Clear Channel to cut 400 jobs

SAN ANTONIO (AP) _ Clear Channel Communications Inc., the largest U.S. radio station owner, is laying off 400 employees of AMFM Inc., which it acquired in August. <br><br>The layoffs, detailed in documents

Wednesday, November 15th 2000, 12:00 am

By: News On 6

SAN ANTONIO (AP) _ Clear Channel Communications Inc., the largest U.S. radio station owner, is laying off 400 employees of AMFM Inc., which it acquired in August.

The layoffs, detailed in documents the San Antonio-based company filed Tuesday with the U.S. Securities and Exchange Commission, are part of a plan to close the AMFM corporate offices by March 15.

Many of the layoffs have already occurred and the rest are expected by the end of June, the company told the SEC.

Positions eliminated include senior management and support personnel at AMFM's headquarters in Dallas _ including AMFM chief financial officer D. Geoffrey Armstrong _ and at its Austin-based subsidiary, Capstar, a Clear Channel spokesman said. A large number of accounting positions in Austin also were cut.

``Other operations of AMFM either will be discontinued or integrated into existing similar operations of the company,'' the company said.

Since its $23 billion acquisition of AMFM was completed, Clear Channel owns, operates or holds an equity stake in about 1,140 radio stations. The company is spending about $185 million to incorporate AMFM's operations into its own _ mostly for severance pay, according to the company's SEC filing.

The company maintained almost all operations employees at the radio stations formerly owned by AMFM and Jacor Communications, which Clear Channel purchased last year. It also kept most workers at SFX Entertainment, a music and sports-event promotions company that Clear Channel bought this year.

Clear Channel had third-quarter sales of $1.68 billion, and its after-tax cash flow jumped 55 percent to $338.9 million, or 72 cents per share, easily beating Wall Street's expectation of 69 cents per share.

Still, the company's stock has remained stuck far below its 52-week high of $95.50, reached in January.