Gannett Inc. (GCI) Chief Financial Officer Gracia Martore said Monday the company's newsprint expense in the third quarter was down 43%, and she expects newsprint prices to remain under pressure into 2010.

During a conference call following Gannett's third-quarter earnings release, Martore said newsprint costs are down due to a "sizable imbalance in supply versus demand."

Gannett's third-quarter earnings results beat expectations, partly due to cost cuts, and Martore said newsprint expense declines made up a "significant portion" of those cutbacks." Its overall operating expenses fell 14%.

The company's shares are up 4.5% to $13.56.

-By Nat Worden, Dow Jones Newswires; 212-416-2472; nat.worden@dowjones.com