Investments in Associated Companies

6 Months Ended

Mar. 26, 2017

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 newspapers 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 26 2017	March 27 2016	March 26 2017	March 27 2016

Operating revenue	12,507	14,039	25,821	28,821
Operating expenses	9,770	11,102	19,770	22,443
Operating income	2,737	2,937	6,051	6,378
Company's 50% share of operating income	1,368	1,468	3,026	3,189
Less amortization of intangible assets	104	104	209	209
Equity in earnings of TNI	1,264	1,364	2,817	2,980

TNI makes weekly distributions of its earnings and for the 13 weeks ended March 26, 2017 and March 27, 2016 we received $1,437,000 and $2,251,000 in distributions, respectively. In the 26 weeks ended March 26, 2017 and March 27, 2016 we received $2,420,000 and $3,729,000 in distributions, respectively.

Star Publishing's 50% share of TNI depreciation and certain general and administrative expenses (income) associated with its share of the operation and administration of TNI are reported as operating expenses (benefit) in our Consolidated Statements of Income and Comprehensive Income. These amounts totaled $159,000 and $(43,000) in the 13 weeks ended March 26, 2017 and March 27, 2016, respectively and $301,000 and $(162,000) in the 26 weeks ended March 26, 2017 and March 27, 2016, respectively.

Annual amortization of intangible assets is estimated to be $418,000 for the 52 or 53 weeks ending March 2018, 2019 and 2020.

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 26 2017	March 27 2016	March 26 2017	March 27 2016

Operating revenue	14,382	15,550	31,424	33,339
Operating expenses, excluding workforce adjustments, depreciation and amortization	12,548	13,047	25,928	26,660
Workforce adjustments	129	19	155	19
Depreciation and amortization	348	483	696	893
Operating income	1,357	2,001	4,645	5,767
Net income	929	1,290	3,200	3,648
Equity in earnings of MNI	465	645	1,600	1,828

MNI makes quarterly distributions of its earnings and in the 13 weeks ended March 26, 2017 and March 27, 2016 we received dividends of $1,000,000 and $2,250,000, respectively. In the 26 weeks ended March 26, 2017 and March 27, 2016 we received dividends of $2,250,000 and $4,000,000, respectively.