Entercom Communications Corp. Reports Record Quarterly Results; Same Station Net Revenues Increase 4%; Net Income per Share Increases 13%

The Company achieved record-breaking results, for any quarter, innet revenues and station operating income and record-breaking resultsfor a second quarter in station operating income margin, operatingincome, net income and net income per share.

For the second quarter as compared to the prior year:

-- Net revenues increased 5% to $119.5 million and station operating income increased 5% to $54.0 million.

-- Same station net revenues increased 4% to $119.5 million and same station operating expenses increased 3% to $65.5 million.

-- Same station operating income increased 5% to $54.0 million.

-- Net income per share increased 13% to $0.53.

-- Pro forma net income per share, excluding gain/loss on sale or disposition of assets, financial instruments and investments, increased 13% to $0.52 from $0.46.

David J. Field, President and Chief Executive Officer stated, "Weare pleased to report that Entercom delivered record-breakingresults during the second quarter. Same-station revenue grew 4%,outpacing our markets by 300 bps, notwithstanding the dampeningeffect of several format changes made during the quarter. Localrevenues remained strong, growing at 6%. We also continued to enhanceour future prospects by investing in compelling new formats andprograming content, proprietary sales initiatives and technology."

Additional Information

The Company has reached a multi-year agreement to carry the BostonCeltics game broadcasts, and related programming and promotionalevents, on the Company's Boston stations beginning with the upcoming2005-2006 NBA season.

The Company recognized a positive benefit to income taxes of $0.3million in the second quarter from adjustments to state taxprovisions.

The number of shares outstanding as of June 30, 2005, was 45.9million, while the weighted average diluted shares outstanding for thequarter was 46.1 million. During the quarter, the Company repurchased0.2 million shares of common stock for $5.0 million under theCompany's third repurchase program.

As of June 30, 2005, the Company had $11.1 million in cash andcash equivalents. The Company had outstanding $374 million of SeniorDebt and $150 million of Senior Subordinated Notes due in 2014.

Third Quarter Guidance

Based on the current business outlook, the Company expects toreport an increase in same station net revenues of 3% to 4% andstation operating expenses of approximately 3%.

The Company has restructured its contractual relationship with theSeattle Seahawks professional football team effective with the 2005NFL season. While the Company will continue to broadcast the games,the Company will no longer produce the games nor sell the advertisingtime as in past years.

For purposes of same station comparisons, as adjusted for theSeattle Seahawks, last year's same station third quarter net revenueswere $111.3 million and station operating expenses were $61.8 million.

Reconciliation of prior year reported and same station results areavailable on the Company's website.

Earnings Conference Call and Company Information

The Company will hold a conference call regarding the quarterlyearnings release on Tuesday, August 9 at 9:30 AM Eastern Time. Thepublic may access the conference call by dialing 888-577-8990. Areplay of the conference call will be available through August 16,2005 by dialing 866-353-3069. A webcast of the conference call will beavailable beginning 24 hours after the call on the Company's websitefor a period of one week. The Company's website is located atwww.entercom.com.

Entercom is the nation's fourth largest radio broadcaster,operating in Boston, Seattle, Denver, Portland, Sacramento, KansasCity, Indianapolis, Milwaukee, New Orleans, Norfolk, Buffalo, Memphis,Providence, Greensboro, Greenville/Spartanburg, Rochester, Madison,Wichita, Wilkes-Barre/Scranton and Gainesville/Ocala.

Certain Definitions

All references to per share data, unless stated otherwise, arepresented as per diluted share.

It is important to note that station operating income, samestation net revenues, same station operating expenses, same stationoperating income and free cash flow are not measures of performance orliquidity calculated in accordance with generally accepted accountingprinciples ("GAAP"). Management believes that these measures areuseful as a way to evaluate the Company and the means for managementto evaluate our radio stations' performance and operations. Managementbelieves that these measures are useful to an investor in evaluatingour performance because they are widely used in the broadcast industryto measure a radio company's operating performance. You should notconsider these non-GAAP measures in isolation or as substitutes fornet income, operating income, or any other measure for determining ouroperating performance that is calculated in accordance with generallyaccepted accounting principles. These non-GAAP measures are notnecessarily comparable to similarly titled measures employed by othercompanies.

Station operating income consists of operating income beforedepreciation and amortization, time brokerage agreement fees,corporate general and administrative expenses and gain or loss on saleor disposition of assets.

Free cash flow consists of operating income: (i) plus depreciationand amortization, non-cash compensation expense (which is otherwiseincluded in corporate general and administrative expenses); and (ii)less net interest expense (excluding amortization of deferredfinancing costs), gain (loss) on sale of assets, taxes paid (refunded)and capital expenditures.

Same station operating data is computed by comparing theperformance of stations operated by the Company throughout therelevant period to the comparable performance in the prior year'scorresponding period. The Company includes in the same stationoperating data the effects of changes in status of significantcontracts that: (i) relate to operations; (ii) have a significanteffect on the net revenues and or station operating expenses of aparticular market; and (iii) are accounted for as a separate businessunit.

Note Regarding Forward-Looking Statements

The information in this news release is being widely disseminatedin accordance with the Securities and Exchange Commission's RegulationFD.

This news announcement contains certain forward-looking statementsthat are based upon current expectations and certain unaudited proforma information that is presented for illustrative purposes only andinvolves certain risks and uncertainties within the meaning of theU.S. Private Securities Litigation Reform Act of 1995. Additionalinformation and key risks are described in the Company's filings onForms 8-K, 10-Q and 10-K with the Securities and Exchange Commission.Readers should note that these statements might be impacted by severalfactors including changes in the economic and regulatory climate andthe business of radio broadcasting, in general. The unaudited proforma information and same station operating data reflects adjustmentsand is presented for comparative purposes only and does not purport tobe indicative of what has occurred or indicative of future operatingresults or financial position. Accordingly, the Company's actualperformance may differ materially from those stated or implied herein.The Company assumes no obligation to publicly update or revise anyunaudited pro forma or forward-looking statements.
ENTERCOM COMMUNICATIONS CORP.
-----------------------------
CONDENSED CONSOLIDATED FINANCIAL DATA
(amounts in thousands, except per share data)
(Unaudited)

Three Months Ended Six Months Ended
June 30, June 30,
--------------------- ---------------------
2005 2004 2005 2004
---------- ---------- ---------- ----------
CONDENSED STATEMENTS OF
OPERATIONS
-----------------------

Net Revenues $119,489 $113,677 $213,796 $200,715
---------- ---------- ---------- ----------

Station Operating Expenses 65,493 62,356 124,001 116,879
Corporate General and
Administrative Expenses,
Including Non-Cash
Compensation Expense of
$217 and $172 for the
Three Months Ended June
30, 2005 and 2004,
Respectively and $446 and
$317 for the Six Months
Ended June 30, 2005 and
2004, Respectively. 4,618 3,943 9,598 7,651
Depreciation and
Amortization 3,947 3,778 7,983 7,780
Time Brokerage Agreement
Expense (Income) - 181 (24) 181
Net Loss (Gain) on Sale
or Disposition of Assets 41 718 (5,492) 749
---------- ---------- ---------- ----------
Operating Income 45,390 42,701 77,730 67,475
---------- ---------- ---------- ----------

Other Expense (Income)
Items:
Interest Expense,
Including Amortization
of Deferred Financing
Costs of $329 and $244
for the Three Months
Ended June 30, 2005 and
2004, Respectively and
$658 and $488 for the
Six Months Ended June
30, 2005 and 2004,
Respectively. 7,384 4,800 14,002 9,618
Interest Income (78) (43) (134) (109)
Net Loss (Gain) on
Derivative Instruments 166 (1,361) (544) (1,031)
(Gain) Loss on investments (1,028) 176 (1,069) 176
---------- ---------- ---------- ----------
Total Other Expense 6,444 3,572 12,255 8,654
---------- ---------- ---------- ----------

Income Before Income Taxes 38,946 39,129 65,475 58,821
Income Taxes 14,671 15,097 24,963 22,825
---------- ---------- ---------- ----------
Net Income $24,275 $24,032 $40,512 $35,996
========== ========== ========== ==========
Net Income Per Share -
Basic $0.53 $0.47 $0.87 $0.70
========== ========== ========== ==========
Net Income Per Share -
Diluted $0.53 $0.47 $0.86 $0.70
========== ========== ========== ==========

Weighted Common Shares
Outstanding - Basic 45,855 51,051 46,739 51,270
========== ========== ========== ==========
Weighted Common Shares
Outstanding - Diluted 46,136 51,413 47,022 51,716
========== ========== ========== ==========

SUPPLEMENTAL DISCLOSURES OF
CASH FLOW INFORMATION
---------------------------
Capital Expenditures $2,935 $1,639 $4,822 $3,365
========== ========== ========== ==========
Income Taxes Paid $4,438 $5,350 $6,874 $6,535
========== ========== ========== ==========


SELECTED BALANCE SHEET DATA June 30,
--------------------------- ---------------------
2005 2004
---------- ----------

Cash and Cash Equivalents $11,108 $12,184
Working Capital 87,612 19,818
Total Assets 1,674,773 1,682,584
Senior Debt 373,768 264,535
7.625% Senior Subordinated
Notes 150,000 150,000
Total Shareholders' Equity 942,163 1,019,788


OTHER FINANCIAL DATA
Three Months Ended
June 30,
---------------------
2005 2004
---------- ----------
Same Station Computations:
--------------------------
Net Revenues - Reconciliation
of Same Station Net Revenues
to GAAP:
Net Revenues as Reported $119,489 $113,677
Net Acquisitions and
Divestitures of Radio
Stations and Significant
Contracts - 1,183
---------- ----------
Same Station Net Revenues $119,489 $114,860
========== ==========

Station Operating Expenses -
Reconciliation of Same
Station Operating
Expenses to GAAP:
Station Operating Expenses
as Reported $65,493 $62,356
Net Acquisitions and
Divestitures of Radio
Stations and Significant
Contracts - 1,078
---------- ----------
Same Station Operating
Expenses $65,493 $63,434
========== ==========

Reconciliation of Station
Operating Income and Same
Station Operating Income to
GAAP (Operating Income):
----------------------------
Operating Income as Reported $45,390 $42,701
Corporate General and
Administrative Expenses 4,618 3,943
Depreciation and
Amortization 3,947 3,778
Net Time Brokerage
Agreement Fees - 181
Net Loss on Sale or
Disposition of Assets 41 718
---------- ----------
Station Operating Income 53,996 51,321
Net Acquisitions and
Divestitures of Radio
Stations and Significant
Contracts - 105
---------- ----------
Same Station Operating Income $53,996 $51,426
========== ==========

Reconciliation of Free Cash
Flow to GAAP (Net Income):
---------------------------
Net Income as Reported $24,275 $24,032
Depreciation and
Amortization 3,947 3,778
Deferred Financing Costs
Included in Interest
Expense 329 244
Non-Cash Compensation
Expense 217 172
Net Loss on Sale or
Disposition of Assets 41 718
Net Loss (Gain) on
Derivative Instruments 166 (1,361)
(Gain) Loss on investments (1,028) 176
Income Taxes 14,671 15,097
Capital Expenditures (2,935) (1,639)
Taxes Paid (4,438) (5,350)
---------- ----------
Free Cash Flow $35,245 $35,867
========== ==========

Reconciliation of Free Cash
Flow to GAAP (Operating
Income):
---------------------------
Operating Income as
Reported $45,390 $42,701
Depreciation and
Amortization 3,947 3,778
Non-Cash Compensation
Expense 217 172
Interest Expense, Net of
Interest Income and
Deferred Financing Costs (6,977) (4,513)
Capital Expenditures (2,935) (1,639)
Net Loss on Sale or
Disposition of Assets 41 718
Taxes Paid (4,438) (5,350)
---------- ----------
Free Cash Flow $35,245 $35,867
========== ==========

Reconciliation of Pro Forma
Net Income Per Share -
Diluted to GAAP
---------------------------
Net Income Per Share - Diluted
as Reported $0.53 $0.47
Net Loss on Sale or Disposal
of Assets, Net of Tax
Benefit - 0.01
Net Loss (Gain) on
Derivative Instruments, Net
of Tax Benefit or Tax
Provision - (0.02)
(Gain) Loss on Investments,
Net of Tax Provision or
Tax Benefit (0.01) -
---------- ----------
Pro Forma Net Income Per Share
- Diluted $0.52 $0.46
========== ==========

Weighted Common Shares
Outstanding - Basic 45,855 51,051
========== ==========
Weighted Common Shares
Outstanding - Diluted 46,136 51,413
========== ==========


PRIOR YEAR'S DATA

Third Quarter 2004 For
Comparison To Third Quarter
2005 Estimates
----------------------------
Three
Reconciliation of Third Months
Quarter 2004 Same Station Net Ended
Revenues to GAAP (Net Sept. 30,
Revenues): 2004
------------------------------ -----------
Net Revenues as Reported $112,507
Net Acquisitions and
Divestitures of Radio
Stations and Significant
Contracts (1,212)
----------
Same Station Net Revenues $111,295
==========

Reconciliation of Third
Quarter 2004 Same Station
Operating Expenses to GAAP
(Station Operating Expenses):
------------------------------
Station Operating Expenses
as Reported $63,530
Net Acquisitions and
Divestitures of Radio
Stations and Significant
Contracts (1,759)
----------
Same Station Operating Expenses $61,771
==========