Document:

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                                                                    EXHIBIT 10.1

                               SEVERANCE AGREEMENT

                  THIS SEVERANCE AGREEMENT dated as of January 1, 2002 (the
"Agreement") is made between HEALTHCARE RECOVERIES, INC. (including all of its
subsidiaries, the "Company") and _________________ (the "Employee").

                                   WITNESSETH:

                  WHEREAS, the Employee is a key employee of the Company; and

                  WHEREAS, the Company desires to provide the Employee with
severance benefits under the conditions set forth in this Agreement;

                  NOW, THEREFORE, the Company and the Employee agree as follows:

                  1.       Term of Agreement. The Employee's rights under this
Agreement shall commence as of the date hereof and shall terminate upon the
earlier of [i] the voluntary termination by the Employee of the Employee's
employment with the Company or [ii] the date on which the Employee ceases to
be a member of the Management Group (the period during which this Agreement is
in effect being hereinafter referred to as the "Term"). Employee's membership in
the Management Group is subject to the approval of the Compensation Committee of
the Board of Directors.

                  2.       Severance Pay.

         2.1      Amount & Timing of Severance Pay. If there is a Termination,
as defined in Section 2.2, with regard to the Employee, [i] the Company will
continue the Employee's base salary in effect on the date of the Termination for
a period of one year following the day on which the Termination occurs (the
"Severance Pay ") and [ii] for a period of one year after the day on which the
Termination occurs, the Company shall continue to pay, or reimburse the Employee
for, the Company-paid portion of medical premiums under the Company's group
health plan that would apply to the Employee had he not terminated, provided
that the Employee makes a timely election of such continuation coverage under
COBRA.; provided, however, that the Employee shall not be entitled to payment of
the Severance Pay upon a Termination if upon that Termination the Employee is
entitled to a Change-in-Control Payment, as defined in Section 9. The Severance
Pay shall: [x] be paid and delivered to the Employee on the same basis that the
Employee's regular base salary was paid and delivered immediately prior to
Termination; [y] be subject to reduction to the extent that during the one year
after the Termination the Employee receives compensation as an employee from an
entity other than the Company; and [z] not include any amounts of incentive
compensation.

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         2.2      Definition. "Termination" means a termination of the
Employee's employment, during the Term, other than for "Cause." "Cause" means
the occurrence of any of the following:

                  a.       the Employee materially breaches the provisions of
this Agreement or any other employment-related agreement between the Employee
and the Company, and the Employee fails to cure such breach within ten days
after the Employee's receipt from the Company of written notice of such breach,
which notice shall describe in reasonable detail the Company's belief that the
Employee is in breach (notwithstanding the foregoing, no cure period shall be
applicable to breaches by the Employee of the provisions of Section 3, 4, 5, 6,
7 or 8 of this Agreement);

                  b.       the Employee commits any other act in bad faith
materially detrimental to the business or reputation of the Company; or

                  c.       the Employee intentionally engages in dishonest or
illegal activities or commits or is convicted of (or pleads nolo contendere to)
any crime involving fraud, deceit or moral turpitude.

         The Employee's death or disability shall be deemed a Termination. For
purposes of this Section, "disability" means that the Employee becomes mentally
or physically incapacitated or disabled so as to be unable to perform Employee's
duties. Without limiting the generality of the foregoing, Employee's inability
adequately to perform services for a period of 60 consecutive days will be
conclusive evidence of such mental or physical incapacity or disability, unless
such inability adequately to perform services under this Agreement is pursuant
to a mental or physical incapacity or disability covered by the Family Medical
Leave Act, in which case such 60-day period shall be extended to a 120-day
period.

                  3.       Non-Disclosure of Proprietary Information. The
Employee recognizes and acknowledges that the Trade Secrets and Confidential
Information (as such terms are defined below) of the Company and all physical
embodiments of the same (as they may exist from time-to-time, collectively, the
"Proprietary Information") are valuable, special and unique assets of the
Company's businesses. The Employee further acknowledges that access to such
Proprietary Information is essential to the performance of the Employee's duties
under this Agreement. Therefore, in order to obtain access to such Proprietary
Information, the Employee agrees that the Employee shall hold in confidence all
Proprietary Information and will not reproduce, use, distribute, disclose,
publish or otherwise disseminate any Proprietary Information, in whole or in
part, and will take no action causing, or fail to take any action necessary to
prevent causing, any Proprietary Information to lose its character as
Proprietary Information, nor will the Employee make use of any such information
for the Employee's own purposes or for the benefit of any person, firm,
corporation, association or other entity (except the Company) under any
circumstances.

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For purposes of this Agreement, the term "Trade Secrets" means the whole or any
portion of any scientific or technical or other information, design, process,
procedure, formula, computer software product, documentation or improvement
relating to the Company's or its affiliates' businesses which [i] derives
economic value, actual or potential, from not being generally known to other
persons who can obtain economic value from its disclosure or use; and [ii] is
the subject of efforts that are reasonable under the circumstances to maintain
its secrecy or confidentiality. The term "Confidential Information" means any
and all data and information relating to the Company's or its affiliates'
"Business," other than Trade Secrets, [a] which has value to the Company or its
affiliates; [b] is not generally known by its competitors or the public; and [c]
is treated as confidential by the Company or its affiliates. The term "Business"
means the provision of any of the business or services that the Company is
engaged in on the date that the Employee leaves employment by the Company,
including without limitation subrogation and related recovery services, provider
bill auditing, contract compliance review, identification of certain other
insurance-related payments and cost management consulting for healthcare payors
or property and casualty insurers of any kind The provisions of this Section 3
will apply during the Employee's employment by the Company and for a two-year
period thereafter with respect to Confidential Information, and during the
Employee's employment by the Company and at any and all times thereafter with
respect to Trade Secrets. These restrictions will not apply to any Proprietary
Information which is in the public domain provided that the Employee was not
responsible, directly or indirectly, for such Proprietary Information entering
the public domain without the Company's consent. This Section 3, together with
Sections 2, 4, 5, 6, 7, 8 and 9 of this Agreement, shall survive termination of
this Agreement.

                  4.       Non-Competition and Related Covenants.

         4. 1      Non-Competition. During the Employee's employment by the
Company and for a period of two years following any termination of the
Employee's employment, the Employee will not, directly or indirectly, on the
Employee's own behalf or in the service of or on behalf of any other individual
or entity, compete with the Company within the Geographical Area (as defined).
The term "compete" means to engage in, have any equity or profit interest in,
make any loan to or for the benefit of, or render any services of any kind to,
directly or indirectly, on the Employee's own behalf or in the service of or on
behalf of any other individual or entity, either as a proprietor, employee,
agent, independent contractor, consultant, director, officer, partner or
stockholder (other than a stockholder of a corporation listed on a national
securities exchange or whose stock is regularly traded in the over-the-counter
market, provided that the Employee at no time owns, directly or indirectly, in
excess of one percent of the outstanding stock of any class of any such
corporation) any business which provides Business services. For purposes of this
Agreement, the term "Geographic Area" means the territory located within a 75
mile radius of each facility for which the Employee has management
responsibility during the Employee's employment with the Company.

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         4.2      Non-Interference. During the Employee's employment by the
Company and for a period of two years following the termination of the
Employee's employment, the Employee will not, directly or indirectly, on the
Employee's own behalf or in the service of or on behalf of any other individual
or entity, interfere with, disrupt, or attempt to disrupt the past, present or
prospective relationships, contractual or otherwise, between the Company and any
supplier, consultant, or client of the Company with whom the Employee had
material contact during the Employee's employment by the Company. The term
"prospective relationship" is defined as any relationship where the Company has
actively sought an individual or entity as a prospective supplier, consultant,
or client.

         4.3      Non-Solicitation of Clients Covenant. The Employee agrees that
during the Employee's employment by the Company and for a period of two years
following the termination of the Employee's employment, the Employee will not,
directly or indirectly, on the Employee's own behalf or in the service of or on
behalf of any other individual or entity, divert, solicit or attempt to solicit
or accept business from any individual or entity [i] who is a client of the
Company at any time during the six-month period prior to the Employee's
termination of employment with the Company ("Client"), or was actively sought by
the Company as a prospective client, or [ii] with whom the Employee had material
contact while employed by the Company to provide Business services to such
Clients or prospects, in either case to provide, directly or indirectly,
Business services.

                  The Employee further agrees that during the Employee's
employment by the Company and for a period of two years following the
termination of the Employee's employment, the Employee will not, directly or
indirectly, as an employee, independent contractor, agent or in any other
capacity, be employed by any Client to provide, directly or indirectly, Business
services.

         4.4      Construction. The parties agree that any judicial authority
construing all or any portion of this Section 4 or Section 5 will be empowered
to sever any portion of the Geographical Area, client base, prospective
relationship or prospect list or any prohibited business activity from the
coverage of such Section and to apply the provisions of such Section to the
remaining portion of the Geographical Area, the client base or the prospective
relationship or prospect list, or the remaining business activities not so
severed by such judicial authority. In addition, it is the intent of the parties
that the judicial authority replace each such severed provision with a provision
as similar in terms to such severed provision as may be possible and be legal,
valid and enforceable. It is the intent of the parties that Sections 4 and 5 be
enforced to the maximum extent permitted by law. If any provision of either such
Section is determined not to be specifically enforceable, the Company shall
nevertheless be entitled to bring an action to seek to recover monetary damages
as a result of the breach of such provision by the Employee.

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                  5.       Non-Solicitation of Employees Covenant. The Employee
agrees and represents that during the Employee's employment by the Company and
for a period of two years following any termination of the Employee's
employment, the Employee will not, directly or indirectly, on the Employee's own
behalf or in the service of, or on behalf of any other individual or entity,
divert, solicit or hire away, or attempt to divert, solicit or hire away [i] any
person employed by the Company or [ii] any person who has left the employment of
the Company within the one-year period which follows the termination of such
employee's employment with the Company, in either case, whether or not such
employee is or was a full-time employee or temporary employee of the Company,
whether or not such employee is or was employed pursuant to a written agreement
and whether or not such employee is or was employed for a determined period or
at will.

                  6.       Existing Restrictive Covenants. The Employee
represents and warrants that the Employee's employment with the Company does not
and will not breach any agreement which the Employee has with any former
employer to keep in confidence confidential information or not to compete with
any such former employer. The Employee will not disclose to the Company or use
on its behalf any confidential information of any other party required to be
kept confidential by the Employee.

                  7.       Return of Confidential Information. The Employee
acknowledges that as a result of the Employee's employment with the Company, the
Employee may come into the possession and control of Proprietary Information,
such as proprietary documents, drawings, specifications, manuals, notes,
computer programs, or other proprietary material. The Employee acknowledges,
warrants and agrees that the Employee will return to the Company all such items
and any copies or excerpts thereof, and any other properties, files or documents
obtained as a result of the Employee's employment with the Company, immediately
upon the termination of the Employee's employment with the Company.

                  8.       Proprietary Rights. During the course of the
Employee's employment with the Company, the Employee may make, develop or
conceive of useful processes, machines, compositions of matter, computer
software, algorithms, works of authorship expressing any such algorithm, or any
other discovery, idea, concept, document or improvement which relates to or is
useful to the Company's Business (the "Inventions"), whether or not subject to
copyright or patent protection, and which may or may not be considered
Proprietary Information. The Employee acknowledges that all such Inventions will
be "works made for hire" under United States copyright law and will remain the
sole and exclusive property of the Company. The Employee assigns and agrees to
assign to the Company, in perpetuity, all right, title and interest the Employee
may have in and to such Inventions, including without limitations all
copyrights, and the right to apply for any form of patent, utility model,
industrial design or similar proprietary right recognized by any state, country
or jurisdiction. The Employee further agrees, at the Company's request and
expense, to do all things and sign all documents or

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instruments necessary, in the opinion of the Company, to eliminate any ambiguity
as to the ownership of, and rights of the Company to, such Inventions, including
filing copyright and patent registrations and defending and enforcing in
litigation or otherwise all such rights.

         The Employee will not be obligated to assign to the Company any
invention made by the Employee while in the Company's employ which does not
relate to any business or activity in which the Company is or may reasonably be
expected to become engaged, except that the Employee is so obligated if the same
relates to or is based on Proprietary Information to which the Employee will
have had access during and by virtue of the Employee's employment or which
arises out of work assigned to the Employee by the Company. The Employee will
not be obligated to assign any Invention which may be wholly conceived by the
Employee after the Employee leaves the employ of the Company, except that the
Employee is so obligated if such Invention involves the utilization of
Proprietary Information obtained while in the employ of the Company. The
Employee is not obligated to assign any Invention which relates to or would be
useful in any business or activities in which the Company is engaged if such
Invention was conceived and reduced to practice by the Employee prior to the
Employee's employment with the Company, and if such Invention is listed on the
attached Exhibit A.

                  9.       Change in Control

         9.1      Definition. A "Change in Control" means the occurrence of any
of the following:

                  a.       the adoption of a plan of merger or consolidation of
         the Company with any other corporation or other entity as a result of
         which the holders of the outstanding voting stock of the Company as a
         group would receive less than 40% of the voting stock or ownership
         interest of the surviving or resulting entity or its parent entity;

                  b.       the adoption of a plan of liquidation or the approval
         of the dissolution of the Company;

                  c.       the sale or transfer of all or substantially all of
         the assets of the Company;

                  d.       the following individuals cease for any reason to
         constitute a majority of the number of directors then serving:
         individuals who, on the date of this Agreement, constitute the Board
         and any new director (other than a director whose initial assumption of
         office is in connection with an actual or threatened election contest,
         including but not limited to a consent solicitation, relating to the
         election of directors of the Company) whose appointment or election by
         the

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         Board or nomination for election by the Company's stockholders was
         approved or recommended by a vote of at least two-thirds of the
         directors then still in office who either were directors on the date of
         this Agreement or whose appointment, election or nomination for
         election was previously so approved or recommended; or

                  e.       any individual, entity, group (within the meaning of
         Section 13(d)(3) of the Securities Exchange Act of 1934, as amended,
         and the rules promulgated under such act), or other person acquires in
         a single transaction or a series of transactions more than 30% of the
         outstanding shares of the Company's common stock.

         9.2      Change in Control Payment. Following a Change in Control, the
Company will make a Change in Control Payment under Section 9.3 to the Employee
if within the 2-year following the Change in Control the Employee is terminated
or the Employee voluntarily terminates employment for Good Reason (as such term
is defined below), provided that the Employee is employed by the Company on the
date of the Change in Control and was a member of the Management Group (as such
term may be defined by the Board of Directors) prior to the execution of a
definitive agreement, if any, between the Company and any entity to be combined
with the Company in connection with a Change in Control.

         For purposes hereof, "Good Reason" means the occurrence of any of the
following without the prior express written consent of the Employee:

                  a.       the assignment to the Employee of duties materially
less significant than those normally associated with the position held by the
Employee immediately prior to the Change in Control; or

                  b.       a material reduction in the Employee's base salary or
bonus opportunity from the amount in effect immediately prior to the Change in
Control, or a material change in the employee benefits provided by the Company
to the Employee such that the package of benefits provided after the change is
in the aggregate materially less beneficial to the Employee than the package
provided immediately prior to the Change in Control; or

                  c.       a mandated relocation of the Employee's site of
employment to a site more than 25 miles from 1400 Watterson Tower, Louisville,
Kentucky.

         Notwithstanding the foregoing, no occurrence will constitute Good
Reason unless [i] at least 30 days before the termination of employment, the
Employee notifies the Company's Board of Directors of the conditions which the
Employee believes constitute Good Reason and states in the notice that unless
those conditions are cured the

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Employee will terminate his or her employment with the Company, but those
conditions are not cured prior to the termination of employment, and [ii] the
termination of employment occurs within 60 days after the Employee learns of the
conditions which constitute Good Reason.

         9.3      Amount and Timing of Change in Control Payment. The amount of
the Change in Control Payment will be: [i] if the Employee has been a member of
the Management Group for three years or less on the date of the Change in
Control Event, one year of salary and one year of benefits continuation; and
[ii] if the Employee has been a member of the Management Group for more than
three years on the date of the Change in Control Event, two years of salary and
two years of benefits continuation. The Change in Control Payment shall be paid
as salary continuation in accordance with the provisions applicable to Severance
Pay under Section 2.1. For purposes of calculating the Employee's tenure in
Management Group, all periods in which the Employee was in the Management Group
prior to the Change in Control Event shall be added together.

                  10.      General Provisions

                  10.1     If any provisions of this Agreement are determined to
be invalid, the remaining provisions will remain in full force and effect to the
fullest extent permitted by law.

                  10.2     This Agreement will be binding upon and inure to the
benefit of the Company and any successor of the Company, including any
corporation which acquires (by merger, consolidation or otherwise) all or
substantially all the assets of the Company (which successor, after it acquires
all or substantially all the assets of the Company, will be the "Company" for
the purposes of this Agreement).

                  10.3     This Agreement will be binding upon and inure to the
benefit of (and be enforceable by) the Employee and, after the Employee dies or
is determined not to be competent, the Employee's executors or other legal
representatives.

                  10.4     The Employee will be entitled to the payments
specified in Section 2 without regard to whether the Employee seeks or obtains
other employment after a Termination.

                  10.5     Any notices or other communications under or relating
to this Agreement must be in writing and will be deemed given on the day on
which it is delivered in person or by overnight courier service or sent by
facsimile transmission (with a confirmation from the sending facsimile machine
indicating receipt at the number to which sent), or on the third business day
after the day on which it is sent from within the United States of America by
first class mail, addressed (i) if to the Company or its Board of Directors, at
the principal offices of the Company, attention General Counsel

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and (ii) if to the Employee, to the Employee's office or to the Employee's home
address as shown on the personnel records of the Company, or at such other
address as is specified by the Employee to the Company after the date of this
Agreement in the manner provided in this Section.

                  10.6     This Agreement contains the entire agreement of the
parties with respect to the subject matter of this Agreement and supersedes all
prior severance agreements and other understandings with respect to that subject
matter, whether oral or written.

                  10.7     This Agreement may be amended only by a writing
signed by the Company, with the approval of its Board of Directors, and the
Employee.

                  10.8     The Company may withhold from payments it is required
to make under this Agreement and from other payments of compensation to the
Employee all sums, including taxes, which the Company determines it is required
by law to withhold because of payments made under this Agreement, or debts owed
by the Employee to the Company.

                  10.9     The Company may withhold from payments it is required
to make under this Agreement and from other payments of compensation to the
Employee all sums, including taxes, which the Company determines it is required
by law to withhold because of payments made under this Agreement.

                  10.10    This Agreement will be governed by, and construed
under, the laws of the Commonwealth of Kentucky applicable to contracts made and
to be performed in that state.

                  10.11    The Employee hereby acknowledges that employment by
the Company is "at will," and that nothing in this Agreement shall be deemed to
alter the Employee's "at will" employment by the Company.

                  11.      Remedies. The Employee agrees and acknowledges that
the violation of any of the covenants or agreements contained in Section 3, 4,
5, 6, 7 and 8 of this Agreement would cause irreparable injury to the Company,
that the remedy at law for any such violation or threatened violation thereof
would be inadequate, and that the Company will be entitled, in addition to any
other remedy, to temporary and permanent injunctive or other equitable relief
without the necessity of proving actual damages. The parties each acknowledge
that nothing herein shall limit the remedies for breach of this Agreement to the
amount or value of any Severance Pay.

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                  12.      Excise Tax Limitation. Anything in this Agreement to
the contrary notwithstanding, in the event it shall be determined that any
payment or distribution by the Company to or for the benefit of the Employee
(whether paid or payable or distributed or distributable pursuant to the terms
of this Agreement or otherwise) (the "Total Payments") would be subject to the
excise tax imposed under Section 4999 of the Internal Revenue Code of 1986, as
amended (the "Code"), the payments due hereunder shall be reduced, prior to
reduction of Total Payments under any other agreement or program, such that the
Employee shall be entitled to receive Total Payments not to exceed 2.99 times
the Employee's applicable "base amount" under Section 280G of the Code.

                  IN WITNESS WHEREOF, the parties have executed this Agreement
as of the day and year shown on the first page.

                                    HEALTHCARE RECOVERIES, INC.

                                    By
                                      -----------------------------
                                      Patrick B. McGinnis
                                      Chief Executive Officer

                                      -----------------------------

                                             ---------------
                                               "Employee"

                                        -

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                                    EXHIBIT A
                                   INVENTIONS

                                      None

Employee:
         ------------
         Initials

                                       11<PAGE>
                                                                   EXHIBIT 10.1

THIS WARRANT AND THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED
UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR UNDER THE SECURITIES OR BLUE
SKY LAWS OF ANY STATE AND MAY NOT BE SOLD, OR OTHERWISE TRANSFERRED, IN THE
ABSENCE OF SUCH REGISTRATION OR AN EXEMPTION THEREFROM UNDER SUCH ACT AND UNDER
ANY SUCH APPLICABLE STATE LAWS, OR IN VIOLATION OF THE PROVISIONS OF THIS
WARRANT.

<TABLE>
<S>                                                          <C>
Number of Shares of Class A Common Stock: 2,000,000          Date of Issuance: February 8, 2002
</TABLE>

                                    WARRANT

                        To Purchase Class A Common Stock

                                       of

                       SPANISH BROADCASTING SYSTEM, INC.

                          Void after February 8, 2005

         THIS IS TO CERTIFY THAT, for value received, International Church of
the FourSquare Gospel (the "Holder") is entitled, subject to the terms and
conditions set forth herein, to purchase from Spanish Broadcasting System, Inc.
(the "Company") 2,000,000 shares of the Company's Class A Common Stock, par
value $0.0001 per share (the "Class A Common Stock"). The number, character and
Exercise Price (defined below) of such shares of Class A Common Stock are
subject to adjustment as provided herein. The term "Warrant" as used herein
shall include this Warrant and any warrants delivered in substitution,
replacement or exchange therefor as provided herein.

         This Warrant is issued pursuant to that certain Amendment No. 1 dated
as of February 8, 2002 to Time Brokerage Agreement dated as of March 13, 2001,
by and between Holder, as Licensee, and the Company, as Broker.

         1.       Term of Warrant. Subject to the terms and conditions set
forth herein, this Warrant shall be exercisable, in whole only and not in part,
during the term commencing on the date hereof and ending at 5:00 p.m.,
prevailing local time in New York, New York, on February 8, 2005, and shall be
void thereafter.

         2.       Exercise Price. The price at which this Warrant may be
exercised shall be $10.50 per share of Class A Common Stock, as adjusted from
time to time pursuant to Section 9 hereof (the "Exercise Price").

<PAGE>

         3.       Exercise of Warrant.

                  (a)      The purchase right represented by this Warrant shall
be exercisable by the Holder, in whole only and not in part, at any time during
the term hereof upon (i) the surrender of this Warrant and the delivery of a
duly completed and executed Notice of Exercise (in the form of Exhibit A
attached hereto) at the principal office of the Company (listed as the
Company's address in Section 14 herein) or such other office or agency as the
Company may designate by notice pursuant to Section 14 herein, and (ii) payment
of the aggregate Exercise Price equal to the number of shares of Class A Common
Stock being purchased upon exercise of this Warrant multiplied by the Exercise
Price (the "Aggregate Exercise Price") in cash, by certified or official bank
check payable to the order of the Company, or by wire transfer to an account in
a bank designated for such purpose by the Company.

                  (b)      This Warrant shall be deemed to have been exercised
immediately prior to the close of business on the date of its surrender for
exercise and payment as provided above, and the person entitled to receive the
shares of Class A Common Stock issuable upon such exercise shall be treated for
all purposes as the holder of record of such shares as of the close of business
on such date. As promptly as practicable on or after such date, the Company
shall issue and deliver to the person entitled to receive the same, a
certificate for the number of shares of Class A Common Stock issuable upon such
exercise. If such certificate shall be registered in a name other than the name
of the Holder, then funds sufficient to pay all stock transfer taxes which
shall be payable upon the issuance of such certificate shall be paid by the
Holder at the time of exercise of this Warrant and the Company shall not be
required to issue or deliver any certificate until such tax or other charge has
been paid by the Holder.

                  (c)      Notwithstanding any provisions herein to the
contrary, if the Current Market Price (defined below) of one share of Class A
Common Stock is greater than the Exercise Price on the date of calculation, the
Holder shall have the right, at its election, in lieu of delivering the
Aggregate Exercise Price in cash, to instruct the Company in the Notice of
Exercise to retain, in payment of the Aggregate Exercise Price, the number of
shares of Class A Common Stock equal to the quotient of the Aggregate Exercise
Price divided by the Current Market Price. Upon exercise, the Holder shall then
receive the number of shares of Class A Common Stock computed using the
following formula:

                                   X = Y(A-B)
                                       ------
                                       A

Where    X=       the number of shares of Class A Common Stock to be issued by
                  the Company to the Holder;

         Y=       the number of shares of Class A Common Stock purchasable under
                  the Warrant;

         A=       the Current Market Price of one share of the Company's Class A
                  Common Stock; and

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<PAGE>

         B=       the Exercise Price.

The "Current Market Price" shall mean the closing price per share of the Class
A Common Stock on the day immediately preceding the day as of which the Current
Market Price is being determined. The closing price shall be the last reported
sale price on the principal national securities exchange on which the shares
are listed or admitted to trading, or if the shares are not so listed or
admitted to trading, the last reported sale price as officially quoted on The
Nasdaq Stock Market or through a similar organization if The Nasdaq Stock
Market is no longer reporting such information. If shares of the Class A Common
Stock are not listed or admitted to trading on any exchange or quoted through
The Nasdaq Stock Market or any similar organization, the Current Market Price
shall be determined in good faith by the Company's Board of Directors.

         4.       NO FRACTIONAL SHARES OR SCRIP. No fractional shares or scrip
representing fractional shares shall be issued upon the exercise of this
Warrant. In lieu of any fractional share to which the Holder would otherwise be
entitled, the Company shall make a cash payment equal to the Current Market
Price of one share of Class A Common Stock multiplied by such fraction.

         5.       REPLACEMENT OF WARRANT. On receipt of evidence reasonably
satisfactory to the Company of the loss, theft, destruction or mutilation of
this Warrant and, in the case of loss, theft or destruction, on delivery of an
indemnity agreement reasonably satisfactory in form and substance to the
Company or, in the case of mutilation, on surrender and cancellation of this
Warrant, the Company shall execute and deliver, in lieu of this Warrant, a new
warrant of like tenor and equal amount.

         6.       NO RIGHTS AS STOCKHOLDER. This Warrant shall not entitle the
Holder to any rights as a stockholder of the Company.

         7.       WARRANT REGISTER. The Company shall maintain a register (the
"Warrant Register") containing the name and address of the Holder. The Company
may treat the Holder as shown on the Warrant Register as the absolute owner of
this Warrant for all purposes and shall not be affected by any notice to the
contrary.

         8.       RESERVATION OF STOCK. The Company covenants that during the
term that this Warrant is exercisable, the Company shall reserve from its
authorized and unissued Class A Common Stock a sufficient number of shares to
provide for the issuance of Class A Common Stock upon the exercise hereof.

         9.       ADJUSTMENTS. The Exercise Price and the number and type of
shares purchasable hereunder are subject to adjustment from time to time as
follows:

                  9.1      STOCK SPLIT, SUBDIVISION OR COMBINATION OF SHARES.
         If during the period that this Warrant remains outstanding and
         unexpired, the Company shall split or subdivide the securities as to
         which purchase rights exist under this Warrant into a

                                       3
<PAGE>

         different number of securities of the same class, the Exercise Price
         for such securities shall be proportionately decreased, and the number
         of shares of such securities for which this Warrant may be exercised
         shall be proportionately increased. If during the period that this
         Warrant remains outstanding and unexpired, the Company shall combine
         the securities as to which purchase rights exist under this Warrant
         into a different number of securities of the same class, the Exercise
         Price for such securities shall be proportionately increased and the
         number of shares of such securities for which this Warrant may be
         exercised shall be proportionately decreased.

                  9.2      ADJUSTMENTS FOR DIVIDENDS IN STOCK OR OTHER
         SECURITIES. If during the period that this Warrant remains outstanding
         and unexpired, the Company shall take a record of the holders of Class
         A Common Stock for the purpose of entitling them to receive a
         dividend, without payment therefor, payable in additional stock or
         other securities of the Company, then this Warrant shall represent the
         right to acquire, in addition to the number of shares of Class A
         Common Stock receivable upon exercise of this Warrant, the amount of
         such additional stock or other securities of the Company that the
         Holder would have received if the Holder had exercised this Warrant in
         full to purchase shares of Class A Common Stock and had been the
         record holder of such shares on the date that the Company took a
         record of the holders of Class A Common Stock for the purpose of
         entitling them to receive such dividend.

                  9.3      MERGER, SALE OF ASSETS, REORGANIZATION,
         RECLASSIFICATION. If during the period that this Warrant remains
         outstanding and unexpired, there shall be (i) a merger or
         consolidation of the Company with or into another corporation in which
         the Company is not the surviving entity and by which the shares of the
         Company's capital stock outstanding immediately prior to the merger
         are converted by virtue of the merger into other property, whether in
         the form of securities, cash, or otherwise, (ii) a sale or transfer of
         all or substantially all of the Company's properties and assets to any
         other person, or (iii) a capital reorganization or reclassification of
         the Class A Common Stock (other than a combination or subdivision of
         shares otherwise provided for herein), then, lawful provision shall be
         made so that, upon the basis and the terms and in the manner provided
         in this Warrant, the Holder, upon the exercise hereof at any time
         after the consummation of such event, shall be entitled to purchase,
         in lieu of the shares of Class A Common Stock for which this Warrant
         could have been exercised immediately prior to such consummation, the
         stock or other securities, cash or property which the Holder would
         have been entitled to receive upon such consummation if the Holder had
         exercised this Warrant for such shares of Class A Common Stock
         immediately prior thereto, subject to adjustment as nearly equivalent
         as possible to the adjustments provided for in this Section 9. If the
         per share consideration payable to the Holder in connection with any
         such event is in a form other than cash or marketable securities, then
         the value of such consideration shall be determined in good faith by
         the Company's Board of Directors. In all events, appropriate
         adjustment (as determined in good faith by the Company's Board of
         Directors) shall be made in the application of the provisions of this
         Warrant such that the Holder's rights and interest in this Warrant
         shall be applicable after such event, to the

                                       4
<PAGE>

         greatest extent possible, in relation to any shares or other property
         deliverable after that event upon exercise of this Warrant.

         10.      CERTIFICATES OF ADJUSTMENTS; NOTICES.

                  (a)      Whenever the Exercise Price or number or type of
shares purchasable hereunder shall be adjusted or readjusted pursuant to
Section 9 herein, the Company shall issue a certificate signed by its Chief
Financial Officer setting forth, in reasonable detail, the event requiring the
adjustment or readjustment, the amount of the adjustment or readjustment, the
method by which such adjustment or readjustment was calculated, the Exercise
Price and number of shares purchasable hereunder after giving effect to such
adjustment or readjustment and the amount, if any, of other property to be
received upon exercise of this Warrant after giving effect to such adjustment
or readjustment. The Company shall deliver a copy of such certificate to the
Holder in accordance with Section 14 herein.

                  (b)      In the event:

                           (i)      that the Company shall take a record of the
         holders of its Class A Common Stock (or other stock or securities at
         the time receivable upon the exercise of this Warrant) for the purpose
         of entitling them to receive any dividend in stock or other
         securities; or

                           (ii)     of any capital reorganization of the
         Company, any reclassification of the capital stock of the Company, any
         consolidation or merger of the Company with or into another
         corporation, or any conveyance of all or substantially all of the
         assets of the Company to another person; or

                           (iii)    of any voluntary dissolution, liquidation
         or winding-up of the Company,

then, and in each such case, the Company shall mail or cause to be mailed to
the Holder a notice specifying, as the case may be, (A) the date on which a
record is to be taken for the purpose of such dividend, and stating the amount
and character of such dividend, or (b) the date on which such reorganization,
reclassification, consolidation, merger, conveyance, dissolution, liquidation
or winding-up is to take place, and the date, if any is to be fixed, as of
which the holders of record of Class A Common Stock (or such other stock or
securities at the time receivable upon the exercise of this Warrant), shall be
entitled to exchange their shares of Class A Common Stock (or such other stock
or securities at the time receivable upon exercise of this Warrant), for
securities or other property deliverable upon such reorganization,
reclassification, consolidation, merger, conveyance, dissolution, liquidation
or winding-up. Such notice shall be mailed at least 15 days prior to the date
therein specified for the occurrence of any of the foregoing events.

                  (c)      All notices pursuant to this Section 9 shall be
given in the manner set forth in Section 14 herein.

                                       5
<PAGE>

         11.      RESTRICTIVE LEGEND ON STOCK CERTIFICATE. A certificate for
shares issued upon exercise of this Warrant, unless at the time of exercise
such shares are registered under the Securities Act, shall bear a legend in
substantially the following form:

                  THE SHARES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN
                  REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR
                  UNDER THE SECURITIES OR BLUE SKY LAWS OF ANY STATE AND ARE
                  SUBJECT TO THE CONDITIONS SPECIFIED IN A CERTAIN WARRANT
                  DATED FEBRUARY 8, 2002, BY AND BETWEEN SPANISH BROADCASTING
                  SYSTEM, INC. AND INTERNATIONAL CHURCH OF THE FOURSQUARE
                  GOSPEL, COPIES OF WHICH WARRANT ARE AVAILABLE FOR INSPECTION
                  AT THE PRINCIPAL OFFICE OF SPANISH BROADCASTING SYSTEM, INC.
                  THE SHARES REPRESENTED BY THIS CERTIFICATE MAY NOT BE SOLD,
                  OR OTHERWISE TRANSFERRED, IN THE ABSENCE OF SUCH REGISTRATION
                  OR AN EXEMPTION THEREFROM UNDER SUCH ACT AND UNDER ANY SUCH
                  APPLICABLE STATE LAWS, OR IN VIOLATION OF THE PROVISIONS OF
                  THE WARRANT. THE HOLDER OF THIS CERTIFICATE, BY ACCEPTANCE OF
                  THIS CERTIFICATE, AGREES TO BE BOUND BY THE PROVISIONS OF
                  SUCH WARRANT.

         12.      NO TRANSFER. This Warrant may not be transferred in whole or
                  in part.

         13.      AMENDMENTS. This Warrant may not be modified or amended
without the written consent of the Company and the Holder.

         14.      GOVERNING LAW. This Warrant shall be governed by and
construed in accordance with the laws of the State of Delaware.

         15.      NOTICES. All notices and other communications required or
permitted hereunder shall be in writing and shall be deemed to have been given
if (i) personally delivered by hand or by messenger, (ii) mailed by registered
or certified mail, postage prepaid and return receipt requested or (iii) sent
by a nationally recognized overnight courier service for next morning delivery.
Any such notice shall be deemed to have been received on the date of personal
delivery; on the fourth day after deposit in the U.S. mail if mailed by
registered or certified mail; and on the day after delivery to a nationally
recognized overnight courier service. Notices shall be addressed as follows (or
to such other address as a party requests by written notice):

         If to Holder, to: International Church of the FourSquare Gospel
                           1910 W. Sunset Boulevard

                                       6
<PAGE>

                           Los Angeles, CA 90026-0176
                           Attention: Brent R. Morgan

         with a copy (which shall not constitute notice) to:

                           Farrand Cooper, P.C.
                           235 Montgomery Street, Suite 905
                           San Francisco, CA 94104
                           Attention: Stephen R. Farrand, Esq.

         If to the Company, to:

                           Spanish Broadcasting System, Inc.
                           2601 South Bayshore Drive, PH II
                           Coconut Grove, Florida 33133
                           Attention: Joseph A. Garcia

         with a copy (which shall not constitute notice) to:

                           Kaye Scholer LLP
                           425 Park Avenue
                           New York, New York 10022-3598
                           Attention: William E. Wallace, Jr., Esq.

         16.      SEVERABILITY. If any provision of this Warrant is held to be
prohibited by or invalid under applicable law, then such provision shall be
ineffective to the extent of such prohibition or invalidity, without
invalidating the remainder of such provision or the remaining provisions of
this Warrant.

         17.      HEADINGS. The headings used in this Warrant are for the
convenience of reference only and shall not, for any purpose, be deemed a part
of this Warrant.

                                       7
<PAGE>

         IN WITNESS WHEREOF, the Company has caused this Warrant to be duly
executed as of February 8, 2002 by its duly authorized officer and its
corporate seal to be impressed hereon and attested by its Secretary.

                                SPANISH BROADCASTING SYSTEM, INC.

                                By: /s/   Raul Alarcon, Jr.
                                   ---------------------------------------------
                                   Name:  Raul Alarcon, Jr.
                                   Title: Chairman of the Board of Directors,
                                          Chief Executive Officer and President

Attest:

By: /s/   Joseph A. Garcia
   ---------------------------------------------
   Name:  Joseph A. Garcia
   Title: Executive Vice President,
          Chief Financial Officer and Secretary

                                       8
<PAGE>

                                   EXHIBIT A

                               NOTICE OF EXERCISE

         The undersigned registered owner of the attached Warrant irrevocably
exercises the attached Warrant in full for the purchase of 2,000,000 shares of
Class A Common Stock of SPANISH BROADCASTING SYSTEM, INC. and herewith makes
payment therefor, all at the price and on the terms and conditions specified in
the attached Warrant, and requests that a certificate for the shares of Class A
Common Stock hereby purchased (and any securities or other property issuable
upon such exercise) be issued in the name of the undersigned and delivered to
the undersigned at the address below.

         In exercising the attached Warrant, the undersigned hereby confirms
and acknowledges that the shares of Class A Common Stock to be issued are being
acquired solely for the account of the undersigned and not as a nominee for any
other party, and for investment, and that the undersigned shall not offer, sell
or otherwise dispose of any such shares of Class A Common Stock except under
circumstances that will not result in a violation of the Securities Act of
1933, as amended, or any state securities laws.

Dated:
      ---------------------

                                       Signature:
                                                 ------------------------------
                                                 Registered Owner

                                                 ------------------------------
                                                 Print Name

                                                 ------------------------------

                                                 ------------------------------
                                                 Address

                                       9

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