##### 



PURCHASE AND SALE AGREEMENT
 BY AND BETWEEN
 CHERRY CREEK RADIO LLC
BUYER
 AND
 FISHER COMMUNICATIONS INC.
PARENT
 AND
 FISHER RADIO REGIONAL GROUP INC.
SELLER
 May 30, 2006




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##### 



Page No.ARTICLE 1 DEFINITIONS
    
    
    11.1 Definitions
    
    
    11.2 Singular/Plural; Gender
    
    
    12ARTICLE 2 PURCHASE AND SALE AND ASSUMPTION OF LIABILITIES
    
    
    122.1 Purchase and Sale
    
    
    122.2 Payments and Assumption of Liabilities
    
    
    132.3 Closing Date; Bifurcated Closings
    
    
    132.4 Closing Date Deliveries
    
    
    142.5 Proration Adjustments
    
    
    152.6 Escrow Reserve
    
    
    182.7 Non-Assumption of Liabilities
    
    
    182.8 Taxes
    
    
    192.9 Risk of Loss
    
    
    192.10 Allocation of Purchase Price
    
    
    192.11 Accounts Receivable
    
    
    202.12 Section 1031 Exchanges
    
    
    21ARTICLE 3 GOVERNMENTAL APPROVALS AND CONTROL OF STATIONS
    
    
    223.1 FCC Consent
    
    
    223.2 Application For FCC Consent
    
    
    223.3 Notice of Application
    
    
    223.4 Delay in Approval of Application
    
    
    223.5 Other Governmental Consents
    
    
    233.6 Great Falls Waiver
    
    
    23ARTICLE 4 REPRESENTATIONS AND WARRANTIES OF THE FISHER PARTIES
    
    
    234.1 Organization
    
    
    234.2 Authorization; Enforceability
    
    
    234.3 Absence of Conflicting Agreements
    
    
    244.4 Purchased Assets
    
    
    244.5 Title to Purchased Assets; Liens and Encumbrances
    
    
    254.6 Condition of Equipment
    
    
    254.7 Contracts
    
    
    254.8 Intangible Property
    
    
    264.9 Real Property
    
    
    274.10 Leases
    
    
    294.11 Financial Statements and Interim Financial Statements
    
    
    294.12 No Changes
    
    
    304.13 Undisclosed Liabilities
    
    
    314.14 No Litigation; Labor Disputes; Compliance with Laws
    
    
    314.15 Taxes
    
    
    324.16 Governmental Authorizations
    
    
    324.17 Pending Applications
    
    
    334.18 Compliance with FCC Requirements
    
    
    334.19 Qualification
    
    
    334.20 Insurance
    
    
    33
 i




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Page No.4.21 Brokers
    
    
    334.22 Powers of Attorney
    
    
    344.23 Employees
    
    
    344.24 Employee Benefit Plans
    
    
    344.25 Environmental Compliance
    
    
    354.26 Representation as of the Closing Date
    
    
    364.27 Records
    
    
    364.28 Insolvency
    
    
    364.29 Related Party Transactions
    
    
    374.30 Disclosure
    
    
    37ARTICLE 5 REPRESENTATIONS AND WARRANTIES OF BUYER
    
    
    375.1 Organization
    
    
    375.2 Authorization; Enforceability
    
    
    375.3 Absence of Conflicting Agreements
    
    
    375.4 Brokers
    
    
    385.5 Buyers Qualifications
    
    
    385.6 Insolvency
    
    
    385.7 Representation as of the Closing Date
    
    
    385.8 Disclosure
    
    
    38ARTICLE 6 COVENANTS
    
    
    386.1 Access
    
    
    386.2 Title Insurance; Surveys and Lien Search
    
    
    396.3 Notice of Adverse Changes
    
    
    416.4 Operations Pending Closing
    
    
    426.5 Financial and FCC Reports
    
    
    456.6 Consents
    
    
    456.7 Cooperation
    
    
    456.8 Tax Returns and Payments
    
    
    456.9 Updating of Information; Cure
    
    
    466.10 Conveyance Free and Clear of Liens
    
    
    466.11 Financing Leases
    
    
    466.12 Access to and Conversion of Data
    
    
    466.13 Cooperation for Financing
    
    
    466.14 Public Announcement
    
    
    466.15 Restrictions on Buyer
    
    
    476.16 Correction of coordinates
    
    
    47ARTICLE 7 CONDITIONS PRECEDENT TO THE OBLIGATIONS OF BUYER
    
    
    477.1 Compliance with Agreement
    
    
    477.2 Proceedings and Instruments Satisfactory
    
    
    477.3 Representations and Warranties
    
    
    477.4 No Material Adverse Change
    
    
    487.5 Event of Loss
    
    
    487.6 Deliveries at Closing
    
    
    487.7 Other Documents
    
    
    487.8 Possession; Instruments of Conveyance and Transfer
    
    
    487.9 Approvals and Consent
    
    
    48
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Page No.7.10 Title Policies; Survey; Lien Search Report and Environmental Report
    
    
    487.11 Absence of Investigations and Proceedings
    
    
    487.12 Governmental Consents
    
    
    497.13 Licenses
    
    
    497.14 Absence of Liens; Payoff Letters
    
    
    497.15 Non-Foreign Affidavit
    
    
    497.16 Governmental Consents
    
    
    49ARTICLE 8 CONDITIONS PRECEDENT TO THE OBLIGATIONS OF SELLER
    
    
    508.1 Compliance with Agreement
    
    
    508.2 Proceedings and Instruments Satisfactory
    
    
    508.3 Representations and Warranties
    
    
    508.4 Deliveries at Closing
    
    
    508.5 Other Documents
    
    
    508.6 Absence of Investigations and Proceedings
    
    
    508.7 Governmental Consents
    
    
    50ARTICLE 9 INDEMNIFICATION
    
    
    519.1 Indemnification of Buyer
    
    
    519.2 Indemnification of Fisher Parties
    
    
    529.3 Method of Asserting Claims
    
    
    539.4 Payment of Claims
    
    
    549.5 Nature and Survival of Representations
    
    
    549.6 Limitation on Aggregate Claims
    
    
    54ARTICLE 10 FURTHER AGREEMENTS
    
    
    5510.1 Event of Loss
    
    
    5510.2 Station Employees
    
    
    5610.3 WARN Act
    
    
    5710.4 Bulk Transfer
    
    
    57ARTICLE 11 TERMINATION; MISCELLANEOUS
    
    
    5711.1 Termination
    
    
    5711.2 Rights on Termination; Waiver
    
    
    5811.3 Further Assurances
    
    
    5911.4 Schedules
    
    
    5911.5 Survival
    
    
    5911.6 Entire Agreement; Amendment; and Waivers
    
    
    5911.7 Expenses
    
    
    6011.8 Benefit; Assignment
    
    
    6011.9 Confidentiality; Public Announcements
    
    
    6011.10 Exclusivity
    
    
    6111.11 Notices
    
    
    6111.12 Counterparts; Headings
    
    
    6211.13 Income Tax Position
    
    
    6211.14 Severability
    
    
    6211.15 Electronic Notices, Signatures or Records
    
    
    6211.16 Legal Actions
    
    
    62
 iii




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##### 



LIST OF EXHIBITS
 Exhibit A
    
    
    
    Assumption AgreementExhibit B
    
    
    
    Bill of Sale and AssignmentExhibit C
    
    
    
    Buyers Closing CertificateExhibit D
    
    
    
    Escrow AgreementExhibit E
    
    
    
    Assignment and Assumption of ContractsExhibit F
    
    
    
    Assignment and Assumption of LeasesExhibit G
    
    
    
    Assignment of Licenses, Permits, and AuthorizationsExhibit H
    
    
    
    Fisher Parties Closing CertificateExhibit I-1
    
    
    
    Fisher Parties Opinion of CounselExhibit I-2
    
    
    
    Opinion of FCC CounselExhibit J-1
    
    
    
    Intangible Property AssignmentExhibit J-2
    
    
    
    Assignment and Assumption of Registered TrademarksExhibit K
    
    
    
    Intentionally OmittedExhibit L
    
    
    
    Form of Estoppel CertificateExhibit M
    
    
    
    Form of Non-Compete/Non-Solicit AgreementExhibit N-1
    
    
    
    Form of Warranty Deed for MontanaExhibit N-2
    
    
    
    Form of Warranty Deed for Washington
 iv




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LIST OF SCHEDULES
 Schedule 1.0
    
    
    
    List of StationsSchedule 1.1
    
    
    
    Assumed LiabilitiesSchedule 1.2
    
    
    
    ContractsSchedule 1.3
    
    
    
    Intangible PropertySchedule 1.4
    
    
    
    EquipmentSchedule 1.5
    
    
    
    LeasesSchedule 1.6
    
    
    
    LicensesSchedule 1.7
    
    
    
    Motor VehiclesSchedule 1.8
    
    
    
    Real PropertySchedule 1.9
    
    
    
    Retained AssetsSchedule 2.1
    
    
    
    Permitted LiensSchedule 2.10
    
    
    
    Allocation of Purchase PriceSchedule 4.3
    
    
    
    Conflicting AgreementsSchedule 4.4
    
    
    
    Matters Relating to Purchase AssetsSchedule 4.5
    
    
    
    LiensSchedule 4.6
    
    
    
    Condition of EquipmentSchedule 4.7
    
    
    
    Matters Relating to ContractsSchedule 4.8
    
    
    
    Matters Relating to Intangible PropertySchedule 4.9
    
    
    
    Matters Relating to Real PropertySchedule 4.10
    
    
    
    Matters Relating to LeasesSchedule 4.11(a)
    
    
    
    Financial StatementsSchedule 4.11(b)
    
    
    
    Interim Financial StatementsSchedule 4.12
    
    
    
    No ChangesSchedule 4.13
    
    
    
    Undisclosed LiabilitiesSchedule 4.14
    
    
    
    Litigation, Labor Matters and Compliance with LawsSchedule 4.15
    
    
    
    TaxesSchedule 4.16
    
    
    
    Governmental AuthorizationsSchedule 4.17
    
    
    
    Pending ApplicationsSchedule 4.18
    
    
    
    Compliance with FCC RequirementsSchedule 4.20
    
    
    
    InsuranceSchedule 4.22
    
    
    
    Powers of AttorneySchedule 4.23
    
    
    
    EmployeesSchedule 4.24
    
    
    
    Employee Benefit PlansSchedule 4.25
    
    
    
    Environmental MattersSchedule 4.29
    
    
    
    Related Party TransactionsSchedule 6.10
    
    
    
    Liens Not to be Released
 v




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PURCHASE AND SALE AGREEMENT
  R E C I T A L S:
 WHEREAS, SCHEDULE 1.0
 WHEREAS,
 NOW, THEREFORE,
 ARTICLE 1
 DEFINITIONS
 Definitions
 Accountants
 Accounts Receivable
 Adjustment Amount
 Adjustment List
 Affiliate
 Agreement
 1




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Alternative Transaction
 Assignment Application
 Assumed Liabilities provided however
 Assumption Agreement EXHIBIT A
 Benefit Arrangements
 Bifurcated Closing
 Bill of Sale and Assignment EXHIBIT
B
 Business
 Buyer
 Buyer Indemnified Parties
 Buyers Closing Certificate EXHIBIT C
 Buyers Information
 Cash
 Claims
 2




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Closing
 Closing Date
 COBRA
 Code
 Collection Period
 Communications Act
 Communications Laws
 Consolidated Tradeout Credit
 Consultant
 Contract Assignment EXHIBIT E
 Contracts SCHEDULE 1.2 SCHEDULE 1.2 SCHEDULE 1.2
 Control Controlled Controlling
 Customer Lists
 Environment
 3




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Environmental Laws
 Environmental Permit
 Environmental Work
 Equipment SCHEDULE 1.4
 Equipment Claims
 Equipment Threshold Amount
 ERISA
 Escrow Agent
 Escrow Agreement EXHIBIT D
 Escrow Deposit
 Escrow Reserve
 Estoppel Certificates
 Event of Loss
 FCC
 4




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FCC Consent
 Final Order sua sponte sua sponte
 Financial Statements
 Financing Leases
 Fisher Parties
 Fisher Parties Closing Certificate EXHIBIT H
 Fisher Parties Opinions of Counsel EXHIBITS I-1 I-2
 GAAP
 Governmental Body
 Great Falls Closing
 Great Falls Stations
 Great Falls Waiver
 Incentive Program
 5




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Indemnitee
 Indemnitor
 Individual Tradeout Credit
 Intangible Property SCHEDULE 1.3
 Intangible Property Assignment EXHIBIT
J-1
 Interim Financial Statements
 Knowledge
 Lease Assignment EXHIBIT F
 Leases SCHEDULE 1.5
 License Assignment EXHIBIT G
 Licenses
 6




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SCHEDULE 1.6
 Lien
 Material Adverse Effect
 Material Leases Material Contracts SCHEDULE 1.5 SCHEDULE
1.2
 Miscellaneous Assets
 Motor Vehicle Title Certificates
 Motor Vehicles SCHEDULE 1.7
 Non-Compete/Non-Solicit Agreements EXHIBIT M
 Notice of Defect
 Parent
 Permitted Liens
 7




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SCHEDULE 2.1
 Person
 Phase I Environmental Assessment
 Phase I Time Period
 Phase II Inspection
 Phase II Time Period
 Plan
 Primary Closing
 Primary Stations
 Program Rights
 Purchased Assets
 Purchased Assets Reports
 8




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##### 



Purchase Price provided however
 Real Property SCHEDULE 1.8
 Receivables
 Receivables List
 Recognized Environmental Condition
 Records
 Regulated Substances
 Remedial Action
 Retained Assets
 9




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SCHEDULE 1.9
        10




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SCHEDULE 1.9
 Retained Liabilities
 Schedules
 Seller
 Seller Indemnified Parties
 Seller Market
 Sellers Information
 Station Stations
 Station Employee
 Station Employee Benefit Plans
 Survey Defect
 Tax Taxes
 Threshold Amount
 Title Commitment
 Title Companies
 11




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Title Policies
 Trademark Assignment EXHIBIT J-2
 Tradeout Agreement
 Transferred Employee
 Transferred Obligations SCHEDULE 1.1
 WARN Act
 Warranty Deed EXHIBIT
N-1 Exhibit N-2
 Singular/Plural; Gender
 ARTICLE 2
 PURCHASE AND SALE AND ASSUMPTION OF LIABILITIES
 Purchase and Sale
 12




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Payments and Assumption of Liabilities
 less
  less
  Closing Date; Bifurcated Closings
  13




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Closing Date Deliveries
            14




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EXHIBIT L
             Proration Adjustments
  15




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16




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i.e.
 provided however
  17




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Escrow Reserve
 Non-Assumption of Liabilities
      18




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Taxes
 Risk of Loss
 Allocation of Purchase Price SCHEDULE 2.10 SCHEDULE 2.10
 19




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Accounts Receivable
    20




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Section 1031 Exchanges
 21




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ARTICLE 3
 GOVERNMENTAL APPROVALS AND CONTROL OF STATIONS
 FCC Consent
 Application For FCC Consent
    Notice of Application
 Delay in Approval of Application provided however
 22




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Other Governmental Consents
 Great Falls Waiver
 ARTICLE 4
 REPRESENTATIONS AND WARRANTIES OF THE FISHER PARTIES
  Organization
 Authorization; Enforceability
 23




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##### 



Absence of Conflicting Agreements SCHEDULE 4.3
       Purchased Assets SCHEDULE 4.4
 24




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##### 



Title to Purchased Assets; Liens and Encumbrances SCHEDULE 4.5
 Condition of Equipment SCHEDULE 4.6
   SCHEDULE 1.4
   EXCEPT AS SET FORTH IN THE REPRESENTATIONS AND WARRANTIES CONTAINED IN THIS ARTICLE 4, THE
EQUIPMENT IS BEING SOLD TO BUYER ON AN AS IS BASIS, WITHOUT ANY EXPRESS OR IMPLIED WARRANTIES
(INCLUDING WARRANTIES OF FITNESS FOR A PARTICULAR PURPOSE AND/OR MERCHANTABILITY).
 Contracts SCHEDULE 4.7
  SCHEDULE 1.2
 25




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##### 



SCHEDULE 1.2
 SCHEDULE 1.2 SCHEDULE 1.2
    Intangible Property SCHEDULE 4.8
     SCHEDULE 1.3
  26




---



##### 



Real Property SCHEDULE 4.9
 SCHEDULE 4.9 SCHEDULE 4.9
   SCHEDULE 1.5 SCHEDULE 4.9
   27




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28




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Leases SCHEDULE 4.10
  SCHEDULE 1.5 SCHEDULE 1.5
 SCHEDULE 1.5
   SCHEDULE 1.5
 Financial Statements and Interim Financial Statements
 SCHEDULE 4.11(a)
 29




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##### 



SCHEDULE 4.11(b) subject however
 No Changes SCHEDULE 4.12
          30




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##### 



Undisclosed Liabilities SCHEDULE 4.13;
 No Litigation; Labor Disputes; Compliance with Laws SCHEDULE 4.14
   31




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##### 



Taxes SCHEDULE 4.15
   Governmental Authorizations SCHEDULE 1.6 SCHEDULE 1.6 SCHEDULE
1.6 SCHEDULE 4.16 SCHEDULE 4.16
 32




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##### 



Pending Applications SCHEDULE 4.17
 Compliance with FCC Requirements SCHEDULE 4.18
 Qualification
 Insurance SCHEDULE 4.20
 Brokers
 33




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##### 



Powers of Attorney SCHEDULE 4.22
 Employees SCHEDULE 4.23 SCHEDULE 4.23
 Employee Benefit Plans SCHEDULE 4.24
   34




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##### 



Environmental Compliance SCHEDULE 4.25
     35




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##### 



SCHEDULE
4.25(h)
 SCHEDULE
4.25 SCHEDULE 4.25 SCHEDULE 4.25
 Representation as of the Closing Date
 Records
 Insolvency
 36




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Related Party Transactions SCHEDULE 4.29
 Disclosure
 ARTICLE 5
 REPRESENTATIONS AND WARRANTIES OF BUYER
  Organization
 Authorization; Enforceability
 Absence of Conflicting Agreements
 37




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Brokers
 Buyers Qualifications
 Insolvency
 Representation as of the Closing Date
 Disclosure
 ARTICLE 6
 COVENANTS
  Access provided however
 38




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Title Insurance; Surveys and Lien Search
 SCHEDULE 4.9 SCHEDULE 1.5 provided however SCHEDULE
1.5
 39




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40




---



##### 



Notice of Adverse Changes
   41




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##### 



Operations Pending Closing
       42




---



##### 



provided however provided further provided further
           43




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##### 



44




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##### 



Financial and FCC Reports
 Consents
 Cooperation
 Tax Returns and Payments
    45




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##### 



Updating of Information; Cure
 Conveyance Free and Clear of Liens SCHEDULE 6.10 SCHEDULE 6.10
 Financing Leases
 Access to and Conversion of Data
 Cooperation for Financing
 Public Announcement
 46




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##### 



Restrictions on Buyer
 Correction of coordinates
 ARTICLE 7
 CONDITIONS PRECEDENT TO THE OBLIGATIONS OF BUYER
  Compliance with Agreement
 Proceedings and Instruments Satisfactory
 Representations and Warranties
 47




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##### 



No Material Adverse Change
 Event of Loss
 Deliveries at Closing
 Other Documents
 Possession; Instruments of Conveyance and Transfer
 Approvals and Consent
 Title Policies; Survey; Lien Search Report and Environmental Report
 Absence of Investigations and Proceedings
  48




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##### 



Governmental Consents provided however
 Licenses
 Absence of Liens; Payoff Letters SCHEDULE 6.10
 Non-Foreign Affidavit
 Governmental Consents
  49




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##### 



ARTICLE 8
 CONDITIONS PRECEDENT TO THE OBLIGATIONS OF SELLER
  Compliance with Agreement
 Proceedings and Instruments Satisfactory
 Representations and Warranties
 Deliveries at Closing
 Other Documents
 Absence of Investigations and Proceedings
 Governmental Consents provided however
 50




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##### 



ARTICLE 9
 INDEMNIFICATION
  Indemnification of Buyer
      51




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##### 



SCHEDULE 4.14
       Indemnification of Fisher Parties
       52




---



##### 



Method of Asserting Claims
    53




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##### 



Payment of Claims
 Nature and Survival of Representations
 Limitation on Aggregate Claims
  54




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##### 



ARTICLE 10
 FURTHER AGREEMENTS
 Event of Loss
 55




---



##### 



Station Employees
       56




---



##### 



WARN Act
 Bulk Transfer
 ARTICLE 11
 TERMINATION; MISCELLANEOUS
 Termination
       57




---



##### 



Rights on Termination; Waiver
    58




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##### 



Further Assurances
 Schedules
 Survival
 Entire Agreement; Amendment; and Waivers
 59




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##### 



Expenses
 Benefit; Assignment provided however
 Confidentiality; Public Announcements
   60




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##### 



Exclusivity
 Notices
 If to Buyer:
    
    Cherry Creek Radio LLC501 South Cherry Street, Suite 480Denver, CO 80246Attention:       Joe SchwartzTelecopy No.: (303) 468-6555With a copy to:
    
    Lord, Bissell & Brook LLP1900 The Proscenium1170 Peachtree St., N.E.Atlanta, Georgia 30309Attention:       Neil H. Dickson, Esq.Telecopy No.: (404) 872-5547If to the
Fisher Parties:
    
    Fisher Communications Inc.
 61




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##### 



100 4th Avenue North, Suite 440Seattle, WA 98109Attention:       Colleen B. BrownTelecopy No.: (206) 404-6783With a copy to:
    
    Graham & Dunn1420 Fifth Avenue, 33rd FloorSeattle, WA 98101Attention:       Jack G. Strother, Esq.Telecopy No.: (206) 340-9599
 Counterparts; Headings
 Income Tax Position
 Severability
 Electronic Notices, Signatures or Records
 Legal Actions
   [Signatures on following page]
 62




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##### 



BUYERCHERRY CREEK RADIO LLCBy:
    
    /s/ Joseph D. SchwartzName:
    
    Joseph D. SchwartzIts:
    
    President / CEOSELLERFISHER RADIO REGIONAL GROUP INC.By:
    
    /s/ Robert C. BatemanName:
    
    Robert C. BatemanIts:
    
    Vice President, FinancePARENTFISHER COMMUNICATIONS, INC.By:
    
    /s/ Robert C. BatemanName:
    
    Robert C. BatemanIts:
    
    Senior VP & CFO