The Wall Street Journal-20080202-Earnings Digest Brief -- Media- Gannett Co-

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Earnings Digest Brief -- Media: Gannett Co.

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Gannett Co. reported a 31% drop in fourth-quarter profit, hit with an impairment charge amid a continued ad-sales slump. The McLean, Va., newspaper publisher, which also owns 23 television stations, said newspaper revenue fell 11% to $1.68 billion. Advertising fell 14% to $1.2 billion. At USA Today, ad revenue fell 17%. Revenue from the company's broadcasting segment fell 22% to $212 million. The company cited "the relative lack of politically related ad demand." Gannett, which publishes 85 daily newspapers in addition to USA Today, said it was unclear how the U.S. economy would affect ad sales in the year ahead. The company expects a boost from the presidential race, but also faces the prospect of further drops in classified ads amid a weak housing market. "The economy has clearly softened, adding a lot of uncertainty into the equation," said Chief Financial Officer Gracia Martore.