þ | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
o | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
Delaware | 13-3827791 | |
(State or other jurisdiction of | (I.R.S. Employer | |
incorporation or organization) | Identification No.) |
Large accelerated filer o | Accelerated filer o | Non-accelerated filer o | Smaller reporting company þ | |||
(Do not check if a smaller reporting company) |
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Item 1.
Financial Statements Unaudited
June 30,
December 31,
2011
2010
(In thousands, except share data)
$
64,984
55,140
23,767
26,160
2,303
3,219
91,054
84,519
39,426
40,006
312,623
312,623
32,806
32,806
1,166
1,184
988
1,514
3,711
2,167
$
481,774
474,819
$
19,416
17,980
2,055
4,057
1,103
745
680
750
304,688
3,250
425
416
16,959
14,478
345,326
41,676
702
985
813
829
303,063
6,107
6,180
81,136
78,247
434,084
430,980
92,349
92,349
4
4
525,250
525,205
(813
)
(829
)
(569,100
)
(572,890
)
(44,659
)
(48,510
)
$
481,774
474,819
Table of Contents
Three-Months Ended
Six-Months Ended
June 30,
June 30,
2011
2010
2011
2010
(In thousands, except per share data)
$
35,627
35,837
66,402
66,683
9,569
9,991
19,775
19,865
10,957
10,832
24,136
23,621
2,012
2,254
3,943
4,475
1,257
1,446
2,596
3,002
23,795
24,523
50,450
50,963
(2
)
8
(9
)
8
207
207
11,627
11,306
15,754
15,712
(2,024
)
(3,123
)
(4,060
)
(9,426
)
3,016
5,863
9,603
11,199
11,694
12,149
1,159
1,768
2,940
3,546
8,444
9,431
8,754
8,603
(2,482
)
(2,482
)
(4,964
)
(4,964
)
$
5,962
6,949
3,790
3,639
$
0.82
0.96
0.52
0.50
$
0.82
0.95
0.52
0.50
7,267
7,260
7,267
7,260
7,280
7,287
7,283
7,282
Table of Contents
and Comprehensive Income for the Six-Months Ended June 30, 2011
Class C
Class A
Class B
Accumulated
preferred stock
common stock
common stock
Additional
other
Total
Number of
Par
Number of
Par
Number of
Par
paid-in
comprehensive
Accumulated
stockholders
shares
value
shares
value
shares
value
capital
loss
deficit
deficit
(In thousands, except share data)
380,000
$
4
4,163,991
$
2,340,353
$
$
525,205
$
(829
)
$
(572,890
)
$
(48,510
)
3,000
45
45
(4,964
)
(4,964
)
8,754
8,754
16
16
8,770
380,000
$
4
4,166,991
$
2,340,353
$
$
525,250
$
(813
)
$
(569,100
)
$
(44,659
)
Table of Contents
Six-Months Ended
June 30,
2011
2010
(In thousands)
$
8,754
8,603
(9
)
8
207
45
116
2,596
3,002
107
(216
)
391
202
526
531
2,889
3,487
382
99
(3,962
)
1,871
(1,208
)
916
138
(1,544
)
64
1,809
376
(2,002
)
(1,542
)
(560
)
1,508
16,378
11,206
(2,207
)
(807
)
15
(2,192
)
(807
)
(15,000
)
(1,625
)
(1,626
)
(2,483
)
(2,482
)
(234
)
(223
)
(4,342
)
(19,331
)
9,844
(8,932
)
55,140
53,580
$
64,984
44,648
$
3,515
6,539
$
8
8
$
2,482
2,482
$
16
(226
)
Table of Contents
Table of Contents
Table of Contents
Weighted
Weighted
Average
Average
Aggregate
Remaining
Exercise
Intrinsic
Contractual
Shares
Price
Value
Life (Years)
192
$
59.04
(4
)
64.33
188
$
58.94
$
79
4.3
184
$
59.79
$
79
4.2
Weighted
Outstanding
Average
Exercisable
Weighted
Remaining
Weighted
Average
Contractual
Average
Unvested
Exercise
Life
Number
Exercise
Range of Exercise Prices
Vested Options
Options
Price
(Years)
Exercisable
Price
68
4
$
16.36
7.3
68
$
16.15
96
81.02
2.2
96
81.02
20
107.87
3.3
20
107.87
184
4
$
58.94
4.3
184
$
59.79
Weighted
Average Grant-
Date Fair Value
Shares
(per Share)
3
$
15.70
(3
)
15.70
$
Table of Contents
Three-Months Ended
Six-Months Ended
June 30,
June 30,
2011
2010
2011
2010
7,267
7,260
7,267
7,260
13
27
16
22
7,280
7,287
7,283
7,282
156
176
146
179
Table of Contents
Three-Months Ended
Six-Months Ended
June 30,
June 30,
2011
2010
2011
2010
(In thousands)
(In thousands)
$
31,222
31,823
57,663
58,903
4,405
4,014
8,739
7,780
$
35,627
35,837
66,402
66,683
$
5,279
5,684
11,688
11,474
4,290
4,307
8,087
8,391
$
9,569
9,991
19,775
19,865
$
8,936
9,084
19,772
19,955
2,021
1,748
4,364
3,666
$
10,957
10,832
24,136
23,621
$
2,012
2,254
3,943
4,475
$
545
653
1,163
1,386
575
564
1,150
1,126
137
229
283
490
$
1,257
1,446
2,596
3,002
$
(2
)
(9
)
8
8
$
(2
)
8
(9
)
8
$
207
207
$
207
207
$
16,464
16,402
25,049
26,088
(2,481
)
(2,613
)
(4,862
)
(5,411
)
(2,356
)
(2,483
)
(4,433
)
(4,965
)
$
11,627
11,306
15,754
15,712
$
190
342
453
401
211
15
1,634
310
69
65
120
96
$
470
422
2,207
807
June 30,
December 31,
2011
2010
(In thousands)
Total Assets:
$
431,766
425,106
46,408
45,707
3,600
4,006
$
481,774
474,819
Table of Contents
Three-Months Ended
Six-Months ended
June 30,
June 30,
2011
2010
2011
2010
$
8,444
9,431
$
8,754
8,603
873
1,901
(50
)
(142
)
16
(226
)
$
8,394
10,162
$
8,770
10,278
Table of Contents
June 30, 2011
December 31, 2010
Gross
Gross
Carrying
Carrying
Description
Amount
Fair Value
Amount
Fair Value
$
304.7
291.2
306.3
291.2
92.3
69.8
92.3
69.3
6.3
6.3
6.5
6.4
Fair value measurements at June 30, 2011
Liabilities
June 30, 2011
Quoted prices in
Significant
carrying value and
active markets
other
Significant
balance sheet
for identical
observable
unobservable
location of derivative
instruments
inputs
inputs
Description
instruments
(Level 1)
(Level 2)
(Level 3)
$
813
813
Fair value measurements at December 31, 2010
Liabilities
December 31, 2010
Quoted prices in
Significant
carrying value and
active markets
other
Significant
balance sheet
for identical
observable
unobservable
location of derivative
instruments
inputs
inputs
Description
instruments
(Level 1)
(Level 2)
(Level 3)
$
829
829
Table of Contents
Three-Months Ended
Six-Months Ended
June 30,
June 30,
Interest rate swaps
2011
2010
2011
2010
$
(50
)
(142
)
$
16
(226
)
873
1,901
3,016
5,863
Table of Contents
Table of Contents
Item 2.
Managements Discussion and Analysis of Financial Condition and Results of Operations
Table of Contents
Three-Months Ended
June 30,
2011
2010
(In thousands)
$
31,222
31,823
4,405
4,014
$
35,627
35,837
$
5,279
5,684
4,290
4,307
$
9,569
9,991
$
8,936
9,084
2,021
1,748
$
10,957
10,832
$
2,012
2,254
$
545
653
575
564
137
229
$
1,257
1,446
$
(2
)
8
$
(2
)
8
$
207
$
207
$
16,464
16,402
(2,481
)
(2,613
)
(2,356
)
(2,483
)
$
11,627
11,306
Table of Contents
Three-Months Ended
June 30,
2011
2010
(In thousands)
$
35,627
35,837
9,569
9,991
10,957
10,832
2,012
2,254
1,257
1,446
(2
)
8
207
$
11,627
11,306
(2,024
)
(3,123
)
3,016
1,159
1,768
$
8,444
9,431
Table of Contents
Table of Contents
Six-Months Ended
June 30,
2011
2010
(In thousands)
57,663
58,903
8,739
7,780
66,402
66,683
11,688
11,474
8,087
8,391
19,775
19,865
19,772
19,955
4,364
3,666
24,136
23,621
3,943
4,475
1,163
1,386
1,150
1,126
283
490
2,596
3,002
(9
)
8
(9
)
8
207
207
25,049
26,088
(4,862
)
(5,411
)
(4,433
)
(4,965
)
15,754
15,712
Table of Contents
Six-Months Ended
June 30,
2011
2010
(In thousands)
$
66,402
66,683
19,775
19,865
24,136
23,621
3,943
4,475
2,596
3,002
(9
)
8
207
$
15,754
15,712
(4,060
)
(9,426
)
5,863
2,940
3,546
$
8,754
8,603
Table of Contents
the demand for advertising within the broadcasting industry and
economic conditions in general will not deteriorate further in any
material respect;
we will continue to successfully implement our business strategy; and
we will not incur any material unforeseen liabilities, including but
not limited to taxes, environmental liabilities, regulatory matters
and legal judgments.
Table of Contents
Six-Months Ended
June 30,
Change
2011
2010
$
(In thousands)
$
453
401
52
1,634
310
1,324
120
96
24
$
2,207
807
1,400
$
16,378
11,206
5,172
(2,192
)
(807
)
(1,385
)
(4,342
)
(19,331
)
14,989
$
9,844
(8,932
)
Table of Contents
Table of Contents
Item 4.
Controls and Procedures
Item 1.
Legal Proceedings
Table of Contents
Item 6.
Exhibits
Exhibit
Number
Exhibit Description
3.1
10.1
*
10.2
10.3
*
31.1
*
31.2
*
32.1
**
32.2
**
*
Filed herewith
**
Furnished herewith
Table of Contents
SPANISH BROADCASTING SYSTEM, INC.
By:
/s/ JOSEPH A. GARCÍA
JOSEPH A. GARCÍA
Chief Financial Officer,
Chief Administrative Officer,
Senior
Executive Vice President and Secretary
(principal financial and accounting officer
and duly authorized officer of the registrant)
Table of Contents
Exhibit
Number
Exhibit Description
3.1
10.1
*
10.2
10.3
*
31.1
*
31.2
*
32.1
**
32.2
**
*
Filed herewith
**
Furnished herewith
SPANISH BROADCASTING SYSTEM, INC.
|
||||
By: | /s/ Raul Alarcon | |||
Name: | Raul Alarcon | |||
Title: | President | |||
EXECUTIVE
|
||||
/s/ Joseph A. Garcia | ||||
Joseph A. Garcia | ||||
1
2
SELLER:
CHANNEL 55/42 OPERATING, LP |
||||
By: | US Farm & Ranch Supply Company, Inc., its Sole Member |
By: | /s/ Gregory L. Brown | |||
Name: | Gregory L. Brown | |||
Title: | President and CEO | |||
HUMANITY INTERESTED MEDIA, L.P.
|
||||
By: | HIM GP, LLC, its General Partner | |||
By: | /s/ Gregory L. Brown | |||
Name: | Gregory L. Brown | |||
Title: | President | |||
USFR TOWER OPERATING, LP
|
||||
By: | Channel 55/42 Broadcast, LLC, its General Partner |
By: | US Farm & Ranch Supply Co., Inc., its Sole Member |
By: | /s/ Gregory L. Brown | |||
Name: | Gregory L. Brown | |||
Title: | President |
USFR EQUITY DRIVE PROPERTY LLC |
By: | /s/ Gregory L. Brown | |||
Name: | Gregory L. Brown | |||
Title: | President |
3
PARENT:
US FARM & RANCH SUPPLY COMPANY, INC. , solely for the purposes of Sections 3.1, 3.3, 3.4 and Article 10 |
||||
By: | /s/ Gregory L. Brown | |||
Name: | Gregory L. Brown | |||
Title: | President and CEO |
4
BUYER:
SPANISH BROADCASTING SYSTEM, INC. |
||||
By: | /s/ Joseph A. Garcia | |||
Name: Joseph A. Garcia | ||||
Title: Sr. Executive Vice President |
5
PARENT:
US FARM & RANCH SUPPLY COMPANY, INC. |
|||||
By: | /s/ Gregory L. Brown | ||||
Name: Gregory L. Brown | |||||
Title: President and CEO | |||||
BUYER:
SPANISH BROADCASTING SYSTEM, INC. |
|||||
By: | /s/ Joseph A. Garcia | ||||
Name: Joseph A. Garcia | |||||
Title: Sr. Executive Vice President | |||||
/s/ RAÚL ALARCÓN, JR. | ||||
Name: | Raúl Alarcón, Jr. | |||
Title: |
Chairman of the Board of Directors,
Chief Executive Officer and President |
/s/ JOSEPH A. GARCÍA | ||||
Name: | Joseph A. García | |||
Title: |
Chief Financial Officer,
Chief Administrative Officer, Senior Executive Vice President and Secretary |
|||
(1) | The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. 78m or 78o(d)); and | ||
(2) | The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company. |
/s/ RAÚL ALARCÓN, JR. | ||||
Name: | Raúl Alarcón, Jr. | |||
Title: | Chairman of the Board of Directors, President and Chief Executive Officer |
(1) | The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. 78m or 78o(d)); and | ||
(2) | The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company. |
/s/ JOSEPH A. GARCÍA | ||||
Name: | Joseph A. García | |||
Title: | Chief Financial Officer, Chief Administrative Officer, Senior Executive Vice President and Secretary |