FOR IMMEDIATE RELEASE
Tuesday, December 7, 2004

Media General Presents at Credit Suisse First Boston Media & Telecom Conference

RICHMOND, Va. — Media General, Inc. (NYSE: MEG) today updated investors on the company’s strategy, business conditions and outlook for 2004 and next year at the Credit Suisse First Boston Media & Telecom Conference in New York.

J. Stewart Bryan III, chairman and chief executive officer, said, “Media General will report very good results for the full-year 2004, and we will do so in an economy that never gained the full momentum we all had hoped for. Our performance will reflect an outstanding contribution by the Broadcast Division and a very solid contribution by the Publishing Division.” The company expects consolidated revenue growth of more than 7 percent above last year, he said. The company will also benefit from lower interest expense and improved results from its one-third interest in SP Newsprint. After excluding an accounting change and the impact of operations that were sold in 2003, net income is expected to be approximately $75 million, or 25 percent above 2003’s income from continuing operations.

In the Broadcast Division, Media General expects profit growth in the range of 37-to-38 percent for the year, primarily the result of unprecedented Political advertising revenue levels that should total $38 million for the year. The Publishing Division expects profit growth for 2004 of 3-to-3.5 percent above last year, reflecting a solid increase in Classified advertising revenues, which are up $12 million, or 8.4 percent, through October.

Reid Ashe, president and chief operating officer, said total Publishing revenues through October were 4.1 percent above last year and newspaper advertising revenues were up 4.5 percent. “For the year as a whole, the increases are likely to be a little lower than the year-to-date. We expect fourth-quarter comparisons to be difficult as we go up against strong results overall from last year, augmented by robust advertising from two new mall openings in Richmond,” Ashe said.

Ashe said Media General has an aggressive plan to drive overall newspaper advertising growth in 2005 by 5-to-6 percent. The company expects Classified growth will continue in 2005 with gains once again from employment and automotive. “We anticipate Classified advertising growth in the range of 7-to-7.5 percent for next year,” he said.

Retail advertising has been mixed this year due to economic uncertainty and its impact on consumer spending and retail sales. Media General expects the Retail category to grow 3-to-4 percent in 2005.

The Preprint category is expected to finish 2004 with a growth rate of just over 2 percent, and the category should grow 2-to-3 percent in 2005. National advertising is expected to be down 2 percent in 2004, affected by telecommunications, which has not been as strong as 2003. “For 2005, we hope to see some gains in telecommunications as well as from the travel, entertainment and electronics categories. We believe National advertising could grow as much as 7-to-8 percent next year,” Ashe said.

Ashe said that the company’s newspapers achieved Circulation revenue growth of 2.4 percent in 2004 year-to-date primarily due to rate increases. “Circulation revenue is expected to increase slightly in 2005, the result of rate increases implemented in 2004 and some volume increases.”

In the Broadcast Division, Ashe said, 2004 will be remembered as a benchmark year for Political revenues and profit. Through October, total Broadcast revenues were up 13.4 percent and total time sales were up 15.9 percent. The heavy Political advertising affected Local and National transactional time sales to some extent, crowding out some Local and National advertisers. Local time sales through October were up 5 percent, and National times sales were just slightly above 2003.

“As we look to next year, the principal challenge of the Broadcast Division will be to replace revenues that we enjoyed this year but will not see again until 2006,” Ashe said. Media General’s Political revenues are expected to be about $1.5 million next year, and there will be no Olympics or Super Bowl revenues. Also, Broadcast expects a reduction in network compensation of approximately $6.5 million.

Ashe said, “Our Broadcast Division has developed a very aggressive, but, we think, achievable plan, that strives to limit its ad sales decline to the 1 percent level.” The anticipated industry decline in television ad sales in 2005 ranges from 1-to-3 percent.

New Broadcast revenues at Media General will come from an improved TV advertising marketplace and from new sales initiatives, many of which are exclusive to the company’s stations in its Southeast markets. “Having top-rated stations in almost all of our markets will help tremendously next year as we embark on our program to capture new and incremental revenues,” he said

The Interactive Media Division’s revenues in 2004 are expected to exceed $13.5 million, a more than 40 percent increase over 2003. The increase is mostly attributable to Classified liner ad growth, including higher rates. For 2005, a goal has been set for revenues of nearly $19 million, up 39 percent over 2004. For 2004, page views have grown 41 percent year to date over last year and unique visitors have increased from a monthly average of 2.8 million to 3.4 million, or 21 percent.

Marshall N. Morton, vice chairman and chief financial officer, said for the fourth quarter and full year 2004, the company expects earnings per share to be somewhat above the First Call current means. For the fourth quarter, the current mean is $1.28 per share. For the full year, the current mean is $3.10 per share. Media General will announce fourth-quarter results on January 27, 2005. “It’s too early to provide specific full-year guidance for 2005, so we will provide updates as next year unfolds,” he said.

For 2005, Publishing revenue growth is expected to increase 4-to-4.5 percent and advertising revenue is expected to grow 5-to-6 percent. Total expenses are budgeted to increase approximately 5 percent, due mainly to higher newsprint expense and increased benefits costs. “The division plans to keep a tight rein
on salary and department expenses,” Morton said. Newsprint expense is expected to rise nearly 15 percent in 2005. Publishing segment profits are forecast to increase in the low single digits over this year.

The Broadcast Division expects a decline in total revenues, due principally to the absence of the robust Political advertising in 2004. “The Broadcast Division expects to hold its year-over-year revenue decline to just 1 percent,” Morton said. Broadcast expenses are budgeted to increase about 6 percent. This increase, with the exception of merit increases averaging 3.5 percent and higher employee benefits expense, will be tied to new business development. “Broadcast operating profit next year is expected to be down year-over-year,” Morton said.

Interactive Media Division’s revenues in 2005 are expected to increase 39 percent over 2004 through developing new products and enlarging audience reach. Visitors are expected to increase 10 percent. “Segment results should improve next year to a loss of $4.5 million, compared to an expected loss this year of about $6 million,” he said.

Morton said a 4-percent increase in interest expense in 2005 is due mainly to a higher all-in interest rate. A 2-percent increase in corporate expense is due to higher rent expense based on increased interest rates, higher health and retirement costs and Information Technology expense increases for expanding systems and Internet traffic. “SP Newsprint is projecting two price increases in 2005. If the high end of their expected price realization occurs, our equity income could increase by as much as $10-12 million year-over-year.” Income tax rates will decrease to 36.5 percent compared with 37 percent this year, due mainly to the impact of the American Jobs Creation Act.

Capital spending in 2005 is expected to be $120 million, compared to estimated 2004 spending of $54 million. Publishing will spend about $66 million, including investments for new printing facilities and a new system that will allow the metro markets to use one database for all advertisers. Broadcast plans to spend $49 million, including investments to replace obsolete equipment and to complete the transition to a full-power high definition standard. Interactive Media will spend about $2 million and corporate expenditures are budgeted at $3 million.

Morton said, “Since the beginning of this year, we have reduced debt by $89 million, and it currently stands at $539 million.” Media General’s existing credit facility provides for borrowing up to $1 billion from its banks. The company also has a universal shelf registration that allows it to issue debt and equity totaling $1.2 billion.

“Any way you look at 2005, it is going to be a challenging year,” Morton said. “On the other hand, we expect to receive support from a continuing improving economy. For the full year 2005, we do not expect to achieve earnings growth over 2004’s very strong level. However, even with a much higher capital spending budget than usual, we expect to generate sufficient cash flow to cover our needs.”

Following today’s presentation, a full text and slides from the presentation will be available in the Investor Relations section of Media General’s Web site, www.mediageneral.com. An audio replay will be available at approximately 2 p.m. on Wednesday, December 8, 2004, and will remain available for 30 days. Click on the link on the Media General Home Page.

Forward-Looking Statements
This news release contains forward-looking statements that are subject to various risks and uncertainties and should be understood in the context of the company's publicly available reports filed with the Securities and Exchange Commission. Media General's future performance could differ materially from its current expectations.

About Media General
Media General is an independent communications company situated primarily in the Southeast with interests in newspapers, television stations and interactive media. The company’s publishing assets include The Tampa Tribune, the Richmond Times-Dispatch, the Winston-Salem Journal and 22 other daily newspapers in Virginia, North Carolina, Florida, Alabama and South Carolina, as well as nearly 100 other periodicals and a 20 percent interest in The Denver Post. Media General’s 26 network-affiliated television stations reach more than 30 percent of the television households in the Southeast and nearly 8 percent of those in the United States. The company’s interactive media offerings include more than 50 online enterprises. Media General also has a 33 percent interest in SP Newsprint Co., which operates newsprint mills in Dublin, Ga., and Newberg, Ore.

Investor Contact:
Lou Anne Nabhan
(804) 649-6103

Media Contact:
Ray Kozakewicz
(804) 649-6748