More media companies revise projections due to attacks

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New York--Two more media giants lowered earnings projections and reported declines in ad revenue as a result of the Sept. 11 terrorists attacks on New York and Washington.News Corp. said it expects 2002 earnings growth to be in the high single to low double-digit range next year, down from a previous forecast of 20% to 25% growth, as a result of lost ad revenue and an economic climate that has been exacerbated by the attacks. News Corp. President-COO Peter Chernin, speaking at an analysts meeting Tuesday, said the media company had expected ad sales to pick up in the fourth quarter of this year and the first half of next year, but "we just don't see that now." Viacom Inc., which last month announced its earnings for the year would be lower as a result of the attacks, said it expects $200 million in costs related to the Sept. 11 tragedy, primarily due to lost ad revenue. At its CBS network, lost advertising revenue for the third quarter is expected to be $85 million, as the broadcast network held advertising in favor of non-stop news coverage. Other media companies that have lowered earnings projections as a result of the attacks include The New York Times Co. and AOL Time Warner Inc.

--Kate Maddox

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