Recently Emmis CEO Jeff Smulyan announced his company was selling its Terre Haute radio stations and Texas Monthly. In an SEC filing yesterday, the company announced it would pay severance to all employees not offered employment with the new companies And, any employees who are offered and accept employment with the new buyers, but are terminated other than for “cause” within a certain time period will receive severance from Emmis. Emmis believes the maximum amount of severance it would pay, assuming it paid severance to all affected employees, would be approximately $2.6 million. In addition, Emmis is paying each employee of these affected properties a bonus equal to one month of salary provided the employee remains with the property through the closing date of the respective sale. Emmis estimates this obligation to be approximately $0.6 million.
