Audacy Corp. shares are currently trading at roughly $0.52 and face a NYSE delisting for failing to close above $1 since June 28. The poor Wall Street performance prompted a veteran radio industry blogger and former Inside Radio publisher to falsely report on Wednesday that Audacy will be declaring bankruptcy.
The incorrect report was picked up by Boston media, leading President/CEO David Field to respond.
In a company-wide email, he assailed Jerry Del Colliano, who wrote in a blog on Tuesday that Audacy was initiating a bankruptcy proceeding.
Field was blunt, and clearly irked, by the report, stating, “I am reaching out to address some fake news from an industry troll about Audacy that is currently circulating.”
Field disputed Del Colliano’s claim that he confirmed “Audacy’s bankruptcy,” writing, “That statement is categorically and unequivocally untrue.”
A libel suit could be coming, putting Del Colliano in legal hot water.
“Audacy intends to pursue all applicable remedies for false and defamatory statements meant to cause damage to Audacy, its employees and its stakeholders to the fullest extent of the law,” Field wrote. He closed the employee memo by noting that the executive leadership team is “excited and confident in our future and focused on capitalizing effectively on the acquisitions, investments and enhancements we have made to position the company for a bright future in the dynamic, growing world of audio.”
Audacy Corp. recently engaged in a reduction-in-force initiative that impacted air personalities in several of the company’s markets.
“Audacy is better positioned than ever to serve customers and audiences with greater revenue and earnings potential under normalized market conditions,” Field said.
As Inside Radio publisher, Del Colliano and iHeartMedia predecessor Clear Channel Communications tangled in court, with legal actions taken against one another some 20 years ago. An out-of-court settlement was reached, leading Clear Channel to purchase Inside Radio. The trade publication continues to be owned by iHeartMedia as a subsidiary operation with editorial policies implemented by the corporate leadership team.
