EX-99.1

SEATTLE, WA – (MARKETWIRE) – November 2, 2010 – Fisher Communications, Inc. (NASDAQ: FSCI), a leader in local media innovation, today reported its financial results for the third quarter ended September 30, 2010. Robust political spending coupled with continued growth in core advertising led to strong year-over-year increases in revenue and broadcast cash flow, which contributed to the Company’s achievement of a net profit in the third quarter of 2010.

Total revenue for the third quarter of 2010 was $42.2 million, an increase of $7.7 million, or 22%, compared to the third quarter of 2009. The Company’s third quarter 2010 results included a 27% increase in television revenue. These increases were primarily due to higher political and core advertising revenue. As explained more fully below, retransmission consent revenue for the third quarter of 2009 included $1.8 million attributable to the first half of 2009, but recorded in the third quarter of 2009 upon execution of the underlying contracts. If that revenue had been recorded in the first half of 2009, the year-over-year increases in total revenue and television revenue for the third quarter would have been 29% and 37%, respectively.

The Company reported $3.3 million in net income for the quarter, compared to a $4.0 million net loss in the third quarter of 2009. The quarter’s net income included a $275,000 pre-tax gain ($178,000 after-tax) on the Sprint Nextel asset exchange and a $2.9 million pre-tax gain ($1.9 million after-tax) on insurance reimbursements related to the July 2009 Fisher Plaza electrical fire. The Company’s net loss in the third quarter of 2009 included a $4.0 million pre-tax loss ($2.7 million after-tax) related to expenses incurred for the July 2009 Fisher Plaza electrical fire.

The Company’s direct operating costs and selling, general and administrative expenses increased by $3.2 million, or 12%, from the third quarter of 2009. The increase was largely attributable to higher variable compensation expenses and increased sales commissions related to higher advertising revenue. Increased costs for programming and various digital initiatives also contributed to the increase in expenses.

The Company’s EBITDA of $7.9 million in the third quarter compared to $3.8 million in the third quarter of 2009, an increase of $4.1 million or 110%.

Fisher President and Chief Executive Officer Colleen B. Brown commented, “We are pleased with the financial results for the quarter, which represented Fisher’s third consecutive quarter of revenue growth. Our performance reflects continued growth in core advertising and robust political spending in California, Washington and Oregon. Our stations continue to take higher shares of both ratings and revenue, and as we look ahead beyond elections and into 2011, we are cautiously optimistic that the core advertising rebound that began a year ago will continue.”

•

TV net advertising revenue was up $7.1 million, or 38%, to $25.6 million. Core net advertising revenue increased 17% to $21.0 million and Political net revenue increased $4.1 million to $4.7 million.

•

Advertising increased in virtually all key categories – Automotive, the largest category, increased 61%, while Professional Services and Retail increased 11% and 14%, respectively.

•

TV BCF increased $4.0 million to $7.6 million; TV BCF margin was 24%, up from 14%.

•

Retransmission consent revenue for the quarter was $3.6 million, a decrease of $655,000 from the $4.2 million recorded in the third quarter of 2009. The 2009 amount included $1.8 million of cable retransmission consent fees attributable to the first half of 2009 under contracts with several distribution partners that were executed in the third quarter of 2009. If the $1.8 million had been recorded in the first half of 2009, the comparative quarter increase in retransmission revenue would have been $1.1 million, or 47%.

•

Internet net revenue (excluding convergence revenue) increased by $435,000, or 89%, to $924,000. During the quarter, Internet net revenue was 2.9% of TV revenue (4.0% including convergence revenue).

•

Radio BCF increased $872,000 to $2.1 million and radio BCF margin increased to 32%.

•

Fisher Plaza EBITDA (which excludes net fire-related expenses and reimbursements) decreased $126,000, or 6%, to $2.1 million.

•

In the third quarter of 2010, the Company’s primary property insurance carrier agreed to pay an additional $2.9 million to the Company, substantially all of the Company’s unreimbursed losses due to the July 2009 Fisher Plaza electrical fire. This amount is included within Prepaid expenses and other on the Condensed Consolidated Balance Sheet as of September 30, 2010. The Company received the $2.9 million proceeds on October 12, 2010.

•

Cash and cash equivalents were $40.2 million at the end of the third quarter, compared to $44.0 million at the end of 2009.

•

Total debt outstanding was $104.7 million at September 30, 2010. The Company’s Debt to Operating Cash Flow Ratio, as defined in the Company’s senior notes indenture, was 5.4 as of September 30, 2010 compared to 14.7 as of December 31, 2009.

•

In October 2010, the Company repurchased $2.9 million in aggregate principal amount of its 8.625% senior notes due in 2014 for total consideration of $2.9 million, reflecting a premium to the face value of the notes of approximately 1%.

•

Fisher television stations ranked either #1 or #2 in the key Adult 25-54 demographic in both evening news as well as overall in 6 of its 7 markets in the July 2010 ratings period.

•

The Company’s aggregate TV/radio market share in audited markets improved 200 basis points from third quarter 2009 to third quarter 2010.

•

Occupancy at Fisher Plaza was 95% at the end of the third quarter of 2010, unchanged from the second quarter of 2010.

Fisher will host a conference call today at 1:00 p.m. (PDT). Senior management will discuss the financial results and host a question and answer session. The dial-in number for the audio conference call is 1-866-800-8651; confirmation code 87627564. A live audio webcast of the call will be accessible to the public on Fisher’s website, www.fsci.com. A recording of the webcast will subsequently be archived on the website and available for replay for 1 week following the call. An audio replay of the call can be accessed for 1 week by dialing 1-888-286-8010 and entering confirmation code 78510212.

The Company reports and discusses its operating results using financial measures consistent with generally accepted accounting principles (GAAP) and believes this should be the primary basis for evaluating its performance.

The preceding discussion of our results includes a discussion of non-GAAP financial measures such as Broadcast Cash Flow (BCF), Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) and Plaza EBITDA. These non-GAAP measures should not be viewed as alternatives or substitutes for GAAP reporting.

The Company believes the presentation of these non-GAAP measures is useful to investors because they are used by lenders to measure the Company’s ability to service debt; by industry analysts to determine the market value of stations and their operating performance; and by management to identify the cash available to service debt, make strategic acquisitions and investments, maintain capital assets and fund ongoing operations and working capital needs; and, because they reflect the most up-to-date operating results of the stations inclusive of pending acquisitions, time brokerage agreements or local marketing agreements. Management believes they also provide an additional basis from which investors can establish forecasts and valuations for the Company’s business.

Television and radio BCF is calculated as income (loss) from the segment operations plus amortization of program rights, depreciation and amortization, other non-cash charges, Internet and corporate expenses minus gain on asset exchange (net), payments for broadcast rights, amortization of non-cash benefit resulting from a change in national advertising representation firm and non-convergence Internet revenue.

Plaza EBITDA is calculated as income (loss) from the segment operations plus depreciation, Plaza fire expenses (net) and other non-cash charges minus Plaza operating expenses allocated to the TV and Radio segments.

EBITDA is calculated as income from operations plus amortization of program rights, depreciation and amortization, stock-based compensation, Plaza fire expenses (net), and other non-cash charges minus gain on asset exchange (net), payments for broadcast rights and amortization of non-cash benefit resulting from a change in national advertising representation firm.

For a reconciliation of these non-GAAP financial measurements to the GAAP financial results cited in this press release, please see the supplemental tables at the end of this release.

Fisher Communications, Inc. is a Seattle-based communications Company that owns and operates 13 full power television stations and 7 low power television stations, and owns or manages 10 radio stations in the western United States. The Company also owns and operates Fisher Interactive Network, its online division (including over 125 online sites), Fisher Pathways, a satellite and fiber transmission provider, and Fisher Plaza, a media, telecommunications, and data center facility located near downtown Seattle. For more information about Fisher Communications, Inc., go to www.fsci.com.

This news release includes forward-looking statements. We have based these forward-looking statements on our current expectations and projections about future events. Forward-looking statements include information preceded by, followed by, or that includes the words “guidance,” “believes,” “expects,” “anticipates,” “could,” or similar expressions. For these statements, the Company claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. The forward-looking statements contained in this news release, concerning, among other things, changes in revenue, cash flow and operating expenses, involve risks and uncertainties, and are subject to change based on various important factors, including the impact of changes in national and regional economies, our ability to service and refinance our outstanding debt, pricing fluctuations in local and national advertising, future regulatory actions and conditions in the television stations’ operating areas, competition from others in the broadcast television markets served by the Company, volatility in programming costs, the effects of governmental regulation of broadcasting, industry consolidation, technological developments and major world news events. Unless required by law, we undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. In light of these risks, uncertainties and assumptions, the forward-looking events discussed in this news release might not occur. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this release. For more details on factors that could affect these expectations, please see the risk factors in our Annual Report on Form 10-K for the year ended December 31, 2009, which we have filed with the Securities and Exchange Commission.

Contacts:
Sard Verbinnen & Co
Paul Kranhold or Ron Low
(415) 618-8750
Robin Weinberg
(212) 687-8080

Fisher Communications, Inc. and Subsidiaries
Condensed Consolidated Statements of Operations
(Unaudited)


	Three months ended									Nine months ended
	September 30,						%			September 30,						%
(in thousands, except per-share amounts)	2010			2009			change			2010			2009			change
Revenue		$42,186		$	34,527			22	%	$	118,360		$	95,023			25	%

Operating expenses
Direct operating costs		17,521			16,270			8	%		52,068			47,948			9	%
Selling, general and administrative expenses		13,897			11,900			17	%		42,076			36,854			14	%
Amortization of program rights		2,953			2,507			18	%		8,886			7,084			25	%
Depreciation and amortization		3,538			3,450			3	%		10,884			10,173			7	%
Plaza fire expenses (reimbursements), net		(2,919	)		3,951			(174	%)		(3,319	)		3,951			(184	%)
Gain on asset exchange, net		(275	)		—			n/a			(2,057	)		—			n/a

Total operating expenses		34,715			38,078			(9	%)		108,538			106,010			2	%

Income (loss) from operations		7,471			(3,551	)		310	%		9,822			(10,987	)		189	%
(Gain) loss on extinguishment of senior notes, net		-			—						(72	)		2,965
Other income, net		30			392						194			1,221
Interest expense		(2,368	)		(2,714	)					(7,630	)		(8,917	)
Income (loss) from operations before income taxes		5,133			(5,873	)					2,314			(15,718	)
Provision (benefit) for income taxes		1,813			(1,863	)					845			(5,309	)

Net income (loss)		$3,320		$	(4,010	)				$	1,469		$	(10,409	)

Net income (loss) per share applicable to common shareholders – basic		$0.38		$	(0.46	)				$	0.17		$	(1.19	)

Net income (loss) per share applicable to common shareholders assuming dilution		$0.38		$	(0.46	)				$	0.17		$	(1.19	)

Weighted average shares outstanding		8,801			8,778						8,797			8,774
Weighted average shares outstanding assuming dilution		8,845			8,778						8,837			8,774

Fisher Communications, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
(Unaudited)


	September 30,		December 31,
(in thousands)	2010		2009
ASSETS
Current Assets
Cash and cash equivalents		$40,206	$	43,982
Receivables, net		29,262		28,070
Income taxes receivable		931		11,746
Deferred income taxes		3,813		3,813
Prepaid expenses and other		4,631		4,460
Cash surrender value of life insurance and annuity contracts		2,332		2,626
Television broadcast rights		10,919		7,919

Total current assets		92,094		102,616
Cash surrender value of life insurance and annuity contracts		16,294		15,711
Goodwill		13,293		13,293
Intangible assets, net		40,602		40,779
Deferred financing fees and other		7,674		7,590
Deferred income taxes		2,432		2,297
Property, plant and equipment, net		145,752		148,824

Total Assets		$318,141	$	331,110


LIABILITIES AND STOCKHOLDERS’ EQUITY
Current Liabilities
Trade accounts payable		$3,275	$	3,148
Accrued payroll and related benefits		7,580		4,445
Interest payable		376		3,158
Television broadcast rights payable		10,777		7,987
Current portion of accrued retirement benefits		1,100		1,100
Other current liabilities		7,464		6,251

Total current liabilities		30,572		26,089
Long-term debt		104,690		122,050
Accrued retirement benefits		18,039		18,023
Other liabilities		7,657		9,476

Total Stockholders’ Equity		157,183		155,472

Total Liabilities and Stockholders’ Equity		$318,141	$	331,110

Fisher Communications, Inc. and Subsidiaries
Condensed Consolidated Statements of Cash Flow
(Unaudited)


	Nine months ended September 30,
(in thousands)	2010			2009
Operating activities
Net income (loss)	$	1,469		$	(10,409	)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities
Depreciation and amortization		10,884			10,173
Deferred income taxes		(135	)		530
Equity in operations of equity investees		41			115
Loss on disposal of fixed assets destroyed in Plaza fire		—			1,482
(Gain) loss on disposal of fixed assets, net		215			—
Amortization of deferred financing fees		312			358
Amortization of broadcast rights		8,886			7,084
Payments for broadcast rights		(9,103	)		(7,118	)
(Gain) loss on extinguishment of senior notes, net		72			(2,965	)
Gain on asset exchange, net		(2,057	)		—
Amortization of short-term investment discount		—			(303	)
Amortization of non-cash contract termination fee		(1,096	)		(1,096	)
Stock-based compensation		958			768
Other		—			109
Change in operating assets and liabilities, net
Receivables		(1,419	)		2,593
Prepaid expenses and other current assets		256			(823	)
Cash surrender value of life insurance and annuity contracts		(692	)		(478	)
Other assets		(87	)		(31	)
Trade accounts payable, accrued payroll and related
benefits and other current liabilities		6,161			1,576
Interest payable		(2,782	)		(3,247	)
Income taxes receivable and payable		10,993			(6,673	)
Accrued retirement benefits		45			(38	)
Other liabilities		(507	)		(721	)

Net cash provided by (used in) operating activities		22,414			(9,114	)
Investing activities
Redemption of short-term investments		—			60,000
Investment in equity investee		(23	)		—
Consolidation of non-controlling interest		75			—
Purchases of property, plant and equipment		(8,854	)		(8,679	)

Net cash provided by (used in) investing activities		(8,802	)		51,321

Financing activities
Repurchase of senior notes		(17,160	)		(24,428	)
Shares settled on vesting of stock rights		(104	)		—
Payments on capital lease obligations		(124	)		(115	)
Net cash used in financing activities		(17,388	)		(24,543	)

Net increase (decrease) in cash and cash equivalents		(3,776	)		17,664
Cash and cash equivalents, beginning of period		43,982			31,835

Cash and cash equivalents, end of period	$	40,206		$	49,499

Fisher Communications, Inc. and Subsidiaries
GAAP to Non-GAAP Reconciliations
(Unaudited, in thousands)

The following table provides a reconciliation of income (loss) from operations to EBITDA in each of the periods presented:


	Three months ended						Nine months ended
	September 30,						September 30,
	2010			2009			2010			2009
Income (loss) from operations	$	7,471		$	(3,551	)	$	9,822		$	(10,987	)
Add:

Amortization of program rights		2,953			2,507			8,886			7,084
Depreciation and amortization		3,538			3,450			10,884			10,173
Stock-based compensation		355			273			958			768
Loss (gain) on disposal of assets		7			27			215			87
Plaza fire expenses, net		—			3,951			—			3,951
Subtract:

Gain on asset exchange, net		275			—			2,057			—
Plaza fire reimbursements, net		2,919			—			3,319			—
Payments for television broadcast rights		2,864			2,525			9,103			7,118
Amortization of non-cash benefit resulting from change in		365			365			1,096			1,096
national advertising representation firm
EBITDA (Non-GAAP)	$	7,901		$	3,767		$	15,190		$	2,862

EBITDA as a percentage of Revenue		18.7	%		10.9	%		12.8	%		3.0	%

The following table provides a reconciliation of television segment income (loss) from operations to television broadcast cash flow in each of the periods presented:


	Three months ended						Nine months ended
	September 30,						September 30,
	2010			2009			2010			2009
Television segment income (loss) from operations	$	4,521		$	663		$	9,479		$	(5,108	)
Add:

Amortization of program rights		2,953			2,507			8,886			7,084
Depreciation and amortization		2,246			2,184			6,978			6,523
Corporate and internet expenses		2,288			1,589			6,378			5,887
Loss on disposal of assets		8			26			90			16
Subtract:

Gain on exchange of assets, net		275			—			2,057			—
Payments for television broadcast rights		2,864			2,525			9,103			7,118
Gain on disposal of assets		—			—			—			—
Amortization of non-cash benefit resulting from change in national advertising representation firm
		365			365			1,096			1,096
Non-convergence internet revenue		924			489			2,373			1,198


Television Broadcast Cash Flow (Non-GAAP)	$	7,588		$	3,590		$	17,182		$	4,990

Television Broadcast Cash Flow as a percentage of Television Segment Revenue		23.7	%		14.3	%		19.2	%		7.3	%

Television Segment Revenue	$	31,986		$	25,116		$	89,634		$	68,120

The following table provides a reconciliation of radio segment income (loss) from operations to radio broadcast cash flow in each of the periods presented:


	Three months ended						Nine months ended
	September 30,						September 30,
	2010			2009				2010			2009
Radio segment income (loss) from operations	$	1,684		$	775			$	2,363		$	1,632
Add:

Depreciation and amortization		213			218				586			590
Corporate expenses and other		159			191				523			763
Loss on disposal of assets		—			—				—			71


Radio Broadcast Cash Flow (Non-GAAP)	$	2,056		$	1,184			$	3,472		$	3,056

Radio Broadcast Cash Flow as a percentage of Radio Segment Revenue		31.5	%		19.9	%			19.1	%		18.2	%

Radio Segment Revenue	$	6,534		$	5,961			$	18,190		$	16,758

The following table provides a reconciliation of Plaza segment income (loss) from operations to Plaza EBITDA in each of the periods presented:


	Three months ended						Nine months ended
	September 30,						September 30,
	2010			2009				2010			2009
Plaza segment income from operations	$	4,583		$	(2,120	)		$	8,055		$	1,048
Add:

Depreciation		779			741				2,432			2,268
Loss on disposal of assets		—			—				125			—
Plaza fire expenses, net		—			3,951				—			3,951
Subtract:

Plaza fire reimbursements, net		2,919			—				3,319			—
Operating expense allocated to TV and Radio Segments		299			302				1,035			1,080


Plaza EBITDA (Non-GAAP)	$	2,144		$	2,270			$	6,258		$	6,187

Plaza EBITDA as a percentage of Plaza Segment Revenue		58.5	%		65.7	%			58.7	%		60.5	%

Plaza Segment Revenue	$	3,666		$	3,453			$	10,659		$	10,231

The following table provides television segment revenue comparisons in each of the periods presented:


	Three months ended September 30,				%			Nine months ended September 30,				%
	2010		2009		Change			2010		2009		Change
Core adverting (local and national)	$	20,954	$	17,975		17	%	$	65,220	$	54,934		19	%
Political		4,651		530		778	%		6,901		781		784	%
Internet		924		489		89	%		2,373		1,198		98	%
Retransmission		3,552		4,207		(16	%)		9,492		5,971		59	%
Trade, barter and other		1,905		1,915		(1	%)		5,648		5,236		8	%

TV segment net revenue	$	31,986	$	25,116		27	%	$	89,634	$	68,120		32	%

Net television revenue, excluding political	$	27,335	$	24,586		11	%	$	82,733	$	67,339		23	%

The following table provides radio segment revenue comparisons in each of the periods presented: