Entravision Communications Acquires Three FM Radio Stations In Los Angeles Market.

Entravision Communications Corporation announced that it has entered into a definitive asset purchase agreement to acquire the assets of three FM radio stations serving the greater Los Angeles market from Big City Radio, Inc. for $100 million in cash and 3.77 million shares of Entravision’s Class A Common Stock. This represents a total purchase price of approximately $137 million (based on Entravision’s average closing stock price for the last five trading days). The stations include KLYY-FM, KVYY-FM and KSYY-FM, serving the greater Los Angeles market. The acquisition, which is subject to regulatory approvals, is expected to close in the first quarter of 2003.

Entravision currently owns three FM stations in Los Angeles (KSSC-FM, KSSD-FM and KSSE-FM), the largest Spanish-language media market in the United States. The acquisition will give the company an opportunity to strengthen its market position through the consolidation of its Super Estrella format on 107.1 FM. Super Estrella is a music-driven, pop and alternative Spanish rock format targeting Hispanic males and females ages 18-34. Entravision expects to begin managing the three Big City FM stations under an interim time brokerage agreement during the beginning of 2003.

Walter Ulloa, Chairman and CEO of Entravision, commented: “This transaction represents an important strategic step in broadening our presence in the nation’s largest Hispanic market. The addition of these three stations will expand our Los Angeles presence, giving us a larger platform to drive ratings and revenues through our Super Estrella format. We also expect to benefit from Big City’s exit from the Los Angeles market. Finally, our six-station cluster will provide us with ample flexibility in developing formats aimed at our target audience.”