2020 Guidance Withdrawn
iHEARTMEDIA has withdrawn its full year 2020 financial guidance due to uncertainty related to the CORONAVIRUS pandemic and its effect on advertising expenditures.
"Given the ongoing uncertainty surrounding the duration and magnitude of the COVID-19 pandemic and its impact on the U.S. economy, we believe it is appropriate to withdraw our full-year 2020 guidance. While we cannot determine the full extent of COVID-19’s impact on our business at this time, we are monitoring this rapidly evolving situation closely and look forward to discussing our business in greater detail as part of our first quarter 2020 earnings results investor call," said Chairman/CEO BOB PITTMAN. "At iHEARTMEDIA, our listeners rely on us as a trusted voice for companionship and calm and as a source for critically important information, especially during times of crisis and need, and we remain fully committed to fulfilling this mission."
"iHEARTMEDIA had a strong JANUARY and FEBRUARY before the effects of COVID-19 began to unfold into a global pandemic in early March. The challenges that COVID-19 has created for advertisers and consumers has impacted iHEART’s revenue in recent weeks, creating a less clear business outlook in the near term," said Pres./COO/CFO RICH BRESSLER. "To maintain maximum financial flexibility during this period, we have drawn $350 million on our $450 million senior secured asset-based revolving credit facility. We believe that the additional funds from drawing on our ABL Facility, in combination with our cash balance, provides us with a prudent level of liquidity at this time. We fully appreciate the unprecedented challenges posed by this crisis, however, we remain confident in our business, our employees and our strategy. With our experienced management team and our leadership position in the audio sector, we are committed to navigating this period while serving our audiences and other constituents."
