A publication of

WACHOVIA CAPITAL MARKETS, LLC

Equity Research
Broadcast/Outdoor 2009 Outlook--Lowering Industry, Company Ests
Sector Rating: Outdoor, Market Weight Sector Rating: Radio, Market Weight Sector Rating: Television, Market Weight
Ticker Stock Chng. Rating Y/N 2V 2V 2V 2 2V 2V 2V 2V 2 1V 2V 2V 2V 2V N N N N N N N N N N N N N N Price 01/05/09 $14.75 0.21 2.79 6.40 0.40 1.36 0.32 1.69 8.70 1.51 0.43 6.26 3.32 1.46 2008E $1.58 0.41 0.80 1.03 0.54 2.38 0.05 0.80 2.21 0.38 0.77 1.11 1.72 0.76 FY FCF Chng. Y/N 2009E Y Y Y Y N Y Y Y Y Y Y N Y N $2.31 0.10 0.58 0.67 0.16 1.43 (0.11) 0.49 1.81 0.22 (0.15) 0.30 0.71 (0.18) FY P/FCF Chng. Y/N Y Y Y Y Y Y Y Y Y Y Y Y Y Y 2008 9.3x 0.5x 3.5x 6.2x NM 0.6x 6.4x 2.1x 3.9x 4.0x 0.6x 5.6x 1.9x 1.9x 2009 6.4x 2.1x 4.8x 9.6x NM 1.0x NM 3.5x 4.8x 6.9x NM 20.9x 4.7x NM

January 6, 2009

Outdoor LAMR Radio CDL CMLS CXR EMMS ETM ROIAK SGA Television CBS EVC GTN HTV SBGI TVL

Source: Company data and WCM, LLC estimates NA = Not Available, NC = No Change, NE = No Estimate, NM = Not Meaningful 1= Outperform, 2 = Market Perform, 3 = Underperform, V = Volatile

Note 1: EMMS has a February fiscal year-end

Given the difficult macro environment and budget cuts across all ad categories, we are reducing our company and industry estimates for '09 and adjusting val ranges. OUTDOOR: LAMR HAS SOME TOUGH QUARTERS AHEAD. Given LAMR's significant exposure to local advertising (~82% as of 12/31/07), we anticipate significant declines in '09E with rev -11% and EBITDA -22%. While our revised model suggests that LAMR is approaching its 6x debt covenant, mgmt may reduce opex more than our conservative forecast (-1% y/y). We continue to believe that LAMR will be one of the first media stocks to rebound in a recovery, and we would look to upgrade the stock upon stabilization of rev. and EBITDA declines. TELEVISION: MACRO AND AUTO TRUMP RETRANS. In addition to the economic disaster and absence of political and Olympic rev, broadcasters are getting slammed by the auto industry, which has historically comprised 25% of TV ad rev. While retrans likely will be a substantial rev stream for most companies in 09, it's not enough to offset the difficult macro environment, in our opinion. We reduced company rev and EBITDA estimates by 350bps and 1,120 bps, respectively, on avg. RADIO: WHO WILL SURVIVE? We currently forecast '09 rev. to be -13% for radio, and even this number may be too optimistic. Radio has, in our view, hit bottom given the various penny stocks, significant debt levels, no M&A, nonexistent credit and significant rev and EBITDA declines. In 2009, radio groups will focus on avoiding potential delisting and bankruptcies rather than rev. generation. We reduced co. rev. and EBITDA ests. by 460bps and 1,300bps, respectively, on avg.
Broadcasting Marci Ryvicker, CFA, CPA, Senior Analyst
(212) 214-5010 / marci.ryvicker@wachovia.com

Timothy Schlock, CFA, CPA, Associate Analyst

( 2 1 2 ) 2 1 4 - 5 0 1 1 / t i mo t h y. s c h l o c k @ w a c h o v i a . c o m

Please see page 9 for rating definitions, important disclosures and required analyst certifications.
WCM does and seeks to do business with companies covered in its research reports. As a result, investors should be aware that the firm may have a conflict of interest that could affect the objectivity of the report and investors should consider this report as only a single factor in making their investment decision.

Broadcasting

WACHOVIA CAPITAL MARKETS, LLC EQUITY RESEARCH DEPARTMENT

Wachovia Media Team Advertising Estimates

Newspapers YoY % Change Magazines YoY % Change Broadcast TV YoY % Change Cable TV YoY % Change Radio YoY % Change Yellow Pages YoY % Change Direct Mail YoY % Change Business Papers YoY % Change Billboards YoY % Change Internet YoY % Change Miscellaneous YoY % Change Total US Advertising YoY % Change 1960 3,681 0.0% 975 0.0% 1,627 0.0% 0 NM 693 0.0% 0 NM 1,830 0.0% 609 0.0% 203 0.0% 0 NM 2,342 0.0% 11,960 -1970 5,704 -0.2% 1,354 -3.8% 3,596 0.3% 0 NM 1,308 3.5% 0 NM 2,766 3.6% 740 -1.6% 260 10.6% 0 NM 3,848 0.9% 19,576 0.7% 1980 14,794 6.7% 3,279 7.4% 11,416 12.4% 72 NM 3,702 11.8% 2,900 NM 7,596 14.2% 1,674 6.3% 701 15.9% 0 NM 7,559 -21.5% 53,693 9.9% 1990 32,280 -0.3% 6,803 -1.8% 26,716 5.3% 2,457 17.3% 8,726 4.8% 8,926 7.2% 23,370 6.5% 2,875 4.1% 2,600 74.7% 0 NM 16,452 5.8% 131,205 4.8% 2000 48,671 5.1% 12,370 8.2% 44,802 12.0% 15,455 23.0% 19,819 12.1% 13,228 4.6% 44,591 7.7% 4,915 15.0% 4,780 -1.1% 8,087 75.0% 32,083 12.6% 248,801 10.9% 2005 49,435 2.5% 12,847 4.9% 44,293 -4.0% 24,011 11.5% 21,455 7.2% 14,229 1.4% 55,218 5.8% 4,276 5.0% 6,301 9.2% 12,542 30.3% 36,585 5.6% 281,192 4.7% 2006 49,275 -0.3% 13,168 2.5% 46,880 5.8% 24,659 2.7% 21,665 1.0% 14,349 0.8% 58,643 6.2% 4,447 4.0% 6,806 8.0% 16,879 34.6% 36,478 4.8% 293,249 4.3% 2007 45,375 -7.9% 13,787 4.7% 44,521 -5.0% 26,375 7.0% 21,310 -1.6% 14,218 -0.9% 60,225 2.7% 4,647 4.5% 7,350 8.0% 21,206 25.6% 37,390 2.5% 296,404 1.1% 2008E 37,989 -16.3% 12,960 -6.0% 43,872 -1.5% 27,521 4.3% 19,348 -9.2% 13,676 -3.8% 59,021 -2.0% 4,716 1.5% 7,415 0.9% 23,897 12.7% 36,268 -3.0% 286,684 -3.3% 2009E 33,100 -12.9% 12,701 -2.0% 38,481 -12.3% 26,971 -2.0% 16,837 -13.0% 12,816 -6.3% 57,545 -2.5% 4,716 0.0% 6,848 -7.6% 26,287 10.0% 34,817 -4.0% 271,120 -5.4%

Source: Wachovia Capital Markets, LLC Media Equity Research Estimates (John Janedis, Marci Ryvicker, Jaime Neuman), NAA, IAB, Universal McCann

We Are Reducing Industry Estimates For 2009

As we enter a new year, we see no reason to be optimistic as significant declines persist across most economic metrics consumer confidence, housing stats, employment, etc. The deep recession and the fear of depression has caused consumers and businesses alike to stop spending discretionary dollars, and as a result, ad budgets are among the lowest levels in decades, particularly among the largest ad categories such as auto, telecom and financials. We have reduced our 2009 industry estimates for radio, television and outdoor as follows.

Broadcast/Outdoor 2009 Outlook--Lowering Industry, Company Ests

WACHOVIA CAPITAL MARKETS, LLC EQUITY RESEARCH DEPARTMENT

Wachovia Capital Markets, LLC 2009 Industry Estimate Changes

RADIO Local National Network NTR TOTAL New -13% -17% -10% -4% -13% Old -8% -15% -5% -3% -8%

TELEVISION Local National Network Syndicated Internet TOTAL

New -15% -25% -5% -3% 3% -12%

Old -15% -20% -3% 0% 10% -10%

OUTDOOR Local National TOTAL

New -9% -6% -8%

Old -3% -3% -3%

Source for all charts: Wachovia Capital Markets, LLC estimates ________________________________________________________________________________________

OUTDOOR: LAMR HAS SOME TOUGH QUARTERS AHEAD

Given LAMR's significant exposure to local advertising (~82% as of December 31st, 2007), we anticipate deep declines in '09. We reduced our revenue and EBITDA growth estimates by 260bps and 550bps, respectively. We now anticipate that consolidated revenue will be -11% vs. -8% and that consolidated EBITDA will be -22% vs. -16%. Our model assumes that LAMR will put up an incremental 100 digital billboards in 2009, resulting in a cumulative 1,166 digital boards (out of ~170,000 in total). Given our estimate changes, we are now forecasting a year-end debt leverage of 5.7x, which is close to LAMRs 6.0x covenant (this calculation EXCLUDES the converts). However, we may be too conservative with regard to our opex expectation, which is currently for a -1% y/y decline. To put this in perspective -- for every 100bps change in opex growth, EBITDA increases/decreases by 200bps, and leverage increases/decreases by 0.1x. Therefore, should LAMR reduce opex greater than our model indicates, EBITDA and debt leverage could be more favorable than our current forecast implies. We continue to believe that LAMR will be one of the first media stocks to rebound in an economic recovery given its positive secular trends (most pricing power out of all traditional media, lack of technological threats, relatively low CPMs, new measurement system expected in 2009, new media focus with digital boards, etc.). We would look to upgrade the stock once declines in revenue and EBITDA stabilize. ________________________________________________________________________________________

Broadcasting

WACHOVIA CAPITAL MARKETS, LLC EQUITY RESEARCH DEPARTMENT

TELEVISION: MACRO AND AUTO TRUMP RETRANS

In addition to the economic disaster and the absence of political and Olympic revenue, broadcasters are getting slammed by the auto industry, which has historically comprised 25% of TV ad revenue. While retrans likely will be a substantial revenue stream for most companies in 2009 and beyond, we dont think it will be enough to offset the difficult macro environment, in the near term. We reduced our 2009 television revenue growth estimates by an average of 350bps and our EBITDA growth estimates by an average of 1,120 bps. Please see page 5 for detailed EBITDA growth estimates.
2009 Television Revenue Growth Estimates 2009E Revenue Growth New Old (4.2%) CBS (4.4%) (7.9%) EVC (11.0%) (21.1%) GTN (1) (22.5%) (19.2%) HTV (22.7%) (13.8%) SBGI (18.2%) (13.6%) TVL (22.1%) Note (1) We increased our retransmission consent revenue estimate for GTN to account for an additional 7 agreements in principle with large cable MSOs as announced on December 29th. Total retransmission consent revenue is expected to be $14 million, up from $11 million as announced on December 15th. Source: Wachovia Capital Markets, LLC estimates

We anticipate the best performers in 2009 to be CBS and EVC. While CBS has significant exposure to advertising revenue (at approximately 70% of total revenue), it also has a diversified set of revenue streams such as its O&O stations, the CBS network, syndication, Showtime, interactive, outdoor, publishing and radio. Some of these revenue streams are more insulated from economic downturns than others; particularly affiliate fees, syndication and interactive. CBS also has an investment grade balance sheet and a lot of cash on hand ($553 million as of September 30th) which provides it with more flexibility than most of its peers. EVCs revenue declines should be less significant than its English-language peers given its belowaverage exposure to political. Political revenue comprised only 4% of total television revenue (per our estimates) during this past presidential election vs. the ~10% exposure of most English-language broadcast groups. We also point out that we have not included a 2009 retrans estimate for EVC for two primary reasons: i) Univision is negotiating with MSOs on EVCs behalf, and there has been no disclosure as to the economics of this relationship (i.e. what is Univisions cut of EVCs retrans revenue); and ii) unlike its English-language peers, Entravision has not provided any information with regard to the progress of its retransmission consent talks. Therefore, we would rather remain conservative by excluding this revenue stream. That being said, once Univision/EVC complete their retrans negotiations, this revenue stream could be quite significant for EVC. We estimate that 2009 retrans revenue could vary between $10 million to $40 million, which would equate to an additional $2-$5 per share of equity value.

Broadcast/Outdoor 2009 Outlook--Lowering Industry, Company Ests

WACHOVIA CAPITAL MARKETS, LLC EQUITY RESEARCH DEPARTMENT

RADIO: WHO WILL SURVIVE?

We currently forecast '09 radio industry revenue to be -13%, and even this number may be too optimistic. Radio has, in our view, hit bottom given the various penny stocks, significant debt levels, lack of M&A, nonexistent credit and significant revenue and EBITDA declines. Unfortunately, however, we see no catalyst that will favorably boost the stocks until an economic and/or credit market recovery ensues. By that time, there may be a smaller number of public radio groups given the real potential for delisting and bankruptcies. We reduced our 2009 radio revenue growth estimates by an average of 460bps and our EBITDA growth estimates by an average of 1,300 bps. Please see page 5 for detailed EBITDA growth estimates.
2009 Radio Revenue Growth Estimates 2009E Revenue Growth New Old (7.9%) CBS (13.9%) (7.8%) CDL (12.7%) (5.4%) CMLS (10.6%) (6.0%) CXR (10.6%) (4.6%) EMMS (1) (2) (7.5%) (7.5%) ETM (11.7%) (6.6%) EVC (11.3%) (7.2%) ROIAK (11.5%) (3.2%) SGA (3) (7.9%) Note (1) EMMS has February fiscal year-end; therefore our estimate above is for FY2010 Note (2) EMMS has relatively better performance than its peers for 2 reasons: i) our estimates include the international division and ii) since EMMS has a February fiscal year-end, our FY2010 estimate includes the months of Jan and Feb 2010, which (hopefully) includes an economic recovery Note (3) We assume that SGA will outperform its peers given its small market focus. We also note that SGA announced on December 30th that its Board of Directors has approved a reverse stock split of not more than one-for-four shares in order to provide listing and trading liquidity. Source: Wachovia Capital Markets, LLC estimates

We expect the best performers in 2009 to be EMMS and SGA, with high single digit revenue declines vs. the double digit declines we are anticipating for the rest of the groups. Our reasoning for this is as follows: EMMS has a February fiscal year-end, which includes January and February of 2010. We hope that at that point, we will be in the midst of an economic recovery; therefore EMMS should benefit from 2 months of moderating revenue declines. Unlike its peers, EMMS also has a rather large international radio division, which comprises 20% of consolidated radio revenue (per our estimates). We anticipate that this segment will continue to trend better than EMMS domestic segment just as it has done over the past several years.

SGA has outperformed the industry for the past several years due to its small-market focus, and we anticipate that this trend will continue throughout the economic downturn. ________________________________________________________________________________________

Broadcasting

WACHOVIA CAPITAL MARKETS, LLC EQUITY RESEARCH DEPARTMENT

CONSOLIDATED ESTIMATES
2009 Consolidated Revenue Estimates New $740 $275 $366 $385 $319 $284 $129 $272 $596 $654 $330 $13,496 $215 2009E Revenue Old Chg. $796 (7%) $295 (7%) $387 (5%) $407 (6%) $327 (2%) $299 (5%) $137 (6%) $274 $619 $681 $360 $13,892 $225 (1%) (4%) (4%) (8%) (3%) (4%) Consensus $1,138 $299 $393 $409 $334 $299 $137 $280 $633 $693 $368 $13,605 $230 New (13%) (11%) (11%) (12%) (7%) (8%) (8%) (17%) (18%) (13%) (17%) (4%) (11%) (11%) 2009E Revenue Growth Old Chg. (8%) (492) (5%) (519) (6%) (463) (7%) (423) (5%) (215) (5%) (350) (3%) (442) (16%) (15%) (9%) (9%) (2%) (7%) (8%) (46) (306) (355) (757) (167) (372) (278) Consensus (5%) (4%) (5%) (8%) (4%) (5%) (3%) (14%) (14%) (8%) (7%) (3%) (5%) (5%)

CDL CMLS CXR ETM EMMS (1) ROIAK SGA GTN HTV SBGI TVL CBS EVC

CDL CMLS CXR ETM EMMS (1) ROIAK SGA GTN HTV SBGI TVL CBS EVC LAMR

$1,128 (3%) $1,138 $1,092 LAMR 2009 Consolidated EBITDA Estimates 2009E EBITDA (excl. FAS123R) New Old Chg. Consensus $212 (26%) $448 CDL $157 $80 (22%) $81 CMLS $62 $106 (13%) $117 CXR $93 $119 (17%) $122 ETM $98 $48 2% $53 EMMS (1) $49 $70 (21%) $79 ROIAK $56 $31 (22%) $30 SGA $24
GTN HTV SBGI TVL CBS EVC LAMR $70 $127 $162 $65 $2,265 $63 $399 $71 $147 $188 $93 $2,331 $73 $429 (2%) (13%) (14%) (31%) (3%) (14%) (7%) $81 $149 $184 $100 $2,291 $73 $448

CDL CMLS CXR ETM EMMS (1) ROIAK SGA GTN HTV SBGI TVL CBS EVC LAMR

New (36%) (29%) (28%) (30%) (25%) (25%) (27%) (41%) (41%) (33%) (46%) (17%) (24%) (22%)

2009E EBITDA Growth Old Chg. (19%) (1,716) (13%) (1,572) (19%) (884) (18%) (1,156) (27%) 147 (10%) (1,497) (11%) (1,568) (40%) (31%) (23%) (22%) (17%) (14%) (16%) (108) (912) (1,056) (2,405) 32 (1,089) (568)

Consensus (11%) (7%) (12%) (13%) (11%) (13%) (12%) (28%) (32%) (21%) (18%) (13%) (9%) (11%)

2009 EPS And FCF/Share Estimates New $0.10 $0.58 $0.67 $1.43 $0.16 ($0.11) $0.49 ($0.15) $0.30 $0.71 ($0.18) $1.81 $0.22 2009E FCF/Share Old Chg. $0.31 (67%) $0.95 (39%) $0.80 (16%) $1.99 (28%) $0.13 23% $0.05 (338%) $0.86 (43%) ($0.04) $0.51 $1.00 $0.38 $2.07 $0.33 310% (41%) (30%) (148%) (12%) (34%) Consensus N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A New ($0.02) $0.17 $0.45 $0.55 ($0.32) ($0.34) $0.21 ($0.57) ($0.00) $0.01 ($0.22) $1.01 $0.03 ($0.51) 2009E EPS Old Chg. $0.11 (119%) $0.35 (52%) $0.55 (18%) $0.88 (38%) ($0.34) (5%) ($0.19) 78% $0.43 (50%) ($0.54) $0.15 $0.18 $0.15 $1.19 $0.10 ($0.33) 5% (101%) (92%) (242%) (15%) (67%) 57% Consensus ($0.25) $0.28 $0.64 $0.82 ($0.26) ($0.08) $0.43 ($0.47) $0.25 $0.24 $0.18 $1.13 $0.11 ($0.25)

CDL CMLS CXR ETM EMMS (1) ROIAK SGA GTN HTV SBGI TVL CBS EVC

CDL CMLS CXR ETM EMMS (1) ROIAK SGA GTN HTV SBGI TVL CBS EVC

$2.63 (12%) N/A LAMR $2.31 LAMR Note 1 for all charts: EMMS has a February year end. Thus, 2009E represents EMMS' FY '10 Source for all charts: Wachovia Capital Markets, LLC estimates, Thomson One

________________________________________________________________________________________

WE HAVE ADJUSTED OUR VALUATION RANGES

Given that it is a new year and an unprecedented time, we have made two significant changes to our 5-year discounted cash flow analyses.

Broadcast/Outdoor 2009 Outlook--Lowering Industry, Company Ests

WACHOVIA CAPITAL MARKETS, LLC EQUITY RESEARCH DEPARTMENT

1) We have rolled our discounted cash flow models over to 2009, and 2) We are now using market value of debt rather than book value of debt in the calculation of overall firm value. We have also included our 2009E leverage forecasts vs. each companys debt covenants. While some of our assumptions may indicate a covenant breach, please remember that there are many levers a company can pull before a potential debt call or bankruptcy occurs (i.e. significant expense cuts, asset sales, refinancing).
Current Price $0.21 $2.79 $6.40 $0.40 $1.36 $0.32 $1.69 $0.43 $6.26 $3.32 $1.46 $8.70 $1.51 Valuation Range New Old $0-1 $1-2 $2-3 $1-3 $5-7 $6-8 $0-1 $2-4 $1-2 $1-2 $0-1 $1-2 $3-4 $3-5 $0-1 $5-7 $4-5 $1-2 $8-10 $2-3 $1-2 $15-17 $4-5 $2-4 $10-12 $4-6 Rationale Leverage Ratio Implied '09E EBITDA Mult. Terminal FCF Growth WCM Est. Covenant 7.8x (1%) 12.8x 7.75x Note (1) 9.5x (1%) 10.3x 7.0x 5.7x (1%) 3.8x 5.0x 6.5x (1%) 7.8x 6.5x Note (5) 6.4x (1%) 7.3x 6.0x 5.8x (1%) 12.2x 7.3x 6.3x (1%) 5.2x 4.5x Note (2) 11.0x 7.6x 7.5x 7.1x 7.1x 7.1x 8.6x 1% 1% 1% 1% 1% 1% 2% 8.8x 5.7x 4.3x 11.3x 3.0x 6.7x 5.7x 7.3x 5.0x 6.5x 7.0x 3.0x 6.8x 6.0x Note (3) Note (4)

CDL CMLS CXR EMMS ETM ROIAK SGA GTN HTV SBGI TVL CBS EVC

$14-16 $14-16 LAMR $14.75 Source: Wachovia Capital Markets, LLC estimates

Note (1): CDL's covenant steps down to 7.25x on October 1, 2009 Note (2): SGA's covenant steps down to 4.0x on June 30,2009 Note (3): EVC's covenant steps down to 6.5x on October 1, 2009 Note (4): GTN's debt covenant calculation is based on 8 trailing quarters instead of 4 Note (5): EMMS' debt covenant steps down to 6.0x on May 31, 2009. Source: Wachovia Capital Markets, LLC estimates, FactSet, Bloomberg and company data

Risks to Valuation Ranges: Risks to achieving our valuation ranges are as follows: Radio One: potential integration difficulties with ROIAK's new ventures and longer-than-anticipated economic recession. Emmis: audience share and revenue declines that are worse than expected and an increase in debt levels. Cox Radio: a lack of industry pricing power and declining ratings. Lamar: a lack of operating leverage, a slowdown in digital billboard deployment, and a greater than expected decline in occupancy and/or ad rates. Entercom: integration difficulties and format changes not contributing to growth as quickly as anticipated. Entravision: a greater than anticipated lag between ratings improvements and associated revenue growth and persistent declines due to increased competition. Cumulus: above-average debt levels and lack of pricing power. Citadel: increased market competition, potential integration difficulties and a lack of industry pricing power. Saga: a longerthan-anticipated lag between ratings improvement and revenue growth and potential integration difficulties. Gray Television: increased competition from other media, above-average debt levels and persistent viewership declines at the NBC network. Hearst-Argyle Television, Inc: increased competition from other media, continued declines in the auto advertising category, a slower-than-expected comeback from NBC and lower-than-expected revenue and cash flow contributions from HTV's new business initiatives (i.e., local websites, IBS, and digital programs). Lin TV Corporation: increased competition from other media, continued declines in the auto advertising category, increasing debt leverage and lower-than-expected revenue and cash flow contributions from TVL's new business initiatives. Sinclair Broadcast Group, Inc.: increased competition from other media, continued declines in the auto advertising category and lower-thanexpected revenue and cash flow contributions from SBGI's new business initiatives (i.e., digital channels, news sharing, and direct mail). CBS: a fall-off in CBS' ratings, regulatory barriers to CBS' conversion to digital outdoor products and a weak advertising and/or economic environment.

Broadcasting

WACHOVIA CAPITAL MARKETS, LLC EQUITY RESEARCH DEPARTMENT

Comparable Valuations
Comparative EV-to-EBITDA 2009E Multiples
16.0x 14.0x EV/EBITDA 2009E 12.0x 10.0x 8.0x 6.0x 4.0x 2.0x 0.0x 5.4x 5.8x 6.4x 7.5x 7.6x 7.8x 7.8x 7.8x 8.2x 8.2x 8.5x 8.9x 9.0x 9.2x 10.9x 10.2x 10.6x

CX R

TV L

IA K

M S

LS

H TV

CD L

LA M R

ET

A ve r

RO

io

Note: Radio includes CXR, ETM , ROIAK, CDL, CM LS, SGA. Television includes CBS, TVL, HTV, GTN, SBGI. Total includes all of the above. Sources: Company data and Wachovia Capital M arkets, LLC estimates

Comparative FCF Yield 2009E

50%

Te

le vi sio n

To ta l

Ra d

ve

EM

ve r

CM

FCF Yield 2009E

40% 30% 20%

26% 11% 15% 16% 16% 20% 21% 21%

29%

10% 0%

5%

EV C

SB GI

CX R

HT V

CB S

lA ve ra ge

ve ra ge

LA M

ve ra g

SG

isi on

To ta

Note: Radio includes CXR, ETM , ROIAK, CDL, CM LS, SGA. Television includes CBS, TVL, HTV, GTN, SBGI. Total includes all of the above. Sources: Company data and Wachovia Capital M arkets, LLC estimates

Te

lev

Ra di

oA

EM

M S

G TN
40%

SB G

ag e

EV

SG

ag e

CB

ra g

Broadcast/Outdoor 2009 Outlook--Lowering Industry, Company Ests

WACHOVIA CAPITAL MARKETS, LLC EQUITY RESEARCH DEPARTMENT

Required Disclosures
To view price charts for all companies rated in this document, please go to www.wachoviaresearch.com or write to 7 Saint Paul Street, 1st Floor, MD5202, Baltimore, MD 21202 ATTN: Research Publications
Additional Information Available Upon Request
I certify that: 1) All views expressed in this research report accurately reflect my personal views about any and all of the subject securities or issuers discussed; and 2) No part of my compensation was, is, or will be, directly or indirectly, related to the specific recommendations or views expressed by me in this research report. Wachovia Capital Markets, LLC maintains a market in the common stock of Cumulus Media Inc., Emmis Communications Corporation, Lamar Advertising Company, Radio One, Inc., Sinclair Broadcast Group, Inc. Wachovia Capital Markets, LLC or its affiliates intends to seek or expects to receive compensation for investment banking services in the next three months from CBS Corporation, Citadel Broadcasting Corp., Cox Radio, Inc., Cumulus Media Inc., Emmis Communications Corporation, Entravision Communications Corp., Gray Television, Inc., LIN TV Corporation, Radio One, Inc., Saga Communications, Inc., Sinclair Broadcast Group, Inc. Wachovia Capital Markets, LLC or its affiliates received compensation for investment banking services from Cox Radio, Inc., Gray Television, Inc., Lamar Advertising Company in the past 12 months. Cox Radio, Inc., Gray Television, Inc., Lamar Advertising Company currently is, or during the 12-month period preceding the date of distribution of the research report was, a client of Wachovia Capital Markets, LLC. Wachovia Capital Markets, LLC provided investment banking services to Cox Radio, Inc., Gray Television, Inc., Lamar Advertising Company. Radio One, Inc., Sinclair Broadcast Group, Inc. currently is, or during the 12-month period preceding the date of distribution of the research report was, a client of Wachovia Capital Markets, LLC. Wachovia Capital Markets, LLC provided noninvestment banking securities-related services to Radio One, Inc., Sinclair Broadcast Group, Inc. Wachovia Capital Markets, LLC received compensation for products or services other than investment banking services from Radio One, Inc., Sinclair Broadcast Group, Inc. in the past 12 months. Wachovia Capital Markets, LLC does not compensate its research analysts based on specific investment banking transactions. WCMs research analysts receive compensation that is based upon and impacted by the overall profitability and revenue of the firm, which includes, but is not limited to investment banking revenue. STOCK RATING 1 = Outperform: The stock appears attractively valued, and we believe the stock's total return will exceed that of the market over the next 12 months. BUY 2 = Market Perform: The stock appears appropriately valued, and we believe the stock's total return will be in line with the market over the next 12 months. HOLD 3 = Underperform: The stock appears overvalued, and we believe the stock's total return will be below the market over the next 12 months. SELL SECTOR RATING O = Overweight: Industry expected to outperform the relevant broad market benchmark over the next 12 months. M = Market Weight: Industry expected to perform in-line with the relevant broad market benchmark over the next 12 months. U = Underweight: Industry expected to underperform the relevant broad market benchmark over the next 12 months. VOLATILITY RATING V = A stock is defined as volatile if the stock price has fluctuated by +/-20% or greater in at least 8 of the past 24 months or if the analyst expects significant volatility. All IPO stocks are automatically rated volatile within the first 24 months of trading.

Broadcasting

WACHOVIA CAPITAL MARKETS, LLC EQUITY RESEARCH DEPARTMENT

As of: January 6, 2009 41% of companies covered by Wachovia Capital Markets, LLC Equity Research are rated Outperform. 55% of companies covered by Wachovia Capital Markets, LLC Equity Research are rated Market Perform. 4% of companies covered by Wachovia Capital Markets, LLC Equity Research are rated Underperform. Wachovia Capital Markets, LLC has provided investment banking services for 37% of its Equity Research Outperform-rated companies. Wachovia Capital Markets, LLC has provided investment banking services for 26% of its Equity Research Market Perform-rated companies. Wachovia Capital Markets, LLC has provided investment banking services for 32% of its Equity Research Underperform-rated companies.

Important Disclosure for International Clients

The securities and related financial instruments described herein may not be eligible for sale in all jurisdictions or to certain categories of investors. For certain non-U.S. institutional reader (including readers in the EEA), this report is distributed by Wachovia Securities International Limited (WSIL). For the purposes of Section 21 of the UK Financial Services and Markets Act 2000 (the Act), the content of this report has been approved by WSIL a regulated person under the Act. WSIL does not deal with retail clients as defined in the Markets in Financial Instruments Directive 2007, therefore clients will automatically be deemed to be a professional or an eligible counterparty. This research is not intended for, and should not be relied upon, by retail clients.

Important Information for Australian Recipients

Wachovia Capital Markets, LLC (WCM) is exempt from the requirements to hold an Australian financial services license in respect of the financial services it provides to wholesale clients in Australia. WCM is a registered broker-dealer registered with the U.S. Securities and Exchange Commission, and a member of the New York Stock Exchange, the Financial Industry Regulatory Authority, and the Securities Investor Protection Corp. WCM is regulated under U.S. laws which differ from Australian laws. Any offer or documentation provided to you by WCM in the course of providing the financial services will be prepared in accordance with the laws of the United States and not Australian laws.

Important Information for Recipients in the Hong Kong Special Administrative Region of the People's Republic of China ("Hong Kong")
For recipients resident in Hong Kong, this research is issued and distributed in Hong Kong by Wachovia Securities Asia Limited. Wachovia Securities Asia Limited is a Hong Kong incorporated investment firm licensed and regulated by the Securities and Futures Commission to carry on types 1, 4, 6 and 9 regulated activities (as defined in the Securities and Futures Ordinance [the "SFO"]). This research is not intended for, and should not be relied on by, any person other than professional investors (as defined in the SFO). The securities and related financial instruments described herein are not intended for sale nor will be sold to any person other than professional investors (as defined in the SFO). Any sale of any securities or related financial instruments described herein will be made in Hong Kong by Wachovia Securities Asia Limited. Please consult your Wachovia Securities Asia Limited sales representative or the Wachovia Securities Asia Limited office in your area for additional information.

Important Information for Japanese Recipients

This material is distributed in Japan by Wachovia Securities (Japan) Co., Ltd., a foreign securities company registered with the Financial Services Agency in Japan.

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Broadcast/Outdoor 2009 Outlook--Lowering Industry, Company Ests

WACHOVIA CAPITAL MARKETS, LLC EQUITY RESEARCH DEPARTMENT

Additional Disclosures
WCM is a U.S. broker-dealer registered with the U.S. Securities and Exchange Commission and a member of the New York Stock Exchange, the Financial Industry Regulatory Authority and the Securities Investor Protection Corp. Wachovia Securities International Limited is a U.K. incorporated investment firm authorized and regulated by the Financial Services Authority. This report is for your information only and is not an offer to sell, or a solicitation of an offer to buy, the securities or instruments named or described in this report. Interested parties are advised to contact the entity with which they deal, or the entity that provided this report to them, if they desire further information. The information in this report has been obtained or derived from sources believed by Wachovia Capital Markets, LLC, to be reliable, but Wachovia Capital Markets, LLC, does not represent that this information is accurate or complete. Any opinions or estimates contained in this report represent the judgment of Wachovia Capital Markets, LLC, at this time, and are subject to change without notice. For the purposes of the U.K. Financial Services Authority's rules, this report constitutes impartial investment research. Each of Wachovia Capital Markets, LLC, and Wachovia Securities International Limited is a separate legal entity and distinct from affiliated banks. Copyright 2009 Wachovia Capital Markets, LLC.
SECURITIES: NOT FDIC-INSURED/NOT BANK-GUARANTEED/MAY LOSE VALUE

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