Cumulus Media Q3 Loss Widens
November 8, 2007 at 5:47 AM (PT)
CUMULUS MEDIA INC. said THURSDAY its third-quarter loss widened as the radio station operator took a big charge related to a pending management-led buyout. The ATLANTA-based company posted a loss of $70.5 million, or $1.63 per share, versus a year-ago loss of $669,000, or 2 cents per share.
The latest quarter included a charge of $81.3 million to impair the value of certain assets. The company also booked a related tax gain of $10 million. CUMULUS did not provide an adjusted earnings figure.
Revenue inched higher to $84.2 million from $84 million last year, and came in ahead of WALL STREET estimates of $83 million. Most radio station operators have had slightly lower revenue as advertising spending dwindles along with listener numbers.
In JULY, the company agreed to a $507.7 million cash buyout offer from a group of investors that includes the company's chief executive, LEWIS DICKEY. Citing the deal, CUMULUS said it will not hold a conference call to discuss the latest results.