Selected Financial Data - Non-GAAP Disclosures

Transcription

1 Selected Financial Data - Non-GAAP Disclosures With the adoption of Regulation G by the SEC, Station Operating Income replaces Broadcast Cash Flow as the metric used by management to assess the performance of our stations. Station Operating Income is calculated in the same manner as Broadcast Cash Flow. It is important to note that Station Operating Income, Same Station Net Revenues, Same Station Operating Expenses, Same Station Operating Income and Free Cash Flow are not measures of performance or liquidity calculated in accordance with generally accepted accounting principles ( GAAP ). Management believes that these measures are useful as a way to evaluate the Company and the means for management to evaluate our radio stations performance and operations. Management believes that these measures are useful to an investor in evaluating our performance because they are widely used in the broadcast industry to measure a radio company s operating performance. You should not consider these non-gaap measures in isolation or as substitutes for net income, operating income, or any other measure for determining our operating performance that is calculated in accordance with generally accepted accounting principles. These non-gaap measures are not necessarily comparable to similarly titled measures employed by other companies. Station Operating Income consists of operating income before depreciation and amortization, time brokerage agreement fees, corporate general and administrative expenses and gain or loss on sale of assets. Free Cash Flow consists of operating income: (i) plus depreciation and amortization, noncash compensation expense (which is otherwise included in corporate general and administrative expenses); and (ii) less net interest expense (excluding amortization of deferred financing costs), gains (loss) on sale of assets, taxes paid (refunded) and capital expenditures. Same station operating data is computed by comparing the performance of stations operated by the Company throughout the relevant period to the comparable performance in the prior year s corresponding period. The Company includes in the same station operating data the effects of changes in status of significant contracts that relate to operations that are accounted for as a separate business unit. Regulation G Presentations and Reconciliations: 1 st Quarter 2003 Year th Quarter rd Quarter nd Quarter st Quarter 2002 Selected Data 1

2 1 st Quarter 2003 Ended March 31, 2003 Net Revenues as Reported...$ 80,995 Separate Profit Centers Same Station Net Revenues...$ 80,995 Station Operating Expenses as Reported...$ 51,380 Separate Profit Centers Same Station Operating Expenses...$ 51,380 Operating Income as Reported...$ 21,943 Depreciation and Amortization... 3,457 Corporate General and Administrative Expenses... 3,537 Time Brokerage Agreement Fees Net Loss (Gains) on Sale of Assets Station Operating Income... 29,615 Net Acquisitions and Dispositions of radio stations Profit Centers Same Station Operating Income...$ 29,615 Operating Income as Reported...$ 21,943 Depreciation and Amortization... 3,457 Non-Cash Compensation Expense Net Loss on Sale of Assets Interest expense, net of interest income and deferred financing costs... (6,680) Capital Expenditures... (3,465) Net Gain on Sale of Assets Taxes (Paid) Refunded... (10) Free Cash Flow...$ 15,414 2

3 Year 2002 Year Ended December 31, 2002 Net Revenues as Reported...$ 391,289 Acquisitions and Divestitures of Radio Stations... 2,407 Separate Profit Centers... (7,036) Same Station Net Revenues...$ 386,660 Station Operating Expenses as Reported...$ 226,033 Acquisitions and Divestitures of Radio Stations... 1,305 Separate Profit Centers... (4,996) Same Station Operating Expenses...$ 222,342 Operating Income as Reported...$ 129,808 Depreciation and Amortization... 15,058 Corporate General and Administrative Expenses... 14,124 Time Brokerage Agreement Fees... 7,432 Net Loss (Gains) on Sale of Assets... (1,166) Station Operating Income ,256 Net Acquisitions and Dispositions of radio stations... 1,102 Profit Centers... (2,040) Same Station Operating Income...$ 164,318 Operating Income as Reported...$ 129,808 Depreciation and Amortization... 15,058 Non-Cash Compensation Expense... 1,179 Net Loss on Sale of Assets Interest expense, net of interest income and deferred financing costs... (29,601) Capital Expenditures... (10,136) Net Gain on Sale of Assets... (1,166) Taxes (Paid) Refunded Free Cash Flow...$ 105,364 3

4 4th Quarter 2002 Ended December 31, 2002 Net Revenues as Reported...$ 101,922 Separate Profit Centers... 1,662 Same Station Net Revenues...$ 103,584 Station Operating Expenses as Reported...$ 55,382 Separate Profit Centers... 1,589 Same Station Operating Expenses...$ 56,971 Operating Income as Reported...$ 39,029 Depreciation and Amortization... 3,360 Corporate General and Administrative Expenses... 3,420 Time Brokerage Agreement Fees Net Loss (Gains) on Sale of Assets... (19) Station Operating Income... 46,540 Net Acquisitions and Dispositions of radio stations Profit Centers Same Station Operating Income...$ 46,613 Operating Income as Reported...$ 39,029 Depreciation and Amortization... 3,360 Non-Cash Compensation Expense Net Loss on Sale of Assets Interest expense, net of interest income and deferred financing costs... (7,242) Capital Expenditures... (3,819) Net Gain on Sale of Assets... (19) Taxes (Paid) Refunded Free Cash Flow...$ 31,465 4

5 3rd Quarter 2002 Ended September 30, 2002 Net Revenues as Reported...$ 106,719 Separate Profit Centers... (3,562) Same Station Net Revenues...$ 103,157 Station Operating Expenses as Reported...$ 61,829 Separate Profit Centers... (2,471) Same Station Operating Expenses...$ 59,358 Operating Income as Reported...$ 36,900 Depreciation and Amortization... 4,372 Corporate General and Administrative Expenses... 3,437 Time Brokerage Agreement Fees... 1,317 Net Loss (Gains) on Sale of Assets... (1,136) Station Operating Income... 44,890 Net Acquisitions and Dispositions of radio stations Profit Centers... (1,091) Same Station Operating Income...$ 43,799 Operating Income as Reported...$ $ 36,900 Depreciation and Amortization... 4,372 Non-Cash Compensation Expense Net Loss on Sale of Assets... - Interest expense, net of interest income and deferred financing costs... (7,489) Capital Expenditures... (2,840) Net Gain on Sale of Assets... (1,136) Taxes (Paid) Refunded Free Cash Flow...$ $ 29,952 5

6 2nd Quarter 2002 Ended June 30, 2002 Net Revenues as Reported...$ 108,489 Acquisitions and Divestitures of Radio Stations... (55) Separate Profit Centers... (4,370) Same Station Net Revenues...$ 104,064 Station Operating Expenses as Reported...$ 60,663 Acquisitions and Divestitures of Radio Stations... (178) Separate Profit Centers... (3,281) Same Station Operating Expenses...$ 57,204 Operating Income as Reported...$ 36,728 Depreciation and Amortization... 3,935 Corporate General and Administrative Expenses... 3,916 Time Brokerage Agreement Fees... 3,249 Net Loss (Gains) on Sale of Assets... (2) Station Operating Income... 47,826 Net Acquisitions and Dispositions of radio stations Profit Centers... (1,089) Same Station Operating Income...$ 46,860 Operating Income as Reported...$ 36,728 Depreciation and Amortization... 3,935 Non-Cash Compensation Expense Net Loss on Sale of Assets... - Interest expense, net of interest income and deferred financing costs... (7,841) Capital Expenditures... (2,368) Net Gain on Sale of Assets... (2) Taxes (Paid) Refunded Free Cash Flow...$ 31,418 6

7 1 st Quarter 2002 Ended March 30, 2002 Net Revenues as Reported...$ 74,159 Acquisitions and Divestitures of Radio Stations... 2,476 Separate Profit Centers... (780) Same Station Net Revenues...$ 75,855 Station Operating Expenses as Reported...$ 48,159 Acquisitions and Divestitures of Radio Stations... 1,497 Separate Profit Centers... (846) Same Station Operating Expenses...$ 48,810 Operating Income as Reported...$ 17,151 Depreciation and Amortization... 3,391 Corporate General and Administrative Expenses... 3,351 Time Brokerage Agreement Fees... 2,116 Net Loss (Gains) on Sale of Assets... (9) Station Operating Income... 26,000 Net Acquisitions and Dispositions of radio stations Profit Centers Same Station Operating Income...$ 27,045 Operating Income as Reported...$ 17,151 Depreciation and Amortization... 3,391 Non-Cash Compensation Expense Net Loss on Sale of Assets Interest expense, net of interest income and deferred financing costs... (7,029) Capital Expenditures... (1,109) Net Gain on Sale of Assets... (9) Taxes (Paid) Refunded Free Cash Flow...$ 12,529 7

8 Selected Data Twelve Months Ended Dec. 31, Years Ended December 31, 1998 (Unaudited) Reconciliation of Station Operating Income to GAAP (Operating income): Operating income as reported... $107,122 $51,356 $131,757 $73,645 Depreciation and amortization... 14,222 20,936 42,617 45,644 Corporate general and administrative expenses... 5,528 8,100 12,497 12,335 Time brokerage agreement fees... 3, Net (gains) losses on sale of assets... (78,266) (1,986) (41,465) 16 Station operating income... $52,241 $79,058 $145,417 $131,640 Reconciliation of Free Cash Flow to GAAP (Operating Income): Operating income as reported... $107,122 $51,356 $131,757 $73,645 Depreciation and amortization... 14,222 20,936 42,617 45,644 Non-cash compensation expense Net loss on sale of assets Interest expense, net of interest income and deferred financing costs... (16,970) (9,774) (45,061) (35,134) Capital expenditures... (8,571) (14,357) (9,532) (9,820) Net gain on sale of assets... (78,266) (1,986) (41,465) - Taxes (paid) refunded... (322) (10,851) 472 (55) Free cash flow... $17,215 $35,785 $79,445 $74,832 8