SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 6-K
Report of Foreign Issuer
Pursuant to Rule 13a-16 or 15d-16 of
the Securities Exchange Act of 1934
For the month of May, 1999
HOLLINGER INC.
(Translation of registrant's name into English)
10 Toronto Street
Toronto, Ontario M5C 2B7
CANADA
(Address of principal executive offices)
(Indicate by check mark whether the registrant
files or will file annual reports under cover of Form 20-F or
Form 40-F.)
Form 20-F Form 40-F x
(Indicate by check mark whether the registrant by
furnishing the information contained in this form is also
thereby furnishing the information to the Commission pursuant
to Rule 12g3-2(b) under the Securities Exchange Act of 1934.)
Yes No x
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EXHIBIT LIST
Sequential
Exhibit Description Page Number
99.1 Press Release dated May 14, 1999 of 5
Hollinger Inc.
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SIGNATURES
Pursuant to the requirements of the Securities
Exchange Act of 1934, the registrant has duly caused this
report to be signed on its behalf by the undersigned,
thereunto duly authorized.
HOLLINGER INC.
Date: May 17, 1999 by /s/ Charles G. Cowan, Q.C.
---------------------------
Name: Charles G. Cowan, Q.C.
Title: Vice President and
Secretary
For Release at 5:00 p.m.
May 14, 1998
PRESS RELEASE
HOLLINGER INC.
HOLLINGER 1999 FIRST QUARTER RESULTS
TORONTO, May 14, 1999 -- Hollinger Inc., (TSE, ME, VSE: HLG.C;
Nasdaq: HLGCF) today announced its consolidated financial results for the
three months ended March 31, 1999 with comparison to the three months ended
March 31, 1998.
Per Equity Unit
Three Months Ended Three Months Ended
March 31 March 31
1999 1998 1999 1998
(Millions of Cdn.Dollars) (Cdn. Dollars)
Total revenue 817.0 787.8 n/a n/a
EBITDA 139.7 154.0 n/a n/a
Net earnings 109.4 74.0 $ 3.33 $ 2.22
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HOLLINGER INC.
CONSOLIDATED STATEMENT OF EARNINGS
($000's)
Three Months Ended March 31
1999 1998
Revenue
Sales $ 809,239 $ 783,065
Investment and other income 7,714 4,742
--------- ---------
816,953 787,807
--------- ---------
Expenses
Cost of sales and expenses 669,565 629,067
Depreciation and amortization 58,659 52,233
Interest on long-term debt 49,087 44,111
Other interest 13,232 11,798
--------- ---------
790,543 737,209
--------- ---------
Net loss in equity accounted companies (223) (312)
Net foreign currency (losses) gains (1,239) 1,384
--------- ---------
Earnings before the undernoted 24,948 51,670
Unusual items 323,162 231,649
Income taxes (135,769) (120,061)
Minority interest (102,932) (89,259)
--------- ---------
Net earnings $ 109,409 $ 73,999
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Earnings before unusual items, income taxes and minority interest was $24.9
million for the three months ended March 31, 1999 as compared to $51.7
million for 1998.
Reported earnings for the quarter compared to last year have been affected
by several major items.
The start-up in October of 1998 of the National Post has resulted in
an EBITDA loss from the National Post for the quarter of $17.5
million. This loss is greater than initially expected because
circulation has been higher than expected without, yet, delivering the
inevitable advertising revenues. The sale of four newspapers as part
of the purchase of the Financial Post has also reduced EBITDA quarter
over quarter by $5.0 million.
With the acquisition of the remainder of Southam Inc. completed in
early 1999, all of the earnings of Southam Inc. are now attributable
to the Company compared with the first quarter of 1998, when a
substantial minority still existed. The increased ownership has
resulted in higher depreciation and amortization in this quarter
compared to the first quarter of 1998. The minority interest in
Hollinger International has increased, offsetting some of the Southam
impact on minority interest.
Unusual items in 1999 and 1998 include the gain on sale of community
newspapers by Hollinger International Inc. In 1998 this gain was
offset in part by a make-whole premium paid on retiring of Hollinger
International Senior Secured Notes, and redundancy costs.
More detailed information about the operations of International and its
divisions and subsidiaries may be found in their press release dated April
29, 1999.
For more information please call:
J. A. Boultbee Marianne Godwin
Executive Vice-President Vice-President
and Chief Financial Officer Strategic and Corporate Development
Hollinger Inc. Hollinger Inc.
(416) 363-8721 (416) 363-8721
