Good day ladies and gentlemen and welcome to the fourth quarter 2007 Media General Earnings Call. My name is Towanda and I will be your coordinator for today. At this time, all participants are in a listen-only mode. We will conduct a question-and-answer session towards the end of this conference. (Operator Instructions). As a reminder this conference is being recorded for replay purposes. I would now like to turn the call over to Ms. Lou Anne Nabhan, Vice President. Please proceed, ma'am.

Thanks, Towanda, and good afternoon everyone. Welcome to Media General's fourth quarter conference call and webcast. Before today's market open, Media General announced earnings for the fourth quarter of 2007 and revenues for the month of December. Both press releases have been posted on our website. The comments from today's conference call will also be posted on our website immediately following the call. Today's presentation does contain forward-looking statements, which are subject to various risks and uncertainties. They should be understood in the context of the company's publicly available reports filed with the SEC. Media General's future performance could differ materially from its current expectations. And now, I would like to turn the call over to Marshall Morton, President and Chief Executive Officer of Media General.

Thank you, Lou Anne, and good afternoon everyone. Our comments today will cover our financial results for '07 and our perspective on '08. I'll address the challenges faced by our company and industry, and what we at Media General have done, and are doing, to meet those challenges. I will also comment on recent disclosures by a hedge fund, Harbinger, which has acquired a significant minority position in our Class A stock. Starting with the year '07, as you all -- for our company and for the entire industry, it was one of the most difficult in recent memory, perhaps in history. Our industry faces a number of challenges from the Internet, from structural changes in other industries that have historically been major purchasers of newspaper and television advertising, from a cyclical economy, and, for some companies, including Media General, from the currently depressed Florida economy. In the face of all these challenges, we have moved aggressively to strengthen the company. We have done so with a great sense of urgency and in a variety of ways. For example, we launched a determined effort in early '05 to increase advertising revenues and total audience by aggressively creating new print and online products that target diverse and untapped audiences. These include products and services targeted to specific demographic, geographic and topical communities of interest. Examples include hyperlocal newspapers with companion websites, magazines for women and Spanish-speaking people, and publications focused on such topics as health and fitness. In 2007, the Publishing Division generated $40 million from new product initiatives and the Broadcast Division generated $22 million from similar efforts. We are rigorously focused on controlling expenses and reducing them wherever possible. This has been accomplished by consolidating and centralizing many back office and technical functions, by outsourcing customer service and circulation…

(Operator Instructions) Your first question comes from the line of Mr. David Clarke with Deutsche Bank. Please proceed, sir.

Good afternoon. What's of -- what have your larger national and national retail chain advertisers been saying about ad budgets for 2008. Have they have been pulling back in anticipation of a recession at all or are they still advertising at this point or they expressing concern?

Reid, do you want to answer that?

We have seen some reductions from major advertisers but have not had any clear indications of what their intentions are for the remainder of the year.

Okay. And I guess sort of related New York Times today said earlier today that January newspaper ad trends were down about same amounts as December and they had a very weak December, have you seen the same top start 2008? I know you were saying that you think '08 will also have some severe ad pressure but have you gotten off to a weak start?

We haven't seen any improvement.

Okay. And finally I believe your Tampa website was your beta test for the Yahoo! consortium, other elements of the Yahoo! consortium deal. How has that being going for you and I guess also is the timetable rolling out those other components of the Yahoo! deals still sort of third quarter timeframe?

We have in Tampa learned enough to test the system and we're pleased with what we've experienced so far. We don't have material -- financially material results to report yet, but the next rollout will be Richmond. We are constrained by Yahoo!'s ability to turn on additional sites, and I don't remember how many we expect to have on by the end of this year. Lou Anne might be able to help with later.

Okay. Thank you.

And your next question comes from the line of Mr. Richard Tullo with Sidoti. Please proceed.

Yes, hi. I've got a couple of questions here. When would the revenue of the three stations that were moved to discontinued ops?

Where were the revenues, did you say?

Yeah.

John, can you help him? We can get back to you on that, Rich. He doesn't have the number right in front of him.

Okay. And how much of investment banking and new product add to your just SG&A expenses in quarter, it seems like you are doing a lot?

Well, investment banking would have been -- you are thinking about like the TV station sales and so forth?

Yes.

That wouldn't have gone into P&L in the quarter because it falls into the station sales itself.

Okay.

Rich, I do have the after tax income from the discontinued operations….

Okay.

..to be $2.4 million.

$2.4 million. Okay. And so we have not seen a bottom in Florida yet, I mean the newspaper numbers seem absolutely horrible. Is there any way -- is there anything being done to turn that around even lowering rates precipitously or is there anything you can do to kind of change the direction, because it seem to be pretty weak across the board.

We're pushing very hard there, and of course, things like working with rate is one of the tools that we always use to encourage more advertising. Florida's just been hit by an awful lot and the impact on the real estate business has been found out and all the businesses to deal real estate. The insurance side of the equation is also tough. In the primary they held this week, they had homestead act changes that may take some uncertainly out of people's mind with respect to trading properties. That could be helpful, but for the moment, our push is on making sure we got the cost equation right and on pushing on additional products down there, which we are doing and we have a couple of launching within the next month or two.

Have you seen any pick-up in financial advertising with the recent cut in interest rates?

Reid, what do you…

No. I suspect we will begin to see that in things like automotive where they can translate that into promotabale financing deals.

Okay. And what's the current outstanding debt balance again, I missed it when you were going through the numbers?

Yeah. Outstanding debt is $898 million at the end of 2007.

Are you going to use the proceeds from the, from SPN to pay that down in, I guess the second quarter of '08?

Yeah.

Yeah.

Great. Thank you.

(Operator Instructions). Your next question comes from the line of Mr. Edward Atorino with Benchmark. Please proceed, sir.

Ed?

Hi, out there. How does TV look, you must have got a little bit from the Florida and as we move into, was it super Tuesday, any dollar showing up either on the political front or just from a general TV environment?

We just got done in South Carolina too, where we have…

That's right.

Reid, you want to talk about political?

We had a good remarks for political. We did, its our preliminary numbers. It is based on orders on the books a week before the election was $2.9 million, which was about a $1 million more than we had anticipated. And we may wind up a doing a bit better than that. Otherwise, January and February, the transactional business is pretty slow. For some reason, March is looking better in terms of non-political orders on the book. The slowness, by the way, is all in national advertising. We are doing pretty well on local.

Okay. What's the time table on, I think you said that earlier, the closing of Newsprint.

Right at the end of or the beginning…

Yeah.

End of first quarter or beginning of that quarter.

Yeah. Okay. It's tough down there, I know.

Thanks, Ed.

Bye.

And your next question is a follow-up from the line of Mr. David Clarke with Deutsche Bank. Please proceed, sir.

Thank you. Just one more question. Again on Newsprint and sort of looking at '08, obviously, you're going to benefit consumption wise throughout '08 year-over-year due to the width reduction in Tampa. Are all your papers at 48 inch now or do you have other opportunities for that or I guess my question would really be the other way that you can lower further reduce consumption on this year?

We are at 48 everywhere and of course we, like everybody else are looking at what other reductions make sense. And further width reduction makes sense. Some are now are looking at lighter weight paper and we are looking at that too as a means of cutting expense. There is a question of keeping product quality strong. At the same time, we reduce costs. Other things you can do, you can beef up the end controls in your press and have less waste. And so often we find there are ways to affect efficiencies there too.

Okay. Thank you

Sure.

(Operator Instructions)

Sounds like there are no more questions. Thank you very much for tuning in. We look forward to updating you as we make progress in the next couple of quarters.

Ladies and gentlemen, thank you for your participation in today's conference. This concludes your presentation. You may now disconnect and have a wonderful day.