Cumulus News Release

CUMULUS NEWS RELEASE

MAY 11, 1999

CUMULUS MEDIA INC., Continued Growth in First Quarter, Same-Station Revenue up 23%; Broadcast Cash Flow up 172%, Cash Flow Margins increase 125%

MILWAUKEE, WI May 10, 1999 -- Cumulus Media Inc. (NASDAQ: CMLS), the nation’s third largest owner-and-operator of radio stations (based upon the number of stations owned or to be acquired pursuant to pending acquisition agreements), today reported first quarter 1999 results marked by significant increases in revenue, broadcast cash flow and margins when compared to the first quarter of 1998.

Consolidated net revenue on a historical basis was $31.9 million up 155% from $12.5 million for the first quarter in 1998. Broadcast cash flow was $5.0 million up 216% from $1.6 million. Due to non-cash depreciation and amortization expense, and interest expense related to the acquisition of 180 stations since the Company’s inception on May 22, 1997, and accrued dividends on the Company’s Series A Preferred Stock, the Company reported a net loss, attributable to common stock, of $ 14.6 million during the first quarter of 1999, or (.74) per share versus ($.31) per share in 1998.

The Company’s historical results of operations from period to period are not directly comparable because of the impact of various acquisitions and dispositions that the Company has completed since its inception.

On a same-station basis, net revenue for the 14 markets and 80 stations operated for a full year was $14.3 million up 23% from the previous year’s net revenue of $11.7 million. Broadcast cash flow was $2.6 million up 172% from $1.0 million. Broadcast cash flow margins more than doubled from 8% in the first quarter of 1998 to 18% in 1999.

For the 36 markets and 195 stations operated since January 1, 1999 net revenue was $30.7 million up 16% from the previous year’s net revenue of $26.2 million. Broadcast cash flow was $4.9 million up 52% from $3.2 million. Broadcast cash flow margins improved from 12.2% in the first quarter of 1998 to 15.8% in 1999

On a Pro-forma basis (assuming all 216 stations owned or operated under an LMA agreement at any time during the applicable period were owned or operated under an LMA agreement for the full period), consolidated net revenues increased 14% to $32.3 million and broadcast cash flow increased 59% to $5.0 million compared to the quarter ended March 31, 1998 when revenues and cash flow were $28.2 million and $3.1 million respectively. Broadcast cash flow margins increased from 11% to 15%.

Commenting on first quarter results, Richard Weening, Executive Chairman of Cumulus Media Inc., said, “We continue to be very pleased with our overall performance. Internal growth, at 23% top line and 172% bottom line, is ahead of the industry and our peer companies. Margins are increasing steadily and in proportion to the duration of our ownership or control. We could not ask for more.”

“The outlook continues to be positive for steady revenue and cash flow growth in each of our markets where we are usually the leading media company and yet have considerable room for internal growth.”

Cumulus Media is the parent Company of Cumulus Broadcasting Inc., which along with its other subsidiaries, owns and operates station clusters in mid-size markets. The Company commenced operations May 22, 1997. Cumulus is the third largest U.S. radio operating company in terms of stations owned.

Pro forma the completion of all pending acquisitions, Cumulus Media will own and operate 232 radio stations in 44 mid-size and smaller U.S. media markets. After giving pro forma effect for the pending acquisitions, the Company will own, on average, over 5 radio stations per market and will enjoy either the first or second position in terms of revenue share in 38 of its markets and is number one in 25 markets. In addition, the Company owns and operates a multi-market radio network in the English-speaking Caribbean.

This news announcement contains certain forward-looking statements that are based upon current expectations and involve certain risks and uncertainties within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Key risks are described in the Company’s reports filed with the U.S. Securities and Exchange Commission. Readers should note that these statements may be impacted by several factors including changes in the economic climate and the in the business of radio broadcasting. Accordingly, the Company’s actual performance may vary from those stated or implied herein.

Cumulus Media, Inc. (unaudited) (in thousands)
	Three Months ended March 31

	1999	1998

Historical:
Net Revenues	$31,915	$12,500
Broadcast Cash Flow	$5,045	$1,596
BCF Margins	15.8%	12.8%

Markets Operated One Year (80 Stations):
Net Revenues	$14,337	$11,696
Broadcast Cash Flow	$2,640	$970
BCF Margins	18.4%	8.3%

Stations Operated Since 1/01/99 (195 Stations):
Net Revenues	$30,663	$26,246
Broadcast Cash Flow	$4,856	$3,190
BCF Margins	15.8%	12.2%

Pro Forma (216 Stations):
Net Revenues	$32,302	$28,241
Broadcast Cash Flow	$4,980	$3,126
BCF Margins	15.4%	11.1%

CAPITALIZATION
	March 31, 1999
Cash and cash equivalents	$ 12,688
Long-term debt, including current maturities:
Term loan facility	92,500
Senior Subordinated Notes	160,000
Other	263
Total long-term debt	252,763

Series A Preferred Stock	138,286

Total Stockholders’ equity	110,495
Total capitalization	501,544

CUMULUS MEDIA INC. CONSOLIDATED STATEMENTS OF OPERATIONS (in thousands, except per share data) (Unaudited)
	Three Months Ended March 31, 1999	Three Months Ended March 31, 1998
Gross broadcast revenues	$34,495	$13,787
Less: Agency commissions	(2,580)	(1,287)
Net broadcast revenues	$31,915	$12,500
Station operating expenses	26,870	10,904
Corporate G.& A. expense	1,674	961
Depreciation and amortization	7,584	2,748
Operating income (loss)	$(4,213)	(2,113)
Other (income) expenses: Interest expense Interest income Other income (expense), net	6,020 (139) -	1,516 (142) (6)
Loss before income taxes	($10,094)	($3,493)
Income tax expense	-	-
Loss before extraordinary item	($10,094)	($3,493)
Extraordinary loss on early extinguishment of debt	-	(1,837)
Net loss	($10,094)	($5,330)
Preferred stock dividends and accretion of discount	4,545	842
Net loss attributable to common stock	($14,639)	($6,172)
Basic and diluted loss per common share:
Net loss attributable to common stock	($ 0.74)	($0.49)
Average Shares Outstanding	19,737	12,509

Pro Forma Basic and diluted loss per common share:
Before extraordinary loss	($0.51)	($0.18)
Extraordinary loss	-	(0.09)
Net loss attributable to common stock	($0.74 )	($0.31)
Pro Forma common shares outstanding⁽¹⁾	19,737	19,737
⁽¹⁾Pro forma for the shares issued in connection with the Company’s Initial Public Offering, which was completed on July 1, 1998, and including the exercise of the underwriters’ over allotment of 800,000 shares on July 31, 1998.

Contact: Richard Weening (414) 615-2800 or Dan O'Donnell (414) 615-2800

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