October 24, 2001

Belo reports results for Third Quarter 2001

Dallas, TX-- Belo(NYSE: BLC) today reported that earnings per share were break-even in the third quarter. Earnings per
share were $0.15 in the third quarter of 2000.

The Company earned $0.41 in after-tax cash flow per share for the third quarter, compared with $0.55 in the third quarter of last year, a decline of 25
percent.

The following table summarizes
Belo's third quarter performance.

To take into account dispositions in 2000, segment financial highlights are also presented on an "as adjusted" basis:

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AS REPORTED








AS ADJUSTED 1








(in thousands)







(in thousands)








Three months ended
September 30,







Three months ended
September 30,








2001





2000


% Chg.








2001





2000


% Chg.


Net operating revenues



























Television group





$ 133,998




$ 165,965


-19.3%








$ 133,998




$ 161,509


-17.0%


Newspaper group





181,066




217,686


-16.8%








181,066




207,106


-12.6%


Interactive media





3,449




2,883


19.6%







3,449




2,801


23.1%


Other





3,972




3,819


4.0%







3,972




3,819


4.0%


Eliminations 2





-




-


N/A








-




-


N/A


Segment revenues





$ 322,485




$ 390,353


-17.4%








$ 322,485




$ 375,235


-14.1%


Operating cash flow





























Television group





$ 45,387




$ 68,218


-33.5%








$ 45,387




$ 66,773


-32.0%


Newspaper group





41,730




60,648


-31.2%








41,730




57,744


-27.7%


Interactive media





(4,083)




(4,968)


17.8%







(4,083)




(4,862)


16.0%


Other





(495)




(515)


3.9%








(495)




(515)


3.9%


Segment operating cash flow





$ 82,539




$ 123,383


-33.1%








$ 82,539





$ 119,140


-30.7%


After-tax cash flow per share 2





$ 0.41





$ 0.55


-25.5%








N/A





N/A


N/A


Earnings per share




$ 0.00




$ 0.15


-








N/A




N/A


N/A







































Revenues
and operating cash flows for 2000 have been adjusted for the following
dispositions: The Gleaner in Henderson,
Kentucky; The Eagle in Bryan-College Station, Texas; Messenger-Inquirer in
Owensboro, Kentucky; and KOTV (CBS) in Tulsa, Oklahoma.


After-tax
cash flow per share is net earnings plus depreciation and amortization divided
by the average shares outstanding.




Robert
W. Decherd, Belo's chairman, president and chief executive officer said,
"Continued advertising weakness and the tragic events of September 11 adversely
affected revenues and, to a lesser extent, expenses at Belo's television stations
and newspapers in the third quarter.
National revenues at our television stations and classified employment
revenue at The Dallas Morning News experienced the most significant
declines. However, Belo's Television
Group continues to perform at the high end of the network-affiliate segment and
the advertising revenue performance of The Morning News continues to be
in line with other major metropolitan newspapers with large classified
employment businesses.

"Belo's
newspapers, television stations, cable news channels and Web sites have focused
most of their attention since September 11 on providing the most timely,
relevant news from both a local and national perspective to readers and viewers
in our markets. We estimate revenue
losses specifically related to the attacks of just under $9 million for our
Television Group and about $2 million for our Newspaper Group. Belo also incurred temporary increases in
newsgathering costs estimated at $750,000.

"While
events of the past six weeks obviously impacted the Company's third quarter
results, they also reinforced the relevance and staying power of Belo's core
businesses. In moments like this,
leading news franchises like Belo's hold a distinct advantage in attracting a
disproportionate share of viewers and readers.
In the days following September 11, audiences in Belo's markets turned
to our newspapers, television stations, cable channels and Web sites in record
numbers."

Regarding
Belo's third quarter performance, Decherd noted, "Following September 11, we
publicly stated that we expected to incur a pretax loss in the third quarter
and report earnings per share of 1 to 3 cents.
While we did experience significant reductions in revenues in the days
following the attacks, and some cancellations through the end of the month, our
revenue performance in September was better than initially expected. As a result, Belo recorded pretax income of
almost $2 million in the third quarter.
With an effective tax rate of 128 percent for the third quarter,
reported earnings per share were breakeven.
The difference from the earnings per share estimate is due solely to the
change in income tax expense associated with better than expected pretax
operating results.

"On an
as-adjusted basis, total Television Group revenues were down 17.0 percent in
the third quarter, with a 17.8 percent decrease in spot revenues. Local television revenues were down 7.3
percent while national revenues were down 14.9 percent. These revenue declines reflect the soft
advertising environment and the impact of September 11, as well as challenging
comparisons with 2000's third quarter.
The third quarter of 2000 benefited from Olympics revenue of $10.5
million and political revenue of $13.3 million. Excluding political and Olympics revenue in both years, spot
revenues were down 2.8 percent. Cash
expenses for the Television Group were 6.5 percent better than last year due to
continued stringent cost controls.
Television Group operating cash flow decreased 32.0 percent for the
quarter.

"Total Newspaper Group revenues
decreased 12.6 percent in the third quarter on an as-adjusted basis, with
advertising revenues down 14.4 percent.
The third quarter of 2001 had one more Sunday than the third quarter of
2000. Excluding the effect of the extra
Sunday this year, total newspaper revenues were down approximately 14.5 percent.

Newspaper Group cash expenses
were 6.7 percent better on an as-adjusted basis compared to the third quarter of 2000 due to tight cost controls and lower newsprint expense. Operating cash flow for the Newspaper Group
was down 27.7 percent in the third quarter.

"Total revenues at The Dallas
Morning News
were down 16.1 percent in the third quarter. Advertising revenues were down 17.9 percent, primarily due to weakness in classified employment advertising.

Classified employment revenues were down 52 percent with a 55 percent decrease in employment linage. General advertising revenues were down 21.6 percent in the third quarter, due to lower .com and telecom advertising, while retail revenues were down 9.3 percent.

Total cash expenses at The Morning News decreased 5.2 percent.

"Belo Interactive's Web sites generated $3.4 million in revenue during the third quarter, compared to $2.8 million in the third quarter of 2000.

The net investment in Belo Interactive's operations in the third quarter was $4.1 million compared with $4.9 million in the third quarter of 2000.

"Belo Interactive recorded
approximately 90 million page views per month in the third quarter of 2001. This is up from the second and a 67 percent increase over the 54 million
page views in the third quarter of 2000.

The number of unique visitors per month in the third quarter was 5.6
million, an increase of 65 percent over the 3.4 million unique visitors in the third quarter of last year.

"The continued soft advertising
environment compounds the challenge the Television Group already faces in the fourth quarter as we cycle against $28.9 million of political revenue. Last October, we had $20 million of
political advertising; this year, excluding political, spot revenues are pacing up over 4 percent. In the Newspaper Group, The Dallas Morning News, like other large papers, is experiencing continued weakness in classified employment.

General advertising will also face difficult comparisons due to strong telecom and .com advertising in the fourth quarter of 2000. And, retail is hard to predict as this category will follow consumer behavior.

"We will maintain very tight cost
controls in the fourth quarter and we are resetting Belo's cost structure to align with current revenue-generation levels.

After the recent reduction-in-force, which is expected to be completed by the end of this month, Belo's number of full-time equivalent employees will
be approximately 8 percent lower than at the end of last year. As a result of this action, the Company will record a non-recurring severance charge in the fourth quarter of this year.

"The Company's effective tax rate is currently projected to be in excess of 100 percent for the fourth quarter and full-year 2001 because of lower pretax
earnings coupled with a fixed amount of goodwill amortization that is not deductible for tax purposes but is deducted in determining book income.

In addition to the effect of this year's advertising downturn, pretax earnings are lower because of special charges Belo
recorded in the second quarter of 2001 to write down certain investments in Internet-related companies.

"Assuming consumer confidence continues to stabilize, then improve, we are optimistic
about Belo's prospects for the fourth quarter.

Even in this difficult environment, we expect to generate $110 million of free cash flow in 2001.

We are aligning Belo's expense structure with expected revenue generation levels and we are confident Belo will emerge from this cycle in a position of strength."

About Belo
Belo is one of the nation's
largest media companies with a diversified group of market-leading broadcasting, publishing, cable and interactive media assets. A Fortune 1000 company with more than 8,000 employees and $1.5 billion in annual revenues, Belo operates news and information franchises in some of America's most dynamic markets and regions, including Texas, the Northwest, the Southwest, Rhode Island, and the Mid-Atlantic region. Belo owns 18 television stations (six in the top 16 markets) reaching 13.9 percent of U.S. television households; owns or operates six cable news channels; and manages two television stations through local marketing agreements. Belo publishes four daily newspapers: The Dallas Morning News, The Providence Journal, The Press-Enterprise (Riverside, CA.) and the Denton
Record-Chronicle
(Denton, TX.).
Belo Interactive's new media businesses include 34 Web sites, several interactive alliances, and a broad range of Internet-based products.For more information, contact Dunia Shive, Belo's
executive vice president and chief financial officer, or Carey Hendrickson, Belo's vice president of investor relations, at 214-977-6606. Additional information, including earnings releases, is available online at http:/www.belo.com.

Statements in this communication concerning the Company's business outlook or future economic performance, anticipated profitability, revenues, expenses, capital expenditures or other financial items and other statements that are not historical facts, are "forward-looking statements" as the term is defined under applicable Federal Securities Laws. Forward-looking statements are subject to risks, uncertainties and other factors that could cause actual results to differ materially from those
statements.

Such risks, uncertainties and factors include, but are not limited to, changes in advertising demand, interest rates and newsprint prices; technological changes; development of Internet commerce; industry cycles; changes in pricing or other
actions by competitors and suppliers; regulatory changes; the effects of Company acquisitions and dispositions; and general economic conditions, as well as other risks detailed in the Company's filings with the Securities and Exchange Commission ("SEC"), including the Annual Report on Form 10-K.