WASHINGTON (AP) ¿ Radio One Inc., an owner of urban radio stations largely aimed at African-Americans, said Tuesday that its shareholders have approved a reverse stock split.
At its annual stockholders meeting, Radio One said it received approval for a reverse split ranging from 1-for-2 to 1-for-50 to be done before the next annual shareholders meeting.
But the company's board said it has not yet decided whether to set a reverse split.
In a reverse split, a greater number of shares are exchanged for a smaller batch, with a goal of reducing the number of shares outstanding and increasing the stock price.Radio One also said that Terry Jones, Brian McNeill, Catherine Hughes, Alfred Liggins III, D. Geoffrey Armstrong, Ronald Blaylock and B. Doyle Mitchell, Jr. were elected as directors. Radio One's shareholders meeting was delayed for three months to accommodate changes recommended by the Securities and Exchange Commission on certain disclosures in its 2008 earnings report, the first quarter of 2009 and proxy statement. The SEC wanted better clarity on executive compensation, impairments, liquidity, major customers, among others. Radio One is based in Washington and owns 53 stations in 16 cities. Its shares were up 1 cent to $3.78 in afternoon trading.