Cumulus News Release

Announces Third Quarter 2001 Results Q3 Same Station BCF Grows 16.7% Q3 Pro Forma BCF Grows 5.3%

ATLANTA , GA November 8, 2001 -- Cumulus Media Inc. (NASDAQ: CMLS) today reported results for the three and nine month periods ended September 30, 2001 . The quarter ended September 30, 2001 was highlighted by continued cash flow and margin improvement from the prior year due to the realization of operating efficiencies reflective of the management team’s intense focus on improving its core radio operations.

The decrease in the Company’s historical revenue and cash flows during the three month and nine month periods ended September 30, 2001 , versus the three and nine month periods ended September 30, 2000 are due to the decreases in the size of the respective station portfolios being operated during these periods. At the commencement of the third quarter of 2001, the Company operated 224 stations in 45 markets, versus 317 stations in 64 markets at the commencement of the third quarter of 2000. During the first nine months of 2001, the Company operated a peak station portfolio of 225 stations, compared to a peak station portfolio of 317 stations during the first nine months of 2000.

For the three months ended September 30, 2001 net revenues decreased $7.3 million, or 12.6%, to $50.8 million compared to $58.1 million for the same period in 2000. Broadcast Cash Flow (defined as operating income (loss) before depreciation, amortization, LMA fees, corporate general and administrative expense and restructuring and other charges) increased $20.1 million to $15.6 million for the three months ended September 30, 2001 from negative broadcast cash flow of $4.5 million for the same period in 2000. EBITDA (defined as operating income (loss) before depreciation, amortization, LMA fees, and restructuring and other charges) increased $19.7 million to $11.4 million for the three months ended September 30, 2001 from negative EBITDA of $8.3 million for the same period in 2000. The increases in Broadcast Cash Flow and EBITDA were primarily attributable to an unusually high charge to bad debt expense taken in the three month period ended September 30, 2000 .

On a pro forma basis, after all announced acquisitions and divestitures, net revenues for the 224 stations in 45 markets decreased $2.9 million, or 5.5%, to $50.6 million for the three months ended September 30, 2001, compared to pro forma net revenues of $53.5 million for the three-month period ended September 30, 2000. Pro forma Broadcast Cash Flow increased $0.9 million, or 5.3%, to $16.3 million for the three months ended September 30, 2001 , compared to $15.4 million for the three months ended September 30, 2000 .

On a same station basis, net revenues for the 167 stations in 32 markets operated since January 1, 2000 decreased $1.5 million, or 4.3%, to $33.9 million for the three months ended September 30, 2001, compared to net revenues of $35.4 million for the three-month period ended September 30, 2000. Same Station Broadcast Cash Flow increased $1.4 million, or 16.7%, to $10.0 million for the three months ended September 30, 2001 , compared to $8.6 million for the three months ended September 30, 2000 .

Basic and diluted loss per common share was ($0.33) for the three months ended September 30, 2001 compared with basic and diluted income per common share of $0.58 for the three months ended September 30, 2000 . This decrease in basic and diluted income per common share is entirely attributable to the net impact of i) a $68.1 million gain on the sale of assets recorded in the three month period ended September 30, 2000; and as previously mentioned ii) a $20.2 million charge to bad-debt expense taken in the three month period ended September 30, 2000. If the impact of these items were to be removed from the Company’s results for the three month period ended September 30, 2000 , the Company would have recorded basic and diluted loss per common share of ($0.78) for the three month period ended September 30, 2000 .

After Tax Cash Flow (“ATCF”), defined as Net Loss Attributable to Common Stockholders plus depreciation and amortization, plus or minus non-cash deferred tax expense (benefits) and other non-cash or non-recurring items, was ($1.1) million, or ($0.03) per common share for the three months ended September 30, 2001. This compares favorably to ATCF of ($20.2) million, or ($0.57) per common share for the three months ended September 30, 2000 .

For the nine months ended September 30, 2001 net revenues decreased $18.0 million, or 10.7%, to $150.5 million compared to $168.5 million for the same period in 2000. This decrease in revenue is largely due to the decrease in the size of the station portfolio being operated during the first nine months of 2001 versus the prior year period. Broadcast Cash Flow (defined as operating income (loss) before depreciation, amortization, LMA fees, corporate general and administrative expense and restructuring and other charges) increased $25.8 million, or 148.6%, to $43.1 million from $17.3 million for the same period in 2000. EBITDA (defined as operating income (loss) before depreciation, amortization, LMA fees, and restructuring and other charges) increased $26.6 million, or 545.7% to $31.5 million from $4.9 million for the same period in 2000.

On a pro forma basis, after all announced acquisitions and divestitures, net revenues for the 224 stations in 45 markets decreased $6.3 million, or 4.1%, to $149.1 million for the nine months ended September 30, 2001, compared to pro forma net revenues of $155.4 million for the nine-month period ended September 30, 2000. Pro forma Broadcast Cash Flow increased $5.7 million, or 14.6%, to $44.5 million for the nine months ended September 30, 2001 , compared to $38.8 million for the nine months ended September 30, 2000 .

On a same station basis, net revenues for the 167 stations in 32 markets operated since January 1, 2000 decreased $3.8 million, or 3.7%, to $98.8 million for the nine months ended September 30, 2001, compared to net revenues of $102.6 million for the nine-month period ended September 30, 2000. Same station Broadcast Cash Flow increased $6.5 million, or 32.6%, to $26.5 million for the nine months ended September 30, 2001 , compared to $20.0 million for the nine months ended September 30, 2000 .

Basic and diluted loss per common share was ($0.89) for the nine months ended September 30, 2001 which represents an increased loss per share of ($0.72) per share from ($0.17) for the nine months ended September 30, 2000 . This ($0.72) increase in basic and diluted loss per common share is entirely attributable to the net impact of i) the $68.1 million of gain on the sale of assets recorded in the nine month period ended September 30, 2000; and ii) the $29.5 million of special charges related to bad-debt expense ($20.2 million) and restructuring the Company’s corporate offices ($9.3 million) recorded during the nine month period ended September 30, 2000. If the impact of these items were to be removed from the Company’s results for the nine month period ended September 30, 2000 , the Company would have recorded basic and diluted loss per common share of ($1.27).

After Tax Cash Flow (“ATCF”), defined as Net Loss Attributable to Common Shareholders plus depreciation and amortization, plus or minus non-cash deferred tax expense (benefits) and other non-cash or non-recurring items, was ($5.7) million, or ($0.16) per common share for the nine months ended September 30, 2001. This compares favorably to ATCF of ($27.8) million, or ($0.79) per common share for the nine months ended September 30, 2000 .

Cumulus Chairman and CEO Lew Dickey noted, “The continued progress in market operating performance realized during the third quarter of 2001 reflects the commitment and discipline of the Cumulus teams in each of our 45 markets. We, along with all other media companies, experienced a premature end to our quarter following the well documented events on, and since, September 11^th and although our revenue was cut short, we did an exceptionally good job of managing our expenses.

Executive Vice-President and Chief Financial Officer Marty Gausvik noted, “the number of markets in our portfolio which have demonstrated improvement in BCF margin is an encouraging sign. We continue to closely monitor our expense levels and strive for greater efficiencies across our platform. This should position the Company to achieve additional BCF margin improvement when the advertising environment improves.”

Cumulus Media Inc.’s (NASDAQ: CMLS) third quarter financial results conference call will be later this morning, Thursday, November 8, 2001 at 11:00 AM Eastern Time. The call will be open to the general public on a listen only basis. The conference call dial in number is (888) 793-1765 for domestic calls and (415) 228-3890 for international calls. The PIN code 44930 is for both domestic and international calls. Please call ten minutes in advance to ensure that you are connected prior to the presentation.

Giving effect to the completion of all pending acquisitions and divestitures, Cumulus Media will own and operate 224 radio stations in 45 mid-size and smaller U.S. media markets. The Company’s headquarters are in Atlanta , GA , and its web site is www.cumulus.com. In addition, the Company owns and operates a multi-market radio network in the English-speaking Caribbean . For additional information regarding the Company contact Daniel O’Donnell, Vice President, Finance or Bettina Martin at (404) 949-0700.

Certain statements within this release constitute “forward-looking statements” within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Such forward looking statements are subject to numerous known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements in light of future decisions by the Company, and by market, economic, competitive, regulatory and technological developments beyond the Company’s control.

The words or phrases "expect", "anticipate", "estimates" and "forecast" and similar words or expressions are intended to identify such forward-looking statements. In addition, any statements that refer to expectations or other characterizations of future events or circumstances are forward-looking statements. Investors should examine the filings that are made with the SEC by the Company from time to time, which more fully describe the risks and uncertainties associated with Cumulus Media Inc.’s business. Except as otherwise stated in this news announcement, Cumulus Media Inc. does not undertake any obligation to publicly update or revise any forward-looking statements because of new information, future events or otherwise.

Third Quarter 2001 Results


	Three Months Ended September 30,		Nine Months Ended September 30,
	2001	2000		2001	2000
Historical:
Net Revenues	$50,815	$58,127		$150,475	$168,470
Broadcast Cash Flow	15,555	(4,522)		43,084	17,333
BCF Margins	30.6%	(7.8%)		28.6%	10.3%

Markets Operated One Year (32 Markets; 167 Stations):
Net Revenues	$33,853	$35,367		$98,792	$102,556
Broadcast Cash Flow*	10,021	8,589		26,492	19,979
BCF Margins	29.6%	24.3%		26.8%	19.5%

Pro Forma (45 Markets; 224 Stations):
Net Revenues	$50,614	$53,533		$149,097	$155,411
Broadcast Cash Flow*	16,266	15,442		44,503	38,829
BCF Margins	32.1%	28.8%		29.8%	25.0%
EBITDA*	13,385	12,394		34,944	29,722
EBITDA Margin	26.4%	23.2%		23.4%	19.1%

The following analysis of our market portfolio separates each market into one of six categories based upon trailing twelve month BCF performance for analytical purposes only. We believe this analytical distribution of our markets is helpful in assessing the portfolio’s financial and operational development.

Third Quarter 2001 Results

September 30, 2001

September 30, 2001

Actual

Pro Forma (1)