Slight Improvement in 2010 Will Be Enhanced From Online Revenues as Stations
More Effectively Embrace Cross-Platforms

Chantilly, VA  - December 2, 2009 - Radio stations across the country were
battered by the economy this year, with the scars revealing the industry will
end 2009 with revenues of $13.3 billion, a 19 percent decrease from last
year, according to BIA/Kelsey's third edition of its quarterly Investing In
Radio® Market Report. Recovery will be seen in the second half of 2010, with
BIA/Kelsey expecting traditional radio revenues to rise to $13.5 billion.
Analysts at BIA/Kelsey continue to see online and, in particular, mobile
giving radio a further increase in revenues as stations embrace
cross-platforms and begin integrating them directly into their sales
strategies. In 2009 online revenues will bring the industry an additional
$382 million (up from $342 million in 2008). BIA/Kelsey forecasts the number
will rise to $459 million in 2010 and by the end of 2013 the compound annual
growth rate for online revenues will have increased nearly 16 percent.

"There are many reasons we believe that radio will rebound this coming year,
especially in the second half, and hold its own in the coming years," said
Mark R. Fratrik, Ph.D., vice president, BIA/Kelsey. "Among them, radio has
strong brand equity in local markets, the economy is slowly coming out of
recession, the industry continues to show strong listenership levels with
teens and younger adults, and the possible introduction of FM radio receiving
chips in cellular phones will generate both a positive image effect on radio
and an increase in radio listening." Total Radio Station Revenue 2003-2013



As stations begin capitalizing on new media models for radio, they will keep
their listeners engaged throughout the day. BIA/Kelsey sees local mobile
search and local mobile video as particularly strong categories where radio
can build on its strong brand equity in local markets and compete well with
third-party partners. The trick is to demonstrate to local advertisers that
their message can be effectively bridged between media.

"Radio's online assets have proven to positively impact consumer behavior,"
said Rick Ducey, chief strategy officer, BIA/Kelsey. "Now radio has to extend
this ability to impact consumers into its advertising efforts. Once the
cross-platform model is fully embraced by sales teams, and advertisers learn
how to effectively plan and buy radio's digital and air assets, the revenue
will follow."

Ducey suggests that radio companies and station operators can leverage online
and mobile media in several ways, including complementing their on-air
advertisers and acting as a promotional partner to Web sites. Stations can
also focus more on vertical opportunities by beefing up their Web and mobile
sites by adding content and services.  

A comprehensive profile of all 300 radio markets is available in the third
edition of the quarterly Investing In Radio® Market Report and the 2009
Investing In Radio® Ownership Report published by BIA/Kelsey.  Both
publications are part of the Investing In financial guide series that
includes market trend analysis, demographic and economic overviews,
competitive overviews, technical data, ownership data, pending and completed
transactions, and Arbitron ratings.

Information on these publications is available on the BIA website at
http://www.bia.com/publications_reference_radio.asp.  

BIA also publishes investment reference guides and provides data services for
the television and newspaper industries. For more information, call
800.331.5086 or email info@bia.com. #   #   # About BIA/Kelsey BIA/Kelsey
advises companies in the local media space through strategic and financial
consulting, research, sales training, and expert analysis and evaluation.
Since 1983 BIA/Kelsey has been a resource to the media, mobile advertising,
telecommunications, Yellow Pages and electronic directories markets, as well
as to government agencies, law firms and investment companies looking to
understand trends and revenue drivers. BIA/Kelsey's annual conferences draw
executives from across industries seeking expert guidance on how companies
are finding innovative ways to grow. Additional information is available at
www.bia.com and www.kelseygroup.com. The company's blogs are located at
http://blog.bia.com/bia and http://blog.kelseygroup.com, and it can be found
on Twitter through http://twitter.com/BIAfn.

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