On Top Communications Closes New Orleans Radio Station Acquisition and Recapitalization.

Business Editors

LANHAM, Md.--(BUSINESS WIRE)--Dec. 6, 2002

On Top Communications, LLC ("On Top") announces the completion of the acquisition of KNOU-FM in New Orleans, Louisiana from JP Broadcasting, LLC. Concurrent with the acquisition of KNOU, On Top has completed a $20 million recapitalization. Steve Hegwood, On Top's founder and Chief Executive Officer, stated, "The acquisition and financing gives the company the resources to realize our goal of creating dominant Urban format clusters in our markets."

The recapitalization is being led by MMG Ventures, LP and Opportunity Capital, IV, LP with The Bon Secours Community Investment Fund, LP, Broadcast Capital Inc., Milestone Growth Fund Inc. and Community Development Ventures also participating. On Top's senior financing is provided by Pacesetter Capital Group's Power Equities, Inc. and Medallion Capital, Inc. Lenny Rayford, On Top's Chief Financial Officer, stated "We were attracted to this investor group by their reputations as seasoned investors in radio and because they have the resources to grow their investment should we find additional acquisition opportunities."

On Top Communications was founded in 1998 to acquire and operate FM and AM radio stations in the Southeastern United States. On Top's founder and Chief Executive Officer, Steve Hegwood, is a 23 year radio industry veteran who was Vice President for Programming at urban radio specialist Radio One, Inc. prior to founding On Top. The company's stations are all programmed with Urban formats - a genre that targets African Americans. On Top's current portfolio includes Urban Contemporary formatted FM radio stations in New Orleans, Norfolk-Hampton Roads, Virginia, Jackson, Mississippi and Albany, Georgia. On Top was advised by Barker Capital, LLC, a media specialist investment bank.