Document And Entity Information
Document And Entity Information - shares | 3 Months Ended | |
Dec. 29, 2019 | Jan. 31, 2020 | |
Document Information [Line Items] | ||
Entity Registrant Name | LEE ENTERPRISES, INC | |
Entity Central Index Key | 0000058361 | |
Trading Symbol | lee | |
Current Fiscal Year End Date | --09-27 | |
Entity Filer Category | Accelerated Filer | |
Entity Current Reporting Status | Yes | |
Entity Emerging Growth Company | false | |
Entity Small Business | false | |
Entity Common Stock, Shares Outstanding (in shares) | 58,136,424 | |
Entity Shell Company | false | |
Document Type | 10-Q | |
Document Period End Date | Dec. 29, 2019 | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false | |
Title of 12(b) Security | Common Stock, par value $.01 per share | |
Entity Interactive Data Current | Yes |
Consolidated Balance Sheets (Cu
Consolidated Balance Sheets (Current Period Unaudited - USD ($) | Dec. 29, 2019 | Sep. 29, 2019 |
Current assets: | ||
Cash and cash equivalents | $ 4,468,000 | $ 8,645,000 |
Accounts receivable and contract assets, net | 50,650,000 | 42,536,000 |
Inventories | 3,373,000 | 3,769,000 |
Prepaids and other | 4,659,000 | 5,353,000 |
Total current assets | 63,150,000 | 60,303,000 |
Investments: | ||
Associated companies | 29,573,000 | 28,742,000 |
Other | 10,847,000 | 10,684,000 |
Total investments | 40,420,000 | 39,426,000 |
Property and equipment: | ||
Land and improvements | 17,028,000 | 16,979,000 |
Buildings and improvements | 148,690,000 | 148,514,000 |
Equipment | 230,561,000 | 237,289,000 |
Construction in process | 3,432,000 | 1,980,000 |
399,711,000 | 404,762,000 | |
Less accumulated depreciation | 318,598,000 | 322,723,000 |
Property and equipment, net | 81,113,000 | 82,039,000 |
Operating lease right-of-use assets | 10,125,000 | |
Goodwill | 250,309,000 | 250,309,000 |
Other intangible assets, net | 104,395,000 | 107,393,000 |
Medical plan assets, net | 14,791,000 | 14,338,000 |
Other | 1,427,000 | 1,394,000 |
Total assets | 565,730,000 | 555,202,000 |
Current liabilities: | ||
Current portion of lease liabilities | 2,341,000 | |
Current maturities of long-term debt | 1,892,000 | 2,954,000 |
Accounts payable | 14,132,000 | 16,750,000 |
Compensation and other accrued liabilities | 15,422,000 | 17,711,000 |
Accrued interest | 10,395,000 | 1,903,000 |
Unearned revenue | 22,966,000 | 21,720,000 |
Total current liabilities | 67,148,000 | 61,038,000 |
Long-term debt, net of current maturities | 421,248,000 | 429,391,000 |
Operating lease liabilities | 7,787,000 | |
Pension obligations | 46,311,000 | 47,037,000 |
Postretirement and postemployment benefit obligations | 2,569,000 | 2,550,000 |
Deferred income taxes | 21,614,000 | 29,806,000 |
Income taxes payable | 17,299,000 | 8,742,000 |
Warrants and other | 12,724,000 | 13,469,000 |
Total liabilities | 596,700,000 | 592,033,000 |
Stockholders' equity (deficit): | ||
Serial convertible preferred stock, no par value; authorized 500 shares; none issued | ||
Additional paid-in capital | 255,642,000 | 255,476,000 |
Accumulated deficit | (260,103,000) | (265,423,000) |
Accumulated other comprehensive loss | (28,797,000) | (29,114,000) |
Total stockholders' deficit | (32,677,000) | (38,484,000) |
Non-controlling interests | 1,707,000 | 1,653,000 |
Total deficit | (30,970,000) | (36,831,000) |
Total liabilities and deficit | 565,730,000 | 555,202,000 |
Common Class A [Member] | ||
Stockholders' equity (deficit): | ||
Common Stock | 581,000 | 577,000 |
Common Class B [Member] | ||
Stockholders' equity (deficit): | ||
Common Stock |
Consolidated Balance Sheets (_2
Consolidated Balance Sheets (Current Period Unaudited (Parentheticals) - $ / shares shares in Thousands | Dec. 29, 2019 | Sep. 29, 2019 |
Preferred stock, par value (in dollars per share) | $ 0 | $ 0 |
Preferred stock, shares authoritzed (in shares) | 500 | 500 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Common Class A [Member] | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 120,000 | 120,000 |
Common stock, shares issued (in shares) | 58,136 | 57,646 |
Common stock, shares outstanding (in shares) | 58,136 | 57,646 |
Common Class B [Member] | ||
Common stock, par value (in dollars per share) | $ 2 | $ 2 |
Common stock, shares authorized (in shares) | 30,000 | 30,000 |
Common stock, shares issued (in shares) | 0 | 0 |
Consolidated Statements of Inco
Consolidated Statements of Income and Comprehensive Income (Unaudited) - USD ($) | 3 Months Ended | |
Dec. 29, 2019 | Dec. 30, 2018 | |
Operating revenue: | ||
Operating revenue | $ 122,343,000 | $ 136,201,000 |
Operating expenses: | ||
Compensation | 43,243,000 | 47,038,000 |
Newsprint and ink | 4,736,000 | 6,339,000 |
Other operating expenses | 48,462,000 | 49,743,000 |
Depreciation and amortization | 6,719,000 | 7,529,000 |
Assets loss (gain) on sales, impairments and other, net | 814,000 | (100,000) |
Restructuring costs and other | 1,632,000 | 62,000 |
Total operating expenses | 105,606,000 | 110,611,000 |
Equity in earnings of associated companies | 1,569,000 | 2,129,000 |
Operating income | 18,306,000 | 27,719,000 |
Non-operating income (expense): | ||
Interest expense | (11,115,000) | (12,256,000) |
Debt financing and administrative costs | (1,196,000) | (896,000) |
Other, net | 1,593,000 | 665,000 |
Total non-operating expense, net | (10,718,000) | (12,487,000) |
Income before income taxes | 7,588,000 | 15,232,000 |
Income tax expense | 1,871,000 | 4,513,000 |
Net income | 5,717,000 | 10,719,000 |
Net income attributable to non-controlling interests | (397,000) | (358,000) |
Income attributable to Lee Enterprises, Incorporated | 5,320,000 | 10,361,000 |
Other comprehensive income (loss), net of income taxes | 317,000 | (122,000) |
Comprehensive income attributable to Lee Enterprises, Incorporated | $ 5,637,000 | $ 10,239,000 |
Earnings per common share: | ||
Basic: (in dollars per share) | $ 0.09 | $ 0.19 |
Diluted: (in dollars per share) | $ 0.09 | $ 0.18 |
Advertising and Marketing Services [Member] | ||
Operating revenue: | ||
Operating revenue | $ 65,727,000 | $ 75,962,000 |
Subscription and Circulation [Member] | ||
Operating revenue: | ||
Operating revenue | 41,694,000 | 46,268,000 |
Product and Service, Other [Member] | ||
Operating revenue: | ||
Operating revenue | $ 14,922,000 | $ 13,971,000 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity (Deficit) (Unaudited) - USD ($) $ in Thousands | Retained Earnings [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | AOCI Attributable to Parent [Member] | Total |
Balance at Sep. 30, 2018 | $ (279,691) | $ 572 | $ 253,511 | $ (11,746) | $ (37,354) |
Shares issued (redeemed) | 5 | (453) | (448) | ||
Income attributable to Lee Enterprises, Incorporated | 10,361 | 10,361 | |||
Stock compensation | 385 | 385 | |||
Other comprehensive loss | (163) | (163) | |||
Deferred income taxes, net | 41 | 41 | |||
Balance at Dec. 30, 2018 | (269,330) | 577 | 253,443 | (11,868) | (27,178) |
Balance at Sep. 29, 2019 | (265,423) | 577 | 255,476 | (29,114) | (38,484) |
Shares issued (redeemed) | 4 | (379) | (375) | ||
Income attributable to Lee Enterprises, Incorporated | 5,320 | 5,320 | |||
Stock compensation | 545 | 545 | |||
Other comprehensive loss | 452 | 452 | |||
Deferred income taxes, net | (135) | (135) | |||
Balance at Dec. 29, 2019 | $ (260,103) | $ 581 | $ 255,642 | $ (28,797) | $ (32,677) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Dec. 29, 2019 | Dec. 30, 2018 | |
Cash provided by (required for) operating activities: | ||
Net income | $ 5,717 | $ 10,719 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 6,719 | 7,529 |
Stock compensation expense | 302 | 464 |
Distributions greater (less) than earnings of MNI | (658) | 51 |
Deferred income taxes | (8,328) | 204 |
Debt financing and administrative costs | 1,196 | 896 |
Pension contributions | (650) | |
Other, net | 713 | (468) |
Changes in operating assets and liabilities: | ||
Increase in receivables and contract assets | (8,137) | (7,479) |
Decrease in inventories and other | 280 | 318 |
Increase in accounts payable and other accrued liabilities | 4,016 | 4,088 |
Decrease in pension and other postretirement and postemployment benefit obligations | (709) | (741) |
Change in income taxes payable | 10,189 | 4,287 |
Other, including warrants | (939) | 189 |
Net cash provided by operating activities | 10,361 | 19,407 |
Cash required for investing activities: | ||
Purchases of property and equipment | (2,458) | (1,002) |
Proceeds from sales of assets | 12 | 585 |
Acquisitions | (1,121) | |
Distributions less than earnings of TNI | (173) | (881) |
Other, net | (97) | |
Net cash required for investing activities | (3,740) | (1,395) |
Cash required for financing activities: | ||
Payments on long-term debt | 10,233 | 7,027 |
Debt financing and administrative costs paid | (193) | (8) |
Common stock transactions, net | (372) | (448) |
Net cash required for financing activities | (10,798) | (7,483) |
Net increase (decrease) in cash and cash equivalents | (4,177) | 10,529 |
Cash and cash equivalents: | ||
Beginning of period | 8,645 | 5,380 |
End of period | $ 4,468 | $ 15,909 |
Note 1 - Basis of Presentation
Note 1 - Basis of Presentation and Summary of Significant Accounting Policies | 3 Months Ended |
Dec. 29, 2019 | |
Notes to Financial Statements | |
Basis of Presentation and Significant Accounting Policies [Text Block] | 1 BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The accompanying unaudited, interim, Consolidated Financial Statements included herein have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission for quarterly reports. In the opinion of management, these financial statements contain all adjustments (consisting of only normal recurring items) necessary to present fairly the financial position of Lee Enterprises, Incorporated and subsidiaries (the “Company”) as of December 29, 2019 2019 10 Because of seasonal and other factors, the results of operations for the 13 December 29, 2019 not References to “we”, “our”, “us” and the like throughout the Consolidated Financial Statements refer to the Company. References to “2020”, “2019” September. The Consolidated Financial Statements include our accounts and those of our subsidiaries, all of which are wholly-owned, except for our 82.5% 50% 50% 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. Subsequent Events Purchase Agreement with Berkshire Hathaway On January 29, 2020, $130,000,000, $10,000,000 The Company expects that the $140,000,000 Since July 2, 2018, June 26, 2018 ( 30 49 32 Consummation of the Transactions is subject to certain closing conditions, including the closing of the refinancing of the Company’s existing credit facilities under the Credit Agreement, as described below (“Debt Financing”), the execution and delivery of specified ancillary agreements, including a 10 March 16, 2020, no may not April 30, 2020. Management Agreement with BH Media Group In connection with the Transactions, the Management Agreement will terminate at the closing of the Transactions. Amounts due under the Management Agreement will be credited to the purchase price of the Transactions. We expect the credits to total approximately $5,425,000, $4,180,000 Debt Financing In connection with the Purchase Agreement, the Company entered into a Credit Agreement dated as of January 29, 2020, 25 $576,000,000, 9.00%, June 28, 2020, may second The Credit Agreement also contains certain customary representations and warranties, certain affirmative and negative covenants and certain conditions, including restrictions on incurring additional indebtedness, creating certain liens, making certain investments or acquisitions, issuing dividends, repurchasing shares of stock of the Company and certain other capital transactions. Certain existing and future direct and indirect material domestic subsidiaries of the Company are guarantors of the Company’s obligations under the Credit Agreement. Lease Agreement In connection with the Purchase Agreement, the Company will enter into a 10 $8,000,000, 8.00% Use of Estimates The preparation of the Consolidated Financial Statements in conformity with U.S. generally accepted accounting principles ("GAAP") requires us to make estimates and judgments that affect the reported amounts of assets, liabilities, revenue and expenses, and related disclosure of contingent assets and liabilities. We evaluate these estimates and judgments on an ongoing basis. We base our estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not may Recently Issued Accounting Standards - Standards Adopted in 2020 In February 2016, 842 842" September 30, 2019, first 2020. We elected the package of practical expedients which permits the Company to not not twelve 842. not 6. Recently Issued Accounting Standards - Standards Not In June 2016, September 30, 2020 |
Note 2 - Revenue
Note 2 - Revenue | 3 Months Ended |
Dec. 29, 2019 | |
Notes to Financial Statements | |
Revenue from Contract with Customer [Text Block] | 2 REVENUE The following table presents our revenue disaggregated by source: 13 Weeks Ended December 29, December 30, (Thousands of Dollars) 2019 2018 Advertising and marketing services revenue 65,727 75,962 Subscription Revenue 41,694 46,268 TownNews and other digital services revenue 5,218 4,677 Other revenue 9,704 9,294 Total operating revenue 122,343 136,201 Recognition principles: Arrangements with multiple performance obligations: Contract Assets and Liabilities: twelve 22,966,000 December 29, 2019 21,720,000 September 29, 2019. 13 December 29, 2019 September 29, 2019 $13,399,000. Contract asset balances relate to our Management Agreement revenue and were $ 3,589,000 as of December 29, 2019 and $ 1,107,000 as of September 29, 2019 no 53,481,000 47,863,000 December 29, 2019 September 29, 2019, 6,420,000 6,434,000 December 29, 2019 September 29, 2019, Practical expedients: one one |
Note 3 - Investments in Associa
Note 3 - Investments in Associated Companies | 3 Months Ended |
Dec. 29, 2019 | |
Notes to Financial Statements | |
Equity Method Investments and Joint Ventures Disclosure [Text Block] | 3 INVESTMENTS IN ASSOCIATED COMPANIES TNI Partners In Tucson, Arizona, TNI, acting as agent for our subsidiary, Star Publishing Company (“Star Publishing”), and Citizen Publishing Company (“Citizen”), a subsidiary of Gannett Co. Inc., is responsible for printing, delivery, advertising, and subscription activities of the Arizona Daily Star Income or loss of TNI (before income taxes) is allocated equally to Star Publishing and Citizen. Summarized results of TNI are as follows: 13 Weeks Ended December 29, December 30, (Thousands of Dollars) 2019 2018 Operating revenue 10,195 12,164 Operating expenses 8,165 9,095 Operating income 2,030 3,069 Company's 50% share of operating income 1,015 1,535 Less amortization of intangible assets 104 105 Equity in earnings of TNI 911 1,430 TNI makes weekly distributions of its earnings and for the 13 December 29, 2019 December 30, 2018 738,000 549,000 Madison Newspapers, Inc. We have a 50% Summarized results of MNI are as follows: 13 Weeks Ended December 29, December 30, (Thousands of Dollars) 2019 2018 Operating revenue 13,925 14,826 Operating expenses, excluding restructuring costs, depreciation and amortization 12,120 12,663 Restructuring costs — 30 Depreciation and amortization 145 280 Operating income 1,660 1,853 Net income 1,316 1,398 Equity in earnings of MNI 658 699 MNI makes quarterly distributions of its earnings and in the 13 December 29, 2019 December 30, 2018 0 750,000 |
Note 4 - Goodwill and Other Int
Note 4 - Goodwill and Other Intangible Assets | 3 Months Ended |
Dec. 29, 2019 | |
Notes to Financial Statements | |
Goodwill and Intangible Assets Disclosure [Text Block] | 4 GOODWILL AND OTHER INTANGIBLE ASSETS Changes in the carrying amount of goodwill are as follows: 13 Weeks Ended December 29, (Thousands of Dollars) 2019 Goodwill, gross amount 1,539,038 Accumulated impairment losses (1,288,729 ) Goodwill, end of period 250,309 Identified intangible assets consist of the following: December 29, September 29, (Thousands of Dollars) 2019 2019 Nonamortized intangible assets: Mastheads 21,883 21,883 Amortizable intangible assets: Customer and newspaper subscriber lists 698,267 697,145 Less accumulated amortization 615,906 611,786 82,361 85,359 Non-compete and consulting agreements 28,675 28,675 Less accumulated amortization 28,524 28,524 151 151 Other intangible assets, net 104,395 107,393 Annual amortization of intangible assets for the years ending December 2021 December 2025 16,128,000 14,225,000 12,683,000 12,033,000 9,599,000 |
Note 5 - Debt
Note 5 - Debt | 3 Months Ended |
Dec. 29, 2019 | |
Notes to Financial Statements | |
Debt Disclosure [Text Block] | 5 DEBT On March 31, 2014, "2014 • $400,000,000 9.5% March 31, 2014 • $250,000,000 first "1 st $40,000,000 March 31, 2014 “1 st • $150,000,000 second March 31, 2014 “2 nd In November 2018, 1 st In November 2019, 1 st $23,120,000 December 28, 2020. Debt is summarized as follows: Interest Rates (%) December 29, September 29, December 29, (Thousands of Dollars) 2019 2019 2019 Revolving Facility — — 6.1 Notes 356,141 363,420 9.5 2nd Lien Term Loan 77,253 80,207 12.0 433,394 443,627 Unamortized debt issue costs (10,254 ) (11,282 ) Less current maturities of long-term debt 1,892 2,954 Total long-term debt 421,248 429,391 Our weighted average cost of debt, excluding amortization of debt financing costs at December 29, 2019 9.9 At December 29, 2019 l $ 1,892,000 f 2020, 0 2021, 356,141,000 2022 $ 75,361,000 2023. On January 29, 2020, $140,000,000 $576,000,000 9% $433,394,000 March 16, 2020. 1. Notes The Notes are senior secured obligations of the Company and mature on March 15, 2022. December 29, 2019 356,141,000 Interest The Notes require payment of interest semiannually on March 15 September 15 9.5%. Redemption We may 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% We may 13 weeks ended December 29, 2019 we purchased $ 7,279,000 principal amount of Notes in privately negotiated transactions. The transactions resulted in a gain on extinguishment of debt totaling $ 25,000 in the 13 weeks ended December 29, 2019 which is recorded in Other, net in the Consolidated Statements of Income and Comprehensive Income. Covenants and Other Matters The Indenture and the 1 st no 1 st Lien Credit Facility The 1 st 1 st $23,120,000 December 28, 2020 may September 29, 2019, $17,644,000 Interest Interest on the Revolving Facility, which is undrawn at December 29, 2019 5.5%, 4.5% 0.5%, one 1.0%. Covenants and Other Matters The 1 st The 1 st no 3.25x d is 4.37 x December 29, 2019 1 st 1 st may 1 st 2 nd 2 nd Lien Term Loan The 2 nd 77,253,000 December 29, 2019 12.0%, December 2022. Principal Payments Excluding excess cash flow payments, there are no 2 nd 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 Pulitzer Excess Cash Flow is used to prepay the 2nd 45 Payments will also be made on the 2 nd not During the 13 December 29, 2019 2 nd 2,954,000 13 December 29, 2019 $ 1,892,000 , 2 nd February 2020, Voluntary payments under the 2 nd no 2 nd Covenants and Other Matters The 2 nd 1 st 2 nd may 2 nd 1 st In connection with the 2 nd March 31, 2014 ( 2 nd March 31, 2014 6,000,000 10.4% March 30, 2014 4.19 The Warrant Agreement contains provisions requiring the Warrants to be measured at fair value and included in warrants and other liabilities in our Consolidated Balance Sheets. We re-measure the fair value of the liability each reporting period, with changes reported in other, net non-operating income (expense). The initial fair value of the Warrants was $ 16,930,000 11. In connection with the issuance of the Warrants, we entered into a Registration Rights Agreement dated as of March 31, 2014 Security The Notes and the 1 st first first March 31, 2014 ( "1 st The Notes, the 1 st first Also, the Notes and the 1 st first 1 st March 31, 2014. The Notes, the 1 st second June 2015 1 st second Also, the Notes and the 1 st second The 2 nd first March 31, 2014 “2 nd 2 nd Under the 2 nd first first 2 nd Also, under the 2 nd second second 2 nd 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 $37,819,000 1,028,000 13 December 29, 2019 3,070,000 2020, 4,254,000 2021, 2,690,000 2022 240,000 2023. December 29, 2019 10,254,000 Liquidity At December 29, 2019 17,644,000 December 29, 2019 $ 22,112,000 twelve 25,140,000 may 1 st Pursuant to the terms of the financing agreement with Berkshire, our new debt will not There are numerous potential consequences under the Notes, 1 st 2 nd not one 1 st 2 nd 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 2 nd December 29, 2019 |
Note 6 - Leases
Note 6 - Leases | 3 Months Ended |
Dec. 29, 2019 | |
Notes to Financial Statements | |
Lessee, Operating Leases [Text Block] | 6 LEASES Effective September 30, 2019, first 2020, 2016 02, 842 not Total lease expense consists of the following: 13 Weeks Ended (Thousands of Dollars) December 29, 2019 Operating lease costs 969 Variable lease costs 280 Short-term lease costs 53 Total Operating Lease Expense 1,302 Supplemental cash flow information related to our operating leases was as follows: (Thousands of Dollars) December 29, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash outflow from operating leases 891 As a result of the adoption of Topic 842, September 30, 2019, $10,709,000, $2,281,000, $8,353,000 As of December 30, 2019, 13 Weeks Ended (Thousands of Dollars) December 29, 2019 2020 (nine months remaining) 2,902 2021 3,183 2022 2,149 2023 1,809 2024 1,480 Thereafter 5,019 Total lease payments 16,542 Less: interest (6,414 ) Present value of lease liabilities 10,128 As of the year ended September 29, 2019, five September 2024 $3,403,000, $2,290,000, $2,238,000, $1,637,000, $1,367,000 $4,991,000, Our lease contracts are discounted using the incremental borrowing rate for the Company. We will assess this rate annually to determine whether it needs to be updated. The weighted average revolving lease terms and discount rates for all of our operating leases were as follows. 13 Weeks Ended December 29, 2019 Weighted average remaining lease term (years) 7.19 Weighted Average discount rate 10.22 % As of year ended September 29, 2019, five September 2024 $3,403,000, $2,290,000, $2,238,000, $1,637,000 $4,991,000, |
Note 7 - Pension, Postretiremen
Note 7 - Pension, Postretirement and Postemployment Defined Benefit Plans | 3 Months Ended |
Dec. 29, 2019 | |
Pension Plan [Member] | |
Notes to Financial Statements | |
Pension and Other Postretirement Benefits Disclosure [Text Block] | 7 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, 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 December 29, December 30, (Thousands of Dollars) 2019 2018 Service cost for benefits earned during the period 8 9 Interest cost on projected benefit obligation 1,231 1,641 Expected return on plan assets (1,951 ) (2,018 ) Amortization of net loss 792 284 Amortization of prior service benefit (2 ) (25 ) Pension benefit 78 (109 ) POSTRETIREMENT MEDICAL PLANS 13 Weeks Ended December 29, December 30, (Thousands of Dollars) 2019 2018 Interest cost on projected benefit obligation 67 103 Expected return on plan assets (265 ) (270 ) Amortization of net gain (186 ) (244 ) Amortization of prior service benefit (161 ) (181 ) Postretirement medical benefit (545 ) (592 ) In the 13 December 29, 2019 not December 29, 2019 6,718,000 2020. |
Note 8 - Income Taxes
Note 8 - Income Taxes | 3 Months Ended |
Dec. 29, 2019 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | 8 INCOME TAXES We recorded income tax expense of $ 1,871,000 7,588,000 13 December 29, 2019 13 December 30, 2018 4,513,000 15,232,000 The effective income tax rate for the 13 December 29, 2019 24.6% 13 December 30, 2018 29.6% The primary differences between these rates and the U.S. federal statutory rate of 21% We file a consolidated federal tax return, as well as combined and separate tax returns in approximately 27 not 2014. 12 At September 29, 2019, $63,338,000 September 30, 2018. |
Note 9 - Earnings Per Common Sh
Note 9 - Earnings Per Common Share | 3 Months Ended |
Dec. 29, 2019 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | 9 EARNINGS PER COMMON SHARE The following table sets forth the computation of basic and diluted earnings per common share: 13 Weeks Ended December 29, December 30, (Thousands of Dollars and Shares, Except Per Share Data) 2019 2018 Income attributable to Lee Enterprises, Incorporated: 5,320 10,361 Weighted average common shares 57,729 57,303 Less weighted average restricted Common Stock (1,459 ) (2,099 ) Basic average common shares 56,270 55,204 Dilutive stock options and restricted Common Stock 783 1,497 Diluted average common shares 57,053 56,701 Earnings per common share: Basic 0.09 0.19 Diluted 0.09 0.18 For the 13 December 29, 2019 December 30, 2018 6,384,000 6,448,000 not |
Note 10 - Stock Ownership Plans
Note 10 - Stock Ownership Plans | 3 Months Ended |
Dec. 29, 2019 | |
Notes to Financial Statements | |
Share-based Payment Arrangement [Text Block] | 10 STOCK OWNERSHIP PLANS A summary of stock option activity during the 13 December 29, 2019 (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 29, 2019 809 1.82 Exercised — — Cancelled — — Outstanding, December 29, 2019 809 1.82 1.6 120 Exercisable, December 29, 2019 809 1.82 1.6 120 Restricted Common Stock The table below summarizes restricted Common Stock activity during the 13 December 29, 2019 (Thousands of Shares, Except Per Share Data) Shares Weighted Average Grant Date Fair Value Outstanding, September 29, 2019 1,477 2.49 Vested (600 ) 1.94 Granted 720 1.62 Cancelled (24 ) 2.49 Outstanding, December 29, 2019 1,573 1.56 Total unrecognized compensation expense for unvested restricted Common Stock at December 29, 2019 2,016,000 2.0 |
Note 11 - Fair Value Measuremen
Note 11 - Fair Value Measurements | 3 Months Ended |
Dec. 29, 2019 | |
Notes to Financial Statements | |
Fair Value Disclosures [Text Block] | 11 FAIR VALUE MEASUREMENTS We utilize FASB ASC Topic 820, Fair Value Measurements and Disclosures 820 820 three Level 1 Level 2 not Level 3 one The following methods and assumptions are used to estimate the fair value of each class of financial instruments for which it is practicable to estimate value. The carrying amounts of cash equivalents, accounts receivable and accounts payable approximate fair value because of the short maturity of those instruments. Investments totaling $ 6,068,000 17% December 29, 2019 10,268,000 3 Our fixed rate debt consists of $ 356,141,000 77,253,000 2 nd December 29, 2019 344,789,000 76,481,000 2 nd 2 As discussed more fully in Note 5, $16,930,000. December 29, 2019 September 29, 2019 $ 178,000 $ 1,195,000 2 |
Note 12 - Commitments and Conti
Note 12 - Commitments and Contingent Liabilities | 3 Months Ended |
Dec. 29, 2019 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | 12 COMMITMENTS AND CONTINGENT LIABILITIES Income Taxes Commitments exclude unrecognized tax benefits to be recorded in accordance with FASB ASC Topic 740, Income Taxes 8. We file income tax returns with the Internal Revenue Service ("IRS") and various state tax jurisdictions. From time to time, we are subject to routine audits by those agencies and those audits may may not We have various income tax examinations ongoing and at various stages of completion, but generally our income tax returns have been audited or closed to audit through 2014. 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 Multiemployer Pension Plans We effectuated a total withdrawal from CWA/ITU plan in 2019. not 2019, $3,255,000 20 |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 3 Months Ended |
Dec. 29, 2019 | |
Accounting Policies [Abstract] | |
Basis of Accounting, Policy [Policy Text Block] | Basis of Presentation The accompanying unaudited, interim, Consolidated Financial Statements included herein have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission for quarterly reports. In the opinion of management, these financial statements contain all adjustments (consisting of only normal recurring items) necessary to present fairly the financial position of Lee Enterprises, Incorporated and subsidiaries (the “Company”) as of December 29, 2019 2019 10 Because of seasonal and other factors, the results of operations for the 13 December 29, 2019 not References to “we”, “our”, “us” and the like throughout the Consolidated Financial Statements refer to the Company. References to “2020”, “2019” September. The Consolidated Financial Statements include our accounts and those of our subsidiaries, all of which are wholly-owned, except for our 82.5% 50% 50% 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. |
Use of Estimates, Policy [Policy Text Block] | Use of Estimates The preparation of the Consolidated Financial Statements in conformity with U.S. generally accepted accounting principles ("GAAP") requires us to make estimates and judgments that affect the reported amounts of assets, liabilities, revenue and expenses, and related disclosure of contingent assets and liabilities. We evaluate these estimates and judgments on an ongoing basis. We base our estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not may |
New Accounting Pronouncements, Policy [Policy Text Block] | Recently Issued Accounting Standards - Standards Adopted in 2020 In February 2016, 842 842" September 30, 2019, first 2020. We elected the package of practical expedients which permits the Company to not not twelve 842. not 6. Recently Issued Accounting Standards - Standards Not In June 2016, September 30, 2020 |
Note 2 - Revenue (Tables)
Note 2 - Revenue (Tables) | 3 Months Ended |
Dec. 29, 2019 | |
Notes Tables | |
Disaggregation of Revenue [Table Text Block] | 13 Weeks Ended December 29, December 30, (Thousands of Dollars) 2019 2018 Advertising and marketing services revenue 65,727 75,962 Subscription Revenue 41,694 46,268 TownNews and other digital services revenue 5,218 4,677 Other revenue 9,704 9,294 Total operating revenue 122,343 136,201 |
Note 3 - Investments in Assoc_2
Note 3 - Investments in Associated Companies (Tables) | 3 Months Ended |
Dec. 29, 2019 | |
Notes Tables | |
Equity Method Investments [Table Text Block] | 13 Weeks Ended December 29, December 30, (Thousands of Dollars) 2019 2018 Operating revenue 10,195 12,164 Operating expenses 8,165 9,095 Operating income 2,030 3,069 Company's 50% share of operating income 1,015 1,535 Less amortization of intangible assets 104 105 Equity in earnings of TNI 911 1,430 13 Weeks Ended December 29, December 30, (Thousands of Dollars) 2019 2018 Operating revenue 13,925 14,826 Operating expenses, excluding restructuring costs, depreciation and amortization 12,120 12,663 Restructuring costs — 30 Depreciation and amortization 145 280 Operating income 1,660 1,853 Net income 1,316 1,398 Equity in earnings of MNI 658 699 |
Note 4 - Goodwill and Other I_2
Note 4 - Goodwill and Other Intangible Assets (Tables) | 3 Months Ended |
Dec. 29, 2019 | |
Notes Tables | |
Schedule of Goodwill [Table Text Block] | 13 Weeks Ended December 29, (Thousands of Dollars) 2019 Goodwill, gross amount 1,539,038 Accumulated impairment losses (1,288,729 ) Goodwill, end of period 250,309 |
Schedule of Intangible Assets [Table Text Block] | December 29, September 29, (Thousands of Dollars) 2019 2019 Nonamortized intangible assets: Mastheads 21,883 21,883 Amortizable intangible assets: Customer and newspaper subscriber lists 698,267 697,145 Less accumulated amortization 615,906 611,786 82,361 85,359 Non-compete and consulting agreements 28,675 28,675 Less accumulated amortization 28,524 28,524 151 151 Other intangible assets, net 104,395 107,393 |
Note 5 - Debt (Tables)
Note 5 - Debt (Tables) | 3 Months Ended |
Dec. 29, 2019 | |
Notes Tables | |
Schedule of Long-term Debt Instruments [Table Text Block] | Interest Rates (%) December 29, September 29, December 29, (Thousands of Dollars) 2019 2019 2019 Revolving Facility — — 6.1 Notes 356,141 363,420 9.5 2nd Lien Term Loan 77,253 80,207 12.0 433,394 443,627 Unamortized debt issue costs (10,254 ) (11,282 ) Less current maturities of long-term debt 1,892 2,954 Total long-term debt 421,248 429,391 |
Debt Instrument Redemption [Table Text Block] | Period Beginning Percentage of Principal Amount March 15, 2019 102.38 March 15, 2020 100.00 |
Note 6 - Leases (Tables)
Note 6 - Leases (Tables) | 3 Months Ended |
Dec. 29, 2019 | |
Notes Tables | |
Lease, Cost [Table Text Block] | 13 Weeks Ended (Thousands of Dollars) December 29, 2019 Operating lease costs 969 Variable lease costs 280 Short-term lease costs 53 Total Operating Lease Expense 1,302 (Thousands of Dollars) December 29, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash outflow from operating leases 891 13 Weeks Ended December 29, 2019 Weighted average remaining lease term (years) 7.19 Weighted Average discount rate 10.22 % |
Lessee, Operating Lease, Liability, Maturity [Table Text Block] | 13 Weeks Ended (Thousands of Dollars) December 29, 2019 2020 (nine months remaining) 2,902 2021 3,183 2022 2,149 2023 1,809 2024 1,480 Thereafter 5,019 Total lease payments 16,542 Less: interest (6,414 ) Present value of lease liabilities 10,128 |
Note 7 - Pension, Postretirem_2
Note 7 - Pension, Postretirement and Postemployment Defined Benefit Plans (Tables) | 3 Months Ended |
Dec. 29, 2019 | |
Pension Plan [Member] | |
Notes Tables | |
Schedule of Defined Benefit Plans Disclosures [Table Text Block] | PENSION PLANS 13 Weeks Ended December 29, December 30, (Thousands of Dollars) 2019 2018 Service cost for benefits earned during the period 8 9 Interest cost on projected benefit obligation 1,231 1,641 Expected return on plan assets (1,951 ) (2,018 ) Amortization of net loss 792 284 Amortization of prior service benefit (2 ) (25 ) Pension benefit 78 (109 ) POSTRETIREMENT MEDICAL PLANS 13 Weeks Ended December 29, December 30, (Thousands of Dollars) 2019 2018 Interest cost on projected benefit obligation 67 103 Expected return on plan assets (265 ) (270 ) Amortization of net gain (186 ) (244 ) Amortization of prior service benefit (161 ) (181 ) Postretirement medical benefit (545 ) (592 ) |
Note 9 - Earnings Per Common _2
Note 9 - Earnings Per Common Share (Tables) | 3 Months Ended |
Dec. 29, 2019 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | 13 Weeks Ended December 29, December 30, (Thousands of Dollars and Shares, Except Per Share Data) 2019 2018 Income attributable to Lee Enterprises, Incorporated: 5,320 10,361 Weighted average common shares 57,729 57,303 Less weighted average restricted Common Stock (1,459 ) (2,099 ) Basic average common shares 56,270 55,204 Dilutive stock options and restricted Common Stock 783 1,497 Diluted average common shares 57,053 56,701 Earnings per common share: Basic 0.09 0.19 Diluted 0.09 0.18 |
Note 10 - Stock Ownership Pla_2
Note 10 - Stock Ownership Plans (Tables) | 3 Months Ended |
Dec. 29, 2019 | |
Notes Tables | |
Share-based Payment Arrangement, Option, Activity [Table Text Block] | (Thousands of Dollars and Shares, Except Per Share Data) Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (Years) Aggregate Intrinsic Value Outstanding, September 29, 2019 809 1.82 Exercised — — Cancelled — — Outstanding, December 29, 2019 809 1.82 1.6 120 Exercisable, December 29, 2019 809 1.82 1.6 120 |
Share-based Payment Arrangement, Restricted Stock Unit, Activity [Table Text Block] | (Thousands of Shares, Except Per Share Data) Shares Weighted Average Grant Date Fair Value Outstanding, September 29, 2019 1,477 2.49 Vested (600 ) 1.94 Granted 720 1.62 Cancelled (24 ) 2.49 Outstanding, December 29, 2019 1,573 1.56 |
Note 1 - Basis of Presentatio_2
Note 1 - Basis of Presentation and Summary of Significant Accounting Policies (Details Textual) - USD ($) | Jan. 29, 2020 | Dec. 29, 2019 | Dec. 30, 2018 |
Payments to Acquire Businesses, Gross | $ 1,121,000 | ||
Subsequent Event [Member] | Secured Term Loan [Member] | Credit Agreement [Member] | BH Finance [Member] | |||
Debt Instrument, Term | 25 years | ||
Debt Instrument, Face Amount | $ 576,000,000 | ||
Debt Instrument, Interest Rate, Stated Percentage | 9.00% | ||
Subsequent Event [Member] | BHMG [Member] | |||
Lessee, Operating Lease, Term of Contract | 10 years | ||
Operating Lease, Annual Rent Payable | $ 8,000,000 | ||
Operating Lease, Percentage of Net Sales Proceeds | 8.00% | ||
Subsequent Event [Member] | BHMG [Member] | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net, Total | $ 130,000,000 | ||
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable | 10,000,000 | ||
Payments to Acquire Businesses, Gross | 140,000,000 | ||
Business Combination, Terminate of Contract, Expect Credts | 5,425,000 | ||
Business Combination, Terminate of Contract, Expect Credt, Estimated Pro-rate Variable Portion | $ 4,180,000 | ||
INN Partners, L.C. [Member] | |||
Noncontrolling Interest, Ownership Percentage by Parent | 82.50% | ||
TNI Partners [Member] | |||
Noncontrolling Interest, Ownership Percentage by Parent | 50.00% | ||
MNI [Member] | |||
Noncontrolling Interest, Ownership Percentage by Parent | 50.00% |
Note 2 - Revenue (Details Textu
Note 2 - Revenue (Details Textual) - USD ($) | 3 Months Ended | |
Dec. 29, 2019 | Sep. 29, 2019 | |
Contract with Customer, Liability, Current | $ 22,966,000 | $ 21,720,000 |
Contract with Customer, Liability, Revenue Recognized | 13,399,000 | |
Contract with Customer, Asset, Net, Current, Total | 3,589,000 | 1,107,000 |
Accounts Receivable, before Allowance for Credit Loss | 53,481,000 | 47,863,000 |
Accounts Receivable, Allowance for Credit Loss, Ending Balance | $ 6,420,000 | $ 6,434,000 |
Note 2 - Revenue - Disaggregati
Note 2 - Revenue - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Dec. 29, 2019 | Dec. 30, 2018 | |
Operating revenue | $ 122,343 | $ 136,201 |
Advertising and Marketing Services [Member] | ||
Operating revenue | 65,727 | 75,962 |
Subscription and Circulation [Member] | ||
Operating revenue | 41,694 | 46,268 |
Digital Services Revenues [Member] | ||
Operating revenue | 5,218 | 4,677 |
Other Revenues [Member] | ||
Operating revenue | $ 9,704 | $ 9,294 |
Note 3 - Investments in Assoc_3
Note 3 - Investments in Associated Companies (Details Textual) - USD ($) | 3 Months Ended | |
Dec. 29, 2019 | Dec. 30, 2018 | |
TNI Partners [Member] | ||
Proceeds from Equity Method Investment, Distribution | $ 738,000 | $ 549,000 |
MNI [Member] | ||
Proceeds from Equity Method Investment, Distribution | $ 0 | $ 750,000 |
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 50.00% |
Note 3 - Investments in Assoc_4
Note 3 - Investments in Associated Companies - Summarized Financial Results (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Dec. 29, 2019 | Dec. 30, 2018 | |
Equity in earnings | $ 1,569 | $ 2,129 |
TNI Partners [Member] | ||
Operating revenue | 10,195 | 12,164 |
Operating expenses | 8,165 | 9,095 |
Operating income | 2,030 | 3,069 |
Company's 50% share of operating income | 1,015 | 1,535 |
Less amortization of intangible assets | 104 | 105 |
Equity in earnings | 911 | 1,430 |
Madison Newspapers, Inc. [Member] | ||
Operating revenue | 13,925 | 14,826 |
Operating expenses | 12,120 | 12,663 |
Operating income | 1,660 | 1,853 |
Equity in earnings | 658 | 699 |
Restructuring costs | 30 | |
Depreciation and amortization | 145 | 280 |
Net income | $ 1,316 | $ 1,398 |
Note 4 - Goodwill and Other I_3
Note 4 - Goodwill and Other Intangible Assets (Details Textual) | Dec. 29, 2019USD ($) |
Finite-Lived Intangible Assets, Amortization Expense, Next Rolling Twelve Months | $ 16,128,000 |
Finite-Lived Intangible Assets, Amortization Expense, Rolling Year Two | 14,225,000 |
Finite-Lived Intangible Assets, Amortization Expense, Rolling Year Three | 12,683,000 |
Finite-Lived Intangible Assets, Amortization Expense, Rolling Year Four | 12,033,000 |
Finite-Lived Intangible Assets, Amortization Expense, Rolling Year Five | $ 9,599,000 |
Note 4 - Goodwill and Other I_4
Note 4 - Goodwill and Other Intangible Assets - Changes in the Carrying Amount of Goodwill (Details) - USD ($) $ in Thousands | Dec. 29, 2019 | Sep. 29, 2019 |
Goodwill, gross amount | $ 1,539,038 | |
Accumulated impairment losses | (1,288,729) | |
Goodwill, end of period | $ 250,309 | $ 250,309 |
Note 4 - Goodwill and Other I_5
Note 4 - Goodwill and Other Intangible Assets - Identified Intangible Assets (Details) - USD ($) $ in Thousands | Dec. 29, 2019 | Sep. 29, 2019 |
Mastheads | $ 21,883 | $ 21,883 |
Other intangible assets, net | 104,395 | 107,393 |
Customer Lists [Member] | ||
Amortizable intangible assets, gross | 698,267 | 697,145 |
Less accumulated amortization | 615,906 | 611,786 |
Amortizable intangible assets, net | 82,361 | 85,359 |
Noncompete Agreements [Member] | ||
Amortizable intangible assets, gross | 28,675 | 28,675 |
Less accumulated amortization | 28,524 | 28,524 |
Amortizable intangible assets, net | $ 151 | $ 151 |
Note 5 - Debt (Details Textual)
Note 5 - Debt (Details Textual) - USD ($) | Jan. 29, 2020 | Mar. 31, 2014 | Dec. 29, 2019 | Dec. 30, 2018 | Sep. 27, 2020 | Sep. 24, 2023 | Sep. 25, 2022 | Sep. 26, 2021 | Nov. 30, 2019 | Sep. 29, 2019 |
Weighted Average Cost of Debt, Excluding Amortization of Debt Financing Costs | 9.90% | |||||||||
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months | $ 1,892,000 | |||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Two | 0 | |||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Three | 356,141,000 | |||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Four | 75,361,000 | |||||||||
Payments to Acquire Businesses, Gross | 1,121,000 | |||||||||
Long-term Debt, Gross | 433,394,000 | $ 443,627,000 | ||||||||
Debt Instrument, Repurchased Face Amount | 7,279,000 | |||||||||
Gain (Loss) on Extinguishment of Debt, Total | 25,000 | |||||||||
Long-term Debt, Total | 421,248,000 | 429,391,000 | ||||||||
Repayments of Long-term Debt, Total | 10,233,000 | $ 7,027,000 | ||||||||
Amortization of Debt Issuance Costs | 1,028,000 | |||||||||
Debt Issuance Costs, Net, Total | 10,254,000 | 11,282,000 | ||||||||
Liquidity | 22,112,000 | |||||||||
Future Liquidity Warrant Exercise Proceeds | 25,140,000 | |||||||||
Forecast [Member] | ||||||||||
Amortization of Debt Issuance Costs | $ 3,070,000 | $ 240,000 | $ 2,690,000 | $ 4,254,000 | ||||||
Warrants Issued in Connection with Second Lien Term Loan [Member] | ||||||||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 6,000,000 | |||||||||
Warrants, When Fully Exercised, Percentage of Common Stock Outstanding | 10.40% | |||||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 4.19 | |||||||||
Warrants and Rights Outstanding | $ 16,930,000 | |||||||||
Subsequent Event [Member] | BHMG [Member] | ||||||||||
Payments to Acquire Businesses, Gross | $ 140,000,000 | |||||||||
Revolving Credit Facility [Member] | ||||||||||
Line of Credit Facility, Remaining Borrowing Capacity | $ 17,644,000 | |||||||||
Senior Secured Notes [Member] | ||||||||||
Debt Instrument, Face Amount | $ 400,000,000 | |||||||||
Debt Instrument, Interest Rate, Stated Percentage | 9.50% | 9.50% | ||||||||
Long-term Debt, Gross | $ 356,141,000 | 363,420,000 | ||||||||
Repurchase Price of Notes, Change of Control | 101.00% | |||||||||
Debt Issuance Costs, Gross | $ 37,819,000 | |||||||||
First Lien Credit Faclinty [Member] | Revolving Credit Facility [Member] | Federal Funds Rate Plus 0.5% [Member] | ||||||||||
Debt Instrument, Basis Spread on Variable Rate | 4.50% | |||||||||
First Lien Credit Faclinty [Member] | Term Loan [Member] | ||||||||||
Debt Instrument, Face Amount | 250,000,000 | |||||||||
First Lien Credit Facility [Member] | ||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 6.10% | |||||||||
Long-term Debt, Gross | ||||||||||
First Lien Credit Facility [Member] | Revolving Credit Facility [Member] | ||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | 40,000,000 | $ 23,120,000 | ||||||||
Line of Credit Facility, Remaining Borrowing Capacity | $ 17,644,000 | |||||||||
First Lien Credit Facility [Member] | Revolving Credit Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||||||||||
Debt Instrument, Basis Spread on Variable Rate | 5.50% | |||||||||
First Lien Credit Facility [Member] | Revolving Credit Facility [Member] | Prime Rate [Member] | ||||||||||
Debt Instrument, Basis Spread on Variable Rate | 4.50% | |||||||||
Second Lien Credit Faclity [Member] | Term Loan [Member] | ||||||||||
Debt Instrument, Face Amount | $ 150,000,000 | |||||||||
Debt Instrument, Interest Rate, Stated Percentage | 12.00% | |||||||||
Long-term Debt, Total | $ 77,253,000 | |||||||||
Repayments of Long-term Debt, Total | 2,954,000 | |||||||||
Pulitzer Excess Cash Flow | $ 1,892,000 | |||||||||
1st Lien Agreement [Member] | Revolving Credit Facility [Member] | ||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 23,120,000 | |||||||||
Credit Agreement [Member] | Secured Term Loan [Member] | Subsequent Event [Member] | BH Finance [Member] | ||||||||||
Debt Instrument, Face Amount | $ 576,000,000 | |||||||||
Debt Instrument, Interest Rate, Stated Percentage | 9.00% |
Note 5 - Debt - Debt (Details)
Note 5 - Debt - Debt (Details) - USD ($) | Dec. 29, 2019 | Sep. 29, 2019 | Mar. 31, 2014 |
Long-term debt, gross | $ 433,394,000 | $ 443,627,000 | |
Unamortized debt issue costs | (10,254,000) | (11,282,000) | |
Less current maturities of long-term debt | 1,892,000 | 2,954,000 | |
Total long-term debt | 421,248,000 | 429,391,000 | |
First Lien Credit Facility [Member] | |||
Long-term debt, gross | |||
Interest rate | 6.10% | ||
Senior Secured Notes [Member] | |||
Long-term debt, gross | $ 356,141,000 | 363,420,000 | |
Interest rate | 9.50% | 9.50% | |
Second Lien Term Loan [Member] | |||
Long-term debt, gross | $ 77,253,000 | $ 80,207,000 | |
Interest rate | 12.00% |
Note 5 - Debt - Redemption (Det
Note 5 - Debt - Redemption (Details) - Senior Secured Notes [Member] | 3 Months Ended |
Dec. 29, 2019 | |
Debt Instrument, Redemption, Period One [Member] | |
Period Beginning | 102.38% |
Debt Instrument, Redemption, Period Two [Member] | |
Period Beginning | 100.00% |
Note 6 - Leases (Details Textua
Note 6 - Leases (Details Textual) - USD ($) | Dec. 29, 2019 | Sep. 30, 2019 | Sep. 29, 2019 |
Operating Lease, Right-of-Use Asset | $ 10,125,000 | ||
Operating Lease, Liability, Current | 2,341,000 | ||
Operating Lease, Liability, Noncurrent | $ 7,787,000 | ||
Operating Leases, Future Minimum Payments Due, Next Twelve Months | 3,403,000 | ||
Operating Leases, Future Minimum Payments, Due in Two Years | 2,290,000 | ||
Operating Leases, Future Minimum Payments, Due in Three Years | 2,238,000 | ||
Operating Leases, Future Minimum Payments, Due in Four Years | 1,637,000 | ||
Operating Leases, Future Minimum Payments, Due in Five Years | 1,367,000 | ||
Operating Leases, Future Minimum Payments, Due Thereafter | $ 4,991,000 | ||
Accounting Standards Update 2016-02 [Member] | |||
Operating Lease, Right-of-Use Asset | $ 10,709,000 | ||
Operating Lease, Liability, Current | 2,281,000 | ||
Operating Lease, Liability, Noncurrent | $ 8,353,000 |
Note 6 - Leases - Lease Expense
Note 6 - Leases - Lease Expense (Details) $ in Thousands | 3 Months Ended |
Dec. 29, 2019USD ($) | |
Operating lease costs | $ 969 |
Variable lease costs | 280 |
Short-term lease costs | 53 |
Total Operating Lease Expense | 1,302 |
Operating cash outflow from operating leases | $ 891 |
Weighted average remaining lease term (years) (Year) | 7 years 69 days |
Weighted Average discount rate | 10.22% |
Note 6 - Leases - Maturities of
Note 6 - Leases - Maturities of Lease Liabilities (Details) $ in Thousands | Dec. 29, 2019USD ($) |
2020 (nine months remaining) | $ 2,902 |
2021 | 3,183 |
2022 | 2,149 |
2023 | 1,809 |
2024 | 1,480 |
Thereafter | 5,019 |
Total lease payments | 16,542 |
Less: interest | (6,414) |
Present value of lease liabilities | $ 10,128 |
Note 7 - Pension, Postretirem_3
Note 7 - Pension, Postretirement and Postemployment Defined Benefit Plans (Details Textual) - Pension Plan [Member] | 3 Months Ended |
Dec. 29, 2019USD ($) | |
Defined Benefit Plan, Plan Assets, Contributions by Employer | $ 0 |
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | $ 6,718,000 |
Note 7 - Pension, Postretirem_4
Note 7 - Pension, Postretirement and Postemployment Defined Benefit Plans - Net Periodic Cost (Benefit) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Dec. 29, 2019 | Dec. 30, 2018 | |
Pension Plan [Member] | ||
Service cost for benefits earned during the period | $ 8 | $ 9 |
Interest cost on projected benefit obligation | 1,231 | 1,641 |
Expected return on plan assets | (1,951) | (2,018) |
Amortization of net loss | 792 | 284 |
Amortization of prior service benefit | (2) | (25) |
Pension benefit | 78 | (109) |
Postretirement Health Coverage [Member] | ||
Interest cost on projected benefit obligation | 67 | 103 |
Expected return on plan assets | (265) | (270) |
Amortization of net loss | (186) | (244) |
Amortization of prior service benefit | (161) | (181) |
Pension benefit | $ (545) | $ (592) |
Note 8 - Income Taxes (Details
Note 8 - Income Taxes (Details Textual) - USD ($) | 3 Months Ended | ||
Dec. 29, 2019 | Dec. 30, 2018 | Sep. 29, 2019 | |
Income Tax Expense (Benefit), Total | $ 1,871,000 | $ 4,513,000 | |
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Noncontrolling Interest, Total | $ 7,588,000 | $ 15,232,000 | |
Effective Income Tax Rate Reconciliation, Percent, Total | 24.60% | 29.60% | |
State and Local Jurisdiction [Member] | |||
Operating Loss Carryforwards, Total | $ 63,338,000 |
Note 9 - Earnings Per Common _3
Note 9 - Earnings Per Common Share (Details Textual) - shares | 3 Months Ended | |
Dec. 29, 2019 | Dec. 30, 2018 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 6,384,000 | 6,448,000 |
Note 9 - Earnings Per Common _4
Note 9 - Earnings Per Common Share - Computation of Basic and Diluted Earnings Per Common Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Dec. 29, 2019 | Dec. 30, 2018 | |
Income attributable to Lee Enterprises, Incorporated | $ 5,320 | $ 10,361 |
Weighted average common shares (in shares) | 57,729 | 57,303 |
Less weighted average restricted Common Stock (in shares) | (1,459) | (2,099) |
Basic average common shares (in shares) | 56,270 | 55,204 |
Dilutive stock options and restricted Common Stock (in shares) | 783 | 1,497 |
Diluted average common shares (in shares) | 57,053 | 56,701 |
Basic: (in dollars per share) | $ 0.09 | $ 0.19 |
Diluted: (in dollars per share) | $ 0.09 | $ 0.18 |
Note 10 - Stock Ownership Pla_3
Note 10 - Stock Ownership Plans (Details Textual) - Restricted Stock [Member] | 3 Months Ended |
Dec. 29, 2019USD ($) | |
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount, Total | $ 2,016,000 |
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition | 2 years |
Note 10 - Stock Ownership Pla_4
Note 10 - Stock Ownership Plans - Summary of Stock Option Activity (Details) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended |
Dec. 29, 2019USD ($)$ / sharesshares | |
Outstanding, Shares (in shares) | shares | 809 |
Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 1.82 |
Exercised, Shares (in shares) | shares | |
Exercised, Weighted Average Exercise Price (in dollars per share) | $ / shares | |
Cancelled, Shares (in shares) | shares | |
Cancelled, Weighted Average Exercise Price (in dollars per share) | $ / shares | |
Outstanding, Shares (in shares) | shares | 809 |
Outstanding, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 1.82 |
Outstanding, Weighted Average Remaining Contractual Term (Year) | 1 year 219 days |
Outstanding, Aggregate Intrinsic Value | $ | $ 120 |
Exercisable, Shares (in shares) | shares | 809 |
Exercisable, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 1.82 |
Exercisable, Weighted Average Remaining Contractual Term (Year) | 1 year 219 days |
Exercisable, Aggregate Intrinsic Value | $ | $ 120 |
Note 10 - Stock Ownership Pla_5
Note 10 - Stock Ownership Plans - Summary of Restricted Stock Activity (Details) - Restricted Stock [Member] shares in Thousands | 3 Months Ended |
Dec. 29, 2019$ / sharesshares | |
Outstanding, shares (in shares) | shares | 1,477 |
Outstanding, weighted average grant date fair value (in dollars per share) | $ / shares | $ 2.49 |
Vested, shares (in shares) | shares | (600) |
Vested, weighted average grant date fair value (in dollars per share) | $ / shares | $ 1.94 |
Granted, shares (in shares) | shares | 720 |
Granted, weighted average grant date fair value (in dollars per share) | $ / shares | $ 1.62 |
Cancelled, shares (in shares) | shares | (24) |
Cancelled, weighted average grant date fair value (in dollars per share) | $ / shares | $ 2.49 |
Outstanding, shares (in shares) | shares | 1,573 |
Outstanding, weighted average grant date fair value (in dollars per share) | $ / shares | $ 1.56 |
Note 11 - Fair Value Measurem_2
Note 11 - Fair Value Measurements (Details Textual) - USD ($) | Dec. 29, 2019 | Sep. 29, 2019 | Mar. 31, 2014 |
Long-term Debt, Total | $ 421,248,000 | $ 429,391,000 | |
Fair Value, Inputs, Level 3 [Member] | |||
Investments, Fair Value Disclosure, Total | 6,068,000 | ||
Equity Securities without Readily Determinable Fair Value, Amount | 10,268,000 | ||
Fair Value, Inputs, Level 3 [Member] | Senior Secured Notes [Member] | |||
Long-term Debt, Total | $ 356,141,000 | ||
Fair Value, Inputs, Level 3 [Member] | TCT and Private Equity Investment [Member] | |||
Equity Securities without Readily Determinable Fair Value, Percent | 17.00% | ||
Fair Value, Inputs, Level 2 [Member] | |||
Warrants and Rights Outstanding | $ 178,000 | $ 1,195,000 | $ 16,930,000 |
Fair Value, Inputs, Level 2 [Member] | Senior Secured Notes [Member] | |||
Long-term Debt, Fair Value | 344,789,000 | ||
Fair Value, Inputs, Level 2 [Member] | Second Lien Term Loan [Member] | |||
Long-term Debt, Total | 77,253,000 | ||
Long-term Debt, Fair Value | $ 76,481,000 |
Note 12 - Commitments and Con_2
Note 12 - Commitments and Contingent Liabilities (Details Textual) - Plan Partially Withdrawn From in 2017 [Member] - Multiemployer Plans, Pension [Member] | 12 Months Ended |
Sep. 29, 2019USD ($) | |
Multiemployer Plans, Withdrawal Obligation | $ 3,255,000 |
Multiemployer Plans, Withdrawal Obligation, Period | 20 years |