Argyle Television Inc. releases year-end and quarterly results.

SAN ANTONIO--(BUSINESS WIRE)--March 26, 1997--Argyle Television Inc. (NASDAQ:ARGL) Wednesday announced fourth-quarter and year-end 1996 operating results.

In a separate announcement released Wednesday, Argyle also announced that it has entered into a definitive agreement with The Hearst Corp. to combine the television-broadcasting division of Hearst with and into Argyle, with Argyle to be renamed Hearst-Argyle Television Inc.

Total revenues for the three-month period ended Dec. 31, 1996, were $21.8 million, up 46.8 percent from total revenues of $14.9 million for the three-month period ended Dec. 31, 1995. Total revenues for the full-year period ended Dec. 31, 1996, were $73.3 million, up 56.1 percent from total revenues of $46.9 million for the full-year period ended Dec. 31, 1995.

Broadcast cash flow for the 1996 three-month and full-year periods was $10.7 million and $31.9 million, respectively (a 61.9 percent increase and a 56 percent increase over the three-month and full-year periods in 1995, respectively).

Earnings before interest, tax, depreciation and amortization (EBITDA) for the 1996 three-month and full-year periods were $9.9 million and $27.6 million, respectively (a 73.6 percent increase and a 52.4 percent increase over the three-month and full-year periods in 1995, respectively).

Pro forma total revenues for the full-year period ended Dec. 31, 1996, were $84.2 million (a 5.7 percent increase over the full-year period in 1995). Pro forma broadcast cash flow for the full-year period ended Dec. 31, 1996, was $37.8 million (a 27.9 percent increase over the full-year period in 1995).

Pro forma total revenues and pro forma broadcast cash flow assume that each of the television stations currently owned by Argyle (including WLWT-TV in Cincinnati and KOCO-TV in Oklahoma City, which were acquired on Jan. 31, 1997, in exchange for two television stations previously owned by Argyle, WZZM-TV in Grand Rapids, Mich., and WGRZ-TV in Buffalo, N.Y.; and KHBS-TV/KHOG-TV, Fort Smith/Fayetteville, Ark., which Argyle acquired as of June 1, 1996) were acquired at the beginning of each respective period.

Pro forma broadcast cash flow also gives effect to the elimination of certain expenses associated with the transactions consummated, transitional costs, severance and reduction of certain expenses associated with benefits and related.

Today, Argyle Television owns and operates network-affiliated television stations WLWT-TV, the NBC affiliate in Cincinnati; KOCO-TV, the ABC affiliate in Oklahoma City; WNAC-TV, the Fox affiliate in Providence, R.I.; KITV-TV, the ABC affiliate in Honolulu; WAPT-TV, the ABC affiliate in Jackson, Miss.; and KHBS-TV, the ABC affiliate in Fort Smith, and its satellite, KHOG-TV, the ABC affiliate in Fayetteville.

Argyle's Series A Common Stock trades on the Nasdaq National Market System under the symbol ``ARGL.''

Actual/Historical Results

Fourth quarter and year ended Dec. 31, 1996, for the company (WZZM, WAPT, KITV, WGRZ; the Arkansas stations from June 1; WNAC from Jan. 1 to June 30; and the company's share of broadcast cash flows from the Clear Channel venture from July 1) compared with fourth quarter and year ended Dec. 31, 1995, for the company (WZZM, WNAC and WAPT; KITV from June 13; and WGRZ from Dec. 5).

The company receives 50 percent of the combined broadcast cash flows of the company's WNAC and WPRI, a CBS affiliate located in Providence, owned by Clear Channel Communications Inc. The company records its share of the Clear Channel venture broadcast cash flows in total revenues, which affects the comparability of total revenues with prior periods, accordingly.

Total revenues for the three months ended Dec. 31, 1996, were $21.8 million, up 46.8 percent from total revenues of $14.9 million for the three months ended Dec. 31, 1995. For the year ended Dec. 31, 1996, total revenues were $73.3 million, up 56.1 percent from total revenues of $46.9 million for the year ended Dec. 31, 1995.

Approximately $5.5 million and $26.9 million of the increase in total revenues of the quarter and year, respectively, is attributable to the acquisition of KITV during June 1995, WGRZ during December 1995 and KHBS during June 1996.

In addition, WZZM experienced an increase of $2.4 million and $2.6 million in total revenues for the quarter and year, respectively, which was due to an increase in local revenues, national political revenues and trade-and-barter revenues.

These revenue gains were offset by the Clear Channel venture, which accounted for a $1.4 million and $3.1 million decrease in recorded total revenues for the quarter and year, respectively, because only the company's share of the Clear Channel venture broadcast cash flows is included in total revenues.

Broadcast cash flow was $10.7 million for the three months ended Dec. 31, 1996, a 61.9 percent increase from $6.6 million for the three months ended Dec. 31, 1995, and EBITDA was $9.9 million for the same 1996 period, a 73.6 percent increase from $5.7 million for the same 1995 period.

Broadcast cash flow was $31.9 million for the year ended Dec. 31, 1996, a 56 percent increase from $20.4 million for the year ended Dec. 31, 1995, and EBITDA was $27.6 million for the same 1996 period, a 52.4 percent increase from $18.1 million for the same 1995 period.

The broadcast cash flow increase resulted primarily from the acquisition of KITV during June 1995, WGRZ during December 1995 and KHBS during June 1996. In addition, WZZM experienced an increase in broadcast cash flow mainly due to the increase in revenues described above and a slight reduction of expenses.

Pro Forma Results

The pro forma results for the year ended Dec. 31, 1996, for WNAC, WAPT, KITV, the Arkansas stations, WLWT and KOCO, compared with the pro forma results from the year ended Dec. 31, 1995 for the same stations.

Both years include the elimination of certain expenses that would have been eliminated under the company's management and other combining adjustments. For comparability purposes, only broadcast cash flows for WNAC have been included in total revenues for all periods.

On a pro forma basis, 1996 total revenues were $84.2 million, up 5.7 percent over 1995 total revenues of $79.7 million. 1996 broadcast cash flow was $37.8 million, up 27.9 percent over 1995 broadcast cash flow of $29.6 million, and 1996 EBITDA was $33.5 million, up 23 percent over 1995 EBITDA of $27.2 million.

The increase in pro forma revenues and broadcast cash flow was primarily due to an increase in pro forma total revenues at WLWT, KOCO, KITV and KHBS. WLWT experienced an increase in local and national revenues mainly due to the Olympics. In addition, all four stations experienced an increase in political revenues due to both local and national political campaigns. -0-

                    Argyle Television Inc.
             Consolidated Statement of Operations

                        Three Months Ended       Year Ended
                            Dec. 31,               Dec. 31,

                      1995/a      1996/b      1995/a      1996/b
                         (In thousands, except per share data)

Total revenues/c     $14,853     $21,798      $46,944     $73,294

Station operating
 expenses              7,792      10,095       23,603      37,639
Amortization of
 program rights        1,225       1,017        3,961       4,725
Depreciation and
 amortization          4,567       6,738       12,294      23,965
Station operating
 income                1,269       3,948        7,086       6.965

Corporate general and
 administrative
  expenses               896         782        2,324       4,285
Non-cash compensation
 expense                 475         169          675         675
Operating income
 (loss)                 (102)      2,997        4,087       2,005

Interest expense,
 net                   4,905       4,521       12,052      16,566
Loss before income
 taxes and
  extraordinary loss  (5,007)     (1,524)      (7,965)    (14,561)
Income taxes             -           -            -           -

Loss before extraordinary
 loss                 (5,007)     (1,524)      (7,965)    (14,561)

Extraordinary item, loss
 on early retirement of
  debt                (5,134)        -         (7,842)        -

Net loss            $(10,141)    $(1,524)    $(15,807)   $(14,561)

Less preferred stock dividends      (474)                    (829)
Loss applicable to common stock  $(1,998)                $(15,390)

Loss per common share   N/A      (18 cents)     N/A      $(1.37)

Weighted average number
 of common shares
  outstanding           N/A       11,347        N/A        11,246
Number of common shares
 outstanding            N/A       11,347        N/A        11,347

Supplemental Financial Data:
Broadcast cash
 flow/d               $6,608     $10,698      $20,440     $31,889
Broadcast cash flow
 margin                44.5%       49.1%        43.5%       43.5%
EBITDA/e              $5,712     $ 9,916      $18,116     $27,604
EBITDA margin          38.5%       45.5%        38.6%       37.7%
Program payments      $  453     $ 1,005      $ 2,901     $ 3,766

NOTE/a:  Includes results from WZZM, WNAC & WAPT for the entire
period; KITV from June 13, 1995; and WGRZ from Dec. 5, 1995.

NOTE/b:  Includes results from WZZM, WAPT, KITV and WGRZ for the
entire period, WNAC from Jan. 1 through June 30, the company's share
of the Clear Channel venture from July 1 and the Arkansas stations
from June 1.  The company's share of the Clear Channel venture
broadcast cash flow is included in total revenues.

NOTE/c:  The three months and year ended Dec. 31, 1995, include the
WGRZ management fee from June 7, 1995, through its termination on
Dec. 5, 1995.

NOTE/d:  Broadcast cash flow is defined as station operating income,
plus depreciation and amortization, plus amortization of program
rights, minus program payments.  Broadcast cash flow is presented
here not as a measure of operating results and does not purport to
represent cash provided by operating activities.  Broadcast cash flow
should not be considered in isolation or as a substitute for
measures of performance prepared in accordance with generally
accepted accounting principles.

NOTE/e:  EBITDA is defined as operating income (loss), plus
depreciation and amortization, plus amortization of program rights,
minus program payments, plus non-cash compensation expense.  EBITDA
is presented here not as a measure of operating results, but rather
as a measure of debt serviceability.  EBITDA does not purport to
represent cash provided by operating activities and should not be
considered in isolation or as a substitute for measures of
performance prepared in accordance with generally accepted
accounting principles.
-0-

                     Argyle Television Inc.
            Pro Forma Consolidated Statement of Operations

                                Six Stations -- Year Ended
                                         Dec. 31,
                                   Pro Forma (Unaudited)
                                    1995            1996
                          (In thousands, except per share data)

Total revenues/a                 $79,683          $84,243

Station operating expenses/b      46,042           41,772
Amortization of program rights     4,484            5,225
Depreciation and
 amortization/c/d                 24,203           26,075
Station operating income           4,954           11,171

Corporate general and
 administrative expenses           2,324            4,285
Non-cash compensation expense        675              675
Operating income                   1,955            6,211

Interest expense, net/e           19,879           18,119
Loss before income taxes
 and extraordinary loss          (17,924)         (11,908)

Income taxes                        -                 -

Loss from continuing
 operations                      (17,924)         (11,908)

Less preferred stock
 dividends/f                     $(1,422)         $(1,422)
Loss applicable to common stock $(19,346)        $(13,330)

Loss per common share           $(1.70)          $(1.17)

Pro Forma number of common
 shares outstanding               11,347           11,347

Supplemental Financial Data:

Broadcast cash flow/g            $29,563          $37,800
Broadcast cash flow margin          37.1%            44.9%
EBITDA/h                         $27,239          $33,515
EBITDA margin                       34.2%            39.8%
Program payments                 $ 4,078          $ 4,671


NOTE/a:  Includes the full year effect of the company's share of
WNAC/WPRI broadcast cash flow in miscellaneous revenues.

NOTE/b:  Reflects the elimination of certain expenses relating to
employees who have either been terminated or will be terminated and
not replaced and certain other expenses which would have been
eliminated under the company's transition plan.

NOTE/c:  Reflects change in depreciation expense due to purchase
accounting adjustments to equipment and buildings, net of
depreciation already recorded in the historical financial
statements.  The estimated useful lives used for equipment range
from five to 25 years and the estimated useful life used for
buildings range from 25 to 39 years.

NOTE/d:  Reflects amortization of intangible assets resulting
from purchase accounting adjustments, net of amortization already
recorded in the historical financial statements.  The estimated
useful lives used for these intangible assets were as follows: FCC
licenses and network affiliation agreements -- 15 years; other
intangibles -- two to five years.

NOTE/e:  Reflects interest expense recorded in conjunction with FASB
Statement No. 119 relating to interest rate protection agreements,
interest expense on the pro forma debt and the amortization of
deferred financing costs over the period of the related financings.

                                           1995       1996

The Notes at an interest rate of 9.75%   $14,625    $14,625
Fair value adjustments of interest rate
 protection agreements -- non cash         1,478     (1,151)
Amortization of deferred financing
 costs                                       800        988
Bank Credit Agreement at an assumed
 interest rate of 8.5%                     2,976      3,657
                                         $19,879    $18,119

NOTE/f:  Reflects preferred stock dividends relating to the
preferred stock issued in conjunction with the acquisition of the
Arkansas stations.  The dividend calculation is shown here for
purposes of calculating loss per common share.

NOTE/g:  Broadcast cash flow is defined as station operating income,
plus depreciation and amortization, plus amortization of program
rights, minus program payments.  Broadcast cash flow is presented
here not as a measure of operating results and does not purport to
represent cash provided by operating activities.  Broadcast cash
flow should not be considered in isolation or as a substitute for
measures of performance prepared in accordance with generally
accepted accounting principles.

NOTE/h:  EBITDA is defined as operating income, plus depreciation
and amortization, plus amortization of program rights, minus program
payments plus non-cash compensation expense.  EBITDA is presented
here not as a measure of operating results and does not purport to
represent cash provided by operating activities.  EBITDA should not
be considered in isolation or as a substitute for measures of
performance prepared in accordance with generally accepted
accounting principles.

CONTACT: Argyle Television Inc., San Antonio

Bob Marbut/Harry Hawks, 210/828-1700