ACME Communications Comments On Financial Outlook; Third Quarter Net Revenue and Broadcast Cash Flow to Exceed Guidance
SANTA ANA, Calif., Sept. 26, 2002 - ACME Communications, Inc. (Nasdaq:ACME), the nation's third largest affiliate group of The WB Television Network, today commented on its financial outlook for the third quarter of 2002.
For the third quarter ended September 30, 2002, ACME expects to report an increase in net revenue of approximately 17-19%, ahead of previous guidance of 12-15%. Third quarter broadcast cash flow (BCF) is expected to increase approximately 13-15%, ahead of previous guidance of 4-7%. The increased revenue and BCF guidance for the third quarter reflects a combination of improving demand across all advertising categories and increased market share performance by ACME's stations driven by sustained ratings growth.
About ACME Communications
ACME Communications, Inc. owns and operates ten television stations serving markets covering 5.4% of the nation's television households, making the Company the third largest affiliate group of The WB Television Network. The Company's stations are: KPLR-TV, St. Louis, MO; KWBP-TV, Portland, OR; KUWB-TV, Salt Lake City, UT; KWBQ-TV and KASY-TV, Albuquerque-Santa Fe, NM; WBDT-TV, Dayton, OH; WBXX-TV, Knoxville, TN; WIWB-TV, Green Bay-Appleton, WI; WBUI-TV, Champaign-Springfield-Decatur, IL; WTVK-TV, Ft. Myers-Naples, FL. All of the Company's stations, except KASY-TV, a UPN affiliate, are WB Network affiliates. The Company also operates station WBUW-TV (formerly WHPN-TV), a WB affiliate serving the Madison, WI, marketplace, under a local marketing agreement in connection with its pending purchase of that station, which is expected to close later this year. ACME's Chairman and CEO is also a founder and CEO of The WB Television Network and serves as CEO and Chairman of AOL/Time Warner's Turner TV Networks. ACME's shares are traded on the Nasdaq Stock Market under the symbol: ACME.
The matters discussed in this press release include forward-looking statements. In addition, when used in this press release, the word "expects" and similar expressions are intended to identify forward-looking statements. Such statements are subject to a number of risks and uncertainties. Actual results in the future could differ materially and adversely from those described in the forward-looking statements as a result of various important factors, including (but not limited to) the impact of changes in national and regional economies, including advertising demand, pricing fluctuations in local and national advertising, volatility in programming costs, the inability to close the Madison acquisition, the inability to secure Federal Communications Commission approval for construction permits, the possibility of borrowing limitations under our credit facilities potential pre-emptions of regular programming for national news events and the other risk factors set forth in the Company's 2002 Form 10-K filed with the SEC on April 1, 2002. The Company undertakes no obligation to publicly release the result of any revisions to these forward-looking statements that may be made to reflect any future events or circumstances.
Tom Allen, 714/245-9499
Brainerd Communicators, Inc.
Chris Plunkett or Todd St. Onge, 212/986-6667