Exhibit 99.1
TRIPLE CROWN MEDIA, INC. ANNOUNCES FIRST QUARTER RESULTS
LEXINGTON, Ky., May 15 /PRNewswire-FirstCall/ -- Triple Crown Media, Inc.
(Nasdaq: TCMI) announces that for the first quarter ended March 31, 2006, net
income available to common stockholders was $464,000, or $.09 per share, and
total revenues were $34.1 million.
The three months ended March 31, 2006 represent the Company's first full
fiscal quarterly period since becoming a separate, stand-alone entity. Until
December 30, 2005, the Company's Newspaper Publishing and Graylink Wireless
businesses were owned and operated by Gray Television, Inc., operating as
wholly-owned subsidiaries or divisions of Gray. Immediately following the
distribution of our common stock to Gray's common stockholders on December 30,
2005 in a transaction referred to as the Spin-off, the Company acquired its
Collegiate Marketing and Production Services business and Association Management
Services business pursuant to a merger with Bull Run Corporation.
"We are very pleased with our initial results as a new company," said Thomas
J. Stultz, President and CEO of Triple Crown Media. "The operating results of
our newspaper business improved despite increases in newsprint and fuel costs
compared to a year ago. Although our Graylink Wireless business continues to
decline, it continues to provide a positive contribution to our operating
results. Our Collegiate Marketing and Production Services business and
Association Management Services business experienced revenue growth compared to
the same period last year of over 8% and nearly 20%, respectively."
Certain of the Company's expenses for periods prior to the Spin-off,
including income tax expense and corporate and administrative expenses, result
from allocations of costs and expenses from Gray. Prior to the Spin-off, Gray
provided the capitalization for the Company, and as a result the Company had no
interest-bearing debt during the three months ended March 31, 2005. Therefore,
the reported financial results for the three months ended March 31, 2005 are not
indicative of the financial results of the Company as a separate, stand-alone
entity.
Triple Crown Media owns and operates six daily newspapers and one weekly
newspaper in Georgia, and provides paging and other wireless services in non-
major metropolitan areas in Alabama, Florida and Georgia, where it also operates
14 retail locations. Triple Crown Media, through its subsidiary, Host
Communications, Inc., is engaged in the Collegiate Marketing and Production
Services business and Association Management Services business. The Collegiate
Marketing and Production Services business provides sports marketing and
production services to a number of collegiate conferences and universities and,
through a contract with CBS Sports, on behalf of the National Collegiate
Athletic Association. The Association Management Services business provides
various associations with services such as member communication, recruitment and
retention, conference planning, Internet web site management, marketing and
administration.
Conference Call Information:
Triple Crown Media, Inc. will host a conference call to discuss its first
quarter operating results on May 17, 2006 at 1:00 PM eastern time. The live
dial-in phone number is 1-866-825-3354 (participant passcode 42783054). The call
will be webcast live and will be available for replay at
www.triplecrownmedia.com. The taped replay of the conference call will be
available at 1-888-286-8010 (participant passcode 70506870) until June 17, 2006.
TRIPLE CROWN MEDIA, INC.
Comparative Results of Operations
(in thousands, except per share amounts)
Three Months Ended
March 31,
--------------------
2005 2006
-------- --------
Operating revenues:
Publishing $ 11,188 $ 11,149
Collegiate marketing and production services 18,967
Association management services 2,224
Wireless 1,986 1,725
-------- --------
13,174 34,065
Expenses:
Operating expenses before depreciation, amortization
and loss (gain) on disposal of assets, net:
Publishing 8,182 8,030
Collegiate marketing and production services 15,821
Association management services 1,673
Wireless 1,563 1,456
Corporate and administrative 361 1,305
Depreciation 365 596
Amortization of intangible assets 620
Loss (gain) on disposal of assets, net 188 (28)
-------- --------
10,659 29,473
-------- --------
Operating income 2,515 4,592
Other income (expense):
Interest expense related to Series B preferred stock (113)
Interest expense, other (2,902)
Debt issue cost amortization (263)
-------- --------
Income before income taxes 2,515 1,314
Income tax expense 958 579
-------- --------
Net income 1,557 735
Series A preferred stock dividends accrued (271)
-------- --------
Net income available to common stockholders $ 1,557 $ 464
======== ========
Basic and diluted per share information:
Net income available to common stockholders $ 0.32 $ 0.09
Weighted average shares outstanding 4,870 5,131
Cautionary Statements for Purposes of the "Safe Harbor" Provisions of the
Private Securities Litigation Reform Act:
Except for the historical information contained herein, information set
forth in this news release contains forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995, including.
Words such as "expects," "anticipates," "intends," "plans," "believes,"
"estimates," and variations of such words and similar expressions that indicate
future events and trends are intended to identify such forward- looking
statements. These forward-looking statements are subject to risks and
uncertainties, which could cause the company's actual results or performance to
differ materially from those expressed or implied in such statements. The
company makes no commitment to update any forward-looking statement or to
disclose any facts, events, or circumstances after the date hereof that may
affect the accuracy of any forward-looking statement. For additional information
about the company and its various risk factors, please see the Company's most
recent Annual Report on Form 10-K and other documents as filed with the
Securities and Exchange Commission.
SOURCE Triple Crown Media, Inc.
-0- 05/15/2006
/CONTACT: Thomas J. Stultz, President & Chief Executive Officer,
+1-859-226-4356, or Mark G. Meikle, Executive Vice President & Chief Financial
Officer, +1-859-226-4376, both of Triple Crown Media, Inc./
/Web site: http://www.triplecrownmedia.com /
(TCMI)