Gannett Co., Inc. Releases July Statistical Report

Gannett Co., Inc. (NYSE:GCI) reported today that totalpro forma operating revenues for the seventh period ended July 31,2005 were 0.7 percent higher, resulting from increased advertisingdemand at the company's local, domestic newspapers offset by revenuedeclines in its Broadcasting and UK operations. Broadcasting revenuesdeclined 11.1 percent reflecting, primarily, significantly lowerpolitical ad spending. For comparison purposes, the drop in theexchange rate of Sterling year-over-year affected the company'sresults. If the exchange rate had remained constant year-over-year,total pro forma operating revenues would have increased 1.4 percentfor the period.

Pro forma (assuming that all properties presently owned were ownedin both periods) newspaper advertising revenues in July rose 2.6percent compared with the seventh period in 2004 on a 2.6 percentdecrease in ROP volume. If the exchange rate had remained constantyear-over-year, total newspaper advertising revenues would haveincreased 3.4 percent for the period.

Pro forma local advertising revenues were up 4.7 percent on a 2.5percent decline in ROP ad volume in July. The performance of thecompany's small and medium-sized advertisers in its domesticnewspapers outpaced the revenue performance of its largestadvertisers. In the U.S., across all products, local ad revenue gainswere achieved in the department store, health and telecommunicationscategories while the furniture, financial and restaurant categorieslagged last year's comparable period results. On a constant currencybasis, pro forma local advertising would have advanced 5.1 percent.

Pro forma classified revenues increased 1.8 percent in the seventhperiod on a 2.7 percent decline in ROP ad volume. On a constantcurrency basis, classified revenues would have been 3.1 percenthigher. Employment revenues were up 2.7 percent, real estate revenuesrose 2.1 percent while automotive revenues were 8.9 percent lowercompared to last year's seventh period. Overall, the company'sdomestic classified results were stronger than its UK results. In theU.S. employment revenues rose 14.1 percent and real estate revenueswere up 5.4 percent. On a constant currency basis, employment revenueswould have been up 4.2 percent, real estate revenues would haveincreased 3.6 percent and automotive revenues would have declined 8.2percent.

Pro forma national advertising revenues in July declined less than1 percent on flat ad volume. National volume at the company's localdomestic newspapers was slightly higher in the period. At USA TODAY,advertising revenues were 1.2 percent lower on a 9.1 percent declinein paid ad pages to 355 from 391. For comparison purposes, USA TODAY'sad revenues were up 14 percent in July of 2004. For the seventhperiod, at USA TODAY, the automotive, technology, financial and homeand building categories were positive while the travel, retail andadvocacy categories declined compared to Period 7 in 2004. For theyear-to-date, USA TODAY's advertising revenues increased 1.1 percentwhile paid advertising pages totaled 2,648 versus 2,757 last year.

Pro forma broadcasting revenues, which include Captivate,decreased 11.1 percent in the period. Television revenues were 11.6percent lower reflecting significantly lower political advertising.Local revenues declined 3.3 percent while national revenues were 23.7percent lower.

Based on July's results and current pacings for the remainder ofthe quarter, television revenues for the third quarter of 2005 wouldbe below last year's comparable period in the high teens. This is due,in part, to the absence of over $50 million of political and Olympicadvertising that benefited the third quarter of 2004.

In addition to the revenue and statistical summary, attached is achart which shows the consolidated Gannett Online audience share fromNielsen//Net Ratings. In July, Gannett's consolidated domesticInternet audience share totaled almost 21 million unique visitorsreaching approximately 14 percent of the Internet audience.

On August 3, 2005, the company and MediaNews Group announced thereorganization of the Detroit Newspaper Agency. As part of thetransaction, Knight Ridder sold its newspaper interests in Detroit toGannett and MediaNews Group and the two newspaper publishers formedthe Detroit Newspaper Partnership, L.P. MediaNews Group acquired TheDetroit News from Gannett and Gannett acquired the Detroit Free Press.Beginning in Period 8, Detroit's results will be fully consolidated inthe financial statements of Gannett along with a minority interestcharge to operations for MediaNews Group's interest.

In a separate transaction, the company announced an exchange ofassets with Knight Ridder, Inc. in which Knight Ridder will receivefrom Gannett The (Boise) Idaho Statesman, and two newspapers in thestate of Washington: The (Olympia) Olympian, and The BellinghamHerald. In return, Gannett will receive the Tallahassee (FL) Democratand cash consideration. The transaction is subject to regulatoryapproval and is expected to close in early September. After closing,all previously reported results for the former Gannett properties willbe reclassified to income from discontinued operations. In addition, again resulting from the exchange will be included in discontinuedoperations.

The pro forma advertising and circulation revenue statisticsinclude the results for Mint Magazine (acquired in July 2005),HomeTown Communications (acquired in late March 2005), Captivate(acquired in April 2004) and NurseWeek (acquired in February 2004).The pro forma other revenue statistics include the results forPointRoll, Inc. (acquired in June 2005). Ad linage for Newsquest,Clipper and NurseWeek are not included in the ad volume statistics.Circulation volume numbers for Newsquest's paid daily newspapers areincluded in the enclosed statistics, but volume from unpaid daily andnon-daily publications is not included in the circulation volumestatistics.

Included with this release are revised operating assumptions forthe second half of 2005. They are in line with the outlook the companyprovided at the Mid-Year Media Review.

Gannett Co., Inc. is a leading international news and informationcompany that publishes 101 daily newspapers in the USA, including USATODAY, the nation's largest-selling daily newspaper. The company alsoowns more than 900 non-daily publications in the USA and USA WEEKEND,a weekly newspaper magazine. Gannett subsidiary Newsquest is theUnited Kingdom's second largest regional newspaper company. Newsquestpublishes more than 300 titles, including 17 daily newspapers, and anetwork of prize-winning Web sites. Gannett also operates 21television stations in the United States and is an Internet leaderwith sites sponsored by its TV stations and newspapers includingUSATODAY.com, one of the most popular news sites on the Web.

Certain statements in this press release may be forward looking innature or "forward looking statements" as defined in the PrivateSecurities Litigation Reform Act of 1995. The forward lookingstatements contained in this press release are subject to a number ofrisks, trends and uncertainties that could cause actual performance todiffer materially from these forward looking statements. A number ofthose risks, trends and uncertainties are discussed in the company'sSEC reports, including the company's annual report on Form 10-K andquarterly reports on Form 10-Q. Any forward looking statements in thispress release should be evaluated in light of these important riskfactors.

Gannett is not responsible for updating the information containedin this press release beyond the published date, or for changes madeto this press release by wire services, Internet service providers orother media.
GANNETT CO., INC.
REVENUE & STATISTICAL SUMMARY

Period 7 (June 27, 2005 - July 31, 2005)
%
2005 2004 CHANGE CHANGE
REVENUES:
Advertising:
Local $ 176,296,000 $ 168,435,000 $ 7,861,000 4.7
National 59,469,000 59,914,000 (445,000) (0.7)
Classified 188,364,000 185,003,000 3,361,000 1.8
-------------- -------------- -------------- ----
Total
Advertising $ 424,129,000 $ 413,352,000 $ 10,777,000 2.6

Circulation 110,290,000 110,143,000 147,000 0.1
Other revenue 36,475,000 35,531,000 944,000 2.7
Broadcasting 58,343,000 65,660,000 (7,317,000) (11.1)
-------------- -------------- -------------- ----
Total Revenue $ 629,237,000 $ 624,686,000 $ 4,551,000 0.7
============== ============== ============== ====

VOLUME:
Newspaper
Inches:
Local 3,158,311 3,238,691 (80,380) (2.5)
National 322,671 324,034 (1,363) (0.4)
Classified 5,708,235 5,868,021 (159,786) (2.7)
-------------- -------------- -------------- ----
Total ROP 9,189,217 9,430,746 (241,529) (2.6)
============== ============== ============== ====
Preprint
Distribution
(in thousands) 925,327 922,108 3,219 0.3
============== ============== ============== ====

NET PAID
CIRCULATION:
Morning (w/USAT) 6,706,360 6,886,825 (180,465) (2.6)
Evening 1,136,257 1,180,726 (44,469) (3.8)
-------------- -------------- -------------- ----
Total Daily 7,842,617 8,067,551 (224,934) (2.8)
============== ============== ============== ====
Sunday 6,481,148 6,703,513 (222,365) (3.3)
============== ============== ============== ====


Year-to-Date through July 31, 2005
%
2005 2004 CHANGE CHANGE
REVENUES:
Advertising:
Local $1,243,039,000 $1,192,885,000 $ 50,154,000 4.2
National 452,660,000 446,012,000 6,648,000 1.5
Classified 1,282,139,000 1,230,919,000 51,220,000 4.2
-------------- -------------- -------------- ----
Total
Advertising $2,977,838,000 $2,869,816,000 $ 108,022,000 3.8

Circulation 740,589,000 733,316,000 7,273,000 1.0
Other revenue 251,771,000 234,633,000 17,138,000 7.3
Television 420,788,000 450,297,000 (29,509,000) (6.6)
-------------- -------------- -------------- ----
Total Revenue $4,390,986,000 $4,288,062,000 $ 102,924,000 2.4
============== ============== ============== ====

VOLUME:
Newspaper
Inches:
Local 21,288,569 21,755,457 (466,888) (2.1)
National 2,272,419 2,441,691 (169,272) (6.9)
Classified 35,407,902 36,023,324 (615,422) (1.7)
-------------- -------------- -------------- ----
Total ROP 58,968,890 60,220,472 (1,251,582) (2.1)
============== ============== ============== ====
Preprint
Distribution
(in thousands) 6,576,730 6,393,134 183,596 2.9
============== ============== ============== ====

NET PAID
CIRCULATION:
Morning (w/USAT) 6,963,399 7,127,770 (164,371) (2.3)
Evening 1,171,410 1,219,469 (48,059) (3.9)
-------------- -------------- -------------- ----
Total Daily 8,134,809 8,347,239 (212,430) (2.5)
============== ============== ============== ====
Sunday 6,703,796 6,912,893 (209,097) (3.0)
============== ============== ============== ====

Note: The operating results from the company's newspapersparticipating in joint operating agencies, and which are accounted forunder the equity method of accounting, are reported as a single amountin other operating revenues. Advertising linage statistics from thesenewspapers are not included above, however, circulation volumestatistics for these newspapers are included above.

The above revenue amounts and statistics have been restated toinclude all companies presently owned, including Mint Magazine(acquired in July 2005), PointRoll, Inc. (acquired in June 2005),HomeTown Communications (acquired in late March 2005), Captivate(acquired in April 2004) and NurseWeek (acquired in February 2004).PointRoll is a marketing services company with a suite of mediaproducts that delivers enhanced online marketing opportunities foradvertisers, agencies and online publishers. PointRoll is includedabove in Other revenue. HomeTown is a community publishing companywith one daily newspaper, 62 non-daily community newspapers, 24community telephone directories and other specialty and nichepublications. Captivate is a national news and entertainment networkthat delivers programming and full motion video advertising throughwireless digital video screens in elevators of premier office towers.Captivate is included above in Broadcasting revenue. NurseWeek is amultimedia company with print publications focused on the recruitment,recognition and education of nurses.

Newsquest is a regional newspaper publisher in the United Kingdomwith more than 300 titles, including paid and unpaid daily andnon-daily products. Circulation volume statistics for Newsquest's 17paid daily newspapers are included above. Circulation volumestatistics for Sunday Herald are included above in the Sundaystatistics. Circulation volume statistics for Newsquest's unpaid dailyand non-daily publications are not reflected above. Advertising linagefor Newsquest publications is not reflected above.

Circulation volume and advertising linage statistics for non-dailyproducts, including NurseWeek and Clipper Magazine are not reflectedabove.
Gannett Online Internet Audience
July 2005

Nielsen//NetRatings
-------------------
Home/Work Panel Combined

Unique Visitors Percentage Reach of
Per Month Internet Audience
--------- -----------------
Gannett Online 20,840,000 13.8%



GANNETT CO., INC.
OPERATING ASSUMPTIONS - Last Six Months 2005
(Excluding Impact of Detroit and Swap Transactions)

NEWSPAPERS (Excluding USA Today, USA Weekend and Newsquest)

A. Advertising

Ad revenues will be up mid single digits.

B. Circulation

Circulation revenues are expected to be flat to down slightly.

C. Newsprint

1. Consumption is expected to be down a few percent.
2. Prices - budgeted to be up in the ten percent range.

D. Other Expenses

1. Total head count will be flat to down slightly with the
addition of employees in revenue producing areas.
2. Pension expense will be up from 2004 but less than 2003.
3. Health care costs will be up in the mid single digits.
4. All other costs will increase modestly.

NEWSQUEST (in Sterling)

A. Advertising revenues are expected to be down in the mid single
digits.

B. Circulation revenue is expected to be up in the low single
digits.

USA TODAY

A. Advertising

1. Advertising revenues are expected to be up in the mid
single digit range.

B. Circulation

1. Volume is expected to be down slightly.
2. The Fall 2004 single copy increase will cycle in early
September.

BROADCAST (Ex. Captivate)

A. Revenues expected to be down in the mid teens because of the
Olympic and political ad spending in 2004.

B. Costs are expected to be down in the low single digits.

CONSOLIDATED GANNETT - Full Year

A. Capital Expenditures: $280,000,000

B. Depreciation: $255,000,000

C. Amortization of Intangibles (Goodwill and Other): $ 20,000,000

D. Tax Rate

The tax rate for 2005 will be approximately 33.4%.

Certain factors affecting forward-looking statements

Certain statements in this press release contain forward-lookinginformation. The words "expect," "intend," "believe," "anticipate,""likely," "will" and similar expressions generally identifyforward-looking statements. These forward-looking statements aresubject to certain risks and uncertainties which could cause actualresults and events to differ materially from those anticipated in theforward-looking statements.

Potential risks and uncertainties which could adversely affect thecompany's ability to obtain these results include, without limitation,the following factors: (a) increased consolidation among majorretailers or other events which may adversely affect businessoperations of major customers and depress the level of local andnational advertising; (b) an economic downturn in some or all of thecompany's principal newspaper or television markets leading todecreased circulation or local, national or classified advertising;(c) a decline in general newspaper readership patterns as a result ofcompetitive alternative media or other factors; (d) an increase innewsprint or syndication programming costs over the levelsanticipated; (e) labor disputes which may cause revenue declines orincreased labor costs; (f) acquisitions of new businesses ordispositions of existing businesses; (g) a decline in viewership ofmajor networks and local news programming; (h) rapid technologicalchanges and frequent new product introductions prevalent in electronicpublishing; (i) an increase in interest rates; (j) a weakening in theBritish-pound-to-U.S. Dollar exchange rate; and (k) general economic,political and business conditions.

Gannett is not responsible for updating the information containedin these assumptions beyond the published date, or for changes made tothe assumptions by wire services, Internet service providers or othermedia.