Belo Corp. announced the offering of $250 to $275 million in senior notes due 2016, subject to the completion of an amendment to its bank credit facility. The amendment is expected to allow for additional capacity under the credit facility's leverage and interest coverage covenants and also extend the term of a portion of the commitments under the facility. Belo intends to use the net proceeds from the offering, which is expected to close by the end of November, to reduce the outstanding balance and commitments under its current $550 million credit facility. J.P. Morgan Securities Inc. is acting as lead book-running manager for the offering. The notes will be unsecured senior obligations of the Company. It is anticipated that the notes will carry subsidiary guarantees that are subordinate to the subsidiary guarantees under the company's revolving credit facility.

Belo Corp. reported unaudited consolidated earnings results for the third quarter and nine months ended September 30, 2009. For the quarter, the company has reported loss from operations of $217,764,000, loss from continuing operations before income taxes of $234,075,000 and net loss of $150,521,000 or $1.47 per basic and diluted share on net operating revenues of $140,617,000 compared to earnings from operations of $44,754,000, earnings from continuing operations before income taxes of $24,109,000 and net earnings of $14,437,000 or $0.14 per basic and diluted share on net operating revenues of $170,823,000 for the same period last year. In the quarter pro forma net earnings from continuing operations was $4,899,000 or $0.05 per share against $14,437,000 or $0.14 per share reported last year. Total revenue decreased 17.7% in the third quarter of 2009 versus the third quarter of 2008. Third quarter 2009 revenues were affected by the soft advertising environment, particularly in the automotive category which was down 36% compared to the third quarter of 2008. For the nine months, the company has reported loss from operations of $170,158,000, loss from continuing operations before income taxes of $202,817,000 and net loss of $131,315,000 or $1.28 per basic and diluted share on net operating revenues of $418,923,000 compared to earnings from operations of $143,555,000, earnings from continuing operations before income taxes of $79,744,000 and net earnings of $25,437,000 or $0.25 per basic and diluted share on net operating revenues of $534,619,000 for the same period last year. In the quarter pro forma net earnings from continuing operations was $14,974,000 or $0.15 per share against $51,673,000 or $0.51 per share reported last year. The company provided earnings guidance for the fourth quarter and full year 2009. For the fourth quarter overall, the company expects the percentage decline in core local and national spot business to improve from the third quarter of 2009. However, because of $35.9 million in political revenue generated in the fourth quarter of last year, the company's total spot revenue percentage decline in the fourth quarter of 2009 will be higher than the percentage decline experienced in the third quarter of 2009. Capital expenditures for the year 2009, are expected to be less than $10 million. The company announced that it is nearing the completion of an amendment to its bank credit facility, the effectiveness of which will be subject to the receipt of proceeds of a separate financing, which will be used to reduce the outstanding balance and commitments under its $550 million credit facility. Although the company was in compliance with the terms of its credit facility at quarter end, the contemplated amendment is expected to allow for additional capacity under the credit facility's leverage and interest coverage covenants and also extend the term of a portion of the commitments under the bank credit facility from June 2011 to December 2012. When finalized, the extended credit facility is expected to provide for an increase in pricing based on the company's leverage ratio and other modifications to the existing agreement. The company currently expects the amendment and separate financing to be completed and effective by the end of November.

Belo Corp. invested $1.7 million in capital expenditures in the third quarter of 2009, down from $3.6 million in the third quarter of 2008.