MANAGEMENT’S DISCUSSION AND ANALYSIS SUMMARY OF QUARTERLY RESULTS (In thousands of dollars except for per share amounts) 2004 QUARTER ENDED MARCH 31 JUNE 30 SEPT. 30 DEC. 31 Revenue 12 $361,748 $399,038 $366,540 $414,523 Net income $23,038 $35,764 $11,309 $42,592 Net income per Class A voting  and Class B non-voting share Basic $0.29 $0.45 $0.14 $.54 Diluted $0.29 $0.44 $0.14 $.54 2003 QUARTER ENDED MARCH 31 JUNE 30 SEPT. 30 DEC. 31 Revenue $353,173 $379,256 $368,040 $387,840 Net income $25,115 $38,330 $29,715 $30,355 Net income per Class A voting and  Class B non-voting share Basic $0.33 $0.50 $0.38 $0.39 Diluted $0.32 $0.49 $0.38 $0.38 The summary of quarterly results illustrates the cyclical nature of revenues and operating profit in the Newspaper Segment. The for the daily newspapers. The weekly and community newspapers tend to during the year. At January 31, 2005, Torstar had 9,918,475 Class A voting shares and 68,255,928 Class B non-voting shares  outstanding. More information on Torstar share capital is provided in Note 8 of the consolidated financial statements. At January 31, 2005, Torstar had 5,580,493 options  to purchase Class B non-voting shares outstanding to executives and non-executive directors. More information on Torstar’s stock option plan is provided in Note 9 of the consolidated financial statements. Additional information relating to Torstar including the Annual Information Form is available on SEDAR at www.sedar.com. Unusual income and losses have impacted the level of net income in several quarters. In 2003, the first and second quarters had unusual income of $2.1 million and $5.0 million respectively and the fourth quarter had an unusual loss of $7.8 million. In 2004, the third quarter had an unusual loss of $12.3 million. On January 14, 2005, Torstar completed the sale of  the land and building that had been previously been occupied by The Record in Kitchener for proceeds  of $5.8 million. Torstar will report an unusual gain  of $1.3 million in the first quarter of 2005. Dated: February 23, 2005.  SUBSEQUENT EVENTS OTHER $^{12}$Quarterly revenue has been restated from that previously presented to reflect the change in accounting for circulation revenue.  42 TORSTAR 2004