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## Supplemental Information – Statements of Cash Flows 

During 2010, 2009 and 2008, we had the following cash transactions (in thousands): 

<img src='content_image/238519.jpg'>

Non-cash barter and trade expense are presented in the consolidated statements of operations. Non-cash transactions related to capital lease obligations were $1.4 million, $2.3 million and $10.0 million for the years ended December 31, 2010, 2009 and 2008, respectively. 

## Revenue Recognition 

Total revenues include: (i) cash and barter advertising revenues, net of agency commissions; (ii) retransmission consent fees; (iii) network compensation; (iv) other broadcast revenues and (v) revenues from our other operating divisions. 

Advertising revenues, net of agency commissions, are recognized in the period during which time spots are aired. 

Our retransmission consent agreements contain both advertising and retransmission consent elements. We have determined that our retransmission consent agreements are revenue arrangements with multiple deliverables. Advertising and retransmission consent deliverables sold under our agreements are separated into different units of accounting at fair value. Revenue applicable to the advertising element of the arrangement is recognized similar to the advertising revenue policy noted above. Revenue applicable to the retransmission consent element of the arrangement is recognized ratably over the life of the agreement. 

Network compensation revenue is recognized ratably over the term of the contract. All other significant revenues are recognized as services are provided. 

## Advertising Expenses 

Advertising expenses are recorded in the period when incurred and are included in station production expenses. Total advertising expenses from continuing operations, net of advertising co-op credits, were $6.2 million, $3.9 million and $7.6 million for the years ended December 31, 2010, 2009 and 2008, respectively. 

## Financial Instruments 

Financial instruments, as of December 31, 2010 and 2009, consisted of cash and cash equivalents, trade accounts receivable, notes receivable (which are included in other current assets), derivatives, accounts payable, accrued liabilities and notes payable. The carrying amounts approximate fair value for each of these financial instruments, except for the notes payable. See Note 5. Notes Payable and Commercial Bank Financing,  for additional information regarding the fair value of notes payable. 

## Pension 

We are required to recognize the funded status (i.e., the difference between the fair value of plan assets and the projected benefit obligations) of our pension plan in our consolidated financial statements. As of December 31, 2010 and 2009, we held a liability of $3.2 million and $3.9 million, respectively, representing the under funded status of our defined benefit pension plan. 

## Reclassifications 

Certain reclassifications have been made to prior years’ consolidated financial statements to conform to the current year’s presentation. 

