Nexstar's FCF and Capital Allocation

E.24 E2 SEE CAL NEWS THAT MAT TRAC TRO kxan. Greg Abbott blames Biden administration for unaccompanied minors at Texas border, says answers are needed TOP STORIES 47D-office Joke and charged w 12:00 The Reinvention of Broadcasting: What's Old is New Again Nexstar generates more free cash flow than its larger media peers. Increasing investor focus on free cash flow generation as the primary method to create shareholder value which favors broadcasting business models Streaming players are eliminating their differentiated consumer offering by adopting superior broadcast television business model and going ad-supported in the national market Advertisers continue to seek out broadcasters as the only place to find audiences at scale Broadcast television is the most important medium for engaging live sports audiences - Audiences prefer broadcast delivery Streaming has challenges for sports: fragmented audiences, consumer cost, technological issues Latest NFL media contract requires the NFL to be on broadcast through 2033 Team owners looking to maximize their local audience, fans and franchise values, are returning to broadcast television (e.g. Clippers on KTLA) Adam Silver recently quoted saying that broadcasters may be an option for underserved NBA content 10/18/22: Netflix Follows Broadcast-Centric Business Models After Years of Innovation (Source: Online Video News) NETFLIX 7/27/22: For the 22/23 Upfront, "Media Dynamics says...that the five broadcast TV networks took in $9.9 billion in primetime sales, up...6.4%" Nielsen: NFL audiences choose local broadcast over Amazon Prime % of In-Market Viewership of TNF through Week 17 (December 29, 2022) Amazon Prime, 33% Local Broadcast, 67% 3/28/21: NFL announces new broadcast deals running through 2033...preserving its custom of keeping all NFL contests on over- the-air television. (Source: NFL) NFL 9/20/22: KTLA 5 Will Exclusively Air 15 Clippers Games This Season and Produce Pre-game, Halftime, and Post-Game Programming (Source: Nexstar) CLIPPERS KTLA 5 7

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