EXHIBIT 10.04.03



                    FIRST AMENDMENT TO EMPLOYMENT AGREEMENT
                    ---------------------------------------

This First Amendment to Employment Agreement is entered into as of the 1st day
of August, 1997, between SALEM RADIO NETWORK INCORPORATED, a Delaware
corporation ("Company"), and GREG R. ANDERSON ("Employee").

                                  WITNESSETH:

WHEREAS, the Company and Employee entered into a contract for the employment of
Employee by Company on February 9, 1995 (the "Agreement"); and

WHEREAS, the parties desire to amend the Agreement.

NOW THEREFORE, for valuable consideration, the receipt of which is hereby
acknowledged, the parties agree as follows:

     1.   Paragraph 1 of the Agreement is hereby amended to read as follows:

          1. TERM.  The term of this Agreement will be for the period beginning
             ----                                                              
          August 1, 1997 and ending September 30, 2000.

     2.   Subparagraph 3.3 of the Agreement is hereby amended to read as
          follows:

          3.3  In addition to Employee's responsibilities with respect to the
          Company enterprise set forth in subparagraph 3.2, above, Employee
          shall supervise and manage the operations of Salem Radio
          Representatives, Inc., SRN News and the Morningstar music format.

     3.   Paragraph 4A of the Agreement is hereby amended to read as follows:

          A.  Company agrees to pay Employee in full for services rendered as
          described in Part 3 above, a base salary of $13,525 per month during
          the term of this Agreement.

     4.   Paragraph 4B of the Agreement is hereby amended to read as follows:

          B.  In addition, Employee shall be eligible for an annual performance
          bonus consideration based on the following:

          At the completion of year-end audited financial statements of the
          Company and the other entities supervised and managed by Employee
          during the term of this Agreement, consideration will be given by the
          Company Board of Directors to paying Employee a discretionary bonus,
          following its evaluation of Employee's performance.  Criteria to be
          considered will include but not be limited to:  Meeting or exceeding
          the net operating income budgets of the Company and the other entities
          supervised and managed by Employee; identifying talent and 

 
          development of new programming; continued expansion of the Company
          affiliate base, and in particular the expansion of affiliates for and
          establishment of profitability at SRN News; and development and
          skillful management of the organization of all entities supervised and
          managed by Employee, and in particular the development of managerial
          and affiliate relations staffs. Bonuses, if declared, will be paid not
          later than 30 days after the completion of the audited year-end
          financial statements.

     5.   The second sentence of Paragraph 5 of the Agreement is hereby amended
          to read as follows:

          Employee shall receive three weeks (15 days) of paid vacation time per
          annum through the term of this contract.

     6.   Paragraph 6C of the Agreement is hereby amended to read as follows:

          C.  By Company at any time provided one hundred eighty (180) days of
          salary, excluding bonuses, and all accrued vacation is paid.

     7.   Except as specifically amended herein, all terms and conditions of the
          Agreement shall remain in full force and effect.

Executed as of the date first above written.

SALEM RADIO NETWORK INCORPORATED

By: /s/ Edward G. Atsinger III
    -------------------------
    Edward G. Atsinger III
    Chief Executive Officer


    /s/ Greg R. Anderson
    -------------------------
    Greg R. Anderson


                                       2