Australian-based Fairfax media group has reported a net loss of $A365 million for the 6 months to December 28, amid write downs totalling $A447.5 million.

Publishing revenue from New Zealand titles including the Sunday Star-Times, Dominion Post, the Press, Cuisine, NZ House & Garden, TV Guide, Trade Me, Business Day and Stuff.co.nz is down 14.5% compared to the same period last year, with EBTIDA down 28.6%.

An “exceptionally difficult” recessionary environment is responsible for the fall in New Zealand advertising revenue, while circulation revenue is up 3% and total costs down 4%.

However, excluding Fairfax’s substantial asset write-downs, restructuring and redundancies, the company posted an underlying profit (excluding SPS dividend) of $A157.6 million, down 23%.

Included in the write-downs are:

• A review of carrying values based on the present value of future cash flows, a non-cash impairment charge on the value of mastheads, radio licences and goodwill across all publishing and broadcast media properties of $447.5 million (pre-tax) was taken.

• Impairment of goodwill of $30.1 million on the sale of the Southern Star television production and distribution business.

• Impairment of plant, equipment and software of $1.4 million.

• Restructuring and redundancy charges of $62.4 million associated with programs initiated in August 2008.

Fairfax chairman Ron Walker says it is the best possible result “in an exceptionally difficult economy”.

Chief executive and managing director Brian McCarthy says the company’s strategy of diversification across print, radio and online assets has delivered greater revenue stability during the downturn.

“For now we have battened down the hatches and we will ride the storm out”, says Mr McCarthy.

“Our management and staff have produced a creditable result under difficult circumstances.”

The company has declared a 2.0 cents per share interim dividend, 75% franked, and given this reduction have resolved to suspend the Dividend Reinvestment Plan for this interim dividend.

Fairfax's Australian publications include The Sydney Morning Herald, The Age and Australian Financial Review, amongst others.