Ubik Broadcasting Receives Line of Credit and Term Loan From Silicon Valley Bank

July 23, 2001
Anchorage, AK

"Our biggest challenge as we shopped for financing was the local Alaska banks didn't know how to deal with a broadcast loan," said Mike Robbins, general manager and vice president of Ubik Broadcasting. "Silicon Valley Bank truly understands our unique business, and doesn't just look at our balance sheet. We have been pleased with the Bank and look forward to working with them in the future."

Ubik is using the financing partly for the purchase of KMBQ-FM in Wasilla, Alaska. The remaining balance is providing working capital and funds for future acquisitions. Ubik will participate in the upcoming FCC Auction on December 5 for a license available at 102-FM in Wasilla.

"Ubik has a great track record of building radio stations in the Anchorage market from the ground up," said John Brooks, senior relationship manager in Silicon Valley Bank's Media practice. "With their recent agreement to acquire KMBQ-FM, Ubik will be well positioned to serve advertisers in the greater Anchorage and Matanuska-Susitna Valley area."

About Ubik Broadcasting
Ubik Broadcasting was formed by Aaron Wallender and Wolfgang Kurtz in 1997. The company built and operated the station KQEZ in Houston, Alaska for more than two years before selling it to New Northwest Broadcasters. In 1999 Ubik purchased KNIK-FM and partnered with Fireweed Communications to launch KZND-LP. Ubik utilized the recently relaxed FCC regulations to utilize the FM only portion of an LPTV license to launch Anchorage's only alternative rock station. The station made national and local press headlines since it was the first time a television license had been used to broadcast as a radio station. In addition to its radio properties, Ubik currently has a Sales Management Agreement with the local UPN affiliate, KYES.

About Silicon Valley Bank
Silicon Valley Bank serves emerging growth and middle market companies in targeted niches, focusing on technology and life sciences, while also addressing other specific industries in which it can provide a higher level of service and better manage credit through specialization and focus.

The Bank operates throughout the Silicon Valley: Santa Clara, Palo Alto and Sand Hill, the center of the venture capital community in California. Other regional offices within California include: Irvine, Los Angeles, Napa Valley, San Diego, San Francisco, Santa Barbara, and Sonoma. Office locations outside of California include: Phoenix, Arizona; Boulder, Colorado; West Palm Beach, Florida; Atlanta, Georgia; Chicago, Illinois; Boston, Massachusetts; Minneapolis, Minnesota; Durham, North Carolina; Portland, Oregon; Philadelphia, Pennsylvania; Austin, Texas; Dallas, Texas; Northern Virginia; and Seattle, Washington.

SVB Contact: Andrea McGhee, (408) 654-3078, amcghee@svbank.com.