1142412--3/11/2008--MISSION_BROADCASTING

related topics

{capital, credit, financial}

{debt, indebtedness, cash}

{acquisition, growth, future}

{competitive, industry, competition}

{tax, income, asset}

{control, financial, internal}

Risks Related to Our Operations We have a history of net losses. Our substantial debt could limit our ability to grow and compete. The agreement governing our debt contains various covenants that limit our management s discretion in the operation of our business. We guarantee the aggregate principal amount of $200.0 million of senior subordinated notes and the aggregate principal amount of $180.8 million of outstanding bank facility term and revolving loans issued or drawn by Nexstar Broadcasting, Inc. Our broadcast operations could be adversely affected if our stations fail to maintain or renew their network affiliation agreements on favorable terms, or at all. The FCC could decide not to grant renewal of the FCC license of any of the stations we operate which would require that station to cease operations. Our growth may be limited if we are unable to implement our acquisition strategy. Growing our business through acquisitions involves risks and if we are unable to manage effectively our rapid growth, our operating results will suffer. The FCC may decide to terminate grandfathered time brokerage agreements. Failure to construct full-power DTV facilities may lead to a loss of station coverage area or other FCC sanctions. FCC actions may restrict our ability to enter into local service agreements with Nexstar, which would harm our operations. We have a material amount of goodwill and intangible assets, and therefore we could suffer losses due to future asset impairment charges. Risks Related to Our Industry Preemption of regularly scheduled programming by network news coverage may affect our revenue and results of operations. The industry-wide mandatory conversion to digital television will require us to make significant capital expenditures without assurance that we will remain competitive with other developing technologies. If direct broadcast satellite companies do not carry the stations that we own and operate, we could lose audience share and revenue. The FCC can sanction us for programming broadcast on our stations which it finds to be indecent. Intense competition in the television industry could limit our growth and impair our ability to become profitable. The FCC could implement legislation and/or regulations that might have a significant impact on the operations of the stations we own and operate or the television broadcasting industry as a whole.

Full 10-K form ▸

1142412--3/11/2008--MISSION_BROADCASTING_INC