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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
 Washington, D.C. 20549
 
 FORM 11-K
  þ
    
    ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
 For the fiscal year ended December 31, 2010
 OR
 o
    
    TRANSITION REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
 For the transition period from _________ to _________
 Commission file number 1-11588
 Saga Communications, Inc. Employees 401(k) Savings and Investment Plan
 (Full title of plan)
 SAGA COMMUNICATIONS, INC.




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PageReport of Independent Registered Public Accounting Firm
    
    
    3FINANCIAL STATEMENTS:Statements of Net Assets Available for Benefits  December 31,
2010 and 2009
    
    
    4Statements of Changes in Net Assets Available for Benefits 
Years ended December 31, 2010 and 2009
    
    
    5Notes to Financial Statements
    
    
    6SUPPLEMENTAL SCHEDULE:Schedule H line 4(i)  Schedule of Assets (Held At End of Year)
    
    
    14Other Information:Signatures
    
    
    15EX-23.1
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/s/ Ernst & Young LLP 
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December 31,2010
    
    
    2009AssetsInvestments, at fair value:Mutual funds
    
    $
    16,406,494
    
    
    $
    14,097,422Guaranteed income fund
    
    
    4,540,523
    
    
    
    3,924,232Saga common stock fund
    
    
    2,647,027
    
    
    
    1,362,70023,594,044
    
    
    
    19,384,354Notes receivable from participants
    
    
    466,231
    
    
    
    264,730LiabilitiesCorrective distributions payable
    
    
    
    
    
    
    13,656Net assets available for benefits
    
    $
    24,060,275
    
    
    $
    19,635,428
 See accompanying notes.
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##### Table of Contents



Years ended December 31,2010
    
    
    2009Additions to net assets attributed toInvestment income:Interest and dividends
    
    $
    138,903
    
    
    $
    124,902Net realized and unrealized appreciation
in fair value of investments:Mutual funds
    
    
    2,119,871
    
    
    
    3,203,669Saga common stock fund
    
    
    1,435,796
    
    
    
    884,241Total investment income
    
    
    3,694,570
    
    
    
    4,212,812Interest income on notes receivable from
participants
    
    
    19,877
    
    
    
    18,476Participant contributions
    
    
    1,749,798
    
    
    
    1,817,670Total additions
    
    
    5,464,245
    
    
    
    6,048,958Deductions from net assets attributed toBenefit payments
    
    
    1,039,398
    
    
    
    1,150,440Corrective distributions
    
    
    
    
    
    
    13,656Total deductions
    
    
    1,039,398
    
    
    
    1,164,096Net increase in net assets
    
    
    4,424,847
    
    
    
    4,884,862Net assets available for benefits:Beginning of year
    
    
    19,635,428
    
    
    
    14,750,566End of year
    
    $
    24,060,275
    
    
    $
    19,635,428
 See accompanying notes.
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1. Description of Plan
  General
  Contributions
     Participant Accounts
  6




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Vesting
  Participant Loans
  Distributions
  Plan Termination
  Administrative Expenses
  2. Significant Accounting Policies
 Basis of Accounting
  Notes Receivable from Participants
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Investment Valuation and Income Recognition
   Use of Estimates
  New Accounting Pronouncements
 Improving Disclosures about
Fair Value Measurements
 Reporting Loans to
Participants by Defined Contribution Pension Plans
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3. Investments
  December 31,2010
    
    
    2009Guaranteed Income Fund
    
    $
    4,540,523
    
    
    $
    3,924,232Saga Common Stock Fund
    
    $
    2,647,027
    
    
    $
    1,362,700Fidelity Contrafund Account
    
    $
    2,080,411
    
    
    $
    1,856,960Vanguard Wellington / Admiral Fund
    
    $
    1,393,130
    
    
    $
    1,264,475International Blend / Artio Fund
    
    
    *
    
    
    $
    993,737Dryden S&P 500 Index Fund
    
    
    *
    
    
    $
    978,283
 
 *
    
    Investment is less than 5% of the Plans net assets as of the period indicated. 4. Fair Value Measurements
  Level 1 
    
    Observable inputs based on quoted prices in active markets for identical assets or
liabilities.Level 2 
    
    Inputs other than quoted prices in active markets for identical assets and liabilities
that are observable either directly or indirectly for substantially the full term of the
asset or liability, quoted prices for identical or similar assets or liabilities in markets
that are not active, or other inputs that are observable or can be corroborated by observable
market data.Level 3 
    
    Unobservable inputs in which there is little or no market data available, which
requires management to develop its own assumptions in pricing the asset or liability.
   Mutual Funds 
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Saga Common Stock Fund 
 Guaranteed Income Fund 
  10




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Assets at Fair Value as of December 31, 2010Level 1
    
    
    Level 2
    
    
    Level 3
    
    
    TotalMutual Funds:U.S. Bonds
    
    $
    
    
    
    $
    1,082,518
    
    
    $
    
    
    
    $
    1,082,518Balanced Fund
    
    
    
    
    
    
    988,143
    
    
    
    1,952,493
    
    
    
    2,940,636Large Cap Stock
    
    
    
    
    
    
    2,136,476
    
    
    
    4,951,212
    
    
    
    7,087,688Mid Cap Stock
    
    
    
    
    
    
    2,052,026
    
    
    
    
    
    
    
    2,052,026Small Cap Stock
    
    
    
    
    
    
    1,041,233
    
    
    
    80,310
    
    
    
    1,121,543International Stock
    
    
    
    
    
    
    1,221,327
    
    
    
    900,756
    
    
    
    2,122,083Guaranteed Income Fund
    
    
    
    
    
    
    
    
    
    
    4,540,523
    
    
    
    4,540,523Saga Common Stock Fund
    
    
    2,647,027
    
    
    
    
    
    
    
    
    
    
    
    2,647,027$
    2,647,027
    
    
    $
    8,521,723
    
    
    $
    12,425,294
    
    
    $
    23,594,044
 Assets at Fair Value as of December 31, 2009Level 1
    
    
    Level 2
    
    
    Level 3
    
    
    TotalMutual Funds:U.S. Bonds
    
    $
    
    
    
    $
    1,015,402
    
    
    $
    
    
    
    $
    1,015,402Balanced Fund
    
    
    
    
    
    
    964,337
    
    
    
    1,655,621
    
    
    
    2,619,958Large Cap Stock
    
    
    
    
    
    
    1,810,009
    
    
    
    4,420,086
    
    
    
    6,230,095Mid Cap Stock
    
    
    
    
    
    
    1,542,348
    
    
    
    
    
    
    
    1,542,348Small Cap Stock
    
    
    
    
    
    
    836,655
    
    
    
    
    
    
    
    836,655International Stock
    
    
    
    
    
    
    1,053,509
    
    
    
    799,455
    
    
    
    1,852,964Guaranteed Income Fund
    
    
    
    
    
    
    
    
    
    
    3,924,232
    
    
    
    3,924,232Saga Common Stock Fund
    
    
    1,362,700
    
    
    
    
    
    
    
    
    
    
    
    1,362,700$
    1,362,700
    
    
    $
    7,222,260
    
    
    $
    10,799,394
    
    
    $
    19,384,354
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Level 3  Gains and Losses
  GuaranteedMutual Funds
    
    
    Income FundBalance, January 1, 2010
    
    $
    6,875,162
    
    
    $
    3,924,232Interest credited
    
    
    
    
    
    
    138,903Realized gains
    
    
    24,315
    
    
    
    Unrealized gains
    
    
    974,483
    
    
    
    Purchases, sales, issuances and settlements, net
    
    
    (56,457
    )
    
    
    477,388Transfers into Level 3*
    
    
    67,268
    
    
    
    Balance, December 31, 2010
    
    $
    7,884,771
    
    
    $
    4,540,523
 
 *
    
    Assets were transferred into Level 3 as the result of a change in a Level 2 fund.
Transfers are recognized as of the beginning of the reporting period. Guaranteed Income Fund  Investment Contract with Insurance Company
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5. Income Tax Status
 Revenue Procedure 2008-6 and Announcement 2005-16
  6. Risks and Uncertainties
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Identity
    
    Description of Investment Includingof Issue, Borrower,
    
    Maturity Date, Rate of Interest,
    
    CurrentLessor or Similar Party
    
    Collateral, Par or Maturity Value
    
    Value*Prudential Retirement Insurance Company
    
    Guaranteed Income Fund
    
    $
    4,540,523*Prudential Retirement Insurance Company
    
    Fidelity Contrafund Account
    
    
    2,080,411*Prudential Retirement Insurance Company
    
    Vanguard Wellington / Admiral Fund
    
    
    1,393,130*Prudential Retirement Insurance Company
    
    International Blend / Artio Fund
    
    
    1,136,341*Prudential Retirement Insurance Company
    
    Dryden S&P 500 Index Fund
    
    
    1,083,451*Prudential Retirement Insurance Company
    
    T Rowe Price Growth Stock Fund
    
    
    1,036,537*Prudential Retirement Insurance Company
    
    Mid Cap Growth / Artisan Partners Fund
    
    
    821,512*Prudential Retirement Insurance Company
    
    American Century Ultra Account
    
    
    765,188*Prudential Retirement Insurance Company
    
    Oppenheimer Global Class A
    
    
    764,538*Prudential Retirement Insurance Company
    
    Mid Cap Growth / TimesSquare Fund
    
    
    749,327*Prudential Retirement Insurance Company
    
    Balanced I / Wellington Management Fund
    
    
    673,703*Prudential Retirement Insurance Company
    
    Investment Grade Coporate Bond / PIM Fund
    
    
    663,616*Prudential Retirement Insurance Company
    
    Fidelity Growth and Income Account
    
    
    628,236*Prudential Retirement Insurance Company
    
    Large Cap Value / LSV Asset Management Fund
    
    
    626,321*Prudential Retirement Insurance Company
    
    Oakmark Equity and Income Class I
    
    
    559,363*Prudential Retirement Insurance Company
    
    Small Cap Value / Kennedy Capital Fund
    
    
    545,100*Prudential Retirement Insurance Company
    
    Small Cap Blend / WHV Fund
    
    
    496,133*Prudential Retirement Insurance Company
    
    Mid Cap Value / Integrity Fund
    
    
    481,187*Prudential Retirement Insurance Company
    
    Janus Fund
    
    
    440,840*Prudential Retirement Insurance Company
    
    High Yield Bond / Caywood-Scholl Fund
    
    
    391,339*Prudential Retirement Insurance Company
    
    Large Cap Value / Barrow Hanley Fund
    
    
    354,045*Prudential Retirement Insurance Company
    
    AllianceBern International Value Fund Class K
    
    
    136,218*Prudential Retirement Insurance Company
    
    Lifetime Aggressive Growth Fund
    
    
    120,618*Prudential Retirement Insurance Company
    
    Lifetime Growth Fund
    
    
    91,814*Prudential Retirement Insurance Company
    
    International Growth / Artisan Partners
    
    
    84,986*Prudential Retirement Insurance Company
    
    Invesco Small Cap Growth Strategy
    
    
    80,310*Prudential Retirement Insurance Company
    
    Large Cap Blend / Victory Fund
    
    
    72,659*Prudential Retirement Insurance Company
    
    Lifetime Balanced Fund
    
    
    61,799*Prudential Retirement Insurance Company
    
    Core Bond Enhanced Index / PIM Fund
    
    
    27,563*Prudential Retirement Insurance Company
    
    Lifetime Conservative Growth Fund
    
    
    23,711*Prudential Retirement Insurance Company
    
    Lifetime Income and Equity Fund
    
    
    16,498*Saga Communications, Inc.
    
    Saga Common Stock Fund
    
    
    2,647,027*Participant loans receivable
    
    Interest rates 4.25% to 9.25%
    
    
    466,231Total investments
    
    
    
    $
    24,060,275
 
 *
    
    Party-in-interest 14




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SAGA COMMUNICATIONS, INC.
EMPLOYEES 401(K) SAVINGS AND 
INVESTMENT PLANDate:  June 29, 2011
    /s/ Marcia K. LobaitoMarcia K. LobaitoPlan AdministratorDate:  June 29, 2011
    /s/ Catherine BobinskiCatherine BobinskiVice President, Corporate Controller and
Chief Accounting Officer 15




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EXHIBIT INDEX
  23.1
    
    Consent of Ernst & Young LLP
 16