SOURCE: Journal Register Company

August 28, 2007 16:30 ET

Journal Register Company Announces Ratification of Labor Contracts in Michigan and Opening of Macomb Printing Facility

YARDLEY, PA--(Marketwire - August 28, 2007) - Journal Register Company (NYSE: JRC) today announced that contract negotiations between the Company and five Michigan local unions have reached a new collective bargaining agreement for 196 represented Journal Register employees. All five bargaining units ratified the contracts late Sunday, August 26, 2007.

Julie A. Beck, Senior Vice President and Chief Financial Officer, said, "We have a great work force in Michigan. Journal Register's local management team has worked diligently to partner with our union leaders to focus on the means by which we achieve long-term operational and business success. They recognize the importance of a credible, respectful and cooperative relationship. We approached these negotiations with the objective of reaching a fair outcome. This is an important component in achieving our business goals and securing the good jobs it provides. I am pleased that we were able to do so."

The five unions are the Newspaper Guild of Detroit Local 22, Detroit Typographical Union Number 18, Graphics Communications Union Local 13N, Detroit Mailers Union #40 IBT Local 2040, and Newspaper Drivers and Handlers IBT Local 372.

Journal Register Company today also announced that the Macomb, Michigan printing facility expansion is operational and is being integrated into the Company's Michigan Cluster. This year, the facility will print the Macomb Daily and Royal Oak Daily Tribune and the Company anticipates adding 17 publications in 2008 and will continue adding titles in 2009 and beyond. The Macomb printing facility will yield significant cost savings, increased color advertising revenue, and improved print quality.

Acting Chief Executive Officer James W. Hall said, "As we celebrate the opening of the Macomb plant, I want to emphasize the synergies we derive from the production operations and improved efficiencies in our Michigan Cluster. We estimate annualized cash savings in excess of $1.4 million."

The expansion includes a new 17,150 square foot building addition to the existing 33,500 square foot facility to house the press hall, with two bay loading docks and sub-surface direct access to newsprint storage and reel room. Total square footage is now 50,650. The building and equipment installation, which includes a Man Roland Geoman 75 printing press, was completed in July and Macomb began printing The Macomb Daily and The Royal Oak Daily Tribune newspapers on July 23, two weeks ahead of the scheduled target date.

About Journal Register

Journal Register Company is a leading U.S. media company. Journal Register Company owns 22 daily newspapers and 346 non-daily publications. Journal Register Company currently operates 227 individual Web sites that are affiliated with the Company's daily newspapers, non-daily publications and its network of employment Web sites. These Web sites can be accessed at www.JournalRegister.com. All of the Company's operations are strategically clustered in six geographic areas: Greater Philadelphia; Michigan; Connecticut; Greater Cleveland; and the Capital-Saratoga and Mid-Hudson regions of New York. The Company owns JobsInTheUS, a network of 19 premier employment Web sites.

Safe-Harbor

This release contains forward-looking information about Journal Register Company that is intended to be covered by the safe harbor for forward-looking statements provided by the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that are not historical facts. These statements can be identified by the use of forward-looking terminology such as "believe," "expect," "may," "will," "should," "project," "plan," "seek," "intend," or "anticipate" or the negative thereof or comparable terminology, and include discussions of strategy, financial projections and estimates and their underlying assumptions, the extent or timing of cost savings, charges, the extent of employees impacted, and statements about the future performance, operations, products and services of the Company. These forward-looking statements involve a number of risks and uncertainties, which could cause actual results to differ materially. These risks and uncertainties include, but are not limited to, the success of the Company's acquisition strategy, dispositions, the ability of the Company to achieve cost reductions and integrate acquisitions, competitive pressures including competition from non-newspaper forms of media , general or regional economic conditions and advertising trends, the unavailability or a material increase in the price of newsprint and increases in interest rates, changes in performance that affect financial covenant compliance or funds available for borrowing, technological changes, the adoption of new accounting standards or changes in accounting standards. These and additional risk factors are outlined in the Company's most recent Annual Report on Form 10-K filed with the Securities and Exchange Commission. The Company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events, or otherwise.

Contact Information

  • For more information:
    Journal Register Company
    Judy Brenna
    Director of Investor Relations
    Tel: (215) 504-4200
    790 Township Line Road
    Yardley, PA 19067
    Fax: (215) 504-4201