1377972--3/27/2008--Barrington_Broadcasting_Capital

related topics

{capital, credit, financial}

{debt, indebtedness, cash}

{investment, property, distribution}

{condition, economic, financial}

{operation, natural, condition}

{personnel, key, retain}

{cost, operation, labor}

{acquisition, growth, future}

Our advertising revenues are subject to cyclical and seasonal variations. We are dependent on our senior executives and our business would be negatively impacted if we were to lose their services. We face risks associated with acquiring stations and potential acquisitions Our business may be adversely affected by strikes and other labor protests which could cause disruptions in our operations. We are controlled by Pilot Group, and its interests may differ from the interests of note holders. Changes in FCC ownership rules may limit our ability to continue programming WWMB under a grandfathered local marketing agreement and/or require material modifications to our joint sales and shared services arrangements with respect to WGTU/WGTQ which could adversely affect our results of operations. Risks Related to Our Industry Our television content may attract fewer viewers, limiting our ability to generate advertising revenues. The continued development of alternative video program distribution channels may adversely affect our ability to retain viewers. Our industry is subject to significant syndicated and other programming costs, and increased programming costs could adversely affect our results of operations. The February 17, 2009 hard date for the cessation of analog transmissions may adversely affect us. We may be adversely affected by disruptions in our ability to receive or transmit programming. Any potential hostilities, terrorist attacks or natural disasters may affect our revenues and results of operations. If we are unable to reach retransmission consent agreements with cable companies for the carriage of our stations signals, we could lose revenues and audience share. If direct broadcast satellite companies do not carry our stations, we could lose revenues and audience share. The FCC can sanction us for programming on our stations that is found to be indecent. Risks Relating to Our Indebtedness We are highly leveraged and future cash flow may not be sufficient to meet our obligations, including our obligations under the notes, and we might have difficulty obtaining more financing. The Issuers ability to make payments under the notes substantially depends on cash flow from our operating subsidiaries. If such subsidiaries cannot make distributions to the Issuers, or such distributions decrease, the Issuers may not be able to make payments on the notes. Our ability to engage in certain transactions is restricted by the agreements governing our credit facility and the indenture governing the notes. Floating rate indebtedness subjects us to interest rate risk, which could cause our debt service obligations to increase significantly. Risks Relating to the Notes The notes are contractually junior in right of payment to our senior indebtedness, and the guarantees are contractually junior in right of payment to all senior indebtedness of the guarantors. The notes are not secured by our assets or the assets of our subsidiaries. Federal and state fraudulent transfer and conveyance laws allow courts, under specific circumstances, to void guarantees and to require note holders to return payments received from us or the guarantors.

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1377972--3/27/2008--Barrington_Broadcasting_Capital_Corp.