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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
_______________________
FORM 10-Q
_______________________
    QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 2021
OR
    TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
Commission file number 1-6961
___________________________
TEGNA INC.
(Exact name of registrant as specified in its charter)
___________________________
Delaware
16-0442930
(State or other jurisdiction of incorporation or organization)(I.R.S. Employer Identification No.)
   8350 Broad Street, Suite 2000,Tysons,Virginia22102-5151
(Address of principal executive offices)(Zip Code)
(703) 873-6600
(Registrant’s telephone number, including area code)
Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading SymbolName of each exchange on which registered
Common StockTGNANew York Stock Exchange
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes No
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes No
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
Large accelerated filer
Accelerated filer
Non-accelerated filer
Smaller reporting company
Emerging growth company

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act): Yes No

The total number of shares of the registrant’s Common Stock, $1 par value, outstanding as of July 31, 2021 was 221,085,466.



INDEX TO TEGNA INC.
June 30, 2021 FORM 10-Q
 
Item No. Page
PART I. FINANCIAL INFORMATION
1.Financial Statements
2.
3.
4.
PART II. OTHER INFORMATION
1.
1A.
2.
3.
4.
5.
6.
2


PART I. FINANCIAL INFORMATION
Item 1. Financial Statements

TEGNA Inc.
CONDENSED CONSOLIDATED BALANCE SHEETS
In thousands of dollars (Unaudited)
June 30, 2021Dec. 31, 2020
ASSETS
Current assets
Cash and cash equivalents$57,262 $40,968 
Accounts receivable, net of allowances of $6,845 and $7,035, respectively
588,326 550,755 
Other receivables11,506 14,031 
Syndicated programming rights21,063 47,331 
Prepaid expenses and other current assets20,261 19,509 
Total current assets698,418 672,594 
Property and equipment
Cost1,048,043 1,026,459 
Less accumulated depreciation(582,058)(556,100)
Net property and equipment465,985 470,359 
Intangible and other assets
Goodwill2,981,587 2,968,693 
Indefinite-lived and amortizable intangible assets, less accumulated amortization of $267,115 and $235,582, respectively
2,472,966 2,503,644 
Right-of-use assets for operating leases92,422 97,190 
Investments and other assets131,717 136,219 
Total intangible and other assets5,678,692 5,705,746 
Total assets$6,843,095 $6,848,699 
The accompanying notes are an integral part of these condensed consolidated financial statements.
3


TEGNA Inc.
CONDENSED CONSOLIDATED BALANCE SHEETS
In thousands of dollars, except par value and share amounts (Unaudited)
June 30, 2021Dec. 31, 2020
LIABILITIES, REDEEMABLE NONCONTROLLING INTEREST AND EQUITY
Current liabilities
Accounts payable$37,357 $58,049 
Accrued liabilities
   Compensation53,002 46,213 
   Interest45,729 47,249 
   Contracts payable for programming rights94,512 130,522 
   Other81,590 78,219 
Income taxes payable5,622 63,923 
Total current liabilities317,812 424,175 
Noncurrent liabilities
Income taxes9,224 7,303 
Deferred income tax liability534,872 530,240 
Long-term debt3,455,978 3,553,220 
Pension liabilities74,637 85,908 
Operating lease liabilities94,347 99,337 
Other noncurrent liabilities81,746 75,488 
Total noncurrent liabilities4,250,804 4,351,496 
Total liabilities4,568,616 4,775,671 
Commitments and contingent liabilities (see Note 9)
Redeemable noncontrolling interest (see Note 1)15,523 14,933 
Shareholders’ equity
Common stock of $1 par value per share, 800,000,000 shares authorized, 324,418,632 shares issued
324,419 324,419 
Additional paid-in capital27,941 113,267 
Retained earnings7,249,257 7,075,640 
Accumulated other comprehensive loss(118,604)(121,076)
Less treasury stock at cost, 103,438,458 shares and 104,918,360 shares, respectively
(5,224,057)(5,334,155)
Total equity2,258,956 2,058,095 
Total liabilities, redeemable noncontrolling interest and equity$6,843,095 $6,848,699 
The accompanying notes are an integral part of these condensed consolidated financial statements.


4


TEGNA Inc.
CONSOLIDATED STATEMENTS OF INCOME
Unaudited, in thousands of dollars, except per share amounts
Quarter ended June 30,Six months ended June 30,
2021202020212020
Revenues$732,908 $577,627 $1,459,959 $1,261,816 
Operating expenses:
Cost of revenues1
397,118 355,367 791,810 724,735 
Business units - Selling, general and administrative expenses
96,949 85,008 186,275 177,976 
Corporate - General and administrative expenses
23,183 28,312 40,053 50,026 
Depreciation
15,838 16,711 31,734 33,611 
Amortization of intangible assets
15,773 17,248 31,533 33,464 
Spectrum repacking reimbursements and other, net
(1,475)(116)(2,898)(7,631)
Total547,386 502,530 1,078,507 1,012,181 
Operating income185,522 75,097 381,452 249,635 
Non-operating income (expense):
Equity (loss) income in unconsolidated investments, net (2,597)1,921 (3,926)10,936 
Interest expense
(46,609)(51,877)(93,094)(108,837)
Other non-operating items, net1,524 1,039 1,854 (18,231)
Total(47,682)(48,917)(95,166)(116,132)
Income before income taxes137,840 26,180 286,286 133,503 
Provision for income taxes30,986 6,607 66,600 27,732 
Net Income
106,854 19,573 219,686 105,771 
Net (income) loss attributable to redeemable noncontrolling interest(227)374 (442)484 
Net income attributable to TEGNA Inc.$106,627 $19,947 $219,244 $106,255 
Net income per share:
Basic $0.48 $0.09 $0.99 $0.48 
Diluted $0.48 $0.09 $0.99 $0.48 
Weighted average number of common shares outstanding:
Basic shares221,522 219,128 221,064 218,703 
Diluted shares222,506 219,426 221,855 219,144 
1 Cost of revenues exclude charges for depreciation and amortization expense, which are shown separately above.
The accompanying notes are an integral part of these condensed consolidated financial statements.
5


TEGNA Inc.
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
Unaudited, in thousands of dollars
Quarter ended June 30,Six months ended June 30,
2021202020212020
Net income$106,854 $19,573 $219,686 $105,771 
Other comprehensive income, before tax:
Foreign currency translation adjustments255 (273)751 130 
Recognition of previously deferred post-retirement benefit plan costs1,353 1,604 2,578 3,102 
Other comprehensive income, before tax1,608 1,331 3,329 3,232 
Income tax effect related to components of other comprehensive income(414)(335)(857)(814)
Other comprehensive income, net of tax1,194 996 2,472 2,418 
Comprehensive income108,048 20,569 222,158 108,189 
Comprehensive (income) loss attributable to redeemable noncontrolling interest(227)374 (442)484 
Comprehensive income attributable to TEGNA Inc.$107,821 $20,943 $221,716 $108,673 
The accompanying notes are an integral part of these condensed consolidated financial statements.
6


TEGNA Inc.
CONSOLIDATED STATEMENTS OF CASH FLOWS
Unaudited, in thousands of dollars
Six months ended June 30,
20212020
Cash flows from operating activities:
Net income$219,686 $105,771 
Adjustments to reconcile net income to net cash flow from operating activities:
Depreciation and amortization63,267 67,075 
Stock-based compensation16,172 7,568 
     Company stock 401(k) contribution9,384 8,566 
Equity loss (income) from unconsolidated investments, net3,926 (10,936)
Pension contributions, net of income(8,781)(5,885)
Change in other assets and liabilities, net of acquisitions:
(Increase) decrease in trade receivables(37,207)91,246 
Decrease in accounts payable(20,692)(13,821)
(Decrease) increase in interest and taxes payable(52,483)32,056 
Decrease in deferred revenue(1,015)(1,123)
Change in other assets and liabilities, net4,236 33,025 
Net cash flow from operating activities196,493 313,542 
Cash flows from investing activities:
Purchase of property and equipment(27,621)(24,308)
Reimbursements from spectrum repacking4,438 9,768 
Payments for acquisitions of businesses and other assets, net of cash acquired(13,341)(15,841)
Purchases of investments(408)(704)
Proceeds from investments2,418 5,028 
Proceeds from sale of assets and businesses262 5,000 
Net cash flow used for investing activities(34,252)(21,057)
Cash flows from financing activities:
Payments under revolving credit facilities, net(99,000)(68,000)
Proceeds from borrowings 1,000,000 
Debt repayments (1,010,000)
Payments for debt issuance costs and early redemption fee (29,948)
Proceeds from sale of minority ownership interest in Premion 14,000 
Dividends paid(36,426)(45,776)
 Other, net(10,521)(9,095)
Net cash flow used for financing activities(145,947)(148,819)
Increase in cash16,294 143,666 
Balance of cash, beginning of period40,968 29,404 
Balance of cash, end of period$57,262 $173,070 
Supplemental cash flow information:
Cash paid for income taxes, net of refunds$117,600 $465 
Cash paid for interest$91,022 $100,074 
The accompanying notes are an integral part of these condensed consolidated financial statements.
7


TEGNA Inc.
CONSOLIDATED STATEMENTS OF EQUITY AND REDEEMABLE NONCONTROLLING INTEREST
Unaudited, in thousands of dollars, except per share data
Quarters Ended:Redeemable noncontrolling interestCommon
stock
Additional
paid-in
capital
Retained
earnings
Accumulated
other
comprehensive
loss
Treasury
stock
Total Equity
Balance at Mar. 31, 2021$15,220 $324,419 $27,596 $7,151,716 $(119,798)$(5,244,595)$2,139,338 
Net income227 — — 106,627 — — 106,627 
Other comprehensive income, net of tax— — — — 1,194 — 1,194 
Total comprehensive income107,821 
Dividends declared: $0.165 per share
— — — 43 — — 43 
Company stock 401(k) contribution— — (1,420)(9,053)— 14,552 4,079 
Stock-based awards activity— — (5,990)— — 5,986 (4)
Stock-based compensation— — 7,410 — — — 7,410 
Adjustment of redeemable noncontrolling interest to redemption value76 — — (76)— — (76)
Other activity— — 345 — — — 345 
Balance at June 30, 2021$15,523 $324,419 $27,941 $7,249,257 $(118,604)$(5,224,057)$2,258,956 
Redeemable noncontrolling interestCommon
stock
Additional
paid-in
capital
Retained
earnings
Accumulated
other
comprehensive
loss
Treasury
stock
Total
Balance at Mar. 31, 2020$14,093 $324,419 $152,106 $6,725,911 $(141,175)$(5,403,005)$1,658,256 
Net income (loss)(374)— — 19,947 — — 19,947 
Other comprehensive income, net of tax— — — — 996 — 996 
Total comprehensive income20,943 
Dividends declared: $0.07 per share
— — — (15,308)— — (15,308)
Company stock 401(k) contribution— — (17,888)— — 21,316 3,428 
Stock-based awards activity— — (2,627)— — 2,605 (22)
Stock-based compensation— — 8,325 — — — 8,325 
Adjustment of redeemable noncontrolling interest to redemption value654 — — (654)— — (654)
Other activity— — 339 — — — 339 
Balance at June 30, 2020$14,373 $324,419 $140,255 $6,729,896 $(140,179)$(5,379,084)$1,675,307 
8


TEGNA Inc.
CONSOLIDATED STATEMENTS OF EQUITY AND REDEEMABLE NON-CONTROLLING INTEREST
Unaudited, in thousands of dollars, except per share data
Six Months Ended:Redeemable noncontrolling interestCommon
stock
Additional
paid-in
capital
Retained
earnings
Accumulated
other
comprehensive
loss
Treasury
stock
Total
Balance at Dec. 31, 2020$14,933 $324,419 $113,267 $7,075,640 $(121,076)$(5,334,155)$2,058,095 
Net income442 — — 219,244 — — 219,244 
Other comprehensive income, net of tax— — — — 2,472 — 2,472 
Total comprehensive income221,716 
Dividends declared: $0.235 per share
— — — (36,426)— — (36,426)
Company stock 401(k) contribution— — (17,674)(9,053)— 36,111 9,384 
Stock-based awards activity— — (84,509)— — 73,987 (10,522)
Stock-based compensation— — 16,172 — — — 16,172 
Adjustment of redeemable noncontrolling interest to redemption value148 — — (148)— — (148)
Other activity— — 685 — — — 685 
Balance at June 30, 2021$15,523 $324,419 $27,941 $7,249,257 $(118,604)$(5,224,057)$2,258,956 
Redeemable noncontrolling interestCommon
stock
Additional
paid-in
capital
Retained
earnings
Accumulated
other
comprehensive
loss
Treasury
stock
Total
Balance at Dec. 31, 2019$ $324,419 $247,497 $6,655,088 $(142,597)$(5,494,030)$1,590,377 
Net income (loss)(484)— — 106,255 — — 106,255 
Other comprehensive income, net of tax— — — — 2,418 — 2,418 
Total comprehensive income108,673 
Dividends declared: $0.14 per share
— — — (30,590)— — (30,590)
Company stock 401(k) contribution— — (35,719)— — 44,285 8,566 
Stock-based awards activity— — (79,756)— — 70,661 (9,095)
Stock-based compensation— — 7,568 — — — 7,568 
Sale of minority ownership interest in Premion14,000 — — — — — 
Adjustment of redeemable noncontrolling interest to redemption value857 — — (857)— — (857)
Other activity— — 665 — — — 665 
Balance at June 30, 2020$14,373 $324,419 $140,255 $6,729,896 $(140,179)$(5,379,084)$1,675,307 
The accompanying notes are an integral part of these condensed consolidated financial statements.

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TEGNA Inc.
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
NOTE 1 – Accounting policies

Basis of presentation: Our accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) for interim financial reporting, the instructions for Form 10-Q and Article 10 of the U.S. Securities and Exchange Commission (SEC) Regulation S-X. Accordingly, they do not include all information and footnotes which are normally included in the Form 10-K and annual report to shareholders. In our opinion, the condensed consolidated financial statements reflect all adjustments of a normal recurring nature necessary for a fair statement of the results for the interim periods presented. The condensed consolidated financial statements should be read in conjunction with our (or TEGNA’s) audited consolidated financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2020.

The preparation of these condensed consolidated financial statements requires us to make estimates and assumptions that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. The novel coronavirus (COVID-19) pandemic has resulted, and will continue to result, in significant economic disruption and will likely continue to adversely affect our business. The impact of COVID-19 (including newly identified variants) and the extent of its adverse impact on our financial and operating results will be dictated by the length of time that the pandemic continues to affect our advertising customers.

We use the best information available in developing significant estimates inherent in our financial statements, including potential impacts from the COVID-19 pandemic. Actual results could differ from these estimates, and these differences resulting from changes in facts and circumstances could be material. Significant estimates include, but are not limited to, evaluation of goodwill and other intangible assets for impairment, business combinations, fair value measurements, post-retirement benefit plans, income taxes including deferred taxes, and contingencies. The condensed consolidated financial statements include the accounts of subsidiaries we control. We eliminate all intercompany balances, transactions, and profits in consolidation. Investments in entities over which we have significant influence, but do not have control, are accounted for under the equity method. Our share of net earnings and losses from these ventures is included in “Equity (loss) income in unconsolidated investments, net” in the Consolidated Statements of Income.

We operate one operating and reportable segment, which primarily consists of our 64 television stations and two radio stations operating in 51 markets, providing high-quality television programming and digital content. Our reportable segment determination is based on our management and internal reporting structure, the nature of products and services we offer, and the financial information that is evaluated regularly by our chief operating decision maker.

Accounting guidance adopted in 2021: We did not adopt any new accounting guidance in 2021 that had a material impact on our consolidated financial statements or disclosures.

New accounting guidance not yet adopted: There is currently no pending accounting guidance that we expect to have a material impact on our consolidated financial statements or disclosures.

Trade receivables and allowances for doubtful accounts: Trade receivables are recorded at invoiced amounts and generally do not bear interest. The allowance for doubtful accounts reflects our estimate of credit exposure, determined principally on the basis of our collection experience, aging of our receivables and any specific reserves needed for certain customers based on their credit risk. Our allowance also takes into account expected future trends which may impact our customers’ ability to pay, such as economic growth, unemployment and demand for our products and services, including the impacts of the COVID-19 pandemic on these trends. We monitor the credit quality of our customers and their ability to pay through the use of analytics and communication with individual customers. As of June 30, 2021, our allowance for doubtful accounts was $6.8 million as compared to $7.0 million as of December 31, 2020.

Redeemable Noncontrolling interest: Our Premion business operates an advertising network for over-the-top (OTT) streaming and connected television platforms. In March 2020, we sold a minority interest in Premion to an affiliate of Gray Television (Gray) and entered into a 3 year commercial reselling agreement with the affiliate. Gray’s investment allows it to sell its interest to Premion if there is a change in control of TEGNA or if the existing commercial agreement terminates. Since redemption of the minority ownership interest is outside our control, Gray’s equity interest is presented outside of the Equity section on the Condensed Consolidated Balance Sheet in the caption “Redeemable noncontrolling interest.”

Revenue recognition: Revenue is recognized upon the transfer of control of promised services to our customers in an amount that reflects the consideration we expect to receive in exchange for those services. Revenue is recognized net of any taxes collected from customers, which are subsequently remitted to governmental authorities. Amounts received from customers in advance of providing services to our customers are recorded as deferred revenue.

The primary sources of our revenues are: 1) subscription revenues, reflecting fees paid by satellite, cable, OTT (companies that deliver video content to consumers over the Internet) and telecommunications providers to carry our television signals on
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their systems; 2) advertising & marketing services revenues, which include local and national non-political television advertising, digital marketing services (including Premion), and advertising on the stations’ websites, tablet and mobile products, and OTT apps; 3) political advertising revenues, which are driven by even year election cycles at the local and national level (e.g. 2020, 2018) and particularly in the second half of those years; and 4) other services, such as production of programming and advertising material.

Revenue earned by these sources in the second quarter and first six months of 2021 and 2020 are shown below (amounts in thousands):
Quarter ended June 30,Six months ended June 30,
2021202020212020
Subscription$375,081 $323,475 $761,818 $656,277 
Advertising & Marketing Services340,889 229,083 663,723 524,236 
Political9,581 17,544 19,009 64,931 
Other7,357 7,525 15,409 16,372 
Total revenues$732,908 $577,627 $1,459,959 $1,261,816 

NOTE 2 – Goodwill and other intangible assets
The following table displays goodwill, indefinite-lived intangible assets, and amortizable intangible assets as of June 30, 2021 and December 31, 2020 (in thousands):
June 30, 2021Dec. 31, 2020
GrossAccumulated AmortizationGrossAccumulated Amortization
Goodwill$2,981,587 $ $2,968,693 $ 
Indefinite-lived intangibles:
Television and radio station FCC broadcast licenses2,123,898 — 2,123,898 — 
Amortizable intangible assets:
Retransmission agreements235,215 (153,684)235,215 (138,928)
Network affiliation agreements309,503 (84,945)309,503 (72,694)
Other71,465 (28,486)70,610 (23,960)
Total indefinite-lived and amortizable intangible assets$2,740,081 $(267,115)$2,739,226 $(235,582)

Our retransmission agreements and network affiliation agreements are amortized on a straight-line basis over their estimated useful lives. Other intangibles primarily include distribution agreements from our multicast networks acquisition, which are also amortized on a straight-line basis over their useful lives.

On January 27, 2021, we acquired Locked On Podcast Network LLC for $13.3 million, which consisted of a base purchase price of $13.8 million and a working capital adjustment of $0.5 million. Locked On produces daily podcasts for every team across the four major professional sports leagues, as well as major college sports teams. In connection with this acquisition, we recorded initial values for goodwill and a tradename of $12.9 million and $0.9 million, respectively. These amounts are based on preliminary valuations, and therefore, these assets are subject to change as additional information is obtained about the facts and circumstances that existed as of the acquisition date. The goodwill is calculated as the excess of the purchase price over the net fair value of the identifiable assets acquired and liabilities assumed, and represents the future economic benefits expected to arise from the acquisition that do not qualify for separate recognition, including assembled workforce, as well as future synergies that we expect to generate. The goodwill recognized is expected to be deductible for tax purposes.

Interim impairment assessment

We review our goodwill and intangible assets for impairment at least annually and also when events or changes in circumstances occur that indicate the fair value may be below its carrying amount. As discussed in our 2020 Form 10-K, after completing our annual impairment test in the fourth quarter of 2020, we had one television station FCC license and one radio station FCC license, with a combined carrying value of $67.2 million and individual impairment headroom of less than 5%. As a
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result, these two FCC licenses are deemed to be heightened risk of future impairment. Given the ongoing COVID-19 impacts of AMS revenue and operating cash flows, we conducted an impairment assessment of these two FCC licenses at the end of the second quarter.

In performing these assessments, we analyzed factors which impact the fair value determination of FCC license assets. This included reviewing the trends in U.S. gross domestic product, the stock market, unemployment trends, discount rates and individual station performance. Based on the analysis performed, we concluded that neither of these FCC licenses were impaired as of June 30, 2021. However, a sustained economic decline, including one resulting from the COVID-19 pandemic, could result in future non-cash impairment charges of our FCC licenses, and any related impairment could have a material adverse impact on our results of operations.


NOTE 3 – Investments and other assets

Our investments and other assets consisted of the following as of June 30, 2021 and December 31, 2020 (in thousands):
June 30, 2021Dec. 31, 2020
Cash value life insurance$53,058 $52,883 
Equity method investments27,947 32,067 
Other equity investments16,939 20,271 
Deferred debt issuance costs7,607 9,378 
Other long-term assets26,166 21,620 
Total$131,717 $136,219 

Cash value life insurance: We are the beneficiary of life insurance policies on the lives of certain employees/retirees, which are recorded at their cash surrender value as determined by the insurance carrier. These policies are utilized as a partial funding source for deferred compensation and other non-qualified employee retirement plans. Gains and losses on these investments are included in “Other non-operating items, net” within our Consolidated Statement of Income and were not material for all periods presented.

Other equity investments: Represents investments in non-public businesses that do not have readily determinable pricing, and for which we do not have control or do not exert significant influence. These investments are recorded at cost less impairments, if any, plus or minus changes in observable prices for those investments. In the first quarter of 2021, we recorded a $1.9 million impairment charge, in “Other non-operating items, net” within our Consolidated Statement of Income, due to the decline in the fair value of one of our investments. No gains or losses were recorded on these investments in the first six months of 2020.

Deferred debt issuance costs: These costs consist of amounts paid to lenders related to our revolving credit facility. Debt issuance costs paid for our term debt and unsecured notes are accounted for as a reduction in the debt obligation.

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NOTE 4 – Long-term debt
Our long-term debt is summarized below (in thousands):
June 30, 2021Dec. 31, 2020
Borrowings under revolving credit agreement expiring August 2024$256,000 $355,000 
Unsecured notes bearing fixed rate interest at 5.500% due September 2024
137,000 137,000 
Unsecured notes bearing fixed rate interest at 4.750% due March 2026
550,000 550,000 
Unsecured notes bearing fixed rate interest at 7.75% due June 2027
200,000 200,000 
Unsecured notes bearing fixed rate interest at 7.25% due September 2027
240,000 240,000 
Unsecured notes bearing fixed rate interest at 4.625% due March 2028
1,000,000 1,000,000 
Unsecured notes bearing fixed rate interest at 5.00% due September 2029
1,100,000 1,100,000 
Total principal long-term debt3,483,000 3,582,000 
Debt issuance costs(34,399)(36,595)
Unamortized premiums and discounts, net7,377 7,815 
Total long-term debt$3,455,978 $3,553,220 
As of June 30, 2021, cash and cash equivalents totaled $57.3 million and we had unused borrowing capacity of $1.23 billion under our $1.51 billion revolving credit facility which expires August 2024. We were in compliance with all covenants, including the leverage ratio (our one financial covenant) contained in our debt agreements and revolving credit facility. We believe, based on our current financial forecasts and trends, that we will remain compliant with all covenants for the foreseeable future.

NOTE 5 – Retirement plans

We have various defined benefit retirement plans. Our principal defined benefit pension plan is the TEGNA Retirement Plan (TRP). The disclosure table below includes the pension expenses of the TRP and the TEGNA Supplemental Retirement Plan (SERP). The total net pension obligations, including both current and non-current liabilities, as of June 30, 2021, were $82.4 million, of which $7.8 million is recorded as a current obligation within accrued liabilities on the Condensed Consolidated Balance Sheet.

Pension costs (income), which primarily include costs for the qualified TRP and the non-qualified SERP, are presented in the following table (in thousands):
Quarter ended June 30,Six months ended June 30,
2021202020212020
Service cost-benefits earned during the period$1 $2 $1 $4 
Interest cost on benefit obligation3,988 4,879 7,938 9,737 
Expected return on plan assets(8,690)(7,779)(17,340)(15,529)
Amortization of prior service cost20 87 45 45 
Amortization of actuarial loss1,246 1,481 2,446 3,081 
Income from company-sponsored retirement plans$(3,435)$(1,330)$(6,910)$(2,662)

Benefits no longer accrue for substantially all TRP and SERP participants as a result of amendments to the plans in the past years, and as such we no longer incur a significant amount of the service cost component of pension expense. All other components of our pension expense presented above are included within the “Other non-operating items, net” line item of the Consolidated Statements of Income.

During the six months ended June 30, 2021 and 2020, we did not make any cash contributions to the TRP. We made benefit payments to participants of the SERP of $1.8 million and $3.2 million during the six months ended June 30, 2021 and 2020, respectively. Based on actuarial projections and funding levels, we do not expect to make any cash payments to the TRP in 2021. We expect to make additional cash payments of $5.1 million to our SERP participants in 2021.
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NOTE 6 – Accumulated other comprehensive loss

The following table summarizes the components of, and the changes in, Accumulated Other Comprehensive Loss (AOCL), net of tax (in thousands):
Retirement PlansForeign Currency TranslationTotal
Quarters Ended:
Balance at Mar. 31, 2021$(120,070)$272 $(119,798)
Other comprehensive income before reclassifications 189 189 
Amounts reclassified from AOCL1,005  1,005 
Total other comprehensive income1,005 189 1,194 
Balance at June 30, 2021$(119,065)$461 $(118,604)
Balance at Mar. 31, 2020$(141,277)$102 $(141,175)
Other comprehensive loss before reclassifications (205)(205)
Amounts reclassified from AOCL1,201  1,201 
Total other comprehensive income1,201 (205)996 
Balance at June 30, 2020$(140,076)$(103)$(140,179)
Retirement PlansForeign Currency TranslationTotal
Six Months Ended:
Balance at Dec. 31, 2020$(120,979)$(97)$(121,076)
Other comprehensive income before reclassifications 558 558 
Amounts reclassified from AOCL1,914  1,914 
Total other comprehensive income1,914 558 2,472 
Balance at June 30, 2021$(119,065)$461 $(118,604)
Balance at Dec. 31, 2019$(142,398)$(199)$(142,597)
Other comprehensive income before reclassifications 96 96 
Amounts reclassified from AOCL2,322  2,322 
Total other comprehensive income2,322 96 2,418 
Balance at June 30, 2020$(140,076)$(103)$(140,179)

Reclassifications from AOCL to the Consolidated Statements of Income are comprised of pension and other post-retirement components. Pension and other post retirement reclassifications are related to the amortization of prior service costs, and amortization of actuarial losses. Amounts reclassified out of AOCL are summarized below (in thousands):
Quarter ended June 30,Six months ended June 30,
2021202020212020
Amortization of prior service credit, net$(266)$(131)$(241)$(240)
Amortization of actuarial loss1,619 1,735 2,819 3,342 
Total reclassifications, before tax1,353 1,604 2,578 3,102 
Income tax effect(348)(403)(664)(780)
Total reclassifications, net of tax$1,005 $1,201 $1,914 $2,322 

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NOTE 7 – Earnings per share

Our earnings per share (basic and diluted) are presented below (in thousands, except per share amounts):
Quarter ended June 30,Six months ended June 30,
2021202020212020
Net Income$106,854 $19,573 $219,686 $105,771 
Net (income) loss attributable to the noncontrolling interest(227)374 (442)484 
Adjustment of redeemable noncontrolling interest to redemption value(76)(654)(148)(857)
Earnings available to common shareholders$