Los angeles metro · Source: Scarborough, R1 2018 (January 2017 –2018), Riverside/San Bernardino Metro, online radio listeners. % of monthly Online Radio listeners who listened

THOM\Value of Radio

Inland Empire

The following fact-based overview showcases the enormous power of Radio…

Including the intrinsic value of Radio

What radio means to listeners today

The commercial environment that only Radio provides

The ubiquitous platforms of Radio

A clear comparison of Radio to other media

The loyal and rabid connection of Radio and its listeners

And finally, why Radio is still the most powerful and compelling advertising platform today

SOUTHERN CALIFORNIA RADIO

WHY CONSUMERS ENJOY RADIO IN LOS ANGELES

Source: Nielsen Harris Poll October 15-23, 2014.

RADIO’S LOCAL CONNECTION IN LOS ANGELES

Source: Nielsen Harris Poll October 15-23, 2014.Copyright ©2014 The Nielsen Company. Confidential and proprietary.

“Radio personalities in LA are entertaining and talk about things meaningful to me.”

“I feel a strong personal connection to the radio station in LA I listen to the most.”

“Radio connects me to local products, stores and events in my community.”

6 in 10 agree

Source: Nielsen Harris Poll October 15-23, 2014.

Why do so many people in the Inland Empire still listen to Radio?

And why that’s important to advertisers.

WITH SO MANY LISTENING OPTIONS

AVAILABLE…

AM/FM Radio50%

Streaming Audio16%

Owned Music (CDs, Digital music files,

etc.)14%

SiriusXM8%

TV Music Channels 5%

Podcasts4%

Other3%

AMERICANS SPEND MORE TIME WITH

RADIO THAN WITH STREAMING AUDIO

Share of EarAmericans’ 13+ Share of Time

Spent Listening to Audio Sources

Source: Edison Research, Share of Ear Q1 2018, Americans spend an average of 3 hours and 49 minutes each day consuming audio. This graph represents the share of time spent with each. Based on a nationally representative sample of 5,538 American ages 13+ who completed a 24-hour audio listening diary.

Note: AM/FM radio includes over the air and online streaming. Streaming Audio includes pure plays such as Pandora, Spotify, and others.

AM/FM RADIO IS THE CENTERPIECE OF AUDIO

0.6%1%1%

2%2%2%

3%3%

4%4%

5%5%

9%12%

47%

Apple Music

AmazonMusic

Ad-free Pandora

Ad-supported Spotify

Ad-supported SiriusXM

Ad-free Spotify

Podcasts

Other

Other streaming audio

Ad-supported Pandora

TV music channels

Ad-free SiriusXM

Music videos on YouTube

Owned music

AM/FM radio

Source: Edison Research, Share of Ear, Q2-Q4 2017, Q1 2018. Persons 18+.SiriusXM: Ad-Supported: Spoken Word. Ad-Free: MusicPercentages may not add up to 100 due to rounding

Share of audio time spent among Persons 18+

The size and strength of AM/FM radio

Source: Scarborough, R1 2018 (January 2017 – 2018), Riverside/San Bernardino Metro, online radio listeners.

% of monthly Online Radio listeners who listened to over-the-air AM/FM RadioMonday-Sunday, 6a-mid

93.6% 93.0% 93.8% 95.0% 88.5% 96.6%

Adults 18+ Adults 18-34 Adults 18-49 Adults 25-54 Men 21-34 Women 25-54

Online Radio = Listening to AM/FM radio stations online and/or listening to audio content available only on the Internet.

ONLINE RADIO LISTENING

COMPLEMENTS OVER-THE-AIR RADIO

90.0% 93.9% 93.6% 94.6%92.6% 93.4%

19.2%24.3% 25.0% 24.0%

19.3%28.1%

0%

20%

40%

60%

80%

100%

Adults 18+ Adults 18-34 Adults 18-49 Adults 25-54 Adults 35-64 Women 25-54

Listened to Radio Past Week (M-Su, 6a-mid) Visited Pandora Past Week

Source: Scarborough, R1 2018 (January 2017 – 2018), Riverside/San Bernardino Metro.

RADIO REACHES MORE ADULTS ACROSS

ALL DEMOS IN A WEEK THAN PANDORA

MORE IE ADULTS 18+ LISTEN TO RADIO IN A WEEK THAN

VISIT THESE SOCIAL NETWORKING SITES IN A MONTH

90.0%

60.7%50.6%

34.3%25.3% 23.6% 20.5%

14.1% 10.4%

Source: Scarborough, R1 2018 (January 2017 – 2018), Riverside/San Bernardino, Adults 18+.

Reach %

RADIO IS STRONG IN A

FRAGMENTED MEDIA WORLD

33:22HR:MIN

Live + Time-Shifted

Television

12:20HRS:MIN

Radio

16:32HR:MINApp/Web onSmartphone

4:34HR:MINInternet onComputer

1:41HR:MIN

GameConsole

1:09HR:MIN

Video on Computer

4:13HR:MIN

Time-Shifted Television

Source: Nielsen, Total Audience Report, Q1 2018 / Base: Total US Population P18+.

Adults 18+ spend over 12 hours listening to radio each week

DESPITE FRAGMENTATION, THE RADIO AUDIENCE

IN SOUTHERN CALIFORNIA REMAINS CONSISTENT

Source: Nielsen Regional Database, Spring 2016 - 2018, Monday – Sunday, 6a-Mid, Persons 12+ Weekly Cume.

15.1 15.2 15.0

SPRING 2016 SPRING 2017 SPRING 2018

Source: Nielsen Regional Database, Spring 2018, Monday - Sunday, 6a-mid, Persons 12+.

RADIO REACHES 91.3%OF PERSONS 12+ IN

SOUTHERN CALIFORNIA EVERY WEEK

9.5 HOURSSPENT WITH RADIO

EACH WEEK

REACH AND TIME

91.3% OF SOUTHERN CALIFORNIANS

ARE REACHED BY RADIO EACH WEEK

SPENDING 9.5 HRSLISTENING EVERY WEEK

Source: Nielsen Regional Database, Spring 2018, Monday - Sunday, 6a-mid, Persons 12+.

THAT’S 15 MILLION LISTENERS

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RADIO’S REACH EXTENDS ACROSS ALL MAJOR

DEMOGRAPHICS IN SOUTHERN CALIFORNIA…

Weekly Radio Listeners

Source: Nielsen Regional Database, Spring 2018, Monday – Sunday, 6a-Mid.

4.3 Million Listeners

90.1% of Millennials use radio

MILLENNIALS (18-34)

GENERATION X (35-49)


93.4% of Gen X use radio

BOOMERS(50-64)


92.7% of Boomers use radio

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…AND RADIO REACHES A

DIVERSE AUDIENCE

AFRICAN AMERICANS (12+)*


95.0% of Hispanics use radio


90.4%of African

Americansuse radio

Weekly Radio Listeners

Hispanics (12+)

Source: Nielsen Regional Database, Spring 2018, Monday – Sunday, 6a-Mid.

Source: Texas A&M Transportation Institute and INRIX, 2015 Urban Mobility Scorecard, August 2015, Travel Time Index Rank.

“NATIONAL CONGESTION

RECESSION IS OVER”

Nearly all of the 9 million jobs that were lost during the Great Recession have been regained and the congestion problem is now worse than the pre-recession levels.

In 2014, congestion wasted an enormous amount of time, fuel, and money. Urban Americans traveled an extra 6.9 billion hours and purchased an extra 3.1 billion gallons of fuel totaling $160 billion.

Congestion not only affects people who travel during peak periods, but also during off peak times. Approximately 41% of total delay occurs during off peak hours - midday and overnight - when travelers expect free-flow travel.

In 5 years, the national congestion cost is projected to increase from $160 billion to $192 billion.

National delay will grow to 8.3 billion hours in 2020, up 20% in just 5 years and it’s safe to assume that the problem will only get worst for all urban areas especially Los Angeles which ranks 2nd in hours of delay per commuter (80 hours), behind Washington D.C . (82 hours).

Source: DMV, Total Vehicles Registered, August 2018 (Los Angeles, Orange, Riverside, San Bernardino, Ventura, Imperial, Kern, Santa Barbara, San Diego, and San Luis Obispo Counties).

There are over 18.3 million vehicles registered in SOUTHERN CALIFORNIA,

over 3.4 million in the IE

PEOPLE IN THE INLAND EMPIRE DRIVE OVER

18 BILLION MILES PER YEAR.

The average peak traveler spends an extra 59 hours stuck in traffic each year, up 40 hours from 1982 when

data was first collected.



INLAND EMPIRE COMMUTERS EXPERIENCE

MORE DELAYS THAN NATIONAL COMMUTERS

Annual delay per

auto commuter

(hours)

Travel Time Index

Planning Time Index (Freeway

Only)

“Wasted” fuel per auto

commuter (gallons)

Congestion cost per auto

commuter (2014 $)

Riverside-San Bernardino

59 1.33 3.21 18 $1,316

National 42 1.22 2.41 19 $960


1.43 1.41 1.38 1.38 1.37

Los Angeles-Long Beach-Anaheim

San Francisco-Oakland,CA

San Jose, CA Seattle, WA Honolulu, HI

Trav

el T

ime

Ind

exMORE CONGESTION MEANS MORE TIME

SPENT LISTENING TO RADIO IN CARS.

Inland Empire drivers spend 33% more time on the roads than under normal conditions due to traffic congestion. And, in order to arrive on time for important freeway related trips, travelers had to allow one hour and five minutes to make a

trip that would normally take 20 minutes in light traffic.

Travel Time Index – A measure of congestion that focuses on each trip and each mile of travel. It is calculated as the ratio of travel time in the peak period to travel time in free-flow. A value of 1.43 for Los Angeles indicates that a 20-minute free-flow trip takes 28.6 minutes in the peak.

Off Peak FREEWAYS

10.0%

Peak FREEWAYS

29.0%

Off Peak STREETS

29.0%Peak

STREETS32.0%

Percent of Delay Road Type and Time of Day


IN URBAN AREAS WITH POPULATION OVER 1 MILLION,

STREETS HAVE MORE DELAY THAN FREEWAYS DURING

BOTH PEAK AND OFF BEAK HOURS

THE SHEER SIZE AND DENSITY OF SOUTHERN CALIFORNIA TRAFFIC

The combined total population of New York, Chicago, Houston, Philadelphia, and Phoenix almost equals the 18.3 million

registered vehicles that make up Southern California Traffic.(Source: Census, 2017 Population Estimates (as of July 1, 2017) and DMV, Total Vehicles Registered, August 2018)

Over 3.4 million cars in the Inland Empire alone. (Source: DMV, Total Vehicles Registered,

August 2018)

Imagine...18.3 million cars filled with potential new customers.

The potential for more brand awareness and market share than 5 major cities combined!

That’s the value of Southern California Radio.

Source: Census, 2017 Population Estimates (as of July 1, 2017).

New York 8,622,698

Chicago 2,716,450

Houston 2,312,717

Philadelphia 1,580,863

Phoenix 1,626,078

25

12.4 MILLION SOUTHERN CALIFORNIANS USE RADIO AWAY FROM HOME DURING COMMUTING HOURS

•Source: Nielsen Regional Database, Spring 2018, Monday – Friday, 6a-10a + 3p-7p, Persons 12+.

82% of Adults 18+ who have driven/ridden in car cite

RADIO as their primary in-car entertainment/info device

Source: The Infinite Dial © 2018 Edison Research and Triton Digital. Age 18+ and has driven/ridden in car in last month.

AUDIO SOURCES USED IN PRIMARY CAR

21%

23%

28%

45%

49%

82%

Satellite Radio

Podcasts

Online Radio

Owned Digital Music

CD Player

AM/FM Radio

Source: The Infinite Dial © 2018 Edison Research and Triton Digital. Age 18+ and has driven/ridden in car in last month.

% currently ever using audio source in primary car

RADIO IS THE MOST IMPORTANT NEW CAR FEATURE

14%

16%

17%

23%

24%

27%

32%

45%

51%

62%

66%

88%

Hard drive for media…

Apple…

DVD Player

HD Radio

Media System

Satellite Radio

Wireless Internet…

GPS

CD Player

Bluetooth

Smartphone connector

AM/FM Radio

Source: Jacobs Techsurvey 12, May 2016.245 radio stations in U.S. & Canada, N=39,503, Interview dates: January 19 – February 22, 2016.

“Very Important” features among those planning on buying/leasing (or already bought) a new vehicle in 2016

Radio reaches 90.0% of Inland Empire Adults 18+

RADIO REACHES MORE IE ADULTS 18+

IN A WEEK THAN ANY OTHER MEDIUM

90.0%

35.6%

77.6% 73.6%83.0%

Listen to Radio PastWeek

Read Any Online orPrinted Newspaper

Past 7 Days

Watched AnyBroadcast TV Past

Week

Watched Any Non-Premium Cable Past

Week

Spent Any Time onInternet Past Week

Source: Scarborough, R1 2018 (January 2017 – 2018), Riverside/San Bernardino Metro, Adults 18+.

Radio reaches 93.7% of Inland Empire Millennials

RADIO REACHES IE MILLENNIALS

93.7%

58.0%65.8%

93.7%

Listen to Radio Past Week Watched Any Broadcast TVPast Week

Watched Any Non-PremiumCable Past Week

Spent Any Time on InternetPast Week

Source: Scarborough, R1 2018 (January 2017 – 2018), Riverside/San Bernardino, Millennials (18-29).

Radio reaches 93.5% of Inland Empire Gen X

93.5%

31.7%

76.5%70.3%

91.6%


Read Any Online orPrinted Newspaper

Past 7 Days


Week


Week


Source: Scarborough, R1 2018 (January 2017 – 2018), Riverside/San Bernardino, Gen X (30-49).

RADIO REACHES MORE IE GEN X

IN A WEEK THAN ANY OTHER MEDIUM

Radio reaches 90.6% of Inland Empire Baby Boomers

90.6%

35.6%

91.5%79.9%

73.9%


Read Any Printed orOnline Newspaper

Past 7 Days


Week


Week


Source: Scarborough, R1 2018 (January 2017 – 2018), Riverside/San Bernardino, Baby Boomers (50-69).

RADIO REACHES IE BABY BOOMERS

33Source: Nielsen Regional Database, Spring 2018, Monday – Sunday, 6a-Mid, Persons 18-64.

81% OF SOUTHERN CALIFORNIA RADIO

LISTENERS ARE IN THE WORK-FORCE

THAT’S 8.6 MILLION QUALIFIED

CONSUMERS LISTENING EVERY WEEK

RADIO’S EXPANSIVE DIGITAL REACH

Southern California Radio interacts with its listeners on-air and online:

Huge Loyal and active listener databases

Mobile Apps with geo-targeting by zip codes

Streaming audio for PC and Mobile listening

Rabid social network connection with Radio’s on-air talent

Web site interaction using couponing, product contests and special offers

11.15

Retail

OVER $6 OF INCREMENTAL SALES

FOR EVERY $1 SPENT

PAYBACK Per $1 Ad Investment

6.21

All Category Average

1.81Breakfast Bar

7.33

Snacks 4.17

Beer

Ratio of incremental sales revenue per thousand to advertising cost per thousand = Payback

3.81

Soft Drink

4.33

Snacks 23.21

Retail

1.38Soft Drink

3.12

Candy

1.97Soft Drink

Advertisers achieved $17 of incremental sales for every $1 spend on radio.

Exposure to Radio campaigns drove 10% increase in overall store sales.

Radio campaigns increased total number of buyers by 3% and increased dollars spent per buyer by 6%.

Source: The Nielsen Company. Study compared spending at four department stores in Q3 2014 to Q3 2013.

RADIO DRIVES SALES AT

DEPARTMENT STORES

Advertisers achieved $17 of incremental salesfor every $1 spend on radio



DEPARTMENT STORES

$17:$1

Depending on the category, exposure to radio drove increase in sales, foot traffic, and dollars spent.

Radio exposure positively affected bottom line sales and drove new, valuable shoppers.

“Nielsen’s studies demonstrate the true value of radio to not only provide massive reach, but directly impact consumer spending.” – Pierre Bouvard, Chief

Marketing Officer of Westwood One and Cumulus.

“It helps increase sales and delivers positive ROI, providing a powerful and reliable way for advertisers to connect with consumers and grow their brands.” - Carol Edwards, Senior VP, Media Analytics, Nielsen

Hispanic consumers who are heavy radio users led all categories measured in total spend and drove increased sales ranging from 9% to 49%.


RADIO DRIVES SALES




MASS MERCHANDISE RETAILERS

$16:$1




HOME IMPROVEMENT STORES

$10:$1




QUICK SERVICE RESTAURANTS

$3:$1

60% OF AMERICANS SKIP TV

COMMERCIALS ALL OR MOST OF THE TIME

6.0%

21.8%

31.0%

26.7%

20.8%All the Time

Most of theTimeOccasionally

Often

Rarely/Never

How often do you watch TV in REAL TIME?

When not in real time, how often do you SKIP commercials?

32.4%

27.6%

15.0%

19.7%

11.9%All the Time

Most of theTimeOccasionally

Often

Rarely/Never

Source: Alan Burns/Triton Digital “The Future of Radio” September 2012.

53.8% OF AMERICANS OWN/USE A DVR

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NIELSENSDK

Nielsen Digital Audio Measurement is on the way

Software tested and ready

Top clients integrating the SDK

Collecting data now

Radio Delivers Solid ROI

Radio delivers a $6:$1 Return on Ad Spend

Radio drives listenersto tune-in to TV programs

Radio delivers repeat shoppers

New precision targetinghelps focus advertising on the right consumers

Southern California Radio is Strong

SOCAL Radio reaches 90%+ across all key

demos

SOCAL Radio Reaches 15M consumers when

they are ready to shop and buy

SOCAL Radio Reaches 8.6M working

consumers with money to spend

LET’S LISTEN TO JUST TWO MARKET LEADERS WHO

UNDERSTAND THE POWER AND PERSUASION OF RADIO.

Imagine your branding message on RADIO - targeted and effective, but most of all, successful.

RESOURCE REFERENCES

Alan Burns & Associates/Triton Digitalhttp://burnsradio.com/index.php?option=com_content&view=article&id=54&Itemid=60

Census

INRIXhttp://scorecard.inrix.com/scorecard/default.asp

Katz Mediahttp://www.katz-media.com/ourcompanies/RA/Pages/garber.aspx

Nielsen Audiohttp://www.nielsen.com/us/en/nielsen-solutions/audience-measurement/nielsen-audio.html

Presslaff Interactive Revenuehttp://www.presslaff.com/

RABhttp://www.rab.com/

Scarborough http://scarborough.com/

Documents

Los angeles metro · Source: Scarborough, R1 2018 (January 2017 –2018), Riverside/San Bernardino Metro, online radio listeners. % of monthly Online Radio listeners who listened