RPT-UPDATE 1-Tribune posts loss, reviews assets

(Repeating, without changes, to additional subscribers) (Recasts to add details on review, adds NEW YORK dateline)

By Robert MacMillan

NEW YORK, March 20 (Reuters) - Privately-held publisher and broadcaster Tribune Co posted a fourth-quarter loss on Thursday and said it has begun a review that could lead to the sale of some of its properties.

The debt-laden newspaper publisher and broadcaster, which went private in a buyout last year led by real estate tycoon Sam Zell, reported a loss of $78.8 million in the fourth quarter, compared with a profit of $239.1 million a year ago.

Revenue fell 12 percent to $1.27 billion, with advertising and circulation revenue at its papers falling. Full-year results reflected a similar decline.

"I'm sure it comes as no surprise to you that our results last year weren't good," Zell said in a memo to Tribune employees obtained by Reuters. "I have been trying to instill a sense of urgency in you all. I have been trying to get your attention, so that you recognize that today, right now, we are determining the outcome of this company's future."

The Chicago-based company, which publishes the Chicago Tribune and Los Angeles Times, said the review will determine how it can more effectively use its capital for its core operations or to reduce debt.

It did not say if it would sell properties, but Zell earlier this month would not rule it out when speaking to employees at The Sun in Baltimore, the paper reported.

Tribune is trying to sell the Chicago Cubs baseball team, and Wrigley Field, the team's home base. It has also been cutting jobs through buyouts and layoffs to help trim expenses.

Selling parts of the company could be crucial in determining whether it can pay down billions of dollars in debt that it took on when Zell took Tribune private.

In the company's fourth-quarter filing, it said publishing operating revenue fell 13 percent to $952 million, though not counting an additional week in 2006, operating revenue fell 7 percent.

The publishing group's operating profit in the fourth quarter was hit by a $130 million non-cash write-down, as well as other special charges, but was also hurt by a 15 percent drop in ad revenue.

Zell has been touring Tribune properties throughout the United States, peppering speeches with profanity and colorful language in what he describes as an effort to eliminate bureaucratic thinking and get employees excited about improving the company.

"When I tell you to take the initiative, to take steps to make Tribune more competitive -- that means take action! Don't wait for someone else to do it," he wrote in the memo. (Additional reporting by Anthony Kurian in Bangalore; Editing by Tim Dobbyn)