Emmis Announces Agreements to Purchase Certain Preferred Shares

INDIANAPOLIS, Nov. 11, 2011 /PRNewswire/ — Emmis Communications Corporation
(NASDAQ: EMMS; EMMSP) today announced that it signed agreements with certain
holders of its 6.25% Series A Cumulative Convertible Preferred Stock to purchase
their shares of Preferred Stock and that it signed an agreement with Zell Credit
Opportunities Master Fund, L.P. to finance the purchases. Emmis may enter into
additional transactions to purchase its Preferred Stock in the future.

Emmis entered into securities purchase agreements with certain holders of its
Preferred Stock under which Emmis will purchase shares of its Preferred Stock
from such holders at prices that are below the closing price of the Preferred
Stock on November 10, 2011. The purchases will settle pursuant to total return
swaps, the terms of which provide that until final settlement of the swaps, the
seller agrees to vote its shares in accordance with the prior written
instructions of Emmis.

Under the terms of a Note Purchase Agreement, Zell Credit Opportunities Master
Fund, L.P. has agreed to buy from Emmis on up to four separate occasions on or
before February 2, 2012, a total of up to $35,000,000 of unsecured notes. The
net proceeds from the notes are expected to be used to enable Emmis to
ultimately acquire some of its Preferred Stock through privately negotiated
transactions with individual Preferred Stock holders and/or through a tender
offer. Interest on the notes is not payable in cash and will accrue quarterly at
a rate of 22.95 percent per annum. The notes will mature in February of 2015,
and contain customary representations, warranties, and indemnities, as well as
covenants that are comparable to those in Emmis’ senior secured credit facility,
including the prohibition of any dividend payments on Emmis’ capital stock and
certain restrictions on the ability of Emmis to incur additional indebtedness.

Paul, Weiss, Rifkind, Wharton & Garrison LLP and Taft Stettinius & Hollister LLP
served as legal counsel and Moelis & Company served as financial advisor to
Emmis.

Methuselah Advisors served as financial advisor to Zell Credit Opportunities
Master Fund, L.P.

Emmis has filed a Current Report on Form 8-K with the Securities and Exchange
Commission with respect to the subject matter of this press release.

About Emmis

Emmis Communications Corporation is a diversified media company, principally
focused on radio broadcasting. Emmis operates the 8th largest publicly traded
radio portfolio in the United States based on total listeners. Emmis owns 18 FM
and two AM radio stations in New York, Los Angeles, St. Louis, Austin (Emmis has
a 50.1% controlling interest in Emmis’ radio stations located there),
Indianapolis and Terre Haute, IN.

Emmis’ news releases and other information are available on the company’s
website at www.emmis.com.

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS

This press release includes information that could constitute forward-looking
statements made pursuant to the safe harbor provision of the Private Securities
Litigation Reform Act of 1995. These forward-looking statements include, among
others, statements about Emmis’ beliefs, plans, objectives, goals, expectations,
estimates and intentions that are subject to significant risks and uncertainties
and are subject to change based on various factors, many of which are beyond our
control. The words “may,” “could,” “should,” “would,” “believe,” “anticipate,”
“estimate,” “expect,” “intend,” “plan,” “target,” “goal,” and similar
expressions are intended to identify forward-looking statements. All
forward-looking statements, by their nature, are subject to risks and
uncertainties. Although Emmis believes that the expectations reflected in such
forward-looking statements are based upon reasonable assumptions, Emmis’ actual
results could differ materially from those described in the forward-looking
statements. Such statements involve known and unknown risks, uncertainties and
other factors that may cause the actual results, performance or achievements of
the Company to be materially different from any future result, performance or
achievement expressed or implied by such forward-looking statement. Such factors
include, among others (i) general economic and business conditions; (ii)
fluctuations in the demand for advertising and demand for different types of
advertising media; (iii) our ability to service our outstanding debt; (iv)
increased competition in our markets and the broadcasting industry; (v) our
ability to attract and secure programming, on-air talent, writers and
photographers; (vi) inability to obtain (or to obtain timely) necessary
approvals for purchase or sale transactions or to complete the transactions for
other reasons generally beyond our control; (vii) increases in the costs of
programming, including on-air talent; (viii) inability to grow through suitable
acquisitions; (viii) changes in audience measurement systems; (ix) new or
changing regulations of the Federal Communications Commission or other
governmental agencies; (x) competition from new or different technologies; (xi)
war, terrorist acts or political instability; and (xii) other factors mentioned
in documents filed by the Company with the Securities and Exchange Commission.
Emmis does not undertake any obligation to publicly update or revise any
forward-looking statements because of new information, future events or
otherwise.