UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

For The Quarterly Period Ended ~~June~~December 2928, 2025

o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

Commission File Number 1-6227

LEE ENTERPRISES, INCORPORATED

(Exact name of Registrant as specified in its Charter)


Delaware			42-0823980
(State or other jurisdiction of incorporation or organization)			(I.R.S. Employer Identification No.)

4600 E. 53rd Street, Davenport, Iowa 52807

(Address of principal executive offices)

(563) 383-2100

(Registrant's telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, par value $.01 per share	LEE	The Nasdaq Global Select Market
Preferred Share Purchase Rights	LEE	The Nasdaq Global Select Market

Indicate by check mark whether the Registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes x No o

Indicate by check mark whether the Registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the Registrant was required to submit such files). Yes x No o

Indicate by check mark whether the Registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer”,” “accelerated filer”," “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer o Accelerated filer xo Non-accelerated filer ox Smaller reporting company x Emerging growth company o

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o

Indicate by check mark whether the Registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes o No x

As of ~~July~~February 316, ~~2025~~2026, 622,~~262~~239,~~967~~629 shares of Common Stock of the Registrant were outstanding.

Table of Contents

Table Of Contents			PAGE
FORWARD LOOKING STATEMENTS			1
PART I	FINANCIAL INFORMATION		2
	Item 1.	Financial Statements (Unaudited)	2
		Consolidated Balance Sheets	2
		Consolidated Statements of Loss and Comprehensive Loss	4
		Consolidated Statements of Stockholders' Equity (Deficit)	5
		Consolidated Statements of Cash Flows	76
		Notes to Consolidated Financial Statements	86
	Item 2.	Management's Discussion and Analysis of Financial Condition and Results of Operations	1618
	Item 3.	Controls and Procedures	25
PART II	OTHER INFORMATION		25
	Item 1.	Legal Proceedings	25
	Item 1.A.	Risk Factors	26
	Item 5.	Other Information	26
	Item 6.	Exhibits	27
SIGNATURES			28

Table of Contents

References to “we”," “our”,” “us” and the like throughout this document refer to Lee Enterprises, Incorporated (the “Company”). References to “~~2025~~2026”, “~~2024~~2025" and the like refer to the fiscal years ended the last Sunday in September.

FORWARD-LOOKING STATEMENTS

The Private Securities Litigation Reform Act of 1995 provides a “safe harbor” for forward-looking statements. This report contains information that may be deemed forward-looking that is based largely on our current expectations, and is subject to certain risks, trends and uncertainties that could cause actual results to differ materially from those anticipated. Among such risks, trends and other uncertainties, which in some instances are beyond our control, are:

•We may be required to indemnify the previous owners of the BH Media or Buffalo News for unknown legal and other matters that may arise;

•Our ability to manage declining print revenue and circulation subscribers;

•The impact and duration of adverse conditions in certain aspects of the economy affecting our business;

•Changes in advertising and subscription demand;

•Changes in technology that impact our ability to deliver digital advertising;

•Potential changes in newsprint, other commodities and energy costs;

•Interest rates;

•Labor costs;

•Significant cyber security breaches or failure of our information technology systems;

•Our ability to achieve planned expense reductions ~~and realize the expected benefit of our acquisitions~~;

•Our ability to maintain employee and customer relationships;

•Our ability to manage increased capital costs;

•Our ability to maintain our listing status on ~~NASDAQ~~Nasdaq;

•Competition; ~~and~~

•We may be required to indemnify the previous owners of BH Media Group, Inc. and The Buffalo News, Inc. for unknown legal and other matters that may arise;

•Our liquidity position, any need to obtain additional capital and our ability to obtain additional financing; and

•Other risks detailed from time to time in our publicly filed documents.

Any statements that are not statements of historical fact (including statements containing the words “may”, “will”, “would”, “could”, “believes”, “expects”, “anticipates”, “intends”, “plans”, “projects”, “considers” and similar expressions) generally should be considered forward-looking statements. Statements regarding our plans, strategies, prospects and expectations regarding our business and industry and our responses thereto may have on our future operations, are forward-looking statements. ~~They~~These ~~reflect~~forward-looking ~~our~~statements ~~expectations,~~speak ~~are~~only ~~not~~as ~~guarantees~~of the date of ~~performance~~this Quarterly Report and ~~speak~~are ~~only~~subject asto a number of ~~the~~risks, ~~date~~uncertainties and assumptions described in the ~~statement~~section istitled ~~made~~“Risk Factors” and elsewhere in this Quarterly Report. They reflect our expectations and are not guarantees of performance. Readers are cautioned not to place undue reliance on such forward-looking statements, which are made as of the date of this ~~report~~Quarterly Report. We do not undertake to publicly update or revise our forward-looking statements, except as required by law.

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PART I

FINANCIAL INFORMATION

Item 1. Financial Statements

LEE ENTERPRISES, INCORPORATED

CONSOLIDATED BALANCE SHEETS

	(Unaudited)
(Thousands of Dollars)	~~June~~December 2928,2025	September 2928,~~2024~~2025
ASSETS
Current assets:
Cash and cash equivalents	1412,~~125~~625	9,~~598~~989
Accounts receivable, net	5751,107	6054,~~648~~613
Inventories	54,~~269~~827	54,~~643~~696
Prepaid and other current assets	2014,~~368~~319	2120,~~884~~145
Total current assets	9682,~~869~~878	9789,~~773~~443
Investments:
Associated companies	2827,~~223~~208	27,~~941~~070
Other	6,~~055~~176	6,~~042~~118
Total investments	3433,~~278~~384	33,~~983~~188
Property and equipment:
Land and improvements	5,~~787~~782	65,~~420~~782
Buildings and improvements	6664,~~180~~880	7064,~~152~~880
Equipment	~~191~~195,~~444~~471	~~196~~191,~~312~~594
Construction in process	92,~~086~~349	5,~~625~~530
	272,497	278,509
	268,482	267,786
Less accumulated depreciation	~~232~~233,~~764~~967	~~234~~232,~~137~~225
Property and equipment, net	3934,~~733~~515	4435,~~372~~561
Operating lease right-of-use assets	2723,~~162~~515	3425,~~882~~155
Goodwill	323,858	~~328~~323,~~040~~858
Other intangible assets, net	6050,~~907~~149	7051,~~075~~926
Pension plan assets, net	511,~~534~~316	410,~~663~~828
Medical plan assets, net	2522,~~013~~809	2322,~~300~~407
Other	910,~~298~~133	129,~~083~~363
Total assets	~~622~~592,~~652~~557	~~649~~601,~~171~~729

The accompanying Notes are an integral part of the Consolidated Financial Statements.

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	(Unaudited)
(Thousands of Dollars and Shares, Except Per Share Data)	~~June~~December 2928,2025	September 2928,~~2024~~2025
LIABILITIES AND EQUITY
Current liabilities:
Current portion of lease liabilities	7,~~389~~222	87,~~139~~301
Current maturities of long-term debt	406	—
Accounts payable	50,280	41,715
Accounts payable	47,459	36,290
Compensation and other accrued liabilities	28,794	37,862
Compensation and other accrued liabilities	35,480	39,170
Unearned revenue	25,959	26,478
Unearned revenue	27,142	31,755
Total current liabilities	112,255	113,356
Total current liabilities	117,876	115,354
Long-term debt, net of current maturities	455,469	455,469
Long-term debt, net of current maturities	455,469	445,943
Operating lease liabilities	17,145	18,810
Operating lease liabilities	22,364	29,769
Pension obligations	493	508
Pension obligations	536	561
Postretirement and postemployment benefit obligations	5,024	5,103
Postretirement and postemployment benefit obligations	7,549	7,520
Deferred income taxes	22,437	22,477
Deferred income taxes	28,020	28,403
Income taxes payable	3,218	3,161
Income taxes payable	4,286	3,456
Withdrawal liabilities and other	22,956	23,804
Withdrawal liabilities and other	24,749	25,499
Total liabilities	638,997	642,688
Total liabilities	660,849	656,505
Equity:
Stockholders' equity (deficit):
Serial convertible preferred stock, no par value; authorized 500 shares; none issued	—	—
Common Stock, $0.01 par value; authorized 12,000 shares; issued and outstanding:	6362	6263
June 29, 2025; 6,264 shares; $0.01 par value
December 28, 2025; 6,244 shares; $0.01 par value
September 29, 2024; 6,190 shares; $0.01 par value
September 28, 2025; 6,263 shares; $0.01 par value
Class B Common Stock, $2 par value; authorized 3,000 shares; none issued	—	—
Additional paid-in capital	~~263~~264,~~383~~067	~~262~~263,~~470~~812
Accumulated deficit	(~~323~~335,~~520~~545)	(~~292~~329,~~341~~934)
Accumulated other comprehensive income	1922,~~575~~674	1922,~~920~~753
Total Lee Enterprises, Inc. Stockholders' deficit	(4048,~~499~~742)	(943,~~889~~306)
Non-controlling interests	2,302	2,~~555~~347
Total deficit	(3846,~~197~~440)	(740,~~334~~959)
Total liabilities and deficit	~~622~~592,~~652~~557	~~649~~601,~~171~~729

The accompanying Notes are an integral part of the Consolidated Financial Statements.

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LEE ENTERPRISES, INCORPORATED

CONSOLIDATED STATEMENTS OF LOSS AND COMPREHENSIVE LOSS

(Unaudited)

	Three months ended		~~Nine months ended~~
(Thousands of Dollars, Except Per Common Share Data)	~~June~~December 2928,2025	~~June~~December 2329,2024	~~June 29,2025~~	~~June 23,2024~~
Operating revenue:
Advertising and marketing services	6659,~~571~~986	6866,~~844~~590	~~193,633~~	~~203,865~~
Subscription	6157,~~558~~702	6864,~~306~~997	~~191,423~~	~~208,872~~
Other	1312,~~165~~374	1312,~~428~~975	~~38,179~~	~~40,069~~
Total operating revenue	~~141~~130,~~294~~062	~~150~~144,~~578~~562	~~423,235~~	~~452,806~~
Operating expenses:
Compensation	4749,~~436~~433	5960,~~278~~254	~~164,349~~	~~175,757~~
Newsprint and ink	32,~~268~~963	43,~~096~~616	~~9,996~~	~~13,101~~
Other operating expenses	7768,~~252~~814	74,~~177~~680	~~223,387~~	~~221,247~~
Depreciation and amortization	3,783	6,850	15,218	21,438
Insurance proceeds	(2,000)	—
Assets (gain) loss on sales, impairments and other, net	(1,562)	(1,421)	(2,365)	4,727
Depreciation and amortization	3,579	6,265
Restructuring costs and other	7,141	3,795	18,806	12,199
Assets gain on sales, impairments and other, net	(3)	(929)
Total operating expenses	137,318	146,775	429,391	448,469
Restructuring costs and other	3,148	5,150
Equity in earnings of associated companies	686	1,122	2,963	3,869
Total operating expenses	125,934	149,036
Operating (loss) income	4,662	4,925	(3,193)	8,206
Equity in earnings of associated companies	1,080	1,122
Operating income (loss)	5,208	(3,352)
Non-operating (expense) income:
Interest expense	(10,~~132~~248)	(10,~~082~~282)	~~(30,365)~~	~~(30,427)~~
Pension and OPEB related benefit and other, net	1,050	617	2,362	1,096
Pension and other post employment benefits ("OPEB") related and other, net	845	653
Curtailment/Settlement gains	—	—	—	3,593
Total non-operating expense, net	(9,403)	(9,629)
Total non-operating expense, net	(9,082)	(9,465)	(28,003)	(25,738)
Loss before income taxes	(4,195)	(12,981)
Loss before income taxes	(4,420)	(4,540)	(31,196)	(17,532)
Income tax expense	931	3,243
Income tax benefit	(2,744)	(849)	(1,281)	(3,438)
Net loss	(5,126)	(16,224)
Net loss	(1,676)	(3,691)	(29,915)	(14,094)
Net income attributable to non-controlling interests	(485)	(524)
Net income attributable to non-controlling interests	(244)	(575)	(1,264)	(1,663)
Loss attributable to Lee Enterprises, Incorporated	(5,611)	(16,748)
Loss attributable to Lee Enterprises, Incorporated	(1,920)	(4,266)	(31,179)	(15,757)
Other comprehensive loss, net of income taxes	(79)	(115)
Other comprehensive loss, net of income taxes	(115)	(147)	(230)	(2,609)
Comprehensive loss attributable to Lee Enterprises, Incorporated	(5,690)	(16,863)
Comprehensive loss attributable to Lee Enterprises, Incorporated	(2,035)	(4,413)	(31,409)	(18,366)
Loss per common share:
Basic:	(0.3192)	(02.7380)	~~(5.16)~~	~~(2.68)~~
Diluted:	(0.3192)	(02.7380)	~~(5.16)~~	~~(2.68)~~

The accompanying Notes are an integral part of the Consolidated Financial Statements.

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CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (DEFICIT)

(Unaudited)

(Thousands of Dollars)	AccumulatedDeficit	CommonStock	Additionalpaid-in capital	AccumulatedOtherComprehensiveIncome	Non-Controlling Interests:	Total
September 30, 2024	(292,341)	62	262,470	19,920	2,555	(7,334)
September 28, 2025	(329,934)	63	263,812	22,753	2,347	(40,959)
Shares redeemed	—	—(1)	(~~331~~73)	—	—	(~~331~~74)
Loss attributable to Lee Enterprises, Incorporated	(165,~~748~~611)	—	—	—	~~524~~485	(165,~~224~~126)
Stock compensation	—	—	~~430~~328	—	—	~~430~~328
Other comprehensive loss	—	—	—	(~~151~~104)	—	(~~151~~104)
Deferred income taxes, net	—	—	—	3625	—	3625
Distributions to minority owners	—	—	—	—	(~~603~~530)	(~~603~~530)
December 29, 2024	(309,089)	62	262,569	19,805	2,476	(24,177)
December 28, 2025	(335,545)	62	264,067	22,674	2,302	(46,440)

Loss attributable to Lee Enterprises, Incorporated	(12,511)	—	—	—	496	(12,015)
(Thousands of Dollars)	AccumulatedDeficit	CommonStock	Additionalpaid-in capital	AccumulatedOtherComprehensiveIncome	Non-Controlling Interests:	Total
Stock compensation	—	—	358	—	—	358
September 29, 2024	(292,341)	62	262,470	19,920	2,555	(7,334)
Other comprehensive loss	—	—	—	(152)	—	(152)
Shares redeemed	—	—	(331)	—	—	(331)
Deferred income taxes, net	—	—	—	37	—	37
Loss attributable to Lee Enterprises, Incorporated	(16,748)	—	—	—	524	(16,224)
Distributions to minority owners	—	—	—	—	(149)	(149)
Stock compensation	—	—	430	—	—	430
March 30, 2025	(321,600)	62	262,927	19,690	2,823	(36,098)
Other comprehensive loss	—	—	—	(151)	—	(151)
Deferred income taxes, net	—	—	—	36	—	36
Distributions to minority owners	—	—	—	—	(603)	(603)
December 29, 2024	(309,089)	62	262,569	19,805	2,476	(24,177)

Shares issued (redeemed)	—	1	(84)	—	—	(83)
Loss attributable to Lee Enterprises, Incorporated	(1,920)	—	—	—	244	(1,676)
Stock compensation	—	—	540	—	—	540
Other comprehensive loss	—	—	—	(151)		(151)
Deferred income taxes, net	—	—	—	36		36
Distributions to minority owners	—	—	—	—	(765)	(765)
June 29, 2025	(323,520)	63	263,383	19,575	2,302	(38,197)

The accompanying Notes are an integral part of the Consolidated Financial Statements.

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(Thousands of Dollars)	AccumulatedDeficit	CommonStock	Additionalpaid-in capital	AccumulatedOtherComprehensiveIncome	Non-Controlling Interests:	Total
September 25, 2023	(266,496)	61	260,832	26,843	2,466	23,706
Shares redeemed	—	—	(96)	—	—	(96)
Income attributable to Lee Enterprises, Incorporated	688	—	—	—	545	1,233
Stock compensation	—	—	214	—	—	214
Other comprehensive loss	—	—	—	(2,286)	—	(2,286)
Deferred income taxes, net	—	—	—	(28)	—	(28)
Distributions to minority owners	—	—	—	—	(553)	(553)
December 24, 2023	(265,808)	61	260,950	24,529	2,458	22,190

Loss attributable to Lee Enterprises, Incorporated	(12,179)	—	—	—	543	(11,636)
Stock compensation	—	—	501	—	—	501
Other comprehensive loss	—	—	—	(192)	—	(192)
Deferred income taxes, net	—	—	—	44	—	44
Distributions to minority owners	—	—	—	—	(486)	(486)
March 24, 2024	(277,987)	61	261,451	24,381	2,515	10,421

Shares issued (redeemed)	—	1	—	—	—	1
Income attributable to Lee Enterprises, Incorporated	(4,266)	—	—	—	575	(3,691)
Stock compensation	—	—	474	—	—	474
Other comprehensive income	—	—	—	(191)	—	(191)
Deferred income taxes, net	—	—	—	44	—	44
Distributions to minority owners	—	—	—	—	(566)	(566)
June 23, 2024	(282,253)	62	261,925	24,234	2,524	6,492

The accompanying Notes are an integral part of the Consolidated Financial Statements.

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LEE ENTERPRISES, INCORPORATED

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

	Nine months ended
	Three months ended
(Thousands of Dollars)	~~June~~December 2928,2025	~~June~~December 2329,2024
Cash (required for) provided by operating activities:
Net loss	(295,~~915~~126)	(1416,~~094~~224)
Adjustments to reconcile net loss to net cash provided by operating activities:
Adjustments to reconcile net loss to net cash provided by (required for) operating activities:
Depreciation and amortization	153,~~218~~579	216,~~438~~265
Bad debt expense	102,~~853~~585	93,~~511~~474
Curtailment/Settlement gain	—	(3,593)
Stock compensation expense	328	430
Stock compensation expense	1,328	1,189
Assets gain on sales, impairments and other, net	(3)	(929)
Assets (gain) loss on sales, impairments and other, net	(2,365)	4,727
Earnings, net of distributions, deemed returns on investment of TNI and MNI	(6)	228
Earnings, net of distributions, deemed returns on investment of TNI and MNI	304	(163)
Deferred income taxes	(15)	(131)
Non-cash interest	10,118	—
Other, net	(530)	(603)
Deferred income taxes	(273)	(542)
Return of letters of credit collateral	—	894
Other, net	(1,518)	(1,602)
Changes in operating assets and liabilities:
Increase in receivables	(7,628)	(1,946)
Decrease (increase) in receivables	921	(2,682)
Decrease in inventories and other	419	1,069
Decrease (increase) in inventories and other	463	(406)
Increase (decrease) in accounts payable and other accrued liabilities	7,749	(12,786)
Increase in accounts payable, unearned revenue, other accrued liabilities and other working capital items	4,469	4,197
Decrease in pension and other postretirement and postemployment benefit obligations	(31,~~033~~087)	(~~1,835~~893)
Change in income taxes payable	~~830~~57	~~596~~52
Other	(1,~~322~~164)	(~~1,485~~115)
Net cash provided by (required for) operating activities	~~765~~4,471	1(7,~~378~~337)
Cash provided by investing activities:
Cash provided by (required for) investing activities:
Purchases of property and equipment	(~~3,539~~758)	(61,~~552~~553)
Proceeds from sales of assets	~~8,673~~3	75,~~087~~414
Other, net	—	(21)
Net cash (required for) provided by investing activities	(755)	3,861
Net cash provided by investing activities	5,134	514
Cash required for financing activities:
Principal payments on long-term debt	(1,372)	(3,015)
Deferred offering costs	(1,080)	—
Net cash required for financing activities	(1,~~372~~080)	~~(3,015)~~—
Net increase (decrease) in cash and cash equivalents	42,~~527~~636	(13,~~123~~476)
Cash and cash equivalents:
Beginning of period	9,~~598~~989	149,~~548~~598
End of period	1412,~~125~~625	136,~~425~~122

The accompanying Notes are an integral part of the Consolidated Financial Statements.

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LEE ENTERPRISES, INCORPORATED

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

1 BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

The accompanying unaudited, interim, Consolidated Financial Statements included herein have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission for quarterly reports. In the opinion of management, these financial statements contain all adjustments (consisting of only normal recurring items) necessary to present fairly the financial position of Lee Enterprises, Incorporated and its subsidiaries (the “Company”) as of ~~June~~December 2928, 2025, and our results of operations and cash flows for the periods presented. The Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and Notes thereto included in the Company's ~~2024~~2025 Annual Report on Form 10-K.

~~The~~Our ~~Company's~~ fiscal year ends on the last Sunday in September. Fiscal year ~~2025~~2026 ends September 2827, ~~2025~~2026, and fiscal year ~~2024~~2025 ended September 2928, ~~2024~~2025. Fiscal year 2026 and 2025 includes 52 weeks of operations ~~and 2024 included 53 weeks of operations~~. Because of seasonal and other factors, the results of operations for the three ~~and nine~~ months ended ~~June~~December 2928, 2025, are not necessarily indicative of the results to be expected for the full year.

The Consolidated Financial Statements include our accounts and those of our wholly owned subsidiaries, as well as our 82.5% interest in INN Partners, L.C. (“BLOX Digital" formerly "TownNews”).

Our 50% interest in TNI Partners ("TNI") and our 50% interest in Madison Newspapers, Inc. ("MNI") are accounted for using the equity method and are reported at cost, plus our share of undistributed earnings since acquisition less, for TNI, amortization of intangible assets.

~~Cybersecurity~~New ~~Incident~~accounting pronouncements not yet adopted

OnIn ~~February~~December 3, 2025, the ~~Company~~Financial ~~experienced~~Accounting aStandards ~~systems~~Board ~~outage~~("FASB") ~~caused~~issued byAccounting aStandards ~~cybersecurity~~Update ~~attack~~("ASU") by2025-11 ~~threat~~which ~~actors~~focuses ~~who~~on ~~unlawfully~~various ~~accessed~~interim ~~the~~reporting ~~Company's~~improvements. ~~network,~~The ~~encrypted~~ASU ~~critical~~is ~~applications,~~effective ~~and~~for ~~exfiltrated~~interim ~~certain~~periods ~~files~~within ~~(the~~fiscal ~~"Cyber~~years ~~Incident").~~beginning ~~Upon~~after ~~discovery~~December 15, ~~the~~2027. ~~Company~~We ~~promptly~~are ~~activated~~still ~~its~~evaluating ~~incident~~the ~~response~~guidance ~~plan,~~but ~~engaging~~we ~~both~~do ~~internal~~not ~~teams~~expect ~~and~~it ~~third-party~~will ~~cybersecurity~~fundamentally ~~experts~~change our interim reporting.

~~Following~~In ~~the~~December ~~containment~~2025, of the ~~initial~~Financial ~~threat~~Accounting ~~and~~Standards asBoard aFASB ~~result~~issued ofASU a2025-12 ~~subsequent,~~which ~~comprehensive~~the ~~review~~FASB's ~~with~~"Codification aImprovements" ~~third-party vendor~~update, ~~the~~making ~~Company~~various ~~determined~~technical ~~certain~~corrections ~~files~~and ~~may~~clarifications ~~have~~to ~~been~~existing ~~accessed~~United orStates ~~acquired~~Generally onAccepted ~~February~~Accounting 1,Principles ~~2025~~("GAAP"), ~~including~~improving ~~customers'~~consistency and ~~subscribers~~usability ~~personal~~for ~~information.~~preparers ~~The~~by ~~Company~~refining ~~reported~~guidance ~~the Incident to relevant law enforcement~~ and ~~will~~making ~~cooperate~~standards ~~with~~easier ~~any resulting investigation or efforts~~ to ~~hold the perpetrators accountable~~apply. InThe ~~addition,~~ASU ~~through~~is aeffective ~~data~~for ~~breach~~annual ~~and~~periods ~~recovery~~beginning ~~services~~after ~~vendor~~December 15, ~~the~~2026. ~~Company~~We isare ~~offering~~currently ~~identity~~evaluating ~~theft~~the ~~protection~~updated ~~services~~guidance ~~to those customers~~ and ~~subscribers~~assessing ~~potentially~~the ~~involved~~impact inon the ~~data~~Consolidated ~~breach.~~Financial ~~See Footnote 9~~Statements.

~~During~~In ~~the~~November ~~three~~2023, ~~months~~the ~~ended~~FASB ~~June~~issued 29guidance, ASU ~~2025~~2023-09, ~~the~~Income ~~Company~~Taxes ~~incurred~~(Topic ~~$1.2 million~~740): ofImprovements ~~expenses related~~ to ~~the~~Income ~~Cyber~~Tax ~~Incident.~~Disclosures ~~During~~which ~~the~~enhances ~~nine~~annual ~~months~~income ~~ended~~tax ~~June 29, 2025, the Company incurred $3~~disclosures.1 ~~million~~ASU of2023-09 requires ~~expenses~~disaggregated ~~related~~information toabout ~~the~~a ~~Cyber~~reporting ~~Incident.~~entity's ~~These~~effective ~~expenses~~tax ~~are~~rate ~~recognized~~reconciliation inas ~~"Restructuring~~well ~~and~~as ~~Other"~~information inon ~~the~~income ~~Consolidated~~taxes ~~Statements~~paid. ASU of2023-09 will ~~Loss~~be ~~and~~effective ~~Comprehensive~~for ~~Loss.~~annual ~~The~~periods ~~Cyber~~beginning ~~Incident~~after ~~remains~~December ~~under~~15, ~~legal~~2024. ~~and~~We ~~forensic~~are ~~investigation,~~currently ~~including~~evaluating ~~evaluation of~~ the ~~extent~~guidance and ~~potential~~assessing ~~risk~~the ~~related~~impact toon ~~unauthorized~~the ~~access~~Consolidated toFinancial ~~sensitive data~~Statements.

~~The~~In ~~incident~~November ~~continues~~2024, tothe ~~have~~FASB aissued ~~significant~~ASU ~~negative~~2024-03, ~~impact~~Income onStatement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40) - Disaggregation of Income Statement Expenses (“ASU 2024-03”), and in January 2025, the ~~Company's~~FASB issued ASU 2025-01, ~~operating~~Income ~~results~~Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40): Clarifying the Effective Date (“ASU 2025-01”). ~~Various~~ASU ~~revenue~~2024-03 ~~lines~~requires ~~were~~additional ~~impacted,~~disclosure ~~certain~~of ~~operating~~the nature of expenses ~~are~~included ~~trending~~in ~~higher~~the ~~than~~statement ~~they~~of ~~were~~operations ~~prior~~as towell as disclosures about specific types of expenses included in the ~~incident~~expense captions presented in the statement of operations. ASU 2024-03, as clarified by ASU 2025-01, is effective for annual periods beginning after December 15, 2026, and ~~many~~interim ~~projects~~reporting ~~underway~~periods ~~were~~beginning ~~significantly~~after ~~delayed~~December 15, 2027. Both early adoption and retrospective

The Company maintains cyber insurance coverage to limit its exposure to losses such as those related to the Cyber Incident, subject to a $500,000 deductible. Coverage includes, among other things, the cost of recovery and restoration as well as business interruption. The Company has submitted claims to its insurers for reimbursement of certain costs, expenses, and losses stemming from the Cyber 7

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~~Incident.~~application Toare ~~date,~~permitted. ~~$707,000~~We ~~reimbursements~~expect ~~have~~to ~~been~~enhance ~~received,~~annual ~~however~~expense ~~the~~disclosures ~~claims~~based ~~processing~~on ~~is ongoing as of~~ the ~~date~~new ~~of this filing~~requirements.

In May 2025, the FASB issued ASU 2025-03, Business Combinations (Topic 805) and Consolidation (Topic 810) - Amendments to SEC Paragraphs Pursuant to Determining the Accounting Acquirer in the Acquisition of a Variable Interest Entity. This update is effective for the annual period beginning after December 15, 2026, as well as interim periods within that period. We are currently evaluating the updated guidance and assessing the impact on the Consolidated Financial Statements.

In July 2025, the FASB issued ASU 2025-05, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses for Accounts Receivable and Contract Assets, which provides new optional guidance relating to the estimation of expected credit losses on current accounts receivable and current contract assets. This ASU permits entities to apply a practical expedient when estimating credit losses and is effective for annual reporting periods beginning after December 15, 2025, and interim reporting periods within those annual reporting periods, with early adoption permitted, and should be applied prospectively. We are currently evaluating the provisions of the updated guidance and assessing the impact on the Consolidated Financial Statements.

2 REVENUE

The following table presents our revenue disaggregated by source:

Three months Ended

~~Nine months ended~~

(Thousands of Dollars)

~~June~~December 2928,2025

~~June~~December 2329,2024

~~June 29,2025~~

~~June 23,2024~~

Operating revenue:

Print advertising revenue

17,~~474~~191

1819,~~941~~861

~~53,867~~

~~62,118~~

Digital advertising revenue

49,097

49,903

139,766

141,747

Digital advertising and marketing services revenue

42,795

46,729

Advertising and marketing services revenue

6659,~~571~~986

6866,~~844~~590

~~193,633~~

~~203,865~~

Print subscription revenue

3834,~~076~~996

4743,~~605~~432

~~122,587~~

~~148,443~~

Digital subscription revenue

2322,~~482~~706

2021,~~701~~565

~~68,836~~

~~60,429~~

Subscription revenue

6157,~~558~~702

6864,~~306~~997

~~191,423~~

~~208,872~~

Print other revenue

7,~~837~~546

87,~~278~~888

~~22,938~~

~~24,839~~

Digital other revenue

54,~~328~~828

5,~~150~~087

~~15,241~~

~~15,230~~

Other revenue

1312,~~165~~374

1312,~~428~~975

~~38,179~~

~~40,069~~

Total operating revenue

~~141~~130,~~294~~062

~~150~~144,~~578~~562

~~423,235~~

~~452,806~~

Recognition principles: Revenue is recognized when a performance obligation is satisfied by the transfer of control of the contracted goods or services to our customers, in an amount that reflects the consideration we expect to receive in exchange for those goods or services.

~~Contract~~Revenue ~~Liabilities:~~is ~~The~~recognized ~~Company’s~~when ~~primary~~control ~~source~~ of ~~contract~~the ~~liabilities~~promised isgoods ~~unearned~~or ~~revenue~~services ~~from~~is ~~subscriptions~~transferred ~~paid~~to customers, in ~~advance~~an ofamount ~~the~~that ~~service~~reflects ~~provided.~~the ~~The~~consideration ~~Company~~we ~~expects~~expect to ~~recognize~~be ~~the~~entitled ~~revenue related~~ to ~~unsatisfied~~in ~~performance~~exchange ~~obligations~~for ~~over~~goods ~~the~~or ~~next~~services. Revenues ~~twelve~~are ~~months~~recognized inas ~~accordance~~performance ~~with~~obligations ~~the~~are ~~terms~~satisfied ofeither ~~the~~at ~~subscriptions~~a ~~and~~point ~~other~~in ~~contracts~~time, ~~with~~such ~~customers.~~as ~~Revenue~~when ~~recognized~~an inadvertisement ~~the~~is ~~nine~~published, ~~months~~or ~~ended~~over ~~June 29~~time, ~~2025,~~such ~~that was included in the contract liability~~ as ofaudience ~~September 29,~~subscription ~~2024, was $28~~revenue.2 ~~million.~~

~~Accounts~~Advertising ~~receivable, excluding allowance for credit losses was $62.1 million~~ and ~~$67.2~~marketing ~~million~~services asrevenue ~~of June 29, 2025, and September 29, 2024, respectively. Allowance for credit losses was $5.0 million and $6.5 million as of June 29, 2025, and September 29, 2024, respectively.~~

Print advertising revenue includes amounts charged to customers for retail, national, or classified advertising space purchased in our newspapers, advertising marketing services and other print advertising products such as preprint inserts and direct mail.

Digital advertising revenue includes amounts for advertisements placed on our digital platforms, amounts charged to customers for digital marketing services which include: audience extension, search

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engine optimization, search engine marketing, web and mobile production, social media services and reputation monitoring and management.

Payments for print and digital advertising revenue are due upon completion of our performance obligations at previously agreed upon rates. In instances where the timing of revenue recognition differs from the timing of invoicing, such timing differences are not large. As a result, we have determined that our contracts do not include a significant financing component. Depending on the product, revenue is recognized over time or at the point in time in which performance obligations are met.

Subscription revenue

Print subscription revenue results from the sale of print editions of newspapers to individual subscribers and to sales outlets that resell the newspapers. Print subscriptions include full access to all forms of content provided. Single copy revenue is also included in subscription revenue. Subscription revenue from single copy and home delivery subscriptions are recognized at the point in time the publications are delivered.

Digital subscription revenue results from the sale of digital-only access to our content delivered via digital products purchased. Digital subscription revenue is recognized over time as performance obligations are met throughout the subscription period.

Payments for print and digital subscription revenue are typically collected in advance, or for contract periods of one year or less and result in an unearned revenue liability that is reduced when revenue is recognized.

Other revenue

Other revenue primarily consists of digital services, commercial printing and delivery of third party products. Digital services revenues, which are primarily delivered through BLOX Digital, are primarily comprised of contractual agreements to provide web hosting and content management services. As such, digital services revenue is recognized over the contract period. Prices for digital services are agreed upon in advance of the contract beginning and are typically billed in arrears on a monthly basis. Commercial printing and delivery revenue is recognized when the product is delivered to the customer or to the third party's subscriber.

Contract Liabilities

Our primary source of unearned revenue is from subscriptions paid in advance of the service provided. We expect to recognize the revenue related to unsatisfied performance obligations over the next twelve months in accordance with the terms of the subscriptions and other contracts with customers.The unearned revenue balances described herein are our only contract liability. Revenue recognized in the three months ended December 28, 2025, that was included in the contract liability as of September 28, 2025, was $16.4 million.

Accounts receivable, excluding allowance for credit losses, was $55.2 million and $59.4 million as of December 28, 2025, and September 28, 2025, respectively. Allowance for credit losses was $4.1 million and $4.8 million as of December 28, 2025, and September 28, 2025, respectively.

Valuation and qualifying account information related to the allowance for credit losses related to continuing operations is as follows:

(Thousands of Dollars)	~~June~~December 2928,2025	September 2928,~~2024~~2025
Balance, beginning of period	64,~~514~~827	56,~~260~~514
Additions charged to expense	102,~~853~~585	1315,~~633~~262
Deductions from reserves	(123,~~370~~326)	(1216,~~379~~949)
Balance, end of period	4,~~997~~086	64,~~514~~827

Sales commissions are expensed as incurred as the associated contractual periods are one year or less. These costs are recorded within "Compensation" on the Consolidated Statements of Loss and

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~~Comprehensive~~Practical ~~Loss. Most of our contracts have original expected lengths of one year or less and revenue is earned at a rate and amount that corresponds directly with the value to the customer.~~expedients

Sales commissions are expensed as incurred as the associated contractual periods are one year or less. These costs are recorded within "Compensation" on our Consolidated Statements of Loss and Comprehensive Loss. The vast majority of our contracts have original expected lengths of one year or less and revenue is earned at a rate and amount that corresponds directly with the value to the customer.

3 INVESTMENTS IN ASSOCIATED COMPANIES

TNI Partners

In Tucson, Arizona, TNI, acting as agent for our subsidiary, Star Publishing Company (“Star Publishing”), and Gannett Co., Inc.'s subsidiary Citizen Publishing Company (“Citizen”), is responsible for printing, delivery, advertising, and subscription activities of the Arizona Daily Star as well as the related digital platforms and specialty publications. TNI collects all receipts and income and pays substantially all operating expenses ~~incident~~incidental to the partnership's operations and publication of the newspaper and other media.

Income or loss of TNI (before income taxes) is allocated equally to Star Publishing and Citizen.

Summarized results of TNI are as follows:

Three months ended

~~Nine months ended~~

(Thousands of Dollars)

~~June~~December 2928,2025

~~June~~December 2329,2024

~~June 29,2025~~

~~June 23,2024~~

Operating revenue

54,~~320~~814

6,~~667~~533

~~17,609~~

~~21,018~~

Operating expenses

3,~~764~~605

5,~~076~~206

~~13,050~~

~~15,207~~

Operating income

1,~~556~~209

1,~~591~~327

~~4,559~~

~~5,811~~

Net income

1,~~529~~260

1,~~544~~250

~~4,596~~

~~5,764~~

Equity in earnings of TNI

~~765~~630

~~772~~625

~~2,298~~

~~2,882~~

TNI makes periodic distributions of its earnings and for the three months ended ~~June~~December 2928, 2025, and ~~June~~December 2329, 2024, we received $0.75 million and $0.65 million in distributions, respectively. ~~In the nine months ended June 29, 2025 and June 23, 2024, we received $2.4 million and $2.7 million in distributions, respectively.~~

Madison Newspapers, Inc.

We have a 50% ownership interest in MNI, which publishes daily and Sunday newspapers, and other publications in Madison, Wisconsin, and other Wisconsin locations, and operates their related digital platforms. Net income or loss of MNI (after income taxes) is allocated equally to us and The Capital Times Company (“TCT”). MNI conducts its business under the trade name Capital Newspapers.

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Summarized results of MNI are as follows:

Three months ended

~~Nine months ended~~

(Thousands of Dollars)

~~June~~December 2928,2025

~~June~~December 2329,2024

~~June 29,2025~~

~~June 23,2024~~

Operating revenue

9,~~136~~470

109,~~136~~759

~~27,974~~

~~30,560~~

Operating expenses, excluding restructuring costs, depreciation and amortization

7,~~252~~233

7,~~829~~455

~~21,720~~

~~23,275~~

Restructuring costs

9534

4—

~~118~~

~~113~~

Depreciation and amortization

8960

~~121~~90

~~269~~

~~361~~

Operating income

12,~~700~~143

2,~~182~~214

~~5,867~~

~~6,811~~

Net income

~~(157)~~900

~~699~~994

~~1,330~~

~~1,973~~

Equity in earnings of MNI

~~(79)~~450

~~350~~497

~~665~~

~~987~~

MNI makes periodic distributions of its earnings and in the three months ended ~~June~~December 2928, 2025, and ~~June~~December 2329, 2024, we received ~~zero and~~ $0.4 million ~~in distributions, respectively. In the nine months ended June 29, 2025~~ and ~~June 23, 2024, we received distributions of~~ $0.9 million ~~and~~in ~~$1.0 million~~distributions, respectively.

4 GOODWILL AND OTHER INTANGIBLE ASSETS

All of our goodwill is attributed to a single reporting unit. Goodwill and identified intangible assets consist of the following:

(Thousands of Dollars)	~~June~~December 2928,2025	September 2928,~~2024~~2025
Goodwill, beginning of period	~~328~~323,~~040~~858	~~329~~328,~~504~~040
Allocated to sold operations	~~(4,182)~~—	(14,~~464~~182)
Goodwill, end of period	323,858	~~328~~323,~~040~~858
Non-amortized intangible assets:
Mastheads	103,~~917~~946	103,~~917~~946
Amortizable intangible assets:
Customer and newspaper subscriber lists	262,146	262,~~242~~146
Less accumulated amortization	(~~212~~215,~~156~~943)	(~~203~~214,~~084~~166)
	49,990	59,158
	46,203	47,980
Total intangibles, net	~~384~~374,~~765~~007	~~398~~375,~~115~~784

The weighted average amortization period for amortizable assets is approximately ~~ten~~nine years.

~~During the nine months ended June 29, 2025, the Company sold non-core operations. Goodwill was allocated to these operations, which totaled $4.2 million.~~5 SEGMENTS

~~5 DEBT~~We operate as a single operating and reportable segment. The Chief Executive Officer (“CEO”) serves as our Chief Operating Decision Maker (“CODM”) and is responsible for evaluating financial performance and allocating resources. The CODM reviews financial information and makes operating decisions on a consolidated basis.

~~The~~Our ~~Company~~operations ~~has~~are ~~debt~~organized ~~consisting~~into ofStrategic aBusiness ~~single~~Units ~~25-year~~(“SBUs”) ~~term~~based ~~loan~~on ~~with~~market. BHThe ~~Finance~~SBU’s ~~LLC,~~generally ~~with~~include anone ~~aggregate~~or ~~principal~~more ~~balance~~daily ofnewspapers, ~~$455.9~~several ~~million~~nondaily atpublications aas 9%well ~~annual~~as ~~fixed~~the ~~rate~~related ~~and~~digital ~~maturing~~operations. onSBUs ~~March~~are 16internal, ~~2045~~location-based ~~(referred~~operating tocomponents ~~herein~~used asfor ~~“Credit~~management ~~Agreement”~~purposes and ~~“Term~~do ~~Loan”)~~not represent separate operating or reportable segments. OnSeparate ~~June 29,~~operating ~~2025,~~results for each SBU are not reviewed by the ~~fair~~CODM ~~value~~when ~~was~~assessing ~~$375~~performance or making operating decisions.~~6 million,~~ ~~representing~~The CODM reviews our consolidated statements of (loss) income and balance sheets on a ~~Level~~monthly 2basis ~~fair~~and ~~value~~makes ~~measurement~~key decisions regarding resource allocation, ~~which~~including ~~are~~operating ~~fair~~expenses ~~values~~and ~~estimated~~capital ~~using~~expenditures, ~~significant~~primarily ~~other~~focusing ~~observable~~on ~~inputs.~~consolidated net (loss) income and consolidated total

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~~During the nine months ended June 29, 2025, Net Cash Proceeds, as defined in our Credit Agreement, from asset sales totaled $6~~assets.5 These ~~million.~~consolidated ~~The~~statements ~~Company made $1.4 million principal debt payments as a result of non-core asset sales, and the remaining net cash proceeds remain payable to BH Finance. Future payments~~ are ~~contingent~~used onby the ~~Company's ability~~ CODM to ~~generate~~monitor ~~future~~budget ~~excess~~versus ~~cash~~actual ~~flow,~~results asand ~~defined~~evaluate in the ~~Credit~~return ~~Agreement. As~~on ~~of June 29, 2025, there was no excess cash flow payment due~~assets.

InSignificant ansegment ~~effort~~expenses toare ~~provide~~separately ~~short-term~~disclosed ~~liquidity to fund the Cyber Incident's remediation efforts~~ and ~~other~~presented ~~operations,~~ in ~~February 2025, BH Finance LLC waived~~ the ~~current~~Consolidated ~~payment~~Statements of ~~the~~Loss ~~interest~~(Income) and BHComprehensive ~~Media~~Loss ~~Group, Inc~~(Income). ~~waived~~The ~~the~~measure ~~lease payment due March 1, 2025. A similar waiver was provided for payments due in April and May 2025. As~~ of ~~June 29,~~segment ~~2025,~~assets ~~the~~is ~~waivers~~reported ~~increased~~on the ~~outstanding~~Consolidated ~~debt~~Balance ~~balance~~Sheets ~~by $11.3 million and is treated~~ as ~~non-cash~~Total ~~activity within the statement of cash flows~~Assets. ~~These waivers were treated as~~ ~~modifications~~The toaccounting ~~the~~policies ~~existing~~of ~~credit~~our ~~agreement.~~operating Insegment ~~addition,~~are the ~~May~~same ~~2025~~as ~~waiver~~those ~~was~~described ~~accompanied by an amendment to the Credit Agreement which includes provisions requiring the Company to prepay the loan~~ in anNote aggregate amount equal to 100% of net cash proceeds received by the Company or its subsidiaries within three days following the receipt of such net cash proceeds and allowing BH Finance to assign its rights and obligations under the Credit Agreement to any person other than a natural person1.

6 ~~PENSION, POSTRETIREMENT AND POSTEMPLOYMENT DEFINED BENEFIT PLANS~~DEBT

We have ~~one~~debt ~~defined~~consisting ~~benefit~~of ~~pension~~a ~~plan~~single ~~that~~25-year ~~covers~~term ~~certain~~loan ~~employees~~with BH Finance LLC, ~~including~~with ~~plans~~an ~~established~~aggregate ~~under~~principal ~~collective~~balance ~~bargaining~~of ~~agreements~~$455.5 ~~Additionally,~~million weat ~~provide~~a ~~retiree~~9% ~~medical~~annual fixed rate and ~~life~~maturing ~~insurance~~on ~~benefits~~March ~~under~~16, ~~postretirement~~2045 ~~plans~~(referred atto ~~several~~herein ofas ~~our~~“Credit ~~operating~~Agreement” ~~locations~~and “Term Loan”). ~~Through~~ ~~June~~On December 2928, 2025, ~~our~~the ~~liability~~fair ~~and~~value ~~related~~was ~~expense~~$387.9 million, ~~for~~representing ~~benefits~~a ~~under~~Level ~~the~~2 ~~plans~~fair ~~are~~value ~~recorded~~measurement, ~~over~~which ~~the~~are ~~service~~fair ~~period~~values ofestimated ~~employees~~using ~~based~~significant ~~upon~~other ~~annual~~observable ~~actuarial calculations~~inputs.

~~The~~During ~~net~~the ~~periodic~~three ~~pension~~months ~~and~~ended ~~postretirement~~December 28, ~~cost~~2025, ~~(benefit)~~we ~~components~~had ~~for~~no Net Cash Proceeds, as defined in our ~~plans~~Credit Agreement, from asset sales and did not make any principal debt payments as a result of non-core asset sales. Future payments are contingent on our ability to generate future excess cash flow, as ~~follows:~~defined in the Credit Agreement. As of December 28, 2025, there was no Excess Cash payment due as we did not generate the defined level of excess cash flow.

PENSION PLANS	Three months ended		Nine months ended
(Thousands of Dollars)	June 29,2025	June 23,2024	June 29,2025	June 23,2024
Service cost for benefits earned during the period	1	1	3	3
Interest cost on projected benefit obligation	2,034	2,253	6,103	7,021
Expected return on plan assets	(2,319)	(2,310)	(6,956)	(7,073)
Amortization of net (gain) loss	—	(1)	—	(4)
Amortization of prior service benefit	212	212	636	636
Settlement gain	—	—	—	(2,409)
Net periodic pension (benefit) cost	(72)	155	(214)	(1,826)

In February 2025, in an effort to provide short-term liquidity to fund the Cyber Incident's remediation efforts and other operations, BH Finance LLC waived the interest expense payment and BH Media Group, Inc. waived the lease payment due March 1, 2025, April 1, 2025, and May 1, 2025. As of September 28, 2025, the waivers increased the outstanding debt balance by $11.3 million and was treated as non-cash activity within the statement of cash flows. These waivers were treated as modifications to the existing Credit Agreement. In addition, the May 2025 waiver was accompanied by an amendment to the Credit Agreement which includes provisions requiring us to prepay the loan in an aggregate amount equal to 100% of net cash proceeds received by us or our subsidiaries within three days following the receipt of net cash proceeds from asset sales and allowing BH Finance to assign its rights and obligations under the Credit Agreement to any person other than a natural person. Future payments are contingent on our ability to generate future Excess Cash Flow, as defined in the Credit Agreement.

POSTRETIREMENT MEDICAL PLANS	Three months ended		Nine months ended
(Thousands of Dollars)	June 29,2025	June 23,2024	June 29,2025	June 23,2024
Service cost for benefits earned during the period	1	13	2	38
Interest cost on projected benefit obligation	108	149	325	447
Expected return on plan assets	(410)	(320)	(1,231)	(959)
Amortization of net gain	(292)	(308)	(876)	(925)
Amortization of prior service benefit	(71)	(94)	(214)	(282)
Curtailment gain	—	—	—	(1,184)
Net periodic postretirement benefit	(664)	(560)	(1,994)	(2,865)

See Note 12 for changes to our Credit Agreement related to a Subsequent Event.

7 PENSION, POSTRETIREMENT AND POSTEMPLOYMENT DEFINED BENEFIT PLANS

We are the sponsor of one single-employer defined benefit pension plan, the Lee Enterprises, Incorporated Pension Plan ("the Plan"). As previously announced to participants on October 22, 2025, we are executing a strategic termination of our fully funded benefit pension Plan, eliminating the long-term volatility tied to interest rate movement, mortality assumptions and asset performance, while preserving participant benefits and improving balance sheet flexibility. We terminated the Plan on December 28, 2025 and submitted a request for a determination of the Plan's qualified status to the United States Internal Revenue Service. We expect to complete the termination process, including payout, in late 2026.

Additionally, we provide retiree medical and life insurance benefits under postretirement plans at several of our operating locations. Through December 28, 2025, our liability and related expense for benefits under the plans are recorded over the service period of employees based upon annual actuarial calculations.

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InThe ~~the~~net ~~nine~~periodic ~~months~~pension ~~ended June 29, 2025~~ and ~~June 23,~~postretirement ~~2024,~~cost we(benefit) ~~made~~components nofor ~~contributions to~~ our ~~pension~~ plans~~. We~~ ~~have~~are noas ~~required contributions to our pension plans for 2025.~~follows:

During the nine months ended June 23, 2024, the Company offered a voluntary lump sum payment of future benefits to terminated vested participants in the defined benefit pension plan. The offer was accepted by 522 participants, representing a $22.6 million settlement of related pension plan liability. The Company recognized a non-cash settlement gain of $2.4 million, which is reflected within "Curtailment/Settlement gains" on the Consolidated Statements of Loss and Comprehensive Loss. Pension plan assets and liabilities were reduced by $22.6 million.


PENSION PLAN	Three months ended
(Thousands of Dollars)	December 28, 2025	December 29, 2024

Service cost for benefits earned during the period	1	1
Interest cost on projected benefit obligation	1,977	2,034
Expected return on plan assets	(2,467)	(2,319)

Amortization of prior service benefit	212	212

Net periodic pension benefit	(277)	(72)

POSTRETIREMENT MEDICAL PLANS	Three months ended
(Thousands of Dollars)	December 28, 2025	December 29, 2024

Service cost for benefits earned during the period	—	1
Interest cost on projected benefit obligation	83	108
Expected return on plan assets	(391)	(410)
Amortization of net gain	(245)	(292)
Amortization of prior service benefit	(71)	(71)

Net periodic postretirement benefit	(624)	(664)

~~Multiemployer~~In ~~Pension~~the ~~Plans~~three months ended December 28, 2025 and December 29, 2024, we made no contributions to our pension plans. We have no required contributions to our pension plans for 2026.

InMulti-employer ~~prior~~Pension periods, the Company effectuated withdrawals from several multiemployer plans. As of June 29, 2025 and September 29, 2024, we had $22.7 million and $23.6 million of accrued withdrawal liabilities. The liabilities reflect the estimated value of payments to the fund, payable over 20-years.Plans

~~7 INCOME~~In ~~TAXES~~prior periods, we completed withdrawals from several multi-employer plans. As of December 28, 2025 and September 28, 2025, we had $22.0 million and $22.4 million of accrued withdrawal liabilities. The liabilities reflect the estimated value of payments to the funds, payable over 20 years.

We recorded an income tax benefit of $2.7 million related to loss before taxes of $4.4 million for the three months ended June 29, 2025, and an income tax benefit of $1.3 million related to loss before income taxes of $31.2 million for the nine months ended June 29, 2025. We recorded an income tax benefit of $0.8 INCOME million related to loss before taxes of $4.5 million for the three months ended June 23, 2024, and an income tax benefit of $3.4 million related to a loss before income taxes of $17.5 million for the nine months ended June 23, 2024. The effective income tax rate for the three and nine months ended June 29, 2025, was 61.4% and 4.2%, respectively. The effective income tax rate for the three and nine months ended June 23, 2024, were 18.7% and 19.6%, respectively.TAXES

We recorded an income tax expense of $0.9 million related to loss before taxes of $4.2 million for the three months ended December 28, 2025. We recorded an income tax expense of $3.2 million related to loss before taxes of $13.0 million for the three months ended December 29, 2024. The effective income tax rate for the three months ended December 28, 2025, was (21.4)% . The effective income tax rate for the three months ended December 29, 2024, was (25.0)%.

The primary differences between these rates and the U.S. federal statutory rate of 21% are because of state taxes, non-deductible expenses, increase in valuation allowance, and adjustments to reserves for uncertain tax positions, including any related interest.

We ~~file~~are aevaluating ~~consolidated~~the ~~federal~~income tax ~~return,~~impacts asof ~~well~~the asprivate ~~combined~~placement ~~and~~financing ~~separate tax returns in approximately 27 state~~ and ~~local~~Second ~~jurisdictions. We~~Amendment doto ~~not~~the ~~currently~~Credit ~~have~~Agreement ~~any~~as ~~federal~~related orto ~~material~~the ~~state~~subsequent ~~income~~events ~~tax~~disclosed ~~examinations~~ in ~~progress. Our~~Note ~~income tax returns have generally been audited or closed to audit through 2016~~12.

On July 4, 2025, President Trump signed into law the One Big Beautiful Bill Act ("OBBBA"). The OBBBA makes permanent key elements of the Tax Cuts and Jobs Act, including 100% bonus depreciation, domestic research cost expensing, and the business interest expense limitation. We are currently evaluating the impact of the OBBBA and expect the results of such evaluation to be reflected in our Annual Report on Form 10K for the year ended September 28, 2025.

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89 LOSS PER COMMON SHARE

The following table sets forth the computation of basic and diluted earnings per common share:

Three months ended

~~Nine months ended~~

(Thousands of Dollars and Shares, Except Per Share Data)

~~June~~December 2928,2025

~~June~~December 2329,2024

~~June 29,2025~~

~~June 23,2024~~

Loss attributable to Lee Enterprises, Incorporated:

(15,~~920~~611)

(416,~~266~~748)

~~(31,179)~~

~~(15,757)~~

Weighted average common shares

6,~~232~~258

6,~~080~~192

~~6,214~~

~~6,080~~

Less weighted average restricted Common Stock

(~~120~~139)

(~~215~~204)

~~(171)~~

~~(195)~~

Basic average common shares

6,~~112~~119

5,~~865~~988

~~6,043~~

~~5,885~~

Dilutive restricted Common Stock

—

Diluted average common shares

6,~~112~~119

5,~~865~~988

~~6,043~~

~~5,885~~

Loss per common share:

Basic

(0.3192)

(02.7380)

~~(5.16)~~

~~(2.68)~~

Diluted

(0.3192)

(02.7380)

~~(5.16)~~

~~(2.68)~~

For the three months ended ~~June~~December 2928, 2025 and ~~June~~December ~~23, 2024, no shares were considered in the computation of diluted earnings per common share because the Company recorded net losses. For the nine months ended June~~ 29, ~~2025 and June 23,~~ 2024, no shares were considered in the computation of diluted earnings per common share because ~~the~~we ~~Company~~ recorded net losses.

Rights Agreement

On March 28, 2024, our Board of Directors adopted a stockholder rights plan (the “Rights Agreement”). Pursuant to the Rights Agreement, on March 28, 2024, our Board of Directors declared a dividend of one preferred share purchase right (a “Right”), payable on April 8, 2024, for each share of our Common Stock outstanding to the stockholders of record on that date. Each Right entitles the registered holder to purchase from the Company one one-thousandth of a share of Series C Participating Convertible Preferred Stock, without par value (the “Preferred Shares”), of the Company at a price of $90.00 per one one-thousandth of a Preferred Share represented by a Right, subject to adjustment.

The Rights will initially trade with our Common Stock and will generally become exercisable only if any person or group, other than certain exempt persons, acquires beneficial ownership of 15% or more of our Common Stock outstanding. In the event the Rights become exercisable, each holder of a Right, other than the triggering person(s), will be entitled to purchase additional shares of our Common Stock at a 50% discount or the Company may exchange each Right held by such holders for one share of our Common Stock. The Rights Agreement was to continue in effect until March 27, 2025, or unless earlier redeemed or terminated by the Company, as provided in the Rights Agreement. On March 27, 2025, the Board of Directors extended the termination date of the Rights Agreement to March 27, 2026. The Rights have no voting or dividend privileges, and, unless and until they become exercisable, have no dilutive effect on the earnings of the Company.

The Rights Agreement applies equally to all current and future stockholders and is not intended to deter offers or preclude our Board of Directors from considering acquisition proposals that are fair and otherwise in the best interest of our stockholders. However, the overall effect of the Rights Agreement may render it more difficult or discourage a merger, tender offer, or other business combination involving us that is not supported by our Board of Directors.

~~9 COMMITMENTS~~On ~~AND~~February ~~CONTINGENT~~4, ~~LIABILITIES~~2026, in connection with the closing of the private placement, the Board of Directors amended the termination date of the Rights Agreement to February 4, 2026 causing each Right to expire and to be extinguished and for the Rights Agreement to be terminated. See Note 12 for additional information related to the private placement.

Legal Proceedings

We are involved in a variety of legal actions that arise in the normal course of business. Insurance coverage mitigates potential loss for certain of these matters. While we are unable to predict the

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~~ultimate~~10 CYBERSECURITY ~~outcome of these legal actions, it is our opinion that the disposition of these matters will not have a material adverse effect on our Consolidated Financial Statements, taken as a whole.~~INCIDENT

~~Video~~On ~~Privacy~~February ~~Protection~~3, ~~Act~~2025, ~~Litigation~~we experienced a cybersecurity incident that disrupted certain IT systems and ~~Settlement.~~resulted ~~Company~~in ~~was~~unauthorized ~~named~~access asto acertain ~~defendant~~files by(the a“Cyber ~~group~~Incident”). ofWe ~~Plaintiffs~~activated ~~acting~~our onincident-response ~~behalf~~plan, ofengaged athird-party ~~proposed~~cybersecurity ~~class~~experts, ofnotified ~~digital~~law ~~subscribers~~enforcement, inand aoffered ~~lawsuit~~identity-protection inservices ~~2022~~to affected customers and subscribers. The ~~lawsuit~~Cyber ~~alleged~~Incident ~~that~~adversely ~~the~~affected ~~Company~~fiscal ~~violated~~2025 operating results; however, the ~~Video~~incremental ~~Privacy~~impact ~~Protection~~on ~~Act~~revenues ~~(“VPPA”)~~and bycertain ~~using~~operating ~~pixels~~expenses tois ~~track~~not ~~subscribers’~~reasonably ~~video~~separable ~~viewing~~from ~~activity~~other onbusiness ~~Company~~factors. ~~websites~~The incident remains under legal and ~~sharing~~forensic itreview, ~~with~~and ~~Meta~~we ~~without~~continue ~~consent~~to implement security enhancements.

~~The~~Since ~~Company~~the ~~has~~incident ~~agreed~~occurred, towe ahave ~~preliminary~~incurred ~~settlement~~$10.5 million ~~with~~loss of cash flows related to the ~~Plaintiffs~~Cyber ~~for~~Incident. Approximately $93.57 million of this was incurred expenses, ~~subject~~which towere ~~required~~recognized ~~court~~in ~~approval.~~"Restructuring ~~The~~and ~~entire~~Other" ~~settlement~~in ~~amount~~the ~~will~~Consolidated beStatements ~~paid~~of by(Loss) Income and Comprehensive (Loss) Income during the ~~Company’s~~year ended September 28, 2025. We have filed insurance ~~carriers~~claims for the remaining $6.8 million to cover business interruption related and other expenses.

~~The~~We ~~settlement~~maintain ~~liability~~cyber insurance with a $0.5 million deductible. For the year ended September 28, 2025, we had submitted $10.0 million of claims and ~~insurance~~received ~~receivable~~$2.0 million of reimbursements, which are ~~recorded~~presented ~~within~~as ~~“Compensation~~a ~~and~~reduction ~~other~~of ~~accrued~~related ~~liabilities”~~costs ~~and~~within “~~Prepaids~~Restructuring and other.” onFor the ~~Consolidated~~three ~~Balance~~months ~~Sheets~~ended asDecember ~~of June 29~~28, 2025, ~~and~~we ~~September~~received ~~29,~~an ~~2024,~~additional ~~respectively~~$2.0 million in business interruption reimbursements that were recorded on a separate line within "Operating Expenses". The remaining business-interruption claims remain under review.

~~Cybersecurity~~11 COMMITMENTS ~~Incident~~AND ~~Litigation.~~CONTINGENT As previously disclosed, the Company experienced a cybersecurity incident during the second quarter of 2025, which involved unauthorized access to certain systems and data. Following public disclosure of the incident, the Company was named as a defendant in several putative class action lawsuits filed in or around June 2025, in the United States District Court for the Southern District of Iowa on behalf of all individuals affected by the cybersecurity incident, including those who received notice of the incident. These lawsuits generally allege, among other things, that the Company failed to adequately protect personal or sensitive information and seek unspecified damages and other relief.LIABILITIES

~~The~~Legal Company is vigorously defending against these claims. Given the early stage of these proceedings, the outcome of these matters is uncertain, and the Company is unable to estimate a possible loss or range of loss at this time.Proceedings

~~The~~We ~~Company~~are ~~maintains~~involved ~~cyber~~in ~~liability~~a ~~and~~variety ~~other~~of ~~applicable~~legal ~~insurance~~actions ~~coverage~~that ~~and~~arise ~~believes~~in ~~that~~the ~~any~~normal course of business. Insurance coverage mitigates potential ~~losses~~loss ~~associated~~for ~~with~~certain of these ~~claims,~~matters. While ifwe ~~adverse~~are ~~outcomes~~unable ~~were~~ to ~~occur,~~predict ~~would~~the beultimate ~~covered~~outcome of these legal actions, ~~subject~~it tois ~~applicable~~our ~~deductibles~~opinion ~~and~~that ~~policy~~the ~~limits~~disposition of these matters will not have a material adverse effect on our Consolidated Financial Statements, taken as a whole.

Fetes et al. v. Lee Enterprises. Incorporated (Cyber Incident). On June 12, 2025, Sarah Fetes filed a Complaint in the U.S. District Court for the Southern District of Iowa alleging claims arising out of a February 2025 cybersecurity incident, during which a third-party threat actor potentially accessed personal information of past and present Company employees existing on Company systems. Fetes and five additional named Plaintiffs filed a Consolidated Complaint on August 11, 2025. Plaintiffs allege that we failed to properly secure and safeguard personally identifiable information collected as part of our regular business practices. Plaintiffs sought damages for invasion of privacy and misuse of the compromised data, on behalf of themselves and a class consisting of approximately 39,700 individuals who received data breach notifications. This claim was submitted for coverage under our media insurance policy. The parties have reached a tentative settlement, all of which will be paid by our insurance carriers, in an amount that will be publicly disclosed through the court process. The settlement is subject to required court approval and open to objection by class members. We anticipate final approval of the settlement by August 2026. The probable settlement liability and insurance receivable are recorded within “Compensation and other accrued liabilities” and “Prepaids and other” on the Consolidated Balance Sheets as of December 28, 2025.

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~~Item~~Lineup 2Systems Corporation v. ~~Management's~~ ~~Discussion~~Lee Enterprises, Incorporated. In July 2025, Lineup filed suit against us for breach of contract, breach of the covenant of good faith and ~~Analysis~~fair dealing, and quantum meruit arising from the contract between Lee and Lineup for the purchase and installation of ~~Financial~~software. ~~Condition~~The suit claims $7.0 million in damages for failure to pay owed amounts, attorneys fees and ~~Results~~interest. We filed a counter claim alleging breach of ~~Operations~~contract and fraudulent inducement. Trial has been set for October 18, 2027. Lineup filed a Motion for Judgment on the Pleadings for various counts and oral arguments were heard by the Court on the Motion for Judgment on the Pleadings on January 16, 2026. The Court is expected to rule in the next 90 days. Discovery is ongoing in this case and the outcome is uncertain at this time.

~~The~~12 SUBSEQUENT ~~following~~EVENTS discussion includes comments and analysis relating to our results of operations and financial condition as of and for the three months ended June 29, 2025. This discussion should be read in conjunction with the Consolidated Financial Statements and related Notes thereto, included herein, and our 2024 Annual Report on Form 10-K.

~~EXECUTIVE~~PRIVATE ~~OVERVIEW~~PLACEMENT FINANCING AND RELATED AGREEMENTS

~~Lee~~On ~~Enterprises~~February 5, ~~Incorporated~~2026, ~~together~~we ~~with~~issued ~~its~~an ~~subsidiaries~~aggregate of 16,000,000 isshares aof ~~digital-first~~Common ~~subscription~~Stock, ~~business~~consisting ~~providing~~of ~~local~~15,384,615 ~~markets~~shares ~~with~~of ~~valuable,~~Common ~~high~~Stock ~~quality,~~to ~~trusted,~~certain ~~intensely~~investors ~~local~~and ~~news~~615,385 ~~information,~~shares ~~advertising~~of ~~and~~Common ~~marketing~~Stock ~~services. We~~to ~~inform~~service ~~consumers~~providers inas 72reimbursement ~~mid-sized~~for ~~local~~certain ~~communities~~expenses inincurred 25by ~~states~~certain ~~with~~investors, at a ~~rapidly~~price ~~growing~~of ~~digital~~$3.25 ~~subscription~~per ~~platform~~share ~~including~~in ~~670,000~~a ~~digital~~private ~~subscribers.~~placement ~~Our~~pursuant ~~core~~to ~~strategy~~the ~~aims~~private toplacement ~~grow~~agreement ~~audiences~~by and ~~engagement~~among ~~through~~the ~~creating,~~Company ~~collecting,~~ and ~~distributing~~the ~~trusted~~investors. ~~local~~The ~~news~~aggregate ~~and~~gross ~~information,~~proceeds ~~continuous~~from ~~improvements~~the toprivate ~~subscriber~~placement ~~experience,~~were ~~and~~approximately $50.0 million before deducting offering aexpenses. ~~full~~We ~~suite~~expect ofto ~~omni-channel~~use ~~advertising~~the ~~and~~net ~~marketing~~proceeds tofor ~~more~~working ~~than~~capital ~~20,000~~and ~~local~~for ~~advertisers~~other general corporate purposes.

~~Our~~The ~~product~~investors ~~portfolio~~have ~~includes~~also ~~digital~~agreed ~~subscription~~to ~~platforms,~~a ~~daily,~~lock-up ~~weekly~~with ~~and~~respect ~~monthly~~to ~~newspapers~~the ~~and~~shares ~~niche~~for ~~products,~~a ~~all~~period ~~delivering~~of ~~original~~180 ~~local~~days ~~news~~ and ~~information~~standstill asperiod ~~well~~of astwelve ~~national and international news. Our products offer digital and print editions~~months, ~~and~~subject ~~our~~to ~~content~~certain ~~and advertising is available in real time through our websites and mobile apps~~exceptions. We ~~operate~~With inrespect ~~predominately~~to ~~mid-sized~~the ~~communities with products ranging from large daily newspapers and associated digital products~~standstill, ~~such~~certain asinvestors ~~the~~are ~~St.~~each ~~Louis~~able ~~Post-Dispatch~~to ~~and~~purchase ~~The~~up ~~Buffalo~~to ~~News~~600,000 toshares ~~non-daily~~of ~~newspapers~~Common ~~with~~Stock ~~news~~during ~~websites~~the ~~and~~standstill ~~digital platforms serving smaller communities~~period.

WeFurther, ~~have made investments~~ in ~~talent~~connection ~~and~~with ~~technology~~the toclosing ~~improve~~of ~~user~~the ~~experience,~~private ~~content~~placement, ~~data~~we ~~visualization~~amended ~~and~~our ~~marketing~~Certificate toof ~~align~~Incorporation, ~~with~~increasing the ~~shift~~number inof ~~spending~~authorized ~~habits~~shares byfrom ~~both~~12,000,000 ~~consumers~~to ~~and advertisers toward digital products~~40,000,000.

WeRegistration ~~aim~~Rights to grow our business through three main categories: subscriptions to our product offerings, advertising and marketing solutions to local advertisers, and digital services to a diverse set of customers. Execution of this strategy is expected to transform Lee into a growing and sustainable local media organization.Agreement

~~•Our~~We ~~digital~~entered ~~subscription~~into ~~platforms~~a registration rights agreement pursuant to which we will agree to provide certain customary registration rights, including the registration of the Shares for resale. We are required to use commercially reasonable efforts to file a registration statement with the ~~fastest~~Securities ~~growing~~and ~~digital~~Exchange ~~subscription~~Commission ~~platforms~~covering inthe ~~local~~resale ~~media.~~by the investors of their shares within 60 days following the closing.

~~•Amplified~~President ~~Digital®~~and ~~Agency("Amplified"),~~Chief ~~our~~Executive ~~digital~~Officer ~~marketing services agency, offers a full suite of digital marketing solutions to local advertisers.~~Transition

~~•BLOX~~In ~~Digital~~connection ~~(formerly~~with ~~known~~the asclosing ~~TownNews)~~of the private placement agreement, Kevin Mowbray, our ~~software~~President asand aChief ~~service~~Executive Officer, entered into an agreement to voluntarily retire from his positions at the Company and its subsidiaries and affiliates. Pursuant to this agreement, we have agreed to pay (~~SaaS~~i) ~~content~~a ~~platform,~~severance ispayment ~~one~~to Mr. Mowbray of ~~the~~$1,500,000 ~~largest~~payable ~~web~~in thirty-~~hosting~~six installments and ~~content~~(ii) ~~management~~COBRA ~~SaaS~~medical ~~providers~~premiums infor ~~North~~a ~~America~~period of 18 months for Mr. ~~BLOX~~ ~~Digital~~Mowbray ~~represents~~and ahis ~~powerful~~spouse. ~~opportunity~~In addition, Mr. Mowbray agreed to ~~drive~~provide ~~additional~~consultation, ~~digital~~advice ~~revenue~~and byassistance ~~providing~~in ~~state-~~the transition and operation of- the~~-art~~ ~~web~~Company’s ~~hosting~~business ~~and~~as ~~content~~reasonably ~~management~~requested ~~services~~by tothe ~~more~~Company ~~than~~through 2May 31,~~000~~ ~~customers~~2026. ~~who~~In ~~rely~~connection onwith ~~BLOX~~the ~~Digital~~closing ~~for~~and ~~their~~the ~~web,~~planned ~~over-~~retirement of the~~-top~~ ~~display~~Chief Executive Officer, ~~mobile~~Nathan Bekke, ~~video~~our ~~and~~current ~~social~~Chief ~~media~~Operating ~~products~~Officer, assumed the role of Interim Chief Executive Officer.

WeVice ~~generate revenue primarily through advertising and marketing services~~President, ~~subscriptions~~Chief toFinancial ~~our~~Officer ~~digital and print products, and digital services, primarily through our majority-owned subsidiary, BLOX Digital.~~Transition

~~STRATEGY~~On November 17, 2025, Timothy R. Millage, Vice President, Chief Financial Officer informed us of his decision to resign from his positions with us to pursue an opportunity in church ministry. His resignation became effective February 3, 2026, and he has agreed to provide consulting services to the Company through May 31, 2026. In connection with Mr. Millage’s resignation, we and Mr. Millage entered into a separation agreement, dated November 20, 2025 (the “Separation Agreement”). Under the terms of the Separation Agreement, Mr. Millage will receive (a) his full compensation through the end of his consulting role, (b) a severance payment equaling twenty-six weeks of his base salary, (c) the vesting of all unvested stock awards on February 3, 2026, and (d) survival of the indemnification terms under his employment agreement and indemnity agreement. The Separation Agreement also includes customary

We are a major subscription and advertising platform, a trusted local news provider and innovative, digitally-focused marketing solutions company. Our focus is on the local market - including local news and information, local advertising and marketing services to top local accounts, and digital services to local content curators. To align with the core strength of our Company, our operating strategy is locally focused around three pillars:

•Grow digital audiences by transforming the way we present local news and information.

•Expand our digital subscription base and revenue through audience growth and continued conversion of our massive digital audiences.

•Diversify and expand offerings for advertisers through our vast array of rapidly growing digital products, our large digitally adept sales force, and Amplified, our full-service digital agency.

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~~RESULTS~~non-compete, OFnon-solicitation, ~~OPERATIONS~~and release of claims provisions. We have initiated a search process to identify a new Chief Financial Officer. Joshua P. Rinehults, our current Vice President of Operations and Finance, has been appointed as Vice President, Interim Chief Financial Officer, and Treasurer, effective as of February 3, 2026.

~~Three~~New ~~Months~~Board ~~Ended June 29, 2025~~Chairman

~~Operating~~In ~~results~~connection ~~are~~with ~~summarized~~the ~~below~~closing of the private placement agreement, David Hoffmann was appointed to our board of directors for a term ending at our 2028 annual meeting. Additionally, pursuant to our second amended and restated bylaws, the board of directors appointed Mr. Hoffmann as Chairman, replacing Mary E. Junck, who previously served in the role. Ms. Junck is expected to remain a director on the Company’s board through the expiration of her term at the Company’s 2028 annual meeting.

(Thousands of Dollars, Except Per Common Share Data)	June 29, 2025	June 23, 2024	Percent Change
Operating revenue:
Print advertising revenue	17,474	18,941	(7.7)	%
Digital advertising revenue	49,097	49,903	(1.6)	%
Advertising and marketing services revenue	66,571	68,844	(3.3)	%
Print subscription revenue	38,076	47,605	(20.0)	%
Digital subscription revenue	23,482	20,701	13.4	%
Subscription revenue	61,558	68,306	(9.9)	%
Print other revenue	7,837	8,278	(5.3)	%
Digital other revenue	5,328	5,150	3.5	%
Other revenue	13,165	13,428	(2.0)	%
Total operating revenue	141,294	150,578	(6.2)	%
Operating expenses:
Compensation	47,436	59,278	(20.0)	%
Newsprint and ink	3,268	4,096	(20.2)	%
Other operating expenses	77,252	74,177	4.1	%
Depreciation and amortization	3,783	6,850	(44.8)	%
Assets gain on sales, impairments and other	(1,562)	(1,421)	9.9	%
Restructuring costs and other	7,141	3,795	88.2	%
Total operating expenses	137,318	146,775	(6.4)	%
Equity in earnings of associated companies	686	1,122	(38.9)	%
Operating income	4,662	4,925	(5.3)	%
Non-operating income (expense):
Interest expense	(10,132)	(10,082)	0.5	%
Pension and OPEB related benefit and other, net	1,050	617	70.2	%
Total non-operating expense, net	(9,082)	(9,465)	(4.0)	%
Loss before income taxes	(4,420)	(4,540)	(2.6)	%
Income tax benefit	(2,744)	(849)	NM
Net loss	(1,676)	(3,691)	(54.6)	%
Loss per common share:
Basic	(0.31)	(0.73)	(56.8)	%
Diluted	(0.31)	(0.73)	(56.8)	%

Credit Agreement Amendment

~~References~~Additionally, toconcurrently with the ~~“2025~~execution ~~Quarter”~~of ~~refer~~the private placement agreement, we entered into the Second Amendment to Credit Agreement. The amendments became operative concurrently with the ~~three~~closing ~~months~~of ~~ended~~the ~~June 29,~~private ~~2025~~placement agreement. ~~Similarly~~The amendments include, among ~~references~~other things, a reduction of the applicable margin on our 25-year term loan from 9.00% to 5.00% for a period of five years following the closing and amending the definition of “~~2024~~Excess ~~Quarter~~Cash Flow” ~~refer~~such tothat the ~~three~~minimum ~~months~~amount ~~ended~~of ~~June~~cash-on hand held by us before being deemed Excess Cash Flow would be equal to $64.0 ~~23,~~million ~~2024~~for a five year period following the closing.

~~Operating~~Rights ~~Revenue~~Agreement Amendment

~~Total~~On ~~operating~~February ~~revenue~~4, ~~was~~2026, ~~$141.3~~in ~~million~~connection inwith the ~~2025~~closing ~~Quarter,~~of ~~down~~the ~~$9.3~~private ~~million~~placement agreement, orthe ~~6.2%~~Board of Directors amended the termination date of the Rights Agreement to February 4, ~~compared~~2026, causing each Right to expire and to be extinguished and for the ~~2024~~Rights ~~Quarter~~Agreement to be terminated.

Financing costs

Costs related to the transaction are approximately $4.7 million and will offset the financing proceeds in "Additional Paid-in Capital" on the Consolidated Balance Sheets once the private placement is completed. $1.1 million in costs were paid by December 28, 2025 and are recorded as "Deferred Offering Costs" in the financing activity section of our Consolidated Statement of Cash Flows.

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~~Advertising~~Item ~~and marketing services revenue totaled $66~~2.6 Management's ~~million~~Discussion in the 2025 Quarter, down 3.3% compared to the 2024 Quarter. Print advertising revenues were $17.5 million in the 2025 Quarter, down 7.7% compared to the 2024 Quarter due to continued secular declines in demand for print advertising and ~~impacts~~Analysis ~~from the Cyber Incident, which limited capacity for print advertising for certain publications for a short period~~ of ~~time.~~Financial ~~Digital~~Condition ~~advertising~~ and ~~marketing~~Results ~~services totaled $49.1 million in the 2025 Quarter, down 1.6% compared to the 2024 Quarter. Digital advertising and marketing services represented 73.8%~~ of ~~the 2025 Quarter total advertising and marketing services revenue, compared to 72.5% in the same period last year.~~Operations

~~Subscription~~The ~~revenue~~following ~~totaled~~discussion ~~$61.6~~includes ~~million~~comments inand ~~the~~analysis ~~2025~~relating ~~Quarter, down 9.9% compared~~ to ~~the~~our ~~2024~~results ~~Quarter. Decline~~of inoperations ~~full~~and ~~access~~financial ~~volume,~~condition ~~consistent~~as ~~with~~of ~~historical~~ and ~~industry~~for ~~trends~~the ~~were~~three ~~partially~~months ~~offset~~ended byDecember 28, ~~selective~~2025. This ~~increases~~discussion onshould ~~our~~be ~~full~~read ~~access~~in ~~subscriptions,~~conjunction ~~and~~with ~~price~~the ~~increases~~Consolidated onFinancial ~~digital~~Statements ~~subscriptions. Digital-only~~and ~~subscribers~~related ~~now~~Notes ~~total 670~~thereto,~~000.~~ ~~Digital-only~~included ~~subscription~~herein, ~~revenue~~and ~~grew~~our ~~13.4%~~2025 ~~compared~~Annual toReport ~~the~~on ~~2024~~Form ~~Quarter~~10-K.

~~Other~~RECENT revenue, which primarily consists of commercial printing revenue and digital services from BLOX Digital, decreased $0.3 million, or 2.0%, in the 2025 Quarter compared to the 2024 Quarter. Digital services revenue totaled $5.3 million in the 2025 Quarter, a 3.5% increase compared to the 2024 Quarter. Commercial printing revenue totaled $4.2 million in the 2025 Quarter, a 4.9% decrease compared to the 2024 Quarter, primarily driven by reduction in print volumes from our partners.DEVELOPMENTS

~~Total~~PRIVATE ~~digital~~PLACEMENT ~~revenue~~FINANCING ~~including~~AND ~~digital~~RELATED ~~advertising~~AGREEMENTS revenue, digital subscription revenue and digital services revenue totaled $77.9 million in the 2025 Quarter, an increase of 2.8% over the 2024 Quarter, and represented 55.1% of our total operating revenue in the 2025 Quarter.

~~Equity~~Private inPlacement ~~earnings of TNI and MNI decreased $0.4 million in the 2025 Quarter.~~Agreement

~~Operating~~At ~~Expenses~~the closing of the private placement on February 5, 2026, we issued an aggregate of 16,000,000 shares of Common Stock, consisting of 15,384,615 shares of Common Stock to certain investors and 615,385 shares of Common Stock to service providers as reimbursement for certain expenses incurred by certain investors, at a price of $3.25 per share through the private placement. The aggregate gross proceeds from the private placement were approximately $50.0 million, before deducting offering expenses. We expect to use the net proceeds for working capital and for other general corporate purposes. Further, in connection with the closing, we amended our Certificate of Incorporation, increasing the number of authorized shares from 12,000,000 to 40,000,000.

~~Total~~Registration ~~operating~~Rights expenses were $137.3 million in the 2025 Quarter, a 6.4% decrease compared to the 2024 Quarter. Cash Costs, a non-GAAP financial measure used to summarize certain operating expense (see reconciliation of Non-GAAP financial measures below), were down 7.0% in the 2025 Quarter.Agreement

~~Compensation~~At ~~expense~~the ~~decreased~~closing, ~~$11.8~~in ~~million~~connection inwith the ~~2025~~private ~~Quarter~~placement agreement, orwe ~~20.0%,~~entered ~~compared~~into a registration rights agreement pursuant to ~~the~~which ~~2024~~we ~~Quarter~~will ~~from~~agree ~~reductions~~to inprovide ~~full~~certain ~~time~~customary ~~employees~~registration ~~("FTEs")~~rights, ~~due~~including the registration of the Shares for resale. We are required to ~~continued~~use ~~business~~commercially ~~transformation~~reasonable efforts, ~~partially~~to ~~offset~~file bya ~~investments~~registration instatement ~~digital~~with ~~talent~~the Securities and ~~higher~~Exchange ~~expenses~~Commission ~~related~~covering tothe resale by the ~~Company's~~investors ~~self-insured~~of ~~medical~~their ~~plan~~shares within 60 days following the closing.

~~Newsprint~~Credit ~~and~~Agreement ~~ink costs decreased $0.8 million in the 2025 Quarter, or 20.2%, compared to the 2024 Quarter. The decrease is attributable to declines in newsprint volumes.~~Amendment

~~Other~~Additionally, ~~operating~~concurrently ~~expenses~~with ~~increased~~the ~~$3.1~~execution ~~million~~of in the ~~2025~~private ~~Quarter,~~placement ~~or 4.1%~~agreement, ~~compared~~we toentered into the ~~2024~~Second ~~Quarter.~~Amendment ~~Other~~to ~~operating~~Credit ~~expenses~~Agreement. ~~include~~The ~~all~~amendments ~~operating~~became ~~costs~~operative ~~not~~concurrently ~~considered~~with tothe beclosing. ~~compensation,~~The ~~newsprint,~~amendments ~~depreciation~~include ~~and~~among ~~amortization~~other things, ora ~~restructuring~~reduction ~~costs~~of ~~and~~the ~~assets~~applicable ~~loss~~margin on ~~sales,~~our ~~impairments,~~25-year ~~and~~term ~~other,~~loan ~~net~~from 9.00% ~~The~~to ~~largest~~5.00% ~~components~~for ~~are~~a ~~costs~~period ~~associated~~of ~~with~~five ~~printing~~years following the closing and ~~distribution~~amending the definition of ~~our~~“Excess ~~printed~~Cash ~~products,~~Flow” ~~digital~~such ~~cost~~that the minimum amount of ~~goods~~cash-on-hand ~~sold~~held ~~and~~by ~~facility~~us ~~expenses.~~before ~~The~~being ~~increase~~deemed isExcess ~~attributable~~Cash toFlow ~~investments~~would be equal to ~~our~~$64.0 million ~~digital~~for ~~growth~~a period of five years.

~~Restructuring~~Rights ~~costs~~Agreement and other increased $3.3 million, or 88.2%, compared to the 2024 Quarter. The increase is primarily driven from costs associated with recovering from the Cyber Incident, closing down outsourced production facilities, ongoing business transformation efforts, and severance. Restructuring costs and other include severance costs, litigation expenses, restructuring expenses, cyber restoration costs, and advisor expenses.Amendment

~~Depreciation~~On ~~and~~February ~~amortization~~4, ~~expense~~2026, ~~decreased~~in ~~$3.1~~connection ~~million~~with the closing of the private placement, orthe ~~44.8%~~Board of Directors amended the termination date of the Rights Agreement to February 4, in2026, causing each Right to expire and to be extinguished and for the ~~2025~~Rights ~~Quarter~~Agreement to be terminated. ~~The~~See ~~decrease~~Note in12 ~~both~~of isthe ~~attributable~~unaudited tocondensed ~~assets~~consolidated ~~becoming~~financial ~~fully~~statements ~~depreciated~~for oradditional ~~amortized~~discussion.

~~Assets~~PRESIDENT ~~gain~~AND onCHIEF ~~sales,~~EXECUTIVE ~~impairments~~OFFICER ~~and other, was a net gain of $1.6 million in the 2025 Quarter compared to a net gain of $1.4 million in the 2024 Quarter. Assets gain on sales in both quarters were due to asset sales.~~ TRANSITION

~~The~~As ~~factors~~discussed ~~noted~~in ~~above~~Note ~~resulted~~12, in connection and concurrently with the closing of the private placement, Kevin Mowbray, our President and Chief Executive Officer, entered into an ~~operating~~agreement ~~income~~to voluntarily retire from his positions at the Company and its subsidiaries and affiliates. Pursuant to this agreement, we have agreed to pay (i) a severance payment to Mr. Mowbray of $41,500,000 payable in thirty-six installments and (ii) COBRA medical premiums for a period of 18 months for Mr.7 ~~million~~Mowbray and his spouse. In addition, Mr. Mowbray agreed to provide consultation, advice and assistance in the ~~2025~~transition ~~Quarter~~and ~~compared~~operation toof $4our business as reasonably requested by us through May 31, 2026.9 ~~million~~In inconnection with the ~~2024~~closing ~~Quarter~~and the planned retirement of the Chief Executive Officer, Nathan Bekke, our current Chief Operating Officer, assumed the role of Interim Chief Executive Officer.

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~~Non-operating~~VICE ~~Income~~PRESIDENT, ~~and~~CHIEF ~~Expense~~FINANCIAL OFFICER TRANSITION

~~Non-operating~~On ~~income~~November ~~and~~17, ~~expense~~2025, ~~decreased~~Timothy ~~by $0~~R.4 ~~million~~Millage, orVice ~~4.0%.~~President, ~~The~~Chief ~~decrease~~Financial isOfficer ~~primarily~~informed ~~driven~~us byof his decision to resign from his positions with us to pursue an ~~increase~~opportunity in ~~Pension~~church ministry. His resignation became effective February 3, 2026, and ~~OPEB~~he ~~related~~has ~~benefits~~agreed ~~offset~~to byprovide anconsulting ~~increase~~services into ~~Interest~~the ~~expense~~Company ofthrough ~~$0.1~~May ~~million~~31, or2026. 0In connection with Mr.5% Millage’s resignation, towe ~~$10~~and Mr.1 ~~million~~Millage inentered ~~the~~into ~~2025~~a ~~Quarter~~separation agreement, ~~compared~~dated toNovember 20, 2025 (the ~~same~~“Separation ~~Quarter~~Agreement”). ~~last~~Under ~~year~~the terms of the Separation Agreement, Mr. ~~The~~Millage ~~increase~~will toreceive ~~interest~~(a) ~~expense~~his ~~was~~full ~~due~~compensation tothrough the ~~interest~~end ~~and~~of ~~rent~~his ~~waivers~~consulting ~~received~~role, in(b) ~~the~~a ~~second~~severance ~~quarter~~payment ~~which~~equaling ~~was~~twenty-six ~~added~~weeks toof his base salary, (c) the ~~outstanding~~vesting ~~balance~~of all unvested stock awards on ~~our~~February ~~Term~~3, ~~Loan~~2026, and (d) survival of the indemnification terms under his employment agreement and indemnity agreement. ~~Our~~ ~~weighted~~The ~~average~~Separation ~~cost~~Agreement also includes customary non-compete, non-solicitation, and release of ~~debt~~claims ~~was~~provisions. 9%We athave initiated a search process to identify a new Chief Financial Officer. Josh Rinehults, the ~~end~~Company’s current Vice President of ~~the~~Operations ~~2025~~and ~~Quarter~~Finance, has been appointed as Vice President, Interim Chief Financial Officer, and ~~2024~~Treasurer, ~~Quarter~~effective as of February 3, 2026.

~~Income~~EXECUTIVE ~~Tax Benefit~~OVERVIEW

WeRESULTS ~~recorded~~OF ~~an income tax benefit of $2.7 million, or 61.4% of pretax loss in the 2025 Quarter. In the 2024 Quarter, we recognized an income tax benefit of $0.8 million, or 18.7% of pretax loss.~~OPERATIONS

~~Net~~For ~~loss~~the three months ended December 28, 2025, our total operating revenue was $130.1 million, down 10.0% from the three months ended December 29, 2024. Total Digital Revenue was $70.3 million and ~~Loss~~represented ~~Per~~54.1% ~~Share~~of our total operating revenue. Total Print Revenue was $59.7 million, a 16.1% decrease to the three months ended December 29, 2024. We continued to deliver positive performance in our digital-only subscription business totaling $22.7 million, driving year-over-year revenue growth of 5.3%. Another key piece of our digital business, Amplified Digital® agency revenue totaled $23.6 million in the quarter.

~~Net~~Operating ~~loss~~expenses ~~was~~totaled $1125.7 9 million and ~~diluted~~Cash ~~loss~~Costs ~~per~~(a ~~share~~non-GAAP ~~were~~financial measure) totaled $0121.312 million, ~~for~~a ~~the~~15.5% ~~2025~~decrease ~~Quarter~~and a 12.5% decrease, respectively, compared to ~~net~~the ~~loss~~three ofmonths ~~$3.7~~ended ~~million~~December 29, ~~and~~2024 ~~diluted~~due ~~losses~~to ~~per~~continued ~~share~~strong ofcost management, particularly in legacy revenue streams. Operating expenses during the quarter included $02.730 million ~~for~~in business interruption insurance reimbursements related to the ~~2024~~Cyber ~~Quarter~~claim. The ~~change~~remaining ~~reflects~~business-interruption ~~the~~claims ~~various~~remain ~~items~~under ~~discussed~~review. ~~above~~See Note 10 for further discussion.

Net loss totaled $5.1 million and Adjusted EBITDA (a non-GAAP financial measure) totaled $12.3 million, a 68% and 61% increase, respectively, due primarily to the cost reduction actions noted above. Net loss for the quarter included $2.0 million in insurance reimbursements discussed above.

Cash on the balance sheet totaled $12.6 million. Debt, net of cash on the balance sheet, totaled $443 million. Since May 2025, we have satisfied all principal and interest payments through organic free cash flow generation.

STRATEGY

We are a leading digital-first subscription and marketing services company committed to delivering high-quality, trusted, and deeply local news and information. Our mission is to strengthen and enrich the communities we serve by providing compelling local content, superior subscriber experiences, and innovative, data-driven advertising and marketing solutions. Through a premium, high-margin portfolio of digital products and marketing services — including owned-and-operated platforms, branded content, over-the-top advertising, AI-powered solutions, and targeted print — we enable more than 15,000 local advertisers to meaningfully engage customers, strengthen their brands, and accelerate growth.

Our core strategy is to expand audiences and deepen engagement by delivering robust, hyper-local content that informs and connects our communities. We are committed to creating, collecting, and distributing trusted local news and information across platforms designed to meet audiences wherever they are — print, web, mobile, social, and emerging channels. At the same time, we are investing in world-class digital products that elevate the subscriber experience through personalization, seamless access, and continuous innovation.

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~~Nine~~RESULTS ~~Months~~OF ~~Ended June 29, 2025~~OPERATIONS

Three Months Ended December 28, 2025

Operating results are summarized below.

(Thousands of Dollars, Except Per Common Share Data)	~~June~~December 2928, 2025	~~June~~December 2329, 2024	Percent Change		~~Percent Change~~
Operating revenue:
Print advertising revenue	5317,~~867~~191	6219,~~118~~861	(13.4)	%	~~(13.3)~~	%
Digital advertising revenue	~~139~~42,~~766~~795	~~141~~46,~~747~~729	(8.4)	%	~~(1.4)~~	%
Advertising and marketing services revenue	~~193~~59,~~633~~986	~~203~~66,~~865~~590	(9.9)	%	~~(5.0)~~	%
Print subscription revenue	~~122~~34,~~587~~996	~~148~~43,~~443~~432	(19.4)	%	~~(17.4)~~	%
Digital subscription revenue	6822,~~836~~706	6021,~~429~~565	5.3	%	~~13.9~~	%
Subscription revenue	~~191~~57,~~423~~702	~~208~~64,~~872~~997	(11.2)	%	~~(8.4)~~	%
Print other revenue	227,~~938~~546	247,~~839~~888	(4.3)	%	~~(7.7)~~	%
Digital other revenue	154,~~241~~828	155,~~230~~087	(5.1)	%	~~0.1~~	%
Other revenue	3812,~~179~~374	4012,~~069~~975	(4.6)	%	~~(4.7)~~	%
Total operating revenue	~~423~~130,~~235~~062	~~452~~144,~~806~~562	(10.0)	%	~~(6.5)~~	%
Operating expenses:
Compensation	~~164~~49,~~349~~433	~~175~~60,~~757~~254	(18.0)	%	~~(6.5)~~	%
Newsprint and ink	92,~~996~~963	133,~~101~~616	(18.1)	%	~~(23.7)~~	%
Other operating expenses	223,387	221,247			1.0	%
Insurance proceeds	(2,000)	—	100.0	%
Depreciation and amortization	15,218	21,438			(29.0)	%
Other operating expenses	68,814	74,680	(7.9)	%
Assets loss (gain) on sales, impairments and other	(2,365)	4,727			NM
Depreciation and amortization	3,579	6,265	(42.9)	%
Restructuring costs and other	18,806	12,199			54.2	%
Assets gain on sales, impairments and other	(3)	(929)	(99.7)	%
Total operating expenses	429,391	448,469			(4.3)	%
Restructuring costs and other	3,148	5,150	(38.9)	%
Equity in earnings of associated companies	2,963	3,869			(23.4)	%
Total operating expenses	125,934	149,036	(15.5)	%
Operating (loss) income	(3,193)	8,206			NM
Equity in earnings of associated companies	1,080	1,122	(3.7)	%
Non-operating income (expense):
Operating income	5,208	(3,352)	***
Interest expense	(30,365)	(30,427)			(0.2)	%
Non-operating income (expense):
Pension and OPEB related benefit and other, net	2,362	1,096			NM
Interest expense	(10,248)	(10,282)	(0.3)	%
Curtailment/Settlement gains	—	3,593			NM
Pension and other post employment benefits ("OPEB") related and other, net	845	653	29.4	%
Total non-operating expense, net	(289,~~003~~403)	(259,~~738~~629)	(2.3)	%	~~8.8~~	%
Loss before income taxes	(314,~~196~~195)	(1712,~~532~~981)	(67.7)	%	~~77.9~~	%
Income tax expense (benefit)	(1,281)	(3,438)			(62.7)	%
Income tax benefit	931	3,243	(71.3)	%
Net loss	(295,~~915~~126)	(1416,~~094~~224)	(68.4)	%	NM
Loss per common share:
Basic	(50.1692)	(2.6880)	(67.2)	%	~~92.7~~	%
Diluted	(50.1692)	(2.6880)	(67.2)	%	~~92.7~~	%

~~References~~*** toIndicates ~~the~~an ~~“2025~~absolute ~~Period”~~value ~~refer~~percentage tochange ~~the~~greater ~~nine~~than ~~months ended June 29, 2025~~100. ~~Similarly, references to the “2024 Period” refer to the nine months ended June 23, 2024.~~

Operating Revenue

Total operating revenue was $130.1 million in the three months ended December 28, 2025, down $14.5 million, or 10.0%, compared to the the three months ended December 29, 2024.

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~~Operating~~Advertising ~~Revenue~~and marketing services revenue totaled $60.0 million in the three months ended December 28, 2025, down 9.9% compared to the three months ended December 29, 2024. Print advertising revenues were $17.2 million in the three months ended December 28, 2025, down 13.4% compared to the three months ended December 29, 2024 related to continued secular declines in demand for print advertising. Digital advertising and marketing services totaled $42.8 million in the three months ended December 28, 2025, down 8.4% compared to the three months ended December 29, 2024. Digital advertising and marketing services represented 71.3% of the three months ended December 28, 2025 total advertising and marketing services revenue, compared to 70.2% in the same period last year.

~~Total~~Subscription ~~operating~~ revenue ~~was~~totaled $~~423~~57.27 million in the three ~~2025~~months ~~Period~~ended December 28, 2025, down $11.2% compared to the three months ended December 29, 2024.6 Declines ~~million~~in volumes, orconsistent 6with historical and industry trends were partially offset by strategic rate increases. Digital-only subscribers now total 609,000 as December 28, 2025. Digital-only subscription revenue grew 5.3%, compared to the ~~2024~~the ~~Period~~three months ended December 29, 2024.

~~Advertising~~Other ~~and marketing services~~ revenue, ~~totaled~~which ~~$193.6~~primarily ~~million~~consists inof ~~the~~commercial ~~2025~~printing ~~Period,~~revenue ~~down~~and ~~5.0%~~digital ~~compared~~services tofrom ~~the~~BLOX ~~2024~~Digital, ~~Period.~~decreased ~~Print advertising revenues were~~ $530.96 million, or 4.6%, in the ~~2025~~three ~~Period,~~months ~~down~~ended ~~13.3%~~December 28, 2025 compared to the ~~2024~~three ~~Period~~months ~~due~~ended toDecember 29, ~~continued~~2024. Digital ~~secular~~services ~~declines~~revenue intotaled ~~demand~~$4.8 ~~for~~million ~~print~~in ~~advertising~~the three ~~and~~months ~~impacts~~ended ~~from~~December 28, ~~the Cyber Incident~~2025, ~~which~~a ~~limited~~5.1% ~~capacity~~decrease ~~for~~compared ~~print~~to ~~advertising~~the ~~for~~three ~~certain~~months ~~publications~~ended ~~for~~December 29, ~~a short period of time~~2024. Commercial ~~Digital~~printing ~~advertising~~revenue ~~and marketing services~~ totaled $~~139~~3.89 million in the three ~~2025~~months ~~Period~~ended December 28, ~~down~~2025, 1a 5.47% decrease compared to the ~~2024~~three ~~Period.~~months ~~Digital~~ended ~~advertising~~December 29, ~~and~~2024, ~~marketing~~primarily ~~services~~driven ~~represented~~by ~~72.2%~~lower ofprint ~~the~~volumes ~~2025~~from ~~Period~~our ~~total advertising and marketing services revenue, compared to 69~~partners.~~5% during the 2024 Period.~~

~~Subscription~~Total digital revenue ~~totaled~~including ~~$191.4~~digital ~~million~~advertising inrevenue, ~~the~~digital ~~2025~~subscription ~~Period,~~revenue ~~down~~and ~~8.4%~~digital ~~compared~~services torevenue ~~the~~totaled ~~2024 Period~~$70. ~~Decline~~3 million in ~~full~~the ~~access~~three ~~volume,~~months ~~consistent~~ended ~~with~~December 28, ~~historical~~2025, ~~and~~a ~~industry~~decrease ~~trends~~of ~~were~~4.2% ~~partially~~over ~~offset~~the bythree ~~selective~~months ~~increases~~ended onDecember 29, ~~our full access subscriptions~~2024, and ~~price~~represented ~~increases on digital subscriptions~~54.1% ~~Digital-only~~of ~~subscribers~~our ~~now~~ total ~~670,000.~~operating ~~Digital-only subscription~~ revenue ~~grew~~in ~~14.0%~~the ~~compared~~the tothree ~~the~~months ~~2024~~ended ~~Period.~~December 28, 2025

~~Other~~Equity ~~revenue,~~in ~~which~~earnings ~~primarily consists~~ of ~~commercial~~TNI ~~printing revenue~~ and ~~digital~~MNI ~~services from BLOX Digital, decreased $1.9 million, or 4.7%,~~ in the ~~2025 Period compared to the 2024 Period.~~ ~~Digital~~three ~~services~~months ~~revenue~~ended ~~totaled~~December 28, ~~$15.2 million in the~~ 2025 ~~Period,~~is aessentially ~~0.1%~~flat ~~increase compared~~ to the ~~2024~~three ~~Period. Commercial~~months ~~printing~~ended ~~revenue totaled $12.1 million in the 2025 Period~~December 29, ~~a 8.0% decrease compared to the~~ 2024 ~~Period, primarily driven by reductions in print volumes from our partners~~.

Total digital revenue including digital advertising revenue, digital subscription revenue and digital services revenue totaled $223.8 million in the 2025 Period, an increase of 3.0% over the 2024 Period, and represented 52.9% of our total operating revenue in the 2025 Period.

Equity in earnings of TNI and MNI decreased $0.9 million in the 2025 Period.

Operating Expenses

Total operating expenses were $~~429~~125.49 million in the ~~2025~~three ~~Period~~months ended December 28, 2025, a 415.35% decrease compared to the ~~2024~~three ~~Period.~~months ended December 29, 2024. Cash Costs, a non-GAAP financial measure used to summarize certain operating expense (see reconciliation of Non-GAAP financial measures below), were down 312.05% in the three months ended December 28, 2025. These ~~Period~~decreases were primarily due to cost reduction actions put in place in year ended September 28, 2025.

Compensation expense decreased $1110.48 million in the ~~2025~~three ~~Period~~months ended December 28, 2025, or 618.50%, compared to the ~~2024~~three ~~Period~~months ended December 29, 2024 from reductions in full time employees ~~("FTEs")~~ due to continued business transformation efforts~~, partially offset by investments in digital talent and higher expenses related to the Company's self-insured medical plan~~.

Newsprint and ink costs decreased $30.17 million in the ~~2025~~three ~~Period~~months ended December 28, 2025, or 2318.71%, compared to the ~~2024~~three ~~Period~~months ended December 29, 2024. The decrease is attributable to declines in newsprint volumes and delivery costs.

Other operating expenses ~~increased~~decreased $25.19 million in the three ~~2025~~months ~~Period~~ended December 28, 2025, or 17.09%, compared to the ~~2024~~three ~~Period~~months ended December 29, 2024. Other operating expenses include all operating costs not considered to be compensation, newsprint, depreciation and amortization, or restructuring costs and assets loss ~~(gain)~~ on sales, impairments, and other, net. The largest components are costs associated with printing and distribution of our printed products, digital cost of goods sold and facility expenses. ~~The increase is attributable to investments to our digital growth.~~

Restructuring costs and other ~~increased~~decreased $62.60 million, or 38.9% in the ~~2025~~three ~~Period~~months ended December 28, 2025, compared to the ~~2024~~three ~~Period~~months ended December 29, 2024. The ~~increase~~prior isyear ~~primarily~~quarter ~~driven~~included ~~from~~significant costs associated with ~~recovering from~~ the ~~Cyber~~shutdown ~~Incident,~~of ~~closing~~one ~~down~~of ~~outsourced~~our production facilities~~, ongoing business transformation efforts, and severance~~. ~~Restructuring costs and other include severance costs, litigation expenses, restructuring expenses, cyber restoration costs, and advisor expenses.~~

Depreciation and amortization expense decreased $6.2.7 million ~~in the 2025 Period~~, or 2942.09%, ~~compared~~in to the ~~2024~~three ~~Period~~months ended December 28, 2025. The decrease in both is attributable to assets ~~becoming~~being fully depreciated or amortized.

Assets loss (gain) on sales, impairments and other, was a net gain of $2.4 million in the 2025 Period compared to a net loss of $4.7 million in the 2024 Period. Assets loss (gain) on sales, impairments and other in the 2024 Period were primarily due to non-cash charges of $7.6 million that were recorded to reduce the carrying value of

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~~mastheads, which are non-amortized intangible assets.~~ Assets gain on sales, impairments and other, was de minimis in the three ~~2025~~months ~~Period~~ended ~~were~~December 28, ~~the~~2025 ~~result~~(a net gain of ~~the~~$0.0 ~~disposition~~million) compared to a net gain of ~~non-core~~$0.9 ~~assets,~~million ~~including~~in ~~real~~the ~~estate~~the three months ended December 29, 2024.

~~The~~Total ~~factors noted above resulted in an~~ operating ~~loss~~expenses ofduring ~~$3.2 million in~~ the ~~2025~~quarter ~~Period~~included ~~compared to operating income of~~ $8.2 .0 million in ~~the~~business ~~2024~~interruption ~~Period~~reimbursements.

The factors noted above resulted in an operating income of $5.2 million in the three months ended December 28, 2025 compared to an operating loss of $3.4 million in the three months ended December 29, 2024.

Non-operating Income and Expense

~~Interest~~Non-operating income and expense decreased by $0.12 million, or 0.2.3%~~, to $30~~.4 ~~million in the 2025 Period, compared to the same period last year.~~ The decrease ~~was~~is ~~due~~primarily todriven aby ~~lower~~an ~~average~~increase ~~outstanding~~in ~~balance~~Pension onand ~~our~~OPEB ~~Term~~related ~~Loan~~benefits. Our weighted average cost of debt was 9% at the end of both the three ~~2025~~months ~~Period~~ended December 28, 2025 and ~~2024~~the ~~Period~~three months ended December 29, 2024.

Other non-operating income and expense consists of benefits associated with our pension and other postretirement plans. We recorded $2.2 million of periodic pension and other postretirement benefits in the 2025 Period compared to $4.7 million in the 2024 Period. The decrease was attributable due to the Company recognizing a non-cash curtailment gain of $1.2 million in the 2024 Period as a result of outsourcing certain postemployment defined benefit plan functions. Additionally, during the 2024 Period, the Company completed a voluntary lump sum payment of future benefits to terminated vested participants. The offer was accepted by 522 participants, representing a $22.6 million pension plan liability. As a result of the offer, a non-cash settlement gain of $2.4 million was recorded in Curtailment/Settlement gain on the Consolidated Statements of Loss and Comprehensive Loss. Both assets and liabilities of the plan were reduced by $22.6 million.

Income Tax Benefit

We recorded an income tax expense of $10.39 million, or 4(21.14)% of pretax loss in the ~~2025~~three ~~Period.~~months ended December 28, 2025. In the ~~2024~~three ~~Period~~months ended December 29, 2024, we ~~recognized~~recorded an income tax ~~benefit~~expense of $3.42 million, or 19(25.60)% of pretax loss.

Net loss and Loss Per Share

Net loss was $295.91 million and diluted loss per share were $50.1692 for the three ~~2025~~months ~~Period~~ended December 28, 2025 compared to net loss of $1416.12 million and diluted losses per share of $2.6880 for the ~~2024~~the ~~Period~~three months ended December 29, 2024. The change reflects the various items discussed above.

NON-GAAP FINANCIAL MEASURES

We use non-GAAP financial performance measures to supplement the financial information presented on a GAAP basis. These non-GAAP financial measures should not be considered in isolation or as a substitute for the relevant GAAP measures and should be read in conjunction with information presented on a GAAP basis.

In this report, we present Adjusted EBITDA and Cash Costs which are non-GAAP financial performance measures that exclude from our reported GAAP results the impact of certain items consisting primarily of restructuring charges and non-cash charges. We believe such expenses, charges and gains are not indicative of normal, ~~ongoing~~on-going operations, and their inclusion in results makes for more difficult comparisons between years and with peer group companies. In the future, however, we are likely to incur expenses, charges and gains similar to the items for which the applicable GAAP financial measures have been adjusted and to report non-GAAP financial measures excluding such items. Accordingly, exclusion of those or similar items in our non-GAAP presentations should not be interpreted as implying the items are non-recurring, infrequent, or unusual.

We define our non-GAAP measures, which may not be comparable to similarly titled measures reported by other companies, as follows:

Adjusted EBITDA is a non-GAAP financial performance measure that enhances financial statement users' overall understanding of ~~the~~our operating performance ~~of the Company~~. The measure isolates unusual, infrequent, or non-cash transactions from the operating performance of the business. This allows users to easily compare operating performance among various fiscal periods and how management measures the performance of the business. This measure also provides users with a benchmark that can be used when forecasting our future operating performance ~~of the Company~~ that excludes unusual, nonrecurring or one-time transactions. Adjusted EBITDA is also a component of the calculation used by stockholders and analysts to determine the value of our business when using the market approach, which applies a market multiple to financial metrics. It is also a measure used to calculate ~~the~~our leverage ratio ~~of the Company~~, which is a key financial ratio monitored and used by us and our investors. Adjusted EBITDA is defined as net income (loss), plus non-operating expenses, net, income tax expense (benefit), depreciation and amortization, assets loss (gain) on sales, impairments and other, restructuring costs and other, stock compensation and our 50% share of EBITDA from TNI and MNI, minus equity in earnings of TNI and MNI.

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byCash ~~the~~Costs ~~Company~~represent a non-GAAP financial performance measure of operating expenses which are measured on an accrual basis and ~~its~~settled ~~investors~~in cash. ~~Adjusted~~ ~~EBITDA~~This measure is ~~defined~~useful asto ~~net~~investors ~~income~~in ~~(loss),~~understanding ~~plus~~the ~~non~~components of our cash-settled operating ~~expenses~~costs. Generally, ~~income~~we ~~tax~~provide ~~expense,~~forward-looking ~~depreciation~~guidance ~~and~~of ~~amortization~~Cash Costs, ~~assets~~which ~~loss~~can ~~(gain)~~be onused ~~sales,~~by ~~impairments~~financial ~~and~~statement ~~other,~~users ~~restructuring~~to ~~costs~~assess ~~and~~our ~~other,~~ability ~~stock~~to ~~compensation~~manage and ~~our~~control ~~50%~~its ~~share~~operating ofcost ~~EBITDA~~structure. ~~from~~Cash ~~TNI~~Costs ~~and~~are ~~MNI~~defined as compensation, ~~minus~~newsprint ~~equity~~and inink ~~earnings~~and ofother ~~TNI~~operating expenses and ~~MNI~~exclude restructuring costs and other, which are typically settled in cash.

Cash Costs represent a non-GAAP financial performance measure of operating expenses which are measured on an accrual basis and settled in cash. This measure is useful to investors in understanding the components of the Company’s cash-settled operating costs. Generally, the Company provides forward-looking guidance of Cash Costs, which can be used by financial statement users to assess the Company's ability to manage and control its operating cost structure. Cash Costs are defined as compensation, newsprint and ink and other operating expenses. Depreciation and amortization, assets loss (gain) on sales, impairments and other, other non-cash operating expenses and other expenses are excluded. Cash Costs also exclude restructuring costs and other, which are typically settled in cash.

Adjusted EBITDA and Cash Costs are reconciled to net income (loss) and operating expenses, below, the closest comparable numbers under GAAP.

RECONCILIATION OF NON-GAAP FINANCIAL MEASURES

(UNAUDITED)

The table below reconciles the non-GAAP financial performance measure of Adjusted EBITDA to net income, the most directly comparable GAAP measure:

Three months ended

~~Nine months ended~~

(Thousands of Dollars)

~~June~~December 2928, 2025

~~June~~December 2329, 2024

~~June 29, 2025~~

~~June 23, 2024~~

Net loss

(15,~~676~~126)

(316,~~691~~224)

~~(29,915)~~

~~(14,094)~~

Adjusted to exclude

Income tax benefit

(2,744)

(849)

(1,281)

(3,438)

Income tax expense

931

3,243

Non-operating expenses, net

9,~~082~~403

9,~~465~~629

~~28,003~~

~~25,738~~

Equity in earnings of TNI and MNI

(~~686~~1,080)

(1,122)

~~(2,963)~~

~~(3,869)~~

Depreciation and amortization

3,~~783~~579

6,~~850~~265

~~15,218~~

~~21,438~~

Restructuring costs and other

73,~~141~~148

35,~~795~~150

~~18,806~~

~~12,199~~

Assets (gain) loss on sales, impairments and other, net

(1,562)

(1,421)

(2,365)

4,727

Assets gain on sales, impairments and other, net

(3)

(929)

Stock compensation

~~540~~328

~~474~~430

~~1,328~~

~~1,189~~

Add:

Ownership share of TNI and MNI EBITDA (50%)

1,~~066~~101

1,~~323~~167

~~3,488~~

~~4,644~~

Adjusted EBITDA

1412,~~944~~281

147,~~824~~609

~~30,319~~

~~48,534~~

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The table below reconciles the non-GAAP financial performance measure of Cash Costs to Operating expenses, the most directly comparable GAAP measure:

Three months ended

~~Nine months ended~~

(Thousands of Dollars)

~~June~~December 2928, 2025

~~June~~December 2329, 2024

~~June 29, 2025~~

~~June 23, 2024~~

Operating expenses

~~137~~125,~~318~~934

~~146~~149,~~775~~036

~~429,391~~

~~448,469~~

Adjustments

Depreciation and amortization

3,~~783~~579

6,~~850~~265

~~15,218~~

~~21,438~~

Assets (gain) loss on sales, impairments and other, net

(1,562)

(1,421)

(2,365)

4,727

Assets gain on sales, impairments and other, net

(3)

(929)

Restructuring costs and other

73,~~141~~148

35,~~795~~150

~~18,806~~

~~12,199~~

Cash Costs

127,956

137,551

397,732

410,105

Insurance proceeds

(2,000)

—

Cash Costs

121,210

138,550

LIQUIDITY AND CAPITAL RESOURCES

A summary of our cash flows is included in the narrative below.

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Operating Activities

Cash ~~required~~provided ~~for~~by operating activities totaled $04.85 million in the ~~2025~~three ~~Period~~months ended December 28, 2025 compared to cash ~~provided~~used by operating activities of $17.43 million in ~~2024~~the ~~Period~~three months ended December 29, a2024, ~~decrease~~an increase of $011.68 million. The ~~decrease~~increase was primarily driven by aan ~~decrease~~increase in operating results of $248.13 million (defined as net loss adjusted for non-working capital items), ~~partially offset by non-cash interest expense of $10.1 million~~ and an increase in working capital of $133.45 million. The increase in working capital is primarily related to ~~the~~elevated ~~cyber~~prepaid ~~incident,~~offering ~~which~~costs ~~increased~~and ~~both~~accrued ~~accounts~~liabilities ~~payable~~related ~~and~~to ~~accounts~~the ~~receivable~~private offering transaction.

Investing Activities

Cash ~~provided~~used byin investing activities totaled $50.18 million in the three ~~2025~~months ~~Period~~ended December 28, 2025 compared to cash provided by investing activities of $03.59 million in the ~~2024~~in ~~Period. 2025~~the ~~Period~~three ~~and~~months ended December 29, 2024. The ~~Period~~three ~~included~~months ~~$8.7~~ended ~~million~~December 29, ~~and~~2024 included $75.14 million, ~~respectively,~~ in proceeds from the sale of assets as ~~the~~we ~~Company~~ divested non-core real estate.

We anticipate that funds necessary for capital expenditures, which are expected to total up to $7.0 million in 2025, and other requirements, will be available from internally generated funds.

Financing Activities

Cash required for financing activities ~~totaled~~was $1.41 million infor the ~~2025~~three ~~Period~~months ~~compared~~ended toDecember ~~$3.0~~28, ~~million~~2025 ~~required~~due into ~~the~~offering ~~2024~~costs ~~Period.~~that ~~The~~will ~~Debt~~offset ~~reduction~~the ~~accounted~~proceeds ~~for~~from ~~nearly all~~ the ~~usage~~private ~~of funds in both periods~~placement.

Additional Information on Liquidity

~~Our~~PRIVATE ~~liquidity,~~PLACEMENT ~~consisting~~FINANCING ofAND ~~cash~~RELATED on the balance sheet, totaled $14.1 million on June 29, 2025. This liquidity amount excludes any future cash flows from operations. For the nine months ending June 29, 2025, cash provided by operating activities totaled $0.8 million. The current operating environment, business transformation spending, and impacts from the Cyber Incident have reduced net cash flows and put pressure on the Company's liquidity. In response to the current challenges, the Company has implemented specific plans to maintain sufficient liquidity for the foreseeable future. AGREEMENTS

~~The~~As ~~Company's~~discussed ~~plan~~in ~~includes~~Note ~~reducing~~12, ~~operating~~on ~~and~~December ~~capital~~30, ~~spending~~2025, we entered into an agreement pursuant to which we agreed to issue and ~~reducing~~sell ~~outstanding~~an ~~accounts~~aggregate ~~receivable~~of 15,384,615 shares of our common stock at a purchase price of $3.25 ~~Reductions~~per share in ~~operating~~a ~~expenses~~private ~~and~~placement. ~~capital~~The ~~spending~~aggregate ~~largely~~gross ~~impact~~proceeds from the ~~Company's~~private ~~print~~placement ~~businesses~~are ~~and~~expected ~~future~~to ~~products~~be ~~that~~approximately ~~are~~$50.0 million, ~~not~~before ~~generating~~deducting ~~revenue~~offering ~~today~~expenses. ~~Due~~We expect to use the ~~cyber~~net ~~incident~~proceeds for working capital and infor another ~~effort~~general tocorporate ~~improve~~purposes. Our liquidity, consisting of cash on the ~~Company~~balance ~~was~~sheet, ~~granted~~totaled ~~waivers~~$12.6 ofmillion ~~interest~~on December 28, 2025. This liquidity amount excludes any future cash flows from operations. For the three months ending December 28, 2025, cash provided by operating activities totaled $4.5 million. The current operating environment, business transformation spending, and ~~rent~~impacts from the Cyber Incident have reduced net cash flows and put pressure on our liquidity. In response to the current challenges, we have implemented specific plans to maintain sufficient liquidity for ~~three~~the foreseeable future, including for at least the next 12 months.

~~The~~Our ~~Company~~plan ~~executed~~includes ~~its~~reducing ~~plan~~operating inand ~~the~~capital 13spending ~~weeks~~and ~~ended~~reducing ~~June 29,~~outstanding ~~2025,~~accounts ~~resulting~~receivable. Reductions in anoperating ~~improvement~~expenses inand ~~operating~~capital ~~results~~spending ~~(defined~~largely asimpact ~~net~~our ~~loss~~print ~~adjusted~~businesses ~~for~~and ~~non-working~~future ~~capital~~products ~~items).~~that ~~This~~are ~~improvement~~not ~~marked~~generating arevenue ~~significant~~today.

24We executed our plan in the quarter ended December 28, 2025, resulting in an improvement in operating results (defined as net loss adjusted for non-working capital items). This improvement marked a significant milestone in the cyber recovery, as all mandatory and principal payments were funded through cash from operations since May 2025. We anticipate the improvement to continue into future quarters.

~~Table~~Please see “Recent Developments” for discussion of ~~Contents~~the Credit Agreement Amendment, which became operative upon the closing of the private placement.

milestone in the cyber recovery, as since May 2025 all mandatory and principal payments were funded through cash from operations. The Company anticipates the improvement to continue into future quarters.

CHANGES IN LAWS AND REGULATIONS

Wage Laws

The United States and various state and local governments are considering increasing their respective minimum wage rates. Most of our employees are paid more than the current United States or state minimum wage rates. However, until changes to such rates are enacted, the impact of the changes cannot be determined.

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Item 3. Controls and Procedures

EVALUATION OF DISCLOSURE CONTROLS AND PROCEDURES

~~There~~Under ~~have~~the ~~been~~supervision noand ~~changes~~with inthe participation of our ~~internal~~senior ~~control~~management, ~~over~~including ~~financial~~our ~~reporting~~Chief ~~that~~Executive ~~occurred~~Officer ~~during~~and Chief Financial Officer, we conducted an evaluation of the 13effectiveness ~~weeks~~of ~~ended~~the ~~June 29~~design and operation of our disclosure controls and procedures, ~~2025~~as ~~that~~defined ~~have~~in ~~materially~~Rules13a-15(e) ~~affected~~and 15d-15(e) under the Exchange Act, oras ~~are~~of ~~reasonably~~the ~~likely~~end toof ~~materially~~the ~~affect~~period covered by this Quarterly Report on Form 10-Q (the “Evaluation Date”). Based on this evaluation, our ~~internal~~Chief ~~control~~Executive ~~over~~Officer ~~financial~~and ~~reporting~~Chief Financial Officer concluded that as of the Evaluation Date, our disclosure controls and procedures were effective.

CHANGES IN INTERNAL CONTROL OVER FINANCIAL REPORTING

There have been no changes in our internal control over financial reporting that occurred during the 13 weeks ended December 28, 2025, that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

PART II

OTHER INFORMATION

Item 1. Legal Proceedings

We are involved in a variety of legal actions that arise in the normal course of business. Insurance coverage mitigates potential loss for certain of these matters. While we are unable to predict the ultimate outcome of these legal actions, it is our opinion that the disposition of these matters will not have a material adverse effect on our Consolidated Financial Statements, taken as a whole.

Stoudemire et al. v. Lee Enterprises, Incorporated (Video Privacy Claim). On December 19, 2022, named Plaintiffs filed a Complaint in the U.S. District Court for the Southern District of Iowa alleging our news websites violate the Video Privacy Protection Act ~~Litigation~~by ~~and~~disclosing ~~Settlement~~to third parties certain data about users’ video-watching habits. In ~~The~~particular, ~~Company~~the ~~was~~Complaint ~~named~~alleged asthe websites use Facebook Pixel, a ~~defendant~~technology bythat allegedly links a ~~group~~user’s ofFacebook ~~Plaintiffs~~profile ~~acting~~to videos the user watches on ~~behalf~~our ofwebsite. The aclaimants ~~proposed~~are asserting class action claims and allege statutory damages of ~~digital~~$2,500 ~~subscribers~~per inclass amember, ~~lawsuit~~punitive indamages, ~~2022~~and attorneys’ fees. In ~~The~~July ~~lawsuit~~2023, ~~alleged~~the ~~that~~Court denied our Motion to Dismiss. This claim has been submitted for coverage under the ~~Company~~our ~~violated~~media insurance policy. The parties successfully mediated the ~~Video~~case ~~Privacy~~on ~~Protection~~November ~~Act~~5, ~~(“VPPA”)~~2024, byand ~~using~~the ~~pixels~~court togranted ~~track~~final ~~subscribers’~~approval ~~video~~of ~~viewing~~the ~~activity~~class action settlement on ~~Company~~August ~~websites~~14, ~~and~~2025. ~~sharing~~The itentire ~~with~~$9.5 million ~~Meta~~settlement ~~without~~amount ~~consent~~was paid by our insurance carriers in October 2025.

~~The~~Fetes ~~Company~~et ~~has~~al. ~~agreed~~v. toLee Enterprises. Incorporated (Cyber Incident). On June 12, 2025, Sarah Fetes filed a ~~preliminary~~Complaint ~~settlement~~in ~~with~~the U.S. District Court for the Southern District of Iowa alleging claims arising out of a February 2025 cybersecurity incident, during which a third-party threat actor potentially accessed personal information of past and present Company employees existing on Company systems. Fetes and five additional named Plaintiffs filed a Consolidated Complaint on August 11, 2025. Plaintiffs allege that we failed to properly secure and safeguard personally identifiable information collected as part of our regular business practices. Plaintiffs sought damages for $9invasion of privacy and misuse of the compromised data, on behalf of themselves and a class consisting of approximately 39,700 individuals who received data breach notifications.~~5 million~~ This claim was submitted for coverage under our media insurance policy. The parties have reached a tentative settlement, all of which will be paid by our insurance carriers, in an amount that will be publicly disclosed through the court process. The settlement is subject to required court approval and open to objection by class members. We anticipate final approval of the settlement by August 2026. The ~~entire~~probable settlement ~~amount~~liability ~~will~~and beinsurance ~~paid~~receivable byare recorded within “Compensation and other accrued liabilities” and “Prepaids and other” on the ~~Company’s~~Consolidated ~~insurance~~Balance ~~carriers~~Sheets as of December 28, 2025.

~~The~~Lineup ~~settlement~~Systems ~~liability~~Corporation ~~and~~v. ~~insurance~~Lee ~~receivable~~Enterprises, ~~are~~Incorporated. ~~recorded~~In ~~within~~July ~~“Compensation~~2025, ~~and~~Lineup ~~other~~filed ~~accrued~~suit ~~liabilities”~~against us for breach of contract, breach of the covenant of good faith and ~~“Prepaids~~fair dealing, and ~~other”~~quantum onmeruit arising from the ~~Consolidated~~contract ~~Balance~~between ~~Sheets~~Lee asand Lineup for the purchase and installation of ~~June~~software. The suit claims $7.0 29million in damages for failure to pay owed amounts, ~~2025~~attorneys fees and ~~September~~interest. ~~29,~~We ~~2024~~filed a counter claim alleging breach of contract and fraudulent inducement. Trial has been set for October 18, ~~respectively~~2027. Lineup filed a Motion for

Cybersecurity Incident Litigation. As previously disclosed, the Company experienced a cybersecurity incident during the second quarter of 2025, which involved unauthorized access to certain systems and data. Following public disclosure of the incident, the Company was named as a defendant in several putative class action lawsuits filed in or around June 2025, in the United States District Court for the Southern District of Iowa on behalf of all individuals affected by the cybersecurity incident, including those who received notice of the incident. These lawsuits generally allege, among other things, that the Company failed to adequately protect personal or sensitive information and seek unspecified damages and other relief.

The Company is vigorously defending against these claims. Given the early stage of these proceedings, the outcome of these matters is uncertain, and the Company is unable to estimate a possible loss or range of loss at this time.

The Company maintains cyber liability and other applicable insurance coverage and believes that any potential losses associated with these claims, if adverse outcomes were to occur, would be covered, subject to applicable deductibles and policy limits.

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Judgment on the Pleadings for various counts and oral arguments were heard by the Court on the Motion for Judgment on the Pleadings on January 16, 2026. The Court is expected to rule in the next 90 days. Discovery is ongoing in this case and the outcome is uncertain at this time.

Item 1A Risk Factors

Except as otherwise described herein, there have been no material changes in the risk factors previously disclosed in “Part I, Item 1A. Risk Factors” of our ~~2024~~2025 Form 10-K.

Item 5. Other Information

Cybersecurity Incident

On February 3, 2025, ~~the~~we ~~Company~~ experienced a ~~systems~~cybersecurity ~~outage~~incident ~~caused~~that bydisrupted acertain ~~cybersecurity~~IT ~~attack~~systems byand ~~threat~~resulted ~~actors~~in ~~who~~unauthorized ~~unlawfully~~access ~~accessed~~to certain files (the ~~Company's~~“Cyber ~~network~~Incident”). We activated our incident-response plan, ~~encrypted~~engaged ~~critical~~third-party ~~applications~~cybersecurity experts, notified law enforcement, and ~~exfiltrated~~offered ~~certain~~identity-protection ~~files~~services ~~(the~~to "affected customers and subscribers. The Cyber Incident~~").~~ ~~Upon~~adversely ~~discovery~~affected fiscal 2025 operating results; however, the ~~Company~~incremental ~~promptly~~impact ~~activated~~on ~~its~~revenues and certain operating expenses is not reasonably separable from other business factors. The incident ~~response~~remains ~~plan,~~under ~~engaging~~legal ~~both~~and ~~internal~~forensic ~~teams~~review, and ~~third-party~~we ~~cybersecurity~~continue ~~experts~~to implement security enhancements.

~~Following~~Since the ~~containment~~incident ofoccurred, ~~the~~we ~~initial~~have ~~threat~~incurred ~~and~~$10.5 million asloss ~~a result~~ of acash ~~subsequent,~~flows ~~comprehensive~~related ~~review~~to ~~with a third-party vendor,~~ the ~~Company~~Cyber ~~determined~~Incident. Approximately ~~certain~~$3.7 million ~~files~~of ~~may~~this ~~have~~was ~~been~~incurred ~~accessed~~expenses orwere ~~acquired~~recognized onin ~~February~~"Restructuring ~~1, 2025, including customers'~~ and ~~subscribers~~Other" ~~personal~~in ~~information. The Company reported~~ the ~~Incident~~Consolidated toStatements ~~relevant~~of ~~law~~(Loss) ~~enforcement~~Income and ~~will~~Comprehensive ~~cooperate~~(Loss) ~~with~~Income ~~any~~during ~~resulting investigation or efforts to hold~~ the ~~perpetrators~~year ~~accountable.~~ended InSeptember ~~addition~~28, ~~through~~2025. We ahave ~~data~~filed ~~breach~~insurance ~~and~~claims ~~recovery~~for ~~services vendor,~~ the ~~Company~~remaining is$6.8 million ~~offering~~to ~~identity~~cover ~~theft~~business ~~protection~~interruption ~~services~~related tolosses ~~those customers~~ and ~~subscribers~~other ~~potentially involved in the data breach~~expenses.

~~During~~We ~~the~~maintain ~~three~~cyber ~~months~~insurance ~~ended~~with ~~June~~a ~~29, 2025, the Company incurred~~ $10.25 million ~~of expenses related to the Cyber Incident~~deductible. ~~During~~For the ~~nine~~year ~~months~~ ended ~~June~~September 2928, 2025, ~~the~~we ~~Company~~had ~~incurred~~submitted $310.10 million of ~~expenses~~claims ~~related~~and toreceived ~~the Cyber Incident~~$2.0 million ~~These~~of ~~expenses~~reimbursements, which are ~~recognized~~presented inas "a reduction of related costs within “Restructuring and ~~Other"~~other.” inFor the ~~Consolidated~~three ~~Statements~~months ofended ~~Loss~~December ~~and~~28, ~~Comprehensive~~2025, ~~Loss.~~we ~~The~~received ~~Cyber~~$2.0 million ~~Incident~~in ~~remains~~business ~~under~~interruption ~~legal~~reimbursements ~~and~~that ~~forensic~~were ~~investigation,~~recorded ~~including~~on ~~evaluation~~their ofown ~~the~~line ~~extent~~in ~~and~~"Operating ~~potential~~Expenses". ~~risk~~The ~~related~~remaining tobusiness-interruption ~~unauthorized~~claims ~~access~~remain tounder ~~sensitive data~~review.

The incident continues to have a significant negative impact on the Company's 2025 operating results. Various revenue lines were impacted, certain operating expenses are trending higher than they were prior to the incident, and many projects underway were significantly delayed. While operating impacts from the incident have not been fully realized, the Company estimates the incident impacted revenue by more than $10 million.

Rights Agreement

The Rights will initially trade with our Common Stock and will generally become exercisable only if any person or group, other than certain exempt persons, acquires beneficial ownership of 15% or more of our Common Stock outstanding. In the event the Rights become exercisable, each holder of a Right, other than the triggering person(s), will be entitled to purchase additional shares of our Common Stock at a 50% discount or the Company may exchange each Right held by such holders for one share of our Common Stock. The Rights Agreement was to continue in effect until March 27, 2025, or unless earlier redeemed or terminated by the Company, as provided in the Rights Agreement. On March 27, 2025, the Board of Directors extended the termination date of the Rights Agreement to March 27, 2026 The Rights have no voting or dividend privileges, and, unless and until they become exercisable, have no dilutive effect on the earnings of the Company.

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interest of our stockholders. However, the overall effect of the Rights Agreement may render it more difficult or discourage a merger, tender offer, or other business combination involving us that is not supported by our Board of Directors.

Item 6. Exhibits

Exhibits marked with an asterisk (*) are incorporated by reference to documents previously filed by us with the SEC, as indicated. Exhibits marked with a plus (+) are management contracts or compensatory plan contracts or arrangements filed pursuant to Item 601(b)(10)(iii)(A) of Regulation S-K. All other documents listed are filed with this Quarterly Report on Form 10-Q.

Number	Description
4.2*	Amendment No. 1 to Rights Agreement, dated as of March 26, 2025, between Lee Enterprises, Incorporated and Equiniti Trust Company, LLC, as rights agent (incorporated by reference to Exhibit 4.2 to the Company’s Current Report on Form 8-K filed on March 26, 2025)
3.1*	Amended and Restated Certificate of Incorporation of the Company, effective as of January 30, 2012 (incorporated by reference to Exhibit 3.1 to the Company’s Current Report on Form 8-K filed on February 3, 2012).
10.1*	Waiver and Amendment to Credit Agreement among Lee Enterprises, Incorporated, BH Finance LLC, and BH Media Group, Inc. dated May 1, 2025 (incorporated by reference to Exhibit 10.1 of the company's Current Report on Form 8-K filed on May 5, 2025)
3.2*	Certificate of Amendment to the Amended and Restated Certificate of Incorporation of the Company, effective as of March 12, 2021 (incorporated by reference to Exhibit 3.1 to the Company’s Current Report on Form 8-K filed on March 12, 2021).
3.3*	Certificate of Amendment to the Amended and Restated Certificate of Incorporation of the Company, effective as of February 3, 2026 (incorporated by reference to Exhibit 3.1 to the Company’s Current Report on Form 8-K filed on February 5, 2026).
3.4*	Second Amended and Restated By-Laws of the Company, effective as of June 26, 2019 (incorporated by reference to Exhibit 3.1 to the Company’s Current Report on Form 8-K filed on June 27, 2019).
3.5*	Certificate of Elimination, effective as of February 4, 2026 (incorporated by reference to Exhibit 3.2 to the Company’s Current Report on Form 8-K filed on February 5, 2026).
4.1*	Amendment No. 2 to Rights Agreement, dated as of February 4, 2026, by and between the Company and Equiniti Trust Company, LLC (incorporated by reference to Exhibit 4.1 to the Company’s Current Report on Form 8-K filed on February 5, 2026).
10.1*	Stock Purchase Agreement, dated as of December 30, 2025, by and among the Company, Anchor Investor and the Other Investors party thereto (incorporated by reference to Exhibit 10.1 of the Company's Current Report on Form 8-K filed on December 30, 2025).
10.2*	Form of Registration Rights Agreement (incorporated by reference to Exhibit 10.2 of the Company's Current Report on Form 8-K filed on December 30, 2025).
10.3*	Executive Retirement and Transition Agreement, dated as of December 30, 2025, by and between the Company and Kevin Mowbray (incorporated by reference to Exhibit 10.4 to the Company's Current Report on Form 8-K filed on December 30, 2025).
10.4*	Second Amendment to Credit Agreement, dated as of December 30, 2025, by and between the Company and the Lender (incorporated by reference to Exhibit 10.5 of the Company's Current Report on Form 8-K filed on December 30, 2025).
10.5	Executive Separation and Transition Agreement, dated as of November 21, 2025, by and between the Company and Timothy R. Millage as of November 21 2025.	Attached
31.1	Rule 13a-14(a) Certification of Chief Executive Officer	Attached
31.2	Rule 13a-14(a) Certification of Chief Financial Officer	Attached
32.1	Section 1350 Certification of Chief Executive Officer	Attached
32.2	Section 1350 Certification of Chief Financial Officer	Attached
101.INS	Inline XBRL Instance Document (the Instance Document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document)	Attached
101.SCH	Inline XBRL Taxonomy Extension Schema Document	Attached
101.CAL	Inline XBRL Taxonomy Extension Calculation Linkbase Document	Attached
101.DEF	Inline XBRL Taxonomy Extension Definition Linkbase Document	Attached
101.LAB	Inline XBRL Taxonomy Extension Label Linkbase Document	Attached
101.PRE	Inline XBRL Taxonomy Extension Presentation Linkbase Document	Attached
104	Cover Page Interactive Data File (formatted as Inline XBRL and embedded within the Inline XBRL document)	Attached

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

LEE ENTERPRISES, INCORPORATED

/s/ Timothy R. Millage

August 8, 2025

/s/ Joshua P. Rinehults

February 11, 2026

Timothy R. Millage

Joshua P. Rinehults

Vice President, Chief Financial Officer and Treasurer

Vice President, Interim Chief Financial Officer and Treasurer

(Principal Financial and Accounting Officer)

Filing Compare · LEE ENTERPRISES, Inc