iHeartMedia 2011 Annual Report Download - page 13

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Other International Inventory and Services
The balance of our revenue from our International outdoor segment consists primarily of advertising revenue from mall
displays, other small displays and non-advertising revenue from sales of street furniture equipment, cleaning and maintenance
services and production revenue. Internationally, our contracts with mall operators generally have terms ranging from five to ten years
and client contracts for mall displays generally have terms ranging from one to two weeks, but are available for periods up to six
months. Our International inventory includes other small displays that are counted as separate displays since they form a substantial
part of our network and International outdoor advertising revenue. We also have a Smartbike bicycle rental program which provides
bicycles for rent to the general public in several municipalities. In exchange for providing the bike rental program, we generally
derive revenue from advertising rights to the bikes, bike stations, additional street furniture displays, or fees from the local
municipalities. In several of our International markets, we sell equipment or provide cleaning and maintenance services as part of a
billboard or street furniture contract with a municipality.
A
dvertising Inventory and Markets
As of December 31, 2011, we owned or operated more than 630,000 displays in our International outdoor segment, with
operations across 30 countries. Our International outdoor display count includes display faces, which may include multiple faces on a
single structure. As a result, our International outdoor display count is not comparable to our Americas outdoor display count, which
includes only unique displays. No one property is material to our overall operations. We believe that our properties are in good
condition and suitable for our operations.
Competition
The international outdoor advertising industry is fragmented, consisting of several larger companies involved in outdoor
advertising, such as JCDecaux and CBS, as well as numerous smaller and local companies operating a limited number of displays in a
single market or a few local markets. We also compete with other advertising media in our respective markets, including broadcast
and cable television, radio, print media, direct mail, the Internet and other forms of advertisement.
Outdoor companies compete primarily based on ability to reach consumers, which is driven by location of the display.
Other
Our Other segment includes our 100%-owned media representation firm, Katz Media, as well as other general support
services and initiatives which are ancillary to our other businesses.
Katz Media, a leading media representation firm in the U.S. for radio and television stations, sells national spot advertising
time for clients in the radio and television industries throughout the United States. As of December 31, 2011, Katz Media represents
approximately 3,900 radio stations, approximately one-fifth of which are owned by us, as well as approximately 950 digital
properties. Katz Media also represents approximately 700 television and digital multicast stations.
Katz Media generates revenue primarily through contractual commissions realized from the sale of national spot and online
advertising. National spot advertising is commercial airtime sold to advertisers on behalf of radio and television stations. Katz Media
represents its media clients pursuant to media representation contracts, which typically have terms of up to ten years in length.
Employees
As of January 31, 2012, we had approximately 15,400 domestic employees and approximately 5,800 international
employees, of which approximately 18,000 were in direct operations and 2,700 were in corporate related activities. Approximately
840 of our employees in the United States and approximately 265 of our employees outside the United States are subject to collective
bargaining agreements in their respective countries. We are a party to numerous collective bargaining agreements, none of which
represent a significant number of employees. We believe that our relationship with our employees is good.
Seasonality
Required information is located within Item 7 of Part II of this Annual Report on Form 10-K.
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