- Revenue of $404.4 million and Adjusted EBITDA of $39.2 million
for 2008 - NEW YORK, March 16 /PRNewswire-FirstCall/ -- Westwood
One, Inc. (OTC Bulletin Board: WWON) a provider of analog and
digital media content, including news, sports, entertainment,
traffic, weather, video news services and other information, to the
radio, TV and on-line sectors, today reported operating results for
the full year and fourth quarter ended December 31, 2008. "Westwood
One achieved major milestones in its turnaround plan in 2008 and
early this year," said Rod Sherwood, Westwood One's President and
CFO. "The milestones included negotiating an agreement in principle
with our lenders to refinance the Company's outstanding debt,
renewing programming deals with powerful partners like the NFL and
the Masters Tournament, launching new, high-profile programming
like The Fred Thompson Show, and entering into an exclusive
partnership with TrafficLand, a leading-edge technology company in
the traffic business. This has positioned us to focus more intently
on generating revenue and reducing operating costs in the face of
the soft economic environment." 2008 Results Revenue for the year
ended December 31, 2008 was $404.4 million compared to $451.4
million for the year ended December 31, 2007, a decrease of $47.0
million or 10.4%. The decrease is primarily due to the current
economic downturn which accelerated in the fourth quarter of 2008
and primarily impacted local advertising. For 2008, Metro Traffic
revenue was $194.9 million compared to $232.4 million in 2007, a
decline of $37.5 million or 16.1%. The 2008 decrease is largely due
to a weak local advertising marketplace primarily in the
automotive, financial services and retail categories, and increased
competition. Network revenue for 2008 was $209.5 million compared
to $218.9 for 2007, a decline of $9.4 million or 4.3%. The decrease
is primarily the result of the general decline in advertising
spending, lower revenue from our RADAR inventory and lower barter
revenue. Adjusted EBITDA for 2008, defined as net income (loss)
plus interest, income tax, depreciation and amortization, goodwill
impairment, special charges, restructuring charges, other income
and non-cash, stock-based compensation, was $39.2 million as
compared with $97.4 million in 2007, a decrease of $58.2 million,
or 59.8%. The decrease was primarily a result of the revenue
decline and also reflected the timing of cost reduction actions,
particularly in Metro Traffic. The Company began a comprehensive
re-engineering of its Metro Traffic division in the third and
fourth quarters and management anticipates the benefits from this
to be largely realized during 2009. The operating loss in 2008,
absent goodwill impairment charges of approximately $430.1 million,
was $(7.9) million compared with operating income of $63.3 million
in 2007, a decrease of $71.2 million. The decline is in line with
the decrease in revenue and was substantially impacted by the costs
of re-engineering and refinancing activities. This was offset to
some degree by the elimination of amortization expense for warrants
issued to CBS, which were cancelled under the 2008 CBS arrangement.
Interest expense in 2008 decreased to $16.7 million from $23.6
million in 2007, a 29.2% decline, resulting from a reduction in
debt levels. The Company's effective tax rate decreased
significantly due to the goodwill impairment charges to
approximately 3.5% Net loss for the year, including impairment
charges of approximately $430.1 million was $(427.6) million or
$(4.39) per diluted common share, compared with a 2007 net profit
of $24.4 million, or $0.28 per diluted common share. Free cash
flow, defined as net income plus depreciation and amortization,
goodwill impairment, special charges, restructuring charges,
stock-based compensation, and amortization of deferred financing
costs less capital expenditures, in 2008 decreased approximately
$12.3 million to $40.8 million, or $0.41 per diluted share,
compared with $53.1 million, or $0.61 per diluted share in 2007.
Three Months Ended December 31, 2008 Revenue for the three months
ended December 31, 2008 decreased $17.2 million, or 14.5%, to
$101.1 million from $118.3 million in the same period of 2007. The
decrease is approximately 4.0% greater than the full year decline,
reflecting the increased severity of the recession in the fourth
quarter of 2008. Adjusted EBITDA for the fourth quarter of 2008 was
$6.0 million compared with $27.2 million in the fourth quarter of
2007. The decrease is principally attributable to lower revenue in
both segments of the business. The operating loss in the fourth
quarter of 2008, absent goodwill impairment charges of
approximately $224.1 million, was $(7.8) million compared with
operating income of $19.7 million in 2007, a decrease of $27.5
million. The decline reflects the decrease in revenue and includes
the costs of re-engineering and refinancing activities. Interest
expense in the fourth quarter of 2008 decreased $2.8 million, or
47.5%, to $3.1 million from $5.9 million in the fourth quarter of
2007, which reflects a reduction in debt levels. The Company's
effective tax rate decreased significantly to approximately 5.5%
due to the goodwill impairment charge taken in the fourth quarter.
For the fourth quarter of 2008, net loss, including an impairment
charge of $224.1 million, was $(222.5) million, or $(2.22) per
diluted share, compared with net income in the fourth quarter of
2007 of $8.3 million, or $0.10 per diluted share. Free cash flow in
the fourth quarter of 2008 decreased approximately $2.7 million to
$11.4 million, or $0.11 per diluted share, from $14.1 million or
$0.16 per diluted share, in 2007. This primarily reflects the
decrease in revenue related to the weak economic environment.
Business Update and Company Outlook Westwood One's turnaround
strategy made major strides in 2008, which have continued into the
first months of 2009. In addition to commencing the Traffic
re-engineering program and launching a number of revenue
initiatives in 2008, the Company recently reached an agreement in
principle to refinance all of its debt, including debt coming due
in 2009. This agreement in principle brings Westwood One closer to
achieving the financial flexibility necessary to drive its business
in 2009. Debt Refinancing A successful refinancing would be a
significant milestone in Westwood One's turnaround initiative,
which began last March when it became an independent company and
subsequently Gores Radio Holdings, LLC invested $100 million into
the Company's business. The agreement in principle with its lenders
contemplates that all of the Company's outstanding debt
(approximately $241 million in principal amount) would be converted
into $117.5 million of a single series of new senior secured notes
maturing in July 2012. As part of the contemplated refinancing
(which remains subject to the completion of definitive
documentation), Gores would invest an additional $25 million in the
Company and guarantee a new, unsecured $20 million subordinated
term loan and a $15 million unsecured revolver provided by a third
party lender. Upon closing, the Company would be significantly more
de-levered and would have more flexible financial covenants that
would provide the Company with the opportunity to enact further
changes in the business and take advantage of growth opportunities.
Strategically, the Company will be able to increase its focus on
key drivers of the business which are based on delivering superior
content and service, cost effectively, to its customers. The
Company also views this as an opportune time to assess the
landscape from an M&A perspective, and to selectively explore
opportunities that may be available. Revenue Initiatives Westwood
One recently signed agreements with several programming partners
that will provide high-profile content and large audiences to its
affiliates and advertisers, and generate revenue opportunities for
the Company. Last week, Westwood One and the National Football
League (NFL) announced a new two-year agreement for Westwood One to
continue as the exclusive network radio partner of the NFL.
Westwood One's NFL network of over 500 radio stations will
broadcast 57 national regular season and postseason NFL games,
including Monday Night Football, Sunday Night Football, the NFL
Playoffs, the Super Bowl and the Pro Bowl to millions of fans
across the country. In addition, through direct deals with NFL
clubs, Westwood One will broadcast up to 34 Sunday afternoon games.
The Company also renewed its agreement to continue as the exclusive
radio hole-by-hole provider for the Masters Tournament, and
announced its expanded coverage of the NCAA Men's Basketball
"Championship Week." On March 2, 2009, Westwood One launched The
Fred Thompson Show, which was the Company's largest talk radio
launch since Bill O'Reilly and Dennis Miller. The Fred Thompson
Show is broadcast on more than 160 stations in key markets such as
Washington D.C., Dallas, Houston and Minneapolis. "We plan to build
on our momentum with more branded programming that provides great
value for our affiliates and advertisers, and strong revenue
opportunities for Westwood One" said Sherwood. To leverage these
programming partnerships and other sales opportunities, even in the
face of a soft economic environment, the Company is pro-actively
adding select sales people to its sales organization. In Network
radio, the Company will add category management specialists for
sports, media and entertainment, news talk and digital. In Metro
Traffic, sales people will be added to deliver on strategic sales
objectives. Innovating with Technology Westwood One has maintained
its leadership in the traffic business for over 30 years by
providing the most accurate, comprehensive traffic information to
its affiliates. In 2008, it undertook a strategic initiative to
employ technology to increase the volume and accuracy of traffic
information provided to affiliates, and to generate savings through
lower distribution costs. Recently, the Company formed an exclusive
technology partnership with TrafficLand, the largest authorized
aggregator of live video traffic cameras in the US, with over 5,000
video cameras across the country monitoring traffic 24/7.
TrafficLand's video technology enables Westwood One to give its
affiliates and their listeners the most comprehensive market
coverage and solution-oriented traffic information. The Company is
also working with leading providers of speed and flow data to help
optimize traffic data and content. Westwood One plans to increase
its technological footprint in the traffic business by further
expanding in the digital and mobile platform areas in the future.
Reducing Operating Expenses Metro Traffic Metro Traffic's
technology partnerships with TrafficLand and its speed and flow
providers allow Westwood One to gather and distribute comprehensive
traffic data to affiliates more cost effectively. This strategy has
enabled the Company to drive savings through the continued
consolidation of 61 operations centers into 13 regional hubs.
Re-engineering Metro Traffic, coupled with other cost reductions
implemented in the last half of 2008, will result in annualized
cost reductions of $25-$30 million, as was previously announced.
Approximately $5.5 million of these savings occurred in 2008.
Additional Savings Incremental cost savings of $30-$33 million are
anticipated to be achieved from reduced operating expenses,
including labor savings, lower programming costs, and reduced
expenses for aviation, administrative support and other operating
expenses. These additional savings, plus the cost reductions
mentioned above, will result in total annual cost savings of
approximately $55-$63 million. Approximately $2 million of these
savings will be achieved in 2010, with the remainder occurring in
2009. Outlook for 2009 Westwood One will continue to drive its
turnaround efforts by focusing on three key strategies: -- First,
by generating revenue from branded programming in network radio,
and an enhanced technology-based product in traffic, and leveraging
these initiatives with a strengthened sales organization. --
Second, by maintaining a single-minded focus on reducing operating
expenses -- Third, by taking advantage of growth opportunities in
the marketplace. The weak and the uncertain economic environment
makes it difficult to forecast near-term operations. Therefore,
management believes it is prudent to withdraw the previous
financial outlook that has been provided for 2009. Management will
continue to be open about progress on the Company's operating
initiatives throughout 2009. Form 10-K Westwood One intends to file
a Form 12b-25 which will provide the Company with up to 15
additional days in which to file its 2008 Annual Report on 10-K,
without being considered "late" by the SEC. The Company believes
this is a prudent step given its ongoing refinancing process, and
certain analyses being undertaken in connection with the
refinancing transaction. As previously disclosed in an 8-K filing
with the SEC, the Company is in default under the terms of its
Credit Agreement and Note Purchase Agreement. In connection with
the refinancing process, the Company's debt holders have not sought
to date to exercise remedies that may be available to them under
applicable law or their respective existing debt agreements. If the
Company is unable to consummate the refinancing, the Company's debt
would remain outstanding. As a result of all of the above, there is
substantial doubt about the Company's ability to continue as a
going concern. This conclusion has no impact on the actions the
Company is taking to restructure its business, including the
agreement in principle that has been reached on the refinancing,
and the several cost reduction initiatives which have gained
significant traction. As previously disclosed in an 8-K, the
Company, Gores and various lenders are working towards execution of
definitive documentation to reflect the refinancing terms agreed
upon in principle. While management believes such refinancing will
close no later than the second quarter, there can be no assurance
that the parties will consummate the refinancing transaction. Based
on current facts and circumstances, management believes that if the
refinancing occurs, it will remove the conditions currently giving
rise to the going concern. Certain statements in this release
constitute "forward-looking statements" within the meaning of the
Private Securities Litigation Reform Act of 1995. Such
forward-looking statements involve known and unknown risks,
uncertainties and other factors which may cause the actual results,
performance or achievements of the Company to be materially
different from any future results, performance or achievements
expressed or implied by such forward-looking statements. The words
or phrases "guidance," "expect," "anticipate," "estimates" and
"forecast" and similar words or expressions are intended to
identify such forward-looking statements. In addition any
statements that refer to expectations or other characterizations of
future events or circumstances are forward-looking statements.
Various risks that could cause future results to differ from those
expressed by the forward-looking statements included in this
release include, but are not limited to: continued declines in
revenue; our ability to refinance our outstanding debt; our ability
to continue as a going concern; our ability to execute our growth
strategy; trends in audience and inventory delivered by our
affiliated radio stations, and competition in the media industry;
changes in economic conditions in the U.S. and in other countries
in which the Company currently does business (both generally and
relative to the broadcasting and media industry); advertiser
spending patterns; changes in the level of competition for
advertising dollars; and fluctuations in programming costs. Other
key risks are described in the Company's reports filed with the
SEC, including the Company's annual report on Form 10-K/A for the
year ending December 31, 2007. Except as otherwise stated in this
news announcement, Westwood One, Inc. does not undertake any
obligation to publicly update or revise any forward-looking
statements because of new information, future events or otherwise.
WESTWOOD ONE, INC. SUPPLEMENTAL DISCLOSURES REGARDING NON-GAAP
FINANCIAL INFORMATION Adjusted EBITDA The following tables set
forth the Company's Adjusted EBITDA for the three and twelve months
ended December 31, 2008 and 2007. The Company defines "Adjusted
EBITDA" as net income (loss) from its Statement of Operations
adjusted to exclude the following items: interest, income tax,
depreciation and amortization, stock-based stock compensation,
restructuring charges, special charges, other income and goodwill
impairment. Adjusted EBITDA is not a performance measure calculated
in accordance with Generally Accepted Accounting Principles
("GAAP"). Adjusted EBITDA is used by the Company to, among other
things, evaluate its operating performance, forecast and plan for
future periods, value prospective acquisitions, and as one of
several components of incentive compensation targets for certain
management personnel. This measure is an important indicator of the
Company's operational strength and performance of its business
because it provides a link between profitability and operating cash
flow. The Company believes the presentation of this measure is
relevant and useful for investors because it allows investors to
view performance in a manner similar to the method used by the
Company's management, helps improve their ability to understand the
Company's operating performance and makes it easier to compare the
Company's results with other companies that have different
financing and capital structures or tax rates. In addition, this
measure is also among the primary measures used externally by the
Company's investors, analysts and peers in its industry for
purposes of valuation and comparing the operating performance of
the Company to other companies in its industry. Adjusted EBITDA is
also used to determine compliance with its debt covenants. Since
Adjusted EBITDA is not a measure of performance calculated in
accordance with GAAP, it should not be considered in isolation of,
or as a substitute for, net income as an indicator of operating
performance. Adjusted EBITDA as the Company calculates it, may not
be comparable to similarly titled measures employed by other
companies. In addition, this measure does not necessarily represent
funds available for discretionary use, and is not necessarily a
measure of the Company's ability to fund its cash needs. As
Adjusted EBITDA excludes certain financial information compared
with operating income, the most directly comparable GAAP financial
measure, users of this financial information should consider the
types of events and transactions which are excluded. As required by
the SEC, the Company provides below a reconciliation of Adjusted
EBITDA to operating income, the most directly comparable amount
reported under GAAP. Three Months Ended Year Ended December 31,
December 31, ------------ ------------ (In millions) 2008 2007 2008
2007 ---- ---- ---- ---- Net (loss) income $(222.5) $8.3 $(427.6)
$24.4 Plus: Income taxes (12.7) 5.8 (14.8) 15.7 Interest expense
3.1 5.9 16.7 23.6 Depreciation and amortization 2.3 5.1 11.1 19.9
Goodwill impairment 224.1 -- 430.1 -- Restructuring, special &
other charges 10.5 0.3 18.3 4.2 Non-cash stock based compensation
1.2 1.8 5.4 9.6 Adjusted EBITDA $6.0 $27.2 $39.2 $97.4 Free Cash
Flow Free cash flow is defined by the Company as net income (loss)
plus depreciation and amortization, stock-based compensation,
special charges, restructuring charges and non-cash goodwill
impairment less capital expenditures. The Company uses free cash
flow, among other measures, to evaluate its operating performance.
Management believes free cash flow provides investors with an
important perspective on the Company's cash available to service
debt and the Company's ability to make strategic acquisitions and
investments, maintain its capital assets, repurchase its common
stock and fund ongoing operations. As a result, free cash flow is a
significant measure of the Company's ability to generate long term
value. The Company believes the presentation of free cash flow is
relevant and useful for investors because it allows investors to
view performance in a manner similar to the method used by
management. In addition, free cash flow is also a primary measure
used externally by the Company's investors, analysts and peers in
its industry for purposes of valuation and comparing the operating
performance of the Company to other companies in its industry. Free
cash flow per fully diluted weighted average Common shares
outstanding is defined by the Company as free cash flow divided by
the fully diluted weighted average Common shares outstanding. As
free cash flow is not a measure of performance calculated in
accordance with GAAP, free cash flow should not be considered in
isolation of, or as a substitute for, net income as an indicator of
operating performance or net cash provided by operating activities
as a measure of liquidity. Free cash flow, as the Company
calculates it, may not be comparable to similarly titled measures
employed by other companies. In addition, free cash flow does not
necessarily represent funds available for discretionary use and is
not necessarily a measure of the Company's ability to fund its cash
needs. In arriving at free cash flow, the Company adjusts net cash
provided by operating activities to remove the impact of cash flow
timing differences to arrive at a measure which the Company
believes more accurately reflects funds available for discretionary
use. Specifically, the Company adjusts net cash provided by
operating activities (the most directly comparable GAAP financial
measure) for capital expenditures, restructuring charges, special
charges, non-cash goodwill impairment and deferred taxes, in
addition to removing the impact of sources and or uses of cash
resulting from changes in operating assets and liabilities.
Accordingly, users of this financial information should consider
the types of events and transactions which are not reflected. The
Company provides below a reconciliation of free cash flow to the
most directly comparable amount reported under GAAP, net cash
provided by operating activities. The following table presents a
reconciliation of the Company's net cash provided by operating
activities to free cash flow: Three Months Ended Year Ended
December 31, December 31, ------------ ------------ (In millions,
except per share amounts) 2008 2007 2008 2007 ---- ---- ---- ----
Net cash provided by (used in) operating activities $(7.2) $7.3
$2.0 $27.8 Plus or Minus: Changes in assets and liabilities 13.7
6.7 (2.8) 20.1 Sale of marketable securities -- -- 12.4 --
Restructuring, special & other charges 7.0 0.6 27.3 4.6
Deferred taxes 0.2 1.3 10.4 6.4 Loss on disposal of property and
equipment (1.2) -- (1.2) -- Less capital expenditures (1.1) (1.8)
(7.3) (5.8) Free cash flow $11.4 $14.1 $40.8 $53.1 Fully diluted
weighted average shares Outstanding 101.1 86.4 98.3 86.4 Free cash
flow per diluted share $0.11 $0.16 $0.41 $0.62 WESTWOOD ONE, INC
CONSOLIDATED STATEMENT OF OPERATIONS (In thousands, except per
share amounts) (Unaudited) Year Ended December 31,
----------------------- 2008 2007 2006 ---- ---- ---- NET REVENUE
$404,416 $451,384 $512,085 ----------- -------- -------- --------
Operating Costs (includes related party expenses of $73,049,
$66,633 and $75,514 respectively) 360,492 350,440 395,196
Depreciation and Amortization (includes related party warrant
amortization of $1,618, $9,706 and $9,706, respectively) 11,052
19,840 20,756 Corporate General and Administrative Expenses
(includes related party expenses of $610, $3,394 and $3,273,
respectively) 13,442 13,171 14,618 Goodwill Impairment 430,126 -
515,916 Restructuring Charges 14,100 - - Special Charges (includes
related party expenses of $5,000, $0 and $0, respectively) 13,245
4,626 1,579 ------- ------- ------- 842,457 388,077 948,065 -------
------- ------- OPERATING (LOSS) INCOME (438,041) 63,307 (435,980)
------------------------ Interest Expense 16,651 23,626 25,590
Other Income (12,369) (411) (926) ------- ---- ---- INCOME (LOSS)
BEFORE INCOME TAXES (442,323) 40,092 (460,644) INCOME TAX (BENEFIT)
EXPENSE (14,760) 15,724 8,809 ------- ------ ----- NET (LOSS)
INCOME $(427,563) $24,368 $(469,453) ========= ======= =========
NET (LOSS) INCOME attributable to Common Shareholders $(427,563)
$24,368 $(469,453) ========= ======= ========= (LOSS) EARNINGS PER
SHARE COMMON STOCK BASIC $(4.39) $ 0.28 $ (5.46) ====== =====
====== DILUTED $(4.39) $ 0.28 $ (5.46) ====== ===== ====== CLASS B
STOCK BASIC $ - $ 0.02 $ 0.26 == ===== ===== DILUTED $ - $ 0.02 $
0.26 == ===== ===== WEIGHTED AVERAGE SHARES OUTSTANDING: COMMON
STOCK BASIC 98,015 86,112 86,013 ====== ====== ====== DILUTED
98,015 86,426 86,013 ====== ====== ====== CLASS B STOCK BASIC 292
292 292 === === === DILUTED 292 292 292 === === === WESTWOOD ONE,
INC CONSOLIDATED BALANCE SHEETS (In thousands, except share and per
share amounts) December 31, December 31, 2008 2007 ---- ----
(unaudited) ASSETS ------ CURRENT ASSETS: Cash and cash equivalents
$6,437 $6,187 Accounts receivable, net of allowance for doubtful
accounts of $3,632 (2008) and $3,602 (2007) 94,273 108,271
Warrants, current portion - 9,706 Prepaid and other assets 19,193
13,990 ------ ------ Total Current Assets 119,903 138,154 Property
and equipment, net 30,417 33,012 Goodwill 33,988 464,114 Intangible
assets, net 2,660 3,443 Other assets 17,763 31,034 ------ ------
TOTAL ASSETS $204,731 $669,757 ======== ======== LIABILITIES,
REDEEMABLE PREFERRED STOCK AND SHAREHOLDERS' EQUITY (DEFICIT)
--------------------------------- CURRENT LIABILITIES: Accounts
payable $27,807 $17,378 Amounts payable to related parties 22,680
30,859 Deferred revenue 2,397 5,815 Income taxes payable - 7,246
Accrued expenses and other liabilities 25,564 29,562 Current
maturity of long-term debt 249,053 - ------- - Total Current
Liabilities 327,501 90,860 Long-term debt - 345,244 Other
liabilities 6,827 6,022 ------- ------- TOTAL LIABILITIES 334,328
442,126 ------- ------- Commitments and Contingencies Redeemable
preferred stock: $.01 par value, authorized: 10,000 shares; issued
and outstanding: 75 shares of Series A Convertible Preferred Stock;
liquidation preference $1,000 per share, plus accumulated dividends
73,738 - ------ ------ SHAREHOLDERS' (DEFICIT) EQUITY
------------------------------- Common stock, $.01 par value:
authorized: 300,000 shares; issued and outstanding: 101,253 (2008)
and 87,105 (2007) 1,013 872 Class B stock, $.01 par value:
authorized: 3,000 shares; issued and outstanding: 292 (2008 and
2007) 3 3 Additional paid-in capital 292,602 290,786 Net unrealized
gain 601 5,955 Accumulated deficit (497,554) (69,985) --------
------- TOTAL SHAREHOLDERS' (DEFICIT) EQUITY (203,335) 227,631
-------- ------- TOTAL LIABILITIES, REDEEMABLE PREFERRED STOCK AND
SHAREHOLDERS' EQUITY (DEFICIT) $204,731 $669,757 ======== ========
WESTWOOD ONE, INC CONSOLIDATED STATEMENTS OF CASH FLOWS (In
thousands) (unaudited) Year Ended December 31,
------------------------ 2008 2007 2006 ---- ---- ---- CASH FLOW
FROM OPERATING ACTIVITIES: ------------------------------------ Net
(loss) income $(427,563) $24,368 $(469,453) Adjustments to
reconcile net (loss) income to net cash provided by operating
activities: Depreciation and amortization 11,052 19,840 20,756
Goodwill Impairment 430,126 - 515,916 Loss on disposal of property
and equipment 1,257 - - Deferred taxes (10,358) (6,480) (20,546)
Non-cash stock compensation 5,443 9,606 12,269 Gain on sale of
marketable securities (12,420) - - Amortization of deferred
financing costs 1,674 481 359 ----- --- --- (789) 47,815 59,301
Changes in assets and liabilities: Decrease in Accounts receivable
13,998 7,234 17,278 (Increase) Decrease in Prepaid and other assets
(5,873) (990) 6,367 (Decrease) in Deferred revenue (3,418) (2,335)
(936) (Decrease) Increase in Income taxes payable and prepaid
income taxes (7,246) 1,097 (15,724) Increase (Decrease) in Accounts
payable and accrued expenses and other liabilities 13,545 (29,435)
32,813 (Decrease) Increase in Amounts payable to related parties
(8,179) 4,515 5,152 ------ ----- ----- Net Cash Provided By
Operating Activities 2,038 27,901 104,251 ----- ------ ------- CASH
FLOW FROM INVESTING ACTIVITIES:
------------------------------------ Capital expenditures (7,313)
(5,849) (5,880) Proceeds from sale of marketable securities 12,741
- - Collection of loan receivable - - 2,000 Acquisition of
companies and other - - 75 ------ ----- ----- Net Cash Provided
(Used) In Investing Activities 5,428 (5,849) (3,805) ----- ------
------ CASH FLOW FROM FINANCING ACTIVITIES:
------------------------------------ Issuance of common stock
22,760 - 392 Issuance of series A convertible preferred stock and
warrants 74,168 - - Debt repayments and payments of capital lease
obligations (104,737) (25,730) (60,685) Terminated of swap
contracts 2,150 - - Dividend payments - (1,663) (27,640) Repurchase
of common stock - - (11,044) Deferred financing costs (1,556) -
(352) Excess windfall tax benefits from stock option exercises - -
12 -- -- -- Net Cash Used in Financing Activities (7,216) (27,393)
(99,317) ------ ------- ------- NET (DECREASE) INCREASE IN CASH AND
CASH EQUIVALENTS 250 (5,341) 1,129 CASH AND CASH EQUIVALENTS AT
BEGINNING OF PERIOD 6,187 11,528 10,399 ------ ------ ------- CASH
AND CASH EQUIVALENTS AT END OF PERIOD $6,437 $6,187 $11,528 ======
====== ======= DATASOURCE: Westwood One, Inc. CONTACT: INVESTOR,
Rod Sherwood, +1-212-373-5311, or PRESS, Chris Miller,
+1-212-641-2108 Web Site: http://www.westwoodone.com/
Copyright