by Mia Kuhn

The Emmis Comunications Corporation’s logo. Image courtesy of Emmis Communications.

Address: One Emmis Plaza

40 Monument Circle, Suite 700

Indianapolis, Indiana 46204

E-mail: IR@emmis.com

Phone: 317.266.0100

Website: emmis.com

INTRODUCTION

As the 9^th largest radio group in the United States, Emmis Communications Corporation (NASDAQ: EMMS) owns and runs several magazine and radio systems. Emmis operates on the medium to large scale for its market size and has been formally acknowledged as the Most Respected Radio Company in a poll by some of the industry’s leading CEOs. [1]

Company Overview:

New York City’s source for all things Hip-Hop. “Where Hip-Hop Lives.” Image courtesy of WQHT-FM.

Emmis has been evolving since 1979 when Jeff Smulyan and a couple others bought WSVL in Shelbyville, Indiana. One purchase after another, the company has accumulated properties to build what is now a global enterprise with stations from Austin, Texas and St. Louis, Missouri to Hungary, Slovakia, and Bulgaria. Emmis went public in 1994 and now holds ownership over some of the nation’s largest markets, such as New York City’s WQHT-FM (Hot 97) and Los Angeles’s KPWR-FM (Power 106). [2]

As one of the best places to work in Indiana 2012, Emmis stands for a conducive working environment while it also maintains reputable radio, publishing, digital, social impact, and TagStation® and NextRadio™ operations. The company has embodied a definitive “Emmis culture,” where they believe in risk-taking and positive guidance of employees in order to get innovative and creative outcomes while having fun.

Emmis Communications Corportation was voted one of the best places to work in Indiana in 2012. Image courtesy of emmis.com.

Corporate Philosophy (1 being most important):

Take care of your audiences and advertisers – think of them and you’ll win.
Be passionate about what you do and compassionate about how you do it.
Be good to your people – get them into the game and give them a piece of the pie.
Never jeopardize your integrity – we win the right way or we don’t win at all
Believe in yourself – if you think you can make it happen, you will. [3]

Despite the radio industry weakening with the emergence of online radio presence and more popular news and music acquiring devices, Emmis proceeds to shed positive light on the matter by embracing its corporate philosophy. The corporation’s administration is currently following its eleven commandments to create new and interesting projects.

“Great media. Great People. Great Service.” Screenshot of a graphic of Emmis Communications Corporation’s logline from emmis.com.

CURRENT ADMINISTRATION

Board of Directors:

Jeff Smulyan, Chairman of Board, President, and CEO of Emmis Communications. Image courtesy of emmis.com.

Jeff Smulyan is the Chairman of the Board and CEO of Emmis Communications. He graduated cum laude with a B.A. in Telecommunications and History from University of Southern California. Smulyan’s education propelled him into radio. He managed a station in Indianapolis and Omaha prior to forming Emmis in 1980. Smulyan has held several high-esteemed positions in the radio field; he is the former director of the National Association of Broadcasters, former Chairman of the Board of Directors of the Radio Advertising Bureau, and past chair of the Central Indiana Corporate Partnership. [4]

Patrick Walsh, EVP, CFO, and COO of Emmis Communications. Image courtesy of emmis.com.

Patrick Walsh has been the Executive Vice President, Chief Financial Officer, and Chief Operating Officer of Emmis Communications since 2006. Walsh earned a degree in business from the University of Michigan and gained much of his experience from being the CFO and Senior Vice President at iBiquity Digital Corporation. [5]

Company Officers (In addition to Jeff Smulyan and Patrick Walsh):

Rick Cummings – President of Programming for Emmis Radio
Scott Enright – Executive Vice President and General Counsel
Greg Loewen – President of Publishing and Chief Strategy Officer
Paul Brenner – Senior Vice President – Chief Technology Officer
Ian D. Arnold – Vice President, Associate General Counsel and Assistant Secretary
Ryan A. Hornaday – Senior Vice President of Finance and Treasurer
Valerie C. Maki – Senior Vice President – Emmis Radio Division, Los Angeles Market Manager
Deborah Paul – Executive Vice President – Editorial Director – Publishing
Traci L. Thomson – Vice President of Human Resources

Board of Directors:

Susan Bayh – Visiting Professor, Butler University
Gary Kassef – Former Executive Vice President and General Counsel
Richard Leventhal – President & Majority Owner of LMCS, LLC.
Peter Lund – Media Consultant and former President & CEO of CBS Television
Greg Nathanson – Former Television Division President
Lawrence Sorrel – Tailwind Capital Partners

Other Key Executives

Angie May Cook – Vice President, Emmis Digital
Sarah Harris – Founder, Incite
Alexandra Cameron – Senior Vice President, Emmis Radio Division; New York Market Manager
Amy Saralegui – Vice President/Group Publisher, National Sales, Emmis Publishing [6]

FINANCES

Most Recent Financial Data:

A press release from October 12, 2012 describes Emmis Communication’s second quarter as being negatively impacted by “station divestitures.” The past year illustrates net revenue for the second fiscal quarter increased 1 percent, from $54.4 million to $55.0 million. Pro forma radio net revenues increased 2 percent, from $41.4 million to $42.0 million. This growth in radio revenues exceeded market revenue growth in the quarter, which was less than 1 percent. The Motley Fool nasdaq report card contains the most recent analysis and assessments of NASDAQ:EMMS. [7]

Emmis Communications Corporation notes solid growth in second quarter pro forma revenue growth. This table reconciles reported results (dollars are in thousands). Image courtesy of emmis.com.

Emmis Communications also has a more detailed and consolidated version of their second quarter Financial Data and Subsidiaries Report available for viewing.

Emmis Communications- Class A (EMMS) Snapshot. Screenshot courtesy of investing.businessweek.com.

Competition:

With the radio industry already struggling with the emergence of MP3s, Internet radio, and specializing radio services, it doesn’t help Emmis Communications that it has to compete against bigger radio corporations. The company’s top three competitors are Clear Channel Communication, Inc., Citadel Broadcasting Corporation, which was bought by Cumulus Media, and CBS Radio Inc. [8]

Companies financially relative to Emmis Communications. Screenshot courtesy of Google NASDAQ data.

EMMIS COMMUNICATIONS HERE AND NOW

Emmis Radio:

August 22, 2012, Emmis Communications’ Terre Haute, Indiana sector signed an agreement to add an ESPN brand station, WSDM-FM, to its collection. It also managed to acquire WSDX-AM. Both of these stations were signed over by Crossroads Investments LLC. Both groups also signed a Local Programming and Marketing Agreement (LMA) that allowed Emmis-Terre Haute to organize and sell advertising on the stations. This agreement went active Septembers 1, 2012. [9]

WIBC, 93.1 FM, Indy’s News Center. Image Courtesy of WIBC and Emmis Communications.

On November 17, 2012, Emmis bought an Indianapolis- area translator for $375,000 from Kaspar Broadcasting, Co., Inc. The official document filed with the FCC stated the new acquisition will rebroadcast Talk WIBC, Indianapolis. [10]

In addition to these recently acquired stations, Emmis currently has these FM and AM stations nationally and internationally –

Austin, Texas

KGSR-FM (93.3)

KLBJ-AM (590)

KLBJ-FM (93.7)

KROX-FM (101.5)

Comedy 102.7

KLZT-FM (107.1)

KBPA-FM (103.5 BOB)

St. Louis, Missouri

KSHE-FM (KSHE95)

KPNT-FM (105.7 The Point)

KFTK-FM (FM NewsTalk 97.1)

KHIT-FM (K-Hits 95)

Indianapolis, Indiana

WLHK-FM (97.1 Hank FM)

WIBC-FM (93.1 FM)

WFNI-AM (1070 The Fan)

WYXB-FM (105.7 FM)

Network Indiana

Terre-Haute

WTHI-FM (99.9 FM)

WWVR-FM (105.5 FM)

WFNF-AM (1130 The Fan)

Slovakia

X Radio Expres

Bulgaria

Radio Star FM

Radio FM+

Radio Fresh [11]

Emmis Publishing:

Screenshot of “Los Angeles Magazine” graphic. Image courtesy of www.lamag.com.

Emmis currently has publications in California, Georgia, Ohio, Indiana, and Texas. The corporation has been involved magazine publication since 1988 and is currently operating 6 different magazines. In California, “Orange Coast” and “Los Angeles Magazine” in Georgia, “Atlanta“, in Ohio “Cincinatti” , in Indianapolis, “Indianapolis Monthly“, and in Texas, “Texas Monthly“. [12]

December 2012 Issue of Los Angeles Magazine. Screenshot courtesy of www.lamag.com.

Features of December 2012’s issue of “Los Angeles Magazine” include winter escapes, a holiday gift guide, and seasonal delicacies. The magazine concentrates on providing consumers information on what’s best in LA. From “The Guide” giving the 30 best places to go this month to what films are must see. [13]

Emmis Digital:

Emmis is keeping track of their mentions using the Twitter handle of @EmmisDigital. This sector is strictly social media content. Emmis is also present on Facebook. [14]

Emmis Communications Applications:

October 4, 2012, Emmis Interactive was sold to Marketron in order to provide Emmis Communications Corporation the ability to maximize commercialization of its FM/Analog Radio Smartphone application. Although Emmis sold their property, they still proceed to work with Marketron Interactive on their future developments and distributions of the renowned Digital Suite of software and services. These deluxe systems include BaseStation®, GeoStation® and Guidable™. Emmis Communications remains a primary customer of Marketron and will gain a portion of its economic successes. [15]

NextRadio is the future of smartphone radio reception for Emmis Communications. Screenshot courtesy of www.tagstation.com.

As of November 28, 2012, the new HD radio application called NextRadio™ was in the final steps of beta testing, according to Emmis. The corporation intends on marketing NextRadio™ to wireless carriers so consumers can listen to live and local radio without having to absorb their data plans. Emmis Communications Corporation continues to build their current TagStation® application and have high hopes for a successful launch of the NextRadio™ service. [16] [17]