Ted Barac
Hedge fund manager, long-term horizon, deep value

Lee Enterprises' Shares May Double Again

I strongly believe that shares of Lee Enterprises, Incorporated (NYSE:LEE), a mid-size market newspaper publisher with 46 daily papers, present a compelling risk/reward opportunity at current valuation levels. While the newspaper industry, and Lee more specifically, continues to be negatively impacted from a shift away from print media, I believe that this is more than reflected in Lee's current stock price which currently provides investors with an extremely attractive free-cash-flow yield of approximately 61% (annualizing the first nine-months ending June 30; see exhibit 3, below).

A Declining Industry Presents Opportunity

There's a great deal of investor negativity surrounding the newspaper industry and for good reason. The ease, accessibility, and timeliness of internet information have put big dent in

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