Saga Q3 Net Revenues Drop 13.7%, Earnings Down

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Saga Communications posted a 13.7 drop in third quarter net operating revenue to $31.3 million from $36.1 million in 2008. Operating income fell to $5.8 million from $7.4 million. Station operating expense decreased $3 million to $23.6 million. The broadcaster reported net earnings of $2.5 million (58 cents per diluted share) as compared to $3.1 million (65 cents) a year earlier.

Saga noted that a large part of the decrease in station operating expense was a result of its cost reduction initiatives, helping to reduce the impact that the decline in net operating revenue. On a same station basis, net operating revenue decreased 14.7% to $30.9 million, operating income was $5.6 million and station operating expense decreased $3.2 million to $23.4 million.