May 2018
Disclaimers This presentation may certain forward-looking statements regarding business strategies, market potential, future financial performance and other matters. Forward-looking statements include all statements that are not historical facts. The words “believe,” “expect,” “estimate,” “could,” “should,” “intend,” “may,” “plan,” “seek,” “anticipate,” “project” and similar expressions, among others, generally identify forward-looking statements, which speak only as of the date the statements were made and are not guarantees of future performance. Where, in any forward-looking statement, an expectation or belief as to future results or events is expressed, such expectation or belief is based on the current plans and expectations of our management and expressed in good faith and believed to have a reasonable basis, but there can be no assurance that the expectation or belief will result or be achieved or accomplished. Whether or not any such forward-looking statements are in fact achieved will depend on future events, some of which are beyond our control. The matters discussed in these forward-looking statements are subject to a number of risks, trends, uncertainties and other factors that could cause actual results to differ materially from those projected, anticipated or implied in the forward-looking statements. These factors include, among other things: • our ability to achieve our strategic transformation; • an accelerated decline in general print readership and/or advertiser patterns as a result of competitive alternative media or other factors; • an inability to adapt to technological changes or grow our digital businesses; • risks associated with the operation of an increasingly digital business, such as rapid technological changes, frequent new product introductions, declines in web traffic levels, technical failures and proliferation of ad blocking technologies; • macroeconomic trends and conditions; • competitive pressures in the markets in which we operate; • increases in newsprint costs over the levels anticipated or declines in newsprint supply; • potential disruption or interruption of our IT systems due to accidents, extraordinary weather events, civil unrest, political events, terrorism or cyber security attacks; • variability in the exchange rate relative to the U.S. dollar of currencies in foreign jurisdictions in which we operate; • risks and uncertainties related to strategic acquisitions or investments, including distraction of management attention, incurrence of additional debt, integration challenges, and failure to realize expected benefits or synergies or to operate businesses effectively following acquisitions; • our ability to consummate the acquisition of WordStream on a timely basis or at all; • risks and uncertainties associated with our ReachLocal segment, including its significant reliance on Google for media purchases, its international operations and its ability to develop and gain market acceptance for new products or services; • our ability to protect our intellectual property or defend successfully against infringement claims; • our ability to attract and retain employees; • labor relations, including, but not limited to, labor disputes which may cause business interruptions, revenue declines or increased labor costs; • risks associated with our underfunded pension plans; • adverse outcomes in litigation or proceedings with governmental authorities or administrative agencies, or changes in the regulatory environment, any of which could encumber or impede our efforts to improve operating results or the value of assets; • volatility in financial and credit markets which could affect the value of retirement plan assets and our ability to raise funds through debt or equity issuances and otherwise affect our ability to access the credit and capital markets at the times and in the amounts needed and on acceptable terms; and • other uncertainties relating to general economic, political, business, industry, regulatory and market conditions. A further description of these and other important risks, trends, uncertainties and other factors is provided in the company’ s filings with the U.S. Securities and Exchange Commission, including the company’s annual report on Form 10 -K for fiscal year 2017 and quarterly report on Form 10-Q for the first quarter of fiscal 2018. Any forward-looking statements should be evaluated in light of these important risk factors. The company is not responsible for updating or revising any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. GANNETT 2
Gannett Overview Gannett is a leading media and marketing services company with unparalleled local-to-national reach, successfully connecting consumers, communities and businesses Financial Summary $360MM 2017A Adjusted EBITDA $3BN 2017A Revenue $1BN Market Capitalization $1BN 2017A Digital Revenue BUSINESSES CONSUMERS $2BN+ of 2017A Growing Digital High-Quality Trusted $1BN+ of 2017A Advertising and Revenues Content at Scale Subscription Revenue Services Revenue PREMIUM LOCAL NEWS BRANDS $700MM+ in 2017A (1) 109 Local U.S. Markets (including growth areas Digital Advertising Revenues such as Phoenix, Nashville, Indianapolis) $359MM in 2017A Digital Marketing Services National USA TODAY NETWORK NATIONAL PRESENCE Revenues (incl. above) 128MM+ Monthly Unique Visitors (3) 66% of USA TODAY (2) Advertising Revenues Are Now Digital #3 Destination for News and Information (3) ROBUST DIGITAL MARKETING SOLUTIONS OFFERINGS Tremendous Opportunity 3,000+ Journalists Remains in Local Markets for Digital Transition 2,000+ FTE Sales Organization Award-Winning Content (1) Includes ReachLocal and corporate eliminations GANNETT 3 (2) National USA TODAY only; excludes network (3) Per Comscore, as of February 2018
Nationwide Digital Marketing Solutions Provider Pending Acquisition (1) of Self Service BUSINESSES Managed Service BUSINESSES “Do -it- Yourself” “Do -it-for- Me” ▪ ▪ Provides small- to mid-sized and regional businesses with a Provides cloud-based software-as-a-service (SaaS) solutions on a comprehensive suite of managed digital marketing solutions that subscription basis for local and regional businesses and agencies help them generate leads and superior ROI on their marketing looking to optimize their own digital marketing spend investments ~2 $359MM 19,000 $55MM 29% 3,399 Average Products 2017 Revenue Active Clients NTM* Revenue EBITDA Margin Active Clients / Client End-to-End Suite of Digital Marketing Solutions for SMBs at Any Stage WEB PRESENCE DIGITAL ADVERTISING DIGITAL MARKETING SOFTWARE ▪ ▪ ▪ ▪ ▪ Search Geotargeting SEO Listings Lead Management ▪ ▪ ▪ ▪ ▪ Social Ads Retargeting Websites Reviews Marketing Automation ▪ ▪ ▪ Display Ads Live Chat Analytics Note: NTM = next twelve months GANNETT 4 (1) Subject to regulatory clearance and other customary closing conditions
Focusing on the Local Advertising Market Gannett has the Reach, Personnel, and Technology to Service SMBs’ Local Digital Advertising Needs Nationwide Digital Advertising is Critical to SMBs But is Huge Local Digital Advertising Market Increasingly Complex Wisconsin Des Moines (90) WA Rochester (52) “I don’t have enough ND ME MT MN time” OR ID Milwaukee (40) NY VT Westchester NH Detroit (14) SD MA RI WI WY CT MI NJ CA PA 75% (1) NE IA NV “I don’t know how to ~$50B (1) ~9MM (1) IL DE UT OH WV MO IN MD CO Cincinnati (28) KS VA do it” of SMBs KY AZ Local Digital Advertising Market SMBs in the U.S. NC Indianapolis (35) Advertise… OK TN NM AR AL Louisville (45) MI SC GA Knoxville (65) “I don’t have Guam Phoenix (12) TX LA FL …But Run into necessary personnel” Fort Myers (79) Nashville (37) Numerous Issues Naples (146) Gannett is Uniquely-Positioned to Capitalize on Local Digital Advertising Growth ✓ Best-in-class, end-to-end technology platform (ReachLocal, SweetIQ and, pending acquisition of WordStream) ✓ Sales organization of 2,000+ across the U.S. ✓ Demand from larger platform such as Google to drive local growth GANNETT 5 (1) Source: IAB Report; ReachLocal Survey Data – 2017; LSA Pulse Survey
USA TODAY NETWORK Overview The USA TODAY NETWORK delivers tremendous nationwide reach through strong, trusted national, local and passion brands that form the foundation of our local-to-national network strategy Local USA TODAY ▪ ▪ 11MM Local Sunday Readership 3MM USA TODAY Daily Print Readership ▪ ▪ 45MM Average Monthly Unique Visitors 103MM Average Monthly Unique Visitors (USA TODAY Sites Only) Local USA TODAY ▪ 109 Local Markets ▪ 24MM Mobile App Downloads Deep community roots inform network Comprehensive, inclusive reflection Passion knowledge of people and issues of of the USA; large platform amplifies greatest interest and importance important local issues Tangible Value for Consumers and Advertisers Leading User Engagement Significant USA TODAY NETWORK Scale Top News Destination for Millennials Avg. Monthly Unique Visitors (1) (millions) Page Views per Visit Monthly Unique Visitors (millions) 128 40 3.0 36 117 31 2.4 2.3 110 2016 2017 YTD 2018 Source: comScore (February 2018). GANNETT 6 (1) Excludes local / national duplicates
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