Ladies and gentlemen, thank you for standing by, and welcome to the first quarter 2019 financial results conference call. [Operator Instructions]. And as a reminder, your conference is being recorded. I would now like to turn the conference over to your host, Katy Murray. Please go ahead..

Photo journalism, editorial writing, political coverage and international news beat coverage. The National Headliner Award is one of the media industry's oldest and most prestigious honors originating in 1935. Overall, we are pleased with the first quarter.

The board and the management committee continue to be optimistic about the company's opportunities this year. And we remain well positioned with a very strong balance sheet. Lois, before we turn to questions, Robert Decherd has some additional commentary..

Thank you, Katy, and good morning, everyone. Next month is upon us, and that marks 1 year with my being back in role, so I thought it might be helpful and timely to give you a preview of some of the remarks on our annual meeting next week. Overall, as Katy's report indicated, I believe, we're making notable progress.

We have a lot of challenges ahead of us as does every newspaper company in America. The quality of The Dallas Morning News has been sustained and, in many ways, improved. And that's resulted in improved performance on the business side of the newspaper.

As Katy noted and you're aware from previous releases we've made, important but difficult decisions were made at The Morning News during 2018, and resulted in the first quarter this year with reallocating resources, as Grant has described, to focus on circulation revenue and marketing both on the print and digital sides of the business and to resize the commercial printing business so that we are getting the highest possible return on our investment and efforts in that regard.

Basically, we're focused on the activities that are fundamental to the newspaper's long-term success, and at the same time, we recognize that the industry is under significant operating pressures that will continue. On the Belo + Company side of the business, we're finding our footing after 5 tough quarters.

Tim has new leaders in key sales and marketing roles, and the acquisition of Cubic in Tulsa, Oklahoma completes the array of capabilities needed to build Belo + Company's marketing services business cost-effectively. Belo + Company's position in digital marketing services, as we have described before, complements the Dallas Morning News' strategy.

And at the same time, we all recognize it needs to grow at a steady and predictable pace. Our balance sheet continues to enable our long-term business-building approach. This is one of the most important aspects of how our company is structured. It's something that I focused on immediately when back in role in May of 2018.

We all know, all of us on this call, that the financial markets are not crediting the newspaper business with much franchise value presently. When and how that's going to occur, frankly, is beyond our capacity to change it, but when it does, we will be ready because our company will be stronger and will properly positioned as a digital-first entity.

Needless to say, in this kind of upside down environment the Board and I are very attentive to the factors that affect capital allocation. We discuss these dynamics regularly and rely on insights from expert advisors to -- that assisted A. H. Belo Corporation for many years.

I know there's a lot of interest in the status of our former campus at 508 Young Street. That property is being actively marketed, but it's just not possible to estimate when the sale might be consummated.

Our goal is to pull that off in 2019, but the commercial real estate market, as strong as it is, is not, as I said, a very predictable part of our economy. Let me pause there. And Katy, we'll go to Q& A, and happy to tackle these or any other questions that come along during the call..

[Operator Instructions].

Lois, do you see anybody dialing in for a question?.

Sure. We do have one question in queue. And that's from Boris Senderzon from Hilber Capital..

The question is for Katy.

I noticed that -- I wanted to ask you what are the causes for negative operating cash flow in Q1? And for all of 2019, will the cash flow be positive and enough to cover capital expenditure and dividend?.

So thank you for your question. As you know, we don't provide guidance on cash flow or operating income for the year. However, as you have seen in past years, what I can say, we do everything we can to ensure that operating cash flow is enough not only to cover operations but our capital expenditures.

Our capital expenditures for the year are approximately $2 million and that would be from a free cash flow perspective. However, again, I cannot provide specific guidance on what our operating or free cash flow number would be for the year..

What about the dividend, will it be covered?.

Again, I can't provide guidance on the cash flow number..

[Operator Instructions]. And Katy, at this time, there are no further questions in queue..

Well, if there are no further questions, everyone, thank you for dialing in. And we look forward to talking to you after our second quarter earnings call. Thank you..

Thank you. And ladies and gentlemen, this conference will be available for replay at 11:00 today through May 7 at midnight. You may access the AT&T replay system at any time by dialing 1-800-475-6701 and entering the access code 466835. International participants can dial 320-365-3844. Again, the number is 1-800-475-6701.

And International is 320-365-3844 with the access code 466835. That does conclude our conference for today. Thank you for your participation and for using AT&T Executive Teleconference. You may now disconnect..