Largest U.S. radio company Audacy files for bankruptcy protection

08.01.2024

Audacy, the prominent radio and podcast company, announced on Sunday that it has initiated Chapter 11 bankruptcy proceedings in Texas as part of a strategic move to alleviate its debt burden.

Under the proposed restructuring agreement, Audacy aims to significantly reduce its total debt by 80%, bringing it down to approximately $350 million from its current level of around $1.9 billion, according to the company’s statement.

David Field, the CEO of Audacy, emphasized the company’s successful evolution into a leading and diversified multi-platform audio content and entertainment entity over the past few years. However, he acknowledged the impact of a “perfect storm” of macroeconomic challenges faced by the traditional advertising market over the last four years. This challenging environment resulted in a substantial decline in radio advertising expenditures.

Field stated, “These market factors have severely impacted our financial condition and necessitated our balance sheet restructuring.” Audacy, headquartered in Philadelphia, boasts ownership of numerous radio stations and holds a prominent position among the top radio broadcasters in the United States. Notable assets include WFAN Sports Radio, New York’s 1010 WINS, and KCBS.