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Clear Channel Enacts Hiring Freeze, Cuts Budgets
Clear Channel’s fourth quarter expense and staff reductions weren’t enough to offset continued weakness in the radio market, and the company has ordered budget cuts and a hiring freeze for the first quarter.
The Radio Advertising Bureau’s preliminary figures show radio down 6 percent in December, according to Mediaweek. Wall Street analysts are predicting that radio groups will not meet fourth quarter earnings estimates.
Clear Channel is preparing to go private with a group of investors led by Thomas H. Lee Partners and Bain Capital. John Hogan, president and CEO of Clear Channel Radio, called for budget cuts in research, advertising and promotion, new sales hire guarantees, new hires, and discretionary travel and entertainment.