AMI Gets Another Extension on its Financial Restatements (posted 2/14)
American Media Inc. once again this week asked for and received an extension on its financial restatement filings for the fourth quarter of 2005 and the first through fourth quarters of 2006, according to an 8-K document filed with the Securities and Exchange Commission Tuesday. The extension was granted just two days before the 2005 filing was due.
The new filing deadline for the 2005 restatement is set for March 15. Deadlines on the rest of the restatements have been pushed to April 15.
Requesting extensions on its restatement deadlines has become commonplace for the beleaguered publisher of the Star and the National Enquirer. The company is carrying about $1 billion in debt and has been struggling with declining newsstand sales for both of its flagship tabloids.
Last week, the company blamed lower-than-expected fourth quarter 2006 earnings on the Star’s newsstand troubles. AMI’s EBITDA declined in the fourth quarter of last year to $21.5 million, down from $23.9 million in the same period a year earlier.
In related news, AMI CEO David Pecker told staff Tuesday that Star editor Joe Dolce would be leaving the company when his contract expires March 31. Globe editor-in-chief Candace Trunzo will replace Dolce.