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                                   Before the

                       Federal Communications Commission

                             Washington, D.C. 20554


                                             )                               
                                                                             
                                             )                               
     In the Matter of                            File No. EB-06-IH-2944      
                                             )                               
     EMMIS AUSTIN RADIO BROADCASTING             NAL/Acct. No. 201132080029  
     COMPANY, L.P.                           )                               
                                                 FRN No. 0003782273          
     Licensee of Station KROX-FM, Buda,      )                               
     Texas                                       Facility ID No. 54659       
                                             )                               
                                                                             
                                             )                               


                                     ORDER

   Adopted: July 21, 2011 Released: July 22, 2011

   By the Chief, Enforcement Bureau:

   1. In this Order, we adopt the attached Consent Decree entered into
   between the Enforcement Bureau ("Bureau") and Emmis Austin Radio
   Broadcasting Company, L.P. (the "Licensee"). The Consent Decree terminates
   an investigation by the Bureau against the Licensee for possible
   violations of sections 317 and 507 of the Communications Act of 1934, as
   amended (the "Act"), and section 73.1212 of the Commission's Rules,
   regarding sponsorship identification.

   2. The Bureau and the Licensee have negotiated the terms of a Consent
   Decree that resolve this matter. A copy of the Consent Decree is attached
   hereto and incorporated by reference.

   3. After reviewing the terms of the Consent Decree and evaluating the
   facts before us, we find that the public interest would be served by
   adopting the Consent Decree and terminating the investigation.

   4. In the absence of material new evidence relating to this matter, we
   conclude that our investigation raises no substantial or material
   questions of fact as to whether the Licensee possesses the basic
   qualifications, including those related to character, to hold or obtain
   any Commission license or authorization.

   5. Accordingly, IT IS ORDERED that, pursuant to section 4(i) of the
   Communications Act of 1934, as amended, and sections 0.111 and 0.311 of
   the Commission's Rules, the Consent Decree attached to this Order IS
   ADOPTED.

   6. IT IS FURTHER ORDERED that the above-captioned investigation IS
   TERMINATED.

    7. IT IS FURTHER ORDERED that the third-party complaint against the
       Licensee before the Bureau related to the
       above-captioned-investigation as of the date of this Consent Decree IS
       DISMISSED.

    8. IT IS FURTHER ORDERED that a copy of this Order and Consent Decree
       shall be sent to by first-class, certified mail, return receipt
       requested to Emmis Austin Radio Broadcasting Company, L.P., One Emmis
       Plaza, 40 Monument Circle Suite 700, Indianapolis, Indiana 46204, and
       to John E. Fiorini III, Wiley Rein LLP, 1776 K Street, NW, Washington,
       D.C. 20006.

   FEDERAL COMMUNICATIONS COMMISSION

   P. Michele Ellison

   Chief, Enforcement Bureau

                                   Before the
                       Federal Communications Commission
                             Washington, D.C. 20554


                                           )                                 
                                                                             
                                           )                                 
     In the Matter of                          File No. EB-06-IH-2944        
                                           )                                 
     EMMIS AUSTIN RADIO BROADCASTING           NAL/Account No. 201132080029  
     COMPANY, L.P.                         )                                 
                                               FRN No. 0003782273            
     Licensee of Station KROX-FM, Buda,    )                                 
     Texas                                     Facility ID No. 54659         
                                           )                                 
                                                                             
                                           )                                 


                                 CONSENT DECREE

     1. The Enforcement Bureau ("Bureau") and Emmis Austin Radio Broadcasting
        Company, L.P. (the "Licensee"), by their authorized representatives,
        hereby enter into this Consent Decree for the purpose of terminating
        the Bureau's investigation into whether the Licensee violated the
        Sponsorship Identification Laws, as defined below.

   I. DEFINITIONS

    2. For the purposes of this Consent Decree, the following definitions
       shall apply:

    a. "Act" means the Communications Act of 1934, as amended, 47 U.S.C.
       S: 151 et seq.

    b. "Adopting Order" means an Order by the Bureau adopting the terms of
       this Consent Decree without change, addition, deletion, or
       modification.

    c. "Bureau" means the Enforcement Bureau of the Federal Communications
       Commission.

    d. "Business Reforms" means the conduct and activities described in
       Attachment B to this Consent Decree.

    e. "Commission" and "FCC" mean the Federal Communications Commission and
       all of its bureaus and offices.

    f. "Complaint" means the third-party complaint received by or in the
       possession of the Bureau, forming the basis for the Bureau's April 26,
       2007, and November 29, 2007, Letters of Inquiry, regarding whether the
       Licensee violated the Commission's Sponsorship Identification Laws in
       connection with its operation of the Station prior to the effective
       date of the Adopting Order.

    g. "Compliance Plan" means the program described in Attachment A to this
       Consent Decree.

    h. "Effective Date" means the date on which the Commission releases the
       Adopting Order.

    i. "Investigation" means the Bureau's investigation of the Complaint
       alleging violations of the Sponsorship Identification Laws by the
       Licensee.

    j. "Licensee" means Emmis Austin Radio Broadcasting Company, L.P. and its
       predecessors-in-interest and successors-in-interest as licensee of the
       Station.

    k. "Parties" means the Licensee and the Bureau.

    l. "Rules" means the Commission's regulations found in Title 47 of the
       Code of Federal Regulations.

    m. "Sponsorship Identification Laws" means, individually or collectively,
       47 U.S.C. S: 317, 47 U.S.C. S: 508, 47 C.F.R. S: 73.1212, and/or any
       Commission policy relating to sponsorship identification or the
       practices commonly referred to as "payola" or "plugola."

    n. "Station" means Station KROX-FM, Buda, Texas (Facility ID No. 54659).

   II. BACKGROUND

    3. On August 1, 2006, the Commission received the Complaint which alleged
       that a program broadcast by the Station was involved in a payola
       scheme. Specifically, the complainant alleges that the host of the
       program received valuable consideration from: (a) a heavy metal music
       store; (b) a venue where featured bands perform live; and (c) a
       booking agent and a band manager. The complainant also alleges that
       independent artists are unable to secure airplay unless they sponsor
       events organized by the Station but directed or hosted by the host. On
       April 26, 2007, and November 29, 2007, the Bureau issued Letters of
       Inquiry to the Licensee concerning information in the Complaint. The
       Licensee responded on June 28, 2007, July 17, 2007, and January 7,
       2008.

    4. The Bureau and the Licensee acknowledge that any proceedings that
       might result from the Investigation would be time-consuming and would
       require substantial expenditure of public and private resources. In
       order to conserve such resources and to ensure continued compliance by
       the Licensee with the Sponsorship Identification Laws, the Bureau and
       the Licensee are entering into this Consent Decree in consideration of
       the mutual commitments made herein.

   III. TERMS OF AGREEMENT

    5. Adopting Order. The Parties agree that the provisions of this Consent
       Decree shall be subject to final approval by the Bureau by
       incorporation of such provisions by reference in the Adopting Order
       without change, addition, modification, or deletion.

    6. Jurisdiction. The Licensee agrees that the Bureau has jurisdiction
       over it and the matters contained in this Consent Decree and has the
       authority to enter into and adopt this Consent Decree.

    7. Effective Date; Violations. The Parties agree that this Consent Decree
       shall become effective on the date on which the FCC releases the
       Adopting Order. Upon release, the Adopting Order and this Consent
       Decree shall have the same force and effect as any other Order of the
       Bureau. Any violation of the Adopting Order or of the terms of this
       Consent Decree shall constitute a separate violation of a Bureau
       Order, entitling the Bureau to exercise any rights and remedies
       attendant to the enforcement of a Commission Order.

    8. Termination of Investigation. In express reliance on the covenants and
       representations in this Consent Decree and to avoid further
       expenditure of public resources, the Bureau agrees to terminate its
       Investigation and to dismiss the Complaint. In consideration for the
       termination of said Investigation and dismissal of the Complaint, the
       Licensee agrees to the terms, conditions, and procedures contained
       herein. The Bureau further agrees that, in the absence of new material
       evidence, the Bureau will not use the facts developed in this
       Investigation through the Effective Date of the Consent Decree, or the
       existence of this Consent Decree, to institute, on its own motion, any
       new proceeding, formal or informal, or take any action on its own
       motion against the Licensee concerning the matters that were the
       subject of the Investigation. The Bureau also agrees that it will not
       use the facts developed in this Investigation through the Effective
       Date of this Consent Decree, or the existence of this Consent Decree,
       to institute on its own motion any proceeding, formal or informal, or
       take any action on its own motion against the Licensee with respect to
       the Licensee's basic qualifications, including its character
       qualifications, to be a Commission licensee or to hold Commission
       authorizations.

    9. Compliance Plan and Business Reforms. For purposes of settling the
       matters set forth herein, the Station agrees to implement and maintain
       a Compliance Plan and Business Reforms related to future compliance
       with the Act, the Commission's Rules, and the Commission's Orders.
       Summaries of the Compliance Plan and Business Reforms are set forth in
       Attachments A and B hereto, respectively. The Compliance Plan will
       include, at a minimum, the components found in Attachment A to this
       Consent Decree. The Station agrees to implement the Business Reforms
       and the Compliance Plan within sixty (60) days of the Effective Date
       and to keep such Business Reforms and Compliance Plan in effect for
       three (3) years after the Effective Date. In the event that the
       Station wishes to revise any material aspect of the Business Reforms
       or the Compliance Plan, the Station will provide the Bureau advance
       written notice of the proposed changes. The Station may implement such
       changes if the Bureau does not object to them within thirty (30) days
       of their submission by the Station.

   10. Compliance Reports. The Station will file Compliance Reports with the
       Commission ninety (90) days after the Effective Date, twelve (12)
       months after the Effective Date, twenty-four (24) months after the
       Effective Date, and upon expiration of this Consent Decree, three (3)
       years after the Effective Date. Each Compliance Report shall include a
       certification by the Compliance Officer, as an agent of and on behalf
       of the Station, stating that the Compliance Officer has personal
       knowledge that the Station: (i) has established operating procedures
       intended to ensure compliance with the terms and conditions of this
       Consent Decree and with the Sponsorship Identification Laws, together
       with an accompanying statement explaining the basis for the Compliance
       Officer's certification; (ii) has been utilizing those procedures
       since the previous Compliance Report was submitted; and (iii) is not
       aware of any instances of non-compliance. The certification must
       comply with section 1.16 of the Rules and be subscribed to as true
       under penalty of perjury in substantially the form set forth therein.
       If the Compliance Officer cannot provide the requisite certification,
       the Compliance Officer, as an agent of and on behalf of the Station,
       shall provide the Commission with a detailed explanation of: (i) any
       instances of non-compliance with this Consent Decree and the
       Sponsorship Identification Laws; and (ii) the steps that the Station
       has taken or will take to remedy each instance of non-compliance and
       ensure future compliance, and the schedule on which proposed remedial
       actions will be taken. All compliance reports shall be submitted to
       the Chief, Investigations and Hearings Division, Enforcement Bureau,
       Federal Communications Commission, Room 4-C330, 445 12th Street, S.W.,
       Washington, D.C. 20554, with a copy submitted electronically to Anjali
       Singh at Anjali.Singh@fcc.gov and to Melissa Marshall at
       Melissa.Marshall@fcc.gov.

   11. Voluntary Contribution. The Licensee agrees that it will make a
       voluntary contribution to the United States Treasury in the amount of
       twelve thousand dollars ($12,000). The payment will be made within
       fifteen (15) days after the period for administrative and judicial
       review of the Adopting Order has lapsed. The payment must be made by
       check or similar instrument, payable to the order of the Federal
       Communications Commission. The payment must include the NAL/Account
       Number and FRN Number referenced in the caption to the Adopting Order.
       Payment by check or money order may be mailed to Federal
       Communications Commission, P.O. Box 979088, St. Louis, MO 63197-9000.
       Payment by overnight mail may be sent to U.S. Bank - Government
       Lockbox #979088, SL-MO-C2-GL, 1005 Convention Plaza, St. Louis, MO
       63101. Payment by wire transfer may be made to ABA Number 021030004,
       receiving bank TREAS/NYC, and account number 27000001. For payment by
       credit card, an FCC Form 159 (Remittance Advice) must be submitted.
        When completing the FCC Form 159, enter the NAL/Account number in
       block number 23A (call sign/other ID), and enter the letters "FORF" in
       block number 24A (payment type code). The Licensee will also send
       electronic notification on the date said payment is made to
       Terry.Cavanaugh@fcc.gov, Jeffrey.Gee@fcc.gov, Anjali.Singh@fcc.gov,
       and Melissa.Marshall@fcc.gov.

   12. Waivers. The Licensee waives any and all rights it may have to seek
       administrative or judicial reconsideration, review, appeal or stay, or
       to otherwise challenge or contest the validity of this Consent Decree
       and the Order adopting this Consent Decree, provided the Commission
       issues an Order adopting the Consent Decree without change, addition,
       modification, or deletion. The Licensee shall retain the right to
       challenge Commission interpretation of the Consent Decree or any terms
       contained herein. If either Party (or the United States on behalf of
       the Commission) brings a judicial action to enforce the terms of the
       Adopting Order, neither the Licensee nor the Commission shall contest
       the validity of the Consent Decree or the Adopting Order, and the
       Licensee shall waive any statutory right to a trial de novo. The
       Licensee hereby agrees to waive any claims it may otherwise have under
       the Equal Access to Justice Act, 5 U.S.C. S: 504 and 47 C.F.R. S:
       1.1501 et seq., relating to the matters addressed in this Consent
       Decree.

   13. Invalidity. In the event that this Consent Decree in its entirety is
       rendered invalid by any court of competent jurisdiction, it shall
       become null and void and may not be used in any manner in any legal
       proceeding.

   14. Subsequent Rule or Order. The Parties agree that if any provision of
       the Consent Decree conflicts with any subsequent rule or Order adopted
       by the Commission (except an Order specifically intended to revise the
       terms of this Consent Decree to which the Licensee does not expressly
       consent), that provision will be superseded by such Commission rule or
       Order.

   15. Successors and Assigns. The Licensee agrees that the provisions of
       this Consent Decree shall be binding on its successors, assigns, and
       transferees.

   16. Final Settlement. The Parties agree and acknowledge that this Consent
       Decree shall constitute a final settlement between the Parties. The
       Parties further agree that this Consent Decree does not constitute
       either adjudication on the merits or a factual or legal finding or
       determination regarding any compliance or noncompliance with the
       requirements of the Act or the Commission's Rules and Orders. The
       Parties agree that this Consent Decree is for settlement purposes only
       and that by agreeing to this Consent Decree, the Licensee does not
       admit or deny noncompliance, violation or liability for violating the
       Act, the Commission's Rules or Orders in connection with the matters
       that are the subject of this Consent Decree.

   17. Modifications. This Consent Decree cannot be modified without the
       advance written consent of both Parties.

   18. Paragraph Headings. The headings of the Paragraphs in this Consent
       Decree are inserted for convenience only and are not intended to
       affect the meaning or interpretation of this Consent Decree.

   19. Authorized Representative. Each party represents and warrants to the
       other that it has full power and authority to enter into this Consent
       Decree.

   20. Counterparts. This Consent Decree may be signed in any number of
       counterparts (including by facsimile), each of which, when executed
       and delivered, shall be an original, and all of which counterparts
       together shall constitute one and the same fully executed instrument.

   FEDERAL COMMUNICATIONS COMMISSION

   ________________________________

   P. Michele Ellison

   Chief

   Enforcement Bureau

   ________________________________

   Date

   EMMIS AUSTIN RADIO BROADCASTING COMPANY, L.P.

   By: Radio Austin Management, L.L.C., its general partner

   By: Emmis Operating Company, its manager

   ________________________________

   J. Scott Enright

   Executive Vice President and General Counsel

   ________________________________

   Date

                                  ATTACHMENT A

                                Compliance Plan

   The Licensee has developed, and is implementing, a Compliance Plan at the
   Station for the purpose of furthering compliance with the Sponsorship
   Identification Laws and adherence to the Business Reforms set forth in
   Attachment B. At a minimum, the Compliance Plan consists of the following
   components:

     1. Commitment to High Standards on Pay-for-Play; Annual Report

       A. Commitment to High Standards on Pay-for-Play. The Station commits
          to enforcing high standards with respect to the Sponsorship
          Identification Laws to avoid violations and the appearance of
          impropriety in the area of music selection.

       B. Annual Report. The Compliance Officer, as defined below,  shall
          submit annual reports to the Licensee's Board of Directors and the
          Licensee's Communications Counsel concerning the Station's
          compliance with this Agreement and with the Business Reforms for a
          period of three years from the Effective Date. The first such
          report shall be submitted within sixty (60) days of the Effective
          Date and additional reports will be submitted at least annually
          thereafter. Each such report will cover the preceding 12-month
          period and shall be submitted within thirty (30) calendar days
          thereafter.

     1. Training of Programming Personnel. The Station will conduct
        appropriate training of its employees who are on-air talent and/or
        materially participate in the on-air broadcast of program material or
        in the making of programming decisions and their supervisory
        employees ("Programming Personnel") in the accompanying Business
        Reforms and the Sponsorship Identification Laws, including the FCC's
        interpretation of such statutes and regulations regarding payola and
        related issues. Such training will be provided to all current Station
        Programming Personnel within sixty (60) days of the Effective Date.
        The training will be provided to all new Station Programming
        Personnel within thirty (30) days after they commence their duties.
        Refresher training will be provided to all employees described above
        at least once every twelve months.

     2. Compliance Officer. The Licensee has designated a Compliance Officer,
        whose responsibility is to seek to ensure the Station's compliance
        with the Business Reforms attached to this Consent Order and with the
        Sponsorship Identification Laws through the following duties: (a) the
        implementation, effectuation, and supervision of the training program
        with regard to the Business Reforms and the Sponsorship
        Identification Laws for all Station Programming Personnel; (b) being
        accessible by telephone and/or e-mail to any Station employee who
        seeks advice on compliance with the Business Reforms and the
        Sponsorship Identification Laws or who wishes to report potential
        violations of such policies and laws; (c) the development and
        implementation of procedures designed to ensure the Station's
        continuing compliance with the Business Reforms and the Sponsorship
        Identification Laws; (d) monitoring the Station's compliance with the
        Business Reforms and the Sponsorship Identification Laws; (e)
        reporting on an annual basis to the Station's Board of Directors
        regarding compliance of the Station and employees with the Business
        Reforms and the Sponsorship Identification Laws; and (f) such other
        activities as the Compliance Officer deems necessary or appropriate
        to carry out his or her duties.

     3. Hotline. The Licensee shall maintain a direct-dial line for Station
        employees through which they can reach the Compliance Officer to
        obtain advice on compliance with, and report violations of, the
        Sponsorship Identification Laws. The Licensee shall maintain a log of
        all such calls, e-mails, meetings or other such employee inquiries,
        providing for each, to the extent available: (i) the date of the
        call, e-mail, meeting or other inquiry; (ii) the caller/inquiring
        party and his or her job title with the Station; and (iii) the
        disposition by the Compliance Officer and the date of such
        disposition.

     4. Database and Telephone Support

           A. Database. The Station shall maintain all documentation of
              expenditures required by this Agreement in the database(s) or
              in hard copy for a period of not less than three (3) years. The
              database(s) shall be available for inspection by the Bureau
              upon request.

           B. Telephone Support. The Station Compliance Officer will be
              available by telephone for Station employees to obtain advice
              on compliance with the Business Reforms, and report violations
              of the Business Reforms. Compliance Officer may also obtain
              advice from Licensee Communications Counsel.

     5. Contractual Agreements. The Station will ensure that all new
        contractual agreements with respect to Programming Personnel include
        a contractual obligation relating to compliance with the Sponsorship
        Identification Laws.

     6. FCC Enforcement Actions. If the Station receives a Notice of Apparent
        Liability, Order or similar Commission document proposing a
        forfeiture and/or contemplating license non-renewal or revocation as
        a result of a violation of the Sponsorship Identification Laws
        occurring after the effective date of the Consent Decree, the
        following steps will be taken:

           A. Each employee accused of violating the Sponsorship
              Identification Laws will be suspended and an investigation will
              immediately be undertaken;

           B. Each such employee will be required to undergo remedial
              training on Business Reforms and the Sponsorship Identification
              Laws and satisfy the Compliance Officer and Station management
              that he or she understands such regulations and policies before
              resuming his or her duties.

           C. If a Notice of Apparent Liability, Forfeiture Order, Order or
              similar document assessing or proposing a forfeiture, denying a
              renewal application and/or revoking a license issued by the FCC
              is finally adjudicated and the Licensee is finally found to
              have violated the Sponsorship Identification Laws that results
              in such action by the Commission, the employee(s) materially
              involved in the violation or violations that are the subject of
              such Commission or Bureau action will be subject to further
              disciplinary action, up to and including termination.

                                  ATTACHMENT B

                                Business Reforms

   The Licensee has implemented, and is implementing on a Station-wide basis,
   certain business reforms for the purpose of furthering compliance with the
   Sponsorship Identification Laws. To the extent not already undertaken,
   within sixty (60) days of the Effective Date of the Consent Decree to
   which this statement is attached, the Licensee shall implement and adhere
   to the following practices ("Business Reforms").

     1. Prohibited Activity.

       A. Record Label and Record Label Employees. Neither the Station, nor
          any Station employee (collectively, "Licensee Parties") shall
          solicit, receive, or accept cash or any other item of value from a
          Record Label or Record Label employee in, or as part of, an
          exchange, agreement, or understanding to provide or increase
          airplay of music provided by any Record Label, except as expressly
          permitted under P: 2, below, and provided that all such activity
          complies with applicable Sponsorship Identification Laws. As used
          in these Business Reforms, the term "Record Label" means: (a) any
          entity that manufactures or distributes audio recordings of music;
          (b) any artist under contract to a Record Label (an "Artist"); and
          (c) any representative of the Record Label or an Artist, including
          independent promoters.

   B. Independent Music Promoters. Licensee Parties shall not accept any item
   of value from an independent music promoter, unless that promoter
   certifies in writing to the Licensee that no compensation to the promoter
   from a Record Label is based upon airplay.

     7. Permissible Restricted Activity. Licensee Parties may engage in the
        following activities with Record Labels, subject in each case to
        compliance with the Sponsorship Identification Laws and the following
        restrictions, and to adherence with the disclosure and documentation
        requirements set forth in P: 3, below.

           A. Contests or Giveaways: Licensee Parties may solicit, receive
              and accept items of value, including but not limited to
              promotional items, gift cards, CDs, gift certificates, concert
              tickets, airfare, hotel rooms, vouchers and cash, from Record
              Labels to give away on the air, at the Station event or
              promotion, or for the benefit of charity, to persons or
              entities other than Station employees (or members of their
              immediate families or households). Contest rules and on-air
              announcements relating to such contests shall clearly indicate
              the value of the prize(s) as required by FCC rules and identify
              the Record Label as the provider of the prize(s) to be awarded.

           B. Advertising: Licensee Parties may solicit, receive and accept
              payment (in cash or other items of value) from Record Labels
              for on-air advertising, provided that the announcement clearly
              identifies the Record Label as the sponsor of the
              advertisement.

           C. Other Commercial Transactions: Licensee Parties may enter into
              commercial transactions with Record Labels pursuant to which
              the Station and a Record Label may license, sell or otherwise
              agree to distribute or promote the Record Labels' Artists,
              songs or records.

           D. Artist Appearances and Performances: Licensee Parties may
              arrange for Artists to appear or perform at events or
              interviews, including under circumstances where a Record Label
              has subsidized reasonable costs related to the appearance,
              performance or interview. The Station's on-air announcements of
              an Artist's performance that is subsidized in any part by the
              Record Label shall indicate clearly that the Artist's
              appearance is sponsored by the Record Label. The broadcast on
              the Station of all or a portion of the Artist's live
              performance at the event is permitted, provided that any such
              broadcast complies with the Sponsorship Identification Laws.

           E. Nominal Consideration: Licensee Parties may solicit, receive
              and accept the following items of value from Record Labels for
              use by the Station:

               i. CDs and other promotional items of nominal value. The
                  Station may solicit, receive and accept from Record Labels:
                  (A) electronic copies of songs and up to 20 copies of the
                  same CD to familiarize Station employees with recordings;
                  (B) electronic copies of recordings for posting on the
                  Station's website to familiarize visitors to such websites
                  with the Artists' recordings; and (C) promotional items
                  intended for the personal use of Licensee Parties, if the
                  value of each such individual item does not exceed $25,
                  such as T-shirts, key chains, coffee mugs, baseball hats,
                  posters, pens and bumper stickers.

               ii. Concert tickets. The Station may solicit, receive and
                   accept up to 20 tickets (which may include associated
                   backstage or "VIP"-type passes) for a single-day concert,
                   for each day of a multi-day concert, and/or to an industry
                   event to be used by Station employees and, in the case of
                   a concert, an employee's spouse or "significant other," to
                   familiarize them with the performing Artists. Tickets
                   provided by Record Labels for Station employees who are
                   working at the concert and/or industry event (e.g.,
                   technicians, on-air talent, promotions staff, etc.) shall
                   be subject to the disclosure and documentation provisions
                   of P: 3, below, but shall not be counted towards the 20
                   ticket limit.

               iii. Modest personal gifts for life event, professional
                    achievement and  holidays, or gifts commemorating
                    achievement by Station or a Record Label. Station
                    employees may receive and accept reasonable gifts from a
                    Record Label commemorating life events, professional
                    achievements and holidays. A "reasonable" gift is one
                    whose value the employee has no reason to believe is
                    greater than $150. An example of a life event would
                    include a birthday, wedding or the birth of a child. An
                    example of a professional event would be a job promotion
                    or the winning of a music industry award. The Station may
                    receive and accept from a Record Label gifts that
                    commemorate achievements of the Licensee, the Station,
                    the Record Label, or the Record Label's Artists. An
                    example of such a gift would be a plaque commemorating an
                    Artist's achieving "gold record" level sales.

               iv. Meals and entertainment. Station employees may receive and
                   accept meals and entertainment in an amount not to exceed
                   $150 per person, per event, provided that the event is
                   attended by a Record Label employee and has a legitimate
                   business purpose, and any payment is consistent with the
                   value of the meal or entertainment. Station employees may
                   receive and accept meals and entertainment from a Record
                   Label in an amount that exceeds $150 per person, provided
                   that the event is attended by a Record Label employee, has
                   a legitimate business purpose, and is approved in writing
                   by the Compliance Officer, as provided in the accompanying
                   Compliance Plan. The Station employee may also receive and
                   accept meals and entertainment from a Record Label for the
                   benefit of his/her spouse or "significant other"
                   accompanying the employee at such occasion, consistent
                   with and subject to the limitations of this provision.

               v. Travel and lodging expenses. The Station may receive and
                  accept from a Record Label reasonable travel and lodging
                  expenses for Station employees to attend live performances
                  or appearances by Artists for the purpose of familiarizing
                  such employees with a Record Label's Artists. The Station
                  may also receive and accept from a Record Label reasonable
                  travel and lodging expenses to industry events if the
                  Station provides, to the satisfaction and approval of the
                  Compliance Officer, a legitimate business purpose
                  underlying the Record Label's payment of such expenses. The
                  Station shall be limited to 20 such trips annually, to be
                  allocated among Station employees at the discretion of the
                  Station. For purposes of these Business Reforms,
                  "reasonable travel and lodging expenses" means commercial
                  airfare (coach class), train or car service and a
                  sufficient number of nights lodging to accomplish the
                  intended business purpose. All travel and lodging
                  expenditures must be approved in advance and in writing by
                  the Compliance Officer. A Station employee may also receive
                  and accept meals and entertainment during such trips,
                  consistent with and subject to P: 2.E.(iv), above.

           F. Nothing herein shall prohibit a natural increase in airplay of
              an Artist's music during the period surrounding, and coincident
              with: (i) a contest or giveaway that promotes that Artist; and
              (ii) the Artist's appearance or performance at an event,
              provided that, to the extent the increase in airplay results
              from an agreement or understanding with the Record Label or
              Artist, such increased airplay shall comply with the
              Sponsorship Identification Laws.

     8. Mandatory Documentation. The Station shall record and document all
        activity set forth in P: 2, above, as follows:

           A. Database record of items of value received from a Record Label.
              The Station shall establish and maintain one or more databases
              (collectively, the "Database") containing a record identifying
              items of value that exceed $25 (on an individual per item
              basis) received by each Station employee from Record Labels
              (exclusive of Artist performances and commercial transactions
              with Record Labels), and the disposition of such items shall be
              recorded as follows: In the case of each item intended to be
              awarded in a contest or given away by the Station, the Database
              shall record the date and manner of disposition and recipient
              of each such item. Items received for use by the Station or its
              employees shall be so recorded. Items received by the Station
              or Station employees personally or in connection with
              business-related meals, entertainment and travel shall be
              recorded in the Database separately. Notwithstanding the
              foregoing, CDs having a per-item value in excess of $25 need
              not be recorded unless received for contests or giveaways.

           B. Contests or Giveaways. In addition to the documentation
              maintained in the Database in each instance where the Station
              solicits, receives or accepts an item from a Record Label to
              give away on the air, and the value of such item exceeds the
              monetary reporting threshold established by the Internal
              Revenue Service, the Station shall maintain a record verifying
              that a contest winner has been selected, including the full
              name and address of the recipient of the prize, and provide
              this information, in writing, to the Record Label upon request.

           C. Advertising by Record Labels. All advertising by Record Labels
              shall be subject to a written agreement and recorded in one or
              more separate databases.

   See 47 U.S.C. S:S: 317, 508.

   See 47 C.F.R. S: 73.1212.

   See 47 U.S.C. S: 154(i).

   See 47 C.F.R. S:S: 0.111, 0.311.

   See Letter from Complainant to Investigations and Hearings Division,
   Enforcement Bureau, Federal Communications Commission, received August 1,
   2006 ("Complaint").

   See Letter from Benigno E. Bartolome, Deputy Chief, Investigations and
   Hearings Division, Enforcement Bureau, Federal Communications Commission,
   to Emmis Austin Radio Broadcasting Company, L.P., dated April 26, 2007;
   Letter from Benigno E. Bartolome, Deputy Chief, Investigations and
   Hearings Division, Enforcement Bureau, Federal Communications Commission,
   to Emmis Austin Radio Broadcasting Company, L.P., dated November 29, 2007
   ("Letters of Inquiry").

   See supra note 1.

   See id.

   See id.

   See supra note 2.

   See Letter from John E. Fiorini III, Attorney for Emmis Communications
   Corporation, to Marlene H. Dortch, Secretary, Federal Communications
   Commission, filed June 28, 2007; Letter from John E. Fiorini III, Attorney
   for Emmis Communications Corporation, to Marlene H. Dortch, Secretary,
   Federal Communications Commission, filed July 17, 2007; Letter from John
   E. Fiorini III, Attorney for Emmis Communications Corporation, to Marlene
   H. Dortch, Secretary, Federal Communications Commission, filed January 7,
   2008.

   See 47 C.F.R. S: 1.16.

   Dollar amounts in this section may be adjusted for inflation based on the
   Consumer Price Index.

   Federal Communications Commission DA 11-888

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   Federal Communications Commission DA 11-888

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