The owner report is [here].
It’s almost becoming possible to write the story of a failing radio company without reading anything. Almost all of the ones in trouble follow the same basic story line.
Experienced Radio owner founds company to acquire radio licenses after the 1996 deregulation sensing great opportunity. New Company does IPO and borrows money and goes on spending spree buying up licenses until the stock market crashes in late 2000. Starting around 2004, price of radio station licenses plummet. Equity Capital partners leave. So does ad revenue.
Regent is currently in default on their loans. Bank of America has officially informed them of the default and raised the interest rate – based on the auditor’s qualified opinion about whether the company can remain a going concern. The stock is down to $.15 and NASDAQ has sent the delisting notice.
The company owns a group of AM and FM radio stations, mostly in areas of the country hurt badly by the downturn in the economy.
The only thing left to do is get the fat lady to sing. Bank of America has a lot on its hands without become an owner of radio stations. Expect something to happen soon, maybe involving Tim Geithner.
Yesterday (May 27th 2009), the company entered into an agreement with a company called Marketron. Their radio company management software is designed to increase the advertising yield for radio stations. There you go, problem solved!