10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

[ X ] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2019

OR

[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

Commission File No. 001-36230

TRIBUNE PUBLISHING COMPANY

(Exact name of registrant as specified in its charter) 

Delaware	38-3919441
(State or other jurisdiction of incorporation or organization)	(I.R.S. employer identification no.)
160 N. Stetson Avenue
Chicago Illinois	60601
(Address of principal executive offices)	(Zip code)

Registrant’s telephone number, including area code: (312) 222-9100

Former name, former address and former fiscal year, if changed since last report.

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.  Yes X  No 

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).  Yes X  No 

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” an “emerging growth company” in Rule 12b-2 of the Exchange Act:

Large accelerated filer ____	Accelerated filer X
Non-accelerated filer ____	Smaller reporting company ____
	Emerging growth company ____

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ____

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).  Yes __  No X

Securities registered pursuant to Section 12(b) of the Securities Exchange Act of 1934:

Title of each class	Trading Symbol	Name of each exchange on which registered
Common Stock, par value $.01 per share	TPCO	The NASDAQ Stock Market LLC

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.

Class	Outstanding at May 6, 2019
Common Stock, $0.01 par value	35,691,327

	TRIBUNE PUBLISHING COMPANY
	FORM 10-Q
	TABLE OF CONTENTS
		Page
PART I	FINANCIAL INFORMATION
Item 1.	Financial Statements (unaudited)	3
Item 2.	Management's Discussion and Analysis of Financial Condition and Results of Operations	25
Item 3.	Quantitative and Qualitative Disclosures about Market Risk	35
Item 4.	Controls and Procedures	35
PART II	OTHER INFORMATION	35
Item 1.	Legal Proceedings	35
Item 1A.	Risk Factors	36
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	36
Item 3.	Defaults Upon Senior Securities	36
Item 4.	Mine Safety Disclosures	37
Item 5.	Other Information	37
Item 6.	Exhibits	37
	SIGNATURES	39

1

CAUTIONARY STATEMENT CONCERNING FORWARD-LOOKING STATEMENTS

The statements contained in this Quarterly Report on Form 10-Q, as well as the information contained in the notes to our Consolidated Financial Statements, include certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 that are based largely on our current expectations and reflect various estimates and assumptions by us. Forward-looking statements are subject to certain risks, trends and uncertainties that could cause actual results and achievements to differ materially from those expressed in such forward-looking statements. Such risks, trends and uncertainties, which in some instances are beyond our control, include, without limitation, changes in advertising demand, circulation levels and audience shares; competition and other economic conditions; economic and market conditions that could impact the level of our required contributions to the defined benefit pension plans to which we contribute; decisions by trustees under rehabilitation plans (if applicable) or other contributing employers with respect to multiemployer plans to which we contribute which could impact the level of our contributions; our ability to develop and grow our online businesses; changes in newsprint price; our ability to maintain effective internal control over financial reporting; concentration of stock ownership among our principal stockholders whose interests may differ from those of other stockholders; and other events beyond our control that may result in unexpected adverse operating results. For more information about these and other risks, see “Risk Factors” in our Annual Report on Form 10-K filed with the Securities and Exchange Commission (“SEC”) on March 18, 2019, and in our other filings with the SEC.

The words “believe,” “expect,” “anticipate,” “estimate,” “could,” “should,” “intend,” “may,” “will,” “plan,” “seek” and similar expressions generally identify forward-looking statements. However, such words are not the exclusive means for identifying forward-looking statements, and their absence does not mean that the statement is not forward-looking. Whether or not any such forward-looking statements in fact occur will depend on future events, some of which are beyond our control. Readers are cautioned not to place undue reliance on such forward-looking statements, which are being made as of the date of this Quarterly Report on Form 10-Q. Except as required by law, we undertake no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.

2

PART I.

Item 1.    Financial Statements

TRIBUNE PUBLISHING COMPANY

CONSOLIDATED STATEMENTS OF LOSS

(In thousands, except per share data)

(Unaudited)

	Three months ended
	March 31, 2019			April 1, 2018
Operating revenues	$	244,525		$	238,366
Operating expenses:
Compensation	97,709			110,765
Newsprint and ink	16,103			14,598
Outside services	83,813			98,982
Other operating expenses	42,218			32,653
Depreciation and amortization	12,084			12,446
Total operating expenses	251,927			269,444
Loss from operations	(7,402		)	(31,078		)
Interest income (expense), net	220			(6,564		)
Loss on equity investments, net	(487		)	(729		)
Other income, net	73			3,663
Loss from continuing operations before income taxes	(7,596		)	(34,708		)
Income tax benefit	(2,882		)	(6,637		)
Net loss from continuing operations	(4,714		)	(28,071		)
Plus: Earnings from discontinued operations, net of taxes	—			13,706
Net loss	(4,714		)	(14,365		)
Less: Income (loss) attributable to noncontrolling interest	(39		)	262
Net loss attributable to Tribune common stockholders	$	(4,675	)	$	(14,627	)
Net loss from continuing operations per common share:
Basic	$	(0.13	)	$	(0.81	)
Diluted	$	(0.13	)	$	(0.81	)
Net loss attributable to Tribune per common share:
Basic	$	(0.13	)	$	(0.42	)
Diluted	$	(0.13	)	$	(0.42	)
Weighted average shares outstanding:
Basic	35,628			34,801
Diluted	35,628			34,801

The accompanying notes are an integral part of these unaudited consolidated financial statements.

3

TRIBUNE PUBLISHING COMPANY

CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS

(In thousands)

(Unaudited)

	Three months ended
	March 31, 2019			April 1, 2018
Net loss from continuing operations, including non-controlling interest	$	(4,714	)	$	(14,365	)
Other comprehensive loss, net of taxes:
Amortization of items to periodic pension cost during the period, net of taxes of ($23) and ($915), respectively	(59		)	(2,377		)
Foreign currency translation	(2		)	—
Other comprehensive loss, net of taxes	(61		)	(2,377		)
Comprehensive loss recognized in continuing operations	(4,775		)	(16,742		)
Accumulated other comprehensive loss recognized in discontinued operations, net of taxes of $42	—			108
Comprehensive loss	(4,775		)	(16,634		)
Comprehensive income (loss) attributable to noncontrolling interest	(39		)	262
Comprehensive loss attributable to Tribune common stockholders	$	(4,736	)	$	(16,896	)

The accompanying notes are an integral part of these unaudited consolidated financial statements.

4

TRIBUNE PUBLISING COMPANY

CONSOLIDATED CONDENSED BALANCE SHEETS

(In thousands, except per share data)

(Unaudited)

	March 31, 2019			December 30, 2018
Assets
Current assets
Cash	$	98,206		$	97,560
Accounts receivable, (net of allowances of $13,983 and $11,458)	111,618			145,463
Inventories	9,267			9,587
Prepaid expenses and other	20,605			18,197
Total current assets	239,696			270,807
Property, plant and equipment
Machinery, equipment and furniture	123,105			124,243
Buildings and leasehold improvements	78,411			82,399
	201,516			206,642
Accumulated depreciation	(78,537		)	(74,013		)
	122,979			132,629
Advance payments on property, plant and equipment	11,107			12,334
Property, plant and equipment, net	134,086			144,963
Other assets
Goodwill	132,172			132,146
Intangible assets, net	74,780			77,229
Software, net	26,168			27,117
Lease right-of-use asset	112,393			—
Restricted cash	43,947			43,947
Deferred income taxes	3,472			2,414
Other long-term assets	25,613			28,004
Total other assets	418,545			310,857
Total assets	$	792,327		$	726,627

The accompanying notes are an integral part of these unaudited consolidated financial statements.

5

TRIBUNE PUBLISHING COMPANY

CONSOLIDATED CONDENSED BALANCE SHEETS (continued)

(In thousands, except per share data)

(Unaudited)

	March 31, 2019			December 30, 2018
Liabilities and stockholders’ equity
Current liabilities
Accounts payable	$	53,098		$	70,555
Employee compensation and benefits	41,895			61,001
Deferred revenue	49,814			51,114
Current portion of long-term lease liability	26,393			—
Current portion of long-term debt	405			405
Other current liabilities	20,542			21,203
Tax liabilities associated with discontinued operations	6,249			6,249
Total current liabilities	198,396			210,527
Non-current liabilities
Long-term lease liability	112,610			—
Workers’ compensation, general liability and auto insurance payable	25,674			30,606
Pension and postretirement benefits payable	19,096			20,150
Deferred rent	—			25,424
Long-term debt	6,775			6,799
Other obligations	17,546			20,053
Total non-current liabilities	181,701			103,032
Noncontrolling interest	39,717			39,756
Stockholders’ equity
Preferred stock, $.01 par value. Authorized 30,000 shares; no shares issued or outstanding at March 31, 2019 and December 30, 2018	—			—
Common stock, $.01 par value. Authorized 300,000 shares, 37,618 shares issued and 35,664 shares outstanding at March 31, 2019; 37,551 shares issued and 35,597 shares outstanding at December 30, 2018	376			376
Additional paid-in capital	172,392			166,668
Retained earnings	225,939			232,401
Accumulated other comprehensive income (loss)	(34		)	27
Treasury stock, at cost - 1,954 shares at March 31, 2019 and 1,954 shares at December 30, 2018	(26,160		)	(26,160		)
Total stockholders’ equity	372,513			373,312
Total liabilities and stockholders’ equity	$	792,327		$	726,627

The accompanying notes are an integral part of these unaudited consolidated financial statements.

6

TRIBUNE PUBLISHING COMPANY

CONSOLIDATED STATEMENT OF EQUITY

(In thousands)

(Unaudited)

	Common Stock			Additional Paid in Capital			Retained earnings			AOCI			Treasury Stock			Total Equity
	Shares	Amount
Balance at December 30, 2018	37,551	$	376	$	166,668		$	232,401		$	27		$	(26,160	)	$	373,312
Cumulative effect of adoption of leasing standard	—	—		—			(1,787		)	—			—			(1,787		)
Adjusted balance at December 30, 2018	37,551	376		166,668			230,614			27			(26,160		)	371,525
Comprehensive loss attributable to controlling interests	—	—		—			(4,675		)	(61		)	—			(4,736		)
Issuance of stock from restricted stock and restricted stock unit conversions	67	—		—			—			—			—			—
Stock-based compensation	—	—		5,737			—			—			—			5,737
Withholding for taxes on restricted stock unit conversions	—	—		(13		)	—			—			—			(13		)
Balance at March 31, 2019	37,618	$	376	$	172,392		$	225,939		$	(34	)	$	(26,160	)	$	372,513

	Common Stock					Additional Paid in Capital			Accumulated Deficit			AOCI			Treasury Stock			Total Equity
	Shares		Amount
Balance at December 31, 2017	37,551		$	376		$	150,229		$	(16,390	)	$	(13,527	)	$	(51,526	)	$	69,162
Comprehensive loss attributable to controlling interests	—		—			—			(14,627		)	(2,377		)	—			(17,004		)
AOCI recognized in discontinued operations	—		—			—			—			108			—			108
Issuance of stock from treasury for acquisition	—		—			9,229			—			—			25,366			34,595
Issuance of stock from restricted stock and restricted stock unit conversions	122		1			(1		)	—			—			—			—
Exercise of stock options	7		—			133			—			—			—			133
Stock-based compensation	—		—			2,447			—			—			—			2,447
Withholding for taxes on restricted stock unit conversions	—		—			(943		)	—			—			—			(943		)
Forfeited restricted stock	(450	)	(5		)	5			—			—			—			—
Balance at April 1, 2018	37,230		$	372		$	161,099		$	(31,017	)	$	(15,796	)	$	(26,160	)	$	88,498

The accompanying notes are an integral part of these unaudited consolidated financial statements.

7

TRIBUNE PUBLISHING COMPANY

CONSOLIDATED STATEMENTS OF CASH FLOWS

(In thousands)

(Unaudited)

	Three Months Ended
	March 31, 2019			April 1, 2018
Operating Activities From Continuing Operations
Net loss from continuing operations	$	(4,714	)	$	(28,071	)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization	12,084			12,446
Stock compensation expense	5,737			1,587
Loss on equity investments, net	487			729
Deferred income taxes	(1,036		)	4,496
Pension contribution	(499		)	—
Postretirement medical, life and other benefits	(637		)	(6,497		)
Changes in working capital items, excluding acquisitions:
Accounts receivable, net	35,529			25,743
Prepaid expenses, inventories and other current assets	(11,226		)	(2,476		)
Accounts payable, employee compensation and benefits, deferred revenue and other current liabilities	(29,738		)	10,172
Other, net	(1,243		)	(1,634		)
Net cash provided by operating activities	4,744			16,495
Investing Activities From Continuing Operations
Capital expenditures	(3,911		)	(7,028		)
Acquisition of business, net of cash acquired	—			(33,949		)
Other, net	(150		)	(1,087		)
Net cash used for investing activities	(4,061		)	(42,064		)
Financing Activities From Continuing Operations
Repayment of long-term debt	—			(5,272		)
Withholding for taxes on RSU vesting	(13		)	(943		)
Other	(24		)	84
Net cash used for financing activities	(37		)	(6,131		)
Increase (decrease) in cash attributable to continuing operations	$	646		$	(31,700	)
Cash flows used for operating activities of discontinued operations, net	$	—		$	3,366
Cash flows used for investing activities of discontinued operations, net	—			(197		)
Cash flows used for financing activities of discontinued operations, net	—			(117		)
Decrease in cash attributable to discontinued operations	—			3,052
Net increase (decrease) in cash	646			(28,648		)
Cash, cash equivalents and restricted cash beginning of period	141,507			185,351
Cash, cash equivalents and restricted cash, end of period	$	142,153		$	156,703

The accompanying notes are an integral part of these unaudited consolidated financial statements.

8

TRIBUNE PUBLISHING COMPANY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

NOTE 1: DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION

Description of Business—Tribune Publishing Company, formerly tronc. Inc., was formed as a Delaware corporation on November 21, 2013. Tribune Publishing Company together with its subsidiaries (collectively, the “Company” or “Tribune”) is a media company rooted in award-winning journalism. Headquartered in Chicago, the Company operates local media businesses in eight markets with titles including the Chicago Tribune, New York Daily News, The Baltimore Sun, Orlando Sentinel, South Florida’s Sun Sentinel, Virginia’s Daily Press and The Virginian-Pilot, The Morning Call of Lehigh Valley, Pennsylvania andthe Hartford Courant. Tribune also operates Tribune Content Agency (“TCA”) and on February 6, 2018, the Company became a majority owner in BestReviews LLC (“BestReviews”). On May 28, 2018, the Company acquired Virginian-Pilot Media Companies LLC, owner of The Virginian-Pilot, a daily newspaper based in Norfolk, Virginia, and associated businesses (“Virginian-Pilot”). See Note 6 for further information on acquisitions.

On May 23, 2018, the Company completed the sale of substantially all of the assets of forsalebyowner.com and on June 18, 2018, the Company completed the sale of the Los Angeles Times, The San Diego Union-Tribune and various other titles of the Company’s California properties (“California Properties”). See Note 7 for more information on the dispositions and related discontinued operations.

Tribune’s continuing legacy of brands, including the The Virginian-Pilot, have earned a combined 61 Pulitzer Prizes and are committed to informing, inspiring and engaging local communities. Tribune’s brands create and distribute content across its media portfolio, offering integrated marketing, media, and business services to consumers and advertisers, including digital solutions and advertising opportunities.

Fiscal Periods—The Company’s fiscal year ends on the last Sunday in December. Fiscal year 2019 ends on December 29, 2019 and fiscal year 2018 ended on December 30, 2018. Fiscal year 2019 and 2018 are 52-week years with 13 weeks in each quarter.

Basis of Presentation—The accompanying unaudited Consolidated Financial Statements and notes of the Company have been prepared in accordance with United States generally accepted accounting principles (“U.S. GAAP”). The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the unaudited Consolidated Financial Statements and accompanying notes. Actual results could differ from these estimates. In the opinion of management, the financial statements contain all adjustments necessary to present fairly the financial position of Tribune as of March 31, 2019 and December 30, 2018 and the results of operations for the three months endedMarch 31, 2019 and April 1, 2018, respectively, and the cash flows for the three months ended March 31, 2019 and April 1, 2018, respectively. This includes all normal and recurring adjustments and elimination of intercompany transactions. Results of operations for interim periods are not necessarily indicative of the results to be expected for the full year. The year-end Consolidated Balance Sheet was derived from audited financial statements but does not include all disclosures required by U.S. GAAP.

Effective as of the sale dates, the operations of the California Properties and forsalebyowner.com qualify as discontinued operations. Accordingly, results of these operations for all periods presented have been reflected as discontinued operations in the accompanying Consolidated Financial Statements. Additionally, assets and liabilities related to the divested properties are classified as such in all periods in the Consolidated Condensed Balance Sheets. Unless otherwise noted, amounts and disclosures throughout these Notes to Consolidated Financial Statements relate to continuing operations and exclude all discontinued operations consisting of the California Properties and forsalebyowner.com.

Accounting standards adopted in 2019—In August 2018, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2018-15, Subtopic 350-40, Intangibles-Goodwill and Other-Internal-Use Software; Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract (“ASU 2018-15”). ASU 2018-15 aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software (and hosting arrangements that include an internal use software license). ASU 2018-15 can be applied either retrospectively or prospectively. ASU 2018-15 is effective for interim and annual reporting periods beginning after December 15, 2019. Early adoption is permitted, including adoption in any interim period. The Company adopted this

9

TRIBUNE PUBLISHING COMPANY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

standard effective the beginning of fiscal year 2019 and will apply the provisions of the standard prospectively. The adoption had no material effect on the Company’s consolidated financial statements.

In February 2018, the FASB issued ASU 2018-02, Topic 220, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income (“ASU 2018-02”). ASU 2018-02 amends ASC 220, Income Statement — Reporting Comprehensive Income, to “allow a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act.” In addition, under the ASU, an entity will be required to provide certain disclosures regarding stranded tax effects. ASU 2018-02 is effective for all entities for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. The Company adopted this standard effective the beginning of fiscal year 2019 and adoption had no material effect on the Company’s consolidated financial statements.

In February 2016, the FASB issued ASU 2016-02, Topic 842, Leases (“ASC 842”), which requires lessees to recognize lease assets and lease liabilities for operating leases. The Company adopted this standard effective December 31, 2018 using the modified retrospective transition method whereby the Company applied the new standard at the adoption date and recognized a cumulative-effect adjustment of $1.8 million, net of tax of $0.7 million, to reduce the opening balance of retained earnings in the first quarter of 2019, primarily due to lease impairments determined during the adoption. The Company has elected the practical expedients which allow the Company to forgo reassessing whether existing contracts are or contain leases, forgo reassessing the classification of existing leases, forgo reassessing initial direct costs of existing leases at the initial application date and to combine lease and nonlease components. Additionally, the Company did not consider any leases with original lease terms less than one year. See Note 2 for additional disclosures related to the Company’s leases.

Accounting standards not yet adopted—In June 2016, the FASB issued ASU 2016-13, Topic 326, Financial Instruments – Credit Losses (“ASU 2016-13”). ASU 2016-13 changes the impairment model for most financial assets and will require the use of an “expected loss” model for instruments measured as amortized cost. This pronouncement is effective for fiscal years, and for interim periods within those fiscal years, beginning after December 15, 2019. The Company expects to adopt the standard effective December 30, 2019. The Company is currently reviewing the requirements of the standard.

NOTE 2: LEASES

Tribune’s leased facilities are approximately 4.0 million square feet in the aggregate. The Company currently has leased newspaper production facilities in Connecticut, Florida, Illinois, Maryland, New Jersey, and Pennsylvania, however Tribune owns substantially all of the production equipment. For printing plants, the initial lease term is 10 years with two options to renew for additional 10 year terms. For distribution facilities, the initial lease term is generally five years, with options to renew either two or three additional five year terms. Our corporate headquarters are located at 160 N. Stetson Avenue, Chicago, Illinois. The lease is for approximately 137,000 square feet with a 10 year and 11 month term for one floor and a 12 year term for four floors, expiring in 2028 and 2030, respectively. The Company has rent escalations, rent holidays and leasehold improvement incentives which are included in the determination of the right-of-use asset (“ROU”) and the lease liabilities.

Tribune subleases certain facilities that are approximately 0.1 million square feet in aggregate. The terms of these subleases are from five to seven years and expire between 2019 and 2023.

Tribune determines if an arrangement is a lease at inception. Operating leases are included in lease ROU assets, current portion of long-term lease liabilities, and long-term lease liabilities on the consolidated balance sheets. Finance leases are included in property, plant and equipment, current portion of long-term debt and long-term debt on the consolidated balance sheets. Amortization of the operating leases ROU assets is included in other operating expenses. Amortization of finance leases is included in depreciation expense. Sublease income is included as an offset to lease expense in other operating expenses.

Operating lease ROU assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. As most of the Company’s leases do not provide an implicit rate, Tribune uses its incremental borrowing rate based on the information available at commencement date in determining the present value of future payments. The recorded operating lease ROU asset on the balance sheet reflects lease payments made to date and excludes lease incentives and initial direct costs incurred. The lease terms may include options to

10

TRIBUNE PUBLISHING COMPANY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

extend or terminate the lease when it is reasonably certain that the option will be exercised. Lease expense for minimum lease payments is recognized on a straight-line basis over the lease term. Certain lease agreements have lease and non-lease components, which are generally accounted for together.

Below is a summary of information related to the Company’s leases (in thousands) for the three months ended March 31, 2019:

Lease cost:
Finance lease cost	$	78
Operating lease cost	7,496
Variable lease cost	1,625
Sublease income	(1,129		)
Total lease cost	$	8,070
Other information:
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	8,305
Financing cash flows from finance leases	$	50
Right of use assets obtained in exchange for new operating lease liabilities	$	121
Weighted average remaining lease term - finance leases	2.0
Weighted average remaining lease term - operating leases	6.4
Weighted average discount rate - finance leases	5.7		%
Weighted average discount rate - operating leases	4.72		%

Future minimum lease payments under noncancelable operating lease arrangements having initial terms of one year or more as of March 31, 2019 are as follows (in thousands):

	Operating leases		Finance leases		Subleases
4/1/2019 - 3/30/2020	$	31,589	$	413	$	3,966
3/31/2020 - 3/28/2021	28,977		100		3,300
3/29/2021 - 3/27/2022	26,333		6,892		2,491
3/28/2022 - 3/26/2023	24,036		—		2,280
3/27/2023 - 3/31/2024	12,701		—		1,582
Thereafter	39,461		—		—
Total future lease payments	$	163,097	$	7,405	$	13,619
Less imputed interest	$	24,094	$	225	$	—
Net future minimum lease payments	$	139,003	$	7,180	$	13,619

NOTE 3: REVENUE RECOGNITION

Revenues are recognized when control of the promised goods or services is transferred to customers, in an amount that reflects the consideration the Company expects to be entitled to in exchange for goods or services. Revenues are recognized as performance obligations that are satisfied at either a point in time, such as when an advertisement is published, or over time, such as content licensing.

The Company receives a significant portion of the payments from its subscribers in advance of the delivery of the content both either in print or digitally. These up-front payments and fees are recorded as deferred revenue upon receipt and

11

TRIBUNE PUBLISHING COMPANY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

generally require deferral of revenue recognition to a future period until the Company performs its obligations under the subscription agreement. The deferred revenue is recognized as revenue as the content is delivered. The deferred revenue is considered a contract liability under ASC 606. Amounts are recorded as accounts receivable when the Company’s right to consideration is unconditional. Therefore, the Company has no contract assets as defined under ASC 606. As of December 30, 2018, the Company had a contract liabilities balance from continuing operations of $54.0 million, of which $34.4 million has been recognized as revenue in the three months ended March 31, 2019.

The Company’s revenues disaggregated by type of revenue and segment are presented in Note 17.

The Company generally expenses sales commissions when incurred because the amortization period would have been one year or less. These costs are recorded within cost of sales. Additionally, the Company does not disclose the value of unsatisfied performance obligations because the vast majority of contracts have original expected lengths of one year or less and payment terms are generally short-term in nature unless a customer is in bankruptcy.

NOTE 4: CHANGES IN OPERATIONS

Employee Reductions

The Company continually assesses its operations in an effort to identify opportunities to enhance operational efficiencies and reduce expenses. In the past these activities have included, and could include in the future, outsourcing of various functions or operations, abandonment of leased space and other activities which may result in changes to employee headcount. The discussion and amounts below represent activity in the Company’s continuing operations and exclude any amounts in the Company’s assets, liabilities or operations from discontinued operations.

During the three months ended March 31, 2019, the Company implemented reductions in staffing levels in its operations of89 positions for which the Company recorded pretax charges related to these reductions and executive separations totaling $7.0 million. These reductions include 23 positions related to the voluntary severance incentive plan initiated in the fourth quarter of 2018. The related salary continuation payments began during the first quarter and are expected to continue through the first quarter of 2020.

Included in the first quarter severance charge is approximately $4.0 million related to the separation of the Company’s CEO and two senior executives in the digital space. Each of these employees had employment contracts which provided for immediate payout of any contractual compensation under the employment agreement in the event of separation. These employment agreements were amended to permit payment of the severance as salary continuation over the remainder of 2019, during which time equity-based awards would continue to vest. The severance payments to these executives, including compensation and medical benefits, if any, were accrued in the first quarter of 2019. Additionally, as a result of the separation the Company recognized accelerated stock based compensation expense in the first quarter of 2019 of $1.5 million.

During the three months ended April 1, 2018, the Company identified reductions in staffing levels of 182 positions for which the Company recorded pretax charges related to these reductions totaling $5.7 million.

A summary of the activity with respect to the Company’s severance accrual for the three months ended March 31, 2019 is as follows (in thousands):

Balance at December 30, 2018	$	28,845
Provision	7,042
Payments	(19,461		)
Balance at March 31, 2019	$	16,426

Charges for severance and related expenses are included in compensation expense in the accompanying Consolidated Statements of Loss.

12

TRIBUNE PUBLISHING COMPANY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

NOTE 5: RELATED PARTY TRANSACTIONS

Transition Services Agreement with NantMedia Holdings, LLC

In connection with the closing of the sale of the California Properties, the Company entered into a transition services agreement (“TSA”) with NantMedia Holdings, LLC (“NantMedia”), providing for up to twelve months of transition services between the parties at negotiated rates approximating cost. On January 17, 2019, this agreement was amended to extend the date of transition services to June 30, 2020. Either party may discontinue all or a portion of the services being provided to such party by providing 60 days advance notice. See Note 7 for additional information on the sale of the California Properties.

As the operational transition continues, there are certain costs that the Company paid on behalf of NantMedia due to commingled contracts and processes. Such costs include newsprint, rent, benefits, and other operating activities. The TSA provides for reimbursement to the Company for such charges until the contracts and processes can be separated. Additionally, the Company receives some revenue payments related to commingled revenue contracts that include the California Properties. These payments are reimbursed to NantMedia. A summary of the activity with respect to the TSA for the three and three months ended March 31, 2019 is as follows (in thousands):

	Three months ended March 31, 2019
Accounts receivable from NantMedia beginning balance	$	17,909
Revenue for TSA services	7,005
Reimbursable costs	16,346
Amounts received for TSA services	(5,866		)
Amounts received for reimbursable costs	(25,237		)
Amounts paid to third parties under commingled revenue contracts	6,065
Amounts collected from third parties under commingled revenue contracts	(5,447		)
Accounts receivable from NantMedia balance as of March 31, 2019(i)	$	10,775

⁽ⁱ⁾The accounts receivable from NantMedia balance as of March 31, 2019 consists of $8.6 million of charges which had been billed and $2.2 million of charges which had not been billed as of that date.

Merrick Consulting Agreement

On December 20, 2017, the Company entered into a Consulting Agreement with Merrick Ventures LLC (“Merrick Ventures”) and solely for certain sections thereof, Michael W. Ferro, Jr. and Merrick Media, LLC (“Merrick Media”). At the time the agreement was signed, Mr. Ferro was also Chairman of Tribune’s Board of Directors and, together with Merrick Ventures and Merrick Media, a significant stockholder. The Consulting Agreement provided for the engagement of Merrick Ventures on a non-exclusive basis to provide certain management expertise and technical services for an annual fee of $5 million in cash, payable in advance on the first business day of each calendar year. The Consulting Agreement provided for a rolling three-year term, with the initial term continuing through December 31, 2020. The Company made the initial $5.0 million payment in early January 2018. On March 18, 2018, Mr. Ferro retired from the Company’s Board. As Mr. Ferro was no longer actively engaged in the business and the Company remained contractually committed for the future payments due under the Consulting Agreement, the Company recognized expense for the full $15.0 million due under the Consulting Agreement in outside services in the first quarter of 2018. In the second quarter of fiscal year 2018, the Company amended the Consulting Agreement. The amendment reduced the total fees due under the Consulting Agreement by $2.5 million (from $15 million to $12.5 million) and allows the Company to engage Merrick Ventures as its advisor, if it so chooses, but at no additional cost to the Company. If so engaged, the Company would indemnify Merrick Ventures if the Company requests it to meet with third parties. In June 2018, the Company paid the remaining $7.5 million in fees due under the amended Consulting Agreement in connection with the execution of the amendment. The Company recognized a credit of $2.5 million for the reduction in fees due under the Consulting Agreement in outside services in the second quarter of 2018. The non-

13

TRIBUNE PUBLISHING COMPANY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

compete covenants and amended Securities Purchase Agreement terms contained in the Consulting Agreement were not altered by the amendment and remain in place through December 31, 2020.

NOTE 6: ACQUISITIONS

Virginian-Pilot

On May 28, 2018, the Company acquired Virginian-Pilot Media Companies, LLC (“Virginian-Pilot”), the owner of The Virginian-Pilot daily newspaper based in Norfolk, Virginia, pursuant to a Securities Purchase Agreement, for a cash purchase price of $34.0 million less a post-close working capital adjustment of $0.1 million from the seller.

During the first quarter of 2019, the Company completed the determination of the fair value of the assets acquired, including intangible assets and noncontrolling interest, and liabilities assumed. There were no adjustment to the allocation of the purchase price which is as follows (in thousands):

Consideration
Cash consideration for acquisition	$	33,912
Total consideration	33,912
Allocated Fair Value of Acquired Assets and Assumed Liabilities
Accounts receivable and other current assets	8,257
Property, plant and equipment	29,843
Mastheads	4,700
Intangible assets subject to amortization	1,300
Accounts payable and other current liabilities	(10,749		)
Other long term obligations	(68		)
Total identifiable assets (liabilities), net	33,283
Goodwill	629
Total net assets acquired	$	33,912

NOTE 7: DISPOSITIONS AND DISCONTINUED OPERATIONS

On February 7, 2018, the Company entered into a Membership Interest Purchase Agreement (“MIPA”) by and between the Company and Nant Capital, LLC (“Nant Capital”) pursuant to which the Company agreed to sell the California Properties to Nant Capital for an aggregate purchase price of $500 million in cash, plus the assumption of unfunded pension liabilities related to the San Diego Pension Plan, less a post-closing working capital adjustment to the buyer of $9.7 million (the "Nant Transaction"). The Nant Transaction closed on June 18, 2018 and resulted in a pre-tax gain of $404.8 million. The operations of the California Properties were included in both the M and X segments.

On May 23, 2018, the Company sold substantially all of the assets of forsalebyowner.com in an asset sale for $2.5 million, less a post-closing working capital payment to the buyer of $0.1 million, plus an advertising sales commitment of $4.5 million over a term of two years. The forsalebyowner.com balances are reflected as related to discontinued operations on the consolidated balance sheets for all periods presented and the results of operations are included in discontinued operations for all periods presented. In prior filings, forsalebyowner.com was part of segment X.

14

TRIBUNE PUBLISHING COMPANY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

Discontinued Operations

Earnings from discontinued operations for the three months ended April 1, 2018, included in the Consolidated Statements of Loss are comprised of the following (in thousands):

Operating revenues	$	117,077
Operating expenses:
Compensation	33,698
Newsprint and ink	7,436
Outside services	31,575
Other operating expenses	29,887
Depreciation and amortization	2,058
Total operating expenses	104,654
Income from operations	12,423
Interest expense, net	(30		)
Gain on equity investments, net	725
Income tax expense	(588		)
Income from discontinued operations, net of tax	$	13,706

Discontinued operations by segment for the three months ended April 1, 2018, are presented below (in thousands):

Operating revenues
M	$	104,206
X	12,859
Corporate and eliminations	12
	$	117,077
Income from Operations
M	$	10,416
X	2,007
Corporate and eliminations	—
	$	12,423
Depreciation and amortization
M	$	1,993
X	65
	$	2,058

The following table presents the aggregate carrying amounts of assets and liabilities related to discontinued operations in the Consolidated Balance Sheets (in thousands):

	March 31, 2019		December 30, 2018
Carrying amount of liabilities associated with discontinued operations:
Income Tax Payable	6,249		6,249
Total liabilities associated with discontinued operations	$	6,249	$	6,249

15

TRIBUNE PUBLISHING COMPANY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

NOTE 8: INVENTORIES

Inventories consisted of the following (in thousands):

	As of
	March 31, 2019		December 30, 2018
Newsprint	$	8,968	$	9,273
Supplies and other	299		314
Total inventories	$	9,267	$	9,587

Inventories are stated at the lower of cost or net realizable value determined using the first-in, first-out basis for all inventories.

NOTE 9: GOODWILL AND OTHER INTANGIBLE ASSETS

Goodwill and other intangible assets at March 31, 2019 and December 30, 2018, consisted of the following (in thousands):

	March 31, 2019							December 30, 2018
	Gross Amount		Accumulated Amortization			Net Amount		Gross Amount		Accumulated Amortization			Net Amount
Intangible assets subject to amortization:
Subscribers (useful life of 2 to 10 years)	$	7,312	$	(4,987	)	$	2,325	$	7,312	$	(4,730	)	$	2,582
Advertiser relationships (useful life of 2 to 13 years)	27,648		(13,151		)	14,497		27,648		(12,497		)	15,151
Tradenames (useful life of 20 years)	15,100		(3,538		)	11,562		15,100		(3,343		)	11,757
Other (useful life of 1 to 20 years)	16,181		(4,611		)	11,570		17,744		(4,831		)	12,913
Total intangible assets subject to amortization	$	66,241	$	(26,287	)	39,954		$	67,804	$	(25,401	)	42,403
Software (useful life of 2 to 10 years)	$	139,095	$	(112,927	)	26,168		$	136,005	$	(108,888	)	27,117
Goodwill and other intangible assets not subject to amortization:
Goodwill						132,172							132,146
Newspaper mastheads						34,826							34,826
Total goodwill and other intangible assets						$	233,120						$	236,492

NOTE 10: INCOME TAXES

For the three months endedMarch 31, 2019, the Company recorded an income tax benefit related to continuing operations of $2.9 million. The effective tax rate on pretax income was 37.9% in the three months endedMarch 31, 2019. For the three months ended March 31, 2019, the rate differs from the U.S. federal statutory rate of 21% primarily due to state income taxes, net of federal benefit, and nondeductible expenses.

For the three months endedApril 1, 2018, the Company recorded an income tax benefit of $6.6 million. The effective tax rate on pretax income from continuing operations was 19.1% in the three months endedApril 1, 2018. For the three months endedApril 1, 2018, the rate differs from the U.S. federal statutory rate of 21% primarily due to state income taxes, net of federal benefit and nondeductible expenses. For fiscal year 2018, the Company forecasted a full year pretax loss. In the case of a pretax loss, the unfavorable permanent differences, such as non-deductible meals and entertainment expense, have the effect of decreasing the tax benefit which, in turn, decreases the effective tax rate.

16

TRIBUNE PUBLISHING COMPANY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

NOTE 11: PENSION AND OTHER POSTRETIREMENT BENEFITS

Multiemployer Pension Plans

The Company contributes to a number of multiemployer defined benefit pension plans under the terms of collective-bargaining agreements that cover its union-represented employees. In April 2019, the Company made a contribution of $10.1 million to the amended rehabilitation plan for the Chicago Newspaper Publishers Drivers’ Union Pension Plan which will be expensed in the second quarter of 2019. The Company expects to contribute $1.6 million in the remainder of 2019.

Defined Benefit Plans

The Company is the sponsor of a single-employer defined benefit plan, the Daily News Retirement Plan (the “NYDN Pension Plan”). The NYDN Pension Plan provides benefits to certain current and former employees of the New York Daily News. As of March 31, 2018, future benefits under the NYDN Pension Plan were frozen and no new participants are permitted after that time. The Company contributed $0.5 million to the NYDN Pension Plan in the three months ended March 31, 2019. The Company expects to contribute $2.0 million to the NYDN Pension Plan during the remainder of 2019. The components of net periodic benefit for the NYDN Pension Plan are as follows (in thousands):

	Three Months Ended						Affected Line Items in the Consolidated Statements of Loss
	March 31, 2019			April 1, 2018
Service cost	$	80		$	80		Compensation
Interest cost	811			811			Other income, net
Expected return on assets	(1,168		)	(1,168		)	Other income, net
Net periodic benefit	$	(277	)	$	(277	)

Postretirement Benefits Other Than Pensions

The Company provides postretirement health care to retirees pursuant to a number of benefit plans. The plans are frozen for new non-union employees. There is some variation in the provisions of these plans, including different provisions for lifetime maximums, prescription drug coverage and certain other benefits. The components of net periodic benefit credit for the Company’s postretirement health care and life insurance plans are as follows (in thousands):

	Three Months Ended						Affected Line Items in the Consolidated Statements of Loss
	March 31, 2019			April 1, 2018
Service cost	$	4		$	3		Compensation
Interest cost	10			9			Other income, net
Amortization of prior service credits	(82		)	(2,634		)	Other income, net
Amortization of actuarial gains	—			(658		)	Other income, net
Net periodic benefit	$	(68	)	$	(3,280	)

NOTE 12: NONCONTROLLING INTEREST

The noncontrolling interest represents the 40% membership interest in BestReviews not owned by the Company. In connection with acquisition of BestReviews, the Company and the seller entered into an amended and restated limited liability company agreement of BestReviews (the “LLC Agreement”). Subject to the terms of the LLC Agreement, the Company currently has the right, which began six months after the closing date of the acquisition, to purchase all (but not less than all) of the remaining 40% of the membership interests of BestReviews (the “Call Option”). In addition, beginning six months after closing date of the acquisition, the Company is entitled to exercise a one-time right to purchase 25% of the units of membership interest of BestReviews retained by the seller with terms identical to those applicable to the Call Option.

The seller also has the right, beginning three years after closing date of the acquisition, to cause the Company to purchase all (but not less than all) of the remaining 40% of the membership interests of BestReviews (the “Put Option”) at a purchase price to be determined in the same manner as if the Call Option was exercised.

17

TRIBUNE PUBLISHING COMPANY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

The noncontrolling interest is presented between liabilities and stockholders’ equity within the Company’s consolidated balance sheet because the Put Option described above could, upon exercise, require the Company, under certain circumstances, to pay cash to purchase the noncontrolling interest. Each quarter, the carrying value of noncontrolling interest is adjusted to the amount the Company would be required to pay the noncontrolling interest holders as if the Put Option had been exercised as of the balance sheet date, with an offsetting adjustment to stockholders’ equity. Adjustments to increase (decrease) the carrying value of noncontrolling interest also reduce (increase) the amount of net income or loss attributable to Tribune common stockholders for purposes of determining both basic and diluted earnings per share.

A summary of the activity with respect to non-controlling interest for the three months ended March 31, 2019 is as follows (in thousands):

Balance at December 30, 2018	$	39,756
Loss attributable to noncontrolling interest	(39		)
Balance at March 31, 2019	$	39,717

NOTE 13: EARNINGS PER SHARE

Basic earnings per common share is calculated by dividing net income (loss) attributable to Tribune common stockholders by the weighted average number of shares of common stock outstanding. Diluted earnings per common share is similarly calculated, except that the calculation includes the dilutive effect of the assumed issuance of common shares under equity-based compensation plans, except where the inclusion of such common shares would have an anti-dilutive impact. In accordance with ASC 260-10-55, net loss from continuing operations is the control number in determining whether potential common shares are dilutive. Since there is loss from continuing operations, all potential common shares are considered anti-dilutive.

18

TRIBUNE PUBLISHING COMPANY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

For the three months endedMarch 31, 2019 and April 1, 2018, basic and diluted earnings per common share were as follows (in thousands, except per share amounts):

	Three Months Ended
	March 31, 2019			April 1, 2018
Income (Loss) - Numerator:
Net loss from continuing operations	$	(4,714	)	$	(28,071	)
Less: Net income (loss) from continuing operations attributable to noncontrolling interest	(39		)	262
Loss available to common shareholders, before discontinued operations	(4,675		)	(28,333		)
Income from discontinued operations	—			13,706
Net loss available to Tribune stockholders	$	(4,675	)	$	(14,627	)
Shares - Denominator:
Weighted average number of common shares outstanding (basic)	35,628			34,801
Dilutive effect of employee stock options and RSUs	—			—
Adjusted weighted average shares outstanding (diluted)	35,628			34,801
Net loss attributable to Tribune per common share:
Continuing operations	$	(0.13	)	$	(0.81	)
Discontinued operations	—			0.39
Net loss per common share	$	(0.13	)	$	(0.42	)
Diluted loss per common share:
Continuing operations	$	(0.13	)	$	(0.81	)
Discontinued operations	—			0.39
Net loss per common share-diluted	$	(0.13	)	$	(0.42	)

The number of stock options that were excluded from the computation of diluted earnings per share because their inclusion would result in an anti-dilutive effect on per share amounts was 924,887 and 1,022,387 for both the three months endedMarch 31, 2019 and April 1, 2018, respectively.

19

TRIBUNE PUBLISHING COMPANY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

The number of RSUs that were excluded from the computation of diluted earnings per share because their inclusion would result in an anti-dilutive effect on per share amounts was 1,224,481 and 1,912,370 for both the three months endedMarch 31, 2019 and April 1, 2018, respectively.

NOTE 14: STOCKHOLDERS’ EQUITY

Stock Repurchases

On March 13, 2019, the Board of Directors authorized $25.0 million to be used for stock repurchases for 24 months from the date of authorization. No repurchases were made in the three months ended March 31, 2019.

Significant Shareholders

Merrick Media, LLC

On March 23, 2017, the Company entered into Amendment No. 1 (the “Amendment”) to the Securities Purchase Agreement dated February 3, 2016 among the Company, Merrick Media, LLC (“Merrick Media”) and Michael W. Ferro, Jr., the Company’s non-executive Chairman of the Board at the time the agreement was signed. The Amendment increased from 25% to 30% the maximum percentage of the Company’s outstanding shares of common stock that Merrick Media and its affiliates may acquire. This restriction expired on February 4, 2019 or 30 days after the consulting agreement with Merrick Ventures.

Mr. Ferro is the manager of Merrick Venture Management, LLC, which is the sole manager of Merrick Media. Because Merrick Venture Management, LLC serves as the sole manager of Merrick Media, Mr. Ferro may be deemed to indirectly control all of the shares of the Company’s common stock owned by Merrick Media. Mr. Ferro, together with his affiliated entities, beneficially owned 9,071,529 shares of Tribune common stock, which represented 25.4% of Tribune common stock as of March 31, 2019.

20

TRIBUNE PUBLISHING COMPANY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

Nant Capital, LLC

Dr. Patrick Soon-Shiong, a former director of the Company, together with Nant Capital, LLC (“Nant Capital”), beneficially own 8,743,619 shares of Tribune common stock, which represented 24.5% of the outstanding shares of Tribune common stock as of March 31, 2019. California Capital Equity, LLC (“CalCap”) directly owns all of the equity interests of Nant Capital, and CalCap may be deemed to have beneficial ownership of the shares held by Nant Capital. Dr. Soon-Shiong directly owns all of the equity interests of CalCap and may be deemed to beneficially own and share voting power and investment power with Nant Capital over all shares of Tribune common stock beneficially owned by Nant Capital. Under the Securities Purchase Agreement dated May 22, 2016, among the Company, Nant Capital and Dr. Patrick Soon-Shiong (“Nant Purchase Agreement”), Nant Capital and Dr. Soon-Shiong and their respective affiliates are prohibited, without the prior written approval of the Board of Directors, from acquiring additional equity of the Company if the acquisition could result in their beneficial ownership of more than 25% of the Company’s then-outstanding shares of common stock. This prohibition expires on June 1, 2019. The Nant Purchase Agreement also includes covenants perpetually prohibiting the transfer of shares of the Company’s common stock if the transfer would result in a person beneficially owning more than 4.9% of the Company’s then-outstanding shares of common stock following the transfer, as well as transfers to a material competitor of the Company in any of the Company’s then-existing primary geographical markets.

On January 17, 2019, Dr. Patrick Soon-Shiong, NantMedia Holdings, LLC and Nant Capital entered into a Standstill and Voting Agreement (“Standstill Agreement”) with the Company. The Standstill Agreement provides that until June 30, 2020, Dr. Patrick Soon-Shiong, Nant Media, and Nant Capital will not (a) make or participate in any solicitation of proxies to vote, or seek to advise or knowingly influence any person with respect to the voting of any voting securities of the Company, (b) join or participate in a “group” (as defined in the rules of the SEC) in connection with any securities of the Company or (c) seek to control or knowingly influence the management, board of directors or policies of the Company. Furthermore, under the Standstill Agreement, Dr. Patrick Soon-Shiong, Nant Media and Nant Capital will, until June 30, 2020, vote their shares of common stock (a) in favor of each nominee or director designated by the Nominating and Governance Committee of the Board of Directors at each election of directors and (b) in accordance with the Board’s recommendations on any change of control transaction involving the Company at or above a minimum purchase price. The Company has recorded a charge to non-operating expense for $0.5 million related to the Standstill Agreement.

NOTE 15: ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)

The following table sets forth the components of accumulated other comprehensive income (loss), net of tax, where applicable (in thousands):

	Foreign Currency			OPEB			Pension			Total
Balance at December 30, 2018	$	(39	)	$	303		$	(237	)	$	27
Amounts reclassified from AOCI	—			(59		)	—			(59		)
Foreign currency translation adjustments	(2		)	—			—			(2		)
Balance at March 31, 2019	$	(41	)	$	244		$	(237	)	$	(34	)

21

TRIBUNE PUBLISHING COMPANY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

The following table presents the amounts and line items in the Consolidated Statements of Loss where adjustments reclassified from accumulated other comprehensive income (loss) were recorded during the three months endedMarch 31, 2019 and April 1, 2018 (in thousands):

	Three Months Ended
	March 31, 2019			April 1, 2018			Affected Line Items in the Consolidated Statements of Loss
Accumulated Other Comprehensive Income (Loss) Components
Pension and postretirement benefit adjustments:
Amortization of prior service credits	$	(82	)	$	(2,634	)	Other income, net
Amortization of actuarial gains	—			(658		)	Other income, net
Total before taxes	(82		)	(3,292		)
Tax effect	(23		)	(915		)	Income tax benefit
Total reclassifications for the period	$	(59	)	$	(2,377	)

NOTE 16: CONTINGENCIES

Legal Proceedings

The Company is subject to various legal proceedings and claims that have arisen in the ordinary course of business. The legal entities comprising our operations are defendants from time to time in actions for matters arising out of their business operations. In addition, the legal entities comprising our operations are involved from time to time as parties in various regulatory, environmental and other proceedings with governmental authorities and administrative agencies.

NOTE 17: SEGMENT INFORMATION

The Company’s business segments are based on the organization structure used by management for making operating and investment decisions and for assessing performance. Segment M is comprised of the Company’s media groups excluding their digital revenues and related digital expenses, except digital subscription revenues when bundled with a print subscription. Segment X includes the Company’s digital revenues and related digital expenses from local Tribune websites, third party websites, mobile applications, digital only subscriptions, TCA, and BestReviews. The Company determined that the disposition of the California Properties and forsalebyowner.com did not result in changes to the Company’s segments. Assets are not presented to or used by management at a segment level for making operating and investment decisions and therefore are not reported.

The Company measures segment profit using income (loss) from operations, which is defined as income (loss) from operations before net interest expense, gain on investment transactions, reorganization items and income taxes.

22

TRIBUNE PUBLISHING COMPANY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

Disaggregated operating revenues and income (loss) from continuing operations by operating segment for the three months ended March 31, 2019 and April 1, 2018, respectively, were as follows for the periods indicated (in thousands):

	Three Months Ended
	M					X						Corporate and Eliminations						Consolidated
	(Print)					(Digital)
	Mar 31, 2019		Apr 1, 2018			Mar 31, 2019			Apr 1, 2018			Mar 31, 2019			Apr 1, 2018			Mar 31, 2019			Apr 1, 2018
Advertising	$	75,932	$	82,742		$	20,836		$	22,050		$	—		$	—		$	96,768		$	104,792
Circulation	86,670		84,626			—			—			—			—			86,670			84,626
Commercial print and delivery	24,459		27,005			—			—			—			—			24,459			27,005
Direct mail	8,638		7,603			—			—			—			—			8,638			7,603
Content syndication and other	2,326		2,235			18,747			13,094			6,917			(989		)	27,990			14,340
Other	35,423		36,843			18,747			13,094			6,917			(989		)	61,087			48,948
Operating revenues	198,025		204,211			39,583			35,144			6,917			(989		)	244,525			238,366
Operating expenses	184,227		204,411			44,783			35,755			22,917			29,278			251,927			269,444
Income (loss) from operations	$	13,798	$	(200	)	$	(5,200	)	$	(611	)	$	(16,000	)	$	(30,267	)	(7,402		)	(31,078		)
Interest income (expense), net																		220			(6,564		)
Loss on early extinguishment of debt																		—			—
Loss on investments, net																		(487		)	(729		)
Other income, net																		73			3,663
Loss from continuing operations before income taxes																		$	(7,596	)	$	(34,708	)
Depreciation and amortization	$	6,286	$	3,972		$	2,177		$	4,549		$	3,621		$	3,925		$	12,084		$	12,446

The operating revenues and operating results from continuing operations presented above are not necessarily indicative of the results that may be expected for the full fiscal year.

NOTE 18: SUPPLEMENTAL CASH FLOW INFORMATION

Supplemental cash flow information for each of the periods presented is as follows (in thousands):

	Three months ended
	March 31, 2019			April 1, 2018
Cash paid during the period for:
Interest	$	—		$	5,272
Income taxes, net of refunds	(141		)	167
Non-cash items in investing activities:
Value of shares issued for acquisition	—			34,595

The Company established restricted cash to collateralize outstanding letters of credit related to workers compensation obligations. The following table provides a reconciliation of cash, cash equivalents, and restricted cash as

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TRIBUNE PUBLISHING COMPANY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

reported within the Consolidated Condensed Balance Sheet that sum to the cash, cash equivalents and restricted cash as reported in the Consolidated Statement of Cash Flows (in thousands):

	As of
	March 31, 2019		December 30, 2018
Cash and cash equivalents	$	98,206	$	97,560
Restricted cash included in other assets	43,947		43,947
Total cash, cash equivalents, and restricted cash shown in the statement of cash flows	$	142,153	$	141,507

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Item 2.Management’s Discussion and Analysis of Financial Condition and Results of Operations

The following discussion and analysis should be read in conjunction with the other sections of this Quarterly Report on Form 10-Q, including the Company’s Consolidated Financial Statements and related Notes filed as part of this Quarterly Report, and “Cautionary Statement Concerning Forward-Looking Statements.” Management’s Discussion and Analysis of Financial Condition and Results of Operations contains a number of forward-looking statements, all of which are based on our current expectations and could be affected by the uncertainties and other factors described throughout this Quarterly Report as well as the factors described in our Annual Report on Form 10-K as filed with the SEC on March 18, 2019 (“the “2018 Annual Report”), particularly under Item 1A. “Risk Factors,” and in the Company’s other filings with the SEC.

We believe that the assumptions underlying the Consolidated Financial Statements included in this Quarterly Report are reasonable. However, the Consolidated Financial Statements may not necessarily reflect our results of operations, financial position and cash flows for future periods.

OVERVIEW

Tribune Publishing Company was formed as a Delaware corporation on November 21, 2013. Tribune Publishing Company together with its subsidiaries (collectively, the “Company” or “Tribune”) is a media company rooted in award-winning journalism. Headquartered in Chicago, Tribune operates local media businesses in eight markets with titles including the Chicago Tribune, New York Daily News, The Baltimore Sun, Orlando Sentinel, South Florida’s Sun Sentinel, Virginia’s Daily Press and The Virginian-Pilot, The Morning Call of Lehigh Valley, Pennsylvania andthe Hartford Courant. Tribune also operates Tribune Content Agency (“TCA”) and on February 6, 2018, the Company became a majority owner in BestReviews LLC (“BestReviews”). On May 28, 2018, the Company acquired Virginian-Pilot Media Companies, LLC, owner of The Virginian-Pilot a daily newspaper based in Norfolk, Virginia and associated businesses (“Virginian-Pilot”).

Tribune’s continuing legacy of brands have earned a combined 61 Pulitzer Prizes and are committed to informing, inspiring and engaging local communities. Tribune’s brands create and distribute content across its media portfolio, offering integrated marketing, media, and business services to consumers and advertisers, including digital solutions and advertising opportunities.

The Company continually assesses its operations in an effort to identify opportunities to enhance operational efficiencies and reduce expenses. In the past these activities have included, and could include in the future, outsourcing of various functions or operations, abandonment of leased space and other activities which may result in changes to employee headcount. See Note 4 to the Consolidated Financial Statements for more information on changes in operations in the first three months of 2019. The Company expects to continue to take actions deemed appropriate to enhance profitability but does not currently know whether or when any such actions will occur or the potential costs and expected savings. Depending on the actions taken and the timing of any such actions, the anticipated cost savings could be recognized in fiscal periods that do not correspond to the fiscal period(s) in which the charges are recognized. As a result, the Company’s net income trends could be impacted and more difficult to predict.

Segments

The Company manages its business as two distinct segments, M and X. Segment M is comprised of the Company’s media groups excluding their digital revenues and related digital expenses, except digital subscription revenues when bundled with a print subscription. Segment X includes the Company’s digital revenues and related digital expenses, from local Tribune websites, third party websites, mobile applications, digital-only subscriptions, Tribune Content Agency, and BestReviews.

Segment M

Segment M’s media groups include the Chicago Tribune Media Group, the Sun Sentinel Media Group, the Orlando Sentinel Media Group, The Baltimore Sun Media Group, the Hartford Courant Media Group, the Morning Call Media Group, the New York Daily News Group and the Virginia Media Group (includes the Daily Press and TheVirginian-Pilot).

In the three months ended March 31, 2019, 38.3% of segment M’s operating revenues were derived from advertising. These revenues were generated from the sale of advertising space in published issues of the newspapers and from the delivery of preprinted advertising supplements. Approximately 43.8% of operating revenues for the three months

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ended March 31, 2019 were generated from the sale of newspapers and other publications to individual subscribers or to sales outlets that re-sell the newspapers. The remaining 17.9% of operating revenues for the three months ended March 31, 2019 were generated from the provision of commercial printing and delivery services to other newspapers, direct mail advertising and services, and other related activities.

Newspaper print advertising is typically in the form of display, preprint or classified advertising. Advertising and marketing services revenues are comprised of three basic categories: retail, national and classified. Retail is a category of customers who tend to do business directly with the public. National is a category of customers who tend to do business directly with other businesses. Classified is a type of advertising which is other than display or preprint.

Circulation revenue results from the sale of print editions of newspapers to individual subscribers and the sale of print editions of newspapers to sales outlets that re-sell the newspapers.

Other revenues are derived from commercial printing and delivery services provided to other newspapers, direct mail advertising and services and other related activities. The Company contracts with a number of national and local newspapers to both print and distribute their respective publications in local markets where it is a newspaper publisher. In some instances where it prints publications, it also manages and procures newsprint, ink and plates on their behalf. These arrangements allow the Company to leverage its investment in infrastructure in those markets that support its own publications. As a result, these arrangements tend to contribute incremental profitability and revenues. The Company currently distributes national newspapers (including The New York Times, USA Today, and The Wall StreetJournal) in its local markets under multiple agreements. Additionally, in New York, Chicago, and South Florida, the Company provides some or all of these services to other local publications.

Products and Services

Our product mix consists of three publication types: (i) daily newspapers, (ii) weekly newspapers and (iii) niche publications and direct mail. The key characteristics of each of these types of publications are summarized in the table below.

	Daily Newspapers	Weekly Newspapers	Niche Publications
Cost:	Paid	Paid and free	Paid and free
Distribution:	Distributed four to seven days per week	Distributed one to three days per week	Distributed weekly, monthly or on an annual basis
Income:	Revenue from advertisers, subscribers, rack/box sales	Paid: Revenue from advertising, subscribers, rack/box sales	Paid: Revenue from advertising, rack/box sales
		Free: Advertising revenue only	Free: Advertising revenue only

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As of March 31, 2019, the Company’s prominent print publications include:

Media Group	City	Masthead	Circulation Type	Paid or Free
Chicago Tribune Media Group
	Chicago, IL	Chicago Tribune	Daily	Paid
	Chicago, IL	Chicago Magazine	Monthly	Paid
	Chicago, IL	Hoy	Weekly	Free
	Chicago, IL	RedEye	Weekly	Free
The New York Daily News Group
	New York, NY	New York Daily News	Daily	Paid
Sun Sentinel Media Group
	Broward County, FL, Palm Beach County, FL	Sun Sentinel	Daily	Paid
	Broward County, FL, Palm Beach County, FL	el Sentinel	Weekly	Free
Orlando Sentinel Media Group
	Orlando, FL	Orlando Sentinel	Daily	Paid
	Orlando, FL	el Sentinel	Weekly	Free
The Baltimore Sun Media Group
	Baltimore, MD	The Baltimore Sun	Daily	Paid
	Annapolis, MD	The Capital	Daily	Paid
	Westminster, MD	Carroll County Times	Daily	Paid
Hartford Courant Media Group
	Hartford County, CT, Middlesex County, CT, Tolland County, CT	The Hartford Courant	Daily	Paid
Virginia Media Group
	Newport News, VA (Peninsula)	Daily Press	Daily	Paid
	Norfolk, VA	The Virginian-Pilot	Daily	Paid
The Morning Call Media Group
	Lehigh Valley, PA	The Morning Call	Daily	Paid

Segment X

Segment X comprises the Company’s digital operations and includes the Company’s digital revenues and related digital expenses from local Tribune websites, third party websites, mobile applications, digital only subscriptions, TCA, and BestReviews.

TCA is a syndication and licensing business providing content solutions for publishers around the globe.  Working with a vast collection of the world’s news and information sources, TCA delivers a daily news service and syndicated premium content to over 2,000 media and digital information publishers in more than 70 countries. Tribune News Service delivers material from 70 leading publications, including Chicago Tribune, Bloomberg News, Miami Herald, The Dallas Morning News, Seattle Times,The Philadelphia Inquirer, and Los Angeles Times. Tribune Premium Content syndicates columnists such as Leonard Pitts, Cal Thomas, Clarence Page, Ask Amy, and Rick Steves. TCA manages the licensing of premium content from publications such as Rolling Stone, The Atlantic, Fast Company, Mayo Clinic, Variety and many more. TCA traces its roots to 1918.

On February 6, 2018, the Company acquired a 60% membership interest in BestReviews LLC (“BestReviews”), a company engaged in the business of testing, researching and reviewing consumer products. BestReviews generates referral fee revenue by directing online traffic from their published reviews to sites where the products can be purchased. BestReviews has affiliate agreements with online sellers, of which the two largest are Amazon.com and Walmart.com. BestReviews receives a referral fee once the product is purchased.

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On May 23, 2018, the Company sold substantially all of the assets of forsalebyowner.com in an asset sale. The forsalebyowner.com results are included in discontinued operations in the statement of operations for all periods presented.

In the three months ended March 31, 2019, 52.6% of segment X’s operating revenues were derived from advertising. These revenues were generated from the sale of advertising space on interactive websites and digital marketing services. The remaining 47.4% of operating revenues for the three months ended March 31, 2019 were generated from the sale of digital content and other related activities.

Digital advertising consists of website display, banner ads, advertising widgets, coupon ads, video, search advertising and linear ads placed by Tribune on websites. Digital marketing services include development of mobile websites, search engine marketing and optimization, social media account management and content marketing for its customers’ web presence for small to medium size businesses.

Products and Services

As of March 31, 2019, the Company’s prominent websites include:

Websites
www.tribpub.com	www.orlandosentinel.com	www.thedailymeal.com
www.chicagotribune.com	www.orlandosentinel/elsentinel.com	www.theactivetimes.com
www.chicagomag.com	www.baltimoresun.com	www.dailypress.com
www.sun-sentinel.com	www.capitalgazette.com	www.pilotonline.com
www.sun-sentinel/elsentinel.com	www.carrollcountytimes.com	www.vivelohoy.com
www.bestreviews.com	www.courant.com	www.redeyechicago.com
www.nydailynews.com	www.themorningcall.com

The Company’s results of operations, when examined on a quarterly basis, reflect the seasonality of Tribune’s revenues. Second and fourth quarter advertising revenues are typically higher than first and third quarter revenues. Results for the second quarter reflect spring advertising revenues, while the fourth quarter includes advertising revenues related to the holiday season.

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Results of Operations

Consolidated

Operating results from continuing operations for the three months ended March 31, 2019 and April 1, 2018 are shown in the table below (in thousands).

	Three months ended
	Mar 31, 2019			Apr 1, 2018			% Change
Operating revenues	$	244,525		$	238,366		2.6	%
Compensation	97,709			110,765			(11.8	%)
Newsprint and ink	16,103			14,598			10.3	%
Outside services	83,813			98,982			(15.3	%)
Other operating expenses	42,218			32,653			29.3	%
Depreciation and amortization	12,084			12,446			(2.9	%)
Total operating expenses	251,927			269,444			(6.5	%)
Loss from operations	(7,402		)	(31,078		)	(76.2	%)
Interest expense, net	220			(6,564		)	*
Loss on equity investments, net	(487		)	(729		)	(33.2	%)
Other income, net	73			3,663			(98.0	%)
Income tax benefit	(2,882		)	(6,637		)	(56.6	%)
Loss from continuing operations	(4,714		)	(28,071		)	(83.2	%)
Income from discontinued operations, net of taxes	—			13,706			*
Net loss	(4,714		)	(14,365		)	(67.2	%)
Income (loss) attributable to noncontrolling interest	(39		)	262			*
Net loss attributable to Tribune	$	(4,675	)	$	(14,627	)	(68.0	%)

* Represents positive or negative change in excess of 100%

Three months ended March 31, 2019 compared to the three months ended April 1, 2018

Operating Revenues—Operating revenues increased2.6%, or $6.2 million, in the three months ended March 31, 2019 compared to the same period for 2018. The increase was due primarily to the combined impact of the acquisitions of BestReviews in the first quarter of 2018, and The Virginian-Pilot in the second quarter of 2018. Such acquisitions contributed $20.2 million in revenue during the three months ended March 31, 2019 compared to $3.2 million during the three months ended April 1, 2018. The increase also includes TSA revenue of $6.9 million. These increases were partially offset by decreases in advertising revenue.

Compensation Expense—Compensation expense decreased11.8%, or $13.1 million, in the three months ended March 31, 2019. This decrease was due primarily to a decrease in salary expense of $18.1 million as a result of the reduction in headcount related to personnel restructuring in the current and prior periods. This decrease was partially offset by increases due to the acquisitions, which contributed $5.0 million in the three months ended March 31, 2019 compared to $0.2 million during the three months ended April 1, 2018.

Newsprint and Ink Expense—Newsprint and ink expense increased10.3%, or $1.5 million, in the three months ended March 31, 2019. This increase was due primarily to the acquisitions, which contributed $1.2 million in the three months ended March 31, 2019.

Outside Services Expense—Outside services expense decreased15.3%, or $15.2 million, in the three months ended March 31, 2019. This decrease was due primarily to expense recorded in 2018 related to the Consulting Agreement described in Note 5 to the Consolidated Financial Statements. Additional decreases in expenses were offset by increases due to the

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acquisitions, which contributed $4.8 million in the three months ended March 31, 2019 compared to $0.2 million during the three months ended April 1, 2018.

Other Operating Expenses—Other expenses include occupancy costs, promotion and marketing costs, affiliate fees and other miscellaneous expenses. These expenses increased29.3%, or $9.6 million, in the three months ended March 31, 2019. This increase was due primarily to the acquisitions, which contributed $9.2 million in the three months ended March 31, 2019 compared to $2.1 million during the three months ended April 1, 2018.

Depreciation and Amortization Expense—Depreciation and amortization expense was consistent with the prior year.

Interest Expense, Net—Interest expense decreased as the Company’s senior term facility was repaid in full in June 2018.

Loss on Equity Investments, Net—Loss on equity investments, net was consistent with the prior year.

Other Income, Net—The decrease in other income, net is due to increased credits in 2018 related to periodic benefit costs. In 2018 the Company terminated the non-union post-retirement medical plan. As such, remaining amounts in accumulated other comprehensive income were amortized to expense during 2018.

Income Tax Benefit—Income tax benefit decreased $3.8 million for the three months ended March 31, 2019 over the prior year period. For the three months ended March 31, 2019, the Company recorded an income tax benefit of $2.9 million. The effective tax rate on pretax income was 37.9% in the three months ended March 31, 2019. This rate differs from the U.S. federal statutory rate of 21% primarily due to state income taxes, net of federal benefit and non-deductible expenses.

For the three months ended April 1, 2018, the Company recorded income tax benefit of $6.6 million. The effective tax rate on pretax income was 19.1% in the three months ended April 1, 2018. This rate differs from the U.S. federal statutory rate of 21% primarily due to state income taxes, net of federal benefit and non-deductible expenses.

Segments

The Company manages its business as two distinct segments, M and X. Segment M is comprised of the Company’s media groups excluding their digital revenues and related digital expenses, except digital subscription revenues when bundled with a print subscription. Segment X includes the Company’s digital revenues and related digital expenses from local Tribune websites, third party websites, mobile applications, digital only subscriptions, TCA, and BestReviews.

The Company measures segment profit using income (loss) from operations, which is defined as net income (loss) before net interest expense, gain on investment transactions, reorganization items and income taxes.

The tables below show the segmentation of income and expenses from continuing operations for the three months endedMarch 31, 2019 as compared to the three months endedApril 1, 2018 (in thousands). Each three-month period consists of 13 weeks.

	Three Months Ended
	M					X						Corporate and Eliminations						Consolidated
	Mar 31, 2019		Apr 1, 2018			Mar 31, 2019			Apr 1, 2018			Mar 31, 2019			Apr 1, 2018			Mar 31, 2019			Apr 1, 2018
Total revenues	$	198,025	$	204,211		$	39,583		$	35,144		$	6,917		$	(989	)	$	244,525		$	238,366
Operating expenses	184,227		204,411			44,783			35,755			22,917			29,278			251,927			269,444
Income (loss) from operations	13,798		(200		)	(5,200		)	(611		)	(16,000		)	(30,267		)	(7,402		)	(31,078		)
Depreciation and amortization	6,286		3,972			2,177			4,549			3,621			3,925			12,084			12,446
Adjustments (1)	3,686		4,877			5,555			1,950			7,366			20,344			16,607			27,171
Adjusted EBITDA	$	23,770	$	8,649		$	2,532		$	5,888		$	(5,013	)	$	(5,998	)	$	21,289		$	8,539

(1) See Non-GAAP Measures for additional information on adjustments.

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Segment M

	Three Months Ended
(in thousands)	Mar 31, 2019		Apr 1, 2018			% Change
Operating revenues:
Advertising	$	75,932	$	82,742		(8.2	%)
Circulation	86,670		84,626			2.4	%
Other	35,423		36,843			(3.9	%)
Total revenues	198,025		204,211			(3.0	%)
Operating expenses	184,227		204,411			(9.9	%)
Income (loss) from operations	13,798		(200		)	*
Depreciation and amortization	6,286		3,972			58.3	%
Adjustments (1)	3,686		4,877			(24.4	%)
Adjusted EBITDA	$	23,770	$	8,649		*

(1) See Non-GAAP Measures for additional information on adjustments.

Three months ended March 31, 2019 compared to the three months ended April 1, 2018

Advertising Revenues—Total advertising revenues decreased 8.2%, or $6.8 million, in the three months ended March 31, 2019. Retail advertising decreased $12.4 million, year over year, primarily due to decreases in furniture, department store, and general merchandise categories. Classified advertising revenues decreased $1.6 million due to decreases in the employment category partially offset by increases in the legal notice category. National advertising remained consistent year over year. These decreases were partially offset by the acquisition of The Virginian-Pilot in the second quarter of 2018. The acquisition contributed $6.6 million in revenue during the three months ended March 31, 2019.

Circulation Revenues—Circulationrevenues increased 2.4%, or $2.0 million, in the three months ended March 31, 2019. This increase was due primarily to the acquisition, which contributed $4.0 million in the three months ended March 31, 2019. The increase attributable to the acquisition was partially offset by a decrease in circulation volume which exceeded increases in rates.

Other Revenues—Other revenues decreased 3.9%, or $1.4 million, in the three months ended March 31, 2019, due primarily to declines of $2.9 million in revenues from commercial print and delivery. These decreases were partially offset by revenues from the acquisition, which contributed $1.2 million in the three months ended March 31, 2019.

Operating Expenses—Operating expenses decreased 9.9%, or $20.2 million, in the three months ended March 31, 2019. The decreases were in all expense categories with the largest being in compensation, insurance and bad debt expense. These decreases were partially offset by expenses from the acquisition, which contributed $14.3 million in the three months ended March 31, 2019.

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Segment X

	Three Months Ended
(in thousands)	Mar 31, 2019			Apr 1, 2018			% Change
Operating revenues:
Advertising	$	20,836		$	22,050		(5.5	%)
Content	18,747			13,094			43.2	%
Total revenues	39,583			35,144			12.6	%
Operating expenses	44,783			35,755			25.2	%
Loss from operations	(5,200		)	(611		)	*
Depreciation and amortization	2,177			4,549			(52.1	%)
Adjustments (1)	5,555			1,950			*
Adjusted EBITDA	$	2,532		$	5,888		(57.0	%)

* Represents positive or negative change in excess of 100%

(1) See Non-GAAP Measures for additional information on adjustments.

Three months ended March 31, 2019 compared to the three months ended April 1, 2018

Advertising Revenues—Total advertising revenues decreased5.5%, or $1.2 million, in the three months ended March 31, 2019. Classified advertising revenue decreased $2.2 million, primarily due to a decrease in the automotive category. Retail advertising revenue and national advertising revenue remained consistent with prior year. The net decrease in advertising revenue was partially offset by the combined impact of the acquisitions of BestReviews in the first quarter of 2018 and The Virginian-Pilot in the second quarter of 2018. Such acquisitions contributed $1.5 million in revenue during the three months ended March 31, 2019.

Content Revenues—Content revenues increased43.2%, or $5.7 million, in the three months ended March 31, 2019. This increase was due primarily to the acquisition of BestReviews in the first quarter of 2018 and The Virginian-Pilot,which contributed $6.9 million in revenue during the three months ended March 31, 2019 compared to $3.2 million during the three months ended April 1, 2018, and an increase of $2.6 million in digital subscription revenue.

Operating Expenses—Operating expenses increased25.2%, or $9.0 million, in the three months ended March 31, 2019. This increase was primarily due to acquisitions, which contributed $8.3 million in the three months ended March 31, 2019 compared to $2.6 million during the three months ended April 1, 2018. Additionally, allocations of shared costs increased.

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Non-GAAP Measures

Adjusted EBITDA—The Company defines Adjusted EBITDA as income (loss) from continuing operations before equity in earnings of unconsolidated affiliates, income taxes, loss on early debt extinguishment, interest expense, other (expense) income, realized gain (loss) on investments, reorganization items, depreciation and amortization, net income attributable to noncontrolling interest, and other items that the Company does not consider in the evaluation of ongoing operating performance. These items include stock-based compensation expense, restructuring charges, transaction expenses, certain other charges and gains that the Company does not believe reflects the underlying business performance.

	Three Months Ended
(in thousands)	March 31, 2019			April 1, 2018			% Change
Loss from continuing operations	$	(4,714	)	$	(28,071	)	(83.2	%)
Income tax benefit from continuing operations	(2,882		)	(6,637		)	(56.6	%)
Interest expense, net	(220		)	6,564			*
Loss on equity investments, net	487			729			(33.2	%)
Other income, net	(73		)	(3,663		)	(98.0	%)
Loss from continuing operations	(7,402		)	(31,078		)	(76.2	%)
Depreciation and amortization	12,084			12,446			(2.9	%)
Restructuring and transaction costs (1)	10,870			25,584			(57.5	%)
Stock-based compensation	5,737			1,587			*
Adjusted EBITDA from continuing operations	$	21,289		$	8,539		*

* Represents positive or negative change in excess of 100%

(1) - Restructuring and transaction costs include costs related to Tribune's internal restructuring, such as severance, charges associated with vacated space, costs related to completed and potential acquisitions and a one-time charge related to the Consulting Agreement.

Adjusted EBITDA is a financial measure that is not calculated in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). Management believes that because Adjusted EBITDA excludes (i) certain non-cash expenses (such as depreciation, amortization, stock-based compensation, and gain/loss on equity investments) and (ii) expenses that are not reflective of the Company’s core operating results over time (such as restructuring costs, including the employee voluntary separation program and gain/losses on employee benefit plan terminations, litigation or dispute settlement charges or gains, premiums on stock buyback and transaction-related costs), this measure provides investors with additional useful information to measure the Company’s financial performance, particularly with respect to changes in performance from period to period.  The Company’s management uses Adjusted EBITDA (a) as a measure of operating performance; (b) for planning and forecasting in future periods; and (c) in communications with the Company’s Board of Directors concerning the Company’s financial performance.In addition, Adjusted EBITDA, or a similarly calculated measure, has been used as the basis for certain financial maintenance covenants that the Company was subject to in connection with certain credit facilities. Since not all companies use identical calculations, the Company’s presentation of Adjusted EBITDA may not be comparable to other similarly titled measures of other companies and should not be used by investors as a substitute or alternative to net income or any measure of financial performance calculated and presented in accordance with U.S. GAAP. Instead, management believes Adjusted EBITDA should be used to supplement the Company’s financial measures derived in accordance with U.S. GAAP to provide a more complete understanding of the trends affecting the business.

Although Adjusted EBITDA is frequently used by investors and securities analysts in their evaluations of companies, Adjusted EBITDA has limitations as an analytical tool, and investors should not consider it in isolation or as a substitute for, or more meaningful than, amounts determined in accordance with U.S. GAAP. Some of the limitations to using non-GAAP measures as an analytical tool are:

• they do not reflect the Company’s interest income and expense, or the requirements necessary to service interest or principal payments on the Company’s debt;

• they do not reflect future requirements for capital expenditures or contractual commitments; and

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• although depreciation and amortization charges are non-cash charges, the assets being depreciated and amortized will often have to be replaced in the future, and non-GAAP measures do not reflect any cash requirements for such replacements.

Liquidity and Capital Resources

The Company believes that its working capital and future cash from operations discussed below will provide adequate resources to fund its operating and financing needs for the foreseeable future. The Company’s access to, and the availability of, financing in the future will be impacted by many factors, including its credit rating, the liquidity of the overall capital markets and the current state of the economy. There can be no assurances that the Company will have access to capital markets on acceptable terms.

Sources and Uses

The Company expects to fund capital expenditures and pension payments due in 2019 and other operating requirements through a combination of cash flows from operations and investments. The Company’s financial and operating performance remains subject to prevailing economic and industry conditions and to financial, business and other factors, some of which are beyond the control of the Company and, despite the Company’s current liquidity position, no assurances can be made that cash flows from operations and investments, or dispositions of assets or operations will be sufficient to satisfy the Company’s future liquidity needs.

The table below details the total operating, investing and financing activity cash flows from continuing operations for the three months ended March 31, 2019 and April 1, 2018 (in thousands):

	Three months ended
	March 31, 2019			April 1, 2018
Net cash provided by operating activities	$	4,744		$	16,495
Net cash used for investing activities	(4,061		)	(42,064		)
Net cash used for financing activities	(37		)	(6,131		)
Increase (decrease) in cash attributable to continuing operations	$	646		$	(31,700	)

Cash flow generated from operating activities is Tribune’s primary source of liquidity. Net cash provided by operating activities from continuing operations was $4.7 million for the three months ended March 31, 2019, down $11.8 million from $16.5 million for the three months ended April 1, 2018. The decrease was primarily driven by unfavorable fluctuations in working capital related to payments related to headcount reductions of $12.1 million and timing of newsprint payments of $9.4 million.

Net cash used for investing activities from continuing operations totaled $4.1 million in the three months ended March 31, 2019, primarily due to $3.9 million used for capital expenditures. In the three months ended April 1, 2018, net cash used in investing activities totaled $42.1 millionprimarily due to$33.9 million used for acquisitions and $7.0 million for capital expenditures.

There was no material cash used for financing activities for the three months ended March 31, 2019. In the three months ended April 1, 2018, net cash used for financing activities totaled $6.1 million, which included $5.3 million in loan payments on senior debt.

There was no cash provided by discontinued operations in the three months ended March 31, 2019. In the three months ended April 1, 2018, net cash used for discontinued operations totaled $3.1 million primarily due to cash used for operating activities of the Los Angeles Times and The San Diego Union-Tribune.

Multiemployer pension

As disclosed in the 2018 Annual Report, the trustees of the Chicago Newspaper Publishers Drivers’ Union Pension Plan’s (the “Drivers’ Plan”) agreed to a plan of merger with the Teamsters Local Union No. 727 Pension Fund. In contemplation of the merger, on December 13, 2018, the Drivers’ Plan adopted an amendment to its prior rehabilitation plan.

34

Under the amended rehabilitation plan, the Company will make future contributions of $68.4 million paid over seven years regardless of whether the merger is consummated. The merger agreement has been approved by both unions and is awaiting approval by the Pension Benefit Guaranty Corporation (“PBGC”). The effective date of the merger is 30 days after the PBGC approval. In addition to the committed future contributions under the amended rehabilitation plan, the Company’s funding obligation will be subject to change based on a number of factors, including the outcome of collective bargaining with the unions, actual returns on plan assets as compared to assumed returns, actions taken by trustees who manage the plan, changes in the number of plan participants, changes in the rate used for discounting future benefit obligations, as well as changes in legislation or regulations impacting funding and payment obligations. The Company expects to contribute $11.7 million to the Drivers’ Plan under amended rehabilitation plan during the remainder of 2019, including a contribution of $10.1 made in April 2019 which will be recognized as expense in the second quarter of 2019.

Employee Reductions

During the three months ended March 31, 2019, the Company implemented reductions in staffing levels in its operations of89 positions for which the Company recorded pretax charges related to these reductions totaling $7.0 million. These reductions include 23 positions related to the voluntary severance incentive plan initiated in the fourth quarter of 2018. The related salary continuation payments began during the first quarter and the final payment to the last employee is expected to be made in the first quarter of 2020.

New Accounting Standards

See Note 1 in the Consolidated Financial Statements for a description of new accounting standards issued and/or adopted in the three months ended March 31, 2019.

Item 3. Quantitative and Qualitative Disclosures About Market Risk

As of March 31, 2019, there had been no material changes in the Company’s exposure to market risk from the disclosure included in the 2018 Annual Report.

Item 4. Controls and Procedures

The Company carried out an evaluation under the supervision and with the participation of the Company’s management, including the Company’s Chief Executive Officer and the Chief Financial Officer, of the effectiveness of the Company’s disclosure controls and procedures (as defined in Rule 13a-15(e) and Rule 15d-15(e) of the Securities Exchange Act of 1934), as of the end of the period covered by this report. Based upon that evaluation, the Chief Executive Officer and the Chief Financial Officer concluded that, as of the end of the period covered by this report, the Company’s disclosure controls and procedures were effective.

Changes in Internal Control over Financial Reporting

In conjunction with the adoption of ASU 2016-02, Topic 842, Leases, during first quarter 2019, the Company implemented a lease accounting system and modified certain leases accounting processes. This resulted in a material change in a component of the Company's internal control over financial reporting. The operating effectiveness of these process changes will be evaluated as part of Company's annual assessment of the effectiveness of internal controls over financial reporting.

Except as noted above, there has been no change in our internal control over financial reporting that occurred during the quarter ended March 31, 2019 that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

PART II.

Item 1. Legal Proceedings

We are subject to various legal proceedings and claims that have arisen in the ordinary course of business. The legal entities comprising our operations are defendants from time to time in actions for matters arising out of their business

35

operations. In addition, the legal entities comprising our operations are involved from time to time as parties in various regulatory, environmental and other proceedings with governmental authorities and administrative agencies.

Tribune Company Bankruptcy

On December 31, 2012, Tribune Media Company, formerly Tribune Company (“TCO”) and 110 of its direct and indirect wholly-owned subsidiaries that had filed voluntary petitions for relief under Chapter 11 of title 11 of the United States Code in the United States Bankruptcy Court for the District of Delaware on December 8, 2008 (or on October 12, 2009, in the case of Tribune CNLBC, LLC) (collectively, the “Debtors”) emerged from Chapter 11. Certain of the legal entities included in the Consolidated Financial Statements of Tribune were Debtors or, as a result of the restructuring transactions undertaken at the time of the Debtors’ emergence, are successor legal entities to legal entities that were Debtors (“Tribune Debtors”).

Notices of appeal of the Bankruptcy Court’s order confirming the Plan (the “Confirmation Order”) were filed by (i) Aurelius Capital Management L.P. on behalf of its managed entities that were holders of TCO’s senior notes and Exchangeable Subordinated Debentures due 2029 (“PHONES”), (ii) Law Debenture Trust Company of New York (n/k/a Delaware Trust Company (“Delaware Trust Company”)) and Deutsche Bank Trust Company Americas (“Deutsche Bank”), each successor trustees under the respective indentures for TCO’s senior notes; (iii) Wilmington Trust Company, as successor indenture trustee for the PHONES, and (iv) EGI-TRB, L.L.C., a Delaware limited liability company wholly-owned by Sam Investment Trust (a trust established for the benefit of Samuel Zell and his family) (the “Zell Entity”). The appellants sought, among other relief, to overturn the Confirmation Order and certain prior orders of the Bankruptcy Court embodied in the Plan, including the settlement of certain claims and causes of action related to a series of transactions consummated by TCO, the TCO employee stock ownership plan, the Zell Entity and Samuel Zell in 2007. Each of the Confirmation Order appeals have been dismissed or otherwise resolved by a final order, with the exception of the appeals of Delaware Trust Company and Deutsche Bank. On July 30, 2018, the United States District Court for the District of Delaware (the “District Court”) entered an order affirming (i) the Bankruptcy Court’s judgment overruling Delaware Trust Company’s and Deutsche Bank’s objections to confirmation of the Plan and (ii) the Bankruptcy Court’s order confirming the Plan.  Delaware Trust Company and Deutsche Bank appealed the District Court’s order to the United States Court of Appeals for the Third Circuit (the “Third Circuit”) on August 27, 2018.  That appeal remains pending before the Third Circuit. There is no stay of the Confirmation Order in place pending resolution of the confirmation related appeals.

The Bankruptcy Court has entered final decrees collectively closing 106 of the Debtors’ Chapter 11 cases, including the last one of the Tribune Debtors’ cases. The remaining Chapter 11 cases relate to Debtors and successor legal entities that are subsidiaries of TCO. These cases have not yet been closed by the Bankruptcy Court, and certain claims asserted against various of the Debtors (including certain of the Tribune Debtors) in the Chapter 11 cases remain unresolved. The remaining Chapter 11 cases continue to be administered under the caption “In re: Tribune Media Company, et al.,” Case No 08-13141.

The Company does not believe that any matters or proceedings presently pending will have a material adverse effect, individually or in the aggregate, on our consolidated financial position, results of operations or liquidity. However, legal matters and proceedings are inherently unpredictable and subject to significant uncertainties, some of which are beyond our control. As such, there can be no assurance that the final outcome of these matters and proceedings will not materially and adversely affect our consolidated financial position, results of operations or liquidity.

Item 1A. Risk Factors

In addition to the other information in this report, investors should carefully consider the discussion under “Risk Factors” in Item 1A as filed in the 2018 Annual Report. As of the filing date of this report there have been no material changes to our risk factors as disclosed in such filings.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

On March 13, 2019, the Board of Directors authorized $25.0 million to be used for stock repurchases for 24 months from the date of authorization. No repurchases were made in the three months ended March 31, 2019.

Item 3. Defaults Upon Senior Securities

None.

36

Item 4. Mine Safety Disclosures

Not applicable.

Item 5. Other Information

None.

Item 6. Exhibits

Exhibits marked with an asterisk (*) are incorporated by reference to documents previously filed by the Company with the Securities and Exchange Commission, as indicated. All other documents are filed with this report. Exhibits marked with a tilde (~) are management contracts, compensatory plan contracts or arrangements filed pursuant to Item 601(b)(10)(iii)(A) of Regulation S-K. Certain agreements are included as exhibits to this Quarterly Report on Form 10-Q to provide you with information regarding their terms and are not intended to provide any other factual or disclosure information about the Company or the parties to the agreement. Each agreement may contain representations and warranties by the parties to the agreement. These representations and warranties have been made solely for the benefit of the other party or parties to the agreement and (1) should not in all instances be treated as categorical statements of fact, but rather as a means of allocating the risk to one of the parties if those statements prove to be inaccurate; (2) may have been qualified by disclosures that were made to the other party or parties in connection with the negotiation of the attached agreement, which disclosures are not necessarily reflected in the agreement; (3) may apply standards of materiality in a manner that is different from what may be viewed as material to you or other investors; and (4) were made only as of the date of the agreement or other date or dates that may be specified in the agreement and are subject to more recent developments. Accordingly, these representations and warranties may not describe the actual state of affairs as of the date they were made or at any other time.

ExhibitDescription

Number

2.1* Acquisition Agreement, dated February 6, 2018, by and among Best Reviews, Inc., Best Reviews LLC, Tribune Publishing Company, LLC, and tronc, Inc., and Denis Grosz (as the Sellers’ Representative), and the Stockholders defined in the Purchase Agreement (incorporated by reference to Exhibit 2.1 to the Form 8-K filed on February 7, 2018).

2.2* Membership Interest Purchase Agreement, dated February 7, 2018, by and among Nant Capital, LLC, and tronc, Inc. (incorporated by reference to Exhibit 2.1 to the Form 8-K filed on February 7, 2018).

2.3* Asset Purchase Agreement dated March 13, 2018, by and among forsalebyowner.com, LLC; the Buyer thereunder; and for certain sections, In-House Realty LLC and Tribune Publishing Company, LLC (incorporated by reference to Exhibit 2.1 to the Form 8-K filed on May 23, 2018).

2.4* Securities Purchase Agreement, dated May 28, 2018, by and among Tribune Publishing Company, LLC, Virginian-Pilot Media Companies, LLC and Landmark Media Enterprises, LLC (incorporated by reference to Exhibit 2.1 to the Form 8-K filed on May 29, 2018).

3.1* Amended and Restated Certificate of Incorporation of Tribune Publishing Company, as amended (incorporated by reference to Exhibit 3.1 to the Quarterly Report on Form 10-Q for the fiscal quarter ended September 30, 2018 filed on November 30, 2018).

3.2* Amended and Restated By-laws of Tribune Publishing Company (incorporated by reference to Exhibit 3.2 to the Current Report on Form 8-K filed on October 9, 2018).

10.1*~ Amendment to the Employment Agreement, by and between Tribune Publishing Company, LLC and Justin C. Dearborn, dated January 17, 2019 (incorporated by reference to Exhibit 10.1 to the Form 8-K filed on January 18, 2019).

37

10.2*~ Amendment to the Employment Agreement, by and between Tribune Interactive, LLC and Ross Levinsohn, effective January 17, 2019 (incorporated by reference to Exhibit 10.2 to the Form 8-K filed on January 18, 2019).

10.3*~ Employment Agreement, by and between Tribune Publishing Company, LLC and Timothy P. Knight, effective January 17, 2019 (incorporated by reference to Exhibit 10.3 to the Form 8-K filed on January 18, 2019).

31.1 Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

31.2 Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

32 Certification of Chief Executive Officer and Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

101.INS XBRL Instance Document

101.SCH XBRL Taxonomy Extension Scheme Document

101.CAL XBRL Taxonomy Extension Calculation Linkbase Document

101.DEF XBRL Taxonomy Extension Definition Linkbase Document

101.LAB XBRL Taxonomy Extension Labels Linkbase Document

101.PRE XBRL Taxonomy Extension Presentation Linkbase Document

38

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Company has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

		TRIBUNE PUBLISHING COMPANY
May 8, 2019	By:	/s/ Terry Jimenez
		Terry Jimenez
		Executive Vice President and Chief Financial Officer
May 8, 2019	By:	/s/ Michael N. Lavey
		Michael N. Lavey
		Chief Accounting Officer and Controller

39

EX-31.1

Exhibit 31.1

SECTION 302 CERTIFICATION

I, Timothy P. Knight, Chief Executive Officer, President and Director of Tribune Publishing Company, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Tribune Publishing Company;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a. designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b. designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c. evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d. disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a. all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b. any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

By: /s/ Timothy P. Knight___________________________________________

Timothy P. Knight,

Chief Executive Officer, President and Director

Date: May 8, 2019

EX-31.2

Exhibit 31.2

SECTION 302 CERTIFICATION

I, Terry Jimenez, Chief Financial Officer of Tribune Publishing Company, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Tribune Publishing Company;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a. designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b. designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c. evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d. disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a. all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b. any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

By: /s/ Terry Jimenez_________________________________________

Terry Jimenez,

Chief Financial Officer

Date: May 8, 2019

EX-32

Exhibit 32

CERTIFICATION PURSUANT TO THE 18 U.S.C. SECTION 1350, AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report of Tribune Publishing Company (the “Company”) on Form 10-Q for the period ended March 31, 2019, as filed with the Securities and Exchange Commission on the date hereof (the “Report”), the undersigned, Justin C. Dearborn, Chief Executive Officer of the Company, and Terry Jimenez, Chief Financial Officer of the Company, each hereby certifies, pursuant to 18 U.S.C §1350, as adopted pursuant to §906 of the Sarbanes-Oxley Act of 2002, that:

1. The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

By: /s/ Timothy P. Knight_____________________________________

Timothy P. Knight,

Chief Executive Officer, President and Director

Date: May 8, 2019

By: /s/ Terry Jimenez________________________________________

Terry Jimenez,

Chief Financial Officer

Date: May 8, 2019

XML

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2019	May 06, 2019
Document and Entity Information [Abstract]
Entity Registrant Name	Tribune Publishing Company
Entity Central Index Key	0001593195
Current Fiscal Year End Date	--12-29
Entity Filer Category	Accelerated Filer
Entity Emerging Growth Company	false
Entity Small Business	false
Document Type	10-Q
Document Period End Date	Mar. 31, 2019
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q1
Amendment Flag	false
Entity Common Stock, Shares Outstanding		35,691,327

XML

CONSOLIDATED STATEMENTS OF LOSS - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2019	Apr. 01, 2018
Income Statement [Abstract]
Operating revenues	$ 244,525	$ 238,366
Operating expenses:
Compensation	97,709	110,765
Newsprint and ink	16,103	14,598
Outside services	83,813	98,982
Other operating expenses	42,218	32,653
Depreciation and amortization	12,084	12,446
Total operating expenses	251,927	269,444
Loss from operations	(7,402)	(31,078)
Interest income (expense), net	220	(6,564)
Loss on equity investments, net	(487)	(729)
Other income, net	73	3,663
Loss from continuing operations before income taxes	(7,596)	(34,708)
Income tax benefit	(2,882)	(6,637)
Net loss from continuing operations	(4,714)	(28,071)
Plus: Earnings from discontinued operations, net of taxes	0	13,706
Net loss	(4,714)	(14,365)
Less: Net income (loss) from continuing operations attributable to noncontrolling interest	(39)	262
Net loss available to Tribune stockholders	$ (4,675)	$ (14,627)
Net loss from continuing operations per common share:
Basic (in dollars per share)	$ (0.13)	$ (0.81)
Diluted (in dollars per share)	(0.13)	(0.81)
Net loss attributable to Tribune per common share:
Basic (in dollars per share)	(0.13)	(0.42)
Diluted (in dollars per share)	$ (0.13)	$ (0.42)
Weighted average shares outstanding:
Basic (in shares)	35,628	34,801
Diluted (in shares)	35,628	34,801

XML

CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Apr. 01, 2018
Statement of Comprehensive Income [Abstract]
Net loss from continuing operations, including non-controlling interest	$ (4,714)	$ (14,365)
Other comprehensive loss, net of taxes:
Amortization of items to periodic pension cost during the period, net of taxes of ($23) and ($915), respectively	(59)	(2,377)
Foreign currency translation	(2)	0
Other comprehensive loss, net of taxes	(61)	(2,377)
Comprehensive loss recognized in continuing operations	(4,775)	(16,742)
Accumulated other comprehensive loss recognized in discontinued operations, net of taxes of $42	0	108
Comprehensive loss	(4,775)	(16,634)
Comprehensive income (loss) attributable to noncontrolling interest	(39)	262
Comprehensive loss attributable to Tribune common stockholders	$ (4,736)	$ (16,896)

XML

CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (Parenthetical) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Apr. 01, 2018
Statement of Comprehensive Income [Abstract]
Tax effect	$ (23)	$ (915)
Accumulated OCI recognized in discontinued operations - tax		$ 42

XML

CONSOLIDATED CONDENSED BALANCE SHEETS - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 30, 2018
Current assets
Cash	$ 98,206	$ 97,560
Accounts receivable, (net of allowances of $13,983 and $11,458)	111,618	145,463
Inventories	9,267	9,587
Prepaid expenses and other	20,605	18,197
Total current assets	239,696	270,807
Property, plant and equipment
Machinery, equipment and furniture	123,105	124,243
Buildings and leasehold improvements	78,411	82,399
Property, plant and equipment, gross	201,516	206,642
Accumulated depreciation	(78,537)	(74,013)
Property, plant and equipment, net, excluding advance payments	122,979	132,629
Advance payments on property, plant and equipment	11,107	12,334
Property, plant and equipment, net	134,086	144,963
Other assets
Goodwill	132,172	132,146
Intangible assets, net	74,780	77,229
Software, net	26,168	27,117
Lease right-of-use asset	112,393
Restricted cash	43,947	43,947
Deferred income taxes	3,472	2,414
Other long-term assets	25,613	28,004
Total other assets	418,545	310,857
Total assets	792,327	726,627
Current liabilities
Accounts payable	53,098	70,555
Employee compensation and benefits	41,895	61,001
Deferred revenue	49,814	51,114
Current portion of long-term lease liability	26,393
Current portion of long-term debt	405	405
Other current liabilities	20,542	21,203
Tax liabilities associated with discontinued operations	6,249	6,249
Total current liabilities	198,396	210,527
Non-current liabilities
Long-term lease liability	112,610
Workers’ compensation, general liability and auto insurance payable	25,674	30,606
Pension and postretirement benefits payable	19,096	20,150
Deferred rent	0	25,424
Long-term debt	6,775	6,799
Other obligations	17,546	20,053
Total non-current liabilities	181,701	103,032
Noncontrolling interest	39,717	39,756
Stockholders’ equity
Preferred stock, $.01 par value. Authorized 30,000 shares; no shares issued or outstanding at March 31, 2019 and December 30, 2018	0	0
Common stock, $.01 par value. Authorized 300,000 shares, 37,618 shares issued and 35,664 shares outstanding at March 31, 2019; 37,551 shares issued and 35,597 shares outstanding at December 30, 2018	376	376
Additional paid-in capital	172,392	166,668
Retained earnings	225,939	232,401
Accumulated other comprehensive income (loss)	(34)	27
Treasury stock, at cost - 1,954 shares at March 31, 2019 and 1,954 shares at December 30, 2018	(26,160)	(26,160)
Total stockholders’ equity	372,513	373,312
Total liabilities and stockholders’ equity	$ 792,327	$ 726,627

XML

CONSOLIDATED CONDENSED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 30, 2018
Statement of Financial Position [Abstract]
Allowances for doubtful accounts	$ 13,983	$ 11,458
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	30,000,000	30,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	300,000,000	300,000,000
Common stock, shares issued (in shares)	37,618,000	37,551,000
Common stock, shares outstanding (in shares)	35,664,000	35,597,000
Treasury stock, shares (in shares)	1,954,000	1,954,000

XML

CONSOLIDATED STATEMENT OF EQUITY - USD ($) shares in Thousands, $ in Thousands	Total	Common Stock	Additional Paid in Capital	Retained earnings	AOCI	Treasury Stock	Previously Reported	Previously Reported Common Stock	Previously Reported Additional Paid in Capital	Previously Reported Retained earnings	Previously Reported AOCI	Previously Reported Treasury Stock	Restatement Adjustment	Restatement Adjustment Retained earnings
Balance at beginning of period (in shares) at Dec. 31, 2017		37,551
Balance at beginning of period at Dec. 31, 2017	$ 69,162	$ 376	$ 150,229	$ (16,390)	$ (13,527)	$ (51,526)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Comprehensive loss attributable to controlling interests	(17,004)			(14,627)	(2,377)
AOCI recognized in discontinued operations	108				108
Issuance of stock from treasury for acquisition	34,595		9,229			25,366
Issuance of stock from restricted stock and restricted stock unit conversions (in shares)		122
Issuance of stock from restricted stock and restricted stock unit conversions	0	$ 1	(1)
Exercise of stock options (in shares)		7
Exercise of stock options	133		133
Stock-based compensation	2,447		2,447
Withholding for taxes on restricted stock unit conversions	(943)		(943)
Forfeited restricted stock (in shares)		(450)
Forfeited restricted stock	0	$ (5)	5
Balance at end of the period (in shares) at Apr. 01, 2018		37,230
Balance at end of period at Apr. 01, 2018	88,498	$ 372	161,099	(31,017)	(15,796)	(26,160)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Adjusted beginning balance	371,525	$ 376	166,668	230,614	27	(26,160)
Balance at beginning of period (in shares) at Dec. 30, 2018		37,551
Balance at beginning of period at Dec. 30, 2018	373,312				27		$ 373,312	$ 376	$ 166,668	$ 232,401	$ 27	$ (26,160)
Balance at beginning of period (Accounting Standards Update 2016-02) at Dec. 30, 2018													$ (1,787)	$ (1,787)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Comprehensive loss attributable to controlling interests	(4,736)			(4,675)	(61)
AOCI recognized in discontinued operations	0
Issuance of stock from restricted stock and restricted stock unit conversions (in shares)		67
Issuance of stock from restricted stock and restricted stock unit conversions	0	$ 0	0
Stock-based compensation	5,737		5,737
Withholding for taxes on restricted stock unit conversions	(13)		(13)
Balance at end of the period (in shares) at Mar. 31, 2019		37,618
Balance at end of period at Mar. 31, 2019	$ 372,513	$ 376	$ 172,392	$ 225,939	$ (34)	$ (26,160)

XML

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Apr. 01, 2018
Operating Activities From Continuing Operations
Net loss from continuing operations	$ (4,714)	$ (28,071)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization	12,084	12,446
Stock compensation expense	5,737	1,587
Loss on equity investments, net	487	729
Deferred income taxes	(1,036)	4,496
Pension contribution	(499)	0
Postretirement medical, life and other benefits	(637)	(6,497)
Changes in working capital items, excluding acquisitions:
Accounts receivable, net	35,529	25,743
Prepaid expenses, inventories and other current assets	(11,226)	(2,476)
Accounts payable, employee compensation and benefits, deferred revenue and other current liabilities	(29,738)	10,172
Other, net	(1,243)	(1,634)
Net cash provided by operating activities	4,744	16,495
Investing Activities From Continuing Operations
Capital expenditures	(3,911)	(7,028)
Acquisition of business, net of cash acquired	0	(33,949)
Other, net	(150)	(1,087)
Net cash used for investing activities	(4,061)	(42,064)
Financing Activities From Continuing Operations
Repayment of long-term debt	0	(5,272)
Withholding for taxes on RSU vesting	(13)	(943)
Other	(24)	84
Net cash used for financing activities	(37)	(6,131)
Increase (decrease) in cash attributable to continuing operations	646	(31,700)
Cash flows used for operating activities of discontinued operations, net	0	3,366
Cash flows used for investing activities of discontinued operations, net	0	(197)
Cash flows used for financing activities of discontinued operations, net	0	(117)
Decrease in cash attributable to discontinued operations	0	3,052
Net increase (decrease) in cash	646	(28,648)
Cash, cash equivalents and restricted cash beginning of period	141,507	185,351
Cash, cash equivalents and restricted cash, end of period	$ 142,153	$ 156,703

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DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION

3 Months Ended

Mar. 31, 2019

Organization, Consolidation and Presentation of Financial Statements [Abstract]

DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION

DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION

Description of Business—Tribune Publishing Company, formerly tronc. Inc., was formed as a Delaware corporation on November 21, 2013. Tribune Publishing Company together with its subsidiaries (collectively, the “Company” or “Tribune”) is a media company rooted in award-winning journalism. Headquartered in Chicago, the Company operates local media businesses in eight markets with titles including the Chicago Tribune, New York Daily News, The Baltimore Sun, Orlando Sentinel, South Florida’s Sun Sentinel, Virginia’s Daily Press and The Virginian-Pilot, The Morning Call of Lehigh Valley, Pennsylvania andthe Hartford Courant. Tribune also operates Tribune Content Agency (“TCA”) and on February 6, 2018, the Company became a majority owner in BestReviews LLC (“BestReviews”). On May 28, 2018, the Company acquired Virginian-Pilot Media Companies LLC, owner of The Virginian-Pilot, a daily newspaper based in Norfolk, Virginia, and associated businesses (“Virginian-Pilot”). See Note 6 for further information on acquisitions.

On May 23, 2018, the Company completed the sale of substantially all of the assets of forsalebyowner.com and on June 18, 2018, the Company completed the sale of the Los Angeles Times, The San Diego Union-Tribune and various other titles of the Company’s California properties (“California Properties”). See Note 7 for more information on the dispositions and related discontinued operations.

Tribune’s continuing legacy of brands, including the The Virginian-Pilot, have earned a combined 61 Pulitzer Prizes and are committed to informing, inspiring and engaging local communities. Tribune’s brands create and distribute content across its media portfolio, offering integrated marketing, media, and business services to consumers and advertisers, including digital solutions and advertising opportunities.

Fiscal Periods—The Company’s fiscal year ends on the last Sunday in December. Fiscal year 2019 ends on December 29, 2019 and fiscal year 2018 ended on December 30, 2018. Fiscal year 2019 and 2018 are 52-week years with 13 weeks in each quarter.

Basis of Presentation—The accompanying unaudited Consolidated Financial Statements and notes of the Company have been prepared in accordance with United States generally accepted accounting principles (“U.S. GAAP”). The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the unaudited Consolidated Financial Statements and accompanying notes. Actual results could differ from these estimates. In the opinion of management, the financial statements contain all adjustments necessary to present fairly the financial position of Tribune as of March 31, 2019 and December 30, 2018 and the results of operations for the three months endedMarch 31, 2019 and April 1, 2018, respectively, and the cash flows for the three months ended March 31, 2019 and April 1, 2018, respectively. This includes all normal and recurring adjustments and elimination of intercompany transactions. Results of operations for interim periods are not necessarily indicative of the results to be expected for the full year. The year-end Consolidated Balance Sheet was derived from audited financial statements but does not include all disclosures required by U.S. GAAP.

Effective as of the sale dates, the operations of the California Properties and forsalebyowner.com qualify as discontinued operations. Accordingly, results of these operations for all periods presented have been reflected as discontinued operations in the accompanying Consolidated Financial Statements. Additionally, assets and liabilities related to the divested properties are classified as such in all periods in the Consolidated Condensed Balance Sheets. Unless otherwise noted, amounts and disclosures throughout these Notes to Consolidated Financial Statements relate to continuing operations and exclude all discontinued operations consisting of the California Properties and forsalebyowner.com.

Accounting standards adopted in 2019—In August 2018, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2018-15, Subtopic 350-40, Intangibles-Goodwill and Other-Internal-Use Software; Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract (“ASU 2018-15”). ASU 2018-15 aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software (and hosting arrangements that include an internal use software license). ASU 2018-15 can be applied either retrospectively or prospectively. ASU 2018-15 is effective for interim and annual reporting periods beginning after December 15, 2019. Early adoption is permitted, including adoption in any interim period. The Company adopted this standard effective the beginning of fiscal year 2019 and will apply the provisions of the standard prospectively. The adoption had no material effect on the Company’s consolidated financial statements.

In February 2018, the FASB issued ASU 2018-02, Topic 220, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income (“ASU 2018-02”). ASU 2018-02 amends ASC 220, Income Statement — Reporting Comprehensive Income, to “allow a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act.” In addition, under the ASU, an entity will be required to provide certain disclosures regarding stranded tax effects. ASU 2018-02 is effective for all entities for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. The Company adopted this standard effective the beginning of fiscal year 2019 and adoption had no material effect on the Company’s consolidated financial statements.

In February 2016, the FASB issued ASU 2016-02, Topic 842, Leases (“ASC 842”), which requires lessees to recognize lease assets and lease liabilities for operating leases. The Company adopted this standard effective December 31, 2018 using the modified retrospective transition method whereby the Company applied the new standard at the adoption date and recognized a cumulative-effect adjustment of $1.8 million, net of tax of $0.7 million, to reduce the opening balance of retained earnings in the first quarter of 2019, primarily due to lease impairments determined during the adoption. The Company has elected the practical expedients which allow the Company to forgo reassessing whether existing contracts are or contain leases, forgo reassessing the classification of existing leases, forgo reassessing initial direct costs of existing leases at the initial application date and to combine lease and nonlease components. Additionally, the Company did not consider any leases with original lease terms less than one year. See Note 2 for additional disclosures related to the Company’s leases.

Accounting standards not yet adopted—In June 2016, the FASB issued ASU 2016-13, Topic 326, Financial Instruments – Credit Losses (“ASU 2016-13”). ASU 2016-13 changes the impairment model for most financial assets and will require the use of an “expected loss” model for instruments measured as amortized cost. This pronouncement is effective for fiscal years, and for interim periods within those fiscal years, beginning after December 15, 2019. The Company expects to adopt the standard effective December 30, 2019. The Company is currently reviewing the requirements of the standard.

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LEASES

3 Months Ended

Mar. 31, 2019

Leases [Abstract]

LEASES

LEASES

Tribune’s leased facilities are approximately 4.0 million square feet in the aggregate. The Company currently has leased newspaper production facilities in Connecticut, Florida, Illinois, Maryland, New Jersey, and Pennsylvania, however Tribune owns substantially all of the production equipment. For printing plants, the initial lease term is 10 years with two options to renew for additional 10 year terms. For distribution facilities, the initial lease term is generally five years, with options to renew either two or three additional five year terms. Our corporate headquarters are located at 160 N. Stetson Avenue, Chicago, Illinois. The lease is for approximately 137,000 square feet with a 10 year and 11 month term for one floor and a 12 year term for four floors, expiring in 2028 and 2030, respectively. The Company has rent escalations, rent holidays and leasehold improvement incentives which are included in the determination of the right-of-use asset (“ROU”) and the lease liabilities.

Tribune subleases certain facilities that are approximately 0.1 million square feet in aggregate. The terms of these subleases are from five to seven years and expire between 2019 and 2023.

Tribune determines if an arrangement is a lease at inception. Operating leases are included in lease ROU assets, current portion of long-term lease liabilities, and long-term lease liabilities on the consolidated balance sheets. Finance leases are included in property, plant and equipment, current portion of long-term debt and long-term debt on the consolidated balance sheets. Amortization of the operating leases ROU assets is included in other operating expenses. Amortization of finance leases is included in depreciation expense. Sublease income is included as an offset to lease expense in other operating expenses.

Operating lease ROU assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. As most of the Company’s leases do not provide an implicit rate, Tribune uses its incremental borrowing rate based on the information available at commencement date in determining the present value of future payments. The recorded operating lease ROU asset on the balance sheet reflects lease payments made to date and excludes lease incentives and initial direct costs incurred. The lease terms may include options to extend or terminate the lease when it is reasonably certain that the option will be exercised. Lease expense for minimum lease payments is recognized on a straight-line basis over the lease term. Certain lease agreements have lease and non-lease components, which are generally accounted for together.

Below is a summary of information related to the Company’s leases (in thousands) for the three months ended March 31, 2019:

Lease cost:
Finance lease cost	$	78
Operating lease cost	7,496
Variable lease cost	1,625
Sublease income	(1,129		)
Total lease cost	$	8,070
Other information:
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	8,305
Financing cash flows from finance leases	$	50
Right of use assets obtained in exchange for new operating lease liabilities	$	121
Weighted average remaining lease term - finance leases	2.0
Weighted average remaining lease term - operating leases	6.4
Weighted average discount rate - finance leases	5.7		%
Weighted average discount rate - operating leases	4.72		%

Future minimum lease payments under noncancelable operating lease arrangements having initial terms of one year or more as of March 31, 2019 are as follows (in thousands):

	Operating leases		Finance leases		Subleases
4/1/2019 - 3/30/2020	$	31,589	$	413	$	3,966
3/31/2020 - 3/28/2021	28,977		100		3,300
3/29/2021 - 3/27/2022	26,333		6,892		2,491
3/28/2022 - 3/26/2023	24,036		—		2,280
3/27/2023 - 3/31/2024	12,701		—		1,582
Thereafter	39,461		—		—
Total future lease payments	$	163,097	$	7,405	$	13,619
Less imputed interest	$	24,094	$	225	$	—
Net future minimum lease payments	$	139,003	$	7,180	$	13,619

LEASES

LEASES

Tribune’s leased facilities are approximately 4.0 million square feet in the aggregate. The Company currently has leased newspaper production facilities in Connecticut, Florida, Illinois, Maryland, New Jersey, and Pennsylvania, however Tribune owns substantially all of the production equipment. For printing plants, the initial lease term is 10 years with two options to renew for additional 10 year terms. For distribution facilities, the initial lease term is generally five years, with options to renew either two or three additional five year terms. Our corporate headquarters are located at 160 N. Stetson Avenue, Chicago, Illinois. The lease is for approximately 137,000 square feet with a 10 year and 11 month term for one floor and a 12 year term for four floors, expiring in 2028 and 2030, respectively. The Company has rent escalations, rent holidays and leasehold improvement incentives which are included in the determination of the right-of-use asset (“ROU”) and the lease liabilities.

Tribune subleases certain facilities that are approximately 0.1 million square feet in aggregate. The terms of these subleases are from five to seven years and expire between 2019 and 2023.

Tribune determines if an arrangement is a lease at inception. Operating leases are included in lease ROU assets, current portion of long-term lease liabilities, and long-term lease liabilities on the consolidated balance sheets. Finance leases are included in property, plant and equipment, current portion of long-term debt and long-term debt on the consolidated balance sheets. Amortization of the operating leases ROU assets is included in other operating expenses. Amortization of finance leases is included in depreciation expense. Sublease income is included as an offset to lease expense in other operating expenses.

Operating lease ROU assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. As most of the Company’s leases do not provide an implicit rate, Tribune uses its incremental borrowing rate based on the information available at commencement date in determining the present value of future payments. The recorded operating lease ROU asset on the balance sheet reflects lease payments made to date and excludes lease incentives and initial direct costs incurred. The lease terms may include options to extend or terminate the lease when it is reasonably certain that the option will be exercised. Lease expense for minimum lease payments is recognized on a straight-line basis over the lease term. Certain lease agreements have lease and non-lease components, which are generally accounted for together.

Below is a summary of information related to the Company’s leases (in thousands) for the three months ended March 31, 2019:

Lease cost:
Finance lease cost	$	78
Operating lease cost	7,496
Variable lease cost	1,625
Sublease income	(1,129		)
Total lease cost	$	8,070
Other information:
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	8,305
Financing cash flows from finance leases	$	50
Right of use assets obtained in exchange for new operating lease liabilities	$	121
Weighted average remaining lease term - finance leases	2.0
Weighted average remaining lease term - operating leases	6.4
Weighted average discount rate - finance leases	5.7		%
Weighted average discount rate - operating leases	4.72		%

Future minimum lease payments under noncancelable operating lease arrangements having initial terms of one year or more as of March 31, 2019 are as follows (in thousands):

	Operating leases		Finance leases		Subleases
4/1/2019 - 3/30/2020	$	31,589	$	413	$	3,966
3/31/2020 - 3/28/2021	28,977		100		3,300
3/29/2021 - 3/27/2022	26,333		6,892		2,491
3/28/2022 - 3/26/2023	24,036		—		2,280
3/27/2023 - 3/31/2024	12,701		—		1,582
Thereafter	39,461		—		—
Total future lease payments	$	163,097	$	7,405	$	13,619
Less imputed interest	$	24,094	$	225	$	—
Net future minimum lease payments	$	139,003	$	7,180	$	13,619

LEASES

LEASES

Tribune’s leased facilities are approximately 4.0 million square feet in the aggregate. The Company currently has leased newspaper production facilities in Connecticut, Florida, Illinois, Maryland, New Jersey, and Pennsylvania, however Tribune owns substantially all of the production equipment. For printing plants, the initial lease term is 10 years with two options to renew for additional 10 year terms. For distribution facilities, the initial lease term is generally five years, with options to renew either two or three additional five year terms. Our corporate headquarters are located at 160 N. Stetson Avenue, Chicago, Illinois. The lease is for approximately 137,000 square feet with a 10 year and 11 month term for one floor and a 12 year term for four floors, expiring in 2028 and 2030, respectively. The Company has rent escalations, rent holidays and leasehold improvement incentives which are included in the determination of the right-of-use asset (“ROU”) and the lease liabilities.

Tribune subleases certain facilities that are approximately 0.1 million square feet in aggregate. The terms of these subleases are from five to seven years and expire between 2019 and 2023.

Tribune determines if an arrangement is a lease at inception. Operating leases are included in lease ROU assets, current portion of long-term lease liabilities, and long-term lease liabilities on the consolidated balance sheets. Finance leases are included in property, plant and equipment, current portion of long-term debt and long-term debt on the consolidated balance sheets. Amortization of the operating leases ROU assets is included in other operating expenses. Amortization of finance leases is included in depreciation expense. Sublease income is included as an offset to lease expense in other operating expenses.

Operating lease ROU assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. As most of the Company’s leases do not provide an implicit rate, Tribune uses its incremental borrowing rate based on the information available at commencement date in determining the present value of future payments. The recorded operating lease ROU asset on the balance sheet reflects lease payments made to date and excludes lease incentives and initial direct costs incurred. The lease terms may include options to extend or terminate the lease when it is reasonably certain that the option will be exercised. Lease expense for minimum lease payments is recognized on a straight-line basis over the lease term. Certain lease agreements have lease and non-lease components, which are generally accounted for together.

Below is a summary of information related to the Company’s leases (in thousands) for the three months ended March 31, 2019:

Lease cost:
Finance lease cost	$	78
Operating lease cost	7,496
Variable lease cost	1,625
Sublease income	(1,129		)
Total lease cost	$	8,070
Other information:
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	8,305
Financing cash flows from finance leases	$	50
Right of use assets obtained in exchange for new operating lease liabilities	$	121
Weighted average remaining lease term - finance leases	2.0
Weighted average remaining lease term - operating leases	6.4
Weighted average discount rate - finance leases	5.7		%
Weighted average discount rate - operating leases	4.72		%

Future minimum lease payments under noncancelable operating lease arrangements having initial terms of one year or more as of March 31, 2019 are as follows (in thousands):

	Operating leases		Finance leases		Subleases
4/1/2019 - 3/30/2020	$	31,589	$	413	$	3,966
3/31/2020 - 3/28/2021	28,977		100		3,300
3/29/2021 - 3/27/2022	26,333		6,892		2,491
3/28/2022 - 3/26/2023	24,036		—		2,280
3/27/2023 - 3/31/2024	12,701		—		1,582
Thereafter	39,461		—		—
Total future lease payments	$	163,097	$	7,405	$	13,619
Less imputed interest	$	24,094	$	225	$	—
Net future minimum lease payments	$	139,003	$	7,180	$	13,619

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REVENUE RECOGNITION

3 Months Ended

Mar. 31, 2019

Revenue from Contract with Customer [Abstract]

Revenue Recognition

REVENUE RECOGNITION

Revenues are recognized when control of the promised goods or services is transferred to customers, in an amount that reflects the consideration the Company expects to be entitled to in exchange for goods or services. Revenues are recognized as performance obligations that are satisfied at either a point in time, such as when an advertisement is published, or over time, such as content licensing.

The Company receives a significant portion of the payments from its subscribers in advance of the delivery of the content both either in print or digitally. These up-front payments and fees are recorded as deferred revenue upon receipt and generally require deferral of revenue recognition to a future period until the Company performs its obligations under the subscription agreement. The deferred revenue is recognized as revenue as the content is delivered. The deferred revenue is considered a contract liability under ASC 606. Amounts are recorded as accounts receivable when the Company’s right to consideration is unconditional. Therefore, the Company has no contract assets as defined under ASC 606. As of December 30, 2018, the Company had a contract liabilities balance from continuing operations of $54.0 million, of which $34.4 million has been recognized as revenue in the three months ended March 31, 2019.

The Company’s revenues disaggregated by type of revenue and segment are presented in Note 17.

The Company generally expenses sales commissions when incurred because the amortization period would have been one year or less. These costs are recorded within cost of sales. Additionally, the Company does not disclose the value of unsatisfied performance obligations because the vast majority of contracts have original expected lengths of one year or less and payment terms are generally short-term in nature unless a customer is in bankruptcy.

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CHANGES IN OPERATIONS

3 Months Ended

Mar. 31, 2019

Restructuring and Related Activities [Abstract]

CHANGES IN OPERATIONS

CHANGES IN OPERATIONS

Employee Reductions

The Company continually assesses its operations in an effort to identify opportunities to enhance operational efficiencies and reduce expenses. In the past these activities have included, and could include in the future, outsourcing of various functions or operations, abandonment of leased space and other activities which may result in changes to employee headcount. The discussion and amounts below represent activity in the Company’s continuing operations and exclude any amounts in the Company’s assets, liabilities or operations from discontinued operations.

During the three months ended March 31, 2019, the Company implemented reductions in staffing levels in its operations of89 positions for which the Company recorded pretax charges related to these reductions and executive separations totaling $7.0 million. These reductions include 23 positions related to the voluntary severance incentive plan initiated in the fourth quarter of 2018. The related salary continuation payments began during the first quarter and are expected to continue through the first quarter of 2020.

Included in the first quarter severance charge is approximately $4.0 million related to the separation of the Company’s CEO and two senior executives in the digital space. Each of these employees had employment contracts which provided for immediate payout of any contractual compensation under the employment agreement in the event of separation. These employment agreements were amended to permit payment of the severance as salary continuation over the remainder of 2019, during which time equity-based awards would continue to vest. The severance payments to these executives, including compensation and medical benefits, if any, were accrued in the first quarter of 2019. Additionally, as a result of the separation the Company recognized accelerated stock based compensation expense in the first quarter of 2019 of $1.5 million.

During the three months ended April 1, 2018, the Company identified reductions in staffing levels of 182 positions for which the Company recorded pretax charges related to these reductions totaling $5.7 million.

A summary of the activity with respect to the Company’s severance accrual for the three months ended March 31, 2019 is as follows (in thousands):

Balance at December 30, 2018	$	28,845
Provision	7,042
Payments	(19,461		)
Balance at March 31, 2019	$	16,426

Charges for severance and related expenses are included in compensation expense in the accompanying Consolidated Statements of Loss.

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RELATED PARTY TRANSACTIONS

3 Months Ended

Mar. 31, 2019

Related Party Transactions [Abstract]

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS

Transition Services Agreement with NantMedia Holdings, LLC

In connection with the closing of the sale of the California Properties, the Company entered into a transition services agreement (“TSA”) with NantMedia Holdings, LLC (“NantMedia”), providing for up to twelve months of transition services between the parties at negotiated rates approximating cost. On January 17, 2019, this agreement was amended to extend the date of transition services to June 30, 2020. Either party may discontinue all or a portion of the services being provided to such party by providing 60 days advance notice. See Note 7 for additional information on the sale of the California Properties.

As the operational transition continues, there are certain costs that the Company paid on behalf of NantMedia due to commingled contracts and processes. Such costs include newsprint, rent, benefits, and other operating activities. The TSA provides for reimbursement to the Company for such charges until the contracts and processes can be separated. Additionally, the Company receives some revenue payments related to commingled revenue contracts that include the California Properties. These payments are reimbursed to NantMedia. A summary of the activity with respect to the TSA for the three and three months ended March 31, 2019 is as follows (in thousands):

	Three months ended March 31, 2019
Accounts receivable from NantMedia beginning balance	$	17,909
Revenue for TSA services	7,005
Reimbursable costs	16,346
Amounts received for TSA services	(5,866		)
Amounts received for reimbursable costs	(25,237		)
Amounts paid to third parties under commingled revenue contracts	6,065
Amounts collected from third parties under commingled revenue contracts	(5,447		)
Accounts receivable from NantMedia balance as of March 31, 2019(i)	$	10,775

⁽ⁱ⁾The accounts receivable from NantMedia balance as of March 31, 2019 consists of $8.6 million of charges which had been billed and $2.2 million of charges which had not been billed as of that date.

Merrick Consulting Agreement

On December 20, 2017, the Company entered into a Consulting Agreement with Merrick Ventures LLC (“Merrick Ventures”) and solely for certain sections thereof, Michael W. Ferro, Jr. and Merrick Media, LLC (“Merrick Media”). At the time the agreement was signed, Mr. Ferro was also Chairman of Tribune’s Board of Directors and, together with Merrick Ventures and Merrick Media, a significant stockholder. The Consulting Agreement provided for the engagement of Merrick Ventures on a non-exclusive basis to provide certain management expertise and technical services for an annual fee of $5 million in cash, payable in advance on the first business day of each calendar year. The Consulting Agreement provided for a rolling three-year term, with the initial term continuing through December 31, 2020. The Company made the initial $5.0 million payment in early January 2018. On March 18, 2018, Mr. Ferro retired from the Company’s Board. As Mr. Ferro was no longer actively engaged in the business and the Company remained contractually committed for the future payments due under the Consulting Agreement, the Company recognized expense for the full $15.0 million due under the Consulting Agreement in outside services in the first quarter of 2018. In the second quarter of fiscal year 2018, the Company amended the Consulting Agreement. The amendment reduced the total fees due under the Consulting Agreement by $2.5 million (from $15 million to $12.5 million) and allows the Company to engage Merrick Ventures as its advisor, if it so chooses, but at no additional cost to the Company. If so engaged, the Company would indemnify Merrick Ventures if the Company requests it to meet with third parties. In June 2018, the Company paid the remaining $7.5 million in fees due under the amended Consulting Agreement in connection with the execution of the amendment. The Company recognized a credit of $2.5 million for the reduction in fees due under the Consulting Agreement in outside services in the second quarter of 2018. The non-compete covenants and amended Securities Purchase Agreement terms contained in the Consulting Agreement were not altered by the amendment and remain in place through December 31, 2020.

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ACQUISITIONS

3 Months Ended

Mar. 31, 2019

Business Combinations [Abstract]

ACQUISITIONS

ACQUISITIONS

Virginian-Pilot

On May 28, 2018, the Company acquired Virginian-Pilot Media Companies, LLC (“Virginian-Pilot”), the owner of The Virginian-Pilot daily newspaper based in Norfolk, Virginia, pursuant to a Securities Purchase Agreement, for a cash purchase price of $34.0 million less a post-close working capital adjustment of $0.1 million from the seller.

During the first quarter of 2019, the Company completed the determination of the fair value of the assets acquired, including intangible assets and noncontrolling interest, and liabilities assumed. There were no adjustment to the allocation of the purchase price which is as follows (in thousands):

Consideration
Cash consideration for acquisition	$	33,912
Total consideration	33,912
Allocated Fair Value of Acquired Assets and Assumed Liabilities
Accounts receivable and other current assets	8,257
Property, plant and equipment	29,843
Mastheads	4,700
Intangible assets subject to amortization	1,300
Accounts payable and other current liabilities	(10,749		)
Other long term obligations	(68		)
Total identifiable assets (liabilities), net	33,283
Goodwill	629
Total net assets acquired	$	33,912

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DISPOSITIONS AND DISCONTINUED OPERATIONS

3 Months Ended

Mar. 31, 2019

Discontinued Operations and Disposal Groups [Abstract]

DISPOSITIONS AND DISCONTINUED OPERATIONS

DISPOSITIONS AND DISCONTINUED OPERATIONS

On February 7, 2018, the Company entered into a Membership Interest Purchase Agreement (“MIPA”) by and between the Company and Nant Capital, LLC (“Nant Capital”) pursuant to which the Company agreed to sell the California Properties to Nant Capital for an aggregate purchase price of $500 million in cash, plus the assumption of unfunded pension liabilities related to the San Diego Pension Plan, less a post-closing working capital adjustment to the buyer of $9.7 million (the "Nant Transaction"). The Nant Transaction closed on June 18, 2018 and resulted in a pre-tax gain of $404.8 million. The operations of the California Properties were included in both the M and X segments.

On May 23, 2018, the Company sold substantially all of the assets of forsalebyowner.com in an asset sale for $2.5 million, less a post-closing working capital payment to the buyer of $0.1 million, plus an advertising sales commitment of $4.5 million over a term of two years. The forsalebyowner.com balances are reflected as related to discontinued operations on the consolidated balance sheets for all periods presented and the results of operations are included in discontinued operations for all periods presented. In prior filings, forsalebyowner.com was part of segment X.

Discontinued Operations

Earnings from discontinued operations for the three months ended April 1, 2018, included in the Consolidated Statements of Loss are comprised of the following (in thousands):

Operating revenues	$	117,077
Operating expenses:
Compensation	33,698
Newsprint and ink	7,436
Outside services	31,575
Other operating expenses	29,887
Depreciation and amortization	2,058
Total operating expenses	104,654
Income from operations	12,423
Interest expense, net	(30		)
Gain on equity investments, net	725
Income tax expense	(588		)
Income from discontinued operations, net of tax	$	13,706

Discontinued operations by segment for the three months ended April 1, 2018, are presented below (in thousands):

Operating revenues
M	$	104,206
X	12,859
Corporate and eliminations	12
	$	117,077
Income from Operations
M	$	10,416
X	2,007
Corporate and eliminations	—
	$	12,423
Depreciation and amortization
M	$	1,993
X	65
	$	2,058

The following table presents the aggregate carrying amounts of assets and liabilities related to discontinued operations in the Consolidated Balance Sheets (in thousands):

	March 31, 2019		December 30, 2018
Carrying amount of liabilities associated with discontinued operations:
Income Tax Payable	6,249		6,249
Total liabilities associated with discontinued operations	$	6,249	$	6,249

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INVENTORIES

3 Months Ended

Mar. 31, 2019

Inventory Disclosure [Abstract]

INVENTORIES

INVENTORIES

Inventories consisted of the following (in thousands):

	As of
	March 31, 2019		December 30, 2018
Newsprint	$	8,968	$	9,273
Supplies and other	299		314
Total inventories	$	9,267	$	9,587

Inventories are stated at the lower of cost or net realizable value determined using the first-in, first-out basis for all inventories.

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GOODWILL AND OTHER INTANGIBLE ASSETS

3 Months Ended

Mar. 31, 2019

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL AND OTHER INTANGIBLE ASSETS

GOODWILL AND OTHER INTANGIBLE ASSETS

Goodwill and other intangible assets at March 31, 2019 and December 30, 2018, consisted of the following (in thousands):

	March 31, 2019							December 30, 2018
	Gross Amount		Accumulated Amortization			Net Amount		Gross Amount		Accumulated Amortization			Net Amount
Intangible assets subject to amortization:
Subscribers (useful life of 2 to 10 years)	$	7,312	$	(4,987	)	$	2,325	$	7,312	$	(4,730	)	$	2,582
Advertiser relationships (useful life of 2 to 13 years)	27,648		(13,151		)	14,497		27,648		(12,497		)	15,151
Tradenames (useful life of 20 years)	15,100		(3,538		)	11,562		15,100		(3,343		)	11,757
Other (useful life of 1 to 20 years)	16,181		(4,611		)	11,570		17,744		(4,831		)	12,913
Total intangible assets subject to amortization	$	66,241	$	(26,287	)	39,954		$	67,804	$	(25,401	)	42,403
Software (useful life of 2 to 10 years)	$	139,095	$	(112,927	)	26,168		$	136,005	$	(108,888	)	27,117
Goodwill and other intangible assets not subject to amortization:
Goodwill						132,172							132,146
Newspaper mastheads						34,826							34,826
Total goodwill and other intangible assets						$	233,120						$	236,492

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INCOME TAXES

3 Months Ended

Mar. 31, 2019

Income Tax Disclosure [Abstract]

INCOME TAXES

INCOME TAXES

For the three months endedMarch 31, 2019, the Company recorded an income tax benefit related to continuing operations of $2.9 million. The effective tax rate on pretax income was 37.9% in the three months endedMarch 31, 2019. For the three months ended March 31, 2019, the rate differs from the U.S. federal statutory rate of 21% primarily due to state income taxes, net of federal benefit, and nondeductible expenses.

For the three months endedApril 1, 2018, the Company recorded an income tax benefit of $6.6 million. The effective tax rate on pretax income from continuing operations was 19.1% in the three months endedApril 1, 2018. For the three months endedApril 1, 2018, the rate differs from the U.S. federal statutory rate of 21% primarily due to state income taxes, net of federal benefit and nondeductible expenses. For fiscal year 2018, the Company forecasted a full year pretax loss. In the case of a pretax loss, the unfavorable permanent differences, such as non-deductible meals and entertainment expense, have the effect of decreasing the tax benefit which, in turn, decreases the effective tax rate.

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PENSION AND OTHER POSTRETIREMENT BENEFITS

3 Months Ended

Mar. 31, 2019

Retirement Benefits [Abstract]

PENSION AND OTHER POSTRETIREMENT BENEFITS

PENSION AND OTHER POSTRETIREMENT BENEFITS

Multiemployer Pension Plans

The Company contributes to a number of multiemployer defined benefit pension plans under the terms of collective-bargaining agreements that cover its union-represented employees. In April 2019, the Company made a contribution of $10.1 million to the amended rehabilitation plan for the Chicago Newspaper Publishers Drivers’ Union Pension Plan which will be expensed in the second quarter of 2019. The Company expects to contribute $1.6 million in the remainder of 2019.

Defined Benefit Plans

The Company is the sponsor of a single-employer defined benefit plan, the Daily News Retirement Plan (the “NYDN Pension Plan”). The NYDN Pension Plan provides benefits to certain current and former employees of the New York Daily News. As of March 31, 2018, future benefits under the NYDN Pension Plan were frozen and no new participants are permitted after that time. The Company contributed $0.5 million to the NYDN Pension Plan in the three months ended March 31, 2019. The Company expects to contribute $2.0 million to the NYDN Pension Plan during the remainder of 2019. The components of net periodic benefit for the NYDN Pension Plan are as follows (in thousands):

	Three Months Ended						Affected Line Items in the Consolidated Statements of Loss
	March 31, 2019			April 1, 2018
Service cost	$	80		$	80		Compensation
Interest cost	811			811			Other income, net
Expected return on assets	(1,168		)	(1,168		)	Other income, net
Net periodic benefit	$	(277	)	$	(277	)

Postretirement Benefits Other Than Pensions

The Company provides postretirement health care to retirees pursuant to a number of benefit plans. The plans are frozen for new non-union employees. There is some variation in the provisions of these plans, including different provisions for lifetime maximums, prescription drug coverage and certain other benefits. The components of net periodic benefit credit for the Company’s postretirement health care and life insurance plans are as follows (in thousands):

	Three Months Ended						Affected Line Items in the Consolidated Statements of Loss
	March 31, 2019			April 1, 2018
Service cost	$	4		$	3		Compensation
Interest cost	10			9			Other income, net
Amortization of prior service credits	(82		)	(2,634		)	Other income, net
Amortization of actuarial gains	—			(658		)	Other income, net
Net periodic benefit	$	(68	)	$	(3,280	)

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NONCONTROLLING INTEREST

3 Months Ended

Mar. 31, 2019

Noncontrolling Interest [Abstract]

NONCONTROLLING INTERESTS

NONCONTROLLING INTEREST

The noncontrolling interest represents the 40% membership interest in BestReviews not owned by the Company. In connection with acquisition of BestReviews, the Company and the seller entered into an amended and restated limited liability company agreement of BestReviews (the “LLC Agreement”). Subject to the terms of the LLC Agreement, the Company currently has the right, which began six months after the closing date of the acquisition, to purchase all (but not less than all) of the remaining 40% of the membership interests of BestReviews (the “Call Option”). In addition, beginning six months after closing date of the acquisition, the Company is entitled to exercise a one-time right to purchase 25% of the units of membership interest of BestReviews retained by the seller with terms identical to those applicable to the Call Option.

The seller also has the right, beginning three years after closing date of the acquisition, to cause the Company to purchase all (but not less than all) of the remaining 40% of the membership interests of BestReviews (the “Put Option”) at a purchase price to be determined in the same manner as if the Call Option was exercised.

The noncontrolling interest is presented between liabilities and stockholders’ equity within the Company’s consolidated balance sheet because the Put Option described above could, upon exercise, require the Company, under certain circumstances, to pay cash to purchase the noncontrolling interest. Each quarter, the carrying value of noncontrolling interest is adjusted to the amount the Company would be required to pay the noncontrolling interest holders as if the Put Option had been exercised as of the balance sheet date, with an offsetting adjustment to stockholders’ equity. Adjustments to increase (decrease) the carrying value of noncontrolling interest also reduce (increase) the amount of net income or loss attributable to Tribune common stockholders for purposes of determining both basic and diluted earnings per share.

A summary of the activity with respect to non-controlling interest for the three months ended March 31, 2019 is as follows (in thousands):

Balance at December 30, 2018	$	39,756
Loss attributable to noncontrolling interest	(39		)
Balance at March 31, 2019	$	39,717

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EARNINGS PER SHARE

3 Months Ended

Mar. 31, 2019

Earnings Per Share [Abstract]

EARNINGS PER SHARE

EARNINGS PER SHARE

Basic earnings per common share is calculated by dividing net income (loss) attributable to Tribune common stockholders by the weighted average number of shares of common stock outstanding. Diluted earnings per common share is similarly calculated, except that the calculation includes the dilutive effect of the assumed issuance of common shares under equity-based compensation plans, except where the inclusion of such common shares would have an anti-dilutive impact. In accordance with ASC 260-10-55, net loss from continuing operations is the control number in determining whether potential common shares are dilutive. Since there is loss from continuing operations, all potential common shares are considered anti-dilutive.

For the three months endedMarch 31, 2019 and April 1, 2018, basic and diluted earnings per common share were as follows (in thousands, except per share amounts):

	Three Months Ended
	March 31, 2019			April 1, 2018
Income (Loss) - Numerator:
Net loss from continuing operations	$	(4,714	)	$	(28,071	)
Less: Net income (loss) from continuing operations attributable to noncontrolling interest	(39		)	262
Loss available to common shareholders, before discontinued operations	(4,675		)	(28,333		)
Income from discontinued operations	—			13,706
Net loss available to Tribune stockholders	$	(4,675	)	$	(14,627	)
Shares - Denominator:
Weighted average number of common shares outstanding (basic)	35,628			34,801
Dilutive effect of employee stock options and RSUs	—			—
Adjusted weighted average shares outstanding (diluted)	35,628			34,801
Net loss attributable to Tribune per common share:
Continuing operations	$	(0.13	)	$	(0.81	)
Discontinued operations	—			0.39
Net loss per common share	$	(0.13	)	$	(0.42	)
Diluted loss per common share:
Continuing operations	$	(0.13	)	$	(0.81	)
Discontinued operations	—			0.39
Net loss per common share-diluted	$	(0.13	)	$	(0.42	)

The number of stock options that were excluded from the computation of diluted earnings per share because their inclusion would result in an anti-dilutive effect on per share amounts was 924,887 and 1,022,387 for both the three months endedMarch 31, 2019 and April 1, 2018, respectively.

The number of RSUs that were excluded from the computation of diluted earnings per share because their inclusion would result in an anti-dilutive effect on per share amounts was 1,224,481 and 1,912,370 for both the three months endedMarch 31, 2019 and April 1, 2018, respectively.

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STOCKHOLDERS' EQUITY

3 Months Ended

Mar. 31, 2019

Equity [Abstract]

STOCKHOLDERS' EQUITY

STOCKHOLDERS’ EQUITY

Stock Repurchases

On March 13, 2019, the Board of Directors authorized $25.0 million to be used for stock repurchases for 24 months from the date of authorization. No repurchases were made in the three months ended March 31, 2019.

Significant Shareholders

Merrick Media, LLC

On March 23, 2017, the Company entered into Amendment No. 1 (the “Amendment”) to the Securities Purchase Agreement dated February 3, 2016 among the Company, Merrick Media, LLC (“Merrick Media”) and Michael W. Ferro, Jr., the Company’s non-executive Chairman of the Board at the time the agreement was signed. The Amendment increased from 25% to 30% the maximum percentage of the Company’s outstanding shares of common stock that Merrick Media and its affiliates may acquire. This restriction expired on February 4, 2019 or 30 days after the consulting agreement with Merrick Ventures.

Mr. Ferro is the manager of Merrick Venture Management, LLC, which is the sole manager of Merrick Media. Because Merrick Venture Management, LLC serves as the sole manager of Merrick Media, Mr. Ferro may be deemed to indirectly control all of the shares of the Company’s common stock owned by Merrick Media. Mr. Ferro, together with his affiliated entities, beneficially owned 9,071,529 shares of Tribune common stock, which represented 25.4% of Tribune common stock as of March 31, 2019.

Nant Capital, LLC

Dr. Patrick Soon-Shiong, a former director of the Company, together with Nant Capital, LLC (“Nant Capital”), beneficially own 8,743,619 shares of Tribune common stock, which represented 24.5% of the outstanding shares of Tribune common stock as of March 31, 2019. California Capital Equity, LLC (“CalCap”) directly owns all of the equity interests of Nant Capital, and CalCap may be deemed to have beneficial ownership of the shares held by Nant Capital. Dr. Soon-Shiong directly owns all of the equity interests of CalCap and may be deemed to beneficially own and share voting power and investment power with Nant Capital over all shares of Tribune common stock beneficially owned by Nant Capital. Under the Securities Purchase Agreement dated May 22, 2016, among the Company, Nant Capital and Dr. Patrick Soon-Shiong (“Nant Purchase Agreement”), Nant Capital and Dr. Soon-Shiong and their respective affiliates are prohibited, without the prior written approval of the Board of Directors, from acquiring additional equity of the Company if the acquisition could result in their beneficial ownership of more than 25% of the Company’s then-outstanding shares of common stock. This prohibition expires on June 1, 2019. The Nant Purchase Agreement also includes covenants perpetually prohibiting the transfer of shares of the Company’s common stock if the transfer would result in a person beneficially owning more than 4.9% of the Company’s then-outstanding shares of common stock following the transfer, as well as transfers to a material competitor of the Company in any of the Company’s then-existing primary geographical markets.

On January 17, 2019, Dr. Patrick Soon-Shiong, NantMedia Holdings, LLC and Nant Capital entered into a Standstill and Voting Agreement (“Standstill Agreement”) with the Company. The Standstill Agreement provides that until June 30, 2020, Dr. Patrick Soon-Shiong, Nant Media, and Nant Capital will not (a) make or participate in any solicitation of proxies to vote, or seek to advise or knowingly influence any person with respect to the voting of any voting securities of the Company, (b) join or participate in a “group” (as defined in the rules of the SEC) in connection with any securities of the Company or (c) seek to control or knowingly influence the management, board of directors or policies of the Company. Furthermore, under the Standstill Agreement, Dr. Patrick Soon-Shiong, Nant Media and Nant Capital will, until June 30, 2020, vote their shares of common stock (a) in favor of each nominee or director designated by the Nominating and Governance Committee of the Board of Directors at each election of directors and (b) in accordance with the Board’s recommendations on any change of control transaction involving the Company at or above a minimum purchase price. The Company has recorded a charge to non-operating expense for $0.5 million related to the Standstill Agreement.

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ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)

3 Months Ended

Mar. 31, 2019

Equity [Abstract]

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)

The following table sets forth the components of accumulated other comprehensive income (loss), net of tax, where applicable (in thousands):

	Foreign Currency			OPEB			Pension			Total
Balance at December 30, 2018	$	(39	)	$	303		$	(237	)	$	27
Amounts reclassified from AOCI	—			(59		)	—			(59		)
Foreign currency translation adjustments	(2		)	—			—			(2		)
Balance at March 31, 2019	$	(41	)	$	244		$	(237	)	$	(34	)

The following table presents the amounts and line items in the Consolidated Statements of Loss where adjustments reclassified from accumulated other comprehensive income (loss) were recorded during the three months endedMarch 31, 2019 and April 1, 2018 (in thousands):

	Three Months Ended
	March 31, 2019			April 1, 2018			Affected Line Items in the Consolidated Statements of Loss
Accumulated Other Comprehensive Income (Loss) Components
Pension and postretirement benefit adjustments:
Amortization of prior service credits	$	(82	)	$	(2,634	)	Other income, net
Amortization of actuarial gains	—			(658		)	Other income, net
Total before taxes	(82		)	(3,292		)
Tax effect	(23		)	(915		)	Income tax benefit
Total reclassifications for the period	$	(59	)	$	(2,377	)

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CONTINGENCIES

3 Months Ended

Mar. 31, 2019

Commitments and Contingencies Disclosure [Abstract]

CONTINGENCIES

CONTINGENCIES

Legal Proceedings

The Company is subject to various legal proceedings and claims that have arisen in the ordinary course of business. The legal entities comprising our operations are defendants from time to time in actions for matters arising out of their business operations. In addition, the legal entities comprising our operations are involved from time to time as parties in various regulatory, environmental and other proceedings with governmental authorities and administrative agencies.

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SEGMENT INFORMATION

3 Months Ended

Mar. 31, 2019

Segment Reporting [Abstract]

SEGMENT INFORMATION

SEGMENT INFORMATION

The Company’s business segments are based on the organization structure used by management for making operating and investment decisions and for assessing performance. Segment M is comprised of the Company’s media groups excluding their digital revenues and related digital expenses, except digital subscription revenues when bundled with a print subscription. Segment X includes the Company’s digital revenues and related digital expenses from local Tribune websites, third party websites, mobile applications, digital only subscriptions, TCA, and BestReviews. The Company determined that the disposition of the California Properties and forsalebyowner.com did not result in changes to the Company’s segments. Assets are not presented to or used by management at a segment level for making operating and investment decisions and therefore are not reported.

The Company measures segment profit using income (loss) from operations, which is defined as income (loss) from operations before net interest expense, gain on investment transactions, reorganization items and income taxes.

Disaggregated operating revenues and income (loss) from continuing operations by operating segment for the three months ended March 31, 2019 and April 1, 2018, respectively, were as follows for the periods indicated (in thousands):

	Three Months Ended
	M					X						Corporate and Eliminations						Consolidated
	(Print)					(Digital)
	Mar 31, 2019		Apr 1, 2018			Mar 31, 2019			Apr 1, 2018			Mar 31, 2019			Apr 1, 2018			Mar 31, 2019			Apr 1, 2018
Advertising	$	75,932	$	82,742		$	20,836		$	22,050		$	—		$	—		$	96,768		$	104,792
Circulation	86,670		84,626			—			—			—			—			86,670			84,626
Commercial print and delivery	24,459		27,005			—			—			—			—			24,459			27,005
Direct mail	8,638		7,603			—			—			—			—			8,638			7,603
Content syndication and other	2,326		2,235			18,747			13,094			6,917			(989		)	27,990			14,340
Other	35,423		36,843			18,747			13,094			6,917			(989		)	61,087			48,948
Operating revenues	198,025		204,211			39,583			35,144			6,917			(989		)	244,525			238,366
Operating expenses	184,227		204,411			44,783			35,755			22,917			29,278			251,927			269,444
Income (loss) from operations	$	13,798	$	(200	)	$	(5,200	)	$	(611	)	$	(16,000	)	$	(30,267	)	(7,402		)	(31,078		)
Interest income (expense), net																		220			(6,564		)
Loss on early extinguishment of debt																		—			—
Loss on investments, net																		(487		)	(729		)
Other income, net																		73			3,663
Loss from continuing operations before income taxes																		$	(7,596	)	$	(34,708	)
Depreciation and amortization	$	6,286	$	3,972		$	2,177		$	4,549		$	3,621		$	3,925		$	12,084		$	12,446

The operating revenues and operating results from continuing operations presented above are not necessarily indicative of the results that may be expected for the full fiscal year.

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SUPPLEMENTAL CASH FLOW INFORMATION

3 Months Ended

Mar. 31, 2019

Supplemental Cash Flow Elements [Abstract]

SUPPLEMENTAL CASH FLOW INFORMATION

SUPPLEMENTAL CASH FLOW INFORMATION

Supplemental cash flow information for each of the periods presented is as follows (in thousands):

	Three months ended
	March 31, 2019			April 1, 2018
Cash paid during the period for:
Interest	$	—		$	5,272
Income taxes, net of refunds	(141		)	167
Non-cash items in investing activities:
Value of shares issued for acquisition	—			34,595

The Company established restricted cash to collateralize outstanding letters of credit related to workers compensation obligations. The following table provides a reconciliation of cash, cash equivalents, and restricted cash as reported within the Consolidated Condensed Balance Sheet that sum to the cash, cash equivalents and restricted cash as reported in the Consolidated Statement of Cash Flows (in thousands):

	As of
	March 31, 2019		December 30, 2018
Cash and cash equivalents	$	98,206	$	97,560
Restricted cash included in other assets	43,947		43,947
Total cash, cash equivalents, and restricted cash shown in the statement of cash flows	$	142,153	$	141,507

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DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION (Policies)

3 Months Ended

Mar. 31, 2019

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Fiscal Periods

Fiscal Periods—The Company’s fiscal year ends on the last Sunday in December. Fiscal year 2019 ends on December 29, 2019 and fiscal year 2018 ended on December 30, 2018. Fiscal year 2019 and 2018 are 52-week years with 13 weeks in each quarter.

Basis of Presentation

Basis of Presentation—The accompanying unaudited Consolidated Financial Statements and notes of the Company have been prepared in accordance with United States generally accepted accounting principles (“U.S. GAAP”). The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the unaudited Consolidated Financial Statements and accompanying notes. Actual results could differ from these estimates. In the opinion of management, the financial statements contain all adjustments necessary to present fairly the financial position of Tribune as of March 31, 2019 and December 30, 2018 and the results of operations for the three months endedMarch 31, 2019 and April 1, 2018, respectively, and the cash flows for the three months ended March 31, 2019 and April 1, 2018, respectively. This includes all normal and recurring adjustments and elimination of intercompany transactions. Results of operations for interim periods are not necessarily indicative of the results to be expected for the full year. The year-end Consolidated Balance Sheet was derived from audited financial statements but does not include all disclosures required by U.S. GAAP.

Effective as of the sale dates, the operations of the California Properties and forsalebyowner.com qualify as discontinued operations. Accordingly, results of these operations for all periods presented have been reflected as discontinued operations in the accompanying Consolidated Financial Statements. Additionally, assets and liabilities related to the divested properties are classified as such in all periods in the Consolidated Condensed Balance Sheets. Unless otherwise noted, amounts and disclosures throughout these Notes to Consolidated Financial Statements relate to continuing operations and exclude all discontinued operations consisting of the California Properties and forsalebyowner.com.

New Accounting Standards

Accounting standards adopted in 2019—In August 2018, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2018-15, Subtopic 350-40, Intangibles-Goodwill and Other-Internal-Use Software; Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract (“ASU 2018-15”). ASU 2018-15 aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software (and hosting arrangements that include an internal use software license). ASU 2018-15 can be applied either retrospectively or prospectively. ASU 2018-15 is effective for interim and annual reporting periods beginning after December 15, 2019. Early adoption is permitted, including adoption in any interim period. The Company adopted this standard effective the beginning of fiscal year 2019 and will apply the provisions of the standard prospectively. The adoption had no material effect on the Company’s consolidated financial statements.

In February 2018, the FASB issued ASU 2018-02, Topic 220, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income (“ASU 2018-02”). ASU 2018-02 amends ASC 220, Income Statement — Reporting Comprehensive Income, to “allow a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act.” In addition, under the ASU, an entity will be required to provide certain disclosures regarding stranded tax effects. ASU 2018-02 is effective for all entities for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. The Company adopted this standard effective the beginning of fiscal year 2019 and adoption had no material effect on the Company’s consolidated financial statements.

In February 2016, the FASB issued ASU 2016-02, Topic 842, Leases (“ASC 842”), which requires lessees to recognize lease assets and lease liabilities for operating leases. The Company adopted this standard effective December 31, 2018 using the modified retrospective transition method whereby the Company applied the new standard at the adoption date and recognized a cumulative-effect adjustment of $1.8 million, net of tax of $0.7 million, to reduce the opening balance of retained earnings in the first quarter of 2019, primarily due to lease impairments determined during the adoption. The Company has elected the practical expedients which allow the Company to forgo reassessing whether existing contracts are or contain leases, forgo reassessing the classification of existing leases, forgo reassessing initial direct costs of existing leases at the initial application date and to combine lease and nonlease components. Additionally, the Company did not consider any leases with original lease terms less than one year. See Note 2 for additional disclosures related to the Company’s leases.

Accounting standards not yet adopted—In June 2016, the FASB issued ASU 2016-13, Topic 326, Financial Instruments – Credit Losses (“ASU 2016-13”). ASU 2016-13 changes the impairment model for most financial assets and will require the use of an “expected loss” model for instruments measured as amortized cost. This pronouncement is effective for fiscal years, and for interim periods within those fiscal years, beginning after December 15, 2019. The Company expects to adopt the standard effective December 30, 2019. The Company is currently reviewing the requirements of the standard.

Revenue Recognition

Revenues are recognized when control of the promised goods or services is transferred to customers, in an amount that reflects the consideration the Company expects to be entitled to in exchange for goods or services. Revenues are recognized as performance obligations that are satisfied at either a point in time, such as when an advertisement is published, or over time, such as content licensing.

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LEASES (Tables)

3 Months Ended

Mar. 31, 2019

Leases [Abstract]

Lease Cost

Below is a summary of information related to the Company’s leases (in thousands) for the three months ended March 31, 2019:

Lease cost:
Finance lease cost	$	78
Operating lease cost	7,496
Variable lease cost	1,625
Sublease income	(1,129		)
Total lease cost	$	8,070
Other information:
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	8,305
Financing cash flows from finance leases	$	50
Right of use assets obtained in exchange for new operating lease liabilities	$	121
Weighted average remaining lease term - finance leases	2.0
Weighted average remaining lease term - operating leases	6.4
Weighted average discount rate - finance leases	5.7		%
Weighted average discount rate - operating leases	4.72		%

Future Minimum Lease Payments, Operating

Future minimum lease payments under noncancelable operating lease arrangements having initial terms of one year or more as of March 31, 2019 are as follows (in thousands):

	Operating leases		Finance leases		Subleases
4/1/2019 - 3/30/2020	$	31,589	$	413	$	3,966
3/31/2020 - 3/28/2021	28,977		100		3,300
3/29/2021 - 3/27/2022	26,333		6,892		2,491
3/28/2022 - 3/26/2023	24,036		—		2,280
3/27/2023 - 3/31/2024	12,701		—		1,582
Thereafter	39,461		—		—
Total future lease payments	$	163,097	$	7,405	$	13,619
Less imputed interest	$	24,094	$	225	$	—
Net future minimum lease payments	$	139,003	$	7,180	$	13,619

Future Minimum Lease Payments, Finance

Future minimum lease payments under noncancelable operating lease arrangements having initial terms of one year or more as of March 31, 2019 are as follows (in thousands):

	Operating leases		Finance leases		Subleases
4/1/2019 - 3/30/2020	$	31,589	$	413	$	3,966
3/31/2020 - 3/28/2021	28,977		100		3,300
3/29/2021 - 3/27/2022	26,333		6,892		2,491
3/28/2022 - 3/26/2023	24,036		—		2,280
3/27/2023 - 3/31/2024	12,701		—		1,582
Thereafter	39,461		—		—
Total future lease payments	$	163,097	$	7,405	$	13,619
Less imputed interest	$	24,094	$	225	$	—
Net future minimum lease payments	$	139,003	$	7,180	$	13,619

Future Minimum Lease Payments, Sublease

Future minimum lease payments under noncancelable operating lease arrangements having initial terms of one year or more as of March 31, 2019 are as follows (in thousands):

	Operating leases		Finance leases		Subleases
4/1/2019 - 3/30/2020	$	31,589	$	413	$	3,966
3/31/2020 - 3/28/2021	28,977		100		3,300
3/29/2021 - 3/27/2022	26,333		6,892		2,491
3/28/2022 - 3/26/2023	24,036		—		2,280
3/27/2023 - 3/31/2024	12,701		—		1,582
Thereafter	39,461		—		—
Total future lease payments	$	163,097	$	7,405	$	13,619
Less imputed interest	$	24,094	$	225	$	—
Net future minimum lease payments	$	139,003	$	7,180	$	13,619

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CHANGES IN OPERATIONS (Tables)

3 Months Ended

Mar. 31, 2019

Restructuring and Related Activities [Abstract]

Summary of lease abandonment accrual activity

A summary of the activity with respect to the Company’s severance accrual for the three months ended March 31, 2019 is as follows (in thousands):

Balance at December 30, 2018	$	28,845
Provision	7,042
Payments	(19,461		)
Balance at March 31, 2019	$	16,426

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RELATED PARTY TRANSACTIONS (Tables)

3 Months Ended

Mar. 31, 2019

Related Party Transactions [Abstract]

Schedule of Related Party Transactions

A summary of the activity with respect to the TSA for the three and three months ended March 31, 2019 is as follows (in thousands):

	Three months ended March 31, 2019
Accounts receivable from NantMedia beginning balance	$	17,909
Revenue for TSA services	7,005
Reimbursable costs	16,346
Amounts received for TSA services	(5,866		)
Amounts received for reimbursable costs	(25,237		)
Amounts paid to third parties under commingled revenue contracts	6,065
Amounts collected from third parties under commingled revenue contracts	(5,447		)
Accounts receivable from NantMedia balance as of March 31, 2019(i)	$	10,775

⁽ⁱ⁾The accounts receivable from NantMedia balance as of March 31, 2019 consists of $8.6 million of charges which had been billed and $2.2 million of charges which had not been billed as of that date.

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ACQUISITIONS (Tables)

3 Months Ended

Mar. 31, 2019

Business Combinations [Abstract]

Schedule of Business Acquisitions by Acquisition

There were no adjustment to the allocation of the purchase price which is as follows (in thousands):

Consideration
Cash consideration for acquisition	$	33,912
Total consideration	33,912
Allocated Fair Value of Acquired Assets and Assumed Liabilities
Accounts receivable and other current assets	8,257
Property, plant and equipment	29,843
Mastheads	4,700
Intangible assets subject to amortization	1,300
Accounts payable and other current liabilities	(10,749		)
Other long term obligations	(68		)
Total identifiable assets (liabilities), net	33,283
Goodwill	629
Total net assets acquired	$	33,912

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DISPOSITIONS AND DISCONTINUED OPERATIONS (Tables)

3 Months Ended

Mar. 31, 2019

Discontinued Operations and Disposal Groups [Abstract]

Discontinued Operations by Segment

Earnings from discontinued operations for the three months ended April 1, 2018, included in the Consolidated Statements of Loss are comprised of the following (in thousands):

Operating revenues	$	117,077
Operating expenses:
Compensation	33,698
Newsprint and ink	7,436
Outside services	31,575
Other operating expenses	29,887
Depreciation and amortization	2,058
Total operating expenses	104,654
Income from operations	12,423
Interest expense, net	(30		)
Gain on equity investments, net	725
Income tax expense	(588		)
Income from discontinued operations, net of tax	$	13,706

Discontinued operations by segment for the three months ended April 1, 2018, are presented below (in thousands):

Operating revenues
M	$	104,206
X	12,859
Corporate and eliminations	12
	$	117,077
Income from Operations
M	$	10,416
X	2,007
Corporate and eliminations	—
	$	12,423
Depreciation and amortization
M	$	1,993
X	65
	$	2,058

Aggregate Carrying Amounts of Assets and Liabilities Held for Sale

The following table presents the aggregate carrying amounts of assets and liabilities related to discontinued operations in the Consolidated Balance Sheets (in thousands):

	March 31, 2019		December 30, 2018
Carrying amount of liabilities associated with discontinued operations:
Income Tax Payable	6,249		6,249
Total liabilities associated with discontinued operations	$	6,249	$	6,249

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INVENTORIES (Tables)

3 Months Ended

Mar. 31, 2019

Inventory Disclosure [Abstract]

Schedule of inventory

Inventories consisted of the following (in thousands):

	As of
	March 31, 2019		December 30, 2018
Newsprint	$	8,968	$	9,273
Supplies and other	299		314
Total inventories	$	9,267	$	9,587

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GOODWILL AND OTHER INTANGIBLE ASSETS (Tables)

3 Months Ended

Mar. 31, 2019

Goodwill and Intangible Assets Disclosure [Abstract]

Summary of goodwill, other intangible assets

Goodwill and other intangible assets at March 31, 2019 and December 30, 2018, consisted of the following (in thousands):

	March 31, 2019							December 30, 2018
	Gross Amount		Accumulated Amortization			Net Amount		Gross Amount		Accumulated Amortization			Net Amount
Intangible assets subject to amortization:
Subscribers (useful life of 2 to 10 years)	$	7,312	$	(4,987	)	$	2,325	$	7,312	$	(4,730	)	$	2,582
Advertiser relationships (useful life of 2 to 13 years)	27,648		(13,151		)	14,497		27,648		(12,497		)	15,151
Tradenames (useful life of 20 years)	15,100		(3,538		)	11,562		15,100		(3,343		)	11,757
Other (useful life of 1 to 20 years)	16,181		(4,611		)	11,570		17,744		(4,831		)	12,913
Total intangible assets subject to amortization	$	66,241	$	(26,287	)	39,954		$	67,804	$	(25,401	)	42,403
Software (useful life of 2 to 10 years)	$	139,095	$	(112,927	)	26,168		$	136,005	$	(108,888	)	27,117
Goodwill and other intangible assets not subject to amortization:
Goodwill						132,172							132,146
Newspaper mastheads						34,826							34,826
Total goodwill and other intangible assets						$	233,120						$	236,492

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PENSION AND OTHER POSTRETIREMENT BENEFITS (Tables)

3 Months Ended

Mar. 31, 2019

Retirement Benefits [Abstract]

Schedule of defined benefit plans net periodic benefit credit

The components of net periodic benefit for the NYDN Pension Plan are as follows (in thousands):

	Three Months Ended						Affected Line Items in the Consolidated Statements of Loss
	March 31, 2019			April 1, 2018
Service cost	$	80		$	80		Compensation
Interest cost	811			811			Other income, net
Expected return on assets	(1,168		)	(1,168		)	Other income, net
Net periodic benefit	$	(277	)	$	(277	)

Schedule of components of net periodic benefit cost

The components of net periodic benefit credit for the Company’s postretirement health care and life insurance plans are as follows (in thousands):

	Three Months Ended						Affected Line Items in the Consolidated Statements of Loss
	March 31, 2019			April 1, 2018
Service cost	$	4		$	3		Compensation
Interest cost	10			9			Other income, net
Amortization of prior service credits	(82		)	(2,634		)	Other income, net
Amortization of actuarial gains	—			(658		)	Other income, net
Net periodic benefit	$	(68	)	$	(3,280	)

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NONCONTROLLING INTEREST (Tables)

3 Months Ended

Mar. 31, 2019

Noncontrolling Interest [Abstract]

Noncontrolling Interest Activity

A summary of the activity with respect to non-controlling interest for the three months ended March 31, 2019 is as follows (in thousands):

Balance at December 30, 2018	$	39,756
Loss attributable to noncontrolling interest	(39		)
Balance at March 31, 2019	$	39,717

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EARNINGS PER SHARE (Tables)

3 Months Ended

Mar. 31, 2019

Earnings Per Share [Abstract]

Schedule of basic and diluted earnings per common share

For the three months endedMarch 31, 2019 and April 1, 2018, basic and diluted earnings per common share were as follows (in thousands, except per share amounts):

	Three Months Ended
	March 31, 2019			April 1, 2018
Income (Loss) - Numerator:
Net loss from continuing operations	$	(4,714	)	$	(28,071	)
Less: Net income (loss) from continuing operations attributable to noncontrolling interest	(39		)	262
Loss available to common shareholders, before discontinued operations	(4,675		)	(28,333		)
Income from discontinued operations	—			13,706
Net loss available to Tribune stockholders	$	(4,675	)	$	(14,627	)
Shares - Denominator:
Weighted average number of common shares outstanding (basic)	35,628			34,801
Dilutive effect of employee stock options and RSUs	—			—
Adjusted weighted average shares outstanding (diluted)	35,628			34,801
Net loss attributable to Tribune per common share:
Continuing operations	$	(0.13	)	$	(0.81	)
Discontinued operations	—			0.39
Net loss per common share	$	(0.13	)	$	(0.42	)
Diluted loss per common share:
Continuing operations	$	(0.13	)	$	(0.81	)
Discontinued operations	—			0.39
Net loss per common share-diluted	$	(0.13	)	$	(0.42	)

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ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Tables)

3 Months Ended

Mar. 31, 2019

Equity [Abstract]

Schedule of components of accumulated other comprehensive income (loss), net of tax

The following table sets forth the components of accumulated other comprehensive income (loss), net of tax, where applicable (in thousands):

	Foreign Currency			OPEB			Pension			Total
Balance at December 30, 2018	$	(39	)	$	303		$	(237	)	$	27
Amounts reclassified from AOCI	—			(59		)	—			(59		)
Foreign currency translation adjustments	(2		)	—			—			(2		)
Balance at March 31, 2019	$	(41	)	$	244		$	(237	)	$	(34	)

Schedule of reclassification out of accumulated other comprehensive income (loss)

The following table presents the amounts and line items in the Consolidated Statements of Loss where adjustments reclassified from accumulated other comprehensive income (loss) were recorded during the three months endedMarch 31, 2019 and April 1, 2018 (in thousands):

	Three Months Ended
	March 31, 2019			April 1, 2018			Affected Line Items in the Consolidated Statements of Loss
Accumulated Other Comprehensive Income (Loss) Components
Pension and postretirement benefit adjustments:
Amortization of prior service credits	$	(82	)	$	(2,634	)	Other income, net
Amortization of actuarial gains	—			(658		)	Other income, net
Total before taxes	(82		)	(3,292		)
Tax effect	(23		)	(915		)	Income tax benefit
Total reclassifications for the period	$	(59	)	$	(2,377	)

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SEGMENT INFORMATION (Tables)

3 Months Ended

Mar. 31, 2019

Segment Reporting [Abstract]

Operating revenue and income (loss) from operations by operating segment

Disaggregated operating revenues and income (loss) from continuing operations by operating segment for the three months ended March 31, 2019 and April 1, 2018, respectively, were as follows for the periods indicated (in thousands):

	Three Months Ended
	M					X						Corporate and Eliminations						Consolidated
	(Print)					(Digital)
	Mar 31, 2019		Apr 1, 2018			Mar 31, 2019			Apr 1, 2018			Mar 31, 2019			Apr 1, 2018			Mar 31, 2019			Apr 1, 2018
Advertising	$	75,932	$	82,742		$	20,836		$	22,050		$	—		$	—		$	96,768		$	104,792
Circulation	86,670		84,626			—			—			—			—			86,670			84,626
Commercial print and delivery	24,459		27,005			—			—			—			—			24,459			27,005
Direct mail	8,638		7,603			—			—			—			—			8,638			7,603
Content syndication and other	2,326		2,235			18,747			13,094			6,917			(989		)	27,990			14,340
Other	35,423		36,843			18,747			13,094			6,917			(989		)	61,087			48,948
Operating revenues	198,025		204,211			39,583			35,144			6,917			(989		)	244,525			238,366
Operating expenses	184,227		204,411			44,783			35,755			22,917			29,278			251,927			269,444
Income (loss) from operations	$	13,798	$	(200	)	$	(5,200	)	$	(611	)	$	(16,000	)	$	(30,267	)	(7,402		)	(31,078		)
Interest income (expense), net																		220			(6,564		)
Loss on early extinguishment of debt																		—			—
Loss on investments, net																		(487		)	(729		)
Other income, net																		73			3,663
Loss from continuing operations before income taxes																		$	(7,596	)	$	(34,708	)
Depreciation and amortization	$	6,286	$	3,972		$	2,177		$	4,549		$	3,621		$	3,925		$	12,084		$	12,446

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SUPPLEMENTAL CASH FLOW INFORMATION (Tables)

3 Months Ended

Mar. 31, 2019

Supplemental Cash Flow Elements [Abstract]

Schedule of supplemental cash flow information

Supplemental cash flow information for each of the periods presented is as follows (in thousands):

	Three months ended
	March 31, 2019			April 1, 2018
Cash paid during the period for:
Interest	$	—		$	5,272
Income taxes, net of refunds	(141		)	167
Non-cash items in investing activities:
Value of shares issued for acquisition	—			34,595

Restrictions on cash and cash equivalents

The following table provides a reconciliation of cash, cash equivalents, and restricted cash as reported within the Consolidated Condensed Balance Sheet that sum to the cash, cash equivalents and restricted cash as reported in the Consolidated Statement of Cash Flows (in thousands):

	As of
	March 31, 2019		December 30, 2018
Cash and cash equivalents	$	98,206	$	97,560
Restricted cash included in other assets	43,947		43,947
Total cash, cash equivalents, and restricted cash shown in the statement of cash flows	$	142,153	$	141,507

Schedule of cash and cash equivalents

The following table provides a reconciliation of cash, cash equivalents, and restricted cash as reported within the Consolidated Condensed Balance Sheet that sum to the cash, cash equivalents and restricted cash as reported in the Consolidated Statement of Cash Flows (in thousands):

	As of
	March 31, 2019		December 30, 2018
Cash and cash equivalents	$	98,206	$	97,560
Restricted cash included in other assets	43,947		43,947
Total cash, cash equivalents, and restricted cash shown in the statement of cash flows	$	142,153	$	141,507

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DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION - (Details) $ in Millions	3 Months Ended	12 Months Ended
	Mar. 31, 2019 pulitzer_prize market	Dec. 30, 2018 USD ($)
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Number of markets | market	8
Number of Pulitzer Prizes | pulitzer_prize	61
Accounting Standards Update 2016-02 | Restatement Adjustment | Retained earnings
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Cumulative-effect adjustment, lease standard adoption, net of tax		$ 1.8
Cumulative-effect adjustment, lease standard adoption, tax		$ 0.7

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LEASES (Details) ft² in Thousands	3 Months Ended
	Mar. 31, 2019 ft² renewal_option
Lessee, Lease, Description [Line Items]
Square footage rented | ft²	4,000
Sublease facility, square footage | ft²	100
Printing Plants
Lessee, Lease, Description [Line Items]
Initial lease term (in years)	10 years
Number of renewal options | renewal_option	2
Renewal term (in years)	10 years
Distribution Facilities
Lessee, Lease, Description [Line Items]
Initial lease term (in years)	5 years
Renewal term (in years)	5 years
Corporate Headquarters
Lessee, Lease, Description [Line Items]
Square footage rented | ft²	137
Corporate Headquarters, One Floor
Lessee, Lease, Description [Line Items]
Initial lease term (in years)	10 years 11 months
Corporate Headquarters, Four Floors
Lessee, Lease, Description [Line Items]
Initial lease term (in years)	12 years
Minimum
Lessee, Lease, Description [Line Items]
Term of sublease contract	5 years
Minimum | Distribution Facilities
Lessee, Lease, Description [Line Items]
Number of renewal options | renewal_option	2
Maximum
Lessee, Lease, Description [Line Items]
Term of sublease contract	7 years
Maximum | Distribution Facilities
Lessee, Lease, Description [Line Items]
Number of renewal options | renewal_option	3

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LEASES - Lease Cost and Other Information (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2019 USD ($)
Lease cost:
Finance lease cost	$ 78
Operating lease cost	7,496
Variable lease cost	1,625
Sublease income	(1,129)
Total lease cost	8,070
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	8,305
Financing cash flows from finance leases	50
Right of use assets obtained in exchange for new operating lease liabilities	$ 121
Weighted average remaining lease term - finance leases	2 years
Weighted average remaining lease term - operating leases	6 years 5 months 2 days
Weighted average discount rate - finance leases	5.70%
Weighted average discount rate - operating leases	4.72%

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LEASES - Future Minimum Lease Payments (Details) $ in Thousands	Mar. 31, 2019 USD ($)
Operating Lease Liabilities, Payments Due [Abstract]
4/1/2019 - 3/30/2020	$ 31,589
3/31/2020 - 3/28/2021	28,977
3/29/2021 - 3/27/2022	26,333
3/28/2022 - 3/26/2023	24,036
3/27/2023 - 3/31/2024	12,701
Thereafter	39,461
Total future lease payments	163,097
Less imputed interest	24,094
Net future minimum lease payments	139,003
Finance Lease Liabilities, Payments, Due [Abstract]
4/1/2019 - 3/30/2020	413
3/31/2020 - 3/28/2021	100
3/29/2021 - 3/27/2022	6,892
3/28/2022 - 3/26/2023	0
3/27/2023 - 3/31/2024	0
Thereafter	0
Total future lease payments	7,405
Less imputed interest	225
Net future minimum lease payments	7,180
Subleases
4/1/2019 - 3/30/2020	3,966
3/31/2020 - 3/28/2021	3,300
3/29/2021 - 3/27/2022	2,491
3/28/2022 - 3/26/2023	2,280
3/27/2023 - 3/31/2024	1,582
Thereafter	0
Total future lease payments	$ 13,619

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REVENUE RECOGNITION - (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2019	Dec. 30, 2018
Revenue from Contract with Customer [Abstract]
Deferred revenue		$ 54.0
Contract liabilities recognized as revenue	$ 34.4

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CHANGES IN OPERATIONS - (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2019 USD ($) position	Apr. 01, 2018 USD ($) position
Restructuring Cost and Reserve [Line Items]
Reductions in staffing levels in operations | position	89	182
Restructuring charges	$ 7,042	$ 5,700
M&D Severance Incentive Plan
Restructuring Cost and Reserve [Line Items]
Reductions in staffing levels in operations | position	23
Separation of CEO and Executives
Restructuring Cost and Reserve [Line Items]
Restructuring charges	$ 4,000
Stock based compensation for shares which would best during salary continuation period	$ 1,500

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CHANGES IN OPERATIONS - Summary of Severance Accrual (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Apr. 01, 2018
Restructuring Reserve [Roll Forward]
Balance at beginning of period	$ 28,845
Provision	7,042	$ 5,700
Payments	(19,461)
Balance at end of period	$ 16,426

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RELATED PARTY TRANSACTIONS - Transition Services Agreement (Details) - USD ($) $ in Thousands		3 Months Ended
	Jun. 18, 2018	Mar. 31, 2019	Apr. 01, 2018
Summary of Activity in the Transition Services Agreement [Roll Forward]
Revenue for TSA services		$ 244,525	$ 238,366
Transaction Services Agreement
Related Party Transaction [Line Items]
Transition services agreement, term	12 months
Notice period to discontinue transition services agreement	60 days
Nant Media
Summary of Activity in the Transition Services Agreement [Roll Forward]
Charges which have been billed		8,600
Charges which have not been billed		2,200
Nant Media | Transaction Services Agreement
Summary of Activity in the Transition Services Agreement [Roll Forward]
Accounts receivable from NantMedia beginning balance		17,909
Accounts receivable from Nant Capital balance as of September 30, 2018		10,775
Nant Media | Revenue for TSA services
Summary of Activity in the Transition Services Agreement [Roll Forward]
Revenue for TSA services		7,005
Nant Media | Reimbursable costs
Summary of Activity in the Transition Services Agreement [Roll Forward]
Amount of related party transaction		16,346
Nant Media | Amounts received for TSA services
Summary of Activity in the Transition Services Agreement [Roll Forward]
Amount of related party transaction		(5,866)
Nant Media | Amounts received for reimbursable costs
Summary of Activity in the Transition Services Agreement [Roll Forward]
Amount of related party transaction		(25,237)
Nant Media | Amounts paid to third parties under commingled revenue contracts
Summary of Activity in the Transition Services Agreement [Roll Forward]
Amount of related party transaction		6,065
Nant Media | Amounts collected from third parties under commingled revenue contracts
Summary of Activity in the Transition Services Agreement [Roll Forward]
Amount of related party transaction		$ (5,447)

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RELATED PARTY TRANSACTIONS - Merrick Consulting Agreement (Details) - Merrick Ventures, LLC - USD ($) $ in Millions		1 Months Ended		3 Months Ended
	Dec. 20, 2017	Jun. 30, 2018	Jan. 31, 2018	Jul. 01, 2018	Apr. 01, 2018
Tribune Publishing Company, LLC
Related Party Transaction [Line Items]
Amount of related party transaction	$ 5.0
Initial payment to related party			$ 5.0
Related party expense		$ 7.5		$ 12.5	$ 15.0
Decrease in expenses from transactions with related party				$ 2.5
Private placement | Affiliated entity | Merrick Shares purchase agreement
Related Party Transaction [Line Items]
Sale of stock, lock-up period	3 years

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ACQUISITIONS (Details) - Virginian-Pilot $ in Thousands	May 28, 2018 USD ($)
Business Acquisition [Line Items]
Cash purchase price	$ 33,912
Post-closing working capital adjustment	$ 100

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ACQUISITIONS - Schedule of Virginian-Pilot Acquisition (Details) - USD ($) $ in Thousands	May 28, 2018	Mar. 31, 2019	Dec. 30, 2018
Business Acquisition [Line Items]
Goodwill		$ 132,172	$ 132,146
Virginian-Pilot
Business Acquisition [Line Items]
Cash consideration for acquisition	$ 33,912
Total purchase price	33,912
Accounts receivable and other current assets	8,257
Property, plant and equipment, including assets under capital leases	29,843
Mastheads	4,700
Intangible assets subject to amortization	1,300
Accounts payable and other current liabilities	(10,749)
Other long term obligations	(68)
Total identifiable net assets (liabilities)	33,283
Goodwill	629
Total net assets acquired	$ 33,912

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DISPOSITIONS AND DISCONTINUED OPERATIONS (Details) - Discontinued Operations, Disposed of by Sale - USD ($) $ in Millions	Jun. 18, 2018	May 23, 2018
California Properties
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Aggregate purchase price	$ 500.0
Post closing working capital payment	9.7
Gain (loss) on sale	$ 404.8
Forsalebyowner.com
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Aggregate purchase price		$ 2.5
Post closing working capital payment		0.1
Advertising sales commitment received		$ 4.5
Term of advertising sales commitment		2 years

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DISPOSITIONS AND DISCONTINUED OPERATIONS - Earnings from Discontinued Operations (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Apr. 01, 2018
Operating expenses:
Income from discontinued operations, net of tax	$ 0	$ 13,706
Discontinued Operations
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Operating revenues		117,077
Operating expenses:
Compensation		33,698
Newsprint and ink		7,436
Outside services		31,575
Other operating expenses		29,887
Depreciation and amortization		2,058
Total operating expenses		104,654
Income from operations		12,423
Interest expense, net		(30)
Gain on equity investments, net		725
Income tax expense		(588)
Income from discontinued operations, net of tax		$ 13,706

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DISPOSITIONS AND DISCONTINUED OPERATIONS - Discontinued Operations by Segment (Details) - Discontinued Operations $ in Thousands	3 Months Ended
	Apr. 01, 2018 USD ($)
Segment Reporting Information [Line Items]
Operating revenues	$ 117,077
Income from Operations	12,423
Depreciation and amortization	2,058
Operating segments | M
Segment Reporting Information [Line Items]
Operating revenues	104,206
Income from Operations	10,416
Depreciation and amortization	1,993
Operating segments | X
Segment Reporting Information [Line Items]
Operating revenues	12,859
Income from Operations	2,007
Depreciation and amortization	65
Corporate and eliminations
Segment Reporting Information [Line Items]
Operating revenues	12
Income from Operations	$ 0

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DISPOSITIONS AND DISCONTINUED OPERATIONS - Assets and Liabilities Associated with Discontinued Operations (Details) - Discontinued Operations, Held-for-sale - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 30, 2018
Carrying amount of liabilities associated with discontinued operations:
Income Tax Payable	$ 6,249	$ 6,249
Total liabilities associated with discontinued operations	$ 6,249	$ 6,249

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INVENTORIES - Summary of Inventory (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 30, 2018
Inventory Disclosure [Abstract]
Newsprint	$ 8,968	$ 9,273
Supplies and other	299	314
Total inventories	$ 9,267	$ 9,587

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GOODWILL AND OTHER INTANGIBLE ASSETS - Summary of Goodwill and Other Intangible Assets (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2019	Dec. 30, 2018
Intangible assets subject to amortization:
Gross Amount	$ 66,241	$ 67,804
Accumulated Amortization	(26,287)	(25,401)
Net Amount	39,954	42,403
Software
Net Amount	26,168	27,117
Goodwill and other intangible assets not subject to amortization:
Goodwill	132,172	132,146
Newspaper mastheads	34,826	34,826
Total goodwill and other intangible assets	233,120	236,492
Subscribers
Intangible assets subject to amortization:
Gross Amount	7,312	7,312
Accumulated Amortization	(4,987)	(4,730)
Net Amount	$ 2,325	$ 2,582
Subscribers | Minimum
Goodwill and other intangible assets not subject to amortization:
Useful life	2 years	2 years
Subscribers | Maximum
Goodwill and other intangible assets not subject to amortization:
Useful life	10 years	10 years
Advertiser relationships
Intangible assets subject to amortization:
Gross Amount	$ 27,648	$ 27,648
Accumulated Amortization	(13,151)	(12,497)
Net Amount	$ 14,497	$ 15,151
Advertiser relationships | Minimum
Goodwill and other intangible assets not subject to amortization:
Useful life	2 years	2 years
Advertiser relationships | Maximum
Goodwill and other intangible assets not subject to amortization:
Useful life	13 years	13 years
Tradenames
Intangible assets subject to amortization:
Gross Amount	$ 15,100	$ 15,100
Accumulated Amortization	(3,538)	(3,343)
Net Amount	$ 11,562	$ 11,757
Goodwill and other intangible assets not subject to amortization:
Useful life	20 years	20 years
Other
Intangible assets subject to amortization:
Gross Amount	$ 16,181	$ 17,744
Accumulated Amortization	(4,611)	(4,831)
Net Amount	$ 11,570	$ 12,913
Other | Minimum
Goodwill and other intangible assets not subject to amortization:
Useful life	1 year	1 year
Other | Maximum
Goodwill and other intangible assets not subject to amortization:
Useful life	20 years	20 years
Software
Software
Gross Amount	$ 139,095	$ 136,005
Accumulated Amortization	(112,927)	(108,888)
Net Amount	$ 26,168	$ 27,117
Software | Minimum
Goodwill and other intangible assets not subject to amortization:
Useful life	2 years	2 years
Software | Maximum
Goodwill and other intangible assets not subject to amortization:
Useful life	10 years	10 years

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INCOME TAXES - (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Apr. 01, 2018
Income Tax Disclosure [Abstract]
Income tax benefit	$ (2,882)	$ (6,637)
Effective tax rate on pretax income, percent	37.90%	19.10%

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PENSION AND OTHER POSTRETIREMENT BENEFITS - (Details) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended
	Apr. 30, 2019	Mar. 31, 2019	Apr. 01, 2018
Defined Benefit Plan Disclosure [Line Items]
Pension contribution		$ 499	$ 0
Pension plan | NYDN Pension Plan
Defined Benefit Plan Disclosure [Line Items]
Pension contribution		500
Expected future contributions for rest of current year		2,000
Chicago Newspaper Publishers Drivers' Union Pension Plan | Multiemployer Plans, Pension
Defined Benefit Plan Disclosure [Line Items]
Expected future contribution to multiemployer plan		$ 1,600
Subsequent Event | Chicago Newspaper Publishers Drivers' Union Pension Plan | Multiemployer Plans, Pension
Defined Benefit Plan Disclosure [Line Items]
Contributions made by the Company to multiemployer pension plan	$ 10,100

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PENSION AND OTHER POSTRETIREMENT BENEFITS - Components of Defined Benefit Plan (Details) - Pension plan - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Apr. 01, 2018
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Service cost	$ 80	$ 80
Interest cost	811	811
Expected return on assets	(1,168)	(1,168)
Net periodic benefit	$ (277)	$ (277)

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PENSION AND OTHER POSTRETIREMENT BENEFITS - Components of Postretirement Health Care and Life Insurance Plans (Details) - Other postretirement plans - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Apr. 01, 2018
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Service cost	$ 4	$ 3
Interest cost	10	9
Amortization of prior service credits	(82)	(2,634)
Amortization of actuarial gains	0	(658)
Net periodic benefit	$ (68)	$ (3,280)

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NONCONTROLLING INTEREST (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2019 USD ($)
Noncontrolling Interest [Abstract]
Ownership percentage	40.00%
Right to purchase membership units (percentage)	25.00%
Stockholders' Equity Attributable to Noncontrolling Interest [Roll Forward]
Noncontrolling interests, beginning balance	$ 39,756
Loss attributable to noncontrolling interest	(39)
Noncontrolling interests, ending balance	$ 39,717

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EARNINGS PER SHARE - (Details) - shares	3 Months Ended
	Mar. 31, 2019	Apr. 01, 2018
Option
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Antidilutive securities excluded from computation of EPS (in shares)	924,887	1,022,387
RSU
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Antidilutive securities excluded from computation of EPS (in shares)	1,224,481	1,912,370

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EARNINGS PER SHARE - Basic and Diluted Earnings Per Common Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2019	Apr. 01, 2018
Income (Loss) - Numerator:
Net loss from continuing operations	$ (4,714)	$ (28,071)
Less: Net income (loss) from continuing operations attributable to noncontrolling interest	(39)	262
Loss available to common shareholders, before discontinued operations	(4,675)	(28,333)
Income from discontinued operations	0	13,706
Net loss available to Tribune stockholders	$ (4,675)	$ (14,627)
Shares - Denominator:
Weighted average number of common shares outstanding (basic) (in shares)	35,628	34,801
Dilutive effect of employee stock options and RSUs (in shares)	0	0
Adjusted weighted average shares outstanding (diluted) (in shares)	35,628	34,801
Net loss attributable to Tribune per common share:
Continuing operations (in dollars per share)	$ (0.13)	$ (0.81)
Discontinued operations (in dollars per share)	0.00	0.39
Net income per common share (in dollars per share)	(0.13)	(0.42)
Diluted loss per common share:
Continuing operations (in dollars per share)	(0.13)	(0.81)
Discontinued operations (in dollars per share)	0.00	0.39
Net income per common share-diluted (in dollars per share)	$ (0.13)	$ (0.42)

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STOCKHOLDERS' EQUITY - (Details) - USD ($) $ in Millions	Mar. 13, 2019	Mar. 23, 2017	Mar. 22, 2017	May 22, 2016	Mar. 31, 2019	Jan. 17, 2019
Class of Stock [Line Items]
Stock repurchase program, authorized amount	$ 25.0
Charge to non-operating expense						$ 0.5
Private placement | Merrick Shares purchase agreement | Merrick Media, LLC | Affiliated entity
Class of Stock [Line Items]
Percentage of ownership of outstanding shares		30.00%	25.00%
Private placement | Merrick Shares purchase agreement | Mr. Ferro | Beneficial owner
Class of Stock [Line Items]
Beneficial ownership by related party, common shares owned (in shares)					9,071,529
Beneficial ownership by related party, percentage of common stock owned					25.40%
Private placement | Nant Rights purchase agreement | Beneficial owner
Class of Stock [Line Items]
Percentage of ownership of outstanding shares				25.00%
Maximum percentage of shares allowed to be held after transfer (in shares)				4.90%
Private placement | Nant Rights purchase agreement | Dr. Soon-Shiong | Beneficial owner
Class of Stock [Line Items]
Beneficial ownership by related party, common shares owned (in shares)					8,743,619
Beneficial ownership by related party, percentage of common stock owned					24.50%

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ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) - Components of Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Apr. 01, 2018
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Balance at beginning of period	$ 373,312	$ 69,162
Amounts reclassified from AOCI	(59)
Foreign currency translation	(2)	0
Balance at end of period	372,513	88,498
Foreign Currency
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Balance at beginning of period	(39)
Amounts reclassified from AOCI	0
Foreign currency translation	(2)
Balance at end of period	(41)
AOCI
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Balance at beginning of period	27	(13,527)
Balance at end of period	(34)	$ (15,796)
Other postretirement plans | OPEB/Pension
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Balance at beginning of period	303
Amounts reclassified from AOCI	(59)
Foreign currency translation	0
Balance at end of period	244
Pension plan | OPEB/Pension
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Balance at beginning of period	(237)
Amounts reclassified from AOCI	0
Foreign currency translation	0
Balance at end of period	$ (237)

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ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) - Reclassifications (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Apr. 01, 2018
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Pension and postretirement benefit adjustments	$ (97,709)	$ (110,765)
Tax effect	(2,882)	(6,637)
Reclassification out of Accumulated Other Comprehensive Income
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Total reclassifications for the period	(59)	(2,377)
Reclassification out of Accumulated Other Comprehensive Income | Amortization of prior service credits
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Pension and postretirement benefit adjustments	(82)	(2,634)
Reclassification out of Accumulated Other Comprehensive Income | Amortization of actuarial gains
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Pension and postretirement benefit adjustments	0	(658)
Reclassification out of Accumulated Other Comprehensive Income | Accumulated defined benefit plans adjustment attributable to parent
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Total before taxes	(82)	(3,292)
Tax effect	$ (23)	$ (915)

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SEGMENT INFORMATION - Operating Revenue and Income (Loss) from Operations by Operating Segment (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Apr. 01, 2018
Segment Reporting Information [Line Items]
Operating revenues	$ 244,525	$ 238,366
Operating expenses	251,927	269,444
Income (loss) from operations	(7,402)	(31,078)
Interest income (expense), net	220	(6,564)
Loss on early extinguishment of debt	0	0
Loss on equity investments, net	(487)	(729)
Other income, net	73	3,663
Loss from continuing operations before income taxes	(7,596)	(34,708)
Depreciation and amortization	12,084	12,446
Operating segments | M (Print)
Segment Reporting Information [Line Items]
Operating revenues	198,025	204,211
Operating expenses	184,227	204,411
Income (loss) from operations	13,798	(200)
Depreciation and amortization	6,286	3,972
Operating segments | X (Digital)
Segment Reporting Information [Line Items]
Operating revenues	39,583	35,144
Operating expenses	44,783	35,755
Income (loss) from operations	(5,200)	(611)
Depreciation and amortization	2,177	4,549
Corporate and eliminations
Segment Reporting Information [Line Items]
Operating revenues	6,917	(989)
Operating expenses	22,917	29,278
Income (loss) from operations	(16,000)	(30,267)
Depreciation and amortization	3,621	3,925
Advertising
Segment Reporting Information [Line Items]
Operating revenues	96,768	104,792
Advertising | Operating segments | M (Print)
Segment Reporting Information [Line Items]
Operating revenues	75,932	82,742
Advertising | Operating segments | X (Digital)
Segment Reporting Information [Line Items]
Operating revenues	20,836	22,050
Advertising | Corporate and eliminations
Segment Reporting Information [Line Items]
Operating revenues	0	0
Circulation
Segment Reporting Information [Line Items]
Operating revenues	86,670	84,626
Circulation | Operating segments | M (Print)
Segment Reporting Information [Line Items]
Operating revenues	86,670	84,626
Circulation | Operating segments | X (Digital)
Segment Reporting Information [Line Items]
Operating revenues	0	0
Circulation | Corporate and eliminations
Segment Reporting Information [Line Items]
Operating revenues	0	0
Commercial print and delivery
Segment Reporting Information [Line Items]
Operating revenues	24,459	27,005
Commercial print and delivery | Operating segments | M (Print)
Segment Reporting Information [Line Items]
Operating revenues	24,459	27,005
Commercial print and delivery | Operating segments | X (Digital)
Segment Reporting Information [Line Items]
Operating revenues	0	0
Commercial print and delivery | Corporate and eliminations
Segment Reporting Information [Line Items]
Operating revenues	0	0
Direct mail
Segment Reporting Information [Line Items]
Operating revenues	8,638	7,603
Direct mail | Operating segments | M (Print)
Segment Reporting Information [Line Items]
Operating revenues	8,638	7,603
Direct mail | Operating segments | X (Digital)
Segment Reporting Information [Line Items]
Operating revenues	0	0
Direct mail | Corporate and eliminations
Segment Reporting Information [Line Items]
Operating revenues	0	0
Content syndication and other
Segment Reporting Information [Line Items]
Operating revenues	27,990	14,340
Content syndication and other | Operating segments | M (Print)
Segment Reporting Information [Line Items]
Operating revenues	2,326	2,235
Content syndication and other | Operating segments | X (Digital)
Segment Reporting Information [Line Items]
Operating revenues	18,747	13,094
Content syndication and other | Corporate and eliminations
Segment Reporting Information [Line Items]
Operating revenues	6,917	(989)
Other
Segment Reporting Information [Line Items]
Operating revenues	61,087	48,948
Other | Operating segments | M (Print)
Segment Reporting Information [Line Items]
Operating revenues	35,423	36,843
Other | Operating segments | X (Digital)
Segment Reporting Information [Line Items]
Operating revenues	18,747	13,094
Other | Corporate and eliminations
Segment Reporting Information [Line Items]
Operating revenues	$ 6,917	$ (989)

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SUPPLEMENTAL CASH FLOW INFORMATION - Summary of Supplemental Cash Flow (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Apr. 01, 2018
Cash paid during the period for:
Interest	$ 0	$ 5,272
Income taxes, net of refunds	(141)	167
Non-cash items in investing activities:
Value of shares issued for acquisition	$ 0	$ 34,595

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SUPPLEMENTAL CASH FLOW INFORMATION - Reconciliation of Cash, Cash Equivalents, and Restricted Cash (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 30, 2018	Apr. 01, 2018	Dec. 31, 2017
Supplemental Cash Flow Elements [Abstract]
Cash and cash equivalents	$ 98,206	$ 97,560
Restricted cash included in other assets	43,947	43,947
Total cash, cash equivalents, and restricted cash shown in the statement of cash flows	$ 142,153	$ 141,507	$ 156,703	$ 185,351