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SEC Filings

GRAHAM HOLDINGS CO filed this Form 10-Q on 08/16/1994
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first six months of 1994, circulation revenues decreased 1 percent, primarily
due to lower newsstand volume and less favorable currency rates at the
international editions.

CABLE DIVISION. Cable division revenues were down 3 percent in the first half
of 1994.  Subscriber revenues fell 8 percent in the first six months of 1994,
principally due to a decrease in subscriber rates attributable to the rate
freeze and reductions enacted in the Cable Act, which was partially offset by a
2 percent increase in basic subscribers.  In 1993 results also included
operations in the United Kingdom, which were subsequently sold.  Excluding
foreign operations, cable division revenues were even with the first six months
of 1993.

OTHER BUSINESSES.  At the company's other businesses, revenues rose 9 percent
in the first half of 1994.  Improved results at Stanley H. Kaplan Educational
Center was the major contributor to the increase over 1993.

EQUITY IN EARNINGS AND LOSSES OF AFFILIATES.  The company's equity in earnings
of affiliates during the first half of 1994 was a loss of $3.2 million,
compared with a loss of $2.4 million in the first six months of 1993.  Lower
results from the company's newsprint affiliates, which were partially offset by
improved earnings at the newspaper affiliates, were the major contributors to
the decrease.

NON-OPERATING ITEMS.  Interest income, net of interest expense, was even with
the first six months of 1993, primarily due to lower invested cash balances and
higher interest rates.  In 1993 net interest income included the capitalization
of interest, higher invested cash balances and lower interest rates.

         Other income in the first half of 1994 was $2.6 million, compared with
$.6 million in the comparable period of 1993.  In 1994 other income included a
gain of $2.5 million resulting from a change in the company's ownership
interest in one of its affiliates.

         In December 1993 the Federal Communications Commission
(FCC) awarded a pioneer's preference for personal communications services (PCS)
to American PCS, L.P. (known as American Personal Communications or APC), a
limited partnership in which the company has a 70 percent interest.  Under the
terms of the initial award, the license was to be awarded at no cost to the
pioneer.  Pursuant to the award, in January 1994, APC filed an application for
a PCS authorization with the FCC.  APC has begun some operations, and
immediately following receipt of authorization from the FCC, the company
expects to substantially increase the level of capital investment in the

         On August 9, 1994, the FCC reversed its position with respect to
awarding licenses to pioneers at no cost.  Under the terms of the new