Document:

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                            ASSET PURCHASE AGREEMENT
                        (WROL-AM, BOSTON, MASSACHUSETTS)

         This AGREEMENT (this "Agreement") is dated as of December ___, 2000, by
and between CARTER BROADCASTING, INC. ("Seller") and SCA LICENSE CORPORATION
("Buyer").

                                    RECITALS:

         1. Seller owns and operates radio station WROL-AM licensed to Boston,
Massachusetts (the "Station"), and holds the licenses and authorizations issued
by the FCC for the operation of the Station.

         2.       Buyer desires to acquire certain assets of the Station, and
Seller is willing to convey such assets to Buyer.

         3.       The acquisition of the Station is subject to prior approval of
 the FCC.

         NOW THEREFORE, in consideration of the foregoing and the mutual
covenants and agreements contained herein, Seller and Buyer hereby agree as
follows:

                                    ARTICLE 1

                                   TERMINOLOGY

         1.1      ACT.     The Communications Act of 1934, as amended.

         1.2      ADJUSTMENT AMOUNT.        As  provided  in SECTION  2.6,  the
amount by which  Buyer's  account is to be  credited or charged, as reflected on
the Adjustment List.

         1.3      ADJUSTMENT LIST. As provided in SECTION 2.6, an itemized list
of all sums to be credited or charged against the account of Buyer, with a brief
explanation in reasonable detail of the credits or charges, consistent with the
allocation principle set forth in Section 2.6(a).

         1.4      ASSUMED OBLIGATIONS. Such term shall have the meaning defined
in SECTION 2.3.

         1.5      BUSINESS DAY.       Any calendar  day,  excluding  Saturdays
and Sundays,  on which  federally  chartered  banks are
regularly open for business.

         1.6      CLOSING.  The closing with respect to the transactions
contemplated by this Agreement.

         1.7      CLOSING DATE.  The date determined as the Closing Date as
provided in SECTION 8.1.

         1.8      DOCUMENTS. This Agreement and all Exhibits and Schedules
hereto, and each other agreement, certificate, or instrument delivered pursuant
to or in connection with this Agreement, including amendments thereto that are
expressly permitted under the terms of this Agreement.

         1.9      ENVIRONMENTAL ASSESSMENT.  Such term shall have the meaning
defined in SECTION 5.10.

         1.10     ENVIRONMENTAL LAWS. The Comprehensive Environmental Response
Compensation and Liability Act, the Resource Conservation and Recovery Act, the
Clean Water Act, the Clean Air Act and the Toxic Substances Control Act, the
Federal Insecticide, Fungicide and Rodenticide Act, the Emergency Planning and
Community Right-to-Know Act, the Safe Drinking Water Act, each as amended, and
any other applicable federal, state and local laws, statutes, rules or
regulations concerning or relating to the

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treating, producing, handling, storing, releasing, spilling, leaking, pumping,
pouring, emitting or dumping of Hazardous Materials, or the pollution or
protection of human health or the environment (including, without limitation,
ambient air, surface water, groundwater, land surface or subsurface strata).

         1.11     EXCLUDED ASSETS.  Such term shall have the meaning defined in
SECTION 2.2.

         1.12     FCC.  Federal Communications Commission.

         1.13     FCC  LICENSES.  The  licenses,  permits and  authorizations
of the FCC for the operation of the Station as listed on SCHEDULE 3.8.

         1.14     FCC ORDER. An action, order or decision of the FCC, which is a
Final Action, granting its consent to the assignment of the FCC Licenses to
Buyer.

         1.15     FINAL ACTION. An action of the FCC that has not been reversed,
stayed, enjoined, set aside, annulled or suspended; with respect to which no
timely petition for reconsideration or administrative or judicial appeal or SUA
SPONTE action of the FCC with comparable effect is pending and as to which the
time for filing any such petition or appeal (administrative or judicial) or for
the taking of any such SUA SPONTE action of the FCC has expired.

         1.16     HAZARDOUS MATERIALS. Toxic materials, hazardous wastes,
hazardous substances, pollutants or contaminants, asbestos or asbestos-related
products, polychlorinated biphenyls ("PCBs"), petroleum, crude oil or any
fraction or distillate thereof in excess of legally-defined permissible limits
(as such terms are defined in any applicable federal, state or local laws,
ordinances, rules and regulations, and including any other terms which are or
may be used in any applicable Environmental Laws to define prohibited or
regulated substances).

         1.17     INDEMNIFIED PARTY. Any party described in SECTION 9.3 or
SECTION 9.4 against which any claim or liability may be asserted by a third
party which would give rise to a claim for indemnification under the provisions
of this Agreement by such party.

         1.18     INDEMNIFYING PARTY. The party to the Agreement (not the
Indemnified Party) that, in the event of a claim or liability asserted by a
third party against the Indemnified Party which would give rise to a claim for
indemnification under the provisions of this Agreement.

         1.19     LIEN. Any mortgage, deed of trust, pledge, hypothecation,
security interest, encumbrance, lien, lease or charge of any kind, whether
voluntarily incurred or arising by operation of law or otherwise, affecting any
Sale Assets or property, including any written or oral agreement to give or
grant any of the foregoing, any conditional sale or other title retention
agreement, and the filing of or agreement to give any financing statement with
respect to any assets or property under the Uniform Commercial Code or
comparable law of any jurisdiction.

         1.20     MATERIAL ADVERSE EFFECT. A condition, event or circumstance
which would materially restrict, limit, increase the cost or burden of or
otherwise materially adversely affect or materially impair the right of Buyer to
the ownership, use, control, enjoyment or operation of the Station or the
proceeds therefrom; provided, however, that any condition which requires that
the Station be operated in accordance with a condition similar to those
contained in the present FCC licenses issued for operation of the Station shall
not be deemed a Material Adverse Condition.

         1.21     OSHA LAWS. The Occupational Safety and Health Act of 1970, as
amended, and all other federal, state or local laws or ordinances, including
orders, rules and regulations thereunder, regulating or otherwise affecting
health and safety of the workplace.

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         1.22     PERMITTED LIEN. For purposes hereof, "Permitted Lien" shall
mean (i) easements, restrictions, and other similar matters which will not
materially adversely affect the use of the Real Property in the ordinary course
of business; (ii) liens for taxes not due and payable or, that are being
contested in good faith by appropriate proceedings; (iii) mechanics,
materialmen's, carriers', warehousemen's, landlords' or other similar liens in
the ordinary course of business for sums not yet due or which are being
contested in good faith by appropriate proceedings; (iv) liens or mortgages that
will be released at Closing; and (v) zoning ordinances and regulations,
including statutes and ordinances relating to the liens of streets and to other
municipal improvements, which will not materially adversely affect the use of
the Real Property in the ordinary course of business, provided that any of the
foregoing alone or in the aggregate do not materially impair the value or
materially interfere with the use of any asset or property of the Seller
material to the operation of its business as it has been and is now conducted.

         1.23     PURCHASE PRICE. The consideration to be paid by Buyer to
Seller for purchase of the Sale Assets in an amount equal to Eleven Million
Dollars ($11,000,000) payable pursuant to the terms of SECTION 2.4 and subject
to adjustments pursuant to SECTION 2.6.

         1.24     REAL PROPERTY.  Such term shall have the meaning defined in
SECTION 3.7.

         1.25     RULES AND REGULATIONS. The rules of the FCC as set forth in
Volume 47 of the Code of Federal Regulations, as well as such other policies of
the FCC, whether contained in the Code of Federal Regulations, or not, that
apply to the Station.

         1.26     SALE ASSETS.  All of the tangible and intangible assets to be
transferred by Seller to Buyer as set forth in SECTION 2.1.

         1.27     STATION  AGREEMENTS.  The  agreements, commitments, contracts,
leases and other items described in SECTION 2.1(d) which relate to operation of
the Station.

         1.28     TOWER COORDINATES.  Such term shall have the meaning defined
in SECTION 3.15 hereof.
                                   ARTICLE II

                                PURCHASE AND SALE

         2.1      SALE ASSETS. On the Closing Date, Seller will sell, transfer,
assign and convey to Buyer, and Buyer will purchase from Seller, free and clear
of all Liens, except Permitted Liens, all of Seller's right, title and interest,
legal and equitable, in and to the tangible and intangible, real, personal and
mixed assets (except Excluded Assets) used or useful in the operation of the
Station including the following:

                  (a)   TANGIBLE PERSONAL PROPERTY. All equipment, parts,
supplies, furniture, fixtures, studio equipment, and other tangible personal
property now or hereinafter owned by Seller and used in the operation of the
Station including, but not limited to the tangible personal property listed on
SCHEDULE 3.6, together with such modifications, replacements, improvements and
additional items, made or acquired between the date hereof and the Closing Date;

                  (b)   REAL PROPERTY AND LEASES. Seller's interests in all of
the real property used in operating the Station including, without limitation,
all right, title and interest of Seller in and to the Station's transmitting
facilities and all Real Property described in SCHEDULE 3.7.

                  (c)   LICENSES AND PERMITS. The FCC Licenses listed on
SCHEDULE 3.8 and all other assignable or transferable governmental permits,
licenses and authorizations (and any renewals, extensions, amendments or
modifications thereof) now held by Seller or hereafter obtained by Seller
between the date

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hereof and the Closing Date, to the extent such other permits, licenses and
authorizations pertain to or are used in the operation of the Station;

                  (d)   STATION AGREEMENTS. All agreements which are listed on
SCHEDULE 3.9 as agreements which Buyer elects to assume; any renewals,
extensions, amendments or modifications of those agreements being assumed which
are made in the ordinary course of Seller's operation of the Station and in
accordance with the terms and provisions of this Agreement;

                  (e)   RECORDS. True and complete copies of all of the books,
records,  accounts,  files, logs, ledgers, reports of engineers  and other
consultants  or  independent  contractors,  pertaining  to or used in the
operation  of the Station  (other thancorporate records);

                  (f)   INTELLECTUAL PROPERTY. All of Seller's Intellectual
Property used in, or related to, the Station or Sale Assets. For purposes of
this Agreement, "Intellectual Property" shall mean all of the following relating
to the use or operation of the Station or the Sale Assets: trademarks, service
marks, brand names, trade names, mask works, Internet Domain Name(s), Internet
Web page(s), HTML content located and publicly accessible from the Domain Names,
the visitor e-mail data bases for Internet Domain Names, call letters, slogans,
and other indications of origin, the goodwill associated with the foregoing and
registrations in any jurisdiction of, and applications in any jurisdictions to
register the foregoing, including any extension, modification or renewal of any
such registration or application; inventions, discoveries and ideas, whether
patentable or not; patents and applications for patents; nonpublic information,
trade secrets or confidential information; writings and other works, whether
copyrightable or not; technology, know-how or computer software programs and
applications used in the Station's business, any similar intellectual property
or proprietary rights, and any claims or causes of action arising out of or
relating to any infringement or misappropriation of any of the foregoing.

                  (g)   MISCELLANEOUS ASSETS. Any other tangible, intangible,
real, personal or mixed asset, property or right of any kind or nature not
otherwise described in this SECTION 2.1 and now or hereinafter owned or used by
Seller in connection with the operation of the Station.

         2.2      EXCLUDED ASSETS. Notwithstanding any provision of this
Agreement to the contrary, Seller shall not transfer, convey or assign to Buyer,
but shall retain all of its right, title and interest in and to, the following
assets owned or held by it on the Closing Date ("Excluded Assets"):

                  (a)   Any and all cash, cash equivalents, cash deposits to
secure contract obligations, all inter-company receivables from any affiliate of
Seller and all other accounts receivable, bank deposits and securities held by
Seller in respect of the Station at the Closing Date, that are unrelated to the
operation of the Station after the Closing Date and further provided that such
cash or receivable is not for services on obligations of the Station after the
Closing Date (except to the extent Seller receives a credit therefor under
SECTION 2.6, in which event such cash, receivable, deposit or security shall be
included as part of the Sale Assets).

                  (b)   Any and all claims of Seller with respect to
transactions prior to the Closing including, without limitation, claims for tax
refunds and refunds of fees paid to the FCC.

                  (c)   All prepaid expenses (except to the extent Seller
receives a credit therefor under SECTION 2.6, in which event the prepaid expense
shall be included as part of the Sale Assets).

                  (d)   All contracts of insurance and claims against insurers.

                  (e)   All employee benefit plans and the assets thereof and
all employment contracts.

                  (f)   All contracts that are terminated in accordance with the
terms and provisions of

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this Agreement or have expired prior to the Closing Date in the ordinary course
of business; and all loans and loan agreements.

                  (g)   All tangible personal property disposed of or consumed
between the date hereof and the Closing Date in accordance with the terms and
provisions of this Agreement and in the ordinary course of business.

                  (h)   Seller's corporate records except to the extent such
records pertain to or are used in the operation of the Station, in which case
Seller shall deliver materially accurate copies thereof to Buyer.

                  (i)   All  commitments,  contracts and agreements not
specifically assumed by Buyer pursuant to SECTION  2.1(d), above.

         2.3      ASSUMPTION OF LIABILITIES.

                  (a)   At the Closing, Buyer shall assume and agree to perform,
without duplication of Seller's performance, the following liabilities and
obligations of Seller (the "Assumed Obligations"):

                        (i)      Current  liabilities of Seller for which Buyer
receives a credit  pursuant to SECTION 2.6, but not in excess of the amount of
such credit;

                        (ii)     Liabilities  and  obligations  arising  under
the Station Agreements, if any, assumed by and transferred to Buyer in
accordance with this Agreement, but only to the extent such liabilities and
obligations relate to any period of time after the Closing; and

                        (iii)    The obligations, if any, specifically listed in
SCHEDULE 2.3.

                  (b)   Except for the Assumed Obligations, Buyer shall not
assume or in any manner be liable for any debts, liens, charges, claims,
encumbrances, duties, responsibilities, obligations or liabilities of Seller of
any kind or nature, whether express or implied, known or unknown, contingent or
absolute, including, without limitation, any liabilities to or in connection
with Seller's employees whether arising in connection with the transaction
contemplated hereunder or otherwise.

         2.4      PAYMENTS OF PURCHASE PRICE.  The Purchase Price shall be paid
by Buyer as follows:

                  (a)   At the Closing, Ten Million Dollars ($10,000,000) of the
Purchase Price shall be paid to Seller by wire transfer of immediately available
funds.

                  (b)   Buyer shall pay to Seller,  or Seller shall pay to
Buyer, the Adjustment  Amount in accordance with SECTION 2.6.

                  (c) On or before twelve months after the Closing Date, One
Million Dollars ($1,000,000) of the Purchase Price shall be paid to Seller by
wire transfer of immediately available funds.

         2.5      ALLOCATION OF THE PURCHASE PRICE. Buyer and Seller shall agree
to an allocation of the Purchase Price as set forth in SCHEDULE 2.5 hereof.
Buyer and Seller shall use such allocation for all reporting purposes in
connection with federal, state and local income and, to the extent permitted
under applicable law, franchise taxes. Buyer and Seller agree to report such
allocation to the Internal Revenue

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Service in the form required by Treasury Regulation Section 1.1060-1T.

         2.6      ADJUSTMENT OF PURCHASE PRICE.

                  (a)   All operating income and operating expenses of the
Station shall be adjusted and allocated between Seller and Buyer, and an
adjustment in the Purchase Price shall be made as provided in this Section,
to the extent necessary to reflect the principle that all such income and
expenses attributable to the operation of the Station on or before the Closing
Date shall be for the account of Seller, and all income and expenses
attributable to the operation of the Station after the closing Date shall be
for the account of Buyer. Any cost or obligation related to any Permitted Lien
shall also be included as part of the adjustment and allocation between Buyer
and Seller.

                  (b)   To the extent not inconsistent with the express
provisions of this Agreement, the allocations made pursuant to this SECTION 2.6
shall be made in accordance with generally accepted accounting principles.

                  (c)   For purposes of making the adjustments pursuant to this
Section, Buyer shall prepare and deliver the Adjustment List to Seller within
forty five (45) days following the Closing Date, or such later date as shall be
mutually agreed to by Seller and Buyer. The Adjustment List shall set forth the
Adjustment Amount. If the Adjustment Amount is a credit to the account of Buyer,
Seller shall pay such amount to Buyer, and if the Adjustment Amount is a charge
to the account of Buyer, Buyer shall pay such amount to Seller. In the event
Seller disagrees with the Adjustment Amount determined by Buyer or with any
other matter arising out of this subsection, and Buyer and Seller cannot within
sixty (60) days resolve the disagreement themselves, the parties will refer the
disagreement to a firm of independent certified public accountants, mutually
acceptable to Seller and Buyer, whose decision shall be final. The fees and
expenses of such accountants shall be paid by the party who does not prevail on
the disputed matters decided by the accountants.

                                   ARTICLE III

                    REPRESENTATIONS AND WARRANTIES OF SELLER

         Notwithstanding anything to the contrary in this Agreement, Seller
makes no representation or warranty other than as set forth in this ARTICLE III.
Seller hereby represents and warrants to Buyer as follows:

         3.1      ORGANIZATION AND GOOD STANDING. Seller is a corporation,
validly existing and in good standing under the laws of the State of
____________ and authorized to conduct business in the State of ____________
and each and every jurisdiction where Seller conducts business. Seller has all
requisite power to own, operate and lease its properties and carry on its
business as it is now being conducted and as the same will be conducted until
the Closing.

         3.2      AUTHORIZATION AND BINDING EFFECT OF DOCUMENTS. Seller's
execution and delivery of, and the performance of its obligations under, this
Agreement and each of the other Documents, and the consummation by Seller of the
transactions contemplated hereby and thereby, have been duly authorized and
approved by all necessary corporate action on the part of Seller, and no other
corporate proceedings on the part of the Seller are necessary to authorize and
approve this Agreement. As of the date hereof, the Board of Directors of Seller
has determined that the transaction contemplated by this Agreement is advisable
and in the best interest of its stockholders. Seller has the power and authority
to execute, deliver and perform its obligations under this Agreement and each of
the other Documents and to consummate the transactions hereby and thereby
contemplated. This Agreement and each of the other Documents have been, or at or
prior to the Closing will be, duly executed by Seller. The Documents, when
executed and

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delivered by the parties hereto, will constitute legal and valid obligations of
Seller enforceable against it in accordance with their terms, except as may be
limited by bankruptcy, insolvency, reorganization, moratorium and similar laws
affecting the enforcement of creditors' rights or remedies generally, and except
as may be limited by general principles of equity.

         3.3      ABSENCE OF CONFLICTS. The execution and delivery of, and the
performance of its obligations under, this Agreement and each of the other
Documents by Seller, and the consummation of the transactions contemplated
hereby and thereby:

                  (a)   do not in any material respect (with or without the
giving of notice or the passage of time or both) violate, or result in the
creation of any Lien other than a Permitted Lien, on any of the Sale Assets
under any provision of law, rule or regulation or any order, judgment,
injunction, decree or ruling applicable to Seller;

                  (b)   do not (with or without the giving of notice or the
passage of time or both) conflict with or result in a breach or termination of,
or constitute a default or give rise to a right of termination or acceleration
under the articles of incorporation or bylaws of Seller or pursuant to any
lease, agreement, commitment or other instrument which Seller is a party to, or
bound by, or by which any of the Sale Assets may be bound, or result in the
creation of any Lien, other than a Permitted Lien, upon any of the Sale Assets.

         3.4      GOVERNMENTAL CONSENTS AND CONSENTS OF THIRD PARTIES. Except
for such consents as are required by the FCC and as are disclosed on SCHEDULE
3.4, the execution and delivery of, and the performance of Seller's obligations
under, this Agreement and each of the other Documents by Seller, and the
consummation by Seller of the transactions contemplated hereby and thereby, do
not require the consent, waiver, approval, permit, license, clearance or
authorization of, or any declaration of filing with, any court or public agency
or governmental body or other authority, or the consent of any person under any
agreement, arrangement or commitment of a nature to which Seller is a party or
by which it is bound or by which the Sale Assets are bound or to which they are
subject to, the failure of which to obtain would have a Material Adverse Effect
on the Sale Assets or the operation of the Station.

         3.5      SALE ASSETS. The Sale Assets include all of the assets,
properties and rights of every type and description, real, personal and mixed,
tangible and intangible, that are used in the conduct of the business of owning
and operating the Station in the manner in which that business is now conducted,
including, without limitation all of the assets described in SECTION 2.1 with
the exception of the Excluded Assets described in SECTION 2.2.

         3.6      TANGIBLE PERSONAL PROPERTY. Except for supplies and other
incidental items which in the aggregate are not of material value, the list of
Tangible Personal Property set forth on SCHEDULE 3.6 is a complete and correct
list of all of the items of tangible personal property (other than Excluded
Assets) used to a material extent in the operation of the Station in the manner
in which it is now operated. In addition:

                  (a) Seller has good, marketable and valid title to all of the
items of Tangible Personal Property free and clear of all Liens except Permitted
Liens, and including the right to transfer same.

                  (b) The Tangible Personal Property has been maintained in
accordance with industry practices and is in good operating condition subject
only to ordinary wear and tear.

                  (c) The Tangible Personal Property complies with applicable
rules and regulations of the FCC and the terms of the FCC Licenses.

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                  (d) There is no any defect in the condition or operation of
any item of the Tangible Personal Property which is reasonably likely to have a
Material Adverse Effect on the operation of the Station.

         3.7      REAL PROPERTY.

                  (a)   The real property described on SCHEDULE 3.7 constitutes
a complete and correct summary description in all material respects of all of
the interests in real estate, including all leases, used to any extent in the
operation of the Station in the manner in which it has been and is now operated.
Said real property, together with all improvements affixed thereto, is herein
defined as the "Real Property."

                  (b)   Seller does not owe any money to any architect,
contractor, subcontractor or materialman for labor or materials performed,
rendered or supplied to or in connection with the Real Property which shall not
be paid in full on or before Closing.

                  (c)   Seller's present use of the Real Property is in
compliance with all applicable zoning codes in effect as of the date hereof, and
Seller has not received any notices of uncorrected violations of the applicable
housing, building, safety or fire ordinances. The Real Property is served by all
utilities, including, without limitation, electricity and water in capacities
adequate for the present use of the Real Property and improvements thereon.

                  (d)   Seller has not made any other agreement for the sale or
lease of, or given any other person an option to purchase or lease or a right of
first refusal to purchase or lease, all or any part of the Real Property, and
Seller has not subjected the Real Property to any liens (other than Permitted
Liens), easements, rights, duties, obligations, covenants, conditions,
restrictions, limitations or agreements not of record.

                  (e)   Seller has good and marketable title to the Real
Property.

         3.8     FCC LICENSES. Seller is the holder of the FCC Licenses listed
on SCHEDULE 3.8, and except as set forth on such Schedule, the FCC Licenses (i)
are valid, in good standing and in full force and effect, unimpaired by any act
or omission of Seller, and constitute all of the licenses, permits and
authorizations required by the Act, the Rules and Regulations or the FCC for, or
used in, the operation of the Station in all material respects as now operated,
(ii) constitute all the current licenses and authorizations issued by the FCC to
Seller for or in connection with the current operation of the Station; (iii)
there is no condition imposed by the FCC as part of any FCC License which is
neither set forth on the face thereof as issued by the FCC nor contained in the
Rules and Regulations applicable generally to stations of the type, nature,
class or location of the Station; (iv) the Station is being operated at full
authorized power, in accordance with the terms and conditions of the FCC
Licenses applicable to it and in accordance with the Rules and Regulations,
except to the extent a failure to so comply would not constitute a Material
Adverse Effect; (v) no application, action or proceeding is pending, or, is
threatened which may result in the revocation, modification, non-renewal or
suspension of any of the FCC Licenses, the denial of any pending applications,
the issuance of any cease and desist order or the imposition of any fines,
forfeitures or other administrative actions by the FCC with respect to the
Station or its operation, other than proceedings affecting the radio
broadcasting industry in general; (vi) there is not before the FCC any material
investigation, proceeding, notice of violation or order of forfeiture relating
to the Station; (vii) Seller has complied in all material respects with all
requirements to file reports, applications and other documents with the FCC with
respect to the Station, and all such reports, applications and documents are
complete and correct in all material respects; (viii) there are no matters (A)
which could reasonably be expected to result in the suspension, revocation,
cancellation, modification of or the refusal to renew any of the FCC Licenses or
the imposition of any fines or forfeitures by the FCC, or (B) against Seller
which could reasonably be expected to result in the FCC's refusal to grant
approval of the assignment to Buyer of the FCC Licenses or

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the imposition of any Material Adverse Effect in connection with approval of
such assignment; (ix) there are not any unsatisfied or otherwise outstanding
citations issued by the FCC with respect to the Station or its operation; and
(x) the "Public Inspection File" of the Station is in substantial and material
compliance with Section 73.3526 of the Rules and Regulations. Complete and
accurate copies of all FCC Licenses are attached hereto as a part of SCHEDULE
3.8.

         3.9      STATION AGREEMENTS.

                  (a)   SCHEDULE 3.9 sets forth an accurate and complete list of
all material agreements, contracts, arrangements or commitments in effect as of
the date hereof, including all amendments, modifications and supplements thereto
which the Station or its assets or properties are bound by ("Station
Agreements"). Complete and correct copies of all Station Agreements have been
delivered to Buyer.

                  (b)   Except as set forth in the Schedules, and with respect
to all Station Agreements being assumed by Buyer, (i) all Station Agreements are
legal, valid and enforceable in accordance with their terms, subject to
applicable bankruptcy, insolvency, reorganization, moratorium and similar laws
affecting creditors' rights generally, and subject, as to enforceability, to
general principles of equity; (ii) neither Seller, nor, any party thereto is in
material breach of or in material default under any Station Agreements; (iii)
there has not occurred any event which, after the giving of notice or the lapse
of time or both, would constitute a material default under, or result in the
material breach of, any Station Agreements which are, individually or in the
aggregate, material to the operation of the Station; and (iv) Seller holds the
right to enforce and receive the benefits under all of the Station Agreements,
free and clear of all Liens (other than Permitted Liens) but subject to the
terms and provision of each such agreement.

                  (c)   SCHEDULE 3.9 indicates, for each Station Agreement
listed thereon which Agreement is being assumed by Buyer, and whether consent or
approval by any party thereto is required thereunder for consummation of the
transactions contemplated hereby.

                  (d)   Buyer and Seller acknowledge that certain of the Station
Agreements, to be included in the Sale Assets, and the rights and benefits
thereunder necessary or appropriate or relating to the conduct of the business
and activities of Seller and/or the Station may not, by their terms, be
assignable. Anything in this Agreement to the contrary notwithstanding, this
Agreement shall not constitute an agreement to assign such Station Agreement,
and Buyer shall not be deemed to have assumed the same or to be required to
perform any obligations thereunder, if an attempted assignment thereof, without
the consent of a third party thereto, would constitute a breach thereof or in
any way affect the rights under such Station Agreement of Buyer or Seller
thereunder. In such event, Seller will cooperate with Buyer to provide for Buyer
all benefits to which Seller is entitled under such Station Agreements, and any
transfer or assignment to Buyer by Seller of any such Station Agreement or any
right or benefit arising thereunder or resulting therefrom which shall require
the consent or approval of any third party shall be made subject to such consent
or approval being obtained. Seller shall, without further consideration
therefor, pay, assign and remit to Buyer promptly all monies, and, to the extent
permitted, all other rights or consideration received or obtained, or which may
be received or obtained in respect of performance of such Station Agreements.

         3.10 LITIGATION. There are no actions, suits, claims, investigations or
administrative, arbitration or other proceedings pending or threatened against
Seller which would, individually or in the aggregate if adversely determined,
have a Material Adverse Effect on the Sale Assets or the operation of the
Station, or which would give any third party the right to enjoin the
transactions contemplated by this Agreement. There is no basis for any such
claim, investigation, action, suit or proceeding which would, individually or in
the aggregate if adversely determined, have a Material Adverse Effect on the
Sale Assets or operation of the Station. To the best knowledge of Seller, there
are no existing or pending orders, judgments or decrees of any court or
governmental agency affecting Seller, the Station or any of the Sale

                                       9
<PAGE>

Assets which would materially adversely affect the Station's operations of the
Sale Assets. Notwithstanding the disclosure of any matter herein, Buyer shall
not assume any liability for any such matter.

         3.11    LABOR MATTERS.

                  (a)   Seller is not a party to any collective bargaining
agreement, and there is no collective bargaining agreement that determines the
terms and conditions of employment of any employees of Seller.

                  (b)   With respect to the Station:

                        (i)      There is no labor  strike,  dispute,  slow-down
or stoppage pending or, to the actual knowledge of Seller, threatened against
the Station;

                        (ii)     Except as set forth in SCHEDULE 3.11,  there
are neither  pending nor threatened,  any suits,  actions, administrative
proceedings, union organizing activities, arbitrations, grievances, complaint,
charges, claims or other proceedings between Seller and any employees of the
Station or any union representing such employees; and to Seller's actual
knowledge, there are no existing labor or employment or other controversies or
grievances involving employees of the Station which have had or are reasonably
likely to have a Material Adverse Effect on the operation of the Station;

                        (iii)    (A) Seller is in compliance in all material
respects with all laws,  rules and  regulations  relating to the employment of
labor and all employment contractual obligations, including those relating to
wages, hours, collective bargaining, affirmative action, discrimination, sexual
harassment, wrongful discharge and the withholding and payment of taxes and
contributions except for such non-compliance which individually or in the
aggregate would not have a Material Adverse Effect on the business or financial
condition of the Station; (B) Seller has withheld all amounts required by law or
agreement to be withheld from the wages or salaries of its employees; and (C)
Seller is not liable to any present or former employees or any governmental
authority for damages, arrears of wages or any tax or penalty for failure to
comply with the foregoing except for such liability which individually or in the
aggregate would not have a Material Adverse Effect on the business or financial
condition of the Station;

                           (iv) Buyer's  consummation of the  transactions
contemplated by this Agreement in accordance with the terms hereof shall not,
as a result of or in connection with the transactions contemplated hereby,
impose upon Buyer the obligation to pay any severance or termination pay under
any agreement, plan or arrangement binding upon Seller.

         3.12     EMPLOYEE BENEFIT PLANS. Buyer's consummation of the
transactions contemplated by this Agreement in accordance with the terms
hereof shall not, as a result of or in connection with the transactions
contemplated hereby, impose upon Buyer any obligation under any benefit plan,
contract or arrangement (regardless of whether they are written or unwritten and
funded or unfunded) covering employees or former employees of Seller in
connection with their employment by Seller. For purposes of the Agreement,
"benefit plans" shall include without limitation employee benefit plans within
the meaning of Section 3(3) of the Employee Retirement Income Security Act of
1974, as amended, vacation benefits, employment and severance contracts, stock
option plans, bonus programs and plans of deferred compensation.

         3.13     COMPLIANCE WITH LAW. The operation of the Station complies in
all material respects with the applicable rules and regulations of the FCC and
all federal, state, local or other laws, statutes, ordinances, regulations,
and any applicable order, writ, injunction or decree of any court, commission,
board, agency or other instrumentality.

                                       10
<PAGE>

         3.14     ENVIRONMENTAL MATTERS; OSHA.

                  (a)   Seller has obtained all material, environmental, health
and safety permits necessary or required for either the operation of the Station
as currently operated or the ownership of the Sale Assets and all such permits
are in full force and effect and Seller is in compliance with all material terms
and conditions of such permits.

                  (b)   There is no proceeding pending or threatened which may
result in the reversal, rescission, termination, modification or suspension of
any environmental or health or safety permits necessary for the operation of the
Station as currently conducted or the ownership of the Sale Assets.

                  (c)   With respect to the Station and the Sale Assets, Seller
is in compliance in all material respects with the provisions of Environmental
Laws.

                  (d)   Seller has not, and no other person or entity, has
caused or permitted materials to be generated, released, stored, treated,
recycled, disposed of, on, under or at such parcels, which materials, if known
to be present, would require clean up, removal or other remedial or responsive
action under Environmental Laws (other than normal office, cleaning and
maintenance supplies in reasonable quantities used and /or stored appropriately
in the buildings or improvements on the Real Property). Seller has not caused
the migration of any materials from the Sale Assets onto or under any property,
which materials, if known to be present, would require cleanup, removal or other
remedial or responsive action under Environmental Laws. There are no underground
storage tanks and no PCBs or friable asbestos in or on the Sale Assets or Real
Property.

                  (e)   Seller is not subject to any judgment, decree, order or
citation with respect to the Sale Assets related to or arising out of
Environmental Laws, and Seller has not received notice that it has been named or
listed as a potentially responsible party by any person or governmental body or
agency in any matter, under Environmental Laws.

                  (f)   Seller has not discharged or disposed of any petroleum
product or solid waste on the Real Property or on the property adjacent to the
Real Property owned by third parties, which may form the basis for any present
or future claim based upon the Environmental Laws in existence on the date
hereof or as of the Closing, or any demand or action seeking clean-up of any
site, location, body of water, surface or subsurface, under any Environmental
Laws or otherwise, or which may subject the owner of the Real Property to claims
by third parties (except to the extent third party liability can be established)
for damages.

                  (g)   No portion of the Sale Assets have ever been used by
Seller, nor by any previous owner of the Sale Assets, or any of them, in
material violation of Environmental Laws or as a landfill, dump site or any
other use which involves the disposal or storage of Hazardous Materials on-site
or in any manner which may have a Material Adverse Effect on the value of the
Real Property or the Sale Assets.

                  (h)   No pesticides, herbicides, fertilizers or other
materials have been used on, applied to or disposed of by Seller on or in the
Sale Assets in material violation of any Environmental Laws (other than normal
office, cleaning and maintenance supplies in reasonable quantities used and/or
stored appropriately in the buildings or improvements on the Real Property).

                  (i)   With respect to the Sale Assets, Seller has disposed of
all waste in full compliance with all Environmental Laws and there is no
existing condition that may form the basis of any present or future claim,
demand or action seeking clean up of any facility, site, location or body of
water, surface or subsurface, for which the Buyer could be liable or responsible
solely as a result of the disposal of

                                       11
<PAGE>

 waste at such site by a prior owner of the Sale Assets.

                  (j)   Seller is in material compliance with all OSHA Laws
applicable to the Sale Assets.

                  (k)   Seller has not received written notice of, nor is it the
subject of, any actions, causes of action, claims, investigations, demands or
notices alleging liability under or non-compliance with Environmental Laws or
that Seller is a potentially responsible party at any superfund site or state
equivalent site with respect to the Real Property or Sale Assets.

                  (l)   Seller has not agreed to indemnify any predecessor or
other party with respect to any environmental liability relating to the Real
Property or Sale Assets.

         3.15     TOWER COORDINATES. At Closing, the current vertical elevation
and geographical coordinates of the Station's towers ("the Tower Coordinates")
shall be properly registered with the FCC and Federal Aviation Administration
("FAA"); and the Tower Coordinates shall comply with and correspond to the
current vertical elevation an geographical coordinates authorized by the FAA,
FCC and any other governmental authority, including any federal, state or local
authority having jurisdiction over the Station or said towers.

         3.16     FILING OF TAX RETURNS. Seller has filed all federal, state and
local tax returns which are required to be filed, and has paid all taxes and all
assessments to the extent that such taxes and assessments have become due, other
than such returns, taxes and assessments, the failure to file or pay would not,
individually or in the aggregate, have a Material Adverse Effect on Buyer.

         3.17     ABSENCE OF INSOLVENCY. No insolvency proceedings of any
character including without limitation, bankruptcy, receivership,
reorganization, composition or arrangement with creditors, voluntary or
involuntary, affecting the Seller or any of the Sale Assets, are pending or
threatened, and Seller has made no assignment for the benefit of creditors, nor
taken any action with a view to, or which would constitute the basis for the
institution of, any such insolvency proceedings.

         3.18     BROKER'S OR FINDER'S FEES. Except for as set forth on SCHEDULE
3.18, no agent, broker, investment banker or other person or firm acting on
behalf of or under the authority of Seller or any affiliate of Seller is or will
be entitled to any broker's or finder's fee or any other commission or similar
fee, directly or indirectly, in connection with the transactions contemplated by
this Agreement.

         3.19     INSURANCE. There is now, and through the Closing Date there
shall be, in full force and effect with reputable insurance companies fire and
extended coverage insurance with respect to all material tangible Sale Assets
and public liability insurance, all in commercially reasonable amounts, and the
Sale Assets shall be insured to cover the full amount of any loss.

         3.20     NO UNDISCLOSED LIABILITIES. As of the Closing Date, Seller has
no liabilities or obligations of any nature, whether or not accrued, contingent
or otherwise, of a type required by GAAP to be reflected on a consolidated
balance sheet that relates to the Station or the Sale Assets except liabilities
or obligations which would not in the aggregate have a Material Adverse Effect
on the Station or Sale Assets.

         3.21     ABSENCE OF CERTAIN CHANGES OR EVENTS. As of the Closing Date,
the Station and Sale Assets shall have been conducted and utilized in all
material respects in the ordinary course and there has not been any event,
circumstance, occurrence or development that has had or will have a Material
Adverse Effect on the Station or Sale Assets.

         3.22     REPRESENTATIONS COMPLETE. None of the representations or
warranties made by Seller,

                                       12
<PAGE>

nor any statement made in any document or certificate furnished by Seller
pursuant to this Agreement contains or will contain at the Closing, any untrue
statement of a material fact, or omits or will omit at the Closing, to state any
material fact necessary in order to make the statements contained herein or
therein, in the light of the circumstances under which they were made, not
misleading.

                                   ARTICLE IV

                     REPRESENTATIONS AND WARRANTIES OF BUYER

          Buyer represents and warrants to Seller as follows:

         4.1      ORGANIZATION AND GOOD STANDING. Buyer is a corporation duly
organized, validly existing and in good standing under the laws of the State of
Delaware Buyer has all requisite corporate power to own, operate and lease its
properties and carry on its business as it is now being conducted and as the
same will be conducted following the Closing.

         4.2      AUTHORIZATION AND BINDING EFFECT OF DOCUMENTS. Buyer's
execution and delivery of, and the performance of its obligations under, this
Agreement and each of the other Documents, and the consummation by Buyer of the
transactions contemplated hereby and thereby, have been duly authorized and
approved by all necessary corporate action on the part of Buyer. Buyer has the
power and authority to execute, deliver and perform its obligations under this
Agreement and each of the other Documents and to consummate the transactions
hereby and thereby contemplated. This Agreement and each of the other Documents
have been, or at or prior to the Closing will be, duly executed by Buyer. The
Documents, when executed and delivered by the parties hereto, will constitute
the valid and legally binding agreement of Buyer, enforceable against Buyer in
accordance with their terms, except as may be limited by bankruptcy, insolvency,
or other similar laws affecting the enforcement of creditors' rights or remedies
generally, and except as may be limited by general principles of equity.

         4.3      ABSENCE OF CONFLICTS. Buyer's execution and delivery of,
and the performance of its obligations under, this Agreement and each of the
other Documents and the consummation by Buyer of the transaction contemplated
hereby and thereby:

                  (a)   do not in any material respect (with or without the
giving of notice or the passage of time or both) violate or result in the
creation of any claim, lien, charge or encumbrance on any of the assets or
properties of Buyer under any provision of law, rule or regulation or any order,
judgment, injunction, decree or ruling applicable to Buyer in any manner which
would have a Material Adverse Effect on the assets, business, operation or
financial condition or results of operations of Buyer;

                  (b)   do not (with or without the giving of notice or the
passage of time or both) conflict with or result in a breach or termination of,
or constitute a default or give rise to a right of termination or acceleration
under, the articles of incorporation or bylaws of Buyer or any lease, agreement,
commitment, or other instrument which Buyer is a party to, bound by, or by which
any of its assets or properties may be bound.

         4.4      GOVERNMENTAL CONSENTS AND CONSENTS OF THIRD PARTIES. Except
for the required consent of the FCC, Buyer's execution and delivery of, and the
performance of its obligations under, this Agreement and each of the other
Documents and the consummation by Buyer of the transaction contemplated hereby
and thereby, do not require the consent, waiver, approval, permit, license,
clearance or authorization of, or any declaration or filing with, any court or
public agency or other authority, or the consent of any person under any
agreement, arrangement or commitment of any nature to which Buyer is a party or
by which it is bound, the failure of which to obtain would have a Material
Adverse Effect on the assets, business, operation or financial condition or
results of operations of Buyer.

                                       13
<PAGE>

         4.5      QUALIFICATION.

                  (a)   Buyer has no knowledge after due inquiry of any facts
concerning Buyer or any other person with an attributable interest in Buyer (as
such term is defined under the Rules and Regulations) which, under present law
(including the Act) and the Rules and Regulations, would (i) disqualify Buyer
from being the holder of the FCC Licenses, the owner of the Sale Assets or the
operator of the Station upon consummation of the transactions contemplated by
this Agreement, or (ii) raise a substantial and material question of fact
(within the meaning of Section 309(e) of the Act) respecting Buyer's
qualifications.

                  (b)   Without limiting the foregoing SUBSECTION (a), Buyer
shall make the affirmative certifications provided in Section III of FCC Form
314, or as may be required on any form required by the FCC to obtain its consent
to this transaction, at the time of filing of such form with the FCC as
contemplated by SECTION 5.2.

         4.6      BROKER'S OR FINDER'S FEES. No agent, broker, investment
banker, or other person or firm acting on behalf of or under the authority or
Buyer or any affiliate of Buyer is or will be entitled to any broker's or
finder's fee or any other commission or similar fee, directly or indirectly, in
connection with transactions contemplated by this Agreement.

         4.7      LITIGATION. There are no legal, administrative, arbitration or
other proceedings or governmental investigations pending or, to the knowledge of
Buyer, threatened against Buyer that would give any third party the right to
enjoin the transactions contemplated by this Agreement.

         4.8      REPRESENTATIONS COMPLETE. None of the representations or
warranties made by Buyer, nor any statement made in any document or certificate
furnished by Buyer pursuant to this Agreement contains or will contain at the
Closing, any untrue statement of a material fact, or omits or will omit at the
Closing, to state any material fact necessary in order to make the statements
contained herein or therein, in the light of the circumstances under which they
were made, not misleading.

                                    ARTICLE V

                     TRANSACTIONS PRIOR TO THE CLOSING DATE

         5.1      CONDUCT OF THE STATION'S BUSINESS PRIOR TO THE CLOSING DATE.
Seller covenants and agrees with Buyer that between the date hereof and the
Closing Date, unless the Buyer otherwise agrees in writing (which agreement
shall not be unreasonably withheld or delayed), Seller shall:

                  (a)   Use reasonable commercial efforts to maintain insurance
upon all of the Sale Assets in such amounts and of such kind to cover the full
amount of any loss with respect to such Sale Assets and with respect to the
operation of the Station, with insurers of substantially the same or better
financial condition;

                  (b)   Operate the Station and otherwise conduct its business
in all material respects in accordance with the terms or conditions of its FCC
Licenses, the Rules and Regulations, the Act and all other rules and
regulations, statutes, ordinances and orders of all governmental authorities
having jurisdiction over any aspect of the operation of the Station, except
where the failure to so operate would not have a Material Adverse Effect on the
Sale Assets or the operation of the Station or on the ability of Seller to
consummate the transactions contemplated hereby;

                                       14
<PAGE>

                  (c)   Comply in all material respects with all Station
Agreements now or hereafter existing;

                  (d)   Promptly notify Buyer of any material default by, or
claim of default against, any party under any Station Agreements and any event
or condition which, with notice or lapse of time or both, would constitute an
event of default under such Station Agreements;

                  (e)   Not mortgage, pledge or subject to any Lien other than
a Permitted Lien any of the Sale Assets;

                  (f)   Not sell, lease or otherwise  dispose of, nor agree to
sell, lease or otherwise  dispose of, any of the Sale
Assets;

                  (g)   Not amend or terminate any Station Agreement;

                  (h)   Not introduce any material change with respect to the
operation of the Station including, without limitation, any material changes in
the broadcast hours of the Station or any other material change in the Station's
programming policies, except such changes as in the sole discretion of Seller,
exercised in good faith after consultation with Buyer, are required by the
public interest;

                  (i)   Notify Buyer of any complaints, investigations, hearing
or any material litigation pending or threatened against Station or any material
damage to or destruction of any assets included or to be included in the Sale
Assets.

         5.2      GOVERNMENTAL CONSENTS. Seller and Buyer shall file with the
FCC, within ten (10) business days after the execution of this Agreement, such
applications and other documents in the name of Seller or Buyer, as appropriate,
as may be necessary or advisable to obtain the FCC Order. Seller and Buyer shall
take all commercially reasonable steps necessary to prosecute such filings with
diligence and shall diligently oppose any objections to, appeals from or
petitions to reconsider such approval of the FCC, to the end that the FCC Order
and a Final Action with respect thereto may be obtained as soon as practicable;
provided, however, that in the event the application for assignment of the FCC
Licenses has been designated for hearing, either Buyer or Seller may elect to
terminate this Agreement pursuant to SECTION 10.1(C). Buyer shall not knowingly
take, and Seller covenants that Seller shall not knowingly take, any action that
such party knows or has reason to know would materially and adversely affect or
materially delay issuance of the FCC Order or materially and adversely affect or
materially delay its becoming a Final Action without a Material Adverse Effect,
unless such action is requested or required by the FCC, its staff or the Rules
and Regulations. Should Buyer or Seller become aware of any facts which could
reasonably be expected to materially and adversely affect or materially delay
issuance of the FCC Order without a Material Adverse Effect (including but not
limited to, in the case of Buyer, any facts which would reasonably be expected
to disqualify Buyer from controlling the Station), such party shall promptly
notify the other party thereof in writing and both parties shall cooperate to
take all steps necessary or desirable to resolve the matter expeditiously and to
obtain the FCC's approval of matters pending before it. Subject to the terms and
conditions herein provided, Buyer and Seller shall promptly determine whether
any filings are required to be made with, or consents, permits, authorizations
or approvals are required to be obtained from, any other governmental agency or
regulatory body of the federal, state and local jurisdictions in connection with
the execution and delivery of this Agreement and the consummation of the
transactions contemplated hereby and take all reasonable actions necessary to
obtain any required permits, authorizations or appraisals.

         5.3      OTHER CONSENTS. Seller shall use its reasonable best efforts
to obtain the consent or waivers to the transactions contemplated by this
Agreement required under any assumed Station Agreements; provided that Seller
shall not be required to pay or grant any material consideration in order to

                                       15
<PAGE>

obtain any such consent or waiver.

         5.4      TAX RETURNS AND PAYMENTS. All taxes pertaining to ownership of
the Sale Assets or operation of the Station prior to the Closing Date will be
timely paid; provided that Seller shall not be required to pay any such tax so
long as the validity thereof shall be contested in good faith by appropriate
proceedings and Seller shall have set aside adequate reserves with respect to
any such tax to the reasonable satisfaction of Buyer.

         5.5      ACCESS PRIOR TO THE CLOSING DATE. Prior to the Closing, Buyer
and its representatives may make such reasonable investigation of the assets and
business of the Station and the Sale Assets as it may desire; and Seller shall
give to Buyer, its engineers, counsel, accountants and other representatives
reasonable access during normal business hours throughout the period prior to
the Closing to personnel and all of the assets, books, records and files of or
pertaining to the Station and the Sale Assets, provided that (i) Buyer shall
give Seller reasonable advance notice of each date on which Buyer or any such
other person or entity desires such access, (ii) each person (other than an
officer of Buyer) shall, if requested by Seller, be accompanied by an officer or
their representative of Buyer approved by Seller, which approval shall not be
unreasonably withheld, (iii) the investigations at the offices of Seller shall
be reasonable in number and frequency, and (iv) all investigations shall be
conducted in such a manner as not to physically damage any property or
constitute a disruption of the operation of the Station or Seller. Seller shall
furnish to Buyer during such period all documents and copies of documents and
information concerning the business and affairs of Seller and the Station as
Buyer may reasonably request. No investigation or information furnished pursuant
to this SECTION 5.5 shall affect any representations or warranties made by the
Seller herein.

         5.6      CONFIDENTIALITY; PRESS RELEASE. All information, data and
materials furnished or to be furnished to either party with respect to the other
party in connection with this transaction or pursuant to this Agreement are
confidential. Each party agrees that prior to Closing (a) it shall not disclose
or otherwise make available, at any time, any such information, data or material
to any person who does not have a confidential relationship with such party; (b)
it shall protect such information, data and material with a high degree of care
to prevent the disclosure thereof; and (c) if, for any reason, this transaction
is not consummated, all information, data or material concerning the other party
obtained by such party, and all copies thereof, will be returned to the other
party. After Closing, neither party will disclose or otherwise make available to
any person any of such information, data or material concerning the other party,
except as may be necessary or appropriate in connection with the operation of
the Station by Buyer. Each party shall use its reasonable efforts to prevent the
violation of any of the foregoing confidentiality provisions by its respective
representatives. Notwithstanding the foregoing, nothing contained herein shall
prohibit Buyer or Seller from:

                        (i)      using such  information,  data and materials in
connection with any action or proceeding brought or any claim asserted by Buyer
or Seller in respect of any breach by the other of any representation, warranty
or covenant made in or pursuant to this Agreement; or

                        (ii)     supplying or filing such  information,  data or
materials to or with the FCC or SEC or any other valid governmental or court
authority to the extent required by law or reasonably necessary to obtain any
consent, waiver, amendment, modification, approval, authorization, permit or
license which may be necessary to effectuate this Agreement, and to consummate
the transaction contemplated herein.

In the event that either party determines in good faith that a press release or
other public announcement is desirable under any circumstances, the parties
shall consult with each other to determine the appropriate timing, form and
content of such release or announcement and thereafter may make such release or
announcement.

                                       16
<PAGE>

         5.7      REASONABLE BEST EFFORTS. Subject to the terms and conditions
of this Agreement, each of the parties hereto will use its reasonable best
efforts to take all action and to do all things necessary, proper or advisable
to satisfy any condition to the parties' obligations hereunder in its power to
satisfy and to consummate and make effective as soon as practicable the
transactions contemplated by this Agreement.

         5.8      FCC REPORTS. Seller shall continue to file, on a current basis
until the Closing Date, all reports and documents required to be filed with the
FCC with respect to the Station. Seller shall provide Buyer with copies of all
such filings within five business days of the filing with the FCC.

         5.9      CONVEYANCE FREE AND CLEAR OF LIENS. At or prior to the
Closing, Seller shall obtain executed releases, in suitable form for filing and
otherwise in form and substance reasonably satisfactory to Buyer, of any
security interests granted in the Sale Assets and properties as security for
payment of loans and other obligations or judgments and of any other Liens on
the Sale Assets. At the closing, Seller shall transfer and convey to Buyer all
of the Sale Assets free and clear of all Liens except Permitted Liens.

         5.10     ENVIRONMENTAL ASSESSMENT. Not later than forty-five (45) days
after execution of this Agreement, Buyer may obtain a Phase I ("the Phase I")
environmental assessment of the Sale Assets by an environmental engineer
selected by Buyer. Within fourteen (14) days after Buyer's receipt of the Phase
I, if the Phase I indicates environmental conditions may exist on, under or
affect such properties that may constitute a violation or breach of Seller's
representations and warranties contained in SECTION 3.14 of this Agreement or
cause the condition contained in SECTION 6.9 to not be satisfied, then Buyer
shall be entitled to obtain a Phase II ("the Phase II") environmental assessment
of the Real Property, or any portion thereof. (The Phase I and the Phase II, if
obtained, shall be referred to herein as the "Environmental Assessment"). Buyer
shall commission and pay the cost of such Environmental Assessment and shall
provide a copy to Seller. The Environmental Assessment shall be subject to the
confidentiality provisions of SECTION 5.6. If after appropriate inquiry into the
previous ownership of and uses of the Real Property consistent with good
commercial or customary practice, the engineer concludes that environmental
conditions exist on, under or affecting such properties that would constitute a
violation or breach of Seller's representations and warranties contained in
SECTION 3.14 of this Agreement or cause the condition contained in SECTION 6.9
to not be satisfied, then Buyer may elect to proceed with the Closing or
terminate the Agreement at the sole option of Buyer.

         5.11     NO INCONSISTENT ACTIVITIES. Seller agrees that it shall not,
nor shall it authorize or permit any officer, director, employee, investment
banker, attorney, advisor or agent, to directly or indirectly, solicit, initiate
or encourage the submission of, or participate in any discussions or
negotiations regarding, or furnish to any person any information with respect
to, or take any other action to facilitate any inquiries or the making of any
proposal by any party to acquire the Station or the Sale Assets.

                                   ARTICLE VI

                           CONDITIONS PRECEDENT TO THE
                          OBLIGATIONS OF BUYER TO CLOSE

         Buyer's obligation to close the transaction contemplated by this
Agreement is subject to the satisfaction, on or prior to the Closing Date, of
each of the following conditions, unless waived by Buyer in writing:

         6.1      ACCURACY OF REPRESENTATIONS AND WARRANTIES;
                  CLOSING CERTIFICATE.

                  (a) The representations and warranties of Seller contained in
this Agreement or in any other Document shall be complete and correct in all
material respects on the date hereof and at the

                                       17
<PAGE>

Closing Date with the same effect as though made at such time except for changes
that do not have a Material Adverse Effect on the Station or the Sale Assets
taken as a whole.

                  (b)   Seller shall have delivered to Buyer on the Closing Date
a certificate that (i) the condition specified in SECTION 6.1(a) is satisfied as
of the Closing Date, and (ii) except as set forth in such certificate (none of
which exceptions shall be a Material Adverse Effect on the Station, the Sale
Assets or Seller's ability to consummate the transaction contemplated hereby),
the condition specified in SECTION 6.2 is satisfied as of the Closing Date.

         6.2      PERFORMANCE OF AGREEMENTS. Seller shall have performed in all
material respects all of its covenants, agreements and obligations required by
this Agreement and each of the other Documents to be performed or complied with
by it prior to or upon the Closing Date.

         6.3      FCC AND OTHER CONSENTS.

                  (a)   The FCC Order shall have been issued by the FCC and
shall have become a Final Action  without any  Material Adverse Effect.

                  (b)   Seller shall have satisfied all material conditions
which the FCC Order or any order, ruling or decree of any judicial or
administrative body relating thereto or in connection therewith specifies and
requires to be satisfied by Seller prior to transfer of the FCC Licenses to
Buyer.

                  (c)   All other material authorizations, consents, approvals
and clearances of federal, state or local governmental agencies required to
permit the consummation by Buyer of the transactions contemplated by this
Agreement including, without limitation, the assignment of any FCC Authorization
requested by Buyer, shall have been obtained; all material statutory and
regulatory requirements for such consummation shall have been fulfilled; and no
such authorizations, consents, approvals or clearances shall contain any
conditions that individually or in the aggregate would have a Material Adverse
Effect on the operations of the Station.

         6.4      ADVERSE PROCEEDINGS. Neither Buyer nor any affiliate of Buyer
shall be subject to any ruling, decree, order or injunction restraining,
imposing material limitations on or prohibiting (i) the consummation of the
transactions contemplated hereby or (ii) its participation in the operation,
management, ownership or control of the Station; and no litigation, proceeding
or other action seeking to obtain any such ruling, decree, order or injunction
shall be pending. No governmental authority having jurisdiction shall have
notified any party to this Agreement that consummation of the transaction
contemplated hereby would constitute a violation of the laws of the United
States or of any state or political subdivision or that it intends to commence
proceedings to restrain such consummation or to force divestiture, unless such
governmental authority shall have withdrawn such notice. No governmental
authority having jurisdiction shall have commenced any such proceeding.

         6.5      OPINION OF SELLER'S FCC COUNSEL. Buyer shall have received
from Seller's FCC counsel an opinion, dated the Closing Date, in form and
substance reasonably satisfactory to Buyer's FCC counsel, to the effect that:

                  (a)   The FCC Licenses listed on SCHEDULE 3.8 are valid, in
good standing and in full force and effect and include all material licenses,
permits and authorizations which are necessary under the Rules and Regulations
for Seller to operate the Station in the manner in which the Station is
currently being operated.

                  (b)   To counsel's knowledge, no condition has been imposed by
the FCC as part of any FCC License which is not set forth on the face thereof as
issued by the FCC or contained in the Rules

                                       18
<PAGE>

and Regulations applicable generally to stations of the type, nature, class or
location of the Station.

                  (c)   No proceedings are pending or, to counsel's knowledge,
are threatened which may result in the revocation, modification, non-renewal of,
suspension of, or the imposition of a Material Adverse Effect upon, any of the
FCC Licenses, the denial of any pending applications, the issuance of any cease
and desist order or the imposition of any fines, forfeitures or other
administrative actions by the FCC which would materially adversely affect the
continued operation of the Station, other than proceedings affecting the radio
broadcasting industry in general.

         6.6      OTHER CONSENTS. Seller shall have obtained in writing and
provided to Buyer on or before the Closing Date, without any condition
materially adverse to Buyer or the Station, the material consents or waivers to
the transactions contemplated by this Agreement required under those Station
Agreements which Buyer has elected to assume.

         6.7      DELIVERY OF CLOSING  DOCUMENTS.  Seller shall have delivered
or caused to be delivered to Buyer on the Closing Date each of the Documents
required to be delivered pursuant to SECTION 8.2.

         6.8      NO CESSATION OF BROADCASTING.

                  (a)   Between the date hereof and the Closing Date, the
Station shall not have for a period of more than ten (10) continuous days, (i)
ceased broadcasting on its authorized frequency, (ii) lost substantially all of
its normal broadcasting capability or (iii) been broadcasting at a power level
of 50% or less of its FCC authorized level. Seller shall promptly notify Buyer
of the occurrence of any one or more of the foregoing events or conditions, and
the non-fulfillment of the condition precedent set forth in this Subsection
caused by the occurrence of the events specified in Seller's notice shall be
deemed waived by Buyer unless, within fifteen (15) days after Buyer's receipt of
Seller's written notice, Buyer notifies Seller in writing to the contrary.

                  (b) In addition, during the five (5) days immediately
preceding the Closing Date, the Station shall have been operating continuously
with substantially all of its normal broadcasting capability except for
cessation or reductions for insignificant periods of time resulting from
occurrences (such as lightning strikes) over which Seller has no control. Seller
shall have the right to delay Closing for a period not to exceed thirty (30)
days if Seller reasonably determines that any action to restore the Station
substantially all of its normal broadcasting capability can be completed during
such delay period.

         6.9      ENVIRONMENTAL CONDITIONS. The Environmental Assessment
obtained by Buyer pursuant to SECTION 5.10 hereof shall not have disclosed any
material violation of any Environmental Law which is not removed or cured by
Seller prior to Closing.

         6.10     ATLA POLICY. Seller shall have furnished to Buyer, at Seller's
expense, an ATLA Title Insurance Policy, dated as of the Closing, that title to
the Real Property is consistent with the representations and warranties set
forth in Sections 3.7(d) and (e).

                                   ARTICLE VII

                           CONDITIONS PRECEDENT OF THE
                          OBLIGATION OF SELLER TO CLOSE

         The obligation of Seller to close the transaction contemplated by this
Agreement is subject to the satisfaction, on or prior to the closing Date, of
each of the following conditions, unless waived by Seller in writing:

                                       19
<PAGE>

         7.1      ACCURACY OF REPRESENTATIONS AND WARRANTIES.

                  (a)   The representations and warranties of Buyer contained in
this Agreement shall be complete and correct in all material respects on the
date hereof and at the Closing Date with the same effect as though made at such
time except for changes that are not materially adverse to Seller.

                  (b)   Buyer shall have delivered to Seller on the Closing Date
a certificate that (i) the condition specified in SECTION 7.1(a) is satisfied as
of the Closing Date, and (ii) except as set forth in such certificate (none of
which exceptions shall be a Material Adverse Effect on Buyer's ability to
consummate the transaction contemplated hereby), the conditions specified in
SECTION 7.2 are satisfied as of the Closing Date.

         7.2      PERFORMANCE OF AGREEMENTS. Buyer shall have performed in all
material respects all of its covenants, agreements and obligations required by
this Agreement and each of the other Documents to be performed or complied with
by it prior to or upon the Closing Date.

         7.3      FCC AND OTHER CONSENTS.

                  (a)   The FCC Order shall have been issued by the FCC and
shall have become effective under the rules of the FCC, without any condition
materially adverse to Seller.

                  (b)   Conditions which the FCC Order or any order, ruling or
decree of any judicial or administrative body relating thereto or in connection
therewith specifies and requires to be satisfied by Buyer prior to transfer of
the FCC Licenses to Buyer shall have been satisfied by Buyer.

                  (c)   All other authorizations, consents, approvals and
clearances of all federal, state and local governmental agencies required to
permit the consummation by Seller of the transactions contemplated by this
Agreement shall have been obtained; all statutory and regulatory requirements
for such consummation shall have been fulfilled; and no such authorizations,
consents, approvals or clearances shall contain any conditions that individually
or in the aggregate would have any material adverse effect on Seller.

         7.4      ADVERSE PROCEEDINGS. Seller shall not be subject to any
ruling, decree, order or injunction restraining, imposing material limitations
on or prohibiting the consummation of the transactions contemplated hereby. No
governmental authority having jurisdiction shall have notified any party to this
Agreement that consummation of the transactions contemplated hereby would
constitute a violation of the laws of the United States or of any state or
political subdivision or that it intends to commence proceedings to restrain
such consummation or to force divestiture, unless such governmental authority
shall have withdrawn such notice. No governmental authority having jurisdiction
shall have commenced any such proceeding.

         7.5      DELIVERY OF CLOSING DOCUMENTS AND PURCHASE PRICE. Buyer shall
have delivered or caused to be delivered to Seller on the Closing Date each of
the Documents required to be delivered pursuant to SECTION 8.3, and Seller shall
have received payment of the Purchase Price with the form of payment set forth
in SECTION 2.4.
                                  ARTICLE VIII

                                       20
<PAGE>

                                     CLOSING

         8.1      TIME AND PLACE. Unless otherwise agreed to in advance by the
parties, Closing shall take place in person or via facsimile at the offices of
Buyer's counsel in Westlake Village, California, or at such other place as the
parties agree, at 10:00 A.M. Pacific Time on the date (the "Closing Date") that
is the later of (i) the fifth Business Day after the Applicable Date or (ii) the
date as soon as practicable following satisfaction or waiver of the conditions
precedent hereunder. The "Applicable Date" shall be the date on which issuance
of the FCC Order without any Material Adverse Effect or condition materially
adverse to Seller has become effective.

         8.2      DOCUMENTS  TO BE  DELIVERED TO BUYER BY SELLER.  At the
Closing, Seller shall deliver or cause to be delivered to Buyer the following:

                  (a)   Certified resolutions of Seller's Board of Directors and
Shareholders approving the execution and delivery of this Agreement and each of
the other Documents and authorizing the consummation of the transactions
contemplated hereby and thereby.

                  (b)   The certificate required by SECTION 6.1(b).

                  (c)   A bill of sale and other instruments of transfer
and conveyance transferring to Buyer the Tangible Personal Property.

                  (d)   Executed releases, in suitable form for filing and
otherwise in form and substance reasonably satisfactory to Buyer, of any
security interests granted in the Sale Assets as security for payment of loans
and other obligations and of any other Liens (other than Permitted Liens).

                  (e)   An instrument or instruments assigning to Buyer all
right, title and interest of Seller in and to all Station Agreements being
assumed by Buyer, and all Real Property, including leases for the Real Property.

                  (f)   An instrument assigning to Buyer all right, title and
interest of Seller in the FCC Licenses, all pending applications relating to the
Station before the FCC, and any remaining Sale Assets not otherwise conveyed.

                  (g)   An instrument assigning to Buyer all rights, title and
interest of Seller to the assets described in SECTIONS 2.1(f) AND (g) hereof.

                  (h)   The opinion of Seller's FCC counsel, dated the Closing
Date, to the effect set forth in SECTION 6.5.

                  (i)   True and correct copies of all records as described in
SECTION 2.1(e) hereof.

                  (j)   The ATLA Policy required by Section 6.10.

                  (k)   Such additional information and materials as Buyer shall
have reasonably requested, including without limitation, evidence that all
consents and approvals required as a condition to Buyer's obligation to close
hereunder have been obtained.

         8.3      DOCUMENTS  TO BE  DELIVERED  TO SELLER BY BUYER.
At the  Closing,  Buyer shall  deliver or cause to be  delivered to Seller the
following:

                                       21
<PAGE>

                  (a)   Certified resolutions of Buyer's Board of Directors
approving the execution and delivery of this Agreement and each of the other
Documents and authorizing the consummation of the transaction contemplated
hereby and thereby.

                  (b)   The Purchase Price as set forth in SECTION 2.4.

                  (c)   The agreement of Buyer assuming the obligations under
any Station Agreements being assumed by Buyer.

                  (d)   The certificate required under SECTION 7.1(b).

                  (e)   Such additional information and materials as Seller
shall have reasonably requested.

                                   ARTICLE IX

                   SURVIVAL OF REPRESENTATIONS AND WARRANTIES;
                                 INDEMNIFICATION

         9.1      SURVIVAL OF REPRESENTATION AND WARRANTIES. All
representations, warranties, covenants and agreements contained in this
Agreement or in any other Document shall survive the Closing for the Survival
Period and the Closing shall not be deemed a waiver by either party of the
representations, warranties, covenants or agreements of the other party
contained herein or in any other Document. No claim may be brought under this
Agreement or any other Document unless written notice describing in reasonable
detail the nature and basis of such claim is given on or prior to the last day
of the Survival Period. In the event such a notice is so given, the right to
indemnification with respect thereto under this Article shall survive the
Survival Period until such claim is finally resolved and any obligations with
respect thereto are fully satisfied. For purposes of this agreement the
"Survival Period" shall be twelve (12) months after the Closing Date except as
follows:

                  (a)   Any representation and warranty contained in this
Agreement shall be subject to the twelve (12) month Survival Period, except that
any representation or warranty of Buyer of Seller as to (i) such party's
qualification and authority to consummate the transactions contemplated hereby,
(ii) title of the parties to the Station or Sale Assets , or (iii) any tax
obligation of Seller, the Survival Period shall be indefinite; and,

                  (b)   As to any representation and warranty relating to any
Station Agreement, the Survival Period shall be for the presently existing term
of such Station Agreement plus any applicable period of time under any
applicable law governing the bringing of claims under such Station Agreement.

         9.2      INDEMNIFICATION IN GENERAL. Buyer and Seller agree that the
rights to indemnification and to be held harmless set forth in this Agreement
shall, as between the parties hereto and their respective successors and
assigns, be exclusive of all rights to indemnification and to be held harmless
that such party (or its successors or assigns) would otherwise have by statute,
common law or otherwise.

         9.3      INDEMNIFICATION BY SELLER.

                  Seller shall indemnify and hold harmless Buyer and any
officer, director, agent, employee and affiliate thereof with respect to any and
all demands, claims, actions, suits, proceedings, assessments, judgments, costs,
losses, damages, liabilities and expenses (including reasonable attorneys' fees)
relating to or arising out of:

                                       22
<PAGE>

                        (i)      Any  breach or non-performance  by Seller
of any of its representations, warranties, covenants or agreements set forth in
this Agreement or any other Documents; or

                        (ii)     The  ownership  or  operation  by Seller of
the Station or the Sale Assets on or prior to the Closing Date; or

                        (iii)    All other liabilities and obligations of Seller
 other than the Assumed Obligations; or

                        (iv)     Noncompliance  by Seller with the provisions of
the Bulk Sales Act, if applicable,  in connection with the transaction
contemplated hereby; or

                        (v)      Any violation of any Environmental Laws during
the time Seller occupied the Real Property.

         9.4      INDEMNIFICATION BY BUYER.

                  Buyer shall indemnify and hold harmless Seller and any
officer, director, agent, employee and affiliate thereof with respect to any and
all demands, claims, actions, suits, proceedings, assessments, judgments, costs,
losses, damages, liabilities and expenses (including reasonable attorneys' fees)
relating to or arising out of:

                        (i)      Any breach or non-performance  by Buyer of any
of its representations, warranties, covenants or agreements set forth in this
Agreement or any other Document; or

                        (ii)     The ownership or operation of the Station after
the Closing Date; or
                        (iii)    All other liabilities or obligations of Buyer
pursuant to the terms of this Agreement.

         9.5      INDEMNIFICATION PROCEDURES. In the event that an Indemnified
Party may be entitled to indemnification hereunder with respect to any asserted
claim of, or obligation or liability to, any third party, such party shall
notify the Indemnifying Party thereof, describing the matters involved in
reasonable detail, and the Indemnifying Party shall be entitled to assume the
defense thereof upon written notice to the Indemnified Party with counsel
reasonably satisfactory to the Indemnified Party; provided, that once the
defense thereof is assumed by the Indemnifying Party, the Indemnifying Party
shall keep the Indemnified Party advised of all developments in the defense
thereof and any related litigation, and the Indemnified Party shall be entitled
at all times to participate in the defense thereof at its own expense. If the
Indemnifying Party fails to notify the Indemnified Party of its election to
defend, or contests its obligation to indemnify under this ARTICLE IX, the
Indemnified Party may pay, compromise, or defend such a claim without prejudice
to any right it may have hereunder.

                                    ARTICLE X

                         TERMINATION; LIQUIDATED DAMAGES

         10.1     TERMINATION. If Closing shall not have previously occurred,
this Agreement shall terminate upon the earliest of:

                  (a)   the giving of written notice from Seller to Buyer, or
from Buyer to Seller, if:

                                       23
<PAGE>

                        (i)      Seller gives such  termination  notice and is
not at such time in material default hereunder, or Buyer gives such termination
notice and Buyer is not at such time in material default hereunder; and

                        (ii)     Either:
                                    (A) any of the  representations  or
warranties contained herein of Buyer (if such termination notice is given by
Seller), or of Seller (if such termination notice is given by Buyer), are
inaccurate in any respect and materially adverse to the party giving such
termination notice unless the inaccuracy has been induced by or is the result of
actions or omissions of the party giving such termination notice; or

                                    (B) Any  material  obligation  to be
performed by Buyer (if such termination notice is given by Seller) or by Seller
(if such termination notice is given by Buyer) is not timely performed in any
material respect unless the lack of timely performance has been induced by or is
the result of actions or omissions of the party giving such termination notice;
or

                                    (C) Any  condition  (other  than  those
referred to in foregoing CLAUSES (A) and (B)) to the obligation to close the
transaction contemplated herein of the party giving such termination notice has
not been timely satisfied; and any such inaccuracy, failure to perform or
non-satisfaction of a condition neither has been cured nor satisfied within
twenty (20) days after written notice thereof from the party giving such
termination notice nor waived in writing by the party giving such termination
notice.

                  (b)   Written notice from Seller to Buyer, or from Buyer to
Seller, at any time after nine (9) months from the date this Agreement is
executed; provided that termination shall not occur upon the giving of such
termination notice by Seller if Seller is at such time in material default
hereunder or upon the giving of such termination notice by Buyer if Buyer is at
such time in material default hereunder.

                  (c)   Written notice from Seller to Buyer, or from Buyer to
Seller, at any time following a determination by the FCC that the application
for consent to assignment of the FCC Licenses has been designated for hearing;
provided that the party which is the subject of the hearing (or whose alleged
actions or omissions resulted in the designation for hearing) may not elect to
terminate under this subsection (c).

                  (d)   The written election by Buyer under SECTION 5.10 or
ARTICLE XI.

         10.2     OBLIGATIONS UPON TERMINATION.

                  (a)   In the event this Agreement is terminated pursuant to
SECTION 10.1(a)(ii)(A) or (B), the aggregate liability of Buyer for breach
hereunder shall be limited as provided in SUBSECTION (b) below and the aggregate
liability for Seller for breach hereunder shall be limited as provided in
SUBSECTION (c) below. In the event this Agreement is terminated for any other
reason, neither party shall have any liability hereunder, except that if a party
acts in bad faith, such party shall be liable for the attorneys' fees and
expenses incurred by the other party.

                  (b)   If this Agreement is terminated by Seller's giving of
valid written notice to Buyer pursuant to SUBSECTION 10.1(a)(ii)(A) OR (B),
Buyer agrees that Seller shall be entitled to receive upon such termination, as
liquidated damages and not as a penalty, the sum of $550,000 ("Liquidated
Damages Amount"). SELLER'S RECEIPT OF THE LIQUIDATED DAMAGES AMOUNT SHALL
CONSTITUTE PAYMENT OF LIQUIDATED DAMAGES HEREUNDER AND NOT A PENALTY, AND SHALL
BE SELLER'S SOLE REMEDY AT LAW OR IN EQUITY FOR BUYER'S BREACH

                                       24
<PAGE>

HEREUNDER IF CLOSING DOES NOT OCCUR. BUYER AND SELLER EACH ACKNOWLEDGE AND AGREE
THAT THE LIQUIDATED DAMAGE AMOUNT IS REASONABLE IN LIGHT OF THE ANTICIPATED HARM
WHICH WILL BE CAUSED BY BUYER'S BREACH OF THIS AGREEMENT, THE DIFFICULTY OF
PROOF OF LOSS, THE INCONVENIENCE AND NON-FEASIBILITY OF OTHERWISE OBTAINING AN
ADEQUATE REMEDY, AND THE VALUE OF THE TRANSACTION TO BE CONSUMMATED HEREUNDER.

                  (c)   Notwithstanding any provision of this Agreement to the
contrary, but subject to the provisions of the following sentences, if this
Agreement is terminated by Buyer's giving of written notice to Seller pursuant
to SECTION 10.1(a) (ii) (A) OR (B), Buyer shall not be entitled to damages or
indemnification from Seller. Subject to the following sentence, if Seller
attempts to terminate this Agreement under circumstances where it is not
entitled to do so, or if Seller, by its own action, causes a breach of warranty
or fails to satisfy a condition (including without limitation a refusal to
consummate the transaction after Buyer has satisfied all conditions to Seller's
obligation to close and Buyer has demonstrated its willingness and ability to
close on the terms set forth in this Agreement and Buyer is not in default
hereunder) with the intent of creating a situation whereby Buyer elects to
terminate under SECTION 10.1(a) (ii) (A) OR (B) and Buyer does so elect to
terminate, the monetary damages, if any, to which Buyer shall be entitled shall
be limited to direct and actual damages and shall in no event exceed the
Liquidated Damages Amount in the aggregate. If a circumstance described in the
preceding sentence should arise and if Buyer establishes that the action of
Seller described therein was taken intentionally in order to allow Seller to
sell or enter into negotiations to sell the Station to another party, the
damages to which Buyer shall be entitled shall not be limited to direct and
actual damages.

         10.3     TERMINATION NOTICE. Each notice given by a party pursuant to
SECTION 10.1 to terminate this Agreement shall specify the Subsection (and
clause or clauses thereof) of SECTION 10.1 pursuant to which such notice is
given.

                                   ARTICLE XI

                                    CASUALTY

         Upon the occurrence of any casualty loss, damage or destruction
material to the operation of the Station or the Sale Assets prior to the
Closing, Seller shall promptly give Buyer written notice setting forth in detail
the extent of such loss, damage or destruction and the cause thereof if known.
Seller shall use its reasonable efforts to promptly commence and thereafter to
diligently proceed to repair or replace any such lost, damaged or destroyed
property. In the event that such repair or replacement is not fully completed
prior to the Closing Date, Buyer may elect at its sole option to postpone the
Closing until Seller's repairs have been fully completed if such event shall
occur within sixty (60) days or to consummate the transactions contemplated
hereby on the Closing Date, in which event Seller shall assign to Buyer the
portion of the insurance proceeds (less all reasonable costs and expenses,
including without limitation attorney's fees, expenses and court costs incurred
by Seller to collect such amounts), if any, not previously expended by Seller to
repair or replace the damaged or destroyed property (such assignment of proceeds
to take place regardless of whether the parties close on the scheduled or
deferred Closing Date) and Buyer shall accept the damaged Sale Assets in their
damaged condition provided that Seller has satisfied its insurance obligations
in SECTION 5.1(a) hereof. In the event Seller is unable to complete the repairs
within sixty (60) days, Buyer shall have the option to terminate this Agreement.
In the event the loss, damage or destruction causes or will cause the Station to
be off the air for more than seven (7) consecutive days or fifteen (15) total
days during a one month period, whether or not consecutive, then Buyer may elect
either (i) to consummate the transactions contemplated hereby on the Closing
Date, in which event Seller shall

                                       25
<PAGE>

assign to Buyer the portion of the insurance proceeds (less all reasonable costs
and expenses, including without limitation attorney's fees, expenses and court
costs, incurred by Seller to collect such amounts), if any, not previously
expended by Seller to repair or replace the damaged or destroyed property, and
Buyer shall accept the damaged Sale Assets in their damaged condition, or (ii)
to terminate this Agreement.

                                   ARTICLE XII

                               CONTROL OF STATION

         Between the date of this Agreement and the Closing Date, Buyer shall
not control, manage or supervise the operation of the Station or conduct of its
business, all of which shall remain the sole responsibility and under the
control of Seller, subject to Seller's compliance with this Agreement.

                                  ARTICLE XIII

                                  1031 EXCHANGE

         Seller agrees to cooperate with Buyer as reasonably requested by Buyer
to assist Buyer in consummating a tax deferred exchange under Section 1031 of
the INTERNAL REVENUE CODE of 1986, and the comparable provisions of applicable
state law, provided Seller shall incur no additional liabilities, expenses or
costs as a result of or connected with such exchange.

                                   ARTICLE XIV

                                  MISCELLANEOUS

         14.1     FURTHER ACTIONS. From time to time before, at and after the
Closing, each party, at its expense and without further consideration, will
execute and deliver such documents to the other party as the other party may
reasonably request in order more effectively to consummate the transactions
contemplated hereby.

         14.2     ACCESS AFTER THE CLOSING DATE. After the Closing and for a
period of twelve (12) months, Buyer shall provide Seller, Seller's counsel,
accountants and other representatives with reasonable access during normal
business hours to the books, records, property, personnel, contracts,
commitments and documents of the Station pertaining to transactions occurring
prior to the Closing Date, that are the responsibility and obligation of the
Seller, when requested by Seller, and Buyer shall retain such books and records
for the normal document retention period of Buyer. At the request and expense of
Seller, Buyer shall deliver copies of any such books and records to Seller.

         14.3     PAYMENT OF EXPENSES.

                  (a)   Any fees assessed by the FCC in connection with the
filings contemplated by SECTION 5.2 or consummation of the transactions
contemplated hereby shall be shared equally between Seller and Buyer.

                  (b) All state or local sales or use, stamp or transfer, grant
and other similar taxes payable in connection with consummation of the
transactions contemplated hereby shall be shared equally between Seller and
Buyer.

                                       26
<PAGE>

                  (c)   Except as otherwise expressly provided in this
Agreement, each of the parties shall bear its own expenses, including the fees
of any attorneys and accountants engaged by such party, in connection with this
Agreement and the consummation of the transactions contemplated herein.

         14.4     SPECIFIC PERFORMANCE. Seller acknowledges that the Station and
the Sale Assets are of a special, unique, and extraordinary character, and that
any breach of this Agreement by Seller could not be compensated for by damages.
Accordingly, if Seller shall breach its obligations under this Agreement, Buyer
shall be entitled, in addition to any of the remedies that it may have, to
enforcement of this Agreement (subject to obtaining any required approval of the
FCC) by decree of specific performance or injunctive relief requiring Seller to
fulfill its obligations under this Agreement. In any action by Buyer to
equitably enforce the provisions of this Agreement, Seller shall waive the
defense that there is an adequate remedy at law or equity and agrees that Buyer
shall have the right to obtain specific performance of the terms of this
Agreement without being required to prove actual damages, post bond or furnish
other security.

         14.5     NOTICES. All notices, demands or other communications given
hereunder shall be in writing and shall be sufficiently given if delivered by
courier or sent by registered or certified mail, first class, postage prepaid,
or by telex, cable, telegram, facsimile machine or similar written means of
communication, addressed as follows:

                  (a)      If to Seller, to:

                  (b)      If to Buyer, to:

                           c/o SCA License Corporation
                           4880 Santa Rosa Road, Suite 300
                           Camarillo, California  93012
                           Attention:       Jonathan L. Block, Esq.
                                            Vice President & General Counsel
                           Telephone:  (805) 987-0400 ext. 106
                           Facsimile No.:  (805) 384-4505

or such other address with respect to any party hereto as such party may from
time to time notify (as provided above) to the other party hereto. Any such
notice, demand or communication shall be deemed to have been given (i) if so
mailed, as of the close of the third (3rd) business day following the date
mailed, and (ii) if personally delivered or otherwise sent as provided above, on
the date received.

         14.6     ENTIRE AGREEMENT. This Agreement, the Schedules and Exhibits
hereto, and the other Documents constitute the entire agreement and
understanding between the parties hereto with respect to the subject matter
hereof and supersede any prior negotiations, agreements, understandings or
arrangements between the parties with respect to the subject matter hereof.

         14.7     BINDING EFFECT; BENEFITS. Except as otherwise provided herein,
this Agreement shall inure to the benefit of and be binding upon the parties
hereto and their respective successors or assigns. Except to the extent
specified herein, nothing in this Agreement, express or implied, shall confer on
any person other than the parties hereto and their respective successors or
assigns any rights, remedies, obligations or liabilities under or by reason of
this Agreement.

                                       27
<PAGE>

         14.8     ASSIGNMENT. This Agreement and any rights hereunder shall not
be assignable by either party hereto without the prior written consent of the
other party.

         14.9     GOVERNING LAW. This Agreement  shall in all respects be
governed by and construed in accordance  with the laws of the State of
California, including all matters of construction, validity and performance.

         14.10    BULK SALES. Buyer hereby waives compliance by Seller with the
provisions of the Bulk Sales Act and similar laws of any state or jurisdiction,
if applicable. Seller shall, in accordance with ARTICLE IX, indemnify and hold
Buyer harmless from and against any and all claims made against Buyer by reason
of such non-compliance.

         14.11    AMENDMENTS AND WAIVERS. No term or provision of this Agreement
may be amended, waived, discharged or terminated orally but only by an
instrument in writing signed by the party against whom the enforcement of such
amendment, waiver, discharge or termination is sought. Any waiver shall be
effective only in accordance with its express terms and conditions.

         14.12    SEVERABILITY. If any provision of this Agreement, or the
application thereof to any person or entity or any circumstance, is invalid or
unenforceable in any jurisdiction, (i) a suitable and equitable provision shall
be substituted therefor in order to carry out, so far as may be valid and
enforceable, the extent and purpose of such invalid and unenforceable provision,
and (ii) the remainder of this Agreement and the application of such provision
to other persons, entities or circumstances shall not be affected by such
invalidity or unenforceability, nor shall such invalidity or unenforceability
affect the validity or enforceability of such provision, or the application
thereof, in any other jurisdiction.

         14.13    HEADINGS. Except as provided in ARTICLE I, the captions in
this Agreement are for convenience of reference only and shall not define or
limit any of the terms or provisions hereof.

         14.14    COUNTERPARTS. This Agreement may be executed in any number of
counterparts, and by either party on separate counterparts, each of which shall
be deemed an original, but all of which together shall constitute one and the
same instrument. Fax signatures shall be deemed the same as original signatures.
This Agreement is not binding until executed by both parties hereto.

         14.15    REFERENCES. All references in this Agreement to Articles and
Sections are to Articles and Sections contained in this Agreement unless a
different document is expressly specified.

         14.16    SCHEDULES AND EXHIBITS. Unless otherwise specified herein,
each Schedule and Exhibit referred to in this Agreement is attached hereto, and
each such Schedule and Exhibit is hereby incorporated by reference and made a
part hereof as if fully set forth herein.

         14.17    ATTORNEYS' FEES. If any action at law or equity is brought,
whether in a judicial proceeding or arbitration or reference, to enforce or
interpret any provision of this Agreement, the prevailing party shall be
entitled to recover reasonable attorneys' fees and expenses from the other
party, which fees and expenses shall be in addition to any other relief which
may be awarded.

         14.18    ARBITRATION. Any controversy or claim arising out of or
relating to this Agreement, or the breach thereof, shall be settled by
arbitration administered by the American Arbitration Association under its
Commercial Arbitration Rules, and judgment on the award rendered by the
arbitrator(s) may be entered in any court having jurisdiction thereof. Any
arbitration shall be conducted in Ventura County, California.

                                       28
<PAGE>

         IN WITNESS WHEREOF, the parties have duly executed this Agreement as of
the date first written.

"SELLER"                                        "BUYER "

CARTER BROADCASTING, INC.              SCA LICENSE CORPORATION

By:_______________________

Name:                              By:________________________________
Title:                             Name:
                                   Title:

                                       29
<PAGE>

                                LIST OF SCHEDULES

SCHEDULE 2.3               List of liabilities assumed by Buyer

SCHEDULE 2.5               Agreed allocation of purchase price

SCHEDULE 3.4               Consents

SCHEDULE 3.6               List of Tangible Personal Property

SCHEDULE 3.7               Description of Real Property

SCHEDULE 3.8               List of FCC licenses, permits & authorizations

SCHEDULE 3.9               List of Station Agreements

SCHEDULE 3.10              List of pending or threatened suits, actions or
                           administrative proceedings

SCHEDULE 3.11              Employee Matters

SCHEDULE 3.18              Brokers or finders' fees

                                       30
<PAGE>

                                  SCHEDULE 2.3

                          LIABILITIES ASSUMED BY BUYER

                                       31
<PAGE>

                                  SCHEDULE 2.5

                       AGREED ALLOCATION OF PURCHASE PRICE

                                       32
<PAGE>

                                  SCHEDULE 3.4

                                    CONSENTS

                                       33
<PAGE>

                                  SCHEDULE 3.6

                           TANGIBLE PERSONAL PROPERTY

                                       34
<PAGE>

SCHEDULE 3.7

                          DESCRIPTION OF REAL PROPERTY

                                       35
<PAGE>

SCHEDULE 3.8

                                  FCC LICENSES

                                       36
<PAGE>

SCHEDULE 3.9

                               STATION AGREEMENTS

                                       37
<PAGE>

                                  SCHEDULE 3.10

         LIST OF PENDING OR THREATENED SUITS, ACTIONS OF
                                        ADMINISTRATIVE PROCEEDINGS

                                       38
<PAGE>

                                  SCHEDULE 3.11

                                EMPLOYEE MATTERS

                                       39
<PAGE>

                                  SCHEDULE 3.18

                                  BROKER'S FEES

                                       40<PAGE>

                            ASSET PURCHASE AGREEMENT

         This Asset Purchase Agreement (this "AGREEMENT") is made as of the 6th
day of November, 2000, among Infinity Broadcasting Corporation of Illinois, a
Delaware corporation, Infinity Broadcasting Corporation, a Delaware corporation
(collectively, "SELLER"), and Salem Communications Corporation, a Delaware
corporation (together with its permitted assignee, "BUYER").

         Seller owns, operates and is the licensee of radio broadcast station
WXRT(AM), 1160 kHz, Chicago, Illinois (the "STATION").

         Buyer desires to acquire certain assets used in the operation of the
Station.

         Article 13 of this Agreement contains a glossary of defined terms.

         Therefore, in consideration of the mutual promises set forth below, the
parties, intending to be legally bound, agree as follows:

                                    ARTICLE 1
                             ASSETS TO BE CONVEYED

         1.1.     CLOSING. The closing of the sale and purchase of the Station
Assets (the "CLOSING") shall take place in the office of Leventhal, Senter &
Lerman P.L.L.C., 2000 K Street, N.W., Suite 600, Washington, D.C., at 10:00
a.m., local time, ten business days following the date of satisfaction or waiver
of the conditions set forth in SECTION 7.1(b) (Governmental Consents).

         1.2.     TRANSFER OF ASSETS. Subject to the terms and conditions set
forth in this Agreement, at the Closing, Seller shall sell, assign, transfer and
convey to Buyer, and Buyer shall purchase, all of Seller's right, title and
interest in the following assets (the "STATION ASSETS"):

                  (a)     the licenses, permits and other authorizations for the
Station issued to Seller by the FCC as set forth on SCHEDULE 1.2(a) (the "FCC
LICENSES") and, to the extent they are assignable, all other licenses, permits,
franchises, authorizations and other similar rights issued by any other federal,
state or local governmental authority that are used exclusively in the operation
of the Station;

                  (b)     the equipment and other tangible personal property
set forth in SCHEDULE 1.2(b) (the "TANGIBLE PERSONAL PROPERTY");

                  (c)     the owned real property (the "OWNED REAL PROPERTY")
and leased real

<PAGE>

property (the "REAL PROPERTY LEASE", and together with the Owned Real Property,
the "REAL PROPERTY") identified on SCHEDULE 1.2(c); and

                  (d)     the Station's public inspection and political files
and other records required by the FCC to be kept by the Station, filings and
correspondence with the FCC relating to the Station, and such log books,
technical information, engineering data and rights under manufacturers'
warranties, all as exist at Closing and as relate exclusively to the Station
Assets.

The Station Assets shall be conveyed to Buyer free and clear of all Liens,
except as otherwise expressly provided in this Agreement. The Station Assets
shall be delivered as is, where is, without any representation or warranty by
Seller except as expressly set forth in this Agreement, and Buyer acknowledges
that it has not relied on or been induced to enter into this Agreement by any
representation or warranty other than those expressly set forth in Article 3
hereof.

         1.3.     EXCLUDED ASSETS.  The Station Assets shall not include any of
the following:

                  (a)     cash, cash equivalents or similar type of investments
such as certificates of deposit, money market instruments, Treasury bills or
other marketable securities on hand and/or in banks, or deposits or prepaid
expenses of Seller;

                  (b)     insurance policies, promissory notes, amounts due from
employees, bonds, letters of credit or other similar items, or any cash
surrender value in regard thereto;

                  (c)     pension, profit sharing or cash or deferred (Section
401(k)) plans or trusts or assets thereof or other employee benefit plans or
arrangements or the assets thereof of Seller;

                  (d)     duplicate copies of such records as necessary to
enable Seller to prepare and file tax returns and reports, original financial
statements or supporting materials, books or records that Seller is required by
law to retain, or records of Seller relating to the sale of the Station Assets,
the corporate organization, existence or capitalization of Seller, or related
solely to internal corporate matters of Seller;

                  (e)     interest in and to refunds of Taxes for periods prior
to the Closing Date;

                  (f)     accounts receivable relating to or arising out of the
operation of the Station prior to the Effective Time;

                  (g)     tangible and intangible personal property disposed of
or consumed between the date of this Agreement and the Closing Date, as
permitted under this Agreement;

                  (h)      the call sign WXRT(AM);

                                       2
<PAGE>

                  (i)     the studios and office facilities of the Station, all
equipment and furniture located therein, and all contracts relating to such
office or studio space or equipment located therein, unless such equipment,
furniture or contract is identified on SCHEDULE 1.2(b);

                  (j)     personnel records of employees of the Station;

                  (k)     all items of personal property owned by personnel at
the Station;

                  (l)     the items identified on SCHEDULE 1.3(l);

                  (m)     rights under any contract other than the Real
Property Lease;

                  (n)     rights to any program or programming material;

                  (o)     any trademark, trade name, service mark, franchise,
copyright, jingle, logo and slogan or other intellectual property right or
interest; or

                  (p)     the goodwill and value of the Station as a going
concern.

         1.4.     ASSUMPTION OF OBLIGATIONS. At the Closing, Buyer shall assume
and undertake to pay, satisfy or discharge (a) the liabilities, obligations and
commitments arising or accruing on and after the Effective Time under the Real
Property Lease, and (b) the liabilities, obligations and commitments arising
from or relating to the ownership of the Station on and after the Effective Time
(collectively, the "ASSUMED OBLIGATIONS").

         1.5      NO OTHER OBLIGATIONS ASSUMED. Except as provided in SECTION
1.4, Buyer does not assume or agree to discharge or perform and will not be
deemed by reason of the execution and delivery of this Agreement or any
agreement, instrument or document delivered pursuant to or in connection with
this Agreement or otherwise by reason of the consummation of the transactions
contemplated hereby to have assumed or to have agreed to discharge or perform
any liabilities, obligations or commitments of Seller of any nature whatsoever
whether accrued, absolute, contingent or otherwise.

         1.6.     SECTION 1031 ASSET EXCHANGE.

                  (a) Seller may desire to effect the transfer and conveyance of
the Station Assets as part of a deferred like-kind exchange under Section 1031
of the Code for other like-kind assets to be identified and acquired with the
Purchase Price. In order to effect the deferred like-kind exchange, Seller may
give written notice to Buyer of its intention to effect the deferred like-kind
exchange. Seller may at any time at or prior to the Closing assign its right to
receive the Purchase Price, or any part thereof, under this Agreement to a
"qualified intermediary" as defined in Treas. Reg. Sec. 1.1031(k)-1(g)(4),
subject to all of Buyer's rights and obligations hereunder, and shall promptly
provide written notice of such assignment to all parties hereto. Buyer shall
cooperate with all reasonable requests of Seller and Seller's qualified
intermediary in arranging and effecting the deferred like-kind exchange as one
which qualifies under Section 1031 of the Code; provided, however, that

                                       3
<PAGE>

Buyer shall not incur any tax disadvantage as a result of its cooperation and
the Closing shall not be delayed. Buyer shall in no event be responsible for
Seller's failure to obtain Section 1031 treatment with respect to the
disposition of the Station Assets. Without limiting the generality of the
foregoing, at the Closing Buyer shall, at Seller's request, deliver to Seller an
Assignment, Acceptance and Notice and a Reassignment and Assumption Agreement
substantially in the form of Exhibit B and C (together, the "QUALIFIED
INTERMEDIARY DOCUMENTS").

                  (b)     Buyer may desire to effect the acquisition of the
Station Assets as part of a deferred like-kind exchange under Section 1031 of
the Code in lieu of buying such assets hereunder. In order to effect the
deferred like-kind exchange, Buyer may give written notice to Seller of its
intention to effect the deferred like-kind exchange. Buyer may at any time at or
prior to the Closing assign its rights to purchase the Station Assets to a
"qualified intermediary" as defined in Treas. Reg. Sec. 1.1031(k)-1(g)(4),
subject to all of Seller's rights and obligations hereunder, and shall promptly
provide written notice of such assignment to all parties hereto. Seller shall
cooperate with all reasonable requests of Buyer and Buyer's qualified
intermediary in arranging and effecting the deferred like-kind exchange as one
which qualifies under Section 1031 of the Code; provided, however, that Seller
shall not incur any tax disadvantage as a result of its cooperation and the
Closing shall not be delayed. Seller shall in no event be responsible for
Buyer's failure to obtain Section 1031 treatment with respect to the acquisition
of the Station Assets. Without limiting the generality of the foregoing, at the
Closing Seller shall, at Buyer's request, accept payment of the Purchase Price
from Buyer's qualified intermediary rather than from Buyer, which payment shall
discharge the obligation of Buyer to pay the Purchase Price.

         1.7.     STUDIOS EXCLUDED. The Station's studio is currently shared
with commonly owned Station WXRT(FM), Chicago, Illinois, at 4949 West Belmont
Avenue, Chicago, in a building owned by an affiliate of Seller. The current
studio space will not, therefore, be available for use by Buyer, and Buyer will
obtain a new studio for the Station. To accomplish the relocation of the
Station's studio, the parties agree that (a) at the Effective Time, the Station
will cease operation; (b) as soon thereafter as Buyer desires, but no later than
three business days after the Closing, Buyer will remove from the Station's
current studio location any Tangible Personal Property that is located there;
provided that Seller may supervise such removal for the purpose of protecting
the personal property that will remain at the current studio location; (c) Buyer
will be responsible for relocating and reinstalling such Tangible Personal
Property, as it sees fit, and for resuming operation of the Station; and (d)
Seller shall reasonably cooperate with Buyer but shall not be liable for any
difficulties encountered in such removal, relocation or reinstallation of the
Tangible Personal Property or resumption of Station operation.

                                    ARTICLE 2
                                 PURCHASE PRICE

         2.1.     PURCHASE PRICE.

                  As consideration for the sale of the Station Assets, Buyer
shall (i) in addition

                                       4
<PAGE>

to assuming the Assumed Obligations, pay Seller $29,000,000 (the "PURCHASE
PRICE") by wire transfer (initiated prior to 2:00 p.m., New York City time, on
the Closing Date) of immediately available funds in accordance with wire
transfer instructions that Seller shall deliver to Buyer prior to the Closing
and (ii) cause its affiliate to execute and deliver and perform under that
certain relocation agreement which the parties thereto are entering into
simultaneous with the execution of this Agreement. The Purchase Price shall be
subject to adjustment pursuant to SECTION 2.4.

         2.2.     [INTENTIONALLY OMITTED.]

         2.3.     ALLOCATION OF PURCHASE PRICE. The Purchase Price shall be
allocated among the Station Assets in a manner as mutually agreed between the
parties based upon an appraisal prepared by Bond & Pecaro, BIA or such other
appraisal firm as the parties may mutually agree, and such appraisal and
allocation shall be completed prior to Closing unless otherwise agreed to by the
parties. Seller and Buyer agree to use the allocations determined pursuant to
this SECTION 2.3 for all tax purposes, including without limitation, those
matters subject to Section 1060 of the Internal Revenue Code of 1986, as amended
(the "CODE"). The cost of such appraisal shall be shared equally by Buyer and
Seller.

         2.4.     ADJUSTMENTS TO PURCHASE PRICE; PRORATIONS.

                  (a)     All income and expenses arising from the conduct of
the business or operation of the Station shall be prorated between Buyer and
Seller as of 12:01 a.m. local Chicago time, on the Closing Date (the "EFFECTIVE
TIME") in accordance with generally accepted accounting principles consistently
applied. Such prorations shall be based upon the principles that Seller shall be
entitled to all income earned and shall be responsible for all liabilities and
obligations accruing in connection with the operation of the Station until the
Effective Time, and Buyer shall be entitled to such income earned and be
responsible for such liabilities and obligations accruing in connection with the
operation of the Station thereafter. Such prorations shall include all AD
VALOREM and other property taxes (but excluding taxes arising by reason of the
transfer of the Station Assets as contemplated hereby, which shall be paid as
set forth in SECTION 12.1), deposits, utility expenses, liabilities and
obligations under the Real Property Lease, rents and similar prepaid and
deferred items and all other expenses attributable to the ownership and
operation of the Station. To the extent not known, real estate and personal
property taxes shall be apportioned on the basis of taxes assessed for the
preceding year, with a reapportionment as soon as the new tax rate and valuation
can be ascertained.

                  (b)     Buyer and Seller shall use reasonable efforts to
complete the proration process within 60 days after Closing. If the parties are
unable to resolve a dispute regarding prorations within 60 days following
Closing, the dispute shall be submitted within 10 days to an independent
certified public accountant mutually agreed upon by Buyer and Seller (the
"REFEREE") for resolution of the dispute, such resolution to be made within 30
days after submission to the Referee and to be final, conclusive and binding on
Seller and Buyer. Buyer and Seller agree to share equally the cost and expense
of the Referee, but each party shall bear its own legal and other expenses, if
any. Payment by Buyer or Seller, as the case may be, for the proration amounts
determined pursuant to this SECTION 2.4 shall in no event

                                       5
<PAGE>

be made later than fifteen days after the notice to Seller and Buyer of the
resolution of the disputed amount by the Referee. All proration payments shall
be treated as an adjustment to the Purchase Price.

                                    ARTICLE 3
                    REPRESENTATIONS AND WARRANTIES OF SELLER

         Seller represents and warrants to Buyer as follows:

         3.1.     ORGANIZATION; GOOD STANDING. Each Seller (a) is a corporation
duly incorporated, validity existing and in good standing under the laws of the
jurisdiction of its incorporation; (b) is qualified to do business as a foreign
corporation and is in good standing in such jurisdictions in which the failure
to so qualify would have a material adverse effect on its abilities to perform
its obligations hereunder; and (c) has all requisite corporate power and
authority to lease, own and operate the Station Assets that it is conveying
hereunder, to carry on its business as now being conducted, to enter into this
Agreement and to perform its obligations hereunder.

         3.2.     AUTHORIZATION AND BINDING OBLIGATION. Seller has all necessary
corporate power and authority to enter into and perform its obligations under
this Agreement and the documents contemplated hereby and to consummate the
transactions contemplated hereby. This Agreement has been duly executed and
delivered by Seller and constitutes its legal, valid and binding obligation
enforceable against Seller in accordance with its terms, except as may be
limited by applicable bankruptcy, insolvency or similar laws affecting
creditors' rights generally or the availability of equitable remedies.

         3.3.     ABSENCE OF CONFLICTING AGREEMENTS OR REQUIRED CONSENTS. Except
as set forth in ARTICLE 5 (Governmental Consents), the execution, delivery and
performance of this Agreement by Seller: (a) do not and will not violate any
provisions of Seller's organizational documents; (b) do not and will not require
the consent or approval of or any filing with any third party or governmental
authority; (c) do not and will not violate any applicable law, judgment, order,
injunction, decree, rule, regulation or ruling of any governmental authority;
and (d) do not and will not, either alone or with the giving of notice or the
passage of time, or both, conflict with, constitute grounds for termination or
acceleration of or result in a breach of the terms, conditions or provisions of,
or constitute a default under any agreement, lease, instrument, license or
permit to be included in the Station Assets.

         3.4.     LITIGATION. There is no claim, litigation, arbitration or
proceeding pending or, to the knowledge of Seller, threatened before or by any
court, governmental authority or arbitrator that seeks to enjoin or prohibit,
that questions the validity of, or that might materially hinder or impair
Seller's performance of its obligations under this Agreement.

         3.5.     FCC LICENSES.

                                       6
<PAGE>

                  (a)     SCHEDULE 1.2(a) lists the material FCC Licenses used
exclusively in the operation of the Station. Buyer acknowledges that Seller may
hold certain broadcast auxiliary and other ancillary FCC licenses, permits and
authorizations which the Station shares with other radio stations being retained
by Seller and that such licenses, permits or authorizations are not included in
the FCC Licenses. The FCC Licenses are valid and in full force and effect. All
required FCC regulatory fees with respect to the FCC Licenses have been paid.
Seller has filed or made all material applications, reports, and other
disclosures required by the FCC to be filed or made by Seller with respect to
the Station. The FCC Licenses have been issued for the full terms, expiring on
December 1, 2004, and the FCC Licenses are not subject to any condition except
for conditions shown on the face of the FCC Licenses, applicable to radio
broadcast licenses generally or as otherwise disclosed in SCHEDULE 1.2(a).

                  (b)     Except as set forth in SCHEDULE 1.2(a), to Seller's
knowledge, there are no applications, petitions, complaints, proceedings or
other actions pending or threatened before the FCC relating to the Station,
other than proceedings affecting the radio broadcasting industry generally.

                  (c)     Except as set forth in SCHEDULE 1.2(a), Seller has no
reason to believe that the FCC Application might be challenged or might not be
granted by the FCC in the ordinary course.

                  (d)     The Station is being operated at full authorized power
in material compliance with the terms and conditions of the FCC Licenses
applicable to it and the rules and regulations of the FCC.

                  (e)     Seller has maintained the Station's public inspection
file in substantial and material compliance with Section 73.3526 of the FCC's
rules.

         3.6.     TANGIBLE PERSONAL PROPERTY. Except as disclosed on SCHEDULE
1.2(b), Seller has good title to the Tangible Personal Property free and clear
of all Liens. Except for Tangible Personal Property that is obsolete or no
longer used in the operation of the Station, and except as set forth in SCHEDULE
1.2(b), the Tangible Personal Property in existence on the date of this
Agreement is in normal working condition, consistent with industry practices,
subject to ordinary wear and tear. To Seller's knowledge, there is no defect in
the condition or operation of any item of Tangible Personal Property which is
reasonably likely to have a material adverse effect on the operation of the
Station.

         3.7.     REAL PROPERTY INTERESTS.

                  (a)     The Real Property constitutes in all material respects
all real property interests, including all leases, used to any extent in the
operation of the Station's transmitter site in the manner in which it is now
operated. Seller does not owe any money to any architect, contractor,
subcontractor or materialman for labor or materials performed, rendered or
supplied to or in connection with the Real Property within the past four months
which shall not be paid in full on or before the Closing Date. To Seller's
knowledge, Seller's present use of the Real Property is in compliance with all
applicable zoning codes in

                                       7
<PAGE>

effect as of the date hereof, and Seller has not received any notices of
uncorrected violations of the applicable housing, building, safety or fire
ordinances. The Real Property is served by electricity and water in capacities
adequate for the present use of the Real Property and improvements thereon.
Seller has not made any other agreement for the sale or lease of, or given any
other person an option to purchase or lease or a right of first refusal to
purchase or lease, all or any part of the Real Property, and Seller has not
subjected the Real Property to any Liens not of record. Seller has, or at the
Closing will have, title to the Owned Real Property free and clear of all Liens.

                  (b)     Seller has delivered to Buyer a true and complete copy
of the Real Property Lease. The Real Property Lease is legally valid, binding
and enforceable by Seller in accordance with its terms, except as may be limited
by applicable bankruptcy, insolvency or similar laws affecting creditors' rights
generally or the availability of equitable remedies. Seller has complied in all
material respects with the Real Property Lease. Neither Seller nor, to Seller's
knowledge, any other party is in material default under the Real Property Lease
as of the date hereof. Seller has full legal power and authority to assign its
rights under the Real Property Lease to Buyer in accordance with this Agreement,
and such assignment does not require the consent of any third party or affect
the validity, enforceability and continuity of the Real Property Lease. Seller
holds a valid leasehold interest under the Real Property Lease, free and clear
of all Liens, excluding Liens not created by Seller which affect the underlying
fee interest of the leased real property under the Real Property Lease and Liens
not objected to by Buyer pursuant to Section 6.7(c) of this Agreement. For so
long as Seller fulfills its obligations under the Real Property Lease, Seller
has enforceable rights to quiet enjoyment under such Real Property Lease.

         3.8.     ENVIRONMENTAL MATTERS.

                  (a)     Seller has obtained all material, environmental,
health and safety permits necessary or required for either the operation of the
Station as currently operated or the ownership of the Station Assets and all
such permits are in full force and effect and Seller is in compliance with all
material terms and conditions of such permits.

                  (b)     To Seller's knowledge, there is no proceeding pending
or threatened which may result in the reversal, rescission, termination,
modification or suspension of any environmental or health or safety permits
necessary for the operation of the Station as currently conducted or the
ownership of the Station Assets.

                  (c)     With respect to the Station and the Station Assets,
Seller is in compliance in all material respects with the provisions of
Environmental Laws.

                  (d)     Seller has not, and to Seller's knowledge, no other
person or entity has caused or permitted materials to be generated, released,
stored, treated, recycled, disposed of on, under or at such parcels, which
materials, if known to be present, would require clean up, removal or other
remedial or responsive action under Environmental Laws (other than normal
office, cleaning and maintenance supplies in reasonable quantities used and /or
stored appropriately in the buildings or improvements on the Real Property).
Seller has not caused the migration of any materials from the Station Assets
onto or under any property,

                                       8
<PAGE>

which materials, if known to be present, would require cleanup, removal or other
remedial or responsive action under Environmental Laws. To the best of Seller's
knowledge, there are no underground storage tanks and no PCBs or friable
asbestos in or on the Station Assets or Real Property.

                  (e)     Seller is not subject to any judgment, decree, order
or citation with respect to the Station Assets related to or arising out of
Environmental Laws, and Seller has not received notice that it has been named or
listed as a potentially responsible party by any person or governmental body or
agency in any matter under Environmental Laws.

                  (f)     Seller has not discharged or disposed of any petroleum
product or solid waste on the Real Property or on the property adjacent to the
Real Property owned by third parties, which, to Seller's knowledge, may form the
basis for any present or future claim based upon the Environmental Laws or any
demand or action seeking clean-up of any site, location, body of water, surface
or subsurface, under any Environmental Laws or otherwise, or which may subject
the owner of the Owned Real Property to claims by third parties (except to the
extent third party liability can be established) for damages.

                  (g)     No portion of the Station Assets have ever been used
by Seller, nor, to the best of Seller's knowledge, by any previous owner of the
Station Assets, or any of them, in material violation of Environmental Laws or
as a landfill, dump site or any other use which involves the disposal or storage
of Hazardous Materials on-site or in any manner which may materially adversely
affect the value of the Real Property or the Station Assets.

                  (h)     No pesticides, herbicides, fertilizers or other
materials have been used on, applied to or disposed of by Seller on or in the
Station Assets in material violation of any Environmental Laws (other than
normal office, cleaning and maintenance supplies in reasonable quantities used
and/or stored appropriately in the buildings or improvements on the Real
Property).

                  (i)     With respect to the Station Assets, and to Seller's
knowledge, Seller has disposed of all waste in full compliance with all
Environmental Laws and, to Seller's knowledge, there is no existing condition
that may form the basis of any present or future claim, demand or action seeking
clean up of any facility, site, location or body of water, surface or
subsurface, for which the Buyer could be liable or responsible solely as a
result of the disposal of waste at such site by a prior owner of the Station
Assets.

                  (j)     To Seller's best knowledge, Seller is in material
compliance with all OSHA Laws applicable to the Station Assets.

         3.9.     COMPLIANCE WITH LAWS.   Seller has complied in all material
respects with, and as of the date hereof is not in any material respect in
violation of, any federal, state or local laws, statutes, rules, regulations or
orders relating to the operation of the Station.

         3.10.    TAXES. All material Taxes in connection with Seller's
ownership of the Station Assets which are due and payable or disputed in good
faith have been properly paid or accrued, or are being contested in good faith
by appropriate proceedings. There are no

                                       9
<PAGE>

Liens for Taxes on the Station Assets. No Seller is a "foreign person" within
the meaning of Section 1445(b)(2) of the Code.

         3.11.    BROKER'S FEES. Neither Seller nor any person or entity acting
on Seller's behalf has agreed to pay a commission, finder's fee or similar
payment in connection with this Agreement or any matter related hereto to any
person or entity, and no person or entity is entitled to any such payment from
Seller in connection with the transactions contemplated by this Agreement.

                                    ARTICLE 4
                    REPRESENTATIONS AND WARRANTIES OF BUYER

         Buyer represents and warrants to Seller as follows:

         4.1.     ORGANIZATION AND STANDING. Buyer (a) is a corporation duly
formed, validly existing and in good standing under the laws of the State of
Delaware; (b) is qualified, or by the Closing Date will be qualified, to do
business as a foreign corporation and is in good standing in the State of
Illinois; and (c) has, or by the Closing Date will have, all necessary corporate
power and authority to own, lease and operate the Station Assets and to carry on
the businesses of the Station from and after the Closing Date.

         4.2.     AUTHORIZATION AND BINDING OBLIGATION. Buyer has all necessary
corporate power and authority to enter into and perform its obligations under
this Agreement and the documents contemplated hereby and to consummate the
transactions contemplated hereby and thereby. This Agreement has been duly
executed and delivered by Buyer and constitutes its legal, valid and binding
obligation enforceable against Buyer in accordance with its terms, except as may
be limited by applicable bankruptcy, insolvency or similar laws affecting
creditors' rights generally or the availability of equitable remedies.

         4.3.     ABSENCE OF CONFLICTING AGREEMENTS OR REQUIRED CONSENTS. Except
as set forth in ARTICLE 5, the execution, delivery and performance of this
Agreement by Buyer and the documents contemplated hereby (with or without the
giving of notice, the lapse of time or both) by Buyer: (a) do not and will not
violate any provision of Buyer's organizational documents; (b) do not and will
not require the consent or approval of or any filing with any third party or
governmental authority; (c) do not and will not conflict with, result in a
breach of, constitute a default under, or violate any applicable law, judgment,
order, ordinance, injunction, decree, rule, regulation or ruling of any court or
governmental authority; and (d) do not and will not conflict with, constitute
grounds for termination of, result in a breach of, constitute a default under,
or accelerate or permit the acceleration of any performance required by the
terms of any agreement, lease, instrument, license or permit to which Buyer is
now a party or by which Buyer may be bound legally.

         4.4.     LITIGATION. There is no claim, litigation, arbitration or
proceeding pending or, to the knowledge of Buyer, threatened before or by any
court, governmental authority or arbitrator that seeks to enjoin or prohibit,
that questions the validity of, or that might materially hinder or impair
Buyer's performance of its obligations under this Agreement.

                                       10
<PAGE>

         4.5.     FCC QUALIFICATIONS. Buyer is qualified under the
Communications Act of 1934, as amended, and the rules and regulations of the FCC
to be the assignee of the FCC Licenses. There are no facts known to Buyer that
would delay the consummation of the transactions contemplated by this Agreement.
Buyer has no reason to believe that the FCC assignment contemplated herein might
be challenged or might not be granted by the FCC in the ordinary course because
of its qualifications.

         4.6.     BROKER'S FEES. Neither Buyer nor any person or entity acting
on Buyer's behalf has agreed to pay a commission, finder's fee or similar
payment in connection with this Agreement or any matter related hereto to any
person or entity, and no person or entity is entitled to any such payment from
Buyer in connection with the transactions contemplated by this Agreement.

                                    ARTICLE 5
                             GOVERNMENTAL CONSENTS

         5.1.     FCC APPLICATION.

                  (a)     The assignment of the FCC Licenses as contemplated by
this Agreement is subject to the prior consent and approval of the FCC. Between
the date of this Agreement and the Closing, Buyer shall not directly or
indirectly control the operation of the Station.

                  (b)     No later than November 6, 2000, Buyer and Seller shall
each prepare and jointly file the FCC Application. Buyer and Seller shall share
equally the cost of any FCC filing fees for the FCC Application. Seller and
Buyer shall prosecute the FCC Application in good faith and with all reasonable
diligence and otherwise use their commercially reasonable best efforts to obtain
the grant of the FCC Application as expeditiously as practicable. If the FCC
Consent imposes any condition on any party hereto, such party shall use its
commercially reasonable best efforts to comply with such condition. If
reconsideration or judicial review is sought with respect to the FCC Consent,
the party or parties affected shall vigorously oppose such efforts for
reconsideration or judicial review.

         5.2.     HSR FILING. No later than fifteen business days after the date
of this Agreement, Seller and Buyer shall each make any and all required
governmental filings pursuant to the Hart-Scott-Rodino Antitrust Improvements
Act of 1976, as amended (the "HSR ACT"), with respect to the transaction
contemplated herein. Buyer and Seller shall each pay one-half of the HSR Act
filing fee. The parties shall cooperate and take all steps necessary or proper
to comply with the applicable requirements under the HSR Act, including (a)
furnishing all information and filing all documents required thereunder as
promptly as practicable, and (b) furnishing to each other all such necessary
information, non-confidential correspondence and reasonable assistance as such
other party may request in connection with all preparation, filing and
compliance matters pursuant to the HSR Act.

                                       11
<PAGE>

                                    ARTICLE 6
                                    COVENANTS

         6.1.     CONDUCT OF BUSINESS.

                  (a) AFFIRMATIVE COVENANTS. Between the date of this Agreement
and the Closing Date, except as expressly permitted by this Agreement or with
the prior written consent of Buyer, which consent shall not be unreasonably
withheld, Seller shall:

                      (i)    comply in all material respects with all laws
                  applicable to Seller's use of the Station Assets, and operate
                  and maintain the Station in all material respects in
                  conformity with the FCC Licenses and all applicable laws,
                  ordinances, regulations, rules and orders;

                      (ii)   maintain the Station Assets consistent with
                  Seller's past practices and repair or replace (subject to
                  SECTION 6.4) any Station Assets that may be damaged or
                  destroyed with items of equal or greater value or utility
                  unless Seller determines in good faith that such a repair or
                  replacement is not necessary or useful for the continued
                  operation of the Station consistent with past operation;

                      (iii)  timely make or provide all payments, services
                  or other consideration due under the Real Property Lease so
                  that all payments required to be made as of the Closing Date
                  will have been paid, except for any amounts being contested by
                  Seller in good faith;

                      (iv)   maintain in full force and effect the FCC
                  Licenses, and take any action necessary before the FCC,
                  including the preparation and prosecution of applications for
                  renewal of the FCC Licenses, if necessary, to preserve such
                  licenses without material adverse change;

                      (v)    use reasonable commercial efforts to maintain
                  insurance upon all of the tangible Station Assets and the
                  Station in commercially reasonable amounts and types, with
                  insurers of a Moody rating of "A" or better;

                      (vi)   promptly notify Buyer of any material default
                  by, or claim of default against, any party under the Real
                  Property Lease and any event or condition which, with notice
                  or lapse of time or both, would constitute an event of default
                  under the Real Property Lease; and

                      (vii)  notify Buyer of any material litigation pending
                  or threatened against the Station Assets or any material
                  damage to or destruction of any assets included or to be
                  included in the Station Assets.

                  (b)     NEGATIVE COVENANTS. Between the date of this Agreement
and the Closing Date, except as expressly permitted by this Agreement or with
the prior written consent of Buyer, which consent shall not be unreasonably
withheld, Seller shall not:

                                       12
<PAGE>

                      (i)    take, or fail to take, any action which will cause
                  a breach of, or default under, or termination of the Real
                  Property Lease;

                      (ii)   create, assume or permit to exist any Lien on any
                  of the Station Assets;

                      (iii)  sell, assign, lease or otherwise transfer or
                  dispose of any of the material Station Assets, except for
                  assets consumed or disposed of in the ordinary course of
                  business; or

                      (iv)   make any material changes in the broadcast hours of
                  the Station.

         6.2.     ACCESS; PUBLICITY.

                  (a)     Between the date hereof and the Closing Date, upon
prior reasonable notice, Seller shall give Buyer and its representatives
reasonable access to the Station Assets. Buyer, at its sole expense, shall be
entitled to make such engineering and other inspections of the Station Assets as
Buyer may desire, so long as such inspections do not unreasonably interfere with
the operations of the Station.

                  (b)     Neither party shall make any news release or other
public announcement pertaining to the transactions contemplated by this
Agreement prior to November 8, 2000, other than to file the FCC Application.
Thereafter, no news release or other public announcement pertaining to the
transactions contemplated by this Agreement will be made by or on behalf of any
party hereto without the prior written approval of the other party (such consent
not to be unreasonably withheld or delayed) unless otherwise required by law or
any regulation or rule of any stock exchange binding upon such party. Where any
announcement, communication or circular concerning the transactions contemplated
by this Agreement is required by law or any regulation or rule of any stock
exchange, it shall be made by the relevant party after consultation, where
reasonably practicable, with the other party and taking into account the
reasonable requirements (as to timing, contents and manner of making or dispatch
of the announcement, communication or circular) of the other party.

         6.3.     NO INCONSISTENT ACTION. Between the date of this Agreement and
the Closing, neither party shall take any action which is materially
inconsistent with its obligations under this Agreement or that would materially
hinder or delay the consummation of the transactions contemplated by this
Agreement. In particular, neither party shall take any action that would result
in its disqualification to hold the FCC Licenses or in any way delay grant of
the FCC Application. Should either party become aware of any such fact or
circumstance, such party shall promptly inform the other.

         6.4.     RISK OF LOSS. Seller shall bear the risk of any casualty loss
or damage to any of the Station Assets prior to the Effective Time. Seller shall
be responsible for repairing or replacing (as appropriate under the
circumstances) any lost or damaged Station Asset (the

                                       13
<PAGE>

"DAMAGED ASSET") unless such Damaged Asset was obsolete and unnecessary for the
continued operation of the Station consistent with Seller's past practice. If
Seller is unable to repair or replace a Damaged Asset by the date on which the
Closing would otherwise occur under this Agreement, Seller shall reimburse all
reasonable costs incurred by Buyer in repairing or replacing the Damaged Asset
after Closing or turn over insurance proceeds plus the amount of any deductible,
provided that Seller's insurance coverage is in the amount customary for the
radio broadcasting industry.

         6.5.     TRANSMITTER BUILDING SPACE LEASE. The transmitter building
that houses the Station's transmitters is also used by Seller to store spare
parts, etc. for other stations. For one year following the Closing, Buyer will
permit Seller to utilize the entire basement portion of the transmitter building
for storage and will permit reasonable access to such storage space. There shall
be no separate consideration, other than this Agreement, for such arrangement.

         6.6.     ENVIRONMENTAL AUDIT. Within 45 days of the date of this
Agreement, Buyer may at its sole expense obtain a Phase I environmental audit
report (the "PHASE I REPORT") for the Real Property. Buyer shall provide copies
of any Phase I Report to Seller promptly after it is completed. If the Phase I
Report contains a recommendation that Buyer obtain a Phase II environmental
audit report ("PHASE II REPORT"), Buyer may at its sole expense obtain a Phase
II Report within 60 days of the date of this Agreement (and promptly thereafter
provide it to Seller). Notwithstanding anything in this Agreement to the
contrary, Seller shall have no liability to Buyer under this Agreement as to any
matter arising under the Environmental Laws actually disclosed by such Phase I
or Phase II Reports (if obtained) except as provided in this SECTION 6.6. In the
event that a Phase I Report and/or a Phase II Report discloses an environmental
condition or matter that is a violation of or requires remediation under an
Environmental Law and that materially and adversely affects Buyer's continued
use of the Real Property in the manner currently used by Seller or that could
reasonably be expected to expose Buyer to any material liability, Buyer shall
notify Seller in writing of such matter at the time Seller delivers the Phase I
or Phase II Report, as the case may be, and Seller shall have 45 days from
Seller's receipt of such notice to remediate or eliminate such condition or
matter, PROVIDED, that such matters and conditions can be remediated or
eliminated by Seller's expenditure of $300,000 or less, in the aggregate. If the
environmental conditions or matters cannot be remediated or eliminated by
Seller's expense of $300,000 or less, in the aggregate, Seller shall notify
Buyer within 10 days after the end of the 45-day period. Buyer may elect, by
providing Seller with notice thereof within 10 days after Buyer's receipt of
Seller's notification either (a) to terminate this Agreement, or (b)
notwithstanding anything herein to the contrary, to waive all non-compliant
environmental conditions and matters and any claims it may have against Seller
with respect to any such non-remediated or non-compliant condition or matter
actually disclosed in the Phase I Report or Phase II Report, in which case the
Closing will proceed as contemplated by this Agreement (subject to its terms and
conditions) and Buyer shall receive a $300,000 credit against the Purchase Price
otherwise payable pursuant to SECTION 2.1 hereof.

         6.7.     REAL PROPERTY SURVEY AND TITLE COMMITMENTS.

                                       14
<PAGE>

                  (a)     Within 45 days after the date of this Agreement, Buyer
may obtain at its sole expense a current survey of the Real Property, prepared
by a licensed surveyor and conforming to current ALTA Minimum Detail
Requirements for Land Title Surveys, disclosing the location of all improvements
(including guy wire and anchors), easements, party walls, sidewalks, roadmaps,
utility lines and other matters customarily shown on such surveys, and showing
access affirmatively to public streets and roads (the "SURVEY").

                  (b)     Within 45 days after the date of this Agreement, Buyer
may at its sole expense obtain for the Real Property (either owned or leased)
standard ALTA Form B commitments for owner's or lessor's title insurance the
Real Property (the "TITLE COMMITMENTS").

                  (c)     Buyer shall provide Seller with a copy of the Survey
and the Title Commitments within 15 business days of receipt by Buyer, but in no
event later than 60 days after the date of this Agreement. Buyer shall give
Seller notice of any exception or defect to title in the Title Commitments or
any matter revealed by the Survey that materially and adversely affects the use
of the Real Property as currently used by Seller (the "OBJECTIONABLE
EXCEPTIONS") (i) with respect to the Title Commitments, at the time that Buyer
provides Seller with a copy of the Title Commitments, and (ii) with respect to
the Survey, within 15 business days of Buyer's receipt of the Survey, but in no
event later than 60 days after the date of this Agreement. If Buyer fails to
give such notice in a timely manner, Buyer shall be deemed to have accepted all
title exceptions or defects in title reported or that would be reported in the
Title Commitments or matters revealed or that would be revealed by the Survey
other than the Objectionable Exceptions expressly set forth in the notice.

                  (d)     Seller shall cure or remove any Objectionable
Exception within 45 days from the date of Buyer's notice; provided, however,
that if Seller reasonably determines that the cost of removing such
Objectionable Exception would exceed $300,000, in the aggregate, or that Seller
will be unable to cure or remove an Objectionable Exception within such 45-day
period, Seller shall provide Buyer with written notice of such determination
within 15 days after the end of such 45-day period. Buyer may then elect, by
providing Seller with notice thereof within 10 days after Buyer's receipt of
Seller's determination, to either: (a) terminate this Agreement without further
obligation or liability hereunder, or (b) notwithstanding anything herein to the
contrary, waive all Objectionable Exceptions and any claims it may have against
Seller with respect to any such Objectionable Exception and accept the real
property covered by such Title Commitment or Survey subject to such
Objectionable Exception, in which case the Closing will proceed as contemplated
by this Agreement (subject to its terms and conditions) and Buyer shall receive
a $300,000 credit against the Purchase Price otherwise payable pursuant to
SECTION 2.1.

                  (e)     Notwithstanding the foregoing, none of the following
shall constitute an Objectionable Exception: (i) the preprinted or standard
exceptions on the current ALTA owner's or lessee's form; and (ii) Permitted
Liens; provided, however, that any Lien securing a monetary obligation of Seller
(other than any Lien arising under the Real Property Lease assumed by Buyer
pursuant to SECTION 1.4), including any Lien for Taxes, shall be deemed an
Objectionable Exception whether or not Buyer gives written notice of such, and
shall be

                                       15
<PAGE>

removed by Seller at or before the Closing.

         6.8.     ESTOPPEL CERTIFICATE.  Between the date of this Agreement and
the Closing Date, Seller shall use commercially reasonable efforts to obtain an
estoppel certificate from the landlord with respect to the Real Property Lease.

                                    ARTICLE 7
                              CONDITIONS PRECEDENT

         7.1.     TO BUYER'S OBLIGATIONS.  The obligations of Buyer hereunder
are, at its option, subject to satisfaction or waiver by Buyer, at or prior to
the Closing Date, of each of the following conditions:

                  (a)     REPRESENTATIONS, WARRANTIES AND COVENANTS. All
representations and warranties made by Seller in this Agreement shall be true
and correct in all material respects on and as of the Closing Date as if made on
and as of that date (except to the extent they expressly relate to an earlier
time, in which case they shall have been true and correct only as of such
earlier time), except to the extent changes are permitted under SECTION 6.1 of
this Agreement. All of the terms, covenants and conditions to be complied with
or performed by Seller under this Agreement on or prior to the Closing Date
shall have been complied with or performed by Seller in all material respects.

                  (b)     GOVERNMENTAL CONSENTS. The FCC shall have granted the
FCC Consent, and the FCC Consent shall have become a Final Order. All applicable
waiting periods under the HSR Act with respect to the transaction contemplated
by this Agreement (including any extensions thereof) shall have expired or been
terminated and no actions shall have been instituted which are pending on the
Closing Date by the Federal Trade Commission or the Department of Justice
challenging or seeking to enjoin the consummation of the transactions
contemplated by this Agreement.

                  (c)     NO INJUNCTION.  No order of any court or
administrative agency shall be in effect which restrains or prohibits the
transactions contemplated by this Agreement in accordance with its terms.

                  (d)     DELIVERIES.  Seller shall have made or stand willing
to make all deliveries required under SECTION 8.1.

         7.2.     TO SELLER'S OBLIGATIONS.  The obligations of Seller hereunder
are, at its option, subject to satisfaction or waiver by Seller, at or prior to
the Closing Date, of each of the following conditions:

                                       16
<PAGE>

                  (a)     REPRESENTATIONS, WARRANTIES AND COVENANTS. All
representations and warranties made by Buyer in this Agreement shall be true and
correct in all material respects on and as of the Closing Date as if made on and
as of that date (except to the extent they expressly relate to an earlier time,
in which case they shall have been true and correct only as of such earlier
time). All of the terms, covenants and conditions to be complied with or
performed by Buyer under this Agreement on or prior to the Closing Date shall
have been complied with or performed by Buyer in all material respects.

                  (b)     GOVERNMENTAL CONSENTS. The FCC shall have granted the
FCC Consent. All applicable waiting periods under the HSR Act with respect to
the transaction contemplated by this Agreement (including any extensions
thereof) shall have expired or been terminated and no actions shall have been
instituted which are pending on the Closing Date by the Federal Trade Commission
or the Department of Justice challenging or seeking to enjoin the consummation
of the transactions contemplated by this Agreement.

                  (c)     NO INJUNCTION.  No order of any court or
administrative agency shall be in effect which restrains or prohibits the
transactions contemplated by this Agreement in accordance with its terms.

                  (d)     DELIVERIES. Buyer shall have made or stand willing to
make all deliveries required under SECTION 8.2 and shall have paid or stand
willing to pay the Purchase Price as provided in ARTICLE 2.

                                    ARTICLE 8
                    DOCUMENTS TO BE DELIVERED AT THE CLOSING

         8.1.     DOCUMENTS TO BE DELIVERED BY SELLER.  At the Closing, Seller
shall deliver to Buyer the following:

                  (a)     a certificate, dated as of the Closing Date, executed
by an officer of Seller, certifying that the closing conditions specified in
SECTION 7.1(a) have been satisfied;

                  (b)     a certificate of good standing for Seller and
certified copies of any required resolutions of the board of directors or
shareholder of Seller, as applicable;

                  (c)     instruments of conveyance and transfer, in form and
substance reasonably satisfactory to Buyer's counsel, effecting the sale,
transfer, assignment and conveyance of the Station Assets to Buyer, including
the following:

                          (i)    an assignment of the FCC Licenses;

                          (ii)   a bill of sale for the Tangible Personal
                                 Property;

                          (iii)  a warranty deed in the form customarily used in
                                 commercial real property transactions in the
                                 State of Illinois; and

                                       17
<PAGE>

                          (iv)   an assignment of Seller's rights under the Real
                                 Property Lease;

                  (d)     a properly executed statement from each Seller
pursuant to Treasury Regulation Section 1.1445-2(b)(2) for purposes of
satisfying Buyer's obligations under Section 1445 of the Internal Revenue Code
of 1986 and the regulations thereunder; and

                  (e)     such other documents as may reasonably be requested by
Buyer.

         8.2.     DOCUMENTS TO BE DELIVERED BY BUYER.  At the Closing, Buyer
shall deliver to Seller the following:

                  (a)     a certificate, dated as of the Closing Date, executed
by an officer of Buyer, certifying that the closing conditions specified in
SECTION 7.2(a) have been satisfied;

                  (b)     a certificate of good standing for Buyer and certified
copies of any required resolutions of the board of directors or shareholder of
Buyer, as applicable;

                  (c)     an assumption agreement, in form and substance
reasonably satisfactory to Seller's counsel pursuant to which Buyer shall assume
and undertake to perform Seller's obligations under the Real Property Lease;

                  (d)     the Purchase Price in immediately available wire
transferred federal funds as provided in ARTICLE 2;

                  (e)     the Qualified Intermediary Documents; and

                  (f)     such other documents as may reasonably be requested by
Seller.

                                    ARTICLE 9
                           INDEMNIFICATION, SURVIVAL

         9.1.     SELLER'S INDEMNITIES. From and after the Closing, Seller shall
indemnify, defend and hold harmless Buyer, its affiliates and their respective
directors, officers, employees and representatives, and the successors and
assigns of any of them, from and against, and reimburse them for, all claims,
damages, liabilities, losses, costs and expenses, including interest, penalties,
court costs and reasonable attorneys' fees and expenses ("CLAIMS"), resulting
from:

                  (a)     any liabilities of Seller not assumed by Buyer
hereunder; or

                  (b)     any untrue representation, breach of warranty or
nonfulfillment of any covenant by Seller contained herein or in any instrument
delivered by Seller to Buyer hereunder.

         9.2.     BUYER'S INDEMNITIES. From and after the Closing, Buyer shall
indemnify,

                                       18
<PAGE>

defend and hold harmless Seller, its affiliates and their respective directors,
officers, employees and representatives, and the successors and assigns of any
of them, from and against, and reimburse them for, all Claims, resulting from:

                  (a)     the Assumed Obligations; or

                  (b)     any untrue representation, breach of warranty or
nonfulfillment of any covenant by Buyer contained herein or in any instrument
delivered by Buyer to Seller hereunder.

         9.3.     PROCEDURE FOR INDEMNIFICATION.   The procedure for
indemnification shall be as follows:

                  (a)     The party seeking indemnification under this ARTICLE 9
(the "CLAIMANT") shall give notice to the party from whom indemnification is
sought (the "INDEMNITOR") of any claim, whether solely between the parties or
brought by a third party, reasonably specifying (i) the factual basis for the
claim, and (ii) the amount of the claim if then known. If the claim relates to
an action, suit or proceeding filed by a third party against Claimant, notice
shall be given by Claimant within fifteen (15) days after written notice of the
action, suit or proceeding was given to Claimant. In all other circumstances,
notice shall be given by Claimant within thirty (30) days after Claimant
becomes, or should have become, aware of the facts giving rise to the claim.
Notwithstanding the foregoing, Claimant's failure to give Indemnitor timely
notice shall not preclude Claimant from seeking indemnification from Indemnitor
if Claimant's failure has not materially prejudiced Indemnitor's ability to
defend the claim or litigation.

                  (b)     With respect to claims between the parties, following
receipt of notice from the Claimant of a claim, the Indemnitor shall have thirty
(30) days to make any investigation of the claim that the Indemnitor deems
necessary or desirable. For the purposes of this investigation, the Claimant
agrees to make available to the Indemnitor and/or its authorized representatives
the information relied upon by the Claimant to substantiate the claim. If the
Claimant and the Indemnitor cannot agree as to the validity and amount of the
claim within the 30-day period (or any mutually agreed upon extension thereof),
the Claimant may seek appropriate legal remedy.

                  (c)     With respect to any claim by a third party as to which
the Claimant is entitled to indemnification hereunder, the Indemnitor shall have
the right at its own expense to participate in or assume control of the defense
of the claim with counsel reasonably acceptable to Claimant, and the Claimant
shall cooperate fully with the Indemnitor, subject to reimbursement for
reasonable expenses incurred by the Claimant as the result of a request by the
Indemnitor. If the Indemnitor elects to assume control of the defense of any
third-party claim, the Claimant shall have the right to participate in the
defense of the claim at its own expense. If the Indemnitor does not elect to
assume control or otherwise participate in the defense of any third party claim,
Claimant may, but shall have no obligation to, defend or settle such claim or
litigation in such a manner as it deems appropriate, and in any event Indemnitor
shall be bound by the results obtained by the Claimant with respect to the claim
(by default or otherwise) and shall promptly reimburse Claimant for the amount
of all

                                       19
<PAGE>

expenses (including the amount of any judgment rendered), legal or otherwise,
incurred in connection with such claim or litigation. The Indemnitor shall be
subrogated to all rights of the Claimant against any third party with respect to
any claim for which indemnity was paid.

         9.4.     LIMITATIONS.

                  (a)     Neither Seller nor Buyer shall have any obligation to
the other party for any matter described in SECTION 9.1 or SECTION 9.2, as the
case may be, except upon compliance by the other party with the provisions of
this ARTICLE 9, particularly SECTION 9.3.

                  (b)     Neither party shall be required to indemnify the other
party under this ARTICLE 9 unless (i) written notice of a claim under this
ARTICLE 9 was received by the party within the pertinent survival period
specified in SECTION 9.5 and (ii) unless and until the aggregate amount of
claims (other than indemnification obligations pursuant to SECTION 9.1(b) OR
9.2(b) for which there shall be no "basket") against the party to which the
other party (as a Claimant) is entitled to be indemnified under this Agreement
exceeds $25,000, and then only for the excess over $25,000. Neither party shall
have any liability to the other party under any circumstances for special,
consequential, punitive or exemplary damages, and in no event shall Seller's
total liability to Buyer under this Agreement exceed $5,000,000.

         9.5.     SURVIVAL OF REPRESENTATIONS, WARRANTIES AND COVENANTS. The
representations, warranties, covenants, indemnities and other agreements
contained in this Agreement or in any certificate, document or instrument
delivered pursuant to this Agreement are and will be deemed and construed to be
continuing representations, warranties, covenants, indemnities and agreements
and shall survive the Closing for a period of twelve months after the Closing
Date (the "SURVIVAL PERIOD"). No claim may be brought under this Agreement
unless written notice describing in reasonable detail the nature and basis of
such claim is given on or prior to the last day of the Survival Period. In the
event such notice is given, the right to indemnification with respect thereto
shall survive the Survival Period until such claim is finally resolved and any
obligations thereto are fully satisfied. Any investigation by or on behalf of
any party hereto shall not constitute a waiver as to enforcement of any
representation, warranty, covenant or agreement contained herein.

         9.6.     SOLE REMEDY.   After the Closing, the right to indemnification
under this ARTICLE 9 shall be the exclusive remedy of any party in connection
with any breach or default by another party under this Agreement.

                                   ARTICLE 10
                               TERMINATION RIGHTS

         10.1.    TERMINATION.

                  (a)     This Agreement may be terminated by either Buyer or
Seller, if the party seeking to terminate is not in material default or breach
of this Agreement, upon written notice to the other upon the occurrence of any
of the following:

                                       20
<PAGE>

                          (i)    if the other party is in material breach of
                                 this Agreement and such breach has not been
                                 waived by the party giving such termination
                                 notice;

                          (ii)   if there shall be in effect any final judgment,
                                 decree or order that would prevent or make
                                 unlawful the Closing or if the FCC denies the
                                 FCC Application or designates that application
                                 for a trial-type hearing; or

                          (iii)  if the Closing has not occurred by the date
                                 that is twelve months after the date on which
                                 the FCC Application was accepted for filing by
                                 the FCC (the "UPSET DATE").

                  (b)     This Agreement may be terminated by mutual written
consent of Buyer and Seller.

                  (c)     If either party believes the other to be in breach or
default of this Agreement, the non-defaulting party shall, prior to exercising
its right to terminate under SECTION 10.1(a)(i), provide the defaulting party
with notice specifying in reasonable detail the nature of such breach or
default. Except for a failure to pay the Purchase Price, the defaulting party
shall have twenty days from receipt of such notice to cure such default;
provided, however, that if the breach or default is due to no fault of the
defaulting party and is incapable of cure within such 20-day period, the cure
period shall be extended as long as the defaulting party is diligently and in
good faith attempting to effectuate a cure. Nothing in this SECTION 10.1(c)
shall be interpreted to extend the Upset Date.

         10.2.    EFFECT OF TERMINATION. In the event of termination of this
Agreement pursuant to SECTION 10.1, this Agreement (other than SECTION 6.2(b),
which shall remain in full force and effect) shall forthwith become null and
void, and no party hereto (nor any of their respective affiliates, directors,
officers or employees) shall have any liability or further obligation, except as
provided in this ARTICLE 10 and in ARTICLE 11.

                                   ARTICLE 11
                   REMEDIES UPON DEFAULT; SPECIFIC PERFORMANCE

         11.1.    DEFAULT BY SELLER; SPECIFIC PERFORMANCE. If Seller breaches or
defaults in its obligations under this Agreement, Buyer may pursue any legal or
equitable remedies available to it and shall be entitled to obtain from Seller
court costs and reasonable attorneys' fees and expenses incurred by it in
enforcing its rights hereunder. Seller recognizes that, in the event Seller
defaults in the performance of its obligations under this Agreement, monetary
damages alone will not be adequate. In such event, Buyer shall be entitled to
obtain specific performance of the terms of this Agreement. As a condition to
seeking specific performance, Buyer shall not be required (i) to post bond,
prove actual damages or furnish other security or (ii) to have tendered the
Purchase Price specified in ARTICLE 2 of this Agreement, but shall be ready,
willing and able to do so.

         11.2.    DEFAULT BY BUYER. If this Agreement is terminated by Seller
pursuant to

                                       21
<PAGE>

SECTION 10.1(a)(i), and if Buyer shall be in material breach or
default of any of its obligations set forth in this Agreement, then Buyer shall
pay Seller $3,000,000 as liquidated damages, in full settlement of any damages
of any kind or nature that Seller may suffer as a result thereof, it being
understood and agreed that the amount of liquidated damages represents the
reasonable estimate of the parties of actual damages and does not constitute a
penalty. In addition, Seller shall be entitled to obtain from Buyer court costs
and reasonable legal fees and expenses incurred by it in enforcing its rights
hereunder.

                                   ARTICLE 12
                                OTHER PROVISIONS

         12.1.    TRANSFER TAXES AND EXPENSES. All recordation, transfer,
documentary, excise, sales or use taxes or fees imposed on this transaction
shall be paid by the party so responsible under applicable law. Except as
otherwise provided in this Agreement, each party shall be solely responsible for
and shall pay all other costs and expenses incurred by it in connection with the
negotiation, preparation and performance of and compliance with the terms of
this Agreement.

         12.2.    BENEFIT AND ASSIGNMENT. This Agreement shall be binding upon
and shall inure to the benefit of the parties hereto and their respective
successors and assigns. Buyer may not assign its rights under this Agreement
without Seller's prior written consent, which consent may be withheld in
Seller's sole discretion, other than to a wholly subsidiary of Buyer, provided
that such assignment does not delay the Closing and will not relieve Buyer of
its obligations hereunder.

         12.3.    ENTIRE AGREEMENT; SCHEDULES; AMENDMENT; WAIVER. This
Agreement, and the exhibits and schedules hereto and thereto, embody the entire
agreement and understanding of the parties hereto and supersede any and all
prior agreements and understandings relating to the matters provided for herein.
Any matter that is disclosed in a schedule hereto in such a way as to make its
relevance to the information called for by another schedule readily apparent
shall be deemed to have been included in such other schedule, notwithstanding
the omission of an appropriate cross-reference. No amendment, waiver of
compliance with any provision or condition hereof, or consent pursuant to this
Agreement shall be effective unless evidenced by an instrument in writing signed
by the party against whom enforcement of any waiver, amendment, change,
extension or discharge is sought. No failure or delay on the part of Buyer or
Seller in exercising any right or power under this Agreement shall operate as a
waiver thereof, nor shall any single or partial exercise of any such right or
power, or any abandonment or discontinuance of steps to enforce such a right or
power, preclude any other or further exercise thereof or the exercise of any
other right or power.

         12.4.    HEADINGS.  The headings set forth in this Agreement are for
convenience only and shall not control or affect the meaning or construction of
the provisions of this Agreement.

         12.5.    COMPUTATION OF TIME. If after making computations of time
provided for in

                                       22
<PAGE>

this Agreement, a time for action or notice falls on Saturday, Sunday or a
federal holiday, then such time shall be extended to the next business day.

         12.6.    GOVERNING LAW; WAIVER OF JURY TRIAL. The construction and
performance of this Agreement shall be governed by the law of the State of New
York without regard to its principles of conflict of law, and the exclusive
forum for the resolution of any disputes arising hereunder shall be the federal
or state courts located in the State of New York. BUYER AND SELLER HEREBY
IRREVOCABLY AND UNCONDITIONALLY WAIVE TRIAL BY JURY IN ANY LEGAL ACTION OR
PROCEEDING RELATING IN ANY WAY TO THIS AGREEMENT, INCLUDING ANY COUNTERCLAIM
MADE IN SUCH ACTION OR PROCEEDING, AND AGREE THAT ANY SUCH ACTION OR PROCEEDING
SHALL BE DECIDED SOLELY BY A JUDGE. Buyer and Seller hereby acknowledge that
they have each been represented by counsel in the negotiation, execution and
delivery of this Agreement and that their lawyers have fully explained the
meaning of the Agreement, including in particular the jury-trial waiver. Any
question of doubtful interpretation shall not be resolved by any rule providing
for interpretation against the party who causes the uncertainty to exist or
against the drafter of this Agreement.

         12.7.    ATTORNEY FEES. In the event of any dispute between the parties
to this Agreement, Seller or Buyer, as the case may be, shall reimburse the
prevailing party for its reasonable attorneys' fees and expenses incurred in
enforcing its rights or exercising its remedies under this Agreement. Such right
of reimbursement shall be in addition to any other right or remedy that the
prevailing party may have under this Agreement.

         12.8.    SEVERABILITY. If any term or provision of this Agreement, or
the application thereof to any person or circumstance shall, to any extent be
held invalid or unenforceable, the remainder of this Agreement, or the
application of such term or provision to persons or circumstances other than
those as to which it is held invalid or unenforceable, shall not be affected
thereby, and each such term and provision of this Agreement shall be valid and
be enforced to the fullest extent permitted by law.

         12.9.    NOTICES.  Any notice, demand or request required or permitted
to be given under the provisions of this Agreement shall be in writing,
addressed to the following addresses, or to such other address as any party may
request:

If to Seller:

         Infinity Broadcasting Corporation
         40 West 57th Street, 14th Floor
         New York, NY  10019
         Attention:   Mr. Farid Suleman
         Facsimile:   212-314-9336

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

         Leventhal, Senter & Lerman P.L.L.C.
         2000 K Street, N.W., Suite 600

                                       23
<PAGE>

         Washington, D.C.  20006-1809
         Attention:   Steven A. Lerman, Esq.
         Facsimile:   202-293-7783

If to Buyer:

         Salem Communications Corporation
         4880 Santa Rosa Road, Suite 300
         Camarillo, CA  93012
         Attention:   Jonathan L. Block, Esq.
         Facsimile:   805-384-4505

Any such notice, demand or request shall be deemed to have been duly delivered
and received (a) on the date of personal delivery, or (b) on the date of
transmission, if sent by facsimile (but only if a hard copy is also sent by
overnight courier), or (c) on the date of receipt, if mailed by registered or
certified mail, postage prepaid and return receipt requested, or (d) on the date
of a signed receipt, if sent by an overnight delivery service, but only if sent
in the same manner to all persons entitled to receive notice or a copy.

         12.10.   COUNTERPARTS. This Agreement may be executed in one or more
counterparts, each of which will be deemed an original and all of which together
will constitute one and the same instrument. Faxed copies of the Agreement and
faxed signature pages shall be binding and effective as to all parties and may
be used in lieu of the original Agreement, and, in particular, in lieu of
original signatures, for any purpose whatsoever.

                                   ARTICLE 13
                                   DEFINITIONS

         13.1.    DEFINED TERMS. Unless otherwise stated in this Agreement, the
following terms when used herein shall have the meanings assigned to them below
(such meanings to be equally applicable to both the singular and plural forms of
the terms defined).

         "AGREEMENT" shall have the meaning set forth in the preamble to this
Agreement.

         "ASSUMED OBLIGATIONS" shall have the meaning set forth in SECTION 1.4.

         "BUYER" shall have the meaning set forth in the preamble to this
Agreement.

         "CLAIMANT" shall have the meaning set forth in SECTION 9.3.

         "CLAIMS" shall have the meaning set forth in SECTION 9.1.

         "CLOSING" shall have the meaning set forth in SECTION 1.1.

         "CLOSING DATE" shall mean the date on which the Closing is completed.

                                       24
<PAGE>

         "CODE" shall mean the Internal Revenue Code of 1986, as amended.

         "DAMAGED ASSET" shall have the meaning set forth in SECTION 6.4.

         "EFFECTIVE TIME" shall have the meaning set forth in SECTION 2.4.

         "ENVIRONMENTAL LAWS" shall mean all applicable local, state and federal
statutes and regulations relating to the protection of human health or the
environment including the FCC's regulations concerning radio frequency
radiation.

         "FCC" shall mean the Federal Communications Commission.

         "FCC APPLICATION" shall mean the application or applications that
Seller and Buyer must file with the FCC requesting its consent to the assignment
of the FCC Licenses from Seller to Buyer.

         "FCC CONSENT" shall mean the action by the FCC granting the FCC
Application.

         "FCC LICENSES" shall have the meaning set forth in SECTION 1.2.

         "FINAL ORDER" shall mean an action by the FCC (i) which has not yet
been vacated, reversed, stayed or suspended; (ii) with respect to which no
timely appeal, request for stay or petition for rehearing, reconsideration or
review by any party or by the FCC on its own motion, is pending; and (iii) as to
which the time for filing any such appeal, request, petition, or similar
document or for the reconsideration or review by the FCC on its own motion under
Communications Act and the rules and regulations of the FCC, has expired.

         "HAZARDOUS MATERIALS" shall mean all hazardous or toxic substance,
material or waste which, because of its quantity, concentration or physical,
chemical or infectious characteristics, may cause or pose a present or potential
hazard to human health or the environment when improperly used, treated, stored,
disposed of, generated, manufactured, transported or otherwise handled.
"Hazardous Materials" shall not include ordinary quantities of consumer or
commercial products used in the normal course of broadcast station operations,
including grounds and building operation and maintenance.

         "HSR ACT" shall have the meaning set forth in SECTION 5.2.

         "INDEMNITOR" shall have the meaning set forth in SECTION 9.3.

         "LIENS" shall mean mortgages, deeds of trust, liens, security
interests, pledges, collateral assignments, conditional sales agreements,
leases, encumbrances, claims or other defects of title, but shall not include
(i) liens for current Taxes not yet due and payable; (ii) other inchoate liens
imposed by law (such as landlord's, materialman's, mechanic's, carrier's,
worker's and repairman's liens) arising in the ordinary course of business
(provided that such liens do not interfere in any material respect with the use
of the Station Assets as currently used and that Seller remains liable for
paying such liens); (iii) income-

                                       25
<PAGE>

producing leases or subleases to third parties; and (iv) defects in title or
other matters that do not materially adversely affect the continued use of the
property as currently used by Seller (the exceptions set forth in clauses (i)
through (iv) being collectively referred to herein as "Permitted Liens").

         "OBJECTIONABLE EXCEPTIONS" shall have the meaning set forth in SECTION
6.7.

         "OWNED REAL PROPERTY" shall have the meaning set forth in SECTION 1.2.

         "PHASE I REPORT" shall have the meaning set forth in SECTION 6.6.

         "PHASE II REPORT" shall have the meaning set forth in SECTION 6.6.

         "PURCHASE PRICE" shall have the meaning set forth in SECTION 2.1.

         "QUALIFIED INTERMEDIARY DOCUMENTS" shall have the meaning set forth in
SECTION 1.6.

         "REAL PROPERTY" shall have the meaning set forth in SECTION 1.2.

         "REAL PROPERTY LEASE" shall have the meaning set forth in SECTION 1.2.

         "REFEREE" shall have the meaning set forth in SECTION 2.4.

         "SELLER" shall have the meaning set forth in the preamble to this
Agreement.

         "STATION" shall have the meaning set forth in the preamble to this
Agreement.

         "STATION ASSETS" shall have the meaning set forth in SECTION 1.2.

         "SURVEY" shall have the meaning set forth in SECTION 6.7.

         "SURVIVAL PERIOD" shall have the meaning set forth in SECTION 9.5.

         "TANGIBLE PERSONAL PROPERTY" shall have the meaning set forth in
SECTION 1.2.

         "TAXES" means any and all federal, state, local and foreign taxes,
assessments and other governmental charges, duties, impositions, levies and
liabilities, including, without limitation, taxes based upon or measured by
gross receipts, income, profits, sales, use and occupation, and value added, ad
valorem, transfer, gains, franchise, withholding, payroll, recapture,
employment, excise, unemployment, insurance, social security, business license,
occupation, business organization, stamp, environmental and property taxes,
together with all interest, penalties and additions imposed with respect to such
amounts.

         "TITLE COMMITMENTS" shall have the meaning set forth in SECTION 6.7.

         "TO BUYER'S KNOWLEDGE" or words of similar import, shall mean to the
actual knowledge of the president or chief financial officer of Buyer.

                                       26
<PAGE>

         "TO SELLER'S KNOWLEDGE" or words of similar import, shall mean to the
actual knowledge of the president or chief financial officer of Seller or the
general manager of the Station.

         "UPSET DATE" shall have the meaning set forth in SECTION 10.1.

         13.2.    MISCELLANEOUS TERMS.   The term "OR" is disjunctive; the term
"AND" is conjunctive. The term "SHALL" is mandatory; the term "MAY" is
permissive. Masculine terms apply to females; feminine terms apply to males. The
term "INCLUDES" or "INCLUDING" is by way of example and not limitation.

                          [Signatures follow this page]

                                       27
<PAGE>

         IN WITNESS WHEREOF, the parties hereto have caused this Asset Purchase
Agreement to be duly executed as of the date first written above.

                           SELLER:

                           INFINITY BROADCASTING
                           CORPORATION OF ILLINOIS

                           By:
                              --------------------------------------------------
                                    Name:
                                         ---------------------------------------
                                    Title:
                                          --------------------------------------

                           INFINITY BROADCASTING
                           CORPORATION

                           By:
                              --------------------------------------------------
                                    Name:
                                         ---------------------------------------
                                    Title:
                                          --------------------------------------

                           BUYER:

                           SALEM COMMUNICATIONS
                           CORPORATION

                           By:
                              --------------------------------------------------
                                    Name:
                                         ---------------------------------------
                                    Title:
                  --------------------------------------------------------------

                                       28
<PAGE>

                                                                       EXHIBIT A

                           FORM OF ASSIGNMENT, ACCEPTANCE AND NOTICE

<PAGE>

                                                                      EXHIBIT  B

                  FORM OF REASSIGNMENT AND ASSUMPTION AGREEMENT

<PAGE>

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

                            ASSET PURCHASE AGREEMENT

                                      among

                        INFINITY BROADCASTING CORPORATION
                                  OF ILLINOIS,
                        INFINITY BROADCASTING CORPORATION

                                       and

                        SALEM COMMUNICATIONS CORPORATION

                          Dated as of November 6, 2000

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

<PAGE>

         EXHIBITS

                      A      Form of Assignment, Acceptance and Notice
                      B      Form of Reassignment and Assumption Agreement

         SCHEDULES

                      1.2(a) FCC Licenses
                      1.2(b) Tangible Personal Property
                      1.2(c) Real Property
                      1.3(l) Excluded Assets

<PAGE>

                              DISCLOSURE SCHEDULES
                                       TO
                            ASSET PURCHASE AGREEMENT
                                      AMONG
                        INFINITY BROADCASTING CORPORATION
                                  OF ILLINOIS,
                       INFINITY BROADCASTING CORPORATION,
                                       AND
                        SALEM COMMUNICATIONS CORPORATION
                                       FOR
                              WXRT(AM), CHICAGO, IL

                          DATED AS OF NOVEMBER 6, 2000

                  Reference is made to the Asset Purchase Agreement (the
         "AGREEMENT"), dated as of November 6, 20000, among Infinity
         Broadcasting Corporation of Illinois, Infinity Broadcasting Corporation
         and Salem Communications Corporation. These Schedules are the
         "Schedules" referred to in the Agreement. Capitalized terms used in
         these Schedules and not otherwise defined herein are used as defined in
         the Agreement.

                  These Schedules are qualified in their entirety by reference
         to specific provisions of the Agreement and are not intended to
         constitute, and shall not be construed as constituting, any
         representation or warranty of Seller except as and to the extent
         expressly provided in the Agreement. The fact that any item of
         information is contained herein shall not be construed to mean that
         such information is required to be disclosed in or by the Agreement.
         Such information shall not be used as a basis for interpreting the term
         "material", "materially" or "materiality" in the Agreement. Any matter
         disclosed in one section or subsection hereof shall be deemed to be
         disclosed in all sections or subsections hereof and for all purposes of
         these Schedules and the Agreement. The headings in these Schedules are
         for convenience of reference only and shall not be deemed to alter or
         affect the express description of the sections of these Schedules as
         set forth in the Agreement.

<PAGE>

                         SCHEDULE 1.2(a) - FCC LICENSES

        WXRT(AM), CHICAGO, ILLINOIS

        Main Station License       BR-19960731ZZ          Exp. December 1, 2004
                                    BL-19930420AC

        Tower Registrations:  FCC numbers 1009053, 1009054, 1009055 and 1009056.

        Note:  As set forth in SCHEDULE 1.3(l), call sign WXRT(AM) is an
Excluded Asset.

<PAGE>

                  SCHEDULE 1.2(b) - TANGIBLE PERSONAL PROPERTY

         5 towers (four are registered - - FCC registration numbers 1009053,
         1009054, 1009055 and 1009056 - - one is not required to be registered)
         and associated directional phasing equipment

         Transmitter building that houses the WXRT(AM) transmitters (note:
         building is in disrepair)

         See also attached list

<PAGE>

                         SCHEDULE 1.2(c) - REAL PROPERTY

         OWNED REAL PROPERTY

         Parcels (Permanent Real Estate Index Numbers 09-16-402-041-0000,
         09-16-402-042-0000 and 09-16-402-043-0000) located in Des Plaines,
         Illinois, and identified in deed from Plough Broadcasting Company, Inc.
         to Infinity Broadcasting Corporation of Illinois filed on July 20, 1984

         LEASED REAL PROPERTY

         Lease dated March 23, 1965, by and between LaSalle National Bank and
         Plough Broadcasting Company, Inc. (consent to assignment not required)

         BUILDING

         Transmitter building that houses the WXRT(AM) transmitters (note:
         building is in disrepair)

         Notes:

                  1.  Prior to Closing, Seller will advise Buyer, based on the
                      Survey, whether the towers and transmitter building are
                      located on the Owned Real Property or the Leased Real
                      Property.

                  2.  Seller has been unable to locate any title insurance
                      policies or commitments, surveys or environmental
                      assessments for the Real Property.

<PAGE>

                        SCHEDULE 1.3(l) - EXCLUDED ASSETS

         All time sales agreements

         All trade agreements

         All programming agreements and other intellectual property associated
         with the Station

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00023-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00023-of-00352.parquet"}]]