Credit FAQ: Evolving Rules On U.S. Political Ad Spending Could Change The Broadcast Landscape

This report does not constitute a rating action. On June 30, 2026, the U.S. Supreme Court ruled in the National Republican Senatorial Committee?s (NRSC) favor that the Federal Election Commission (FEC) can?t limit the amount of money a political committee can spend in coordination with federal candidates. Separately, on March 30, 2026, the Federal Communications Commission?s (FCC) Media Bureau provided guidance regarding entitlement to the lowest unit charge (LUC). The LUC requires broadcast stations to charge legally qualified political candidates the lowest advertising rate available to any commercial advertiser for the same class and amount of time for the same period. This applies during the 45 days preceding a primary election and 60 days preceding a general election. In the

...Company Rating* Rating upgrade threshold Rating downgrade threshold S&P Global Ratingsadjusted consolidated leverage (x)º Nexstar Media Group Inc. ##+/Negative N/A Leverage > 4x 3.5 Cox Media Group Inc. B/Stable Leverage < 6x; FOCF/debt >5% EBITDA interest coverage < low1x or negative FOCF 7.3 Gray Media Inc. B/Stable Leverage < 6x; FOCF/debt >5% EBITDA interest coverage < low1x or negative FOCF 7.0 Sinclair Inc. B/Stable Leverage < 6x; FOCF/debt >5% EBITDA interest coverage < low1x or negative FOCF 4.8 E.W. Scripps Co. ###+/Positive EBITDA interest coverage > 1.5x; positive FOCF N/A 7.0 EBITDA is calculated using average trailingeightquarter EBITDA for broadcast segments and trailing 12month EBITDA for nonbroadcast segments. *As of July 6, 2026. ºAs of Dec. 31, 2025, not pro forma for completed acquisitions. N/ANot applicable due to positive or negative outlook. FOCFFree operating cash flow. Source: S&P Global Ratings....

Commentary