Urban One, Inc. (NASDAQ: UONEK)

Urban One Inc is an urban oriented multi media company that primarily targets African American and urban consumers. The core business is the radio broadcasting franchise which is the largest radio broadcasting operation that primarily targets African American and urban listeners. The company has diversified its revenue streams by acquiring and investing in complementary media properties including TV One LLC which operates two cable television networks targeting African American and urban viewers Reach Media Inc which operates syndicated programming assets and Interactive One LLC which operates a digital platform serving the African American community through social content news information and entertainment websites.

Urban One generates revenue primarily through the sale of advertising for broadcast on its radio stations and through advertising and affiliate revenue from its cable television networks. The Radio Broadcasting segment generates net revenue from the sale of local national and network advertising as well as from ticket sales sponsored events management fees and other alternative revenue. The Cable Television segment derives revenue from advertising and affiliate fees based on per subscriber royalties. The Reach Media segment generates revenue from the sale of advertising in connection with its syndicated radio shows. The Digital segment derives revenue from advertising services on non radio station branded websites and from studio services provided to other publishers.

The company operates through the following segments: Radio Broadcasting Reach Media Digital and Cable Television.

• Radio Broadcasting segment owns and or operates 76 independently formatted revenue producing broadcast stations located in 13 of the most populous African American markets in the United States. The segment focuses on building clusters of radio stations with each station targeting different demographic segments of the African American population to achieve greater penetration within the target market.

• Reach Media segment operates the Rickey Smiley Morning Show the Get Up! Mornings with Erica Campbell Show and the DL Hughley Show. The segment also operates other syndicated programming assets and derives revenue from the sale of advertising in connection with these shows which are broadcast on 45 Urban One stations and 211 non Urban One stations throughout the United States.

• Digital segment operates through Interactive One LLC which serves the African American community through social content news information and entertainment websites including iONE Digital Cassius Bossip HipHopWired and MadameNoire digital platforms and brands. The segment generates revenue from advertising services on these websites and from studio services provided to other publishers.

• Cable Television segment operates TV One LLC which runs two cable television networks TV One and CLEO TV targeting African American and urban viewers. TV One derives revenue from advertising and affiliate fees while CLEO TV derives its revenue principally from advertising.

Urban One operates in a highly competitive media industry where it competes for audiences and advertising revenue with other radio stations broadcast and cable television the internet satellite radio newspapers magazines direct mail and outdoor advertising. The company believes its media properties are well positioned to compete due to its focus on African American and urban consumers and its diversified multi media platform which allows advertisers to reach specific audiences within urban communities.

The company serves advertisers seeking to communicate with African American and urban audiences through its national multi media operations. Urban One provides advertisers with a unique and powerful delivery mechanism to reach this demographic across radio cable television and digital platforms.