Radio One Delays Report on Options Probe, May Restate
Radio One Inc. (ROIAK), the biggest radio broadcaster focused on urban audiences, delayed its annual report and may restate earnings going back to 1999 to account for misdated stock-option grants.
The changes for years 1999 through 2003 will be material, Lanham, Maryland-based Radio One said today in a regulatory filing. The company doesn't expect to alter stock-based compensation costs for 2006 and said added costs for 2004 and 2005 won't be material.
The restatement won't affect the company's previously reported revenue, cash flow or total stockholders' equity, the company said in a statement. Chief Financial Officer Scott Royster didn't immediately return a message seeking comment.
Radio One is among more than 200 companies that have disclosed federal or internal probes into misdated options. The investigations have led to company restatements exceeding $9.5 billion to account for the additional costs.
Radio One's shares fell 2 cents to $7.47 in Nasdaq Stock Market composite trading today, before the filing was released. The stock has gained 11 percent this year.
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