NASHVILLE, Tenn. & VICKSBURG, Miss. - (Business Wire)
Debut Broadcasting Corporation, Inc.™ (OTCBB: DBTB), a media and entertainment company, has added a third radio station to the Vicksburg cell of its Super-Regional Cluster
™ of Mississippi Delta radio stations, teaming with ESPN Radio to build a 24/7 sports talk format localized to the listening area.
Debut Broadcasting has entered into a local marketing agreement (LMA) with Grace Media International for WQBC-AM in Vicksburg, Miss. Debut has decided to take the formerly Christian format station and transform it into a 24/7 sports talk radio station through Debut’s new agreement with ESPN Radio.
According to Debut executives, WQBC-AM began "stunting" university fight songs, pop sports songs, etc., starting at 12 a.m. on Monday, Sept. 1, and ESPN Radio was scheduled to take over the airwaves at the end of last week. The station will add the sports talk format from ESPN Radio to the same market of the company’s existing two FM stations, River 101.1 (WBBV-FM) and K-Hits 104.5 (KLSM-FM).
“The additional Vicksburg radio station supports our Super-Regional Cluster™ strategy in the Mississippi Delta, where we can apply our proven advertising and managerial model to a new set of stations,” said Steven Ludwig, CEO of Debut Broadcasting. “Similar to what Debut accomplished in Greenville, Miss., our model helps reduce the operational costs of our stations, while at the same time creating additional revenue generating opportunities through creative advertising, both online and on air.”
The company expects the addition of the new ESPN Radio 1420 to increase revenues by 30 percent or more within six months, increasing overall contribution margins and cash flow in the Miss. Super-Regional Cluster at a greater proportion.
“Since our company expanded into Vicksburg as the next step in construction of our Super-Regional Cluster in Miss., the need for a sports station has been obvious,” said Steven Ludwig, CEO of Debut Broadcasting. “As we’ve worked with the staff, researched audiences, and discussed the needs of our advertising customers it’s been a high priority for us to figure out how to add sports into our mix. ESPN Radio 1420 is easily a perfect fit to provide the audience with all the most up to date information from the sports world.”
Debut Broadcasting now operates a total of eight radio stations in the southeastern United States. The new Vicksburg station will instantly increase revenue for Debut as it is independently cash flow positive today.
“ESPN Radio is the gold standard of sports talk, so we’re excited to be working with ESPN to deliver most of their content here in Mississippi,” said John Patrick, vice president of radio operations at Debut Broadcasting. “Our strategy relies on the popularity of ESPN’s national programs and the local staff developing content specific to the interests of our Vicksburg audience, such as SEC football, other area colleges and high school sports.”
The agreement with Grace Media comprises the purchase of air time and programming for WQBC-AM beginning on Sept. 1, 2008, including all of the facilities, equipment, licenses and intellectual property necessary to operate the stations in exchange for a monthly fee of $1,500.
This press release is available on the company's official online investor relations site for investor commentary, feedback and questions. Investors are asked to visit http://agoracom.com/ir/debutbroadcasting and view the Debut Broadcasting Investor Contact & Information Centre. Alternatively, investors may e-mail questions and correspondence to DBTB@Agoracom.com.
About Debut Broadcasting Corporation, Inc.
A media and entertainment company, Debut Broadcasting Corporation, Inc. (OTCBB: DBTB) supports its clients throughout North America while also improving shareholder value through targeted turnaround opportunities in the southeastern United States. Through its entertainment arm, Impact Radio Networks, Debut sells pre-recorded radio programs and related services to more than 1,400 AM and FM stations in the U.S. and Canada, and reaches more than 45 million listeners per week, making it one of the leading syndicators in the industry. The company also provides marketing, consulting and media buying for its radio broadcast stations. Through its media division, Debut identifies and acquires (or manages) underperforming and undervalued media properties in the southeastern U.S., and its first five acquisitions have given Debut radio dominance in the greater Greenville, Mississippi marketplace. For more information about Debut Broadcasting, please visit www.debutbroadcasting.com or email ir@debutbroadcasting.com.
Debut Broadcasting and Super-Regional Cluster are trademarks of Debut Broadcasting Corporation, Inc. All other trademarks are property of their respective owners.
Forward-Looking Statements
Certain statements contained in this news release may not be based on historical facts and are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements may be identified by reference to a future period or by the use of forward-looking terminology, such as “expect,” “anticipate,” “believe,” “estimate,” “foresee,” “may,” “might,” “will,” “intend,” “could,” “would,” “plan,” “forecast” or future or conditional verb tenses and variations or negatives of such terms. These forward-looking statements include, without limitation, those relating to the services provided by our Chief Financial Officer, our entry into new markets and fields and our earnings potential.
We caution you not to place undue reliance on the forward-looking statements contained in this news release because actual results could differ materially from those indicated in such forward-looking statements as a result of a variety of factors. These factors include, but are not limited to, our ability to provide and market competitive services and products, our ability to attract, train and retain qualified personnel, our ability to operate and integrate new technology, changes in consumer preferences, changes in our operating or expansion strategy, changes in economic conditions, our ability to identify and effectively integrate potential acquisitions, FCC and government approval of potential acquisitions, geographic concentrations of our assets and susceptibility to economic downturns in that area, our ability to compete with other companies that produce and distribute syndicated radio programs and/or own radio stations, other factors generally understood to affect the financial condition or results of companies that produce and distribute syndicated radio programs and/or own radio stations and other factors detailed from time to time in our press releases and filings with the Securities and Exchange Commission. We undertake no obligation to update these forward-looking statements to reflect the occurrence of changes or unanticipated events, circumstances or results that occur after the date of this news release.
Media Contacts at Politis Communications
for Debut Broadcasting:
Jonathan Bacon, 801-523-3730 (wk), 801-660-7820 (cell)
jbacon@politis.com
Lindsay Thomson, 801-523-3730 (wk), 973-224-2569 (cell)
lthomson@politis.com
or
Investor Contact at Politis Communications
for Debut Broadcasting:
David Politis, 801-523-3730 (wk), 801-556-8184 (cell)
dpolitis@politis.com
or
Investor Contact at AGORACOM Investor Relations
for Debut Broadcasting:
Email: DBTB@agoracom.com
Web site: http://agoracom.com/ir/debutbroadcasting
