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First Mediaworks


August 2001 Radio Revenues
New York, New York - October 10, 2001 -- Radio advertising sales continued to tread water during the month of August with national figures showing the first signs of possible stabilization. When compared with the same month a year ago, local revenues were off 4%, while national dollars held steady with July’s figure, down 14%. On a combined basis, local and national sales dropped 6%.

When viewed from a year-to-date perspective, local ad revenues were running only 3% behind the first eight months of 2000. On the other hand, national advertising fell 19%. Through August 2001, combined local and national sales were 7% slower than the previous year.

To put the intermediate and long-term growth of the Radio industry into better perspective, RAB has introduced an index that equates base year 1998 to 100. The index works similar to the Gross Pricing Index so that the information can be monitored on a monthly basis.

The local index for August is 123.8, for national it’s 111.2 and the combined total is 120.6. On a year-to-date basis, the local index is 131.0, national is 118.8 and the combined total is 128.4.
“Radio remains uniquely positioned to fare better than most media during this uncertain economic climate,” said President and Chief Executive Officer, RAB, Gary Fries. “Small and medium market activity remains healthy on the local level and Radio’s core categories remain strong. An aggregate of 19 markets, for example, showed that automotive was up 12.2%.”

The accounting firms of Miller, Kaplan, Arase & Co. and Hungerford, Aldrin, Nichols and Carter provide the local and national revenue data on the more than 100 markets RAB uses to calculate its revenue index.



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