Cumulus Media Inc. Announces Investor Group's Termination of Merger Agreement.ATLANTA -- Cumulus Media Inc. (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on : CMLS CMLS Central Minnesota Legal Services CMLS Chemical Movement in Layered Soils CMLS Centralized Mail List Services (GSA) CMLS Contractor Maintenance & Logistics Support ) announced today that it has entered into an agreement with the investor group led by Lew Dickey, the Company's Chairman, President and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. , and an affiliate of Merrill Lynch Global Private Equity, to terminate the merger agreement entered into between the Company and the investor group on July 23, 2007. The members of the investor group informed the Company that, after exploring possible alternatives, they were unable to agree on terms on which they could proceed with the transaction. As a result of the termination of the merger agreement, and in accordance with its terms, the investor group has agreed to promptly pay the Company a termination fee termination fee The one-time charge for terminating or transferring an individual retirement account. If a financial institution charges a termination fee, the fee must be spelled out in the original agreement that is signed when the account is opened. of $15 million, and the terms of the previously announced amendment to the Company's existing credit agreement will not take effect. Lew Dickey, Chairman, President and CEO of the Company, commented, "Our business remains fundamentally sound and we intend to continue to operate it aggressively and explore opportunities to create and deliver value for our shareholders." The Company also announced that its board of directors intends to explore, in the very near term, the possible implementation of a new stock repurchase plan stock repurchase plan 1. See buyback. 2. See self-tender. that would provide liquidity opportunities to stockholders. There can be no assurance, however, that the Company will implement such a plan. Cumulus Media Inc. is the second-largest radio company in the United States based on station count. Giving effect to the completion of all pending acquisitions, Cumulus cumulus: see cloud. , directly and through its investment in Cumulus Media Partners, will own or operate 339 radio stations in 65 U.S. media markets. Cumulus's headquarters are in Atlanta, Georgia, and its web site is www.cumulus.com. Cumulus Media Inc. shares are traded on the NASDAQ Global Select Market under the symbol CMLS. |
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