Indianapolis – Emmis Communications Corporation (NASDAQ: EMMS) today announced revenues and cash flow results for its fourth fiscal quarter ending Feb. 28, 2002. Net revenue for the quarter was $116.9 million, Broadcast Cash Flow (BCF) was $30.6 million, and After Tax Cash Flow (ATCF) for the quarter was $7.5 million or $0.16 per basic share. Compared to the same quarter for the prior year, net revenue was down slightly, BCF was up 6.3%, and ATCF was down 49%. The decrease in ATCF is attributable to lower non-cash tax benefits.

“Despite a difficult economic environment, we have focused on our operations while taking steps to address our leverage issues,” Emmis Chairman and CEO Jeff Smulyan said. “The recent stock offering, working in conjunction with our cost-containment initiatives and the sale of our Denver radio properties, takes the pressure off of our balance sheet and allows us to be opportunistic in the months ahead. I remain confident in our ability to deliver stronger operating results across our business units and to take advantage of the improving economy.”

For the full fiscal year, net revenue grew to $533.8 million from $470.6 million, a 13.4% increase over the prior year. BCF grew to $185.7 million from $174.2 million, a 6.6% increase over the previous year. ATCF was $1.39 per share vs. $1.96 per share last fiscal year.

During Emmis’ 4th Quarter, the company announced the sale of its Denver radio stations KALC-FM (“Alice”) to Entercom Communications Corporation (ETM) for $88 million, and KXPK-FM (“The Peak”) to Entravision Communications Corporation (EVC) for $47.5 million. Closing on both transactions is expected in early May, 2002.

After the end of the company’s fiscal year, the company offered 4.6 million shares of Class A common stock, raising $120.2 million in net aggregate proceeds. The proceeds will be used to repay outstanding indebtedness under its credit facility and possibly to redeem or repurchase some of its outstanding 121/2% senior discount notes due 2011.

Pro forma for the sale of the Denver stations and the stock offering, the company’s Feb. 28, 2002 leverage at the operating company level would be in the low 6 times cash flow.

Guidance and Company Information

For its first quarter 2003, on a pro forma basis excluding the results of our Denver radio properties, Emmis expects to report net revenues of approximately $60.2 million for its Radio Division; $54.2 million for its Television Division; and $16.6 million for its Publishing Division. BCF for the Radio Division is expected to be approximately $27.0 million; $18.5 million for its Television Division; and $1.5 million for its Publishing Division. With anticipated corporate expenses of approximately $5.2 million, EBITDA is expected to be approximately $41.8 million for the quarter.

Effective March 1, 2002, the Company adopted SFAS No. 142. The effect will be to eliminate the amortization expense for goodwill and broadcast license assets. As of February 28, 2002, the Company had net unamortized goodwill and broadcast licenses in the amount of $162.4 million and $1,878.3 million, respectively. This change in accounting policy will decrease amortization expense beginning March 1, 2002 by approximately $61 million annually. While this expense will no longer be reflected on future financial statements, it remains deductible for federal income tax purposes.

In addition, the adoption of SFAS No. 142 will require the company to complete an impairment test on the unamortized goodwill and broadcast licenses. Emmis expects to complete this test during the quarter ended May 31, 2002, which will likely result in write-downs. However, the company is unable to estimate the amount of the write-downs at this time.

Emmis will host a conference call regarding this information on Tuesday, April 16, 2002 at 9 a.m. Eastern at 1.888.877.0131, with a replay available until Tuesday, April 23 at 1.888.567.0382, passcode 45128, or listen on-line by logging on to www.emmis.com.

The information in this news release is being widely disseminated in accordance with Regulation FD, recently adopted by the Securities and Exchange Commission.

Certain statements included above which are not statements of historical fact, including financial data for quarters or other periods that are not yet completed and statements identified with the words “continues,” “expect,” “will,” or “would” are intended to be, and are, identified as “forward-looking statements,” as defined in the Securities and Exchange Act of 1934, as amended, and involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of Emmis to be materially different from any future result, performance or achievement expressed or implied by such forward-looking statement. Such factors include, among others, general economic and business conditions; fluctuations in the demand for advertising; increased competition in the broadcasting industry; including the implementation of competing formats in large markets; inability to complete our pending divestitures; changes in the costs of programming; changes in interest rates; inability to grow through suitable acquisitions, including the desired radio; future terrorist attacks or other large scale disasters; and other factors mentioned in documents filed by Emmis with the Securities and Exchange Commission. Emmis does not undertake any obligation to publicly update or revise any forward-looking statements because of new information, future events or otherwise.