EX-99.1 2 d609988dex991.htm EX-99.1 EX-99.1

Exhibit 99.1

IN THE UNITED STATES BANKRUPTCY COURT

FOR THE SOUTHERN DISTRICT OF TEXAS

HOUSTON DIVISION

 

Case Name:  

 iHeartMedia, Inc.

       Petition Date:    March 14, 2018
Case Number:  

 18-31274 (MI)

         

Monthly Operating Report Summary for the Period Ending

 

Monthly Period (USD $ millions) (1)    Apr-18      May-18      Jun-18      Jul-18      Aug-18      Sep-18      Oct-18      Nov-18        Dec-18     

Revenues (MOR-6)

      417.9         318.7         305.9         -            -            -            -            -            -     

Operating Income (MOR-6)

      63.9         80.9         77.1         -            -            -            -            -            -     

Net Income (Loss) (MOR-6)

      (139.8)        57.7         (119.7)        -            -            -            -            -            -     

Payments to Insiders (MOR-9)

      6.1         3.7         3.7         -            -            -            -            -            -     

Payments to Professionals (MOR-9)

      1.4         1.0         1.4         -            -            -            -            -            -     

Total Disbursements (Exhibit A)

      277.8         284.1         616.5         -            -            -            -            -            -     

**The jointly administered Debtors are authorized to file monthly operating reports on a consolidated basis, and have disbursements broken down by case number on Exhibit A attached**

**The original of this document must be filed with the United States Bankruptcy Court**

Required Insurance Maintained   
As of Signature Date         Exp. Date

Excess Liability

    Yes (X) No ( )      Various  

Worker’s Compensation

    Yes (X) No ( )      Nov-18  

General Liability

    Yes (X) No ( )      Nov-18  

Auto Liability

    Yes (X) No ( )      Nov-18  

Other

    Yes (X) No ( )      Various  

 

 

Attorney Name:

   Patricia B Tomasco

Firm Name:

   Jackson & Walker LLP

Address:

   1401 McKinney St.
  Suite 1900

City, State, ZIP:

   Houston, Texas 77010

Telephone/Fax:

   +1 (713) 752-4284
    Circle One  
Are all accounts receivable being collected within terms?     LOGO       No          
Are all post-petition liabilities, including taxes, being paid within terms?     LOGO       No          
Have any pre-petition liabilities been paid?     LOGO       No          
If so, describe Pursuant to various “first day” orders, including Talent, Taxes, Employee    

 

                       Wages & Benefits, Insurance, Cash Management, and Customer Programs    

 

Are all funds received being deposited into DIP bank accounts?     LOGO       No          
Were any assets disposed of outside the normal course of business?     Yes         LOGO  
If so, describe n/a                                                                                                                      

 

What is the status of your Plan of Reorganization?    
A Plan of Reorganization (Docket # 551) was filed on April 28, 2018. An amended Disclosure Statement (Docket #982) was filed on June 21, 2018. An ameded Plan of Reorganization                                             

 

(Docket #1213) was filed on August 5, 2018.                                                                                                   

 

I certify under penalty of perjury that the following complete    
Monthly Operating Report (MOR), consisting of MOR-1 through    
MOR-9 plus attachments, is true and correct.  
SIGNED X   /s/ Scott D. Hamilton     Title:            

Senior Vice President,

Chief Accounting Officer,

and Assistant Secretary

  (Original Signature)      
       
Scott D. Hamilton       8/15/2018
(Print Name of Signatory)       Date

 

 

Notes:

(1) The period ending: “Apr-18” includes the Post-Petition activity from March 15, 2018 through April 30, 2018

 

MOR-1    Page 1 of 17

IN THE UNITED STATES BANKRUPTCY COURT

FOR THE SOUTHERN DISTRICT OF TEXAS

HOUSTON DIVISION

 

Case Name:  

 iHeartMedia, Inc.

       Petition Date:    March 14, 2018
Case Number:  

 18-31274 (MI)

         

GLOBAL NOTES AND STATEMENTS OF LIMITATIONS AND

DISCLAIMERS REGARDING THE DEBTORS’ MONTHLY OPERATING REPORT

 

        On March 14, 2018 (the “Petition Date”), iHeartMedia, Inc. and certain of its affiliated debtors, as debtors and debtors in possession (collectively, the “Debtors”), each commenced with the United States Bankruptcy Court for the Southern District of Texas (the “Court”) a voluntary case under Chapter 11 of Title 11 of the United States Code (the “Bankruptcy Code”). The Debtors are authorized to continue operating their businesses and managing their properties as debtors in possession pursuant to sections 1107(a) and 1108 of the Bankruptcy Code. On March 15, 2018, the Bankruptcy Court entered an order authorizing the joint administration of these cases pursuant to Rule 1015(b) of the Federal Rules of Bankruptcy Procedure. On March 21, 2018, the United States Trustee for Region 7 (the “U.S. Trustee”) appointed an official committee of unsecured creditors pursuant to section 1102(a)(1) of the Bankruptcy Code.

 

  1.

General Methodology: The Debtors are filing this monthly operating report (the “MOR”) solely for purposes of complying with the monthly operating requirements applicable in the Debtors’ chapter 11 cases. The financial information contained herein is unaudited, limited in scope, and as such, has not been subject to procedures that would typically be applied to financial statements in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). The MOR should not be relied upon by any persons for information relating to current or future financial condition, events, or performance of any of the Debtors or their affiliates, as the results of operations contained herein are not necessarily indicative of results which may be expected from any other period or for the full year, and may not necessarily reflect the combined results of operations, financial position, and schedule of receipts and disbursements in the future. There can be no assurance that such information is complete, and the MOR may be subject to revision. The following notes, statements, and limitations should be referred to, and referenced in connection with, any review of the MOR.

 

  2.

Basis of Presentation: For financial reporting purposes, the Debtors prepare consolidated financial statements, which include information for iHeartMedia, Inc., and its Debtor and non-Debtors subsidiaries. This MOR only contains financial information of the Debtors. For the purposes of MOR reporting, the accompanying Balance Sheets and Statement of Income (Loss) of the Debtors have been prepared on a condensed combined basis. This basis of presentation is consistent with footnotes and related disclosures contained within the Form 10-Q filed by iHeartMedia, Inc. on May 22, 2018 for the quarterly period ended March 31, 2018. The Debtors are maintaining their books and records in accordance with U.S. GAAP and the information furnished in this MOR uses the Debtors’ normal accrual method of accounting. In preparing the MOR, the Debtors relied on financial data derived from their books and records that was available at the time of preparation. Nevertheless, in preparing this MOR, the Debtors made reasonable efforts to supplement the information set forth in their books and records with additional information concerning transactions that may not have been identified therein. Subsequent information or discovery may result in material changes to the MOR and errors or omissions may exist. Notwithstanding any such discovery, new information, or errors or omissions, the Debtors do not undertake any obligation or commitment to update this MOR.

 

  3.

Reporting Period: Unless otherwise noted herein, the MOR generally reflects the Debtors’ books and records and financial activity occurring during the applicable reporting period. Except as otherwise noted, no adjustments have been made for activity occurring after the close of the reporting period.

 

Notes    Page 2 of 17

IN THE UNITED STATES BANKRUPTCY COURT

FOR THE SOUTHERN DISTRICT OF TEXAS

HOUSTON DIVISION

 

Case Name:  

 iHeartMedia, Inc.

       Petition Date:    March 14, 2018
Case Number:  

 18-31274 (MI)

         

GLOBAL NOTES AND STATEMENTS OF LIMITATIONS AND

DISCLAIMERS REGARDING THE DEBTORS’ MONTHLY OPERATING REPORT

 

  4.

Accuracy: The financial information disclosed herein was not prepared in accordance with federal or state securities laws or other applicable non-bankruptcy law or in lieu of complying with any periodic reporting requirements thereunder. Persons and entities trading in or otherwise purchasing, selling, or transferring the claims against or equity interests in the Debtors should evaluate this financial information in light of the purposes for which it was prepared. The Debtors are not liable for and undertake no responsibility to indicate variations from securities laws or for any evaluations of the Debtors based on this financial information or any other information.

 

  5.

Payment of Prepetition Claims Pursuant to First Day Orders: On March 15, 2018 and April 12, 2018, the Bankruptcy Court entered orders (the “First Day Orders” and “Final First Day Orders”, respectively) authorizing, but not directing, the Debtors to, among other things, pay certain prepetition (a) liabilities related to use of the Debtors’ cash collateral, and continued use of their cash management system, (b) obligations payable to talent, station affiliates, royalties, and copyrights (c) insurance obligations, (d) employee wages, salaries, and related items, (e) obligations relating to existing customer obligations, and (f) taxes and assessments. If any payments were made on account of such claims following the commencement of these chapter 11 cases pursuant to the authority granted to the Debtors by the Bankruptcy Court under the First Day Orders, such payments have been included in this MOR unless otherwise noted.

 

  6.

Liabilities Subject to Compromise (“LSTC”): LSTC represents the Debtors’ estimate of pre-petition claims to be resolved in connection with the chapter 11 cases. As a result of the chapter 11 filings, the payment of pre-petition liabilities are subject to compromise or other treatment under a plan of reorganization. The determination of how liabilities will ultimately be settled or treated cannot be made until the Bankruptcy Court approves a chapter 11 plan or reorganization. Accordingly, the ultimate amount of such liabilities is not determinable at this time. Pre-petition liabilities that are subject to compromise under ASC 852 are preliminary and may be subject to, among other things, future adjustments depending on Court actions, further developments with respect to disputed claims, determinations of the secured status of certain claims, the values of any collateral securing such claims, rejection of executory contracts, continued reconciliation or other events. On May 17, 2018, the Court entered an order setting June 29, 2018 as the deadline for the filing of proofs of claim against the Debtors for non-governmental entities.

 

  7.

Reorganization Items: ASC 852 requires expenses and income directly associated with the chapter 11 filings to be reported separately in the income statement as reorganization items. Reorganization items primarily include write-off of certain original issue discount and fees relating to debt obligations classified as LSTC, expenses related to legal advisory and representation services, other professional consulting and advisory services, and changes in liabilities subject to compromise recognized as there are changes in amounts expected to be allowed as claims. Nothing contained in this MOR shall constitute a waiver of any of the Debtors’ rights or an admission with respect to their chapter 11 proceedings, including, but not limited to, matters involving objections to claims, substantive consolidation, equitable subordination, defenses, characterization or re-characterization of contracts, assumption or rejection of contracts under the provisions of chapter 3 of Title 11 of the Bankruptcy Code and/or causes of action under the provisions of chapter 5 of the Bankruptcy Code or any other relevant applicable laws to recover assets or avoid transfers.

 

  8.

Cash and Cash Equivalents: Consistent with the Debtors historical reporting practices and U.S. GAAP, any cash balances considered restricted are reflected in the Balance Sheets as a component of Other current assets or Other assets based on when those restrictions are expected to lapse. As such, the reconciliation of cash receipts and disbursements on MOR-7 includes adjustments for any cash balances moving to and from these restricted accounts.

 

Notes    Page 3 of 17

IN THE UNITED STATES BANKRUPTCY COURT

FOR THE SOUTHERN DISTRICT OF TEXAS

HOUSTON DIVISION

 

Case Name:  

 iHeartMedia, Inc.

       Petition Date:    March 14, 2018
Case Number:  

 18-31274 (MI)

         

GLOBAL NOTES AND STATEMENTS OF LIMITATIONS AND

DISCLAIMERS REGARDING THE DEBTORS’ MONTHLY OPERATING REPORT

 

  9.

Intercompany Transactions and Balance: Prior to the Petition Date (and subsequent to the Petition Date but only pursuant to Bankruptcy Court approval), the Debtors routinely engaged (and continue to engage) in intercompany transactions with both Debtor and non-Debtor affiliates. Intercompany transactions among the Debtors have been eliminated in the financial statements contained herein. Intercompany transactions among the Debtors and the Non-Filing Entities are presented on a net balance basis.

 

  10.

Investments in Subsidiaries: The book basis for investments in subsidiaries have not historically been maintained by the Debtors in the general ledgers at a legal entity level and these values are not representative of the fair value or net assets of non-Debtor affiliates. As such, these balances are reflected in the Balance Sheets as a component of Equity.

 

  11.

Insiders: For purposes of this MOR, the Debtors defined “insiders” pursuant to section 101(31) of the Bankruptcy Code as: (a) directors; (b) officers; (c) persons in control of the Debtors; (d) relatives of the Debtors’ directors, officers, or persons in control of the Debtors; and (e) Debtor and non-Debtor affiliates of the foregoing. Moreover, the Debtors do not take a position with respect to: (a) any insider’s influence over the control of the Debtors; (b) the management responsibilities or functions of any such insider; (c) the decision making or corporate authority of any such insider; or (d) whether the Debtors or any such insider could successfully argue that he or she is not an “insider” under applicable law, with respect to any theories of liability, or for any other purpose.

 

  12.

Reservation of Rights: The Debtors reserve all rights to amend or supplement the MOR in all respects, as may be necessary or appropriate, but shall be under no obligation to do so. Nothing contained in this MOR shall constitute a waiver of any of the Debtors’ rights or an admission with respect to their chapter 11 cases.

 

Notes    Page 4 of 17

IN THE UNITED STATES BANKRUPTCY COURT

FOR THE SOUTHERN DISTRICT OF TEXAS

HOUSTON DIVISION

 

Case Name:

   

 iHeartMedia, Inc.

               Petition Date:     

 March 14, 2018          

Case Number:            

   

 18-31274 (MI)                                                                                  

           

Comparative Balance Sheets

 

 Assets (USD $ thousands)      31-Mar-18        30-Apr-18        31-May-18        30-Jun-18        31-Jul-18            31-Aug-18            30-Sep-18    

 Current Assets

                     

 Cash and cash equivalents

      $ 120,121      $ 240,683      $ 275,391      $ 57,370        -            -            -      

 Accounts receivable, net of allowance

      728,528        706,389        734,391        777,958        -            -            -      

 Intercompany Receivable

      -            -            -            2,329        -            -            -      

 Prepaid expenses

      118,179        120,873        105,675        113,028        -            -            -      

 Other current assets

      83,269        50,199        62,786        22,825        -            -            -      
  

 

 

  

 Total Current Assets

          1,050,097        1,118,144        1,178,243        973,510        -            -            -      

 Property, Plant and Equipment

                     

 Other property, plant and equipment, net

      473,231        469,664        466,603        466,089        -            -            -      

 Intangible Assets

                     

 Indefinite-lived intangibles - licenses

      2,442,785        2,442,785        2,442,784        2,442,784        -            -            -      

 Other intangibles, net

      230,075        216,820        203,535        190,154        -            -            -      

 Goodwill

      3,335,433        3,335,433        3,335,433        3,335,433        -            -            -      

 Other Assets

                     

 Other assets

 

     

 

 47,398

 

  

 

     

 

 47,899

 

  

 

     

 

 47,860

 

  

 

     

 

 49,050

 

  

 

     

 

 -    

 

  

 

     

 

 -    

 

  

 

     

 

 -    

 

  

 

  

 

 

  

 Total Assets

      $ 7,579,019      $     7,630,745      $     7,674,458      $     7,457,020      $ -          $ -          $ -      
  

 

 

  

 

MOR-2    Page 5 of 17

IN THE UNITED STATES BANKRUPTCY COURT

FOR THE SOUTHERN DISTRICT OF TEXAS

HOUSTON DIVISION

 

Case Name:

   

 iHeartMedia, Inc.

               Petition Date:     

 March 14, 2018          

Case Number:            

   

 18-31274 (MI)                                                                                  

           

Comparative Balance Sheets

 

 Liabilities and Equity (USD $ thousands)      31-Mar-18       30-Apr-18       31-May-18       30-Jun-18       31-Jul-18          31-Aug-18          30-Sep-18    

 Current Liabilities

                 

 Accounts payable

      $ 15,001     $ 35,199     $ 36,329     $ 44,342     $ -          $ -          $ -      

 Intercompany payable

      193       16,999       14,690       -           -            -            -      

 Accrued expenses

      90,026       137,072       172,405       236,453       -            -            -      

 Accrued interest

      1,363       1,325       1,702       427       -            -            -      

 Deferred income

      137,592       142,293       142,300       133,420       -            -            -      

 Short-term DIP financing

      -           -           -           125,000       -            -            -      
  

 

 

  

 Total Current Liabilities

      244,175       332,888       367,426       539,642       -            -            -      

 Long-term debt

      365,811       367,721       368,163       -           -            -            -      

 Total other long-term liabilities

      237,313       236,147       234,950       235,930       -            -            -      

 Liabilities subject to compromise

      17,520,114       17,454,327       17,406,356       17,503,352       -            -            -      

 Equity (Deficit)

                 
  

 

 

  

 Total Equity

 

     

 

 (10,788,394

 

 ) 

 

    

 

 (10,760,338

 

 ) 

 

    

 

 (10,702,437

 

 ) 

 

    

 

 (10,821,904

 

 ) 

 

    

 

 -    

 

  

 

     

 

 -    

 

  

 

     

 

 -    

 

  

 

  

 

 

  

 Total Liabilities And Equity

      $ 7,579,019     $ 7,630,745     $ 7,674,458       7,457,020       -            -            -      
  

 

 

  

 

MOR-3    Page 6 of 17

IN THE UNITED STATES BANKRUPTCY COURT

FOR THE SOUTHERN DISTRICT OF TEXAS

HOUSTON DIVISION

 

Case Name:

   

 iHeartMedia, Inc.

       Petition Date:      

  March 14, 2018          

Case Number:            

   

 18-31274 (MI)                                                                                  

            

Schedule of Post-Petition Liabilities

 

 Post-Petition Liabilities (USD $ thousands)     30-Apr-18         31-May-18         30-Jun-18         31-Jul-18         31-Aug-18         30-Sep-18    

 Post-Petition Liabilities

            

 Accounts payable

     $ 35,199     $ 36,329     $ 44,342       -           -           -      

 Intercompany payable

     16,999       14,690       -           -           -           -      

 Accrued expenses

            

Accrued compensation

     58,867       64,874       72,706       -           -           -      

Accrued benefits

     9,024       7,054       9,283       -           -           -      

Accrued insurance

     25,375       26,024       27,420       -           -           -      

Accrued other

     43,806       74,453       127,044       -           -           -      

 Accrued interest

     1,325       1,702       427       -           -           -      

 Deferred income

     142,293       142,300       133,420       -           -           -      

 Short-term DIP financing

 

    

 

 -    

 

  

 

    

 

 -    

 

  

 

    

 

 125,000

 

  

 

    

 

 -    

 

  

 

    

 

 -    

 

  

 

    

 

 -    

 

  

 

 Total long term liabilities

 

    

 

 603,868

 

  

 

    

 

 603,113

 

  

 

    

 

 235,930

 

  

 

    

 

 -    

 

  

 

    

 

 -    

 

  

 

    

 

 -    

 

  

 

 

 

 

  

Total Post-Petition Liabilities

     $ 936,756     $ 970,539       775,572       -           -           -      
 

 

 

  

 

MOR-4    Page 7 of 17

IN THE UNITED STATES BANKRUPTCY COURT

FOR THE SOUTHERN DISTRICT OF TEXAS

HOUSTON DIVISION

 

Case Name:

   

 iHeartMedia, Inc.                                                                              

                       Petition Date:      

 March 14, 2018          

Case Number:            

   

 18-31274 (MI)                                                                                  

            

Aging of Post-Petition Liabilities and Aging of Accounts Receivable

 

 (USD $ thousands)

 

 Aging of Post-Petition Liabilities as of June 30, 2018 (1)

 

 Days     
 Trade
Accounts		  
 		     
 Intercompany
Payable		  
 		     
 Accrued
Compensation		  
 		     
 Accrued
Benefits		  
 		     
 Accrued
Insurance		  
 		      Accrued Other       
 Accrued
Interest		  
 		     
 Deferred
Income		  
 		     
 Other
Liabilities		  
 		      Total  

 Current

      $ 42,581      $ -          $ 72,706      $ 9,283      $ 27,420      $ 127,044      $ 427      $ 133,420      $ 360,930      $ 773,811   

 1-30

      1,286        -            -            -            -            -            -            -            -            1,286   

 30-60

      432        -            -            -            -            -            -            -            -            432   

 60-90

      43        -            -            -            -            -            -            -            -            43   

 90+

      -            -            -            -            -            -            -            -            -            -       
  

 

 

  
     $ 44,342      $ -          $ 72,706      $ 9,283      $ 27,420      $     127,044      $       427      $       133,420      $       360,930      $     775,572   
  

 

 

  

 Aging of Accounts Receivable as of June 30, 2018 (1)

 

 

 Days     Customer #1       Customer #2       Customer #3       Customer #4       Customer #5       Other     Total

 Current

   $ 9,713     $ 9,361     $ 7,570     $ 6,762     $ 3,611     $         287,628     $        324,645  

 31-60

     7,257       8,430       5,807       5,711       2,952       179,972     210,129  

 61-90

     6,077       7,392       7,170       3,744       2,424       107,100     133,907  

 91+

     5,270       2,564       5,485       2,562       7,497       112,889     136,267  

 Less: Allowance For Doubtful Accounts

 

           (26,990) 

 

Total

   $ 28,317     $ 27,747     $ 26,032     $ 18,779     $ 16,484     $ 687,589     $        777,958  

 

 Notes: 

 (1) Figures on MOR-5 may not foot and immaterial differences with balances reported on MOR-2 and MOR-3 may exist as a result of rounding.

 

MOR-5    Page 8 of 17

IN THE UNITED STATES BANKRUPTCY COURT

FOR THE SOUTHERN DISTRICT OF TEXAS

HOUSTON DIVISION

 

Case Name:  

 iHeartMedia, Inc.

    Petition Date:   March 14, 2018
Case Number:  

 18-31274 (MI)

     

Statement of Income (Loss) for the Period Ending

 

Profit and Loss (USD $ thousands) (1)

        30-Apr-18            31-May-18            30-Jun-18            31-Jul-18            31-Aug-18            30-Sep-18    
 

Revenue

      $        417,946          $        318,665          $    305,885          -            -            -      

Operating expenses:

                  

Direct operating expenses (excludes depreciation and amortization)

      130,489          89,716          87,526          -            -            -      

Selling, general and administrative (excludes depreciation and amortization)

      165,657          107,831          111,721          -            -            -      

Corporate expenses (excludes depreciation and amortization)

      22,778          18,570          7,436          -            -            -      

Depreciation and amortization

      34,377          21,577          21,393          -            -            -      

Other operating income (expense), net

 

     

 

 (714) 

 

  

 

     

 

 (77) 

 

  

 

     

 

 (692) 

 

  

 

     

 

 -    

 

  

 

     

 

 -    

 

  

 

     

 

 -    

 

  

 

 

Operating income

      63,931          80,894          77,117          -            -            -      
 

Interest income (expense), net

      (10,171)         (2,805)         (5,594)         -            -            -      

Equity income (loss) of nonconsolidated affiliates

      (6)         (21)         (10)         -            -            -      

Other income (expense), net

      (85)         (1,966)         (2)         -            -            -      

Reorganization items, net (2)

      202,452          21,022          37,321          -            -            -      

Income (Loss) before income taxes

      (148,783)         55,080          34,190          -            -            -      
 

Income tax benefit (expense)

 

     

 

 8,979  

 

  

 

     

 

 2,630  

 

  

 

     

 

 (153,851) 

 

  

 

     

 

 -    

 

  

 

     

 

 -    

 

  

 

     

 

 -    

 

  

 

Net Income (Loss)

      $      (139,804)         $        57,710          $ (119,661)         -            -            -      

Notes: 

(1) The period ending: “30-APR-18” includes the Post-Petition activity from March 15, 2018 through April 30, 2018

(2) ‘During the three months ended June 30, 2018, the Company wrote-off $12.4 million in long-term debt fees in relation to its receivables based credit facility, which was replaced with a $450.0 million debtors-in-possession credit facility (the “DIP Facility”). The write-off of long-term debt fees was included within Reorganization items, net. The Company also expensed $10.4 million in long-term debt fees incurred in relation to the new DIP Facility and included them within Reorganization items, net.

 

MOR-6    Page 9 of 17

IN THE UNITED STATES BANKRUPTCY COURT

FOR THE SOUTHERN DISTRICT OF TEXAS

HOUSTON DIVISION

 

Case Name:  

 iHeartMedia, Inc.

    Petition Date:  

  March 14, 2018

Case Number:  

 18-31274 (MI)

     

Cash Receipts and Disbursements for the Period Ending

 

Book Cash Receipts and Disbursements

(USD $ millions) (1)(2)

     30-Apr-18       31-May-18       30-Jun-18       31-Jul-18       31-Aug-18       30-Sep-18  

Receipts

            

Net Operating Receipts

      $ 427.2       $ 297.3       $ 268.2       $ -         $ -         $ -      
 

 

 

  

Total Receipts

     427.2         297.3         268.2         -           -           -      

Disbursements

            

Rent (Non-Site Leases)

     (20.3)        (13.1)        (14.1)        -           -           -      

Payroll

     (75.5)        (64.3)        (55.3)        -           -           -      

Payroll Tax

     (41.7)        (32.3)        (27.2)        -           -           -      

Benefits

     (27.6)        (22.0)        (19.5)        -           -           -      

General AP

     (124.2)        (118.1)        (106.3)        -           -           -      

Utilities/Telecom

     (6.5)        (4.5)        (3.5)        -           -           -      

Management Fees

     -           -           -           -           -           -      
 

 

 

  

Total Operating Disbursements

     (295.8)        (254.2)        (225.8)        -           -           -      
 

 

 

  

Operating Cash Flow

     131.4         43.0         42.4         -           -           -      

Debt Paydown (3)

     -           -           (387.6)        -           -           -      

ABL Draw (4)

     -           -           118.3         -           -           -      

Interest

     -           -           -           -           -           -      

ABL Adequate Protection Interest

     (2.4)        (2.2)        (0.0)        -           -           -      

Capex

     (6.9)        (2.9)        (7.2)        -           -           -      
 

 

 

  

Cash Flow Before Intercompany

     122.2         38.0         (234.2)        -           -           -      

Intercompany Transfer from / (to) Non-Filing Entities (5)

     11.7         (2.3)        (17.0)        -           -           -      
 

 

 

  

Total Operating Cash Flow

     133.9         35.7         (251.2)        -           -           -      
 

 

 

  

Restructuring Activities

            

Restructuring Professional Fees (MOR-9)

 

    

 

 (1.4) 

 

  

 

    

 

 (1.0) 

 

  

 

    

 

 (1.4) 

 

  

 

    

 

 -    

 

  

 

    

 

 -    

 

  

 

    

 

 -    

 

  

 

 

 

 

  

Total Cash Flow

      $ 132.5       $ 34.7       $ (252.6)      $          -         $         -         $          -      
 

 

 

  

 

MOR-7    Page 10 of 17

IN THE UNITED STATES BANKRUPTCY COURT

FOR THE SOUTHERN DISTRICT OF TEXAS

HOUSTON DIVISION

 

Case Name:  

 iHeartMedia, Inc.

    Petition Date:  

  March 14, 2018

Case Number:  

 18-31274 (MI)

     

Cash Receipts and Disbursements for the Period Ending

 

Book Cash Receipts and Disbursements

(USD $ millions) (1)(2)

       30-Apr-18           31-May-18           30-Jun-18           31-Jul-18           31-Aug-18           30-Sep-18    

Notes:

(1) The period ending: “30-APR-18” includes the Post-Petition activity from March 15, 2018 through April 30, 2018.

(2) Figures on MOR-7 may not foot due to rounding.

(3) On June 14, 2018, the Debtors refinanced the existing ABL credit facility with TPG (the “TPG Facility”). As part of the refinancing process, the Debtors repaid the TPG Facility in full, partially through the use of ~$269 million of cash on-hand. The balance of the repayment of the TPG Facility was sourced via funding provided under the Debtor’s replacement ABL credit facility with Citibank.

(4) ABL draw represents the balance that was transferred from Citibank to Debtor bank accounts net of bank and professional fees associated with the refinance.

(5) As described more fully in the Debtors’ Emergency Motion for Entry of Interim and Final Orders (I) Authorizing the Debtors to (A) Continue to Operate Their Cash Management System and Maintain Existing Bank Accounts and (B) Continue to Perform Intercompany Transactions and (III) Granting Related Relief [Docket No. 14] (the “Cash Management Motion”), the Debtors engage in a range of intercompany transactions in the ordinary course of business. Pursuant to the order granting the relief requested in the Cash Management Motion [Docket No. 454] (the “Cash Management Order”), the Bankruptcy Court has granted the Debtors authority to continue the intercompany transactions in the ordinary course of business.

 

MOR-7    Page 11 of 17

IN THE UNITED STATES BANKRUPTCY COURT

FOR THE SOUTHERN DISTRICT OF TEXAS

HOUSTON DIVISION

 

Case Name:    iHeartMedia, Inc.    Petition Date:   March 14, 2018
Case Number:    18-31274 (MI)     

Cash Account Reconcilation

 

(USD $ millions)

Bank Account Balances as of June 30th, 2018

Bank   Legal Entity   Account #     Type   Balance

Bank of America

   Capstar Radio Operating Company     9903     Savings   0.0

Seaport

   CC Finco Holdings, LLC     0178     Investment   -    

Merrill Lynch

   Clear Channel Holdings, Inc.     2712     Investment   0.0

Pershing

   Clear Channel Holdings, Inc.     1607     Investment   -    

Bank of America

   Clear Channel Metro, LLC     8035     Concentration   0.5

Bank of America

   Clear Channel Metro, LLC     4486     Lockbox   -    

Bank of America

   Critical Mass Media, Inc.     3479     Lockbox   -    

U.S. Bank

   Critical Mass Media, Inc.     0747     Disbursement   -    

Bank of America

   iHeartCommunications, Inc.     0614     Lockbox   -    

Bank of America

   iHeartCommunications, Inc.     1558     Lockbox   -    

PNC

   iHeartCommunications, Inc.     0015     Deposit   -    

BNY Mellon

   iHeartCommunications, Inc.     4238     Investment   -    

UBS

   iHeartCommunications, Inc.     2902     Investment   -    

U.S. Bank

   iHeartMedia + Entertainment, Inc.     2264     Deposit   0.0

Bank of America

   iHeartMedia + Entertainment, Inc.     2512     Lockbox   -    

Bank of America

   iHeartMedia + Entertainment, Inc.     6934     Lockbox   -    

Bank of America

   iHeartMedia + Entertainment, Inc.     5609     Lockbox   -    

Bank of America

   iHeartMedia + Entertainment, Inc.     0167     Lockbox   -    

Bank of America

   iHeartMedia + Entertainment, Inc.     3709     Lockbox   -    

Bank of America

   iHeartMedia Management Services, Inc.     7415     Disbursement   0.8

Bank of America

   iHeartMedia Management Services, Inc.     6812     Disbursement   2.2

Bank of America

   iHeartMedia Management Services, Inc.     3953     Disbursement   0.0

Bank of America

   iHeartMedia Management Services, Inc.     6586     Master Concentration   0.9

Bank of America

   iHeartMedia Management Services, Inc.     1402     Master Disbursement   0.7

Bank of America

   iHeartMedia Management Services, Inc.     6466     Lockbox Concentration   5.4

Citibank

   iHeartMedia Management Services, Inc.     9340     Deposit   0.1

Citibank

   iHeartMedia Management Services, Inc.     6001     Deposit   0.2

Citibank

   iHeartMedia Management Services, Inc.     9359     Deposit   0.3

Citibank

   iHeartMedia Management Services, Inc.     5075     Deposit   0.2

Citibank

   iHeartMedia Management Services, Inc.     1943     Deposit   -    

Frost

   iHeartMedia Management Services, Inc.     0148     Deposit   0.1

U.S. Bank

   iHeartMedia Management Services, Inc.     5070     Disbursement   -    

U.S. Bank

   iHeartMedia Management Services, Inc.     5088     Disbursement   0.0

U.S. Bank

   iHeartMedia Management Services, Inc.     0507     Master Funding   -    

U.S. Bank

   iHeartMedia Management Services, Inc.     1880     Payroll   0.0

U.S. Bank

   iHeartMedia Management Services, Inc.     1898     Payroll   0.0

U.S. Bank

   iHeartMedia Management Services, Inc.     5138     Payroll   -    

Bank of America

   iHeartMedia Management Services, Inc.     4404     ABL Reserve   -    

Bank of America

   iHeartMedia Management Services, Inc.     4462     Utility Deposit   3.2

Goldman Sachs

   iHeartMedia Management Services, Inc.     2344     Postpetition Investment   -    

Invesco

   iHeartMedia Management Services, Inc.     0266     Investment   -    

Total above

                   $14.6
Bank   Legal Entity   Account #     Type     Balance  

Bank of America

   iHeartMedia Management Services, Inc.     1EJE     Postpetition Investment     -      

Bank of America

   iHeartMedia Management Services, Inc.     7481     Lockbox     -      

Bank of America

   iHeartMedia Management Services, Inc.     8238     Lockbox     -      

Bank of America

   iHeartMedia Management Services, Inc.     6750     Lockbox     -      

Citibank

   iHeartMedia Management Services, Inc.     7601     Escrow     -      

U.S. Bank

   iHeartMedia Management Services, Inc.     5112     Disbursement     -      

U.S. Bank

   iHeartMedia Management Services, Inc.     5450     Disbursement     -      

U.S. Bank

   iHeartMedia Management Services, Inc.     5146     Disbursement     -      

U.S. Bank

   iHeartMedia Management Services, Inc.     5120     Payroll     -      

Federated

   iHeartMedia Management Services, Inc.     3888     Investment     -      

Fidelity

   iHeartMedia Management Services, Inc.     8321     Investment     -      

Goldman Sachs

   iHeartMedia Management Services, Inc.     5589     Investment     -      

Goldman Sachs

   iHeartMedia Management Services, Inc.     5773     Investment     -      

Goldman Sachs

   iHeartMedia Management Services, Inc.     2342     Investment     -      

Goldman Sachs

   iHeartMedia Management Services, Inc.     5775     Investment     -      

Goldman Sachs

   iHeartMedia Management Services, Inc.     2340     Investment     -      

Goldman Sachs

   iHeartMedia Management Services, Inc.     2343     Investment     -      

Goldman Sachs

   iHeartMedia Management Services, Inc.     5711     Investment     -      

Goldman Sachs

   iHeartMedia Management Services, Inc.     7265     Investment     -      

Goldman Sachs

   iHeartMedia Management Services, Inc.     5311     Investment     -      

Goldman Sachs

   iHeartMedia Management Services, Inc.     8552     Investment     -      

Goldman Sachs

   iHeartMedia Management Services, Inc.     0500     Investment     -      

Goldman Sachs

   iHeartMedia Management Services, Inc.     2341     Investment     -      

Goldman Sachs

   iHeartMedia Management Services, Inc.     5774     Investment     -      

Goldman Sachs

   iHeartMedia Management Services, Inc.     8616     Investment     -      

State Street

   iHeartMedia Management Services, Inc.     1421     Investment     -      

StoneCastle

   iHeartMedia Management Services, Inc.     4539     Investment     -      

Merrill Lynch

   iHeartMedia Management Services, Inc.     0420     Postpetition Investment     -      

Fidelity

   iHeartMedia, Inc.     1576     Deferred Comp     12.3  

Bank of America

   iHeartMedia, Inc.     5540     Deposit     -      

U.S. Bank

   Katz Media Group, Inc.     5096     Disbursement     -      

Bank of America

   Katz Media Group, Inc.     3777     Lockbox     -      

Bank of America

   Katz Media Group, Inc.     5119     Lockbox     -      

U.S. Bank

   Katz Media Group, Inc.     5104     Disbursement     -      

Bank of America

   Premiere Networks, Inc.     7905     Deposit     0.0  

Bank of America

   Premiere Networks, Inc.     8094     Deposit     0.0  

Chase

   Premiere Networks, Inc.     8365     Deposit     0.0  

Bank of America

   Terrestrial RF Licensing, Inc.     9054     Lockbox     -      

Signature Bank

   iHeartMedia Management Services, Inc.     0716     Checking     -      

Signature Bank

   iHeartMedia Management Services, Inc.     0724     Investment     35.5  

Signature Bank

   iHeartMedia Management Services, Inc.     0732     Investment     19.0  

Total Above

         $         66.7  

Total Cash

                   $ 81.4  
 

 

MOR-8    Page 12 of 17

IN THE UNITED STATES BANKRUPTCY COURT

FOR THE SOUTHERN DISTRICT OF TEXAS

HOUSTON DIVISION

 

Case Name:   

 iHeartMedia, Inc.

       Petition Date:   

 March 14, 2018                         

Case Number:           

 18-31274 (MI)

         

Cash Account Reconcilation

 

 (USD $ millions)

Book-To-Bank Cash Reconciliation

Beginning Book Balance (1)

    $             275.4  

(+/-) Net Book Cash Flow (MOR-7)

      (252.6 ) 

(+/-) Decrease (increase) in Restricted Cash

      34.5  

Ending Book Balance (MOR-2)

      57.4  

(+) Fidelity Account (Deferred Comp)

      12.3  

(+) Utility Deposit Account

      3.2  

(+) ABL Reserve Account

      -    

(-) Cash In Transit, Outstanding Checks, & Other

      8.5  

Ending Bank Balance

    $ 81.4  
 

 

Notes: 

(1) The Beginning Book Balance reflects the balance as of May 31, 2018.

 

MOR-8    Page 13 of 17

IN THE UNITED STATES BANKRUPTCY COURT

FOR THE SOUTHERN DISTRICT OF TEXAS

HOUSTON DIVISION

 

Case Name:   

 iHeartMedia, Inc.                                                                      

                           Petition Date:  

March 14, 2018    

Case Number:           

 18-31274 (MI)

        

Total Disbursements by Debtor Entity for the Period Ending

 

 (USD $ millions) (1)

Total Disbursements By Debtor Entity

 

 

    Debtor  
Case #  		    Legal Entity Name     31-Mar-18         30-Apr-18         31-May-18         30-Jun-18         31-Jul-18    
 

18-31274

   

iHeart Media, Inc

   $              -     $              -       $             -       $              -       $              -    
 

18-31277

   

AMFM Broadcasting Licenses, LLC

     -         -         -         -         -    
 

18-31278

   

AMFM Broadcasting, Inc.

     -         -         -         -         -    
 

18-31279

   

AMFM Operating, Inc.

     -         -         -         -         -    
 

18-31280

   

AMFM Radio Licenses, LLC

     -         -         -         -         -    
 

18-31281

   

AMFM Texas Broadcasting, LP

     -         -         -         -         -    
 

18-31282

   

AMFM Texas Licenses, LLC

     -         -         -         -         -    
 

18-31283

   

AMFM Texas, LLC

     -         -         -         -         -    
 

18-31284

   

Capstar Radio Operating Company

     -         -         -         -         -    
 

18-31285

   

Capstar TX, LLC

     -         -         -         -         -    
 

18-31286

   

CC Broadcast Holdings, Inc.

     -         -         -         -         -    
 

18-31287

   

CC Finco Holdings, LLC

     -         -         -         -         -    
 

18-31288

   

CC Licenses, LLC

     -         -         -         -         -    
 

18-31289

   

Christal Radio Sales, Inc.

     -         -         -         -         -    
 

18-31290

   

Cine Guarantors II, Inc.

     -         -         -         -         -    
 

18-31291

   

Citicasters Co.

     -         -         -         -         -    
 

18-31292

   

Citicasters Licenses, Inc.

     -         -         -         -         -    
 

18-31293

   

Clear Channel Broadcasting Licenses, Inc.

     -         -         -         -         -    
 

18-31294

   

Clear Channel Holdings, Inc.

     -         -         -         -         -    

 

Exhibit A    Page 14 of 17

IN THE UNITED STATES BANKRUPTCY COURT

FOR THE SOUTHERN DISTRICT OF TEXAS

HOUSTON DIVISION

 

Case Name:   

iHeartMedia, Inc.                                                                      

                           Petition Date:  

March 14, 2018    

Case Number:           

18-31274 (MI)

        

Total Disbursements by Debtor Entity for the Period Ending

 

 (USD $ millions) (1)

Total Disbursements By Debtor Entity

 

 

    Debtor
Case #		    Legal Entity Name      31-Mar-18          30-Apr-18          31-May-18          30-Jun-18          31-Jul-18    
  18-31296    Clear Channel Metro, LLC      -          -          -          -          -    
  18-31297    Clear Channel Mexico Holdings, Inc.      -          -          -          -          -    
  18-31298    Clear Channel Real Estate, LLC      -          -          -          -          -    
  18-31299    Critical Mass Media, Inc.      -          -          -          -          -    
  18-31273    iHeartCommunications, Inc.      -          -          -          0.1        -    
  18-31275    iHeartMedia Capital I, LLC      -          -          -          -          -    
  18-31276    iHeartMedia Capital II, LLC      -          -          -          -          -    
  18-31301    iHeartMedia Management Services, Inc.      79.2        184.1        271.4        605.5        -    
  18-31302    iHM Identity, Inc.      -          -          -          -          -    
  18-31303    Katz Communications, Inc.      -          -          -          -          -    
  18-31304    Katz Media Group, Inc.      8.9        5.4        11.6        9.9        -    
  18-31305    Katz Millennium Sales & Marketing, Inc.      -          -          -          -          -    
  18-31306    Katz Net Radio Sales, Inc.      -          -          -          -          -    
  18-31307    M Street Corporation      -          -          -          -          -    
  18-31308    Premiere Networks, Inc.      0.1        -          -          -          -    
  18-31309    Terrestrial RF Licensing, Inc.      -          -          -          -          -    
  18-31310    TTWN Media Networks, LLC      -          -          -          -          -    
  18-31311    TTWN Networks, LLC      -          -          -          -          -    
  18-31300    iHeartMedia + Entertainment, Inc.      0.2        -          1.1        0.9        -    
  18-31295    Clear Channel Investments, Inc.      -          -          -          -          -    
 

Total above

    $ 88.3      $ 189.4      $ 284.1      $ 616.5      $ -    

(1) The period ending “31-Mar-18” includes disbursements made between March 15, 2018 and March 31, 2018.

 

Exhibit A    Page 15 of 17

IN THE UNITED STATES BANKRUPTCY COURT

FOR THE SOUTHERN DISTRICT OF TEXAS

HOUSTON DIVISION

 

Case Name:   

 iHeartMedia, Inc.                                                                                          

                                                                    Petition Date:  

 March 14, 2018    

Case Number:           

 18-31274 (MI)

        

Payments to Insiders and Professionals for the Period Ending

 

Payments to Insiders & Professionals

(USD $ millions) (1)

     30-Apr-18       31-May-18       30-Jun-18       31-Jul-18       31-Aug-18       30-Sep-18       31-Oct-18       30-Nov-18  

Total Payments to Insiders

     $ 6.1     $ 3.7     $ 3.7     $ -       $ -       $ -       $ -       $ -    

Payments to Professionals (2)

                                                                
1. Kirkland & Ellis LLP (Debtors’ lead counsel)     $ -       $ -       $ -       $ -       $ -       $ -       $ -       $ -    
2. Moelis & Company (Debtors’ financial advisor)     -         -         -         -         -         -         -         -    
3. LionTree Advisors, LLC (Debtors’ financial advisor)     -         -         -         -         -         -         -         -    
4. Jackson Walker (Debtors’ co-counsel)     -         -         -         -         -         -         -         -    
5. Alvarez & Marsal (Debtors’ restructuring advisor)     -         -         -         -         -         -         -         -    
6. Prime Clerk LLC (Debtors’ notice and claims agent)     0.4       0.3       0.5       -         -         -         -         -    
7. Ernst & Young (Debtors’ auditor)     -         -         -         -         -         -         -         -    
8. PricewaterhouseCoopers (Debtors’ tax and accounting advisor)     -         -         -         -         -         -         -         -    
9. Munger, Tolles & Olson LLP (counsel to the Debtors’ disinterested directors)     -         -         -         -         -         -         -         -    
10. Perella Wienberg Partners L.P. (financial advisor to the Debtors’ disinterested directors)     -         -         -         -         -         -         -         -    
11. Jones Day (counsel to the Term Loan/PGN Group)     -         -         -         -         -         -         -         -    
12. PJT Partners, Inc. (financial advisor to the Term Loan/PGN Group)     -         0.2       0.2       -         -         -         -         -    
13. Arnold & Porter Kaye Scholer LLP (counsel to the Crossover Group)     0.4       -         0.4       -         -         -         -         -    
14. Ducera Partners LLC (financial advisor to the Crossover Group)     -         -         -         -         -         -         -         -    
15. Gibson, Dunn & Crutcher LLP (counsel to the 2021 Notes Group)     -         -         -         -         -         -         -         -    
16. Kelley, Drye & Warren (counsel to UMB Bank, N.A., as successor Trustee to the 11.25% PGN Notes due 2021)     -         0.1       -         -         -         -         -         -    
17. GLC Advisors & Co., Inc. (financial advisor to the 2021 Notes Group)     -         -         -         -         -         -         -         -    
18. Schulte Roth & Zabel LLP (co-counsel to TPG Specialty Lending, Inc., Administrative Agent for the ABL Facility)     0.4       -         -         -         -         -         -         -    
19. Jones Walker LLP (co-counsel to TPG Specialty Lending, Inc., Administrative Agent for the ABL Facility)     -         -         -         -         -         -         -         -    
20. Akin Gump Strauss Hauer & Feld LLP (counsel to the UCC)     -         -         -         -         -         -         -         -    
21. Jefferies & Company, Inc. (financial advisor to the UCC)     -         -         -         -         -         -         -         -    
22. FTI Consulting, Inc. (restructuring advisor to the UCC)     -         -         -         -         -         -         -         -    
23. Cahill Gordon & Reindell LLP (counsel to Citibank, N.A., Agent for the Term Loan Facility)     0.2       0.1       0.2       -         -         -         -         -    
24. K&L Gates LLP (counsel to U.S. Bank, N.A. Indenture Trustee)     -         0.1       -         -         -         -         -         -    
25. Stoock & Stroock & Lavan LLP (counsel to Wilmington Trust, N.A. as successor trustee to the 9% PGNs due 2019, trustee to the 9% PGNs due 2021, and successor trustee to the 9% PGNs due 2022)     -         0.1       -         -         -         -         -         -    
26. Thompson Hine LLP (Local Counsel to Indenture Trustee)     -         -         -         -         -         -         -         -    
27. Odinbrook Global Advisors (Expert Witness for Indenture Trustee)     -         -         -         -         -         -         -         -    
 

 

 

  

    Total Payments to Professionals (2)

     $ 1.4     $ 1.0     $ 1.4     $ -       $ -       $ -       $ -       $ -    
 

 

 

  

 

MOR-9    Page 16 of 17

IN THE UNITED STATES BANKRUPTCY COURT

FOR THE SOUTHERN DISTRICT OF TEXAS

HOUSTON DIVISION

 

Case Name:   

 iHeartMedia, Inc.                                                                                          

                                                                    Petition Date:  

 March 14, 2018    

Case Number:           

 18-31274 (MI)

        

Payments to Insiders and Professionals for the Period Ending

 

 Payments to Insiders & Professionals (USD $ millions) (1)    30-Apr-18      31-May-18      30-Jun-18      31-Jul-18      31-Aug-18      30-Sep-18      31-Oct-18      30-Nov-18  

Notes: 

(1) The period ending: “30-APR-18” includes the Post-Petition activity from March 15, 2018 through April 30, 2018.

(2) Payments to ordinary course professionals are not included in MOR-9.

 

MOR-9    Page 17 of 17