 - Pension, Postretirem_2
Note 6 - Pension, Postretirement and Postemployment Defined Benefit Plans (Tables) | 9 Months Ended |
Jun. 27, 2021 | |
Pension Plan [Member] | |
Notes Tables | |
Schedule of Defined Benefit Plans Disclosures [Table Text Block] | PENSION PLANS 13 Weeks Ended 39 Weeks Ended June 27, June 28, June 27, June 28, (Thousands of Dollars) 2021 2020 2021 2020 Service cost for benefits earned during the period 633 626 1,899 737 Interest cost on projected benefit obligation 1,787 2,462 5,361 5,113 Expected return on plan assets (4,672 ) (4,356 ) (14,016 ) (8,628 ) Amortization of net loss 1,004 792 3,013 2,376 Amortization of prior service benefit — (2 ) (1 ) (6 ) Pension benefit (1,248 ) (478 ) (3,744 ) (408 ) POSTRETIREMENT MEDICAL PLANS 13 Weeks Ended 39 Weeks Ended June 27, June 28, June 27, June 28, (Thousands of Dollars) 2021 2020 2021 2020 Service cost for benefits earned during the period 240 232 690 268 Interest cost on projected benefit obligation 239 346 601 523 Expected return on plan assets (252 ) (265 ) (756 ) (795 ) Amortization of net gain (172 ) (186 ) (516 ) (558 ) Amortization of prior service benefit (162 ) (161 ) (485 ) (483 ) Curtailment gain — — (23,830 ) — Postretirement medical benefit (107 ) (34 ) (24,296 ) (1,045 ) |
Note 7 - Acquisitions (Tables)
Note 7 - Acquisitions (Tables) | 9 Months Ended |
Jun. 27, 2021 | |
Notes Tables | |
Business Acquisition, Pro Forma Information [Table Text Block] | Unaudited Unaudited 13 Weeks Ended 39 Weeks Ended June 28, June 28, (Thousands of Dollars, Except Per Share Data) 2020 2020 Total revenues 182,528 630,027 Income (loss) attributable to Lee Enterprises, Incorporated (1,275 ) 19,334 Earnings per share - diluted (0.20 ) 3.40 |
Note 9 - Earnings Per Common _2
Note 9 - Earnings Per Common Share (Tables) | 9 Months Ended |
Jun. 27, 2021 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | 13 Weeks Ended 39 Weeks Ended June 27, June 28, June 27, June 28, (Thousands of Dollars and Shares, Except Per Share Data) 2021 2020 2021 2020 Income (loss) attributable to Lee Enterprises, Incorporated: 3,227 (1,275 ) 17,995 (1,320 ) Weighted average common shares 5,881 5,820 5,867 5,823 Less weighted average restricted Common Stock (156 ) (156 ) (155 ) (153 ) Basic average common shares 5,725 5,664 5,712 5,670 Dilutive stock options and restricted Common Stock 123 — 102 — Diluted average common shares 5,848 5,664 5,814 5,670 Earnings per common share: Basic 0.56 (0.23 ) 3.15 (0.23 ) Diluted 0.55 (0.23 ) 3.10 (0.23 ) |
Note 10 - Stock Ownership Pla_2
Note 10 - Stock Ownership Plans (Tables) | 9 Months Ended |
Jun. 27, 2021 | |
Notes Tables | |
Share-based Payment Arrangement, Option, Activity [Table Text Block] | (Thousands of Dollars and Shares, Except Per Share Data) Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (Years) Aggregate Intrinsic Value Outstanding, September 27, 2020 41 11.40 Exercised (2 ) 11.30 Cancelled (3 ) 11.30 Outstanding, June 27, 2021 36 11.40 0.95 604 Exercisable, June 27, 2021 36 11.40 0.95 604 |
Share-based Payment Arrangement, Restricted Stock Unit, Activity [Table Text Block] | (Thousands of Shares, Except Per Share Data) Shares Weighted Average Grant Date Fair Value Outstanding, September 27, 2020 155 21.50 Vested (45 ) 27.70 Granted 46 11.20 Cancelled — — Outstanding, June 27, 2021 156 16.70 |
Note 1 - Basis of Presentatio_2
Note 1 - Basis of Presentation and Summary of Significant Accounting Policies (Details Textual) | Feb. 25, 2021 | Jun. 27, 2021USD ($) | Dec. 27, 2020USD ($) | Jun. 28, 2020USD ($) | Jun. 27, 2021USD ($) | Jun. 28, 2020USD ($) | Mar. 29, 2020shares |
Revenue from Contract with Customer, Including Assessed Tax | $ 196,490,000 | $ 182,528,000 | $ 600,736,000 | $ 426,238,000 | |||
Common Stock, Shares, Outstanding, Ending Balance (in shares) | shares | 5,813,591 | ||||||
Previously Reported [Member] | |||||||
Common Stock, Shares, Outstanding, Ending Balance (in shares) | shares | 58,135,910 | ||||||
Reverse Stock Split [Member] | |||||||
Stockholders' Equity Note, Stock Split, Conversion Ratio | 10 | ||||||
Subscription and Circulation [Member] | |||||||
Revenue from Contract with Customer, Including Assessed Tax | 88,792,000 | 89,115,000 | 269,905,000 | 178,234,000 | |||
Subscription and Circulation [Member] | Reclassified Other Revenue to Subscription Revenue [Member] | |||||||
Revenue from Contract with Customer, Including Assessed Tax | $ 794,000 | 598,000 | 1,579,000 | ||||
Product and Service, Other [Member] | |||||||
Revenue from Contract with Customer, Including Assessed Tax | $ 16,576,000 | 15,659,000 | $ 51,505,000 | 43,578,000 | |||
Product and Service, Other [Member] | Reclassified Other Revenue to Subscription Revenue [Member] | |||||||
Revenue from Contract with Customer, Including Assessed Tax | $ (794,000) | $ (598,000) | $ (1,579,000) | ||||
INN Partners, L.C. [Member] | |||||||
Noncontrolling Interest, Ownership Percentage by Parent | 82.50% | 82.50% | |||||
TNI Partners [Member] | |||||||
Noncontrolling Interest, Ownership Percentage by Parent | 50.00% | 50.00% | |||||
MNI [Member] | |||||||
Noncontrolling Interest, Ownership Percentage by Parent | 50.00% | 50.00% |
Note 2 - Revenue (Details Textu
Note 2 - Revenue (Details Textual) - USD ($) | 3 Months Ended | 9 Months Ended | |
Jun. 27, 2021 | Jun. 27, 2021 | Sep. 27, 2020 | |
Contract with Customer, Liability, Current | $ 62,255,000 | $ 62,255,000 | $ 60,271,000 |
Contract with Customer, Liability, Revenue Recognized | 5,489,000 | 53,992,000 | |
Accounts Receivable, before Allowance for Credit Loss | 70,558,000 | 70,558,000 | 66,029,000 |
Accounts Receivable, Allowance for Credit Loss, Ending Balance | $ 8,473,000 | $ 8,473,000 | $ 13,431,000 |
Note 2 - Revenue - Disaggregati
Note 2 - Revenue - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jun. 27, 2021 | Jun. 28, 2020 | Jun. 27, 2021 | Jun. 28, 2020 | |
Total operating revenue | $ 196,490 | $ 182,528 | $ 600,736 | $ 426,238 |
Advertising and Marketing Services [Member] | ||||
Total operating revenue | 91,122 | 77,754 | 279,326 | 204,426 |
Subscription and Circulation [Member] | ||||
Total operating revenue | 88,792 | 89,115 | 269,905 | 178,234 |
Digital Services Revenues [Member] | ||||
Total operating revenue | 4,713 | 5,010 | 14,363 | 14,544 |
Other Revenues [Member] | ||||
Total operating revenue | $ 11,863 | $ 10,649 | $ 37,142 | $ 29,034 |
Note 3 - Investments in Assoc_3
Note 3 - Investments in Associated Companies (Details Textual) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Jun. 27, 2021 | Jun. 28, 2020 | Jun. 27, 2021 | Jun. 28, 2020 | |
TNI Partners [Member] | ||||
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 50.00% | 50.00% | ||
TNI Partners [Member] | ||||
Proceeds from Equity Method Investment, Distribution | $ 544,000 | $ 959,000 | $ 3,161,000 | $ 2,650,000 |
MNI [Member] | ||||
Proceeds from Equity Method Investment, Distribution | $ 750,000 | $ 0 | $ 1,900,000 | $ 1,000,000 |
Note 3 - Investments in Assoc_4
Note 3 - Investments in Associated Companies - Summarized Financial Results (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Jun. 27, 2021 | Jun. 28, 2020 | Jun. 27, 2021 | Jun. 28, 2020 | |
Operating revenue | $ 196,490,000 | $ 182,528,000 | $ 600,736,000 | $ 426,238,000 |
Operating expenses | 184,396,000 | 171,621,000 | 562,631,000 | 386,168,000 |
Operating income | 13,783,000 | 11,749,000 | 43,007,000 | 43,843,000 |
Equity in earnings | 1,689,000 | 842,000 | 4,902,000 | 3,773,000 |
Restructuring costs | 1,419,000 | 2,865,000 | 5,880,000 | 6,422,000 |
Depreciation and amortization | 10,836,000 | 11,201,000 | 33,794,000 | 25,196,000 |
Net income | 3,737,000 | (727,000) | 19,532,000 | 2,000 |
TNI Partners [Member] | ||||
Operating revenue | 8,389,000 | 8,222,000 | 26,548,000 | 28,602,000 |
Operating expenses | 6,077,000 | 6,645,000 | 19,506,000 | 22,576,000 |
Operating income | 2,312,000 | 1,577,000 | 7,042,000 | 6,026,000 |
Company's 50% share of operating income | 1,156,000 | 789,000 | 3,521,000 | 3,013,000 |
Less amortization of intangible assets | 0 | 0 | 0 | 209,000 |
Equity in earnings | 1,156,000 | 789,000 | 3,521,000 | 2,804,000 |
MNI [Member] | ||||
Operating revenue | 11,479,000 | 10,875,000 | 34,425,000 | 37,125,000 |
Operating expenses | 8,657,000 | 10,542,000 | 29,324,000 | 34,222,000 |
Operating income | 2,634,000 | 161,000 | 4,515,000 | 2,389,000 |
Equity in earnings | 533,000 | 54,000 | 1,381,000 | 969,000 |
Restructuring costs | 0 | 0 | 106,000 | 0 |
Depreciation and amortization | 188,000 | 172,000 | 480,000 | 514,000 |
Net income | $ 1,066,000 | $ 107,000 | $ 2,762,000 | $ 1,938,000 |
Note 4 - Goodwill and Other I_3
Note 4 - Goodwill and Other Intangible Assets (Details Textual) - USD ($) | Mar. 16, 2020 | Jun. 27, 2021 |
Finite-Lived Intangible Assets, Amortization Expense, Next Rolling Twelve Months | $ 21,494,000 | |
Finite-Lived Intangible Assets, Amortization Expense, Rolling Year Two | 20,081,000 | |
Finite-Lived Intangible Assets, Amortization Expense, Rolling Year Three | 18,043,000 | |
Finite-Lived Intangible Assets, Amortization Expense, Rolling Year Four | 12,707,000 | |
Finite-Lived Intangible Assets, Amortization Expense, Rolling Year Five | $ 7,218,000 | |
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life (Year) | 13 years 8 months 12 days | |
Goodwill, Acquired During Period | $ 79,896,000 | $ 1,759,000 |
Business Acquisition, Goodwill, Expected Tax Deductible Amount | 42,442,000 | |
BHMG [Member] | Advertiser Relationships [Member] | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | 27,620,000 | |
BHMG [Member] | Subscriber Relationships [Member] | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | 27,850,000 | |
BHMG [Member] | Commercial Print Relationships [Member] | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | 19,560,000 | |
BHMG [Member] | Mastheads [Member] | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Indefinite-Lived Intangible Assets | $ 20,390,000 |
Note 4 - Goodwill and Other I_4
Note 4 - Goodwill and Other Intangible Assets - Changes in the Carrying Amount of Goodwill (Details) - USD ($) | Mar. 16, 2020 | Jun. 27, 2021 |
Goodwill, gross amount | $ 1,617,174,000 | |
Accumulated impairment losses | (1,288,729,000) | |
Goodwill, beginning of September 27, 2020 | 328,445,000 | |
Measurement period adjustments | $ 79,896,000 | 1,759,000 |
Goodwill, end of period | $ 330,204,000 |
Note 4 - Goodwill and Other I_5
Note 4 - Goodwill and Other Intangible Assets - Identified Intangible Assets (Details) - USD ($) $ in Thousands | Jun. 27, 2021 | Sep. 27, 2020 |
Mastheads | $ 40,459 | $ 40,459 |
Other intangible assets, net | 163,064 | 182,680 |
Customer and Newspaper Subscriber Lists [Member] | ||
Amortizable intangible assets, gross | 774,291 | 774,604 |
Less accumulated amortization | 651,704 | 632,457 |
Finite-Lived Intangible Assets, Net, Ending Balance | 122,587 | 142,147 |
Noncompete Agreements [Member] | ||
Amortizable intangible assets, gross | 28,656 | 28,656 |
Less accumulated amortization | 28,638 | 28,582 |
Finite-Lived Intangible Assets, Net, Ending Balance | $ 18 | $ 74 |
Note 5 - Debt (Details Textual)
Note 5 - Debt (Details Textual) - USD ($) | Mar. 16, 2020 | Jan. 29, 2020 | Mar. 31, 2014 | Jun. 27, 2021 | Sep. 27, 2020 |
Long-term Debt, Gross | $ 431,502,000 | ||||
Pulitzer Excess Cash Flow | $ 1,070,000 | ||||
Warrants and Rights Outstanding | 1,317,000 | $ 363,000 | |||
Warrants Issued in Connection with Second Lien Term Loan [Member] | |||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights (in shares) | 600,000 | ||||
Warrants, When Fully Exercised, Percentage of Common Stock Outstanding | 10.40% | ||||
Class of Warrant or Right, Exercise Price of Warrants or Rights (in dollars per share) | $ 41.90 | ||||
Warrants and Rights Outstanding | $ 16,930,000 | ||||
BHMG [Member] | |||||
Payments to Acquire Businesses, Gross | $ 140,000,000 | $ 140,000,000 | |||
Credit Agreement [Member] | Secured Term Loan [Member] | BH Finance [Member] | |||||
Debt Instrument, Term (Year) | 25 years | ||||
Debt Instrument, Face Amount | $ 576,000,000 | ||||
Debt Instrument, Interest Rate, Stated Percentage | 9.00% | ||||
Long-term Debt, Gross | $ 485,162,000 | ||||
Weighted Average Cost of Debt, Excluding Amortization of Debt Financing Costs | 9.00% | ||||
Debt Instrument, Covenant, Percent of Net Cash Proceeds of Property in Excess of $500,000 in 90 Days | 100.00% | ||||
Debt Instrument, Covenant, Excess Cash Flow, Period After Quarter End (Day) | 50 days | ||||
Debt Instrument, Covenant, Change of Control, Repayment Percentage | 105.00% |
Note 6 - Pension, Postretirem_3
Note 6 - Pension, Postretirement and Postemployment Defined Benefit Plans (Details Textual) - USD ($) | 3 Months Ended | 9 Months Ended |
Dec. 27, 2020 | Jun. 27, 2021 | |
Defined Benefit Plan, Plan Assets, Contributions by Employer | $ 965,000 | |
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | $ 0 | |
Multiemployer Plans, Withdrawal Obligation | $ 12,310,000 | |
Multiemployer Plans, Withdrawal Obligation, Period (Year) | 20 years | |
Postemployment Retirement Benefits [Member] | ||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit), Gain (Loss) Due to Curtailment | $ 23,830,000 | |
Defined Benefit Plan, Benefit Obligation, (Increase) Decrease for Curtailment | $ 23,830,000 |
Note 6 - Pension, Postretirem_4
Note 6 - Pension, Postretirement and Postemployment Defined Benefit Plans - Net Periodic Cost (Benefit) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jun. 27, 2021 | Jun. 28, 2020 | Jun. 27, 2021 | Jun. 28, 2020 | |
Pension Plan [Member] | ||||
Service cost for benefits earned during the period | $ 633 | $ 626 | $ 1,899 | $ 737 |
Interest cost on projected benefit obligation | 1,787 | 2,462 | 5,361 | 5,113 |
Expected return on plan assets | (4,672) | (4,356) | (14,016) | (8,628) |
Amortization of net loss | 1,004 | 792 | 3,013 | 2,376 |
Amortization of prior service benefit | 0 | (2) | (1) | (6) |
Pension benefit | (1,248) | (478) | (3,744) | (408) |
Postretirement Health Coverage [Member] | ||||
Service cost for benefits earned during the period | 240 | 232 | 690 | 268 |
Interest cost on projected benefit obligation | 239 | 346 | 601 | 523 |
Expected return on plan assets | (252) | (265) | (756) | (795) |
Amortization of net loss | (172) | (186) | (516) | (558) |
Amortization of prior service benefit | (162) | (161) | (485) | (483) |
Pension benefit | (107) | (34) | (24,296) | (1,045) |
Curtailment gain | $ 0 | $ 0 | $ (23,830) | $ 0 |
Note 7 - Acquisitions (Details
Note 7 - Acquisitions (Details Textual) | Feb. 25, 2021 | Mar. 16, 2020USD ($) | Jan. 29, 2020USD ($) | Jun. 27, 2021USD ($) | Mar. 28, 2021USD ($) | Dec. 27, 2020USD ($) | Jun. 28, 2020USD ($) | Mar. 29, 2020USD ($) | Dec. 29, 2019USD ($) | Jun. 27, 2021USD ($) | Jun. 28, 2020USD ($) |
Number of Real Estate Properties | 68 | ||||||||||
Operating Lease, Annual Rent Payable | $ 8,000,000 | ||||||||||
Operating Lease, Percentage of Net Sales Proceeds | 8.00% | ||||||||||
Net Income (Loss) Attributable to Parent, Total | $ 3,227,000 | $ (1,134,000) | $ 15,902,000 | $ (1,275,000) | $ (5,367,000) | $ 5,320,000 | $ 17,995,000 | $ (1,320,000) | |||
Reverse Stock Split [Member] | |||||||||||
Stockholders' Equity Note, Stock Split, Conversion Ratio | 10 | ||||||||||
BHMG [Member] | |||||||||||
Payments to Acquire Businesses, Gross | $ 140,000,000 | $ 140,000,000 | |||||||||
BHMG [Member] | Acquisition-related Costs [Member] | |||||||||||
Net Income (Loss) Attributable to Parent, Total | $ 8,900,000 |
Note 7 - Acquisitions - Pro For
Note 7 - Acquisitions - Pro Forma Information (Details) - BHMG [Member] - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended |
Jun. 27, 2021 | Jun. 27, 2021 | |
Total revenues | $ 182,528 | $ 630,027 |
Income (loss) attributable to Lee Enterprises, Incorporated | $ (1,275) | $ 19,334 |
Earnings per share - diluted (in dollars per share) | $ (0.20) | $ 3.40 |
Note 8 - Income Taxes (Details
Note 8 - Income Taxes (Details Textual) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Jun. 27, 2021 | Jun. 28, 2020 | Jun. 27, 2021 | Jun. 28, 2020 | Sep. 27, 2020 | |
Income Tax Expense (Benefit), Total | $ 1,366,000 | $ 368,000 | $ 7,106,000 | $ (92,000) | |
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Noncontrolling Interest, Total | $ 5,103,000 | $ (359,000) | $ 26,636,000 | $ (90,000) | |
Effective Income Tax Rate Reconciliation, Percent, Total | 26.80% | 102.50% | 26.70% | 102.20% | |
State and Local Jurisdiction [Member] | |||||
Operating Loss Carryforwards, Total | $ 46,066,000 |
Note 9 - Earnings Per Common _3
Note 9 - Earnings Per Common Share (Details Textual) | Feb. 25, 2021 | Jun. 27, 2021shares | Jun. 28, 2020shares | Jun. 27, 2021shares | Jun. 28, 2020shares |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount (in shares) | 600,000 | 813,497 | 600,000 | 737,200 | |
Reverse Stock Split [Member] | |||||
Stockholders' Equity Note, Stock Split, Conversion Ratio | 10 |
Note 9 - Earnings Per Common _4
Note 9 - Earnings Per Common Share - Computation of Basic and Diluted Earnings Per Common Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Jun. 27, 2021 | Mar. 28, 2021 | Dec. 27, 2020 | Jun. 28, 2020 | Mar. 29, 2020 | Dec. 29, 2019 | Jun. 27, 2021 | Jun. 28, 2020 | |
(Loss) Income attributable to Lee Enterprises, Incorporated | $ 3,227 | $ (1,134) | $ 15,902 | $ (1,275) | $ (5,367) | $ 5,320 | $ 17,995 | $ (1,320) |
Weighted average common shares (in shares) | 5,881 | 5,820 | 5,867 | 5,823 | ||||
Less weighted average restricted Common Stock (in shares) | (156) | (156) | (155) | (153) | ||||
Basic average common shares (in shares) | 5,725 | 5,664 | 5,712 | 5,670 | ||||
Dilutive stock options and restricted Common Stock (in shares) | 123 | 0 | 102 | 0 | ||||
Diluted average common shares (in shares) | 5,848 | 5,664 | 5,814 | 5,670 | ||||
Basic: (in dollars per share) | $ 0.56 | $ (0.23) | $ 3.15 | $ (0.23) | ||||
Diluted: (in dollars per share) | $ 0.55 | $ (0.23) | $ 3.10 | $ (0.23) |
Note 10 - Stock Ownership Pla_3
Note 10 - Stock Ownership Plans (Details Textual) - Restricted Stock [Member] | 9 Months Ended |
Jun. 27, 2021USD ($) | |
Share-based Payment Arrangement, Nonvested Award, Excluding Option, Cost Not yet Recognized, Amount | $ 1,115,000 |
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition (Year) | 1 year 4 months 24 days |
Note 10 - Stock Ownership Pla_4
Note 10 - Stock Ownership Plans - Summary of Stock Option Activity (Details) $ / shares in Units, shares in Thousands, $ in Thousands | 9 Months Ended |
Jun. 27, 2021USD ($)$ / sharesshares | |
Outstanding, Shares (in shares) | shares | 41 |
Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 11.40 |
Exercised, Shares (in shares) | shares | (2) |
Exercised, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 11.30 |
Cancelled, Shares (in shares) | shares | (3) |
Cancelled, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 11.30 |
Outstanding, Shares (in shares) | shares | 36 |
Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 11.40 |
Outstanding, Weighted Average Remaining Contractual Term (Year) | 11 months 12 days |
Outstanding, Aggregate Intrinsic Value | $ | $ 604 |
Exercisable, Shares (in shares) | shares | 36 |
Exercisable, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 11.40 |
Exercisable, Weighted Average Remaining Contractual Term (Year) | 11 months 12 days |
Exercisable, Aggregate Intrinsic Value | $ | $ 604 |
Note 10 - Stock Ownership Pla_5
Note 10 - Stock Ownership Plans - Summary of Restricted Stock Activity (Details) - Restricted Stock [Member] shares in Thousands | 9 Months Ended |
Jun. 27, 2021$ / sharesshares | |
Outstanding, shares (in shares) | shares | 155 |
Outstanding, weighted average grant date fair value (in dollars per share) | $ / shares | $ 21.50 |
Vested, shares (in shares) | shares | (45) |
Vested, weighted average grant date fair value (in dollars per share) | $ / shares | $ 27.70 |
Granted, shares (in shares) | shares | 46 |
Granted, weighted average grant date fair value (in dollars per share) | $ / shares | $ 11.20 |
Cancelled, shares (in shares) | shares | 0 |
Cancelled, weighted average grant date fair value (in dollars per share) | $ / shares | $ 0 |
Outstanding, shares (in shares) | shares | 156 |
Outstanding, weighted average grant date fair value (in dollars per share) | $ / shares | $ 16.70 |
Note 11 - Fair Value Measurem_2
Note 11 - Fair Value Measurements (Details Textual) - USD ($) | Jun. 27, 2021 | Sep. 27, 2020 | Mar. 31, 2014 |
Warrants and Rights Outstanding | $ 1,317,000 | $ 363,000 | |
Senior Secured Notes [Member] | |||
Debt Instrument, Face Amount | 485,162,000 | ||
Fair Value, Inputs, Level 3 [Member] | |||
Investments, Fair Value Disclosure, Total | $ 4,226,000 | ||
Fair Value, Inputs, Level 3 [Member] | TCT and Private Equity Investment [Member] | |||
Equity Securities without Readily Determinable Fair Value, Percent | 17.00% | ||
Fair Value, Inputs, Level 2 [Member] | |||
Warrants and Rights Outstanding | $ 16,930,000 |
Note 12 - Commitments and Con_2
Note 12 - Commitments and Contingent Liabilities (Details Textual) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Jun. 27, 2021 | Jun. 28, 2020 | Jun. 27, 2021 | Jun. 28, 2020 | |
Restructuring Charges, Total | $ 1,419,000 | $ 2,865,000 | $ 5,880,000 | $ 6,422,000 |
Restructuring Reserve, Ending Balance | 0 | 0 | 0 | 0 |
Employee Severance [Member] | ||||
Restructuring Charges, Total | $ 907,000 | $ 1,484,000 | $ 4,074,000 | $ 2,534,000 |