Cumulus Media Reports Operating Results for Fourth Quarter and Full Year 2018

Reports Q4 Net Revenue Growth of 5.2% and Adjusted EBITDA Growth of 31.6%

Reports Full Year Revenue Growth of 0.4% and Adjusted EBITDA Growth of 7.6%

ATLANTA, March 18, 2019 — Cumulus Media Inc. (NASDAQ: CMLS) (the “Company,” “we,” “us,” or “our”) today announced operating results for the three months and year ended December 31, 2018.  As described in more detail below, results for the full-year 2018 period reflect the combined results of the Successor and Predecessor Companies in connection with the Company’s emergence from Chapter 11.

For the three months ended December 31, 2018, the Company reported net revenue of $309.2 million, up 5.2% from the three months ended December 31, 2017, net income of $43.7 million and Adjusted EBITDA of $65.6 million, up 31.6% from the three months ended December 31, 2017.  For the year ended December 31, 2018, the Company reported net revenue of $1,140.4 million, an increase of 0.4% from the year ended December 31, 2017, net income of $757.6 million and Adjusted EBITDA of $234.3 million, an increase of 7.6% from the year ended December 31, 2017.  Net income for the year ended December 31, 2018 included after-tax gains associated with the Company’s emergence from Chapter 11 of $641.0 million.

The operating results herein are not adjusted to reflect the impact of the recently announced divestiture of six stations to Educational Media Foundation.  If the stations subject to this transaction were excluded for the twelve months ended December 31, 2018, net revenue would have been lower by $23 to $25 million and Adjusted EBITDA would have been lower by $5 to $7 million.

Earlier today, the Company completed a prepayment of $25.4 million principal amount of the Term Loan for $25.0 million, a discount to par value of 1.50%. This transaction was funded with cash from operations and the availability on the Revolving Credit Agreement remained unchanged.

As previously disclosed, on November 29, 2017, the Company and certain of its subsidiaries filed voluntary petitions for relief under Chapter 11 of Title 11 of the United States Code (“Chapter 11”) in the United States Bankruptcy Court for the Southern District of New York (the “Court”). On May 10, 2018, the Court entered an order confirming the Company’s Plan of Reorganization (the “Plan”). On June 4, 2018, the Plan became effective in accordance with its terms and the Company emerged from Chapter 11.

The Company’s operating results and key operating performance measures on a consolidated basis, as well as within the Cumulus Radio Station Group and Westwood One, were not materially impacted by the reorganization. For the purposes of the analysis of the results presented herein, the Company is presenting the combined results of operations for the period June 4, 2018 to December 31, 2018 of the Successor Company with the period January 1, 2018 to June 3, 2018 of the Predecessor Company. Although this presentation is not in accordance with accounting principles generally accepted in the United States, the Company believes presenting and analyzing the combined results allows for a more meaningful comparison of results for the twelve-month period ended December 31, 2018 to the twelve month period ended December 31, 2017. For more information regarding the Predecessor and Successor Company results, please see the Company’s Form 10-K for the year ended December 31, 2018 to be filed with the Securities and Exchange Commission (the “SEC”).

Mary G. Berner, President and Chief Executive Officer of Cumulus Media said, “We are delighted by the Company’s strong 2018 performance. Despite the challenges presented by our bankruptcy in the first half of the year and industry headwinds throughout the year, Cumulus was able to deliver its first full year of revenue growth in four years fueled by digital growth of more than 60%, its eighth straight quarter of increased market revenue share and its second consecutive year of EBITDA growth after years of declines. That EBITDA growth, in conjunction with our October 2018 $50 million voluntary debt prepayment, brought our net leverage down to 5.2x at year end. Additionally, as previously announced, we entered into two station transactions this quarter, which should further reduce net leverage when completed later this year. In combination, these results demonstrate our firm commitment to the execution of our strategic priorities – maximizing operating performance, growing our digital businesses, and optimizing our asset portfolio – and the achievement of our financial goals of annually generating up to $100 million of free cash flow, reducing our net leverage to below 4.0x, and reinvesting in meaningful growth opportunities. With the entire Cumulus team, I look forward to demonstrating continued progress against all these objectives in coming quarters.”

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