NOTE 22

Financial Information for Guarantors

In 2004, the Company completed a private placement of $150.0 million of its Senior Notes to qualified institutional buyers pursuant to Rule 144A of the Securities Act. The Company exchanged the Senior Notes for freely tradable notes registered under the Securities Act on February 2, 2005. The Senior Notes were fully and unconditionally guaranteed, subject to certain customary automatic release provisions, jointly and severally, on an unsecured, senior basis by the current and future material domestic subsidiaries of the Company. The Company redeemed all remaining outstanding Senior Notes in January 2012.

Presented below are condensed consolidated statements of operations and cash flows for the years ended December 31, 2011, 2010 and 2009 and the condensed consolidated balance sheets as of December 31, 2011 and 2010. The condensed consolidated information is presented for the Company (issuer) with its investments accounted for under the equity method, the 100% owned guarantor subsidiaries, eliminations, and the Company on a consolidated basis. The Company (issuer) information consists primarily of corporate oversight and administrative personnel and related activities, as well as certain investments.

Financial Information for Guarantors

Condensed Consolidated Statements of Operations

Year Ended December 31, 2011


*(In thousands)*	Fisher Communications, Inc.			100% Owned Guarantor Subsidiaries			Eliminations			Fisher Communications, Inc. and Subsidiaries
Revenue	$	—		$	163,968		$	—		$	163,968
Operating expenses
Direct operating costs (exclusive of depreciation and amortization and amortization of broadcast rights)		538			69,708			28			70,274
Selling, general and administrative expenses		17,826			37,696			(28	)		55,494
Amortization of broadcast rights		—			10,808			—			10,808
Depreciation and amortization		1,032			8,532			—			9,564
Gain on sale of real estate, net		(4,089	)		—			—			(4,089	)
Gain on sale of Fisher Plaza, net		—			(40,454	)		—			(40,454	)
Plaza fire reimbursements, net		—			(223	)		—			(223	)
Gain on asset exchange, net		—			(32	)		—			(32	)

Total operating expenses		15,307			86,035			—			101,342

Income (loss) from continuing operations		(15,307	)		77,933			—			62,626
Loss on extinguishment of senior notes, net		(1,477	)		—			—			(1,477	)
Other income, net		248			172			—			420
Equity in income of consolidated subsidiaries		52,528			—			(52,528	)		—
Interest expense		(7,144	)		(51	)		—			(7,195	)

Income (loss) from continuing operations before income taxes		28,848			78,054			(52,528	)		54,374
Provision (benefit) for income taxes		(7,587	)		26,094			—			18,507

Income (loss) from continuing operations, net of income taxes		36,435			51,960			(52,528	)		35,867
Income from discontinued operations, net of income taxes		—			568			—			568

Net income (loss)	$	36,435		$	52,528		$	(52,528	)	$	36,435

Financial Information for Guarantors

Condensed Consolidated Statements of Operations

Year Ended December 31, 2010


*(In thousands)*	Fisher Communications, Inc.			100% Owned Guarantor Subsidiaries			Eliminations			Fisher Communications, Inc. and Subsidiaries
Revenue	$	—		$	174,402		$	—		$	174,402
Operating expenses
Direct operating costs (exclusive of depreciation and amortization and amortization of broadcast rights)		463			69,943			210			70,616
Selling, general and administrative expenses		15,028			42,822			(210	)		57,640
Amortization of broadcast rights		—			11,877			—			11,877
Depreciation and amortization		1,538			12,854			—			14,392
Plaza fire reimbursements, net		—			(3,363	)		—			(3,363	)
Gain on asset exchange, net		—			(2,054	)		—			(2,054	)

Total operating expenses		17,029			132,079			—			149,108

Income (loss) from continuing operations		(17,029	)		42,323			—			25,294
Loss on extinguishment of senior notes, net		(160	)		—			—			(160	)
Other income, net		136			81			—			217
Equity in income of consolidated subsidiaries		26,580			—			(26,580	)		—
Interest expense		(9,890	)		(64	)		—			(9,954	)

Income (loss) from continuing operations before income taxes		(363	)		42,340			(26,580	)		15,397
Provision (benefit) for income taxes		(10,109	)		15,902			—			5,793

Income (loss) from continuing operations, net of income taxes		9,746			26,438			(26,580	)		9,604
Income from discontinued operations, net of income taxes		—			142			—			142

Net income (loss)	$	9,746		$	26,580		$	(26,580	)	$	9,746

Financial Information for Guarantors

Condensed Consolidated Statements of Operations

Year Ended December 31, 2009


*(In thousands)*	Fisher Communications, Inc.			100% Owned Guarantor Subsidiaries			Eliminations			Fisher Communications, Inc. and Subsidiaries
Revenue	$	—		$	132,374		$	—		$	132,374
Operating expenses
Direct operating costs (exclusive of depreciation and amortization and amortization of broadcast rights)		421			64,190			202			64,813
Selling, general and administrative expenses		10,069			40,249			(202	)		50,116
Amortization of broadcast rights		—			10,056			—			10,056
Depreciation and amortization		1,582			12,088			—			13,670
Plaza fire expenses, net		—			2,657			—			2,657
Gain on asset exchange, net		—			(2,569	)		—			(2,569	)

Total operating expenses		12,072			126,671			—			138,743

Income (loss) from continuing operations		(12,072	)		5,703			—			(6,369	)
Gain on extinguishment of senior notes, net		2,965			—			—			2,965
Other income, net		689			669			—			1,358
Equity in income of consolidated subsidiaries		4,051			—			(4,051	)		—
Interest expense		(11,600	)		(77	)		—			(11,677	)

Income (loss) from continuing operations before income taxes		(15,967	)		6,295			(4,051	)		(13,723	)
Provision (benefit) for income taxes		(6,637	)		2,144			—			(4,493	)

Income (loss) from continuing operations, net of income taxes		(9,330	)		4,151			(4,051	)		(9,230	)
Income from discontinued operations, net of income taxes		—			(100	)		—			(100	)

Net income (loss)	$	(9,330	)	$	4,051		$	(4,051	)	$	(9,330	)

Financial Information for Guarantors

Condensed Consolidated Balance Sheets

December 31, 2011


*(In thousands)*	Fisher Communications Inc.			100% Owned Guarantor Subsidiaries			Eliminations			Fisher Communications Inc. and, Subsidiaries
ASSETS
Current Assets
Cash and cash equivalents	$	142,531		$	486		$	—		$	143,017
Short-term investments		33,481			—			—			33,481
Receivables, net		47			32,355			—			32,402
Due from affiliates		(239,132	)		239,132			—			—
Income taxes receivable		—			117			—			117
Deferred income taxes, net		905			920			—			1,825
Prepaid expenses and other		1,787			1,275			—			3,062
Television broadcast rights		—			6,789			—			6,789

Total current assets		(60,381	)		281,074			—			220,693
Restricted Cash		3,594			—			—			3,594
Investment in consolidated subsidiaries		314,343			—			(314,343	)		—
Cash surrender value of life insurance and annuity contracts		17,278			—			—			17,278
Goodwill, net		—			13,293			—			13,293
Intangible assets, net		—			40,307			—			40,307
Other assets		2,112			2,894			—			5,006
Deferred income taxes, net		5,999			(2,632	)		—			3,367
Assets held for sale		658			—			—			658
Property, plant and equipment, net		2,202			38,719			—			40,921

Total Assets	$	285,805		$	373,655		$	(314,343	)	$	345,117

LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities
Current maturities of long-term debt	$	61,834		$	—		$	—		$	61,834
Accounts payable		433			3,321			—			3,754
Accrued payroll and related benefits		2,144			2,516			—			4,660
Interest payable		1,556			—			—			1,556
Television broadcast rights payable		—			6,541			—			6,541
Income taxes payable		(4,673	)		26,141			—			21,468
Current portion of accrued retirement benefits		1,302			—			—			1,302
Other current liabilities		748			7,960			—			8,708

Total current liabilities		63,344			46,479			—			109,823
Deferred income		—			10,036			—			10,036
Accrued retirement benefits		20,525			—			—			20,525
Other liabilities		(109	)		2,797			—			2,688

Total liabilities		83,760			59,312			—			143,072

Stockholders' Equity
Common stock		11,040			1,131			(1,131	)		11,040
Capital in excess of par		14,679			164,233			(164,233	)		14,679
Accumulated other comprehensive income (loss), net of income taxes:
Accumulated loss		(3,288	)		—			—			(3,288	)
Prior service cost		(62	)		—			—			(62	)
Retained earnings		179,676			148,979			(148,979	)		179,676

Total Stockholders' Equity		202,045			314,343			(314,343	)		202,045

Total Liabilities and Stockholders' Equity	$	285,805		$	373,655		$	(314,343	)	$	345,117

Financial Information for Guarantors

Condensed Consolidated Balance Sheets

December 31, 2010


*(In thousands)*	Fisher Communications, Inc.			100% Owned Guarantor Subsidiaries			Eliminations			Fisher Communications, Inc. and Subsidiaries
ASSETS
Current Assets
Cash and cash equivalents	$	27,563		$	25,382		$	—		$	52,945
Receivables, net		—			30,755			—			30,755
Due from affiliate		(43,724	)		43,724			—			—
Income taxes receivable		16,938			(15,585	)		—			1,353
Deferred income taxes, net		467			1,182			—			1,649
Prepaid expenses and other		1,543			1,320			—			2,863
Cash surrender value of annuity contracts		2,397			—			—			2,397
Television broadcast rights		—			7,855			—			7,855
Current assets held for sale		—			52			—			52

Total current assets		5,184			94,685			—			99,869
Investment in consolidated subsidiaries		262,372			—			(262,372	)		—
Cash surrender value of life insurance and annuity contracts		16,499			—			—			16,499
Goodwill, net		—			13,293			—			13,293
Intangible assets, net		—			40,543			—			40,543
Other assets		2,874			4,502			—			7,376
Assets held for sale		—			485			—			485
Property, plant and equipment, net		2,265			140,562			—			142,827

Total Assets	$	289,194		$	294,070		$	(262,372	)	$	320,892

LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities
Accounts payable	$	96		$	3,921		$	—		$	4,017
Payroll and related benefits		3,182			4,714			—			7,896
Interest payable		2,552			—			—			2,552
Television broadcast rights payable		—			7,849			—			7,849
Current portion of accrued retirement benefits		1,117			—			—			1,117
Other current liabilities		889			3,499			—			4,388
Liabilities of business held for sale		—			27			—			27

Total current liabilities		7,836			20,010			—			27,846
Long-term debt		101,440			—			—			101,440
Deferred income		—			5,295			—			5,295
Accrued retirement benefits		18,982			—			—			18,982
Deferred income taxes, net		(4,126	)		4,543			—			417
Other liabilities		(164	)		1,850			—			1,686

Total liabilities		123,968			31,698			—			155,666

Stockholders' Equity
Common stock		10,988			1,131			(1,131	)		10,988
Capital in excess of par		13,273			164,233			(164,233	)		13,273
Accumulated other comprehensive income (loss), net of income taxes:
Accumulated loss		(2,176	)		—			—			(2,176	)
Prior service cost		(100	)		—			—			(100	)
Retained earnings		143,241			97,008			(97,008	)		143,241

Total Stockholders' Equity		165,226			262,372			(262,372	)		165,226

Total Liabilities and Stockholders' Equity	$	289,194		$	294,070		$	(262,372	)	$	320,892

Financial Information for Guarantors

Condensed Consolidated Statements of Cash Flows

Year Ended December 31, 2011


*(In thousands)*	Fisher Communications, Inc.			100% Owned Guarantor Subsidiaries			Eliminations			Fisher Communications, Inc. and Subsidiaries
Net cash provided by operating activities	$	2,375		$	11,065		$	—		$	13,440

Investing activities
Restricted cash		—			(3,594	)		—			(3,594	)
Investment in equity investee		—			(147	)		—			(147	)
Redemption of capital		183,056			—			(183,056	)		—
Purchase of short-term investments		(33,481	)		—			—			(33,481	)
Purchase of radio stations		—			(185	)		—			(185	)
Purchases of property, plant and equipment		(1,419	)		(6,716	)		—			(8,135	)
Proceeds from the sale of radio station		—			1,807			—			1,807
Proceeds from the sale of real estate		4,164			—			—			4,164
Proceeds from the sale of Fisher Plaza		—			156,111			—			156,111

Net cash provided by investing activities		152,320			147,276			(183,056	)		116,540


Financing activities
Redemption of capital		—			(183,056	)		183,056			—
Repurchase of senior notes		(39,606	)		—			—			(39,606	)
Shares settled upon vesting of stock rights		(292	)		—			—			(292	)
Payments on capital lease obligations		—			(181	)		—			(181	)
Proceeds from exercise of stock options		75			—			—			75
Excess tax benefit from exercise of stock awards		96			—			—			96

Net cash used in financing activities		(39,727	)		(183,237	)		183,056			(39,908	)

Net increase (decrease) in cash and cash equivalents		114,968			(24,896	)		—			90,072
Cash and cash equivalents, beginning of period		27,563			25,382			—			52,945

Cash and cash equivalents, end of period	$	142,531		$	486		$	—		$	143,017

Financial Information for Guarantors

Condensed Consolidated Statements of Cash Flows

Year Ended December 31, 2010


*(In thousands)*	Fisher Communications, Inc.			100% Owned Guarantor Subsidiaries			Eliminations			Fisher Communications, Inc. and Subsidiaries
Net cash provided by operating activities	$	30,019		$	9,649		$	—		$	39,668

Investing activities
Redemption of capital		10,000			—			(10,000	)		—
Investment in equity investee		—			(48	)		—			(48	)
Net cash in consolidation of equity investee		—			75			—			75
Purchases of property, plant and equipment		(722	)		(9,268	)		—			(9,990	)

Net cash provided by (used in) investing activities		9,278			(9,241	)		(10,000	)		(9,963	)


Financing activities
Redemption of capital		—			(10,000	)		10,000			—
Repurchase of senior notes		(20,453	)		—			—			(20,453	)
Shares settled upon vesting of stock rights		(121	)		—			—			(121	)
Payments on capital lease obligations		—			(168	)		—			(168	)

Net cash used in financing activities		(20,574	)		(10,168	)		10,000			(20,742	)

Net increase (decrease) in cash and cash equivalents		18,723			(9,760	)		—			8,963
Cash and cash equivalents, beginning of period		8,840			35,142			—			43,982

Cash and cash equivalents, end of period	$	27,563		$	25,382		$	—		$	52,945

Financial Information for Guarantors

Condensed Consolidated Statements of Cash Flows

Year Ended December 31, 2009


*(In thousands)*	Fisher Communications, Inc.			100% Owned Guarantor Subsidiaries			Eliminations			Fisher Communications, Inc. and Subsidiaries
Net cash provided by (used in) operating activities	$	(20,025	)	$	9,836		$	—		$	(10,189	)
Investing activities
Redemption of capital		(35,000	)		—			35,000			—
Proceeds from sale of short-term investments		60,000			—			—			60,000
Purchase of investment in DataSphere		(1,500	)		—			—			(1,500	)
Purchase of property, plant and equipment		(1,348	)		(10,233	)		—			(11,581	)

Net cash provided by (used in) investing activities		22,152			(10,233	)		35,000			46,919

Financing activities
Redemption of capital		—			35,000			(35,000	)		—
Repurchase of senior notes		(24,428	)		—			—			(24,428	)
Payments on capital lease obligations		—			(155	)		—			(155	)

Net cash provided by (used in) financing activities		(24,428	)		34,845			(35,000	)		(24,583	)

Net increase (decrease) in cash and cash equivalents		(22,301	)		34,448			—			12,147
Cash and cash equivalents, beginning of period		31,141			694			—			31,835

Cash and cash equivalents, end of period	$	8,840		$	35,142		$	—		$	43,982