Salem Communications Q2 2007 Earnings Call Transcript

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2007-08-07 17:25:40.0

Tags: Salem Communications Corp.

Question-and-Answer Session

Operator

(Operator Instructions) Our first question comes from James Dix from Deutsche Bank.

James Dix - Deutsche Bank

Good afternoon gentlemen. Couple questions. I guess, first it looks like your same station revenue guidance is somewhat similar for the third quarter is for the second kind of flat, up 1%?

Edward Atsinger, III

Correct.

James Dix - Deutsche Bank

Are you expecting much changing growth for the rest of the year, and if so, kind of what would be driving that? I guess secondly, just if you could outline what categories you think are somewhat more exposed to the real estate market whether that’s financing or home furnishing or how would you define that and what trends you’re seeing there?

And then I guess on the news talks, how are you proceeding versus plan in terms of rating, and ratings in cash flow, satellite care LMA may have held you back a little bit, but I don’t know whether that was something you were anticipating somewhat in your plan?

And then I guess the last one, and I’ll let someone else go. I think in the past you have discussed a little bit how your corporate expense includes some expenses for your online activities. Is there any way you could give us some general sense as to how much corporate is for online as supposed to broadcasting. Just, so we can get a better sense just to how corporate is comparing to your overall cost structure versus other broadcasters? And that’s it.

Edward Atsinger, III

Okay. I was trying to write your questions down James, and I had only got two of them, but as far as the categories that are more vulnerable to the softness and the whole financial sector, we do, do a good bit of mortgage business on all of our stations.

But particularly our News Talk stations and our Christian Teaching Talk stations, so we have experienced some difficulty and I get some of the markets that I mentioned in my report of both in the Christian Teaching Talk side with the decline in advertising revenue and on the News Talk side that has been a significant factor.

We still have mortgage business. We haven’t lost at all, but there has been a decline in it, that’s significant. I can’t quantify it with more specificity.

As far as your second question goes, I didn’t get it all written down maybe Evan maybe you got that.

 

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