The Bermuda Press (Holdings) Limited, the parent company of yesterday reported net income for 2003 of $1.509 million, down from $1.885 million in 2002.

The company, which also owns the Bermuda Press Ltd., the Royal Gazette Stationery Store, Office Solutions and property, had revenues of $28.98 million for the year compared to last year?s $28.93 million.

President Roger Davidson said the company?s results were influenced by Hurricane Fabian and the ongoing challenge of operating in a changing economy.

He also underlined another major event ? the 2003 General Election. He said the company welcomed the steadying hand of new Premier Alex Scott.

In his directors? report, he said: ?Our business is carried on in very competitive markets with an ever-changing technological environment requiring capital investment each year.??

The company still managed to maintain a dividend at 64 cents per share. Expenses for the year were $27.432 million ? as opposed to $26.98 million in 2002 ? of which the cost of materials, merchandise and supplies increased by $0.36 million or five percent without a corresponding increase in sales.

Net operating income was $1.550 million, down on 2002?s figure of $1.95 million.

Assets were $37.341 million compared to $38.111 million in 2002.

Mr. Davidson said construction on the company?s Crown House in Par-la-Ville Road was completed three years ago ? the property was an attempt to bring in earnings not dependent on tourism and retail swings.

?So far this has been justified.??

Mr. Davidson said the financial year 2002/2003 was the second full year for the company?s new editing and composing systems. These were particularly useful in instantly updating the company?s web site during the election and after Fabian.

The systems had also helped increase use of colour and a gradual change of style in the newspapers. The number of pages published by and the Mid-Ocean News increased slightly.

At Crown Communications, The Bottom Line and RG Magazine had made strides in the market, Mr. Davidson continued.

The Bottom Line now had the largest circulation in Bermuda and abroad compared to its competitors.

Mr. Davidson said the total interests of all directors and officers in the shares of the company amounted to 168,011 shares at September 30, 2003.

He noted that the company?s shares continued to be traded on the local stock exchange below net book value of $16.79. In 200002 an independent valuation of the company?s land and buildings concluded a market valuation of $32.3 million which if recorded would increase shareholders? equity to about $28 per share.