Citadel in trouble

[CAwasinNJ]

They're being threatened with delisting from the NY Stock Exchange and Morningstar is saying there's a good chance the value of the stock could fall to 0. (That ABC acquisition is looking like a really bad idea right now.) If I worked there, I'd be nervous.

So what to do? I've got a crazy idea that's probably too crazy to actually try, but it's interesting to me. Just go for broke. Have a fire sale of everything below market 20 (or 10 if you're really feeling adventurous) and serious underperformers in the remaining markets and raise as much cash as possible. Then market the daylights out of whatever you've got left. (This goes to the "spend money to make money" from the Christmas thread.) Make sure everyone in the market knows who you are and what you do. Do advertising, promotions, contests, anything and everything. If it works, you save the company. If it doesn't, you're history.

Too crazy?

[dxstuboy]

What does that mean for those who work for Citadel, locally specifically. Me worried!

[henry]

A fire sale is not a crazy idea. If what you say is true, then it sounds like it's a sensible business practice.

I feel badly for those at 434 Bearcat Drive. They are a fine bunch of folks. Many of them are Clear Channel refugees. It's not fair for them to have to ride the Titanic twice.

As for those on Lake Mead Blvd in Las Vegas, all I can say of their stock is: Burn, Baby Burn!

[CAwasinNJ]

Nov 21, 2008 16:27:44 GMT -7 dxstuboy said:

What does that mean for those who work for Citadel, locally specifically. Me worried!

I'd say keep your resume handy, just in case. Even if the company itself goes under, what happens at the local level is a different beast. The opposite is true too. Nobody really knows what's going to happen, and that's the worrisome part. A little Googling for "Citadel Broadcasting" will give you a lot of information. I'd start with their Yahoo page finance.yahoo.com/echarts?s=CDL There's a link there to the Morningstar article.