Meredith Corp., the media owner of WFSB Channel 3 in Rocky Hill, says it will take a special charge of about $5.5 million in the fiscal second quarter as it curbs its output of niche newsstand publications.
The charge — roughly $3.5 million, or 7 cents a share, after taxes – includes severance, creative and distribution costs related to repositioning its collection of newsstand publications focused on home improvement and do-it-yourself projects in niche content areas such as remodeling, decorating, food and entertaining, and gardening and outdoor living.
Meredith plans to reduce its output of special-interest publications to 90 this fiscal year from 150 last year. It will focus instead on publications aligned around its flagship Better Homes and Gardens magazine.
Approximately 45 jobs will be impacted by the repositioning, Meredith said. The Des Moines, Iowa, company employs more than 3,000 nationwide.
Meredith said it will update the current advertising environment and its earnings outlook when it releases fiscal 2010 second-quarter earnings on Thursday.
