Acquisitions Boost Transcontinental’s Revenues; Agreement with Hearst Renegotiated

Excluding unusual items and discontinued operations, adjusted net income applicable to participating shares decreased 3.8 percent, from $155.3 million to $149.4 million, or $1.85 per share.

Transcontinental and Hearst Corp. Renegotiate Agreement

Transcontinental Inc. and Hearst Corp. reached an agreement in principle to amend the terms and conditions of the 15-year contract started July 2009 to print The San Francisco Chronicle. Under the new agreement, which will be effective Jan. 1, 2013, TC Transcontinental will receive a one-time cash payment of US$200 million from Hearst to compensate for price reductions on future services. TC Transcontinental will continue to print the Chronicle over the term of the agreement, receive payment for services and maintain ownership of the printing plant and equipment.