Economic difficulties aren't just for Rupert Murdoch's News Corporation. The radio giant who brings favorites such as Rush Limbaugh, Sean Hannity, Glenn Beck and Dr Laura seems to be having major financial problems. Oh to remember how the right loved to hear about problems at Air America. You know what they say about paybacks.
It is too soon to say who will be the biggest loser among media companies in this recession. But Clear Channel Communications is vying for the title.Bain Capital. Hmmm, now that rings a bell as well. Oh that's right! Our favorite GOP Presidential candidate who was going to tell us how he would apply his business sense to the US co-founded it. Well I'll be. All of those smarts from the extreme right and they can't seem to figure out how to run a business. Go figure.
Clear Channel, the nation’s largest radio station operator and an outdoor billboard company, last year became the biggest leveraged buyout ever in the media business, after it was taken private by Thomas H. Lee Partners and Bain Capital.
Now its revenues are plunging and so is its cash flow, making it harder to meet the payments on the billions in debt accumulated in the process of buying out its public investors. If it violates some of its loan agreements, those interest payments rise sharply.
