Clear Channel Outdoor Reports Third Quarter 2009 Results

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SAN ANTONIO--(Business Wire)--
Clear Channel Outdoor Holdings, Inc. (NYSE: CCO) today reported results for its
third quarter September 30, 2009.

The Company reported revenues of $660.6 million in the third quarter of 2009, a
19% decrease from the $813.4 million reported for the third quarter of 2008.
Included in the Company`s revenue is a $10.2 million increase due to movements
in foreign exchange; excluding the effects of these movements in foreign
exchange, the revenue decline would have been 20%. See reconciliation of revenue
excluding effects of foreign exchange to revenue at the end of this press
release.

Clear Channel Outdoor`s operating expenses decreased 16% to $507.6 million
during the third quarter of 2009 compared to 2008. Included in the Company`s
third quarter 2009 expenses is a $9.8 million increase due to movements in
foreign exchange; excluding the effects of these movements in foreign exchange,
decline in expenses would have been 18%. See reconciliation of expenses
excluding effects of foreign exchange to expenses at the end of this press
release. Also included in the Company`s third quarter 2009 direct operating
expenses, SG&A expenses and corporate expenses are $6.6 million of restructuring
charges and approximately $2.5 million of non-cash compensation expense,
compared to non-cash compensation expense of $3.2 million in the third quarter
of 2008.

Clear Channel Outdoor`s net loss and diluted loss per share were $34.4 million
and $0.10, respectively, during the third quarter of 2009. This compares to net
income of $9.1 million or $0.03 per diluted share in the third quarter of 2008.
See reconciliation of net income and diluted earnings per share at the end of
this press release.

The Company`s OIBDAN was $140.0 million in the third quarter of 2009, a 28%
decrease from the third quarter of 2008. The Company defines OIBDAN as Operating
Income before Depreciation and amortization, Non-cash compensation expense and
Other operating income (expense) - net. See reconciliation of OIBDAN to net
income at the end of this press release.

The Company filed its Quarterly Report with the Securities and Exchange
Commission (SEC) on Form 10Q earlier today. This Quarterly Report includes
further details and discussion of the Company`s third quarter results.

Revenue, Direct Operating and SG&A Expenses, and OIBDAN by Division

(In thousands) Three Months Ended %
September 30, Change
2009 2008

Revenue
Americas $ 312,537 $ 369,730 (15 %)
International 348,085 443,645 (22 %)
Consolidated revenue $ 660,622 $ 813,375 (19 %)

Direct Operating and SG&A Expenses by Division
Americas $ 194,852 $ 222,655
Less: Non-cash compensation expense (1,775 ) (2,388 )
193,077 220,267 (12 %)

International 312,738 382,839
Less: Non-cash compensation expense (537 ) (630 )
312,201 382,209 (18 %)

Plus: Non-cash compensation expense 2,312 3,018
Consolidated direct operating and SG&A expenses $ 507,590 $ 605,494 (16 %)

The Company`s 2009 revenue and direct operating and SG&A expenses increased
approximately $10.2 million and $9.8 million, respectively, from foreign
exchange movements during the third quarter of 2009 as compared to the same
period of 2008.

OIBDAN
Americas $ 119,460 $ 149,463 (20 %)
International 35,884 61,436 (42 %)
Corporate (15,365 ) (16,314 )
Consolidated OIBDAN $ 139,979 $ 194,585 (28 %)

See reconciliation of OIBDAN to net income at the end of this press release.

Restructuring Program

On January 20, 2009, CC Media Holdings announced that it had commenced a
restructuring program targeting a reduction of fixed costs. For the third
quarter of 2009, the Company recognized approximately $6.6 million of expenses
related to the restructuring program.

Restructuring Expenses

(In millions)
Three Months Ended Nine Months Ended
September 30, 2009 September 30, 2009
Americas $ 2.4 $ 8.0
International 3.5 11.9
Corporate 0.7 3.7
Total $ 6.6 $ 23.6

TABLE 1 - Financial Highlights of Clear Channel Outdoor Holdings, Inc. and Subsidiaries - Unaudited

(In thousands, except per share data) Three Months Ended Period from Period from Three Months Ended %
September 30, July 31 through September 30, July 1 through July 30, September 30, Change
2009 2008 2008 2008
Post-Merger Post-Merger Pre-Merger Combined
Revenue $ 660,622 $ 541,699 $ 271,676 $ 813,375 (19 %)
Direct operating expenses 398,766 304,763 158,354 463,117 (14 %)
Selling, general and administrative expenses 108,824 93,175 49,202 142,377 (24 %)
Corporate expenses 15,547 11,231 5,311 16,542 (6 %)
Depreciation and amortization 111,053 81,015 37,783 118,798 (7 %)
Other operating income - net 1,160 1,528 2,506 4,034
Operating income 27,592 53,043 23,532 76,575

Interest expense 37,775 29,640 14,582 44,222
Loss on marketable securities (11,315 ) - - -
Equity in loss of nonconsolidated affiliates (2,046 ) (947 ) (8,867 ) (9,814 )
Other income (expense) - net 492 (977 ) 3,067 2,090
Income (loss) before income taxes (23,052 ) 21,479 3,150 24,629
Income tax benefit (expense):
Current (13,025 ) (5,032 ) (4,808 ) (9,840 )
Deferred 2,026 (82 ) 1,119 1,037
Income tax expense (10,999 ) (5,114 ) (3,689 ) (8,803 )
Consolidated net income (loss) (34,051 ) 16,365 (539 ) 15,826
Amount attributable to noncontrolling interest 325 5,551 1,160 6,711

Net income (loss) attributable to the Company $ (34,376 ) $ 10,814 $ (1,699 ) $ 9,115

Diluted net earnings (loss) per share $ (.10 ) $ .03 $ (.00 ) $ .03

Weighted average shares outstanding - Diluted 355,389 355,655 355,294

The information in Table 1 is presented for two periods: post-merger and
pre-merger. Clear Channel Communications consummated its merger with a
wholly-owned subsidiary of CC Media Holdings, Inc. on July 30, 2008. Purchase
accounting adjustments were pushed down to the opening balance sheet of the
Company on July 31, 2008 as the merger occurred at the close of business on July
30, 2008 and the results of operations subsequent to this date reflect the
impact of the new basis of accounting. The financial reporting periods are
presented as follows:

* The three and nine month periods ended September 30, 2009 and the period from
July 31 through September 30, 2008 reflect the Company`s post-merger period,
including the purchase accounting adjustments related to the merger that were
pushed down to the Company.
* The periods from January 1 through July 30, 2008 and July 1 through July 30,
2008 reflect the Company`s pre-merger period. The consolidated financial
statements for all pre-merger periods were prepared using the historical basis
of accounting for Clear Channel Communications. As a result of the merger and
the associated purchase accounting, the consolidated financial statements of the
post-merger periods are not comparable to periods preceding the merger.

Supplemental Disclosure Regarding Non-GAAP Financial Information

Operating Income (Loss) before Depreciation and Amortization (D&A), Non-cash
Compensation Expense and Other Operating Income - Net (OIBDAN)

The following tables set forth Clear Channel Outdoor's OIBDAN for the three
months ended September 30, 2009 and 2008. The Company defines OIBDAN as
consolidated net income adjusted to exclude non-cash compensation expense and
the following line items presented in its Statement of Operations: Income tax
benefit (expense); Other income (expense) - net; Equity in earnings (loss) of
nonconsolidated affiliates; Loss on marketable securities; Interest expense;
Other operating income - net; and D&A.

The Company uses OIBDAN, among other things, to evaluate the Company's operating
performance. This measure is among the primary measures used by management for
planning and forecasting of future periods, as well as for measuring performance
for compensation of executives and other members of management. This measure is
an important indicator of the Company's operational strength and performance of
its business because it provides a link between profitability and cash flows
from operating activities. It is also a primary measure used by management in
evaluating companies as potential acquisition targets.

The Company believes the presentation of this measure is relevant and useful for
investors because it allows investors to view performance in a manner similar to
the method used by the Company's management. It helps improve investors' ability
to understand the Company's operating performance and makes it easier to compare
the Company's results with other companies that have different capital
structures, stock option structures or tax rates. In addition, this measure is
also among the primary measures used externally by the Company's investors,
analysts and peers in its industry for purposes of valuation and comparing the
operating performance of the Company to other companies in its industry.

Since OIBDAN is not a measure calculated in accordance with GAAP, it should not
be considered in isolation of, or as a substitute for, net income as an
indicator of operating performance and may not be comparable to similarly titled
measures employed by other companies. OIBDAN is not necessarily a measure of the
Company's ability to fund its cash needs. As it excludes certain financial
information compared with operating income and net income (loss), the most
directly comparable GAAP financial measures, users of this financial information
should consider the types of events and transactions, which are excluded.

In addition, because a significant portion of the Company's advertising
operations are conducted in foreign markets, principally France and the United
Kingdom, management reviews the operating results from its foreign operations on
a constant dollar basis. A constant dollar basis (i.e. a foreign currency
adjustment is made to the 2009 actual foreign revenues and expenses at average
2008 foreign exchange rates) allows for comparison of operations independent of
foreign exchange movements.

As required by the SEC, the Company provides reconciliations below to the most
directly comparable amounts reported under GAAP, including: (i) OIBDAN for each
segment to consolidated operating income; (ii) Revenue excluding foreign
exchange effects to revenue; (iii) Expense excluding foreign exchange effects to
expense and (iv) OIBDAN to net income:

(In thousands) Operating Non-cash Depreciation Other operating OIBDAN
income (loss) compensation and amortization income - net and
expense Impairment
Charge

Three Months Ended September 30, 2009
Americas $ 63,583 $ 1,775 $ 54,102 $ - $ 119,460
International (21,604 ) 537 56,951 - 35,884
Corporate (15,547 ) 182 - - (15,365 )
Other operating income - net 1,160 - - (1,160 ) -
Consolidated $ 27,592 $ 2,494 $ 111,053 $ (1,160 ) $ 139,979

Three Months Ended September 30, 2008
Americas $ 91,208 $ 2,388 $ 55,867 $ - $ 149,463
International (2,125 ) 630 62,931 - 61,436
Corporate (16,542 ) 228 - - (16,314 )
Other operating income - net 4,034 - - (4,034 ) -
Consolidated $ 76,575 $ 3,246 $ 118,798 $ (4,034 ) $ 194,585

Reconciliation of Revenue excluding Foreign Exchange Effects to Revenue

(In thousands) Three Months Ended %
September 30, Change
2009 2008

Revenue $ 660,622 $ 813,375 (19 %)
Excluding: Foreign exchange decrease (increase) (10,161 ) -
Revenue excluding effects of foreign exchange $ 650,461 $ 813,375 (20 %)

International revenue $ 348,085 $ 443,645 (22 %)
Excluding: Foreign exchange decrease (increase) (11,120 ) -
International revenue excluding effects of foreign exchange $ 336,965 $ 443,645 (24 %)

Reconciliation of Expense (Direct Operating and SG&A Expenses)

Excluding Foreign Exchange Effects to Expense

(In thousands) Three Months Ended %
September 30, Change
2009 2008

Expense $ 507,590 $ 605,494 (16 %)
Excluding: Foreign exchange decrease (increase) (9,796 ) -
Expense excluding effects of foreign exchange $ 497,794 $ 605,494 (18 %)

International expense $ 312,738 $ 382,839 (18 %)
Excluding: Foreign exchange decrease (increase) (10,448 ) -
International expense excluding effects of foreign exchange $ 302,290 $ 382,839 (21 %)

Reconciliation of OIBDAN to Net income

(In thousands) Three Months Ended %
September 30, Change
2009 2008
OIBDAN $ 139,979 $ 194,585 (28 %)
Non-cash compensation expense 2,494 3,246
Depreciation and amortization 111,053 118,798
Other operating income - net 1,160 4,034
Operating income (loss) 27,592 76,575

Interest expense 37,775 44,222
Gain (loss) on marketable securities (11,315 ) -
Equity in earnings (loss) of nonconsolidated affiliates (2,046 ) (9,814 )
Other income (expense) - net 492 2,090
Income (loss) before income taxes (23,052 ) 24,629
Income tax benefit (expense):
Current (13,025 ) (9,840 )
Deferred 2,026 1,037
Income tax benefit (expense) (10,999 ) (8,803 )
Consolidated net income (loss) (34,051 ) 15,826
Amount attributable to noncontrolling interest 325 6,711

Net income (loss) attributable to the Company $ (34,376 ) $ 9,115

About Clear Channel Outdoor Holdings

Clear Channel Outdoor, headquartered in San Antonio, Texas, is a global leader
in the outdoor advertising industry providing clients with advertising
opportunities through billboards, street furniture displays, transit displays,
and other out-of-home advertising displays.

For further information contact: Lisa Dollinger, Chief Communications Officer,
(210) 832-3474, or visit the Company`s web site at www.clearchanneloutdoor.com.

Certain statements in this document constitute "forward-looking statements"
within the meaning of the Private Securities Litigation Reform Act of 1995. Such
forward-looking statements involve known and unknown risks, uncertainties and
other factors which may cause the actual results, performance or achievements of
Clear Channel Outdoor to be materially different from any future results,
performance or achievements expressed or implied by such forward-looking
statements. The words or phrases "guidance," "believe," "expect," "anticipate,"
"estimates" and "forecast" and similar words or expressions are intended to
identify such forward-looking statements. In addition, any statements that refer
to expectations or other characterizations of future events or circumstances are
forward-looking statements.

Various risks that could cause future results to differ from those expressed by
the forward-looking statements included in this document include, but are not
limited to: changes in business, political and economic conditions in the U.S.
and in other countries in which Clear Channel Outdoor currently does business
(both general and relative to the advertising industry); fluctuations in
interest rates; changes in operating performance; shifts in population and other
demographics; changes in the level of competition for advertising dollars;
fluctuations in operating costs; technological changes and innovations; changes
in labor conditions; changes in governmental regulations and policies and
actions of regulatory bodies; fluctuations in exchange rates and currency
values; changes in tax rates; and changes in capital expenditure requirements
and access to capital markets. Other unknown or unpredictable factors also could
have material adverse effects on Clear Channel Outdoor`s future results,
performance or achievements. In light of these risks, uncertainties, assumptions
and factors, the forward-looking events discussed in this document may not
occur. You are cautioned not to place undue reliance on these forward-looking
statements, which speak only as of the date stated, or if no date is stated, as
of the date of this document. Other key risks are described in Clear Channel
Outdoor`s reports and other documents filed with the U.S. Securities and
Exchange Commission, including in the section entitled "Item 1A. Risk Factors"
of the Company`s Third Quarter Report on Form 10-Q for the period ended
September 30, 2009 orthe Company`s Annual Report on Form 10-K for the period
ended December 31, 2008. Except as otherwise stated in this document, Clear
Channel Outdoor does not undertake any obligation to publicly update or revise
any forward-looking statements because of new information, future events or
otherwise.

Clear Channel Outdoor Holdings, Inc.
Lisa Dollinger, Chief Communications Officer, 210-832-3474
www.clearchanneloutdoor.com.

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