Gray Television (GTN) 8-K Regulation FD Disclosure

Exhibit 99.2

Hoak Media, LLC and Subsidiaries

CONSOLIDATED BALANCE SHEETS

	March 31, 2014			December 31, 2013
	(Unaudited)
ASSETS
CURRENT ASSETS
Cash	$	3,032,660		$	3,778,402
Accounts receivable, net of allowance fordoubtful accounts of $293,011 and $288,516as of March 31, 2014 and December 31, 2013, respectively		13,412,805			14,938,806
Prepaid expenses and other current assets		367,989			440,173
Income tax receivable		136,750			8,112
Deferred income taxes, net		21,301			19,417
Assets of discontinued operations		1,259,525			1,331,478
Total current assets		18,231,030			20,516,388
PROPERTY AND EQUIPMENT, at cost
Land		3,259,972			3,259,972
Buildings and improvements		11,026,273			10,966,461
Towers		12,306,589			12,287,084
Transmitters and antennas		18,865,556			18,776,438
Broadcast equipment		31,382,110			30,672,148
Other		5,185,986			5,168,169
		82,026,486			81,130,272
Accumulated depreciation		(54,500,711	)		(53,202,042	)
PROPERTY AND EQUIPMENT, net		27,525,775			27,928,230
INTANGIBLE ASSETS, net		116,355,341			116,412,583
GOODWILL		37,826,986			37,826,986
ASSETS OF DISCONTINUED OPERATIONS		3,835,380			3,835,380
OTHER NONCURRENT ASSETS, net		2,275,488			2,386,638
Total assets	$	206,050,000		$	208,906,205

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Hoak Media, LLC and Subsidiaries

CONSOLIDATED BALANCE SHEETS - CONTINUED

	March 31, 2014			December 31, 2013
	(Unaudited)
LIABILITIES AND MEMBERS’ EQUITY
CURRENT LIABILITIES
Accounts payable	$	499,188		$	839,420
Accrued liabilities		4,585,794			5,104,692
Deferred revenue		132,782			811,752
Current portion of notes payable		13,000,000			13,000,000
Accrued interest		103,069			121,674
Accrued income taxes		43,691			-
Liabilities of discontinued operations		1,846,202			2,064,620
Total current liabilities		20,210,726			21,942,158
NOTES PAYABLE, net of current portion		131,169,441			136,946,294
DEFERRED INCOME TAXES, net		14,951,097			15,011,373
LIABILITIES OF DISCONTINUED OPERATIONS		6,379,321			6,379,321
Total liabilities		172,710,585			180,279,146
COMMITMENTS AND CONTINGENCIES
MEMBERS’ EQUITY
Members’ interests		40,247,186			35,539,054
Noncontrolling interest		(6,907,771	)		(6,911,995	)
Total members’ equity		33,339,415			28,627,059
Total liabilities and members’ equity	$	206,050,000		$	208,906,205

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Hoak Media, LLC and Subsidiaries

CONSOLIDATED STATEMENTS OF OPERATIONS

Three Months Ended March 31,

	2014			2013
	(Unaudited)
Gross revenue
Local and regional advertising	$	12,540,664		$	12,348,730
National advertising		3,383,951			3,415,643
Political advertising		642,992			87,267
Barter and other revenue		7,280,675			6,162,656
Gross revenue		23,848,282			22,014,296
Commissions
Agency commissions		1,792,056			1,762,652
National representative commissions		211,635			182,396
Total commissions		2,003,691			1,945,048
Net revenue		21,844,591			20,069,248
Operating expenses
Program and production		3,080,654			2,808,780
News		2,353,443			2,137,578
Technical		896,834			810,677
Sales and promotion		2,048,169			1,999,315
General and administrative		3,294,927			3,223,088
Depreciation and amortization		1,355,930			1,531,576
Barter and other operating expenses		705,760			713,344
Total operating expenses		13,735,717			13,224,358
Operating income		8,108,874			6,844,890
Interest expense, net		(1,697,175	)		(1,074,396	)
Other income (expense), net		2,590			(21,271	)
Income from continuing operationsbefore income taxes		6,414,289			5,749,223
Income tax expense		(152,893	)		(431,230	)
Income from continuing operations		6,261,396			5,317,993
Income from discontinued operations		145,485			67,628
Net income		6,406,881			5,385,621
Less: Net income (loss) attributable to noncontrolling interest		42			(23,042	)
Net income attributable to Hoak Media, LLC	$	6,406,839		$	5,408,663

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Hoak Media, LLC and Subsidiaries

CONSOLIDATED STATEMENTS OF CASH FLOWS

Three Months Ended March 31,

	2014			2013
	(Unaudited)
Cash flows from operating activities
Net income	$	6,406,881		$	5,385,621
Net income from discontinued operations		(145,485	)		(67,628	)
Net income from continuing operations		6,261,396			5,317,993
Adjustments to reconcile net income to net cashprovided by operating activities
Depreciation and amortization		1,355,930			1,531,576
Bad debt expense		28,895			12,215
(Excess) deficit of barter revenue over barter expense		(22,372	)		6,851
Noncash compensation		108,579			178,917
Loss (gain) on sale of assets		(2,621	)		21,269
Amortization of deferred financing costs		135,156			116,691
Deferred income taxes		(62,160	)		79,880
Net changes in current assets and liabilities
Accounts receivable, net		1,519,478			239,488
Prepaid expenses and other current assets		72,184			(54,668	)
Income tax receivable		(84,947	)		1,350
Accounts payable		(341,222	)		(660,883	)
Accrued liabilities		(537,493	)		(129,763	)
Deferred revenue		(678,970	)		(680,039	)
Net cash provided by operating activities,continuing operations		7,751,833			5,980,877
Net cash (used in) operating activities,discontinued operations		(108,671	)		(81,756	)
Net cash provided by operating activities		7,643,162			5,899,121
Cash flows from investing activities
Additions to property and equipment		(897,817	)		(1,142,849	)
Proceeds from sale of assets		4,205			7,208
Net cash used in investing activities, continuingoperations		(893,612	)		(1,135,641	)
Net cash provided by investingactivities, discontinued operations		-			-
Net cash used in investing activities		(893,612	)		(1,135,641	)

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Hoak Media, LLC and Subsidiaries

CONSOLIDATED STATEMENTS OF CASH FLOWS - CONTINUED

Three Months Ended March 31,

	2014			2013
	(Unaudited)
Cash flows from financing activities
Distributions	$	(1,803,104	)	$	(2,973,391	)
Deferred financing costs		(24,006	)		-
Repayment of note payable		(5,776,853	)		(3,500,000	)
Net cash used in financing activities,continuing operations		(7,603,963	)		(6,473,391	)
Net cash provided by financing activities,discontinued operations		-			-
Net cash used in financing activities		(7,603,963	)		(6,473,391	)
Net decrease in cash		(854,413	)		(1,709,911	)
Cash at beginning of year, continuing and discontinued operations		3,985,861			4,107,980
Cash at end of year, continuing operations	$	3,032,660		$	2,330,591
Cash at end of year, discontinued operations	$	98,788		$	67,478
Supplemental cash flow information
Interest paid	$	1,630,638		$	976,114
Taxes paid	$	300,000		$	350,000

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