Saga CEO Addresses Gate City Efforts Ahead of Q4 Call

Saga Communications provided strategic previews ahead of the broadcaster’s earnings call over digital growth, cost alignment, and corporate governance improvements. The company also expressed concerns over recent board nominations by shareholder Gate City Capital.

Saga CEO Chris Forgy emphasized the company’s focus on adapting to an evolving industry while maintaining strong community connections. “Since Saga’s founding in 1986, we have endeavored to create and sustain a platform for which we can successfully acquire, develop, and operate broadcast properties with a focus on providing opportunities complimentary to our core radio business, including digital, e-commerce, local online news services and non-traditional revenue initiatives,” said Forgy.

The group owns 82 FM and 31 AM radio stations across 28 markets and has recently rebranded many clusters to reflect a multimedia approach.

Saga is prioritizing a cost-effective digital strategy centered around its “Click, Visit, Call and Search” approach, which aims to provide advertisers with simple and effective sales solutions. Saga also highlighted efforts to align operational costs, enhance board governance by recruiting a board member with digital marketing expertise, and evaluate non-core asset sales and stock repurchases.

The release also addressed the nomination of four board candidates by Gate City Capital Management, LLC, a company shareholder. While Saga expressed willingness to engage with Gate City, the company stated, “Regrettably, Gate City appears to misunderstand Saga’s business, the changing landscape in which the Company operates, and the strategy Saga is pursuing.”

The broadcaster’s board of directors, including representation from its largest shareholder, TowerView LLC, will review Gate City’s nomination and provide guidance ahead of the 2025 Annual Meeting of Shareholders.

Saga’s earnings call will take place on March 11 at 11a ET.