https://www.bizjournals.com/at...iles-chapter-11.html

Troubled radio giant Cumulus Media Inc. said late Wednesday that it filed to reorganize in Chapter 11 bankruptcy.

The Atlanta-based company (Nasdaq: CMLS), which is burdened with $2.4 billion in debt, owns and operates 446 radio stations broadcasting in 90 U.S. media markets. The company's historical focus had been on mid-sized radio markets in the United States. But in 2011, believing that large radio markets provided an opportunity for future growth, particularly for emerging digital advertising initiatives, Cumulus bought rival Citadel Broadcasting Corp. for $2.5 billion.

Cumulus said Wednesday it has entered a restructuring agreement with lenders to reduce the company’s debt by more than $1 billion. The company filed for Chapter 11 in the United States Bankruptcy Court for the Southern District of New York.

Atlanta Business Chronicle reported Nov. 13 that Cumulus had prepared a so-called "prepackaged" bankruptcy as it negotiated with its lenders. Earlier in November Cumulus defaulted on a nearly $24 million debt payment.

Cumulus said Wednesday it expects all operations, programming and sales to continue as normal throughout the restructuring. The company said it has ample cash combined with funds generated from ongoing operations to support its business.

Mary Berner, president and CEO of Cumulus, said in a statement, “Over the last two years, we have focused on implementing a business turnaround to reverse the Company’s multi-year ratings, revenue and EBITDA declines, create a culture that fosters motivated and engaged employees, and build an operational foundation to support the kind of performance we believe Cumulus is capable of delivering. As we have demonstrated in many measurable ways – including increased ratings, revenue market share gains, improved employee satisfaction, reduced employee turnover and, over the last several quarters, our return to year-over-year EBITDA and revenue growth – that turnaround has not only been successful but is continuing. However, as we have noted consistently, the debt overhang left by previous years of underperformance remains a significant financial challenge that we must overcome for our operational turnaround to proceed.”

“The actions we are taking today to address our balance sheet are a critical step forward for Cumulus," Berner added. "We will use this restructuring process to relieve the financial constraints on our continued progress, allowing us to focus our resources on investing in our business and people to strengthen our competitiveness and ultimately drive growth. We have ample cash to support our operations and service our advertisers, vendors and affiliates during this period, and we look forward to becoming an even stronger partner to all of them when we complete this important phase of our turnaround strategy.”

Radio is not what it used to be. I spent a long time of my life in the broadcasting industry. We had several radio stations and got out in 98. Sold them to what became Clear Channel eventually. I worked for the big corp for a few years. It wasn't for me. Their ideas of radio were not what i was used to and had grown up with. They took my 28 share station and effectively shot it in the head and within 3 years it had dropped to a 15 share in the arbitron ratings. It continued to sink and is nothing like it was when in it's hay day. We used to get over 300.00 for 30 sec. spot in morning drive. It's a fraction of that now.

I'm glad we got out when we did. There are just too many ways for people to be entertained these days.

quote:

Originally posted by pbramlett:
Radio is not what it used to be. I spent a long time of my life in the broadcasting industry. We had several radio stations and got out in 98. Sold them to what became Clear Channel eventually. I worked for the big corp for a few years. It wasn't for me. Their ideas of radio were not what i was used to and had grown up with. They took my 28 share station and effectively shot it in the head and within 3 years it had dropped to a 15 share in the arbitron ratings. It continued to sink and is nothing like it was when in it's hay day. We used to get over 300.00 for 30 sec. spot in morning drive. It's a fraction of that now.

I'm glad we got out when we did. There are just too many ways for people to be entertained these days.

Especially pushing the Sisyphusian boulder of $2.5 billion up that steep hill.

I wonder if anyone realized the debt would have to be paid?

In my case, back in 98 when the "big wigs" came in to show us rednecks how to do it they were more upset that our studio and buildings were not some Taj Mahal. Immediately they wanted to move and make it more enjoyable and view able. I pointed out that this is radio and shouldn't matter as long as we were on the air, providing the service to the public, advertisers, etc and making money.

They brought in/transferred people from other markets and put them in charge. They had always worked for someone else and never had the risk of losing their houses when shit went sideways. They wrecked it quick and just rode the paycheck. It was almost comical. They brought in a bean counter that was in control and nixed every expenditure that wasn't in the master corporate spending budget or one that wasn't directly tied to making the station look good. We were already used to being frugal, but spared no expense on stuff that mattered to our listeners. So when the doppler got hit by lightning, corporate said there was no reason a radio station needed their own doppler, work with a TV station and partner. That's when i started cleaning out my desk. TV was the enemy, now you want me to lay down with them?

They're killing themselves with adverts. Same thing broadcast TV is slowly doing.

As a young man, I'm talking about as far back as driving either mom's or dad's cars when in high school (we're talking AM radio, here), it was rare for my to change a station due to adverts. Now it's: Commercial break? Change station.

Why? Because when they go to a break, they'll be gone for a long, long time. And the radio commercials are, if anything, even more obnoxious then their TV counterparts.

Another reason I stopped listening to the radio so much: Content compression. Even after fixing up the speakers in the TrailBlazer (the OP had made a hash of them): Radio sounded like excrement. CDs, however, sounded quite nice. So did the local classical/jazz station, which is known not to compress very hard--if at all.

Just playing with it a bit I think that second will be much better with the HD-capable radio in the new ride. Don't know, for sure, as I'm spending time listening to the vehicel, right now, so I haven't been playing music in it.

quote:

Originally posted by ensigmatic:
They're killing themselves with adverts. Same thing broadcast TV is slowly doing.

As a young man, I'm talking about as far back as driving either mom's or dad's cars when in high school (we're talking AM radio, here), it was rare for my to change a station due to adverts. Now it's: Commercial break? Change station.

Why? Because when they go to a break, they'll be gone for a long, long time. And the radio commercials are, if anything, even more obnoxious then their TV counterparts.

Another reason I stopped listening to the radio so much: Content compression. Even after fixing up the speakers in the TrailBlazer (the OP had made a hash of them): Radio sounded like excrement. CDs, however, sounded quite nice. So did the local classical/jazz station, which is known not to compress very hard--if at all.

Just playing with it a bit I think that second will be much better with the HD-capable radio in the new ride. Don't know, for sure, as I'm spending time listening to the vehicel, right now, so I haven't been playing music in it.

One of the reasons the audio sounds like garbage is these stations have HD subcarriers on their main signal. So the traditional analog signal is compressed and sounds terrible where as if you wanted to listen to the 24hr Christmas channel subcarrier it would sound good.

I would agree that the excess commercials are leading the listener revolt.
Having XM, I cant recall the last time I listened to over the air live broadcast. And when someone begins to yak on XM, instant channel change.