Radio One, Inc. Announces Officer Repayment of Loans
WASHINGTON--(BUSINESS WIRE)--March 14, 2005--Radio One, Inc. (NASDAQ:ROIAK and ROIA) today announced that its President and CEO, Alfred C. Liggins III, has repaid in full all loans extended to him by the Company. As previously disclosed, the Company extended a loan to Mr. Liggins in the principal amount of approximately $21.1 million in connection with his employment agreement. This loan was made to enable him to purchase 1,500,000 shares of the Company's Class D common stock. The promissory note underlying the loan permitted repayment using cash and/or Radio One common stock. In December 2004, Mr. Liggins made a payment of $2.0 million in cash and in February 2005, he made a payment of approximately $17.8 million using 1,125,000 shares of the Company's Class D common stock that were issued to him pursuant to the loan. All shares transferred in payment of the loan have been retired by the Company. The remaining loan balance of approximately $6.0 million was repaid in cash on March 8, 2005. On March 8, 2005, Mr. Liggins also repaid a second loan in the principal amount of $380,000 with a cash payment of approximately $549,000.
Radio One, Inc. (www.radio-one.com) is the nation's seventh largest radio broadcasting company (based on 2004 net broadcast revenue) and the largest company that primarily targets African-American and urban listeners. Radio One owns and/or operates 69 radio stations located in 22 urban markets in the United States and reaches more than 13 million listeners every week. Radio One also owns approximately 36% of TV One, LLC, an African-American targeted cable network, which is a joint venture with Comcast Corporation and DIRECTV. Additionally, Radio One programs "XM 169 The POWER" on XM Satellite Radio and owns of 51% of Reach Media, Inc., owner of the Tom Joyner Morning Show and other businesses associated with Tom Joyner, a leading urban media personality.
This press release includes 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, seasonal nature of the business, granting of rights to acquire certain portions of the acquired company's or radio station's operations, market ratings, variable economic conditions and consumer tastes, as well as restrictions imposed by existing debt and future payment obligations and agreed upon conditions to closing. Important factors that could cause actual results to differ materially are described in Radio One's reports on Forms 10-K and 10-Q and other filings with the Securities and Exchange Commission.
CONTACT: Radio One, Inc. Scott R. Royster, EVP & CFO, 301-429-2642 SOURCE: Radio One, Inc.