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CUMULUS NEWS RELEASE APR 24, 2000 CUMULUS TO APPOINT NEW AUDITORS
8-K Frequently Asked Questions Milwaukee, WI April 24, 2000 Cumulus Media Inc. (NASDAQ:CMLS) announced today that it will appoint a new firm of accountants to replace PricewaterhouseCoopers LLP (PwC), which has resigned following issuance of an unqualified audit report on Cumulus' 1999 financial statements. In a filing with the Securities and Exchange Commission, the Milwaukee-based broadcasting group made clear that PwC's resignation was not the result of any disagreement between the Company and PwC on any matter of accounting principles or practices, financial statement disclosure, or audit scope or procedure. Richard Weening, Executive Chairman of Cumulus, said "PricewaterhouseCoopers has served as our outside auditor since we became a public company in 1998. PwC has recently issued an unqualified audit report on our year-end 1999 financial statements. PwC has not told us its reason for the decision to resign. Going forward, we expect to have a new auditor engaged in the near future." In accordance with SEC regulations, PwC, in conjunction with its issuance of an unqualified audit report, has informed the Company of two areas of material weakness in its internal controls relating to revenue recognition and related-party transactions. The Company's Audit Committee has already undertaken the implementation of strengthened controls in the areas identified by PwC. Cumulus Media owns and operates radio station clusters in mid-size markets. Assuming the completion of all pending acquisitions, Cumulus Media will own and operate 324 radio stations in 64 U.S. media markets. The Company commenced operations May 22, 1997.
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