CTN Media Group Announces Fourth Quarter and Year End Results; Company to Focus on College Television Network as Its Flagship Property

- CTN Media Group's Fiscal 2000 Revenue Increases 118%.

- College Television Network, CTN's Flagship Property Posts Revenue

Increase of 65% Versus 1999.



Apr 02, 2001, 01:00 ET from CTN Media Group, Inc.

    ATLANTA, April 2 /PRNewswire/ -- CTN Media Group, Inc. (CTN)
 (Nasdaq:   UCTN) announced today significant revenue increases for its fourth
 fiscal quarter and the year ended December 31, 2000.
     The Company's overall revenue, incorporating the results of College
 Television Network, Link Magazine, iD8 Advertising, Wetair.com and Market
 Place Media (MPM) totaled $68,897,758 for fiscal 2000 as compared to total
 revenue of $31,592,501 for fiscal 1999, an increase of 118%.  Revenues
 attributable to College Television Network, the Company's core property
 reaching the young adult consumer, increased 65% in fiscal 2000 and increased
 49% for the fourth quarter as compared to the corresponding period the prior
 year.  Revenue attributable to MPM, which was acquired by CTN in August 1999,
 was $52,088,209 in fiscal 2000.  The Company, on a consolidated basis, was not
 EBITDA positive, as expected, in the fourth quarter, due in large part to the
 unexpected write-off of a large receivable owed to MPM.
     College Television Network revenue increased 65% from the prior fiscal
 year, primarily due to rate increases, an expanding client roster and
 increased sellout percentages.  Some of the new Network advertisers in fiscal
 2000 included: Bristol Meyers Squibb (Clairol), Best Buy Company, Inc.,
 Hershey Foods Corporation, Mars, Inc., Nike, Philips Electronics and
 Volkswagen.  The Company also increased distribution to 1,876 college and
 university locations installed or under contract as of December 31, 2000.  The
 Network has a viewership of over 1.5 million adult viewers every day.  Nielsen
 Media Research measures the audience to provide verification to advertisers.
     Due to the rapid pace of installations in the last two years, the Network
 has reached critical mass in its viewership (although there is still room for
 growth) and in 2001, the Company is poised to enhance revenue for the Network.
 As the viewership on the Network is substantial, the Company is slowing the
 acquisition of new installations and focusing its resources on revenue growth.
 The Company has also substantially increased its sales force by adding five
 experienced salespeople.  Jason Elkin, Chairman and Chief Executive Officer of
 CTN Media Group, stated, "We have reached critical mass by capturing a
 substantial portion of the young adult market through our 1.5 million daily
 viewers and we are now turning our attention to capturing the advertisers who
 wish to focus on this highly coveted, elusive demographic."
     Excluding the adjustments related to the Company's redeemable preferred
 stock, the Company reported a loss before an extraordinary item of
 $22,089,700 or $1.48 per share (basic) as compared to a loss of $17,680,034 or
 $1.23 per share (basic) in 1999.  The Company reported a net income available
 to common stockholders of $6,723,031 or $0.45 per share (basic) for the year
 ended December 31, 2000 and a loss of $0.87 per share on a diluted basis.
 Included in this amount are adjustments to stockholders' equity of
 approximately $29,180,768 related to the Company's redeemable preferred stock.
 The majority of this non-cash adjustment is a result of adjustments that were
 required in order to reflect the full redemption value of the redeemable
 preferred stock as of December 31, 2000, due to a drop in the stock price from
 December 31, 1999.
     Revenue for the quarter ended December 31, 2000, was $20,831,215 as
 compared to $17,721,267 for the comparable period last year.  The loss before
 an extraordinary item for the current quarter was $5,696,621 as compared to a
 loss of $8,336,023 for the comparable period the prior year.  Accretion and
 amortization in the amount of $8,855,010 related to the issuance of redeemable
 preferred stock resulted in net income available to common stockholders of
 $2,790,352 or $0.19 per share (basic) for the fourth quarter.
     Mr. Elkin added, "During 2001, the Company will focus substantially all of
 its efforts on College Television Network.  All properties owned by the
 Company must aid the growth of the Network.  In addition, the Company is
 considering the benefits of selling MPM and using the proceeds to repay bank
 debt."  According to Mr. Elkin, "Our goal is for every employee in the Company
 to focus on enhancing the Network.  We plan to use our Internet property,
 CTNMedia.com, as a support property to the Network and as a tool to reach
 young adults on an interactive basis."
 
     CTN Media Group owns and operates several targeted media properties
 focusing on young adult audiences.  College Television Network, the company's
 broadcast television network, is a live, satellite-delivered network seen
 exclusively on college campuses across the U.S.  The Network programs an
 original mix of music, news and information programming to more than
 1,900 college and university locations now under contract to receive CTN's
 24-hour a day broadcasts.  The Network currently reaches an estimated audience
 of approximately 1,500,000 young adult viewers each day.  College Television
 Network today is the nation's fastest growing young adult television network
 delivering one of the industry's largest 18 to 24 year old daily audiences.
 
     Market Place Media, a subsidiary of CTN, is a leading specialty media
 placement and promotion specialist focused on the college, military, and
 minority segments.  CTN's Link Magazine, an information and lifestyle magazine
 published exclusively for college students, is the most widely read college
 magazine in the country according to Student Monitor.  CTN also owns iD8, an
 Atlanta-based advertising agency which supports the creative needs of CTN and
 its subsidiaries, while maintaining an extensive client base.  iD8 is one of
 the fastest growing creative advertising agencies in the Southeastern United
 States.  CTN also operates a portfolio of online properties targeted at the
 young adult marketplace.  All of the non-MPM Internet properties are being
 aggregated into CTNMedia.com, including Wetair.com, its recently launched
 cutting edge entertainment site, Collegetelevision.com and Linkmag.com.
 
 
                           Three Months Ended              Year Ended
                              December 31                  December 31
                              (Unaudited)
                          2000           1999          2000          1999
 
      Sales           $20,831,215    $17,721,267   $68,897,758    $31,592,501
      Loss Before
       Extraordinary
       Item           $(5,696,621)   $(8,336,023) $(22,089,700)  $(17,680,034)
      Dividends and
       accretion on
       mandatorily
       redeemable
       preferred stock $8,855,010   $(30,469,858)  $30,582,768   $(36,918,801)
      Amortization of
       beneficial
       conversion
       feature              - 0 -    $(7,828,463)  $(1,402,000)  $(15,180,454)
      Extraordinary Loss
       on Debt
       Modification     $(368,037)            --     $(368,037)            --
      Net income (loss)
       available to
       common
       stockholders    $2,790,352   $(46,634,344)   $6,723,031   $(69,779,289)
      Net income (loss)
       per common
       share - basic        $0.19         $(3.23)        $0.45         $(4.86)
      Net income (loss)
       per common
       share - diluted     $(0.23)        $(3.23)       $(0.87)        $(4.86)
      Weighted average
       number of common
       shares outstanding
       - basic         15,033,429     14,446,979    14,895,571     14,368,283
      Weighted average
       number of common
       shares outstanding
       - diluted       25,811,621     14,446,979    25,818,200     14,368,283
 
 
     This press release contains forward-looking statements regarding the
 Company's business strategy and future plans of operation, including
 statements relating to the Company's ability to increase revenue by focusing
 more resources on enhancing the Network, its ability to substantially increase
 its sales force and its ability to sell MPM and repay indebtedness.
 Forward-looking statements involve known and unknown risks and uncertainties
 and actual results might differ materially from the forward-looking
 statements.  These risks and other important factors, including those
 mentioned in various filings with the Securities and Exchange Commission made
 periodically by the Company (available to the public at http://www.sec.gov),
 may cause the actual results and performance to differ materially from the
 future results expressed or implied by such forward-looking statements,
 including, but not limited to, failure to meet revenue goals; inability to
 satisfy future financing needs, if any; decrease in the Company's stock price;
 and the failure of the Company to retain and keep high level management,
 including salespeople.  The forward-looking statements contained in this press
 release speak only as of the date hereof and the Company disclaims any
 obligation to provide public updates, revisions and or amendments to any
 forward-looking statements made herein to reflect changes in the Company's
 expectations or future events.
 
     For further information, please call Pat Doran, Chief Financial Officer,
 or Neil Dickson, Treasurer and General Counsel, at 404-256-4444.
 
 

SOURCE CTN Media Group, Inc.
    ATLANTA, April 2 /PRNewswire/ -- CTN Media Group, Inc. (CTN)
 (Nasdaq:   UCTN) announced today significant revenue increases for its fourth
 fiscal quarter and the year ended December 31, 2000.
     The Company's overall revenue, incorporating the results of College
 Television Network, Link Magazine, iD8 Advertising, Wetair.com and Market
 Place Media (MPM) totaled $68,897,758 for fiscal 2000 as compared to total
 revenue of $31,592,501 for fiscal 1999, an increase of 118%.  Revenues
 attributable to College Television Network, the Company's core property
 reaching the young adult consumer, increased 65% in fiscal 2000 and increased
 49% for the fourth quarter as compared to the corresponding period the prior
 year.  Revenue attributable to MPM, which was acquired by CTN in August 1999,
 was $52,088,209 in fiscal 2000.  The Company, on a consolidated basis, was not
 EBITDA positive, as expected, in the fourth quarter, due in large part to the
 unexpected write-off of a large receivable owed to MPM.
     College Television Network revenue increased 65% from the prior fiscal
 year, primarily due to rate increases, an expanding client roster and
 increased sellout percentages.  Some of the new Network advertisers in fiscal
 2000 included: Bristol Meyers Squibb (Clairol), Best Buy Company, Inc.,
 Hershey Foods Corporation, Mars, Inc., Nike, Philips Electronics and
 Volkswagen.  The Company also increased distribution to 1,876 college and
 university locations installed or under contract as of December 31, 2000.  The
 Network has a viewership of over 1.5 million adult viewers every day.  Nielsen
 Media Research measures the audience to provide verification to advertisers.
     Due to the rapid pace of installations in the last two years, the Network
 has reached critical mass in its viewership (although there is still room for
 growth) and in 2001, the Company is poised to enhance revenue for the Network.
 As the viewership on the Network is substantial, the Company is slowing the
 acquisition of new installations and focusing its resources on revenue growth.
 The Company has also substantially increased its sales force by adding five
 experienced salespeople.  Jason Elkin, Chairman and Chief Executive Officer of
 CTN Media Group, stated, "We have reached critical mass by capturing a
 substantial portion of the young adult market through our 1.5 million daily
 viewers and we are now turning our attention to capturing the advertisers who
 wish to focus on this highly coveted, elusive demographic."
     Excluding the adjustments related to the Company's redeemable preferred
 stock, the Company reported a loss before an extraordinary item of
 $22,089,700 or $1.48 per share (basic) as compared to a loss of $17,680,034 or
 $1.23 per share (basic) in 1999.  The Company reported a net income available
 to common stockholders of $6,723,031 or $0.45 per share (basic) for the year
 ended December 31, 2000 and a loss of $0.87 per share on a diluted basis.
 Included in this amount are adjustments to stockholders' equity of
 approximately $29,180,768 related to the Company's redeemable preferred stock.
 The majority of this non-cash adjustment is a result of adjustments that were
 required in order to reflect the full redemption value of the redeemable
 preferred stock as of December 31, 2000, due to a drop in the stock price from
 December 31, 1999.
     Revenue for the quarter ended December 31, 2000, was $20,831,215 as
 compared to $17,721,267 for the comparable period last year.  The loss before
 an extraordinary item for the current quarter was $5,696,621 as compared to a
 loss of $8,336,023 for the comparable period the prior year.  Accretion and
 amortization in the amount of $8,855,010 related to the issuance of redeemable
 preferred stock resulted in net income available to common stockholders of
 $2,790,352 or $0.19 per share (basic) for the fourth quarter.
     Mr. Elkin added, "During 2001, the Company will focus substantially all of
 its efforts on College Television Network.  All properties owned by the
 Company must aid the growth of the Network.  In addition, the Company is
 considering the benefits of selling MPM and using the proceeds to repay bank
 debt."  According to Mr. Elkin, "Our goal is for every employee in the Company
 to focus on enhancing the Network.  We plan to use our Internet property,
 CTNMedia.com, as a support property to the Network and as a tool to reach
 young adults on an interactive basis."
 
     CTN Media Group owns and operates several targeted media properties
 focusing on young adult audiences.  College Television Network, the company's
 broadcast television network, is a live, satellite-delivered network seen
 exclusively on college campuses across the U.S.  The Network programs an
 original mix of music, news and information programming to more than
 1,900 college and university locations now under contract to receive CTN's
 24-hour a day broadcasts.  The Network currently reaches an estimated audience
 of approximately 1,500,000 young adult viewers each day.  College Television
 Network today is the nation's fastest growing young adult television network
 delivering one of the industry's largest 18 to 24 year old daily audiences.
 
     Market Place Media, a subsidiary of CTN, is a leading specialty media
 placement and promotion specialist focused on the college, military, and
 minority segments.  CTN's Link Magazine, an information and lifestyle magazine
 published exclusively for college students, is the most widely read college
 magazine in the country according to Student Monitor.  CTN also owns iD8, an
 Atlanta-based advertising agency which supports the creative needs of CTN and
 its subsidiaries, while maintaining an extensive client base.  iD8 is one of
 the fastest growing creative advertising agencies in the Southeastern United
 States.  CTN also operates a portfolio of online properties targeted at the
 young adult marketplace.  All of the non-MPM Internet properties are being
 aggregated into CTNMedia.com, including Wetair.com, its recently launched
 cutting edge entertainment site, Collegetelevision.com and Linkmag.com.
 
 
                           Three Months Ended              Year Ended
                              December 31                  December 31
                              (Unaudited)
                          2000           1999          2000          1999
 
      Sales           $20,831,215    $17,721,267   $68,897,758    $31,592,501
      Loss Before
       Extraordinary
       Item           $(5,696,621)   $(8,336,023) $(22,089,700)  $(17,680,034)
      Dividends and
       accretion on
       mandatorily
       redeemable
       preferred stock $8,855,010   $(30,469,858)  $30,582,768   $(36,918,801)
      Amortization of
       beneficial
       conversion
       feature              - 0 -    $(7,828,463)  $(1,402,000)  $(15,180,454)
      Extraordinary Loss
       on Debt
       Modification     $(368,037)            --     $(368,037)            --
      Net income (loss)
       available to
       common
       stockholders    $2,790,352   $(46,634,344)   $6,723,031   $(69,779,289)
      Net income (loss)
       per common
       share - basic        $0.19         $(3.23)        $0.45         $(4.86)
      Net income (loss)
       per common
       share - diluted     $(0.23)        $(3.23)       $(0.87)        $(4.86)
      Weighted average
       number of common
       shares outstanding
       - basic         15,033,429     14,446,979    14,895,571     14,368,283
      Weighted average
       number of common
       shares outstanding
       - diluted       25,811,621     14,446,979    25,818,200     14,368,283
 
 
     This press release contains forward-looking statements regarding the
 Company's business strategy and future plans of operation, including
 statements relating to the Company's ability to increase revenue by focusing
 more resources on enhancing the Network, its ability to substantially increase
 its sales force and its ability to sell MPM and repay indebtedness.
 Forward-looking statements involve known and unknown risks and uncertainties
 and actual results might differ materially from the forward-looking
 statements.  These risks and other important factors, including those
 mentioned in various filings with the Securities and Exchange Commission made
 periodically by the Company (available to the public at http://www.sec.gov),
 may cause the actual results and performance to differ materially from the
 future results expressed or implied by such forward-looking statements,
 including, but not limited to, failure to meet revenue goals; inability to
 satisfy future financing needs, if any; decrease in the Company's stock price;
 and the failure of the Company to retain and keep high level management,
 including salespeople.  The forward-looking statements contained in this press
 release speak only as of the date hereof and the Company disclaims any
 obligation to provide public updates, revisions and or amendments to any
 forward-looking statements made herein to reflect changes in the Company's
 expectations or future events.
 
     For further information, please call Pat Doran, Chief Financial Officer,
 or Neil Dickson, Treasurer and General Counsel, at 404-256-4444.
 
 SOURCE  CTN Media Group, Inc.