Thursday June 27, 6:27 pm Eastern Time 
Reuters Business Report
Clear Channel Says No Accounting Issues 
By Sue Zeidler 
LOS ANGELES (Reuters) - Clear Channel Communications Inc.(NYSE:CCU - News), the nation's leading radio broadcaster, defended its business practices on Thursday, saying it had no accounting issues or irregularities. 
	
"There will not be a Clear Channel investor conference today. There is not a SEC investigation of Clear Channel and there are no accounting issues or irregularities," President Mark Mays said in a statement. 
The San Antonio, Texas-based company issued the unusual statement to ease concerns swirling on Wall Street on Thursday after No. 2 U.S. long distance company WorldCom Inc. (NasdaqNM:WCOM - News; Nasdaq:MCITE - News) admitted it had inflated reported revenues by $3.85 billion. 
Analysts also said rumors of accounting improprieties were dogging the entire radio industry. On Wednesday, Radio One Inc. (NasdaqNM:ROIA - News) held a conference to call to calm investor concerns about several "related-party" transactions. 
"The whole radio group is kind of being infected by the same thing. I have no reason to believe there are any accounting irregularities at Clear Channel," said James Marsh, analyst with Robertson Stephens. 
"I think investors are overreacting to any acquisition story, any company with family-related executives, any company valued at EBITDA," he said. 
Soundview analyst Jordan Rohan said he also remained upbeat on Clear Channel. 
"We remain confident that this is a great name to own in an economic recovery. And the market will again focus on fundamentals," he said. 
Adding to Clear Channel's woes was a bill introduced by Democratic Wisconsin Sen. Russell Feingold, which took aim at radio and concert-promotion giants with legislation that seeks to curb alleged anti-competitive practices. 
Clear Channel's stock closed down almost 13 percent, or $4.55, to $31.20 on the Nasdaq. 
Clear Channel owns more than 1,200 radio stations nationwide, dwarfing its nearest competitor. It also owns a billboard business and the nation's largest concert-promotion company. 
Clear Channel has been the subject of scrutiny from regulators and lawmakers following complaints by recording artists, independent radio stations and local promoters who allege that Clear Channel and other large players use their dominant position to shut out competitors, punish artists who do not use their promotion services, and exceed ownership limits behind shell corporations. 

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Ticket prices are squeezing concertgoers, with $130 or more commonplace for such stars as the Eagles, U2 and the Who. At the same time, radio ownership is shrinking to a few huge chains.
Feingold sees these twin issues pointing to one conglomerate: Clear Channel Worldwide, which controls 70 percent of the nation's major concert business and operates the country's largest chain of radio stations. In the Twin Cities area, it manages the Target Center and owns seven stations that account for 46 percent of the area's FM listenership.
"It has a monopolistic feel to it, and  I do think it's affecting consumers," Feingold, a Democrat, said in an interview.
As media companies continue gobbling each other up, how big is too big?