Live Nation Acquires Significant Stake in Academy Music Group

Enhances United Kingdom music venue presence

Brings well-recognized AMG brand under the Live Nation umbrella

Drives growth through continued new venue roll-out

    LOS ANGELES, March 30 /PRNewswire-FirstCall/ -- Live Nation, Inc. (Live
 Nation) and Gaiety Investments (Gaiety) have together completed the
 acquisition of a 56% interest in Academy Music Holdings Limited (AMG) from
 RJD Partners. AMG owns and operates 12 live music venues which annually
 host over 2,500 events attracting 3+ million fans. AMG's portfolio includes
 some of the UK's most successful music venues such as Carling Academy
 Brixton and Shepherd's Bush Empire. In addition, AMG is expected to
 continue its roll-out of music venues throughout the UK. The acquisition of
 AMG substantially accelerates Live Nation's UK music venue strategy and
 builds on its already strong partnership with Gaiety, with whom it already
 owns Mean Fiddler Holdings Ltd., the company behind the successful Reading
 and Leeds and Latitude festivals.
     "AMG has one of the strongest live music venue brands in the UK," said
 Live Nation Chief Executive Officer Michael Rapino. "The venues that we are
 acquiring are among the best in the world. The acquisition of AMG will
 enable us to grow our UK venue network with a brand that music fans know
 and love."
     The transaction values AMG at $114.0 million, including the assumption
 of $56.9 million of bank debt and third-party shareholder loans. For the
 twelve months ended December 31, 2006, AMG generated $11.6 million of
 Adjusted EBITDA. AMG is expected to demonstrate strong growth as it rolls
 out new venues (including two new venue leases AMG has recently signed),
 younger venues mature and revenue and supply synergies from the combination
 with Live Nation and Gaiety are realized.
     As a condition to the acquisition of AMG, Mean Fiddler Holdings Ltd.
 and Live Nation have each entered into conditional agreements for the
 divestment to MAMA Group PLC of the Forum and London's Hammersmith Apollo
 venues, respectively. For the year ended 31 December 2006, the Forum and
 Hammersmith venues generated $3.7 million of Adjusted EBITDA. The expected
 sale price for the two venues is $26.9 million, net of fees and expenses
 associated with the transaction.
     Initially, Live Nation-Gaiety's joint venture will hold a 44% interest
 in AMG and Gaiety will continue to hold its existing 12% stake in AMG.
 Gaiety expects to later contribute its stake to the Live Nation-Gaiety
 joint venture. Live Nation holds a 50.1% interest in the joint venture with
 Gaiety.
     Portions of this release may contain forward-looking statements
 regarding future events and are subject to risks and uncertainties. Live
 Nation wishes to caution you that there are some factors that could cause
 actual results to differ materially from any future results, performance or
 achievements expressed or implied by such forward-looking statements,
 including but not limited to, challenges in achieving strategic objectives
 and the risk that our business does not evolve as anticipated. Live Nation
 refers you to the documents it files from time to time with the U.S.
 Securities and Exchange Commission, specifically the section titled "Item
 1A. Risk Factors" of Live Nation's most recent Annual Report filed on Form
 10-K, which contains and identifies other important factors that could
 cause actual results to differ materially from those contained in our
 projections or forward-looking statements. Stockholders and other readers
 are cautioned not to place undue reliance on these forward-looking
 statements, which speak only as of the date on which they are made. We
 undertake no obligation to update publicly or revise any forward-looking
 statements.
     Throughout the text of this release, we refer to Adjusted EBITDA.
 Adjusted EBITDA is a non-GAAP financial measure that the company defines as
 operating income (loss) before certain unusual and/or non-cash charges,
 depreciation and amortization, loss (gain) on sale of operating assets and
 non-cash compensation expense.
     US dollars are exchanged from Great British Pounds at 1.9624, the
 exchange rate as of March 29, 2007.
     About Live Nation
     Live Nation is the world's largest live music company. Our mission is
 to inspire passion for live music around the world. We are the largest
 promoter of live concerts in the world, the second-largest entertainment
 venue management company and have a rapidly growing online presence. We
 create superior experiences for artists and fans, regularly producing tours
 for the biggest superstars in the business, including The Rolling Stones,
 Barbra Streisand, Madonna, U2 and Coldplay. Globally, we own, operate, have
 booking rights for and/or have an equity interest in more than 160 venues,
 including House of Blues(R) music venues and prestigious locations such as
 The Fillmore in San Francisco, Nikon at Jones Beach in New York and
 London's Wembley Arena. Our websites collectively are the second most
 popular entertainment/event websites in the United States, according to
 Nielsen//NetRatings. In addition, we also produce, promote or host
 theatrical, specialized motor sports and other live entertainment events.
 In 2006, we connected nearly 60 million fans with their favorite performers
 at approximately 26,000 events in 18 countries around the world.
 Headquartered in Los Angeles, California, Live Nation is listed on the New
 York Stock Exchange, trading under the symbol "LYV."
     About Academy Music Group
     Academy Music Group (AMG) is the UK's leading owner and operator of
 nationwide live music and club venues, including South London's award
 winning concert venue, Carling Academy Brixton (NME Best Venue 2007,
 Vodafone Live Music Awards Best Live Music Venue 2006, Time Out Venue Of
 The Year 2004) and Shepherd's Bush Empire (London) (Music Week Awards Best
 Venue 2005) as well as further Carling Academy venues in Glasgow,
 Newcastle, Liverpool, Birmingham, Bristol, Islington (London) and Bar
 Academy venues in Birmingham and Islington (London) as well as The Zodiac,
 Oxford, which will be redeveloped to open as Carling Academy Oxford in
 September 2007. In June 2006, Academy Music Group was the winner of The
 Sunday Times' Profit Track 'One To Watch' award across all industry
 sectors, honoured for its profit growth and success as one of Britain's top
 private companies. In February 2007, AMG announced it had acquired its
 twelfth site for future development, The Hippodrome in Brighton.
     www.academy-music-group.co.uk
     About RJD Partners
     RJD Partners (formerly Royal London Private Equity) raised its first
 fund in April 2003 and invested in Academy Music Group in August 2004. Its
 first fund has made a total of eight investments, including merchant
 services provider Cardsave, debt collection agency Equidebt and holiday
 boat operator European Boating Holidays. It announced the first close of
 its second fund in July 2006 and the buyout of its own business from Royal
 London Mutual Insurance in October 2006.
 
 

SOURCE Live Nation, Inc.