| Capital Expenditure: According to Zacks Digest average, capital expenditure was $37.2 million in 1Q09 versus $73.3 million in 1Q08.
One firm forecasts $258 million capital expenditure for 2009, down from $358 million in 2008. The company noted in its release that it is cutting its digital capex plans in FY09, in particular for smaller markets.
Cash Flow: According to Zacks Digest average, cash flow from operating activities was $48.9 million in 1Q09 versus $55.2 million in 1Q08. Cash flow used by investing activities was $50.3 million in 1Q09 versus ($126.9) million in 1Q08. Cash flow used by financing activities was ($0.5) million in 1Q09 versus $44.1 million in 1Q08.
Debt: CCO's $2.5 billion debt payment to parent CCU is due on August 2nd, 2010. One firm believes that with no signs of an advertising recovery at present, CCO's ability to refinance that debt could become an overhang on the equity.
Restructuring Program
On January 20, 2009, CC Media Holdings announced a restructuring program to reduce fixed costs by approximately $350 million on an annualized basis, which will eliminate overlapping functions and approximately 9% of workforce or 1,850 full-time positions. The program is expected to result in restructuring and other non-recurring charges of approximately $200 million, of which approximately 40% of the anticipated cost savings and related charges will be attributable to CCO. In other words, it is expected that Clear Channel Outdoor will see $80 million in restructuring charges, which is expected to yield $140 million in annualized cost savings. The cost-saving initiatives are expected to be fully implemented by the end of 1Q10.
For 1Q09, the company recognized approximately $6.9 million of expenses related to the restructuring program.
| 
