Research And Markets Research And Markets

The McClatchy Co. Jan 12

  • ID: 2046948
  • January 2012
  • Standard & Poors
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  • Knight Ridder Inc.
  • The McClatchy Co.
  • MORE

Fairly diverse group of medium-sized newspapers; Currently good EBITDA margin and discretionary cash flow; Our expectation of continued maintenance of an adequate cushion of compliance with the debt leverage covenant, despite gradual step-downs through 2013. Ongoing secular pressure in the U.S. newspaper industry affecting advertising and circulation levels; Our expectation of revenue and EBITDA declines for the foreseeable future; Concentrations in regionally weak California and Florida markets; High debt leverage, including sizeable underfunded pension obligations; and High refinancing risk related to significant 2017 debt maturities. The corporate credit rating on Sacramento, Calif.-based The McClatchy Co. reflects high leverage, ongoing revenue declines due to the shift of news consumption and advertising to digital media, and the company's exposure to a downturn...

Companies mentioned in this report are:
- The McClatchy Co.
- Knight Ridder Inc.

Action: Review

Standard and Poors RatingsXpress Credit Research provides in-depth coverage of international corporates, financial institutions, insurance companies, utilities, sovereigns and structured finance programs. RatingsXpress Credit Research lets users determine the credit rating of holdings and identify key factors underlying an issuer's creditworthiness, distinguishes the different risk exposures for new and existing deals, and provides an understanding of how their analysts interpret key regulatory, political and environmental events and their economic impact.

Research Type: Full Analysis

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- The McClatchy Co.
- Knight Ridder Inc.

Note: Product cover images may vary from those shown
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Note: Product cover images may vary from those shown