Spanish Broadcasting System, Inc. Reports Results for the Fourth Quarter and Fiscal Year Ended 2012

Spanish Broadcasting System, Inc. Reports Results for the Fourth Quarter and
Fiscal Year Ended 2012

MIAMI, April 1, 2013 (GLOBE NEWSWIRE) -- Spanish Broadcasting System, Inc.
(the "Company" or "SBS") (Nasdaq:SBSA) today reported financial results for
the fourth quarter and fiscal year ended December 31, 2012.

Financial Highlights

(in thousands)            Quarter Ended             Fiscal Year Ended
                          December 31,       %      December 31,        %
                         2012      2011     Change 2012       2011     Change
                                                  
Net revenue:                                                       
Radio                    $32,156 33,522  (4%)  $121,414 123,155 (1%)
Television               4,780    4,648   3%     18,108    17,829  2%
Consolidated             $36,936 38,170  (3%)  $139,522 140,984 (1%)
                                                                  
OIBDA, a non-GAAP                                                  
measure*:
Radio                    $15,219 14,671  4%     $52,205  57,030  (8%)
Television               335      (1,209) 128%   (1,557)   (5,960) 74%
Corporate                (1,955)  (1,657) (18%) (7,507)   (7,247) (4%)
Consolidated             $13,599 11,805  15%    $43,141  43,823  (2%)

* Please refer to the Non-GAAP Financial Measures section for a definition and
reconciliation from a non-GAAP to GAAP financial measure.

Discussion and Results

"During the past year we continued to focus on strengthening our multi-media
platform through prudent investments in our content, sales force and digital
distribution assets," commented Raul Alarcón, Jr., Chairman and CEO."Building
on the strength of our brands among Spanish-speaking audiences in the nation's
top Hispanic markets, we made notable progress in expanding our presence in
the live entertainment, mobile and online arenas, while maintaining strong
audience shares across our radio clusters. We also continued to improve the
performance of our TV division, which posted positive operating cash flow once
again in the fourth quarter.Looking ahead, we remain very positive regarding
the prospects of our business given the growth of the Hispanic population and
the increasing need for advertisers to connect with our audience."

Quarter Results

For the quarter-ended December 31, 2012, consolidated net revenues totaled
$36.9 million compared to $38.2 million for the same prior year period,
resulting in a decrease of $1.2 million or 3%.Our radio segment net revenues
decreased $1.4 million or 4%, primarily due to special events revenue and
network sales, offset by increases in national, barter, local and interactive
sales. The decrease in special events revenue occurred mainly in our Puerto
Rico market and the decrease in network sales occurred throughout most of our
markets. The increases in national, barter and interactive sales took place
throughout most of our markets and the increase in local sales was mostly in
our Los Angeles and Puerto Rico markets.Our television segment net revenues
increased $0.1 million or 3%, largely due to increases in paid-programming,
local spot and integrated sales, offset by a decrease in barter sales.

OIBDA, a non-GAAP measure, totaled $13.6 million compared to $11.8 million for
the same prior year period, representing an increase of $1.8 million or
15%.Our television segment OIBDA increased $1.5 million or 128%, largely due
to the decrease in station operating expenses of $1.4 million and an increase
in net revenues of $0.1 million.Television station operating expenses
decreased predominantly due to decreases in originally produced programming
costs, compensation and benefits, facilities expenses and a reduction in
broadcasting rights fees related to our former Puerto Rico and Chicago
outlets. Our radio segment OIBDA increased $0.5 million or 4%, primarily due
to the decrease of station operating expenses of $1.9 million, offset by the
decrease in net revenues of $1.4 million.Radio station operating expenses
decreased mainly due to special events expenses and music license fees, offset
by an increase in local and national commissions and barter expense. Our
corporate expenses increased by $0.3 million or 18%, mostly due to an increase
in professional fees.Please refer to the Non-GAAP Financial Measures section
for a definition and reconciliation from a non-GAAP to GAAP financial measure.

Operating income totaled $12.4 million compared to $10.4 million for the same
prior year period, representing an increase of $2.0 million or 19%. This
increase in operating income was attributed to the decrease in operating
expenses.

Year Results

For the year-ended December 31, 2012, consolidated net revenues totaled $139.5
million compared to $141.0 million for the same prior year period, resulting
in a decrease of $1.5 million or 1%.Our radio segment net revenues decreased
by $1.7 million or 1%, primarily due to decreases in national and network
sales, and special events revenue, offset by increases in barter, interactive
and local sales. The decrease in national sales took place mainly in our New
York and Chicago markets and the decrease in network sales occurred throughout
all of our markets. The decrease in special events revenue occurred in our
Puerto Rico, Los Angeles and New York markets.The increases in barter and
interactive sales took place throughout all of our markets and the increase in
local sales was mainly in our New York, Los Angeles and Puerto Rico markets.
Our television segment net revenues increased $0.3 million or 2%, largely due
to increases in paid-programming, sub-channel rental revenue, barter and
interactive sales, offset by decreases in national, local and integrated
sales.

OIBDA, a non-GAAP measure, totaled $43.1 million compared to $43.8 million for
the same prior year period, representing a decrease of $0.7 million or 2%.Our
radio segment OIBDA decreased $4.8 million or 8%, primarily due to the
increase of station operating expenses of $3.1 million and the decrease in net
revenues of $1.7 million. Radio station operating expenses increased mainly
due to increases in local and national commissions, barter expense,
compensation and benefits, offset by decreases in music license fees, legal
settlements and special event expenses. Our television segment OIBDA (loss)
decreased $4.4 million or 74%, largely due to the decrease in station
operating expenses of $4.1 million and the increase in net revenues of $0.3
million.Television station operating expenses decreased predominantly due to
decreases in originally produced programming costs, compensation and benefits,
advertising and promotions, facilities expenses, and a reduction in
broadcasting rights fees related to our former New York, Puerto Rico and
Chicago outlets.Our corporate expenses increased $0.3 million or 4%, mostly
due to an increase in compensation and benefits related to bonuses awarded for
the successful 2012 debt refinancing, offset by decreases in professional fees
and rent expense. Please refer to the Non-GAAP Financial Measures section for
a definition and reconciliation from a non-GAAP to GAAP financial measure.

Operating income totaled $37.3 million compared to $38.2 million for the same
prior year period, representing a decrease of $0.9 million or 2%.This
decrease in operating income was attributed to the decrease in net revenues.

NASDAQ Delisting Letter

On October 3, 2012, we received a written deficiency notice (the "Notice")
from the NASDAQ Global Market ("NASDAQ") advising us that the market value of
our Class A common stock for the previous 30 consecutive business days had
been below the minimum $15,000,000 required for continued listing on the
NASDAQ Global Market pursuant to NASDAQ Listing Rule 5450(b)(3) (C) (the
"Rule").

Pursuant to NASDAQ Listing Rule 5810(c)(3)(D), we were provided an initial
grace period of 180 calendar days, or until April 1, 2013, to regain
compliance with the Rule. We did not regain compliance with the Rule by April
1, 2013.On March 29, 2013, we filed an application to be listed on the NASDAQ
Capital Market.If the application is approved by NASDAQ, our Class A common
stock will continue to be listed on the NASDAQ Global Market until it is
switched to the NASDAQ Capital Market, which is expected to occur in April
2013.We expect the application to be approved, but there can be no guarantee
that it will be.If our application is not approved, NASDAQ will provide
written notification to us that our Class A common stock is subject to
delisting from the NASDAQ Global Market, at which time we will have an
opportunity to appeal the determination to a NASDAQ Hearings Panel.

We have not yet decided whether we would request a hearing or permit our Class
A common stock to be delisted.If the Class A common stock were to be
delisted, it could negatively affect the liquidity and price of the Class A
common stock.

Fourth Quarter 2012 Conference Call

We will host a conference call to discuss our fourth quarter 2012 financial
results on Tuesday, April 2, 2013 at 11:00 a.m. Eastern Time.To access the
teleconference, please dial 412-317-6789 ten minutes prior to the start time.

If you cannot listen to the teleconference at its scheduled time, there will
be a replay available through Tuesday, April 16, 2013 which can be accessed by
dialing 877-344-7529 (U.S.) or 412-317-0088 (Int'l), passcode: 10026323

There will also be a live webcast of the teleconference, located on the
investor portion of our corporate Web site, at
www.spanishbroadcasting.com/webcasts.shtml . A seven day archived replay of
the webcast will also be available at that link.

About Spanish Broadcasting System, Inc.

Spanish Broadcasting System, Inc. is the largest publicly traded
Hispanic-controlled media and entertainment company in the United States. SBS
owns and/or operates 21 radio stations located in the top U.S. Hispanic
markets of New York, Los Angeles, Miami, Chicago, San Francisco and Puerto
Rico, airing the Tropical, Mexican Regional, Spanish Adult Contemporary and
Hurban format genres. The Company also owns and operates MegaTV, a television
operation with over-the-air, cable and satellite distribution and affiliates
throughout the U.S. and Puerto Rico. SBS also produces live concerts and
events and operates www.LaMusica.com, a bilingual Spanish-English online site
providing content related to Latin music, entertainment, news and culture. The
Company's corporate Web site can be accessed at www.spanishbroadcasting.com.

This press release contains certain forward-looking statements.These
forward-looking statements, which are included in accordance with the safe
harbor provisions of the Private Securities Litigation Reform Act of 1995, may
involve known and unknown risks, uncertainties and other factors that may
cause the Company's actual results and performance in future periods to be
materially different from any future results or performance suggested by the
forward-looking statements in this press release.Although the Company
believes the expectations reflected in such forward-looking statements are
based upon reasonable assumptions, it can give no assurance that actual
results will not differ materially from these expectations.Forward-looking
statements, which are based upon certain assumptions and describe future
plans, strategies and expectations of the Company, are generally identifiable
by use of the words "may," "will," "expect," "believe," "anticipate,"
"intend," "could," "estimate," "might," or "continue" or the negative or other
variations thereof or comparable terminology.Factors that could cause actual
results, events and developments to differ are included from time to time in
the Company's public reports filed with the Securities and Exchange
Commission.All forward-looking statements made herein are qualified by these
cautionary statements and there can be no assurance that the actual results,
events or developments referenced herein will occur or be realized. The
Company undertakes no obligation to update or revise forward-looking
statements to reflect changed assumptions, the occurrence of unanticipated
events or changes to future operation results.

                          (Financial Table Follows)

Below are the Unaudited Condensed Consolidated Statements of Operations for
the three-months and year ended December 31, 2012 and 2011.

                                      Three-Months Ended Year Ended
                                       December 31,       December 31,
Amounts in thousands, except per share 2012      2011     2012        2011
amounts
                                                                  
                                      (Unaudited)        (Unaudited)
Net revenue                            $36,936 38,170  $139,522  140,984
Station operating expenses             21,382   24,708  88,874     89,914
Corporate expenses                     1,955    1,657   7,507      7,247
Depreciation and amortization          1,342    1,426   5,464      5,436
(Gain) loss on the disposal of assets, (7)      7       (15)       (10)
net
Impairment charges and restructuring   (130)    --     442        207
costs
Operating income                       12,394   10,372  37,250     38,190
Interest expense, net                  (9,930)  (2,068) (36,543)   (8,182)
Loss on early extinguishment of debt   --      --     (391)      --
                                                                  
Income before income taxes             2,464    8,304   316        30,008
Income tax (benefit) expense           (164)    2,146   1,597      6,306
Net income (loss)                      2,628    6,158   (1,281)    23,702
                                                                  
Dividends on Series B preferred stock  (2,481)  (2,481) (9,927)    (9,927)
Net income (loss) applicable to common $147    3,677   $(11,208) 13,775
stockholders
                                                                  
Net income (loss) per common share:                                
Basic                                  $0.02   0.51    $(1.54)   1.90
Diluted                                $0.02   0.51    $(1.54)   1.89
                                                                  
Weighted average common shares                                     
outstanding:
Basic                                  7,267    7,267   7,267      7,267
Diluted                                7,267    7,269   7,267      7,278

Non-GAAP Financial Measures

Operating Income (Loss) before Depreciation and Amortization, (Gain) Loss on
the Disposal of Assets, net, and Impairment Charges and Restructuring Costs
("OIBDA") is not a measure of performance or liquidity determined in
accordance with Generally Accepted Accounting Principles ('GAAP') in the
United States.However, we believe that this measure is useful in evaluating
our performance because it reflects a measure of performance for our stations
before considering costs and expenses related to our capital structure and
dispositions.This measure is widely used in the broadcast industry to
evaluate a company's operating performance and is used by us for internal
budgeting purposes and to evaluate the performance of our stations, segments,
management and consolidated operations.However, this measure should not be
considered in isolation or as a substitute for Operating Income, Net Income,
Cash Flows from Operating Activities or any other measure used in determining
our operating performance or liquidity that is calculated in accordance with
GAAP. In addition, because OIBDA is not calculated in accordance with GAAP, it
is not necessarily comparable to similarly titled measures used by other
companies.

Included below are tables that reconcile OIBDA to operating income (loss) for
each segment and consolidated net income (loss), which is the most directly
comparable GAAP financial measure.

                              Quarter Ended December 31, 2012
(Unaudited and in thousands)   Consolidated    Radio      Television Corporate
                                                                 
OIBDA                          $13,599       15,219    335       (1,955)
Less expenses excluded from
OIBDA but included in                                             
operating income (loss):
Depreciation and amortization  1,342          490       777       75
(Gain) loss on the disposal of (7)            (7)       --       --
assets, net
Impairment charges and         (130)          --       --       (130)
restructuring costs
Operating Income (Loss)        $12,394       14,736    (442)     (1,900)
                                                                 
                              Quarter Ended December 31, 2011
(Unaudited and in thousands)   Consolidated    Radio      Television Corporate
                                                                 
OIBDA                          $11,805       14,671    (1,209)   (1,657)
Less expenses excluded from
OIBDA but included in                                             
operating income (loss):
Depreciation and amortization  1,426          557       740       129
(Gain) loss on the disposal of 7              1         6         --
assets, net
Impairment charges and         --            --       --       --
restructuring costs
Operating Income (Loss)        $10,372       14,113    (1,955)   (1,786)
                                                                 
                              Quarter Ended December 31,           
(Unaudited and in thousands)   2012            2011                 
Operating Income               $12,394       10,372              
Other (expense) income:                                           
Interest expense, net          (9,930)        (2,068)             
Income before income taxes     2,464          8,304               
Income tax (benefit) expense   (164)          2,146               
Net income                     $2,628        6,158               

                          
                          Fiscal Year Ended December 31, 2012
(Unaudited and in          Consolidated      Radio        Television Corporate
thousands)
                                                                 
OIBDA                      $43,141         52,205      (1,557)   (7,507)
Less expenses excluded
from OIBDA but included in                                        
operating income (loss):
Depreciation and           5,464            2,062       2,999     403
amortization
(Gain) loss on the         (15)             (15)        --       --
disposal of assets, net
Impairment charges and     442              48          11        383
restructuring costs
Operating Income (Loss)    $37,250         50,110      (4,567)   (8,293)
                                                                 
                          Fiscal Year Ended December 31, 2011
(Unaudited and in          Consolidated      Radio        Television Corporate
thousands)
                                                                 
OIBDA                      $43,823         57,030      (5,960)   (7,247)
Less expenses excluded
from OIBDA but included in                                        
operating income (loss):
Depreciation and           5,436            2,267       2,629     540
amortization
(Gain) loss on the         (10)             (8)         6         (8)
disposal of assets, net
Impairment charges and     207              --         --       207
restructuring costs
Operating Income (Loss)    $38,190         54,771      (8,595)   (7,986)
                                                                 
                          Fiscal Year Ended December 31,           
(Unaudited and in          2012              2011                   
thousands)
Operating Income           $37,250         38,190                
Other (expense) income:                                           
Interest expense, net      (36,543)         (8,182)               
Loss on early              (391)            --                   
extinguishment of debt
(Loss) income before       316              30,008                
income taxes
Income tax expense         1,597            6,306                 
Net (loss) income          $(1,281)        23,702                

Non-GAAP Reporting Requirement under our Senior Secured Notes Indenture

Under our Senior Secured Notes Indenture, we are to provide our Senior Secured
Noteholders a statement of our "Station Operating Income for the Television
Segment," as defined by the Indenture, for the two fiscal quarter period ended
December 31, 2012 (i.e. July 2012 – December 2012) and a reconciliation of
"Station Operating Income for the Television Segment" to the most directly
comparable financial measure calculated in accordance with GAAP.

In addition, we are to provide our "Secured Leverage Ratio," as defined by the
Indenture, as of December 31, 2012.

Included below is the table that reconciles "Station Operating Income for the
Television Segment" to the most directly comparable GAAP financial measure.
Also included is our "Secured Leverage Ratio" as of December 31, 2012.

                                Quarter Ended  Quarter Ended  Six Months Ended
(Unaudited and in thousands)    September 30,  December 31,   December 31,
                                2012           2012           2012
                                                           
Station Operating Income for
the Television Segment, as      $(89)        $370         $281
defined by the Indenture
Less expenses excluded from
Station Operating Income for
the Television Segment, as                                  
defined by the Indenture, but
included in operating income
(loss):
Depreciation and amortization   776           777           1,553
Non-cash barter (income)        (218)         28            (190)
expense
Other                          --           7             7
GAAP Operating Loss for the     $(647)       $(442)       $(1,089)
Television Segment
                                                           
Secured Leverage Ratio, as      6.3                          
defined by the Indenture

Unaudited Segment Data

We have two reportable segments: radio and television.The following summary
table presents separate financial data for each of our operating segments:

                                         Quarter Ended     Fiscal Year Ended
                                          December 31,       December 31,
                                         2012      2011     2012     2011
                                         (In thousands)     (In thousands)
Net revenue:                                                       
Radio                                    $32,156 33,522  121,414 123,155
Television                               4,780    4,648   18,108  17,829
Consolidated                             $36,936 38,170  139,522 140,984
Engineering and programming expenses:                              
Radio                                    $4,902  5,478   20,101  22,488
Television                               2,140    3,495   11,144  14,993
Consolidated                             $7,042  8,973   31,245  37,481
Selling, general and administrative                                
expenses:
Radio                                    $12,035 13,373  49,108  43,637
Television                               2,305    2,362   8,521   8,796
Consolidated                             $14,340 15,735  57,629  52,433
                                                                  
Corporate expenses:                       $1,955  1,657   7,507   7,247
                                                                  
Depreciation and amortization:                                     
Radio                                    $490    557     2,062   2,267
Television                               777      740     2,999   2,629
Corporate                                75       129     403     540
Consolidated                             $1,342  1,426   5,464   5,436
(Gain) loss on the disposal of assets,                             
net:
Radio                                    $(7)    1       (15)    (8)
Television                               --      6       --     6
Corporate                                --      --     --     (8)
Consolidated                             $(7)    7       (15)    (10)
Impairment charges and restructuring                               
costs:
Radio                                    $--    --     48      --
Television                               --      --     11      --
Corporate                                (130)    --     383     207
Consolidated                             $(130)  --     442     207
Operating income (loss):                                           
Radio                                    $14,736 14,113  50,110  54,771
Television                               (442)    (1,955) (4,567) (8,595)
Corporate                                (1,900)  (1,786) (8,293) (7,986)
Consolidated                             $12,394 10,372  37,250  38,190

Selected Unaudited Balance Sheet Information and Other Data:

(Amounts in thousands)                             As of
                                                   December 31, 2012
                                                  
Cash and cash equivalents                          $26,660
                                                  
Total assets                                       $467,418
                                                  
12.5% Senior Secured Notes due 2017, net           $267,806
Other debt                                         11,271
Total debt                                         $279,077
                                                  
Series B preferred stock                           $92,349
Accrued Series B preferred stock dividends payable 29,369
Total                                             $121,718
                                                  
Total stockholders' deficit                        $(45,854)
                                                  
Total capitalization                               $354,941

                          For the Fiscal Year Ended December 31,
                          2012                2011
                                               
Capital expenditures       $1,591              2,735
Cash paid for income taxes $298                8

CONTACT: Analysts and Investors
         Jose I. Molina
         Vice President of Finance
         (305) 441-6901
        
         Analysts, Investors or Media
         Brad Edwards
         Brainerd Communicators, Inc.
         (212) 986-6667
 
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