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To: forceOfHabit who wrote (343)	9/4/2006 9:24:44 PM
From: Surfratiam	Read Replies (1) \| Respond to of 361

Foh, That is one angle. I also see the advertising dollars being distributed in other areas such as the internet and displays being located in stores and other buildings. But yes with the limited advertising on the satellite radio (for now), billboards are one way to get a message out. At some point these satellite radio companies will need to turn a profit (last I checked these companies are loaded with debt and burning cash). Looking at LAMR they have a 4 billion market cap, are going to try to earn .47 this year (stock above 50.00 per share), 2 billion in liabilities, 1 billion per year in revenue. CCO has a market cap of 7 billion, does 2.6 billion a year in revenue, has 3.8 billion in debt but has considerable more cash than LAMR, earning estimates for this year are .37, this stock trades around 20.00. LAMR over the years has constantly missed estimates, keep borrowing, raising debt to buy other billboard companies and run their business. Maybe they should try turning a profit for a few quarters and start paying down that debt instead of buying back shares. Seems to me the last 2 news releases contradict each other a little (especially looking at how leveraged the company is): Recent announcements: 1) Lamar Advertising Plans to Raise $200 Million in Private Placement of Senior Notes to use the proceeds to repay part of its bank credit. 2) Lamar Advertising to Repurchase Up to $250M of Its Common Stock Over 18-Month Period, the company has established a trading plan as part of the buyback program that allows it to repurchase shares in the open market during times when the stock trading window is otherwise closed for the company. The program will be funded with working capital, availability under Lamar's revolving credit facility and future cash flows. With all that said, if the economy slows down a bit, it is sure to have an effect on what LAMR can charge for a bill board. Talking about buying back shares now is very short sighted. And for a company with a forward PE of 140+, they can talk about there EBITA all they want. They are 2 billion in debt. If/when the economy slows down in my opinion they will go cash negative big time. Thanks for your thoughts. Rock