iHeartMedia 2001 Annual Report Download - page 80

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80
The remaining severance and lease accrual is comprised of $42.8 million of severance and $10.4 million
of lease termination. The majority of the severance accrual will be paid in 2002; however, the severance
accrual also includes an amount that will be paid over the next several years. The lease termination
accrual will be paid over the next five years. During 2001, $68.7 million was paid and charged to the
restructuring reserve related to severance. The adjustments to the restructuring accrual presented above,
which are primarily related to additional severance and compensation accruals were recorded within
goodwill. During 2001, the Company made adjustments to finalize the purchase price allocation for both
the AMFM and SFX mergers.
NOTE C – INVESTMENTS
The Company’s most significant investments in non-consolidated affiliates are listed below:
Australian Radio Network
The Company owns a fifty-percent (50%) interest in Australian Radio Network (“ARN”), an Australian
company that owns and operates radio stations, a narrowcast radio broadcast service and a radio
representation company in Australia.
Hispanic Broadcasting Corporation
The Company owns 26% of the total number of shares of Hispanic Broadcasting Corporation (“HBC”), a
leading domestic Spanish-language radio broadcaster. At December 31, 2001, the fair market value of
the Company’s shares of HBC was $722.0 million.
Grupo ACIR Comunicaciones
The Company owns a forty-percent (40%) interest in Grupo ACIR Comunicaciones (“ACIR”), a
Mexican radio broadcasting company. ACIR owns and operates radio stations throughout Mexico.
Clear Media
The Company owns 46.1% of the total number of shares of Hainan White Horse Advertising Media
Investment Co. Ltd. (“Clear Media”), formerly known as White Horse, a Chinese company that operates
street furniture displays throughout China. At December 31, 2001, the fair market value of the
Company’s shares of Clear Media was $169.1 million.