Document and Entity Information
Document and Entity Information Document | 6 Months Ended |
Mar. 31, 2019USD ($)shares | |
Entity Information [Line Items] | |
Entity Registrant Name | Lee Enterprises, Inc. |
Entity Central Index Key | 0000058361 |
Current Fiscal Year End Date | --09-30 |
Entity Filer Category | Accelerated Filer |
Document Type | 10-Q |
Document Period End Date | Mar. 31, 2019 |
Document Fiscal Year Focus | 2019 |
Document Fiscal Period Focus | Q2 |
Amendment Flag | false |
Entity Common Stock, Shares Outstanding | shares | 57,722,693 |
Entity Small Business | false |
Entity Emerging Growth Company | false |
Entity Current Reporting Status | Yes |
Entity Public Float | $ | $ 190,485,000 |
Consolidated Balance Sheet
Consolidated Balance Sheet - USD ($) | Mar. 31, 2019 | Sep. 30, 2018 |
Current assets: | ||
Cash and cash equivalents | $ 16,665,000 | $ 5,380,000 |
Accounts receivable, net | 43,677,000 | 43,711,000 |
Inventory | 4,068,000 | 5,684,000 |
Other | 4,240,000 | 4,567,000 |
Total current assets | 68,650,000 | 59,342,000 |
Investments: | ||
Associated companies | 29,056,000 | 29,216,000 |
Other | 10,827,000 | 10,958,000 |
Total investments | 39,883,000 | 40,174,000 |
Property and equipment: | ||
Land and improvements | 17,224,000 | 17,432,000 |
Buildings and improvements | 149,802,000 | 150,376,000 |
Equipment | 270,960,000 | 276,332,000 |
Construction in process | 2,255,000 | 1,710,000 |
Property, plant and equipment, gross | 440,241,000 | 445,850,000 |
Less accumulated depreciation | 352,304,000 | 353,522,000 |
Property and equipment, net | 87,937,000 | 92,328,000 |
Goodwill | 250,162,000 | 246,176,000 |
Other intangible assets, net | 115,005,000 | 119,819,000 |
Medical plan assets, net | 16,277,000 | 16,157,000 |
Other | 1,520,000 | 1,415,000 |
Total assets | 579,434,000 | 575,411,000 |
Current liabilities: | ||
Current maturities of long-term debt | 7,318,000 | 7,027,000 |
Accounts payable | 13,661,000 | 12,747,000 |
Compensation and other accrued liabilities | 17,198,000 | 19,641,000 |
Accrued Interest | 2,224,000 | 2,031,000 |
Unearned revenue | 25,325,000 | 23,895,000 |
Total current liabilities | 65,726,000 | 65,341,000 |
Long-term debt, net of current maturities | 453,608,000 | 460,777,000 |
Pension obligations | 25,332,000 | 26,745,000 |
Postretirement and postemployment benefit obligations | 2,608,000 | 2,580,000 |
Deferred income taxes | 39,216,000 | 39,108,000 |
Income taxes payable | 7,112,000 | 6,559,000 |
Warrants and other | 13,751,000 | 10,561,000 |
Total liabilities | 607,353,000 | 611,671,000 |
Stockholders' equity (deficit): | ||
Serial convertible preferred stock, no par value; authorized 500 shares; none issued | 0 | 0 |
Common Stock, Number of Shares, Par Value and Other Disclosures [Abstract] | ||
Additional paid-in capital | 254,185,000 | 253,511,000 |
Accumulated deficit | (272,008,000) | (279,691,000) |
Accumulated other comprehensive income | (11,990,000) | (11,746,000) |
Total stockholders' deficit | (29,236,000) | (37,354,000) |
Non-controlling interests | 1,317,000 | 1,094,000 |
Total deficit | (27,919,000) | (36,260,000) |
Total liabilities and deficit | 579,434,000 | 575,411,000 |
Common Stock [Member] | ||
Stockholders' equity (deficit): | ||
Common Stock | 577,000 | 572,000 |
Common Class B [Member] | ||
Stockholders' equity (deficit): | ||
Common Stock | $ 0 | $ 0 |
Consolidated Balance Sheet Pare
Consolidated Balance Sheet Parentheticals (Parentheticals) - $ / shares | Mar. 31, 2019 | Sep. 30, 2018 |
Preferred Stock, Par or Stated Value Per Share | $ 0 | $ 0 |
Preferred Stock, Shares Authorized | 500,000 | 500,000 |
Preferred Stock, Shares Issued | 0 | 0 |
Common Class A [Member] | ||
Common Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 |
Common Stock, Shares Authorized | 120,000,000 | 120,000,000 |
Common Stock, Shares, Issued | 57,080,000 | 56,712,000 |
Common Class B [Member] | ||
Common Stock, Par or Stated Value Per Share | $ 2 | $ 2 |
Common Stock, Shares Authorized | 30,000,000 | 30,000,000 |
Common Stock, Shares, Issued | 0 | 0 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Income (Loss) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2019 | Mar. 25, 2018 | Mar. 31, 2019 | Mar. 25, 2018 | |
Operating revenue: | ||||
Advertising and Marketing Services Revenue | $ 62,934,000 | $ 71,553,000 | $ 138,897,000 | $ 156,213,000 |
Circulation Revenue | 45,076,000 | 45,972,000 | 91,345,000 | 94,241,000 |
Other Income | 14,694,000 | 10,280,000 | 28,663,000 | 21,136,000 |
Total operating revenue | 122,704,000 | 127,805,000 | 258,905,000 | 271,590,000 |
Operating expenses: | ||||
Compensation | 47,785,000 | 49,363,000 | 94,824,000 | 100,980,000 |
Newsprint and ink | 5,825,000 | 5,640,000 | 12,164,000 | 11,478,000 |
Other operating expenses | 48,016,000 | 49,315,000 | 97,758,000 | 99,671,000 |
Depreciation | 7,386,000 | 8,016,000 | 14,916,000 | 16,068,000 |
Gain on sales of assets and other, net | 83,000 | (1,300,000) | (17,000) | (1,297,000) |
Workforce adjustments and other | 2,759,000 | 1,816,000 | 2,820,000 | 2,284,000 |
Total operating expenses | 111,854,000 | 112,850,000 | 222,465,000 | 229,184,000 |
Equity in earnings of associated companies | 1,717,000 | 1,608,000 | 3,846,000 | 3,991,000 |
Operating income | 12,567,000 | 16,563,000 | 40,286,000 | 46,397,000 |
Non-operating income (expense): | ||||
Interest expense | (12,140,000) | (13,274,000) | (24,397,000) | (26,924,000) |
Debt financing costs and amortization | (962,000) | (1,217,000) | (1,858,000) | (2,313,000) |
Other, net | (1,636,000) | 1,388,000 | (969,000) | 1,937,000 |
Total non-operating expense, net | (14,738,000) | (13,103,000) | (27,224,000) | (27,300,000) |
Income (loss) before income taxes | (2,171,000) | 3,460,000 | 13,062,000 | 19,097,000 |
Income tax expense (benefit) | 156,000 | 927,000 | 4,670,000 | (18,763,000) |
Net income | (2,327,000) | 2,533,000 | 8,392,000 | 37,860,000 |
Net income attributable to non-controlling interests | (351,000) | (294,000) | (709,000) | (618,000) |
Income (loss) attributable to Lee Enterprises, Incorporated | (2,678,000) | 2,239,000 | 7,683,000 | 37,242,000 |
Other comprehensive income (loss), net of income taxes | (122,000) | (36,000) | (244,000) | (9,000) |
Comprehensive income (loss) attributable to Lee Enterprises, Incorporated | $ (2,800,000) | $ 2,203,000 | $ 7,439,000 | $ 37,233,000 |
Basic: | ||||
Earnings Per Share, Basic | $ (0.05) | $ 0.04 | $ 0.14 | $ 0.68 |
Diluted: | ||||
Diluted | $ (0.05) | $ 0.04 | $ 0.14 | $ 0.67 |
Statement of Cash Flows
Statement of Cash Flows - USD ($) $ in Thousands | 6 Months Ended | |
Mar. 31, 2019 | Mar. 25, 2018 | |
Net income | $ 8,392 | $ 37,860 |
Adjustments to reconcile net income from continuing operations to net cash provided by operating activities of continuing operations: | ||
Depreciation and amortization | 14,916 | 16,068 |
Curtailment Gains | 0 | (2,031) |
Stock compensation expense | 810 | 1,016 |
Distributions greater than earnings of MNI | 303 | 672 |
Deferred Income Tax Expense (Benefit) | 190 | (19,557) |
Debt financing and administrative costs | 1,858 | 2,313 |
Pension contributions | 650 | 0 |
Other Operating Activities, Cash Flow Statement | 505 | (169) |
Changes in operating assets and liabilities: | ||
Decrease in receivables | 660 | 4,758 |
Decrease in inventories and other | 2,039 | (468) |
Decrease in accounts payable, accrued expenses and unearned revenue | (3,051) | (4,367) |
Decrease in pension, postretirement and postemployment benefit obligations | (663) | (1,575) |
Change in income taxes receivable or payable | 545 | 510 |
Other, including warrants | 2,989 | (253) |
Net cash provided by operating activities of continuing operations | 27,833 | 35,115 |
Cash provided by (required for) investing activities of continuing operations: | ||
Purchases of property and equipment | (2,459) | (2,452) |
Proceeds from sales of assets | 770 | 1,989 |
Payments to Acquire Businesses, Gross | (5,708) | (250) |
Distributions greater (less) than current earnings of TNI | (143) | 535 |
Other, net | 2 | (745) |
Net Cash provided by (required for) investing activities of continuing operations | (7,538) | (923) |
Cash provided by (required for) financing activities of continuing operations: | ||
Payments on long-term debt | (8,404) | (32,064) |
Debt financing and reorganization costs paid | (259) | (5) |
Common stock transactions net | (347) | (443) |
Net cash required for financing activities of continuing operations | (9,010) | (32,512) |
Net increase in cash and cash equivalents | 11,285 | 1,680 |
Cash and cash equivalents: | ||
Beginning of period | 5,380 | 10,621 |
End of period | $ 16,665 | $ 12,301 |
Statement of Stockholders Equit
Statement of Stockholders Equity Statement - USD ($) $ in Thousands | Total | Retained Earnings [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | AOCI Attributable to Parent [Member] |
Accumulated deficit | $ (328,524) | ||||
Common Stock | $ 567 | ||||
Additional paid-in capital | $ 251,790 | ||||
Accumulated other comprehensive income | $ (16,068) | ||||
Total stockholders' deficit | $ (92,235) | ||||
Stock Issued During Period, Value, Other | (461) | 4 | (465) | ||
Income (loss) attributable to Lee Enterprises, Incorporated | 35,003 | 35,003 | |||
Employee Stock Ownership Plan (ESOP), Compensation Expense | 519 | 519 | |||
Defined Benefit Plan, Accumulated Other Comprehensive (Income) Loss, before Tax | 36 | 36 | |||
Other Comprehensive (Income) Loss, Defined Benefit Plan, after Reclassification Adjustment, Tax | (9) | (9) | |||
Stock Issued During Period, Value, Other | (443) | ||||
Income (loss) attributable to Lee Enterprises, Incorporated | 37,242 | ||||
Accumulated deficit | (293,521) | ||||
Common Stock | 571 | ||||
Additional paid-in capital | 251,844 | ||||
Accumulated other comprehensive income | (16,041) | ||||
Total stockholders' deficit | (57,147) | ||||
Stock Issued During Period, Value, Other | 18 | (1) | 19 | ||
Income (loss) attributable to Lee Enterprises, Incorporated | 2,239 | 2,239 | |||
Employee Stock Ownership Plan (ESOP), Compensation Expense | 439 | 439 | |||
Defined Benefit Plan, Accumulated Other Comprehensive (Income) Loss, before Tax | (71) | (71) | |||
Other Comprehensive (Income) Loss, Defined Benefit Plan, after Reclassification Adjustment, Tax | 35 | 35 | |||
Accumulated deficit | (291,282) | ||||
Common Stock | 570 | ||||
Additional paid-in capital | 252,302 | ||||
Accumulated other comprehensive income | (16,077) | ||||
Total stockholders' deficit | (54,487) | ||||
Accumulated deficit | (279,691) | (279,691) | |||
Common Stock | 572 | ||||
Additional paid-in capital | 253,511 | 253,511 | |||
Accumulated other comprehensive income | (11,746) | (11,746) | |||
Total stockholders' deficit | (37,354) | ||||
Stock Issued During Period, Value, Other | (448) | 5 | (453) | ||
Income (loss) attributable to Lee Enterprises, Incorporated | 10,361 | 10,361 | |||
Employee Stock Ownership Plan (ESOP), Compensation Expense | 385 | 385 | |||
Defined Benefit Plan, Accumulated Other Comprehensive (Income) Loss, before Tax | (163) | (163) | |||
Other Comprehensive (Income) Loss, Defined Benefit Plan, after Reclassification Adjustment, Tax | 41 | 41 | |||
Stock Issued During Period, Value, Other | (347) | ||||
Income (loss) attributable to Lee Enterprises, Incorporated | 7,683 | ||||
Accumulated deficit | (269,330) | ||||
Common Stock | 577 | ||||
Additional paid-in capital | 253,443 | ||||
Accumulated other comprehensive income | (11,868) | ||||
Total stockholders' deficit | (27,178) | ||||
Stock Issued During Period, Value, Other | 317 | 317 | |||
Income (loss) attributable to Lee Enterprises, Incorporated | (2,678) | (2,678) | |||
Employee Stock Ownership Plan (ESOP), Compensation Expense | 425 | 425 | |||
Defined Benefit Plan, Accumulated Other Comprehensive (Income) Loss, before Tax | (163) | (163) | |||
Other Comprehensive (Income) Loss, Defined Benefit Plan, after Reclassification Adjustment, Tax | 41 | 41 | |||
Accumulated deficit | (272,008) | $ (272,008) | |||
Common Stock | $ 577 | ||||
Additional paid-in capital | 254,185 | $ 254,185 | |||
Accumulated other comprehensive income | (11,990) | $ (11,990) | |||
Total stockholders' deficit | $ (29,236) |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Mar. 31, 2019 | |
Basis of Presentation [Abstract] | |
Organization Consolidation and Presentation of Financial Statements Disclosure [Text Block] | 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 subsidiaries (the “Company”) as of March 31, 2019 and our results of operations and cash flows for the periods presented. The Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and Notes thereto included in the Company's 2018 Annual Report on Form 10-K. Because of seasonal and other factors, the results of operations for the 13 weeks and 26 weeks ended March 31, 2019 are not necessarily indicative of the results to be expected for the full year. References to “we”, “our”, “us” and the like throughout the Consolidated Financial Statements refer to the Company. References to “2019”, “2018” and the like refer to the fiscal years ended the last Sunday in 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. On June 26, 2018, we entered into an agreement with BH Media Group, Inc. ("BH Media") to manage Berkshire Hathaway's newspaper and digital operations in 30 markets (the "Management Agreement"). The Company operates BH Media consistent with how it manages its own newspaper and digital operations. Among other decisions, Berkshire Hathaway is responsible for approving operating and capital budgets. The Management Agreement extends for a term of five years and may be extended thereafter for successive one-year terms on such terms as may be mutually agreed to by the Company and Berkshire Hathaway. The Company is paid a fixed annual fee of $5 million, payable quarterly in arrears, and a variable fee based on the financial performance of BH Media. The variable fees are payable annually in arrears. Use of Estimates The preparation of the Consolidated Financial Statements in conformity with 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 readily apparent from other sources. Actual results may differ from these estimates under different assumptions or conditions. New accounting pronouncements Between 2014 and 2017, the FASB issued several new standards related to revenue recognition ("the New Revenue Standard"). The New Revenue Standard supersedes existing revenue recognition requirements and is effective in fiscal years beginning after December 15, 2017. The New Revenue Standard provides a five-step model in determining when and how revenue is recognized and requires revenue recognition to depict the transfer of promised goods or services to customers in an amount that reflects the consideration a company expects to receive in exchange for those goods or services. The New Revenue Standard also requires new disclosures about the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. We adopted the New Revenue Standard on October 1, 2018, using the modified retrospective method applied to those contracts which were not completed as of that date. We completed our assessment and did not identify any significant changes to our revenue recognition policies. We identified similar performance obligations under the New Revenue Standard as compared with the deliverables and separate units of accounting previously identified under existing guidance. As a result, the timing and amount of our revenue recognition were not impacted and we did not make any adjustments under the modified retrospective adoption method. We have also assessed the new accounting principles related to the deferral and amortization of contract acquisition costs and due to the short-term nature of such costs, we will utilize the practical expedient to continue to expense these costs as incurred. See Note 2 for more information on our revenues and the application of the New Revenue Standard. In August 2016, the FASB issued a new standard to conform the presentation in the statement of cash flows for certain transactions, including cash distributions from equity method investments, among others. There was no change to the Consolidated Statement of Cash Flows as a result of the adoption of this standard for the quarter ended December 30, 2018. Specifically, distributions received from equity method investees continue to be presented on the Consolidated Statement of Cash Flows utilizing the cumulative earnings approach. In March 2017, the FASB issued a new standard to improve the presentation of pension and postretirement benefit expense. The new standard requires that the service cost component of pension and postretirement benefits expense is recognized as compensation expense, while the remaining components of the expense (benefit) are presented as non-operating income in other, net. This new standard was adopted for the quarter ended December 30, 2018 and has been retrospectively applied to the Statement of Operations for all comparative periods presented. We recorded benefits of $711,000 and $1,422,000 in other, net in non-operating income (expense) for the 13 and the 26 weeks ended March 31, 2019, respectively. We reclassified benefits of $708,000 and $1,416,000 from compensation to other, net in non-operating income (expense) for the 13 weeks and the 26 weeks ended March 25, 2018, respectively. In February 2018, FASB issued new guidance to allow a reclassification from accumulated other comprehensive income (“AOCI”) to retained earnings for stranded tax effects resulting from what is commonly referred to as the Tax Cuts and Jobs Act (the "2017 Tax Act"). In the first quarter of fiscal year 2018, we remeasured our deferred taxes related to unrealized gains on our investment balances using the reduced tax rate. As required by GAAP, we recognized the net tax benefit in the provision for income taxes in our consolidated operations statements, and we reclassified a $3,067,000 net tax benefit from AOCI to retained earnings in our consolidated balance sheets. Adoption of the standard had no impact to our consolidated operations statements or cash flows statements. In February 2016, the FASB issued a new standard for the accounting treatment of leases. The new standard is based on the principle that entities should recognize assets and liabilities arising from leases. The new standard does not significantly change the lessees’ recognition, measurement and presentation of expenses and cash flows from the previous accounting standard. Leases are classified as finance or operating. The new standard's primary change is the requirement for entities to recognize a lease liability for payments and a right of use asset representing the right to use the leased asset during the term on most operating lease arrangements. Lessees are permitted to make an accounting policy election to not recognize the asset and liability for leases with a term of twelve months or less. In addition, the new standard expands the disclosure requirements of lease arrangements. Lessees have the option to use a modified retrospective transition approach, which includes a number of practical expedients. We are currently in the process of evaluating the impact of this guidance on our Consolidated Financial Statements. In July 2018, the FASB issued a new standard which provides for an optional transition method that allows issuers to initially apply the new lease standard to all leases that exist as of the adoption date, with the cumulative effect of initially applying the new lease standard recognized as an adjustment to retained earnings as of the adoption date. We intend to adopt the optional transition approach in fiscal year 2020. To date we have made progress in our assessment of the new lease standard. We are currently compiling an inventory of leases, evaluating the provisions of the updated guidance and assessing the impact on our Consolidated Financial Statements. |
Investments in Associated Compa
Investments in Associated Companies | 6 Months Ended |
Mar. 31, 2019 | |
Investments In Associated Companies [Abstract] | |
Equity Method Investments Disclosure [Text Block] | 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 as well as the related digital platforms and specialty publications. TNI collects all receipts and income and pays substantially all operating expenses incident to the partnership's operations and publication of the newspaper and other media. 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 26 Weeks Ended (Thousands of Dollars) March 31 March 25 March 31 March 25 Operating revenue 11,480 11,851 23,644 25,081 Operating expenses 8,832 9,354 17,928 19,338 Operating income 2,648 2,497 5,716 5,743 Company's 50% share of operating income 1,323 1,248 2,858 2,872 Less amortization of intangible assets 105 104 209 209 Equity in earnings of TNI 1,218 1,144 2,649 2,663 TNI makes weekly distributions of its earnings and for the 13 weeks ended March 31, 2019 and March 25, 2018 we received $1,957,000 and $1,631,000 in distributions, respectively. In the 26 weeks ended March 31, 2019 and March 25, 2018 we received $2,506,000 and $3,198,000 in distributions, respectively. 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 26 Weeks Ended (Thousands of Dollars) March 31 March 25 March 31 March 25 Operating revenue 13,092 13,838 27,918 29,903 Operating expenses, excluding restructuring costs, depreciation and amortization 11,579 12,016 24,272 24,948 Restructuring costs 38 146 68 210 Depreciation and amortization 280 280 559 558 Operating income 1,195 1,396 3,019 4,187 Net income 996 928 2,394 2,656 Equity in earnings of MNI 499 464 1,197 1,328 MNI makes quarterly distributions of its earnings and in the 13 weeks ended March 31, 2019 and March 25, 2018 we received dividends of $750,000 and $1,250,000 , respectively. In the 26 weeks ended March 31, 2019 and March 25, 2018 we received dividends of $ 1,500,000 and $ 2,000,000 , respectively. |
Goodwill and other Intangible A
Goodwill and other Intangible Assets | 6 Months Ended |
Mar. 31, 2019 | |
Goodwill And Other Intangible Assets [Abstract] | |
Goodwill and Intangible Assets Disclosure [Text Block] | GOODWILL AND OTHER INTANGIBLE ASSETS Changes in the carrying amount of goodwill are as follows: 26 Weeks Ended (Thousands of Dollars) March 31 Goodwill, gross amount 1,535,155 Accumulated impairment losses (1,288,979 ) Goodwill, beginning of period 246,176 Goodwill acquired in business combinations 3,986 Goodwill, end of period 250,162 Identified intangible assets consist of the following: (Thousands of Dollars) March 31 September 30 Nonamortized intangible assets: Mastheads 21,883 21,883 Amortizable intangible assets: Customer and newspaper subscriber lists 696,632 692,886 Less accumulated amortization 603,510 594,950 93,122 97,936 Other intangible assets, net 115,005 119,819 In January 2019, we purchased the businesses of Kenosha News and Lake Geneva Regional News. In February 2019, TownNews purchased the content management system ("CMS") business from GTxcel. Both transactions were funded with cash on the balance sheet. As part of initial estimates, $3,986,000 was recorded in goodwill and $3,650,000 was recorded in other intangible assets, net. The $3,650,000 of other intangible assets, net relate to acquired customer lists, which will be amortized over a 10 year period. These initial estimates will be reviewed in subsequent quarters as more information becomes available. Annual amortization of intangible assets for the years ending March 2020 to March 2024 is estimated to be $16,192,000 , $15,929,000 , $13,289,000 , $12,384,000 and $11,704,000 , respectively. |
Debt
Debt | 6 Months Ended |
Mar. 31, 2019 | |
Debt [Abstract] | |
Debt Disclosure [Text Block] | DEBT On March 31, 2014, we completed a comprehensive refinancing of our debt (the "2014 Refinancing"), which included the following: • $400,000,000 aggregate principal amount of 9.5% Senior Secured Notes (the “Notes”), pursuant to an Indenture dated as of March 31, 2014 (the “Indenture”). • $250,000,000 first lien term loan (the "1 st Lien Term Loan") and $40,000,000 revolving facility (the "Revolving Facility") under a First Lien Credit Agreement dated as of March 31, 2014 (together the “1 st Lien Credit Facility”). • $150,000,000 second lien term loan under a Second Lien Loan Agreement dated as of March 31, 2014 (the “2 nd Lien Term Loan”). In November 2018, we repaid, in full, the remaining balance of the 1 st Lien Term Loan. In December 2018, we amended our 1 st Lien Credit Facility to amend and extend our Revolving Facility (the "Amendment"). The Amendment, among other changes, extends the maturity of the revolving loan commitments of the 1 st Lien Lenders for twelve months and reduces the revolver loan commitments from $40,000,000 to $27,200,000 with a further 15% reduction to the revolving loan commitments of the 1 st Lien Term Lenders effective as of July 31, 2019. Debt is summarized as follows: Interest Rates (%) (Thousands of Dollars) March 31 September 30 March 31 Revolving Facility — — 6.1 1 st Lien Term Loan — 6,303 8.5 Notes 385,000 385,000 9.5 2 nd Lien Term Loan 91,455 93,556 12.0 476,455 484,859 Unamortized debt issue costs (15,529 ) (17,055 ) Current maturities of long-term debt 7,318 7,027 Total long-term debt 453,608 460,777 Our weighted average cost of debt, excluding amortization of debt financing costs at March 31, 2019 , is 10.0% . At March 31, 2019 , aggregate minimum required maturities of debt excluding amounts required to be paid from future excess cash flow computations total $7,318,000 for the remainder of 2019, $0 in 2020, $0 in 2021, $385,000,000 in 2022 and $84,137,000 in 2023. Notes The Notes are senior secured obligations of the Company and mature on March 15, 2022. At March 31, 2019 , the principal balance of the Notes totaled $385,000,000 . Interest The Notes require payment of interest semiannually on March 15 and September 15 of each year, at a fixed annual rate of 9.5% . Redemption We may redeem some, or all, of the principal amount of the Notes at any time as follows: Period Beginning Percentage of Principal Amount March 15, 2019 102.38 March 15, 2020 100.00 If we sell certain of our assets or experience specific kinds of changes of control, we must, subject to certain exceptions, offer to purchase the Notes at 101% of the principal amount. Any redemption of the Notes must also satisfy any accrued and unpaid interest thereon. Covenants and Other Matters The Indenture and the 1 st Lien Credit Facility contain restrictive covenants as discussed more fully below. However, certain of these covenants will cease to apply if the Notes are rated investment grade by either Moody’s Investors Service, Inc. or Standard & Poor’s Ratings Group and there is no default or event of default under the Indenture. 1 st Lien Credit Facility The 1 st Lien Term Loan was paid in full in November 2018 and has no outstanding balance as of March 31, 2019 . The 1 st Lien Credit Facility consists of the $27,000,000 Revolving Facility that matures on December 28, 2019. The 1 st Lien Credit Facility documents the primary terms of the 1 st Lien Term Loan and the Revolving Facility. The Revolving Facility may be used for working capital and general corporate purposes (including letters of credit). At March 31, 2019 , after consideration of letters of credit, we have approximately $21,435,000 available for future use under the Revolving Facility. Interest Interest on the Revolving Facility, which is undrawn at March 31, 2019 , accrues, at our option, at either (A) LIBOR plus 5.5% , or (B) 4.5% plus the higher of (i) the prime rate at the time, (ii) the federal funds rate plus 0.5% , or (iii) one month LIBOR plus 1.0%. Covenants and Other Matters The 1 st Lien Credit Facility requires that we comply with certain affirmative and negative covenants customary for financing of this nature, including a maximum total leverage ratio. The 1 st Lien Credit Facility restricts us from paying dividends on our Common Stock. This restriction no longer applies if Lee Legacy Leverage is below 3.25x before and after such payments. Lee Legacy Leverage as defined is 4.28x at March 31, 2019. Further, the 1 st Lien Credit Facility restricts or limits, among other things, subject to certain exceptions, the ability of the Company and its subsidiaries to: (i) incur indebtedness, (ii) enter into mergers, acquisitions and asset sales, (iii) incur or create liens and (iv) enter into transactions with certain affiliates. The 1 st Lien Credit Facility contains various representations and warranties and may be terminated upon occurrence of certain events of default. The 1 st Lien Credit Facility also contains cross-default provisions tied to the terms of each of the Indenture and 2 nd Lien Term Loan. 2 nd Lien Term Loan The 2 nd Lien Term Loan, which has a balance of $91,455,000 at March 31, 2019 , bears interest at a fixed annual rate of 12.0% , payable quarterly, and matures in December 2022. Principal Payments Excluding excess cash flow payments, there are no scheduled mandatory amortization payments required under the 2 nd Lien Term Loan. Quarterly, we are required to prepare a calculation of excess cash flow of the Pulitzer Subsidiaries ("Pulitzer Excess Cash Flow"). Pulitzer Excess Cash Flow is generally determined as the cash earnings of the Pulitzer Subsidiaries including adjustments for changes in working capital, capital spending, pension contributions, debt principal payments and income tax payments. Pulitzer Excess Cash Flow also includes a deduction for interest costs incurred under the 2 nd Lien Term Loan. Pulitzer Excess Cash Flow is used to prepay the 2nd Lien Term Loan, at par, and is required to be paid 45 days after the end of the quarter. Payments will also be made on the 2 nd Lien Term Loan, at par, with proceeds from asset sales by the Pulitzer Subsidiaries that are not reinvested subject to certain other conditions. During the 13 and 26 weeks ended March 31, 2019 , payments on the 2 nd Lien Term Loan totaled $1,377,000 and $2,101,000 , respectively. For the 13 weeks ended March 31, 2019 , Pulitzer Excess Cash Flow totaled $7,318,000 , which will be used to make a payment on the 2 nd Lien Term Loan in May 2019, at par. Beginning March 31, 2019, voluntary payments under the 2 nd Lien Term Loan are no longer subject to call premiums and are payable at par. The Indenture includes certain restrictions on voluntary payments on the 2 nd Lien Term Loan. Covenants and Other Matters The 2 nd Lien Term Loan requires that we comply with certain affirmative and negative covenants customary for financing of this nature, including the negative covenants under the 1 st Lien Credit Facility discussed above. The 2 nd Lien Term Loan contains various representations and warranties and may be terminated upon occurrence of certain events of default. The 2 nd Lien Term Loan also contains cross-default provisions tied to the terms of the Indenture and 1 st Lien Credit Facility. In connection with the 2 nd Lien Term Loan, we entered into a Warrant Agreement dated as of March 31, 2014 (the “Warrant Agreement”). Under the Warrant Agreement, certain affiliates or designees of the 2 nd Lien Lenders received on March 31, 2014 their pro rata share of warrants to purchase, in cash, an initial aggregate of 6,000,000 shares of Common Stock, subject to adjustment pursuant to anti-dilution provisions (the “Warrants”). The Warrants represent, when fully exercised, approximately 10.4% of shares of Common Stock outstanding at March 30, 2014 on a fully diluted basis. The exercise price of the Warrants is $4.19 per share. The Warrant Agreement contains provisions requiring the Warrants to be measured at fair value and included in 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 10. In connection with the issuance of the Warrants, we entered into a Registration Rights Agreement dated as of March 31, 2014 (the “Registration Rights Agreement”). The Registration Rights Agreement requires, among other matters, that we use our commercially reasonable efforts to maintain the effectiveness for certain specified periods of a shelf registration statement related to the shares of Common Stock to be issued upon exercise of the Warrants. Security The Notes and the 1 st Lien Credit Facility are fully and unconditionally guaranteed on a joint and several first-priority basis by each of the Company's material domestic subsidiaries, excluding MNI, the Pulitzer Subsidiaries and TNI (the "Lee Legacy Assignors"), pursuant to a first lien guarantee and collateral agreement dated as of March 31, 2014 (the "1 st Lien Guarantee and Collateral Agreement"). The Notes, the 1 st Lien Credit Facility and the subsidiary guarantees are secured, subject to certain exceptions, priorities and limitations, by perfected security interests in all property and assets, including certain real estate, of the Lee Legacy Assignors, other than the capital stock of MNI and any property and assets of MNI (the “Lee Legacy Collateral”), on a first-priority basis, equally and ratably with all of the Lee Legacy Assignors' existing and future obligations. The Lee Legacy Collateral includes, among other things, equipment, inventory, accounts receivables, depository accounts, intellectual property and certain of their other tangible and intangible assets. Also, the Notes and the 1 st Lien Credit Facility are secured, subject to certain exceptions, priorities and limitations in the various agreements, by first-priority security interests in the capital stock of, and other equity interests owned by, the Lee Legacy Assignors (excluding the capital stock of MNI). The Notes and 1 st Lien Credit Facility are subject to a Pari Passu Intercreditor Agreement dated March 31, 2014. The Notes, the 1 st Lien Credit Facility and the subsidiary guarantees are also secured, subject to permitted liens, by a second-priority security interest in the property and assets of the Pulitzer Subsidiaries that become subsidiary guarantors (the "Pulitzer Assignors") other than assets of or used in the operations or business of TNI (collectively, the “Pulitzer Collateral”). In June 2015 the Pulitzer Assignors became a party to the 1 st Lien Guarantee and Collateral Agreement on a second lien basis. Also, the Notes and the 1 st Lien Credit Facility are secured, subject to certain exceptions, priorities, and limitations in the various agreements, by second-priority security interests in the capital stock of, and other equity interests in, the Pulitzer Assignors and Star Publishing’s interest in TNI. The 2 nd Lien Term Loan is fully and unconditionally guaranteed on a joint and several first-priority basis by the Pulitzer Assignors, pursuant to a Second Lien Guarantee and Collateral Agreement dated as of March 31, 2014 (the “2 nd Lien Guarantee and Collateral Agreement”) among the Pulitzer Assignors and the 2 nd Lien collateral agent. Under the 2 nd Lien Guarantee and Collateral Agreement, the Pulitzer Assignors have granted (i) first-priority security interests, subject to certain priorities and limitations in the various agreements, in the Pulitzer Collateral and (ii) have granted first-priority lien mortgages or deeds of trust covering certain real estate, as collateral for the payment and performance of their obligations under the 2 nd Lien Term Loan. Also, under the 2 nd Lien Guarantee and Collateral Agreement, the Lee Legacy Assignors have granted (i) second-priority security interests, subject to certain priorities and limitations in the various agreements, in the Lee Legacy Collateral, and (ii) have granted second-priority lien mortgages or deeds of trust covering certain real estate, as collateral for the payment and performance of their obligations under the 2 nd Lien Term Loan. Assets of, or used in the operations or business of, MNI are excluded. The rights of each of the collateral agents with respect to the Lee Legacy Collateral and the Pulitzer Collateral are subject to customary intercreditor and intercompany agreements. Other In connection with the 2014 Refinancing, we capitalized $37,819,000 of debt financing costs. Amortization of debt financing costs totaled $1,525,000 in the 26 weeks ended March 31, 2019 . Amortization of such costs is estimated to total $1,933,000 for the remainder of 2019, $3,989,000 in 2020, $4,154,000 in 2021, $4,332,000 in 2022, and $1,121,000 in 2023. At March 31, 2019 , we have $15,529,000 of unamortized debt financing costs recorded as a reduction of Long-term debt in our Consolidated Balance Sheets. Liquidity At March 31, 2019 , after consideration of letters of credit, we have approximately $21,435,000 available for future use under our Revolving Facility, which expires on December 28, 2019. Including cash, our liquidity at March 31, 2019 totals $38,100,000 . This liquidity amount excludes any future cash flows. We expect all interest and principal payments due in the next twelve months will be satisfied by existing cash and our cash flows, which will allow us to maintain an adequate level of liquidity. The Warrants, if and when exercised, would provide additional liquidity in an amount up to $25,140,000 subject to a reduction for any amounts the Company may elect to use to repay our 1 st Lien Term Loan and/or the Notes. Excluding our Revolving Facility, which is undrawn as of March 2019, final maturities of our debt range from March 2022 through December 2022. There are numerous potential consequences under the Notes, 1 st Lien Credit Facility and 2 nd Lien Term Loan, if an event of default, as defined, occurs and is not remedied. Many of those consequences are beyond our control. The occurrence of one or more events of default would give rise to the right of the applicable lender(s) to exercise their remedies under the Notes, 1 st Lien Credit Facility and 2 nd Lien Term Loan, respectively, including, without limitation, the right to accelerate all outstanding debt and take actions authorized in such circumstances under applicable collateral security documents. Our ability to operate as a going concern is dependent on our ability to remain in compliance with debt covenants and to repay, refinance or amend our debt agreements as they become due. The Notes, 1 st Lien Credit Facility and 2 nd Lien Term Loan have only limited affirmative covenants with which we are required to maintain compliance. We are in compliance with our debt covenants at March 31, 2019 . |
Pension, Postretirement, and Po
Pension, Postretirement, and Postemployement Obligations | 6 Months Ended |
Mar. 31, 2019 | |
Pension Postretirement And Postemployment Defined Benefit Plans [Abstract] | |
Pension and Other Postretirement Benefits Disclosure [Text Block] | PENSION, POSTRETIREMENT AND POSTEMPLOYMENT DEFINED BENEFIT PLANS We have several noncontributory defined benefit pension plans that together cover selected employees. Benefits under the plans were generally based on salary and years of service. Effective in 2012, substantially all benefits are frozen and only a small amount of additional benefits are being accrued. 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. In addition, we provide retiree medical and life insurance benefits under postretirement plans at several of our operating locations. The level and adjustment of participant contributions vary depending on the specific plan. In addition, St. Louis Post-Dispatch LLC, provides postemployment disability benefits to certain employee groups prior to retirement. 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. We use a fiscal year end measurement date for all of our pension and postretirement medical plan obligations. The net periodic postretirement cost (benefit) components for our postretirement plans are as follows: PENSION PLANS 13 Weeks Ended 26 Weeks Ended (Thousands of Dollars) March 31 March 25 March 31 March 25 Service cost for benefits earned during the period 9 12 18 24 Interest cost on projected benefit obligation 1,641 1,438 3,282 2,876 Expected return on plan assets (2,018 ) (1,983 ) (4,036 ) (3,966 ) Amortization of net loss 284 506 568 1,012 Amortization of prior service benefit (25 ) (34 ) (50 ) (68 ) Pension benefit (109 ) (61 ) (218 ) (122 ) POSTRETIREMENT MEDICAL PLANS 13 Weeks Ended 26 Weeks Ended (Thousands of Dollars) March 31 March 25 March 31 March 25 Interest cost on projected benefit obligation 103 90 206 181 Expected return on plan assets (270 ) (270 ) (540 ) (540 ) Amortization of net gain (244 ) (246 ) (488 ) (492 ) Amortization of prior service benefit (181 ) (196 ) (362 ) (392 ) Curtailment gains — (2,031 ) — (2,031 ) Postretirement medical benefit (592 ) (2,653 ) (1,184 ) (3,274 ) At the beginning of fiscal year 2019, we adopted the new accounting standard to improve the presentation of pension and postretirement benefit expenses. As a result, the service cost for benefits earned during the period continue to be included as compensation in the Consolidated Statement of Income and Comprehensive income, while the other components of the pension benefit are recorded as non-operating income in other, net. Prior period amounts have been reclassified to conform to current period presentation. In the 26 weeks ended March 31, 2019 we contributed $650,000 to our pension plans. Based on our forecast at March 31, 2019 , we do not expect to make contributions to our pension trust during the remainder of fiscal 2019. In March 2017, we notified certain participants in one of our post employment medical plans of changes to their plan and in December 2017 the plan was terminated. These changes resulted in a non-cash curtailment gain of $2,031,000 in the second quarter ended March 25, 2018. Curtailment gains are recorded in loss (gain) on sales of assets and other, net in the Consolidated Statements of Operations and Comprehensive income. In the second quarter of 2019, we incurred an estimated partial liability for the CWA/ITU multi-employer plan, in the amount of $500,000, which is included in restructuring costs and other. |
Income Taxes
Income Taxes | 6 Months Ended |
Mar. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Tax Disclosure [Text Block] | INCOME TAXES We recorded income tax expense of $156,000 related to loss before taxes of $2,171,000 for the 13 weeks ended March 31, 2019, and income tax expenses of $4,670,000 related to income before taxes of $13,062,000 for the 26 weeks ended March 31, 2019 . Including the transactional impact of revaluing tax assets and liabilities, we recorded income tax expense of $927,000 related to income of $3,460,000 for the 13 weeks ended March 25, 2018 and, including the transactional impact of revaluing tax assets and liabilities, we recorded income tax benefit of $18,763,000 related to income of $19,097,000 for the 26 weeks ended March 25, 2018 . The effective income tax rate for the 13 and 26 weeks ended March 31, 2019 was negative 7.2% and a 35.8% , respectively. The effective income tax rate for the 13 and 26 weeks ended March 25, 2018 was 26.8% expense and negative 98.3% . The primary differences between these rates and the U.S. federal statutory rate of 21% are due to the effect of state taxes, non-deductible expenses, adjustments to reserves for uncertain tax positions, including any related interest, and mark-to-market adjustments to value the Warrants. We file a consolidated federal tax return, as well as combined and separate tax returns in approximately 27 state and local jurisdictions. We do not currently have any federal or state income tax examinations in progress. Our income tax returns have generally been audited or closed to audit through 2012. See Note 11 for a discussion of our tax audits. At September 25, 2018, we had approximately $63,048,000 of state net operating loss tax benefits. The Company consumed its federal net operating losses in the year ended September 30, 2018. |
Earnings per Common Share
Earnings per Common Share | 6 Months Ended |
Mar. 31, 2019 | |
Earnings Loss Per Common Share [Abstract] | |
Earnings Per Share [Text Block] | EARNINGS PER COMMON SHARE The following table sets forth the computation of basic and diluted earnings per common share: 13 Weeks Ended 26 Weeks Ended (Thousands of Dollars and Shares, Except Per Share Data) March 31 March 25 March 31 March 25 (Loss) Income attributable to Lee Enterprises, Incorporated: (2,678 ) 2,239 7,683 37,242 Weighted average common shares 57,703 57,070 57,501 56,924 Less weighted average restricted Common Stock (2,095 ) (2,378 ) (2,097 ) (2,416 ) Basic average common shares 55,608 54,692 55,404 54,508 Dilutive stock options and restricted Common Stock — 1,169 1,287 1,309 Diluted average common shares 55,608 55,861 56,691 55,817 Earnings per common share: Basic (0.05 ) 0.04 0.14 0.68 Diluted (0.05 ) 0.04 0.14 0.67 For the 13 and 26 weeks ended March 31, 2019 , 6,000,000 and 6,000,000 , weighted average shares, respectively, were not considered in the computation of diluted earnings per common share 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 and 26 weeks ended March 25, 2018 , 6,500,900 and 6,706,603 , weighted average shares, respectively, were not considered in the computation of diluted earnings per common share because the exercise prices of the related stock options and Warrants were in excess of the fair market value of our Common Stock. |
Stock Ownership Plans
Stock Ownership Plans | 6 Months Ended |
Mar. 31, 2019 | |
Stock Ownership Plans [Abstract] | |
Share-based Payment Arrangement [Text Block] | STOCK OWNERSHIP PLANS A summary of stock option activity during the 26 weeks ended March 31, 2019 follows: (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 30, 2018 1,100 1.88 Exercised (48 ) 2.36 Cancelled (32 ) 2.04 Outstanding, March 31, 2019 1,020 1.86 2.1 1,471 Exercisable, March 31, 2019 1,020 1.86 2.1 1,471 Restricted Common Stock The table below summarizes restricted Common Stock activity during the 26 weeks ended March 31, 2019 : (Thousands of Shares, Except Per Share Data) Shares Weighted Average Grant Date Fair Value Outstanding, September 30, 2018 2,059 2.31 Vested (728 ) 1.53 Granted 788 2.18 Cancelled (24 ) 2.01 Outstanding, March 31, 2019 2,095 2.53 Total unrecognized compensation expense for unvested restricted Common Stock at March 31, 2019 is $2,602,633 , which will be recognized over a weighted average period of 1.7 years. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Mar. 31, 2019 | |
Fair Value Measurements [Abstract] | |
Fair Value Disclosures [Text Block] | FAIR VALUE MEASUREMENTS We utilize FASB ASC Topic 820, Fair Value Measurements and Disclosures , to measure and report fair value. FASB ASC Topic 820 defines fair value, establishes a framework for measuring fair value and expands disclosures about fair value measurements. FASB ASC Topic 820 establishes a three-level hierarchy of fair value measurements based on whether the inputs to those measurements are observable or unobservable, which consists of the following levels: Level 1 - Quoted prices for identical instruments in active markets. Level 2 - Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations in which all significant inputs are observable in active markets. Level 3 - Valuations derived from valuation techniques in which one or more significant inputs are unobservable. 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 $6,068,000 , including our 17% ownership of the nonvoting common stock of TCT and a private equity investment, are carried at cost. As of March 31, 2019, based on the most recent data available, the approximate fair value of the private equity investment is $10,203,256 which is a level 3 fair value measurement. Fair value of the remaining investments approximates book value. Our fixed rate debt consists of $385,000,000 principal amount of the Notes and $91,455,000 principal amount under the 2 nd Lien Term Loan. At March 31, 2019 , based on private market price quotations, the fair values were $392,311,150 and $91,455,213 for the Notes and 2 nd Lien Term Loan, respectively. These represent level 2 fair value measurements. As discussed more fully in Note 5, we recorded a liability for the Warrants issued in connection with the Warrant Agreement. The liability was initially measured at its fair value and we remeasure the liability to fair value each reporting period, with changes reported in other non-operating income (expense). The initial fair value of the Warrants was $ 16,930,000 . The fair value of Warrants at March 2019 and December 2018 are $4,479,000 , 1,726,000 , respectively. Fair value is determined using the Black-Scholes option pricing model. These represent level 2 fair value measurements. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Mar. 31, 2019 | |
Commitments And Contingent Liabilities [Abstract] | |
Commitments and Contingencies Disclosure [Text Block] | COMMITMENTS AND CONTINGENT LIABILITIES Income Taxes Commitments exclude unrecognized tax benefits to be recorded in accordance with FASB ASC Topic 740, Income Taxes . We are unable to reasonably estimate the ultimate amount or timing of cash settlements with the respective taxing authorities for such matters. See Note 7. 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 result in proposed adjustments. We have considered the alternative interpretations that may be assumed by the various taxing agencies, believe our positions taken regarding our filings are valid, and that adequate tax liabilities have been recorded to resolve such matters. However, the actual outcome cannot be determined with certainty and the difference could be material, either positively or negatively, to the Consolidated Statements of Operations and Comprehensive Income (Loss) in the periods in which such matters are ultimately determined. We do not believe the final resolution of such matters will be material to our consolidated financial position or cash flows. 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 2009. 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 have a material adverse effect on our Consolidated Financial Statements, taken as a whole. Multiemployer Pension Plans The Company contributes to three multiemployer pension plans. In June 2017, a union contract covering certain of our employees under a multiemployer pension plan expired resulting in a partial withdrawal from one of the multiemployer plans. In 2017, the Company recorded an estimate of the partial withdrawal liability totaling $2,600,000. Once the multiemployer pension plan's administrators finalize the partial withdrawal liability, it will be paid in equal installments over a twenty year period. In the second quarter of 2019, we recorded an estimated partial liability for the CWA/ITU multi-employer plan, in the amount of $500,000, which is included in restructuring costs and other. |
Revenue (Notes)
Revenue (Notes) | 6 Months Ended |
Mar. 31, 2019 | |
Revenue Footnote [Abstract] | |
Revenue from Contract with Customer [Policy Text Block] | On October 1, 2018, we adopted the new revenue recognition accounting pronouncement, using the modified retrospective method applied to those contracts which were not completed as of the adoption date. Results for reporting periods beginning after October 1, 2018 are presented under the new guidance while prior period amounts are not adjusted and continue to be reported in accordance with legacy accounting under the old guidance. We did not record any adjustments to beginning retained earnings at October 1, 2018 as a result of adopting the new guidance. The following table presents our revenues disaggregated by source: 13 Weeks Ended 26 Weeks Ended (Thousands of Dollars) March 31 March 25 March 31 March 25 Advertising and marketing services revenues 62,934 71,553 138,897 156,213 Subscription Revenues 45,076 45,972 91,345 94,241 TownNews and other digital services revenues 4,744 3,815 9,421 7,476 Other revenues 9,950 6,465 19,242 13,660 Total operating revenue 122,704 127,805 258,905 271,590 Recognition principles: Revenues are recognized when a performance obligation is satisfied by the transfer of control of the contracted goods or services to our customers, in an amount that reflects the consideration we expect to receive in exchange for those goods or services. Advertising and marketing services revenues: Advertising and marketing services revenues include amounts charged to customers for retail or classified advertising space purchased in our newspapers, retail or classified advertisements placed on our digital platforms, and other print advertising products such as preprint inserts and direct mail. Advertising and marketing services revenues also include amounts charged to customers for digital marketing services which include: Audience extension, Search Engine Optimization ("SEO"), Search Engine Marketing ("SEM"), web and mobile production, social media services and reputation monitoring and management. The following define the timing of revenue recognition for each general revenue category: • Print advertising revenues are recognized at the point in time the associated publication has been delivered. • Digital advertising revenues are recognized at the point in time that impressions are delivered. • Digital marketing services revenues are recognized over the period of time which the service is performed. Advertising and marketing services contract transaction prices consist of fixed consideration. We recognize revenue when control of the related performance obligation transfers to the customer. Payments for advertising revenues are due upon completion of our performance obligations at previously agreed upon rates. In instances where the timing of revenue recognition differs from the timing of invoicing, such timing differences are not large. As a result, we have determined that our contracts do not include a significant financing component. Subscription revenues: Subscription revenues include revenues for content delivered to consumers via print and digital products purchased by readers or distributors. Single copy revenues are also included in subscription revenues. Subscription revenues from single-copy and home delivery subscriptions are recognized at the point in time the publications are delivered. Digital subscription revenues are recognized over time as performance obligations are met via on-demand availability of online content made available to customers throughout the contract term. Payments for subscription revenues are typically collected in advance, are for contract periods of one year or less and result in an unearned revenue liability that is reduced when revenue is recognized. Other revenues: Other revenues are primarily comprised of digital services, Management Agreement revenues, commercial printing and delivery of third party products. Digital services revenues, which are primarily delivered through TownNews, are primarily comprised of contractual agreements to provide webhosting and content management services. As such, digital services revenues are recognized over the contract period. Prices for digital services are agreed upon in advance of the contract beginning and are typically billed in arrears on a monthly basis, with the exception of implementation fees which are recognized as deferred revenue and amortized over the contract period. Management Agreement revenues, consisting of fees collected from our Management Agreement, are recognized based on BH Media's financial progress toward contractual performance goals related to certain financial benchmarks. BH Media provides historical and projected financial reports, which serve as the basis for our revenue recognition. Fixed Management Agreement revenues are recognized over time and paid quarterly and variable fees are paid annually. Variable fees are recognized when the fees are deemed earned and it is probable that a significant reversal in the amount of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is subsequently resolved. Commercial printing and delivery revenues are recognized when the product is delivered to the customer. Arrangements with multiple performance obligations: We have various advertising and subscription agreements which include both print and digital performance obligations. Revenues from sales agreements that contain multiple performance obligations are allocated to each obligation based on the relative standalone selling price. We determine standalone selling prices based on observable prices charged to customers. Contract Assets and Liabilities: The Company’s primary source of unearned revenue is from subscriptions paid in advance of the service provided. The Company expects to recognize the revenue related to unsatisfied performance obligations over the next twelve months in accordance with the terms of the subscriptions and other contracts with customers. The unearned revenue balances described herein are the Company's only contract liability. Unearned revenues were $25,325,000 as of March 31, 2019 and $23,895,000 as of September 30, 2018 . Revenues recognized in the 13 weeks and the 26 weeks ended March 31, 2019 that were included in the contract liability as of September 30, 2018 were $4,784,000 and $20,511,000 , respectively. Contract asset balances relate to our Management Agreement revenues and were $3,461,000 as of March 31, 2019 and $0 as of September 30, 2018 and consisted solely of the variable portion of the contract. These contract asset balances are included in accounts receivable and contract assets, net. There are no other contract assets recorded. Accounts receivable, excluding allowance for doubtful accounts and contract assets, was $45,689,000 and $48,517,000 as of March 31, 2019 and September 30, 2018 , respectively. Allowance for doubtful accounts was $5,473,000 and $4,806,000 as of March 31, 2019 and September 30, 2018 , respectively. Practical expedients and exemptions: Sales commissions are expensed as incurred as the associated contractual periods are one year or less. These costs are recorded within compensation. The vast majority of our contracts have original expected lengths of one year or less and revenue is earned at a rate and amount that corresponds directly with the value to the customer. |
Investments in Associated Com_2
Investments in Associated Companies (Tables) | 6 Months Ended |
Mar. 31, 2019 | |
Equity Method Investee- TNI [Member] | |
Schedule of Equity Method Investments [Line Items] | |
Schedule of Equity Method Investments [Table Text Block] | Summarized results of TNI are as follows: 13 Weeks Ended 26 Weeks Ended (Thousands of Dollars) March 31 March 25 March 31 March 25 Operating revenue 11,480 11,851 23,644 25,081 Operating expenses 8,832 9,354 17,928 19,338 Operating income 2,648 2,497 5,716 5,743 Company's 50% share of operating income 1,323 1,248 2,858 2,872 Less amortization of intangible assets 105 104 209 209 Equity in earnings of TNI 1,218 1,144 2,649 2,663 |
Equity Method Investee- MNI [Member] | |
Schedule of Equity Method Investments [Line Items] | |
Schedule of Equity Method Investments [Table Text Block] | Summarized results of MNI are as follows: 13 Weeks Ended 26 Weeks Ended (Thousands of Dollars) March 31 March 25 March 31 March 25 Operating revenue 13,092 13,838 27,918 29,903 Operating expenses, excluding restructuring costs, depreciation and amortization 11,579 12,016 24,272 24,948 Restructuring costs 38 146 68 210 Depreciation and amortization 280 280 559 558 Operating income 1,195 1,396 3,019 4,187 Net income 996 928 2,394 2,656 Equity in earnings of MNI 499 464 1,197 1,328 |
Goodwill and other Intangible_2
Goodwill and other Intangible Assets (Tables) | 6 Months Ended |
Mar. 31, 2019 | |
Goodwill [Line Items] | |
Schedule of Goodwill [Table Text Block] | Changes in the carrying amount of goodwill are as follows: 26 Weeks Ended (Thousands of Dollars) March 31 Goodwill, gross amount 1,535,155 Accumulated impairment losses (1,288,979 ) Goodwill, beginning of period 246,176 Goodwill acquired in business combinations 3,986 Goodwill, end of period 250,162 |
Schedule of Intangible Assets [Table Text Block] | Identified intangible assets consist of the following: (Thousands of Dollars) March 31 September 30 Nonamortized intangible assets: Mastheads 21,883 21,883 Amortizable intangible assets: Customer and newspaper subscriber lists 696,632 692,886 Less accumulated amortization 603,510 594,950 93,122 97,936 Other intangible assets, net 115,005 119,819 |
Debt (Tables)
Debt (Tables) | 6 Months Ended |
Mar. 31, 2019 | |
New 1st Lien Term Loan [Member] | |
Schedule of Payments [Line Items] | |
Schedule Of Debt Payments [Table Text Block] |
Debt Schedule Of Debt Outstandi
Debt Schedule Of Debt Outstanding (Tables) | 6 Months Ended |
Mar. 31, 2019 | |
Debt Instrument [Line Items] | |
Schedule of Long-term Debt Instruments [Table Text Block] | Debt is summarized as follows: Interest Rates (%) (Thousands of Dollars) March 31 September 30 March 31 Revolving Facility — — 6.1 1 st Lien Term Loan — 6,303 8.5 Notes 385,000 385,000 9.5 2 nd Lien Term Loan 91,455 93,556 12.0 476,455 484,859 Unamortized debt issue costs (15,529 ) (17,055 ) Current maturities of long-term debt 7,318 7,027 Total long-term debt 453,608 460,777 |
Debt Schedule of Debt Provision
Debt Schedule of Debt Provisions (Tables) | 6 Months Ended |
Mar. 31, 2019 | |
New Second Lien Loan [Member] | |
Debt Instrument [Line Items] | |
Debt Instrument Redemption [Table Text Block] | |
Senior Notes [Member] | |
Debt Instrument [Line Items] | |
Debt Instrument Redemption [Table Text Block] | Period Beginning Percentage of Principal Amount March 15, 2019 102.38 March 15, 2020 100.00 |
Pension, Postretirement, and _2
Pension, Postretirement, and Postemployement Obligations (Tables) | 6 Months Ended |
Mar. 31, 2019 | |
Pension Postretirement And Postemployment Defined Benefit Plans [Abstract] | |
Schedule of Defined Benefit Plans Disclosures [Table Text Block] | The net periodic postretirement cost (benefit) components for our postretirement plans are as follows: PENSION PLANS 13 Weeks Ended 26 Weeks Ended (Thousands of Dollars) March 31 March 25 March 31 March 25 Service cost for benefits earned during the period 9 12 18 24 Interest cost on projected benefit obligation 1,641 1,438 3,282 2,876 Expected return on plan assets (2,018 ) (1,983 ) (4,036 ) (3,966 ) Amortization of net loss 284 506 568 1,012 Amortization of prior service benefit (25 ) (34 ) (50 ) (68 ) Pension benefit (109 ) (61 ) (218 ) (122 ) POSTRETIREMENT MEDICAL PLANS 13 Weeks Ended 26 Weeks Ended (Thousands of Dollars) March 31 March 25 March 31 March 25 Interest cost on projected benefit obligation 103 90 206 181 Expected return on plan assets (270 ) (270 ) (540 ) (540 ) Amortization of net gain (244 ) (246 ) (488 ) (492 ) Amortization of prior service benefit (181 ) (196 ) (362 ) (392 ) Curtailment gains — (2,031 ) — (2,031 ) Postretirement medical benefit (592 ) (2,653 ) (1,184 ) (3,274 ) |
Earnings per Common Share (Tabl
Earnings per Common Share (Tables) | 6 Months Ended |
Mar. 31, 2019 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | The following table sets forth the computation of basic and diluted earnings per common share: 13 Weeks Ended 26 Weeks Ended (Thousands of Dollars and Shares, Except Per Share Data) March 31 March 25 March 31 March 25 (Loss) Income attributable to Lee Enterprises, Incorporated: (2,678 ) 2,239 7,683 37,242 Weighted average common shares 57,703 57,070 57,501 56,924 Less weighted average restricted Common Stock (2,095 ) (2,378 ) (2,097 ) (2,416 ) Basic average common shares 55,608 54,692 55,404 54,508 Dilutive stock options and restricted Common Stock — 1,169 1,287 1,309 Diluted average common shares 55,608 55,861 56,691 55,817 Earnings per common share: Basic (0.05 ) 0.04 0.14 0.68 Diluted (0.05 ) 0.04 0.14 0.67 |
Stock Ownership Plans (Tables)
Stock Ownership Plans (Tables) | 6 Months Ended |
Mar. 31, 2019 | |
Restricted Stock [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Disclosure of Share-based Compensation Arrangements by Share-based Payment Award [Table Text Block] | The table below summarizes restricted Common Stock activity during the 26 weeks ended March 31, 2019 : (Thousands of Shares, Except Per Share Data) Shares Weighted Average Grant Date Fair Value Outstanding, September 30, 2018 2,059 2.31 Vested (728 ) 1.53 Granted 788 2.18 Cancelled (24 ) 2.01 Outstanding, March 31, 2019 2,095 2.53 |
Stock Options [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Disclosure of Share-based Compensation Arrangements by Share-based Payment Award [Table Text Block] | A summary of stock option activity during the 26 weeks ended March 31, 2019 follows: (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 30, 2018 1,100 1.88 Exercised (48 ) 2.36 Cancelled (32 ) 2.04 Outstanding, March 31, 2019 1,020 1.86 2.1 1,471 Exercisable, March 31, 2019 1,020 1.86 2.1 1,471 |
Basis of Presentation Schedule
Basis of Presentation Schedule of Less than 100% Subsidiaries (Details) | 6 Months Ended |
Mar. 31, 2019USD ($) | |
Schedule Of Less Than 100% Owned Subsidiaries [Line Items] | |
Business acquisition; headline purchase price | $ 0.825 |
Equity Method Investee- TNI [Member] | |
Schedule Of Less Than 100% Owned Subsidiaries [Line Items] | |
Less Than 100% Owned Subsidiaries, Percentage Owned | 50.00% |
Equity Method Investee- MNI [Member] | |
Schedule Of Less Than 100% Owned Subsidiaries [Line Items] | |
Less Than 100% Owned Subsidiaries, Percentage Owned | 50.00% |
Investments in Associated Com_3
Investments in Associated Companies Summarized Financial Information (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2019 | Mar. 25, 2018 | Mar. 31, 2019 | Mar. 25, 2018 | |
Schedule of Equity Method Investments [Line Items] | ||||
Equity in earnings of associated companies | $ 1,717,000 | $ 1,608,000 | $ 3,846,000 | $ 3,991,000 |
Equity Method Investee- TNI [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Proceeds from Equity Method Investment, Distribution | 1,957,000 | 1,631,000 | 2,506,000 | 3,198,000 |
Equity Method Investment, Summarized Financial Information, Revenue | 11,480,000 | 11,851,000 | 23,644,000 | 25,081,000 |
Equity Method Investment, Summarized Financial Information, Operating Expenses Excluding Depreciation, Amortization And Workforce Adjustments | 8,832,000 | 9,354,000 | 17,928,000 | 19,338,000 |
Equity Method Investment, Summarized Financial Information, Operating Income | 2,648,000 | 2,497,000 | 5,743,000 | |
Equity Method Investment, Summarized Financial Information, Net Income (Loss) | 5,716,000 | |||
Income (Loss) From Equity Method Investments Before Amortization | 1,323,000 | 1,248,000 | 2,858,000 | 2,872,000 |
Amortization Of Intangible Assets- TNI | 105,000 | 104,000 | 209,000 | 209,000 |
Equity in earnings of associated companies | 1,218,000 | 1,144,000 | 2,649,000 | 2,663,000 |
Equity Method Investee- MNI [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Proceeds from Equity Method Investment, Distribution | 750,000 | 1,500,000 | $ 1,250,000 | |
Equity Method Investment, Summarized Financial Information, Revenue | 13,092,000 | 13,838,000 | 27,918,000 | |
Equity Method Investment, Summarized Financial Information, Operating Expenses Excluding Depreciation, Amortization And Workforce Adjustments | 11,579,000 | 12,016,000 | 24,272,000 | |
Equity Method Investment, Summarized Financial Information, Workforce Adjustments | 38,000 | 146,000 | 68,000 | |
Equity Method Investment, Summarized Financial Information, Depreciation And Amortization | 280,000 | 280,000 | 559,000 | |
Equity Method Investment, Summarized Financial Information, Operating Income | 1,195,000 | 1,396,000 | 3,019,000 | |
Equity Method Investment, Summarized Financial Information, Net Income (Loss) | 996,000 | 928,000 | 2,394,000 | |
Equity in earnings of associated companies | $ 499,000 | $ 464,000 | $ 1,197,000 |
Goodwill and other Intangible_3
Goodwill and other Intangible Assets Schedule of Goodwill (Details) | 3 Months Ended |
Mar. 31, 2019USD ($) | |
Goodwill [Line Items] | |
Goodwill, Acquired During Period | $ 3,986,000 |
Goodwill, Gross | 1,535,155,000 |
Goodwill, Impaired, Accumulated Impairment Loss | 1,288,979,000 |
Goodwill | $ 250,162,000 |
Goodwill and other Intangible_4
Goodwill and other Intangible Assets Schedule of Intangible Assets (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2019 | Sep. 30, 2018 | |
Schedule of Intangible Assets [Line Items] | ||
Finite-lived Intangible Assets Acquired | $ 3,650,000 | |
Mastheads | 21,883,000 | $ 21,883,000 |
Other intangible assets, net | 115,005,000 | 119,819,000 |
Finite-Lived Intangible Assets, Amortization Expense, Next Twelve Months | 16,192,000 | |
Finite-Lived Intangible Assets, Amortization Expense, Rolling Year Two | 15,929,000 | |
Finite-Lived Intangible Assets, Amortization Expense, Year Three | 13,289,000 | |
Finite-Lived Intangible Assets, Amortization Expense, Year Four | 12,384,000 | |
Finite-Lived Intangible Assets, Amortization Expense, Year Five | 11,704,000 | |
Customer Lists [Member] | ||
Schedule of Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross | 696,632,000 | 692,886,000 |
Finite-Lived Intangible Assets, Accumulated Amortization | 603,510,000 | 594,950,000 |
Finite-Lived Intangible Assets, Net | $ 93,122,000 | $ 97,936,000 |
Debt Schedule of Long-Term Debt
Debt Schedule of Long-Term Debt Instruments (Details) - USD ($) | 6 Months Ended | |||
Mar. 31, 2019 | Sep. 30, 2018 | Mar. 31, 2014 | Mar. 30, 2014 | |
Debt Instrument [Line Items] | ||||
Class of Warrant or Right, Outstanding | 6,000,000 | |||
Unamortized Debt Issuance Expense | $ (15,529,000) | |||
Amortization of Debt Issuance Costs | 1,525,000 | |||
Warrant liability fair value | $ 4,479,000 | $ 1,726,000 | $ 16,930,000 | |
Debt, Weighted Average Interest Rate | 10.00% | |||
Debt, Long-term and Short-term, Combined Amount | $ 476,455,000 | 484,859,000 | ||
Long-term Debt, Maturities, Repayments of Principal in Year Two | 0 | |||
Long-term Debt, Maturities, Repayments of Principal in Year Three | 0 | |||
Long-term Debt, Maturities, Repayments of Principal in Year Four | 385,000,000 | |||
Long-term Debt, Maturities, Repayments of Principal in Year Five | 84,137,000 | |||
Current maturities of long-term debt | 7,318,000 | 7,027,000 | ||
Long-term Debt | 453,608,000 | 460,777,000 | ||
Liquidity | 38,100,000 | |||
Future Liquidity- Warrant Exercise Proceeds | 25,140,000 | |||
Revolving Line Of Credit [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt, Long-term and Short-term, Combined Amount | $ 0 | 0 | ||
Debt Instrument, Interest Rate, Stated Percentage | 6.00% | |||
Line of Credit Facility, Remaining Borrowing Capacity | $ 21,435,000 | |||
Line of Credit [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Face Amount | 27,000,000 | $ 40,000,000 | ||
Senior Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Face Amount | $ 400,000,000 | |||
Debt Instrument, Interest Rate at Period End | 9.50% | |||
Debt, Long-term and Short-term, Combined Amount | $ 385,000,000 | 385,000,000 | ||
Debt Instrument, Interest Rate, Stated Percentage | 10.00% | |||
New 1st Lien Term Loan [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Face Amount | $ 250,000,000 | |||
Debt, Long-term and Short-term, Combined Amount | $ 0 | 6,303,000 | ||
Debt Instrument, Interest Rate, Stated Percentage | 9.00% | |||
New Second Lien Loan [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Face Amount | $ 150,000,000 | |||
Debt Instrument, Interest Rate at Period End | 12.00% | |||
Debt, Long-term and Short-term, Combined Amount | $ 91,455,000 | $ 93,556,000 | ||
Debt Instrument, Interest Rate, Stated Percentage | 12.00% | |||
Federal Funds Rate [Member] | Revolving Line Of Credit [Member] | ||||
Debt Instrument [Line Items] | ||||
Interest Rate Margin | 4.50% | |||
30 Day LIBOR [Member] | Revolving Line Of Credit [Member] | ||||
Debt Instrument [Line Items] | ||||
Interest Rate Margin | 5.50% | |||
30 Day LIBOR [Member] | Line of Credit [Member] | ||||
Debt Instrument [Line Items] | ||||
Base Interest Rate | 0.50% | |||
March 15, 2019 through March 14, 2020 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Redemption Price, Percentage of Principal Amount Redeemed | 102.40% | |||
After March 31, 2019 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Redemption Price, Percentage of Principal Amount Redeemed | 100.00% |
Debt Schedule of Payments (Deta
Debt Schedule of Payments (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2019 | Mar. 25, 2018 | Sep. 30, 2018 | |
Schedule Of Debt Payments [Line Items] | ||||
Amortization of Debt Issuance Costs | $ 1,525,000 | |||
Debt, Long-term and Short-term, Combined Amount | $ 476,455,000 | 476,455,000 | $ 484,859,000 | |
Repayments of Long-term Debt | 8,404,000 | $ 32,064,000 | ||
Senior Notes [Member] | ||||
Schedule Of Debt Payments [Line Items] | ||||
Debt, Long-term and Short-term, Combined Amount | 385,000,000 | $ 385,000,000 | 385,000,000 | |
New 1st Lien Term Loan [Member] | ||||
Schedule Of Debt Payments [Line Items] | ||||
Schedule Of Debt Payments [Table Text Block] | ||||
Debt, Long-term and Short-term, Combined Amount | 0 | $ 0 | $ 6,303,000 | |
Excess Cash Flow Sweep [Member] | 2nd Lien Agreement [Member] | ||||
Schedule Of Debt Payments [Line Items] | ||||
Pulitzer Excess Cash Flow | $ 1,377,000 | $ 2,101,000 |
Debt Schedule Of Financing Fees
Debt Schedule Of Financing Fees (Details) - USD ($) | 6 Months Ended | ||
Mar. 31, 2019 | Sep. 30, 2018 | Mar. 30, 2014 | |
Schedule Of Financing Fees [Line Items] | |||
Debt Instrument, Unamortized Discount (Premium) and Debt Issuance Costs, Net | $ (15,529,000) | $ (17,055,000) | |
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months | $ 7,318,000 | ||
Class of Warrant or Right, Outstanding | 6,000,000 | ||
Unamortized Debt Issuance Expense | $ 15,529,000 | ||
Amortization Of Present Value Discount- Current Fiscal Year | 1,933,000 | ||
Amortization Of Present Value Discount- Next Fiscal Year | 3,989,000 | ||
Amortization Of Present Value Discount- Year 3 | 4,154,000 | ||
Amortization Of Present Value Discount- Year 4 | 4,332,000 | ||
Amortization Of Present Value Discount- Year 5 | $ 1,121,000 | ||
Investment Warrants, Exercise Price | $ 4.19 | ||
Warrant liability fair value | $ 4,479,000 | $ 1,726,000 | $ 16,930,000 |
Amortization of Debt Issuance Costs | $ 1,525,000 |
Pension, Postretirement, and _3
Pension, Postretirement, and Postemployement Obligations (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2019 | Mar. 25, 2018 | Mar. 31, 2019 | Mar. 25, 2018 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 650 | |||
Pension Plans, Defined Benefit [Member] | ||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||
Defined Benefit Plan, Service Cost | $ 9 | $ 12 | $ 18 | $ 24 |
Defined Benefit Plan, Interest Cost | 1,641 | 1,438 | 3,282 | 2,876 |
Defined Benefit Plan, Expected Return (Loss) on Plan Assets | (2,018) | (1,983) | (4,036) | (3,966) |
Defined Benefit Plan, Amortization of Gain (Loss) | 284 | 506 | 568 | 1,012 |
Defined Benefit Plan, Amortization of Prior Service Cost (Credit) | (25) | (34) | (50) | (68) |
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) | (109) | (61) | (218) | (122) |
Other Postretirement Benefit Plan [Member] | ||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit), Gain (Loss) Due to Settlement and Curtailment | 0 | (2,031) | 0 | (2,031) |
Defined Benefit Plan, Interest Cost | 103 | 90 | 206 | 181 |
Defined Benefit Plan, Expected Return (Loss) on Plan Assets | (270) | (270) | (540) | (540) |
Defined Benefit Plan, Amortization of Gain (Loss) | (244) | (246) | (488) | (492) |
Defined Benefit Plan, Amortization of Prior Service Cost (Credit) | (181) | (196) | (362) | (392) |
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) | $ (592) | $ (2,653) | $ (1,184) | $ (3,274) |
Income Taxes (Details)
Income Taxes (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Mar. 31, 2019 | Mar. 25, 2018 | Mar. 31, 2019 | Mar. 25, 2018 | Sep. 30, 2018 | |
Deferred Income Tax Expense (Benefit) | $ 190,000 | $ (19,557,000) | |||
Income tax expense (benefit) | $ 156,000 | $ 927,000 | 4,670,000 | (18,763,000) | |
Income (Loss) from Continuing Operations before Income Taxes, Domestic | $ (2,171,000) | $ 3,460,000 | $ 13,062,000 | $ 19,097,000 | |
Effective Income Tax Rate Reconciliation, Percent | (7.20%) | 26.80% | 35.80% | (98.30%) | |
Operating Loss Carryforwards | $ 63,048,000 |
Earnings per Common Share (Deta
Earnings per Common Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Mar. 31, 2019 | Dec. 30, 2018 | Mar. 25, 2018 | Dec. 24, 2017 | Mar. 31, 2019 | Mar. 25, 2018 | |
Earnings Per Share Disclosure [Line Items] | ||||||
Income (loss) attributable to Lee Enterprises, Incorporated | $ (2,678) | $ 10,361 | $ 2,239 | $ 35,003 | $ 7,683 | $ 37,242 |
Weighted Average Number of Shares Outstanding, Basic [Abstract] | ||||||
Weighted Average Common Shares | 57,703,000 | 57,070,000 | 57,501,000 | 56,924,000 | ||
Less non-vested restricted Common Stock | (2,095,000) | (2,378,000) | (2,097,000) | (2,416,000) | ||
Basic average common shares | 55,608,000 | 54,692,000 | 55,404,000 | 54,508,000 | ||
Weighted Average Number of Shares Outstanding, Diluted [Abstract] | ||||||
Weighted Average Number Diluted Shares Outstanding Adjustment | 0 | 1,169,000 | 1,287,000 | 1,309,000 | ||
Weighted Average Number of Shares Outstanding, Diluted | 55,608,000 | 55,861,000 | 56,691,000 | 55,817,000 | ||
Earnings Per Share, Basic | $ (0.05) | $ 0.04 | $ 0.14 | $ 0.68 | ||
Diluted | $ (0.05) | $ 0.04 | $ 0.14 | $ 0.67 | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 6,000,000 | 6,500,900 | 6,000,000 | 6,706,603 |
Stock Ownership Plans (Details)
Stock Ownership Plans (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2019 | Mar. 25, 2018 | Mar. 31, 2019 | Mar. 25, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 6,000,000 | 6,500,900 | 6,000,000 | 6,706,603 |
Restricted Stock [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Payment Arrangement, Nonvested Award, Option, Cost Not yet Recognized, Amount | $ 2,602,633 | $ 2,602,633 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 788,000 | |||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $ 2.18 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 2,059,000 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Expirations in Period | (24,000) | |||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Forfeitures in Period, Weighted Average Exercise Price | $ 2.01 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 2,095,000 | 2,095,000 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price | $ 2.31 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price | $ 2.53 | $ 2.53 | ||
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized, Period for Recognition | 1 year 3 months 18 days | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | (728,000) | |||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Other Share Increase (Decrease) in Period, Weighted Average Exercise Price | $ 1.53 | |||
Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term | 2 years 9 months 18 days | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding, Weighted Average Remaining Contractual Term | 2 years 9 months 18 days | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 1,100,000 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Expirations in Period | (32,000) | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 1,020,000 | 1,020,000 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding, Number | 1,020,000 | 1,020,000 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price | $ 1.88 | |||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Expirations in Period, Weighted Average Exercise Price | 2.04 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price | $ 1.86 | 1.86 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding, Weighted Average Exercise Price | $ 1.86 | $ 1.86 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Intrinsic Value | $ 1,471,000 | $ 1,471,000 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Intrinsic Value | $ 1,471,000 | $ 1,471,000 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | (48,000) | |||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Exercises in Period, Weighted Average Exercise Price | $ 2.36 |
Fair Value Measurements Fair Va
Fair Value Measurements Fair Value Measurements (Details) - USD ($) | Mar. 31, 2019 | Sep. 30, 2018 | Mar. 30, 2014 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Debt, Long-term and Short-term, Combined Amount | $ 476,455,000 | $ 484,859,000 | |
Warrant liability fair value | 4,479,000 | 1,726,000 | $ 16,930,000 |
Senior Notes [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Long-term Debt, Fair Value | 392,311,150 | ||
Debt, Long-term and Short-term, Combined Amount | 385,000,000 | 385,000,000 | |
New Second Lien Loan [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Debt, Long-term and Short-term, Combined Amount | 91,455,000 | $ 93,556,000 | |
2nd Lien Agreement [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Long-term Debt, Fair Value | $ 91,455,213 |
Fair Value Measurements Fair _2
Fair Value Measurements Fair Value Measurements Not Practicable (Details) | Mar. 31, 2019USD ($) |
Fair Value Measurements [Abstract] | |
Investment Owned, at Cost | $ 6,068,000 |
Revenue (Details)
Revenue (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Mar. 31, 2019 | Mar. 25, 2018 | Mar. 31, 2019 | Mar. 25, 2018 | Sep. 30, 2018 | |
Disaggregation of Revenue [Line Items] | |||||
Digital Services Revenue | $ 4,744,000 | $ 3,815,000 | $ 9,421,000 | $ 7,476,000 | |
Other Revenues | 9,950,000 | 6,465,000 | 19,242,000 | 13,660,000 | |
Unearned revenue | 25,325,000 | 25,325,000 | $ 23,895,000 | ||
Deferred Revenue, Revenue Recognized | 4,784,000 | 20,511,000 | |||
Revenues | 122,704,000 | $ 127,805,000 | 258,905,000 | $ 271,590,000 | |
Contract with Customer, Asset, Net, Current | 3,461,000 | 3,461,000 | 0 | ||
Accounts Receivable, before Allowance for Credit Loss, Current | 45,689,000 | 45,689,000 | 48,517,000 | ||
Accounts Receivable, Allowance for Credit Loss | $ 5,473,000 | $ 5,473,000 | $ 4,806,000 |