During the fourth quarter of 2009, the Company completed the sale of certain tower facilities for $12.6 million in cash. At the same time, the Company entered into leases for space on the towers at most of these sites for use by the Company's radio stations. The Company classified this transaction under the financing method as the agreement provides for an earn-out whereby the Company can receive additional cash consideration of up to $2.0 million after 42 months, depending on whether the buyer meets certain revenue targets.

The sale did not qualify for sale and leaseback accounting as the Company's ability to share in a future earn-out is considered continuing involvement under accounting guidance. Under the financing method: (1) the assets and accumulated depreciation remain on the consolidated balance sheet and continue to be depreciated; (2) no gain is recognized; (3) proceeds of $12.6 million received by the Company from these transactions are recorded as a financing liability; and (4) transaction costs of $0.2 million are recorded as deferred financing expense, which is amortized over 42 months.

Payments under these leases over the partial lease term of 42 months are applied as payments of imputed interest at an approximate interest rate of 5.5%. Once the Company has no continuing involvement, the Company expects to apply the accounting provisions for sale and leaseback accounting. The earn-out component of this transaction will enable the Company to participate in the upside potential of these sites as the new owner (whose primary business is managing tower sites) is better suited to maximize the value of these sites through new third-party tenants.

The following table presents future minimum interest and principal payments and future minimum lease payments due under financing method leases:

	Financing Method Lease Obligations
	December 31, 2011
							Minimum
							Lease
	Principal		Interest		Total		Payments
	(amounts in thousands)
Years ending December 31,
2012	$	-	$	747	$	747	$	747
2013		12,610		385		12,995		771
2014		-		-		-		794
2015		-		-		-		818
2016		-		-		-		842
Thereafter		-		-		-		18,951
Total financing method lease obligations		12,610		1,132		13,742
Less current portion		-		747		747
Long term financing method lease obligations, net	$	12,610	$	385	$	12,995
Total minimum lease payments							$	22,923

The following table presents property and equipment held under financing method leases, by major category, which represent components of property and equipment included in the balance sheet under property and equipment, as of the periods presented:

	Net Property And Equipment
	Held Under Finance Method
	Lease Obligations
	December 31,
	2011		2010
	(amounts in thousands)

Land and land improvements	$	843	$	843
Building		358		358
Leasehold improvements		11		11
Equipment		3,863		3,863
Leasehold premium		885		885
Total		5,960		5,960
Less accumulated depreciation		(4,593)		(4,394)
Property and equipment held under financing method leases, net	$	1,367	$	1,566

See Note 7 for the amount of financing method lease obligations outstanding as of December 31, 2011 and 2010.

The following table presents, for the periods indicated, the amount of: (1) depreciation expense attributable to assets held under financing method leases; and (2) the interest expense associated with financing method lease obligations:

	Years Ended
	December 31,
	2011		2010
	(amounts in thousands)

Interest expense for financing method lease obligations	$	719	$	701
Depreciation expense attributable to assets held under financing method	$	199	$	214