Radio One, Inc. and ABC Radio Networks Join Forces to Create America's Largest Urban Network
WASHINGTON, Nov. 6 /PRNewswire/ -- Radio One, Inc. (Nasdaq: ROIAK; ROIA), the largest owner and operator of urban radio stations, and ABC Radio Networks, the leader in urban radio programming, have partnered to form a history-making platform that creates the largest radio network reaching the African-American marketplace. The new partnership enables ABC Radio Networks' Urban Advantage Network (UAN) to be available to more than 93 percent of African-American consumers.
The two companies have established an expanded network to create the most wide-reaching radio infrastructure to access the African-American market. Radio One will allocate a portion of its commercial time to ABC Radio Networks' existing Urban Advantage Network. The alliance bolsters the reach of UAN and provides Radio One with a vehicle to reach African-American consumers on a national level, in addition to its established local market efforts.
ABC Radio Networks' 163 urban affiliates and the vast majority of Radio One's 65 stations will be united under the banner of the Urban Advantage Network. This partnership will catapult the ranking of the Urban Advantage Network from 25th to sixth among adults 18-49 and will increase its average audience by more than 250 percent. U.S. DMA coverage will increase from 73 to 76 percent. UAN's index for top 10 DMAs goes from 115 to 121 and DMAs 11-25 from 73 to 125.
"This agreement with ABC represents the most cost efficient and rational way to leverage our extensive radio station platform and should optimize shareholder value creation vis-a-vis various options for our network radio strategy," said Alfred C. Liggins, III, CEO and President of Radio One. "We look forward to executing against this very exciting, history-making partnership with ABC Radio Networks."
"ABC Radio Networks has consistently led the radio industry in programming that uniquely connects with African-American consumers," said Traug Keller, president of ABC Radio Networks. "Our partnership with Radio One continues our industry leadership, innovation and delivery of the best content to our listeners and audience to our advertisers."
"This strong strategic alliance provides ABC Radio Networks with a platform for potential collaborations in sports, syndicated music programs, gospel and urban talk radio," said Darryl Brown, executive vice-president and general manager of ABC Radio Networks. "We look forward to teaming with Radio One to enhance our service to the urban listener and increase our advertisers' power to reach this incredibly loyal market."
Radio One is the nation's seventh largest radio broadcasting company (based on 2000 pro forma revenue) and the largest primarily targeting African- American and urban listeners. Pro forma for all announced acquisitions and operating agreements, the Company owns and/or operates 65 radio stations located in 22 of the largest markets in the United States and programs five channels on the XM Satellite Radio system.
Offering America's leading urban radio programming, ABC's Urban Advantage Network (UAN) is a unit-based radio network which combines some of the nation's top urban stations with ABC's strong 24/7 programming line-up: "Rejoice! Musical Soul Food," "Classic R&B," and "The Touch." The UAN also includes many "Tom Joyner Morning Show" and "Doug Banks Morning Show" Top 25 markets, including New York, Chicago, Philadelphia, Washington D.C. and Houston.
ABC Radio Networks has more than 4,600 affiliate radio stations reaching 122 million persons age 12 and older each week. ABC broadcasts six full- service News Networks, ABC News Radio, "Paul Harvey News and Comment" and "The Rest of the Story," Radio Disney, ESPN Radio, "The Tom Joyner Morning Show," "The Sean Hannity Show," "The Doug Banks Morning Show," "American Country Countdown with Bob Kingsley," 12 ABC Radio 24-hour music formats, ABC Sports, and an extensive line-up of music and talk programming.
This press release may include forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Because these statements apply to future events, they are subject to risks and uncertainties that could cause actual results to differ materially, including the absence of a combined operating history with an acquired company or radio station and the potential inability to integrate acquired businesses, need for additional financing, high degree of leverage, granting of rights to acquire certain portions of the acquired company's or radio station's operations, variable economic conditions and consumer tastes, as well as restrictions imposed by existing debt and future payment obligations. Important factors that could cause actual results to differ materially are described in the Company's reports on Forms 10-K and 10- Q and other filings with the Securities and Exchange Commission.
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SOURCE Radio One, Inc.
CONTACT: Scott R. Royster, Chief Financial Officer of Radio One, Inc., +1-301-429-2642; or Media: Fran Gallagher, +1-214-932-6072,