Color Scheme Annual Meeting June 2011 Annual Meeting June 2011 Nasdaq: SALM

Color Scheme Safe Harbor Certain statements in this presentation constitute “forward-looking statements” within the meaning of the private securities litigation reform act of Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the company to be materially different from any future results, performance or achievements expressed or implied by such “forward-looking statements.” This presentation also contains “non-GAAP financial measures” within the meaning of regulation G, specifically station operating income and EBITDA. In conformity with regulation G, information reconciling the non-GAAP financial measures included in this presentation to the most directly comparable financial measures prepared in accordance with generally accepted accounting principles is available on the investor relations portion of the company's website at as part of the most current report on form 8-K and earnings release issued by Salem Communications. 2

Color Scheme The Market Leader in Christian and Family-Themed Media

Color Scheme Highlights Bank Amendment Allows us to use revolver to buyback bonds Increased size of revolver from $30 million to $40 million Bond Redemptions $30 million (maximum allowed under bond indenture) Acquisitions HotAir.com, a website blog featuring news, analysis and commentary, on February 2 nd for $2.0 million GodTube.com, Christian content and community websites, on June 8 th for $2.5 million WWRC-AM in Washington D.C. on August 3 rd for $3.1 million Samaritan Fundraising, a web-based fundraising products company, on September 20 th for $0.8 million Dividend Cash payment on December 13 th amounted to approximately $4.8 million 3

Color Scheme Salem Overview Salem Radio Stations ($159mm / $66mm / 77%) #1 in commercial Christian radio broadcasting 95 stations (1) across 37 markets 3rd largest radio group in top 25 markets with 59 stations One of three commercial radio broadcasters with stations in all top 10 markets Salem Media Reps (SMR) ($0.4mm / ($4)mm / 0%) Only national sales rep. firm in Christian radio Responsible for placing $26mm in revenue on Salem radio stations and network Full-service network featuring conservative talk, news and Christian programming Approximately 2,000 affiliates in addition to owned & operated stations Salem Radio Network (SRN) ($16mm / $4mm / 8%) Internet ($21mm / $3mm / 10%) Among the largest online destination for Christian and conservative content Online presence leverages loyal radio listener base with over 85 million monthly page views Publishing ($11mm / $0.2mm / 6%) Publisher of print-on-demand Christian books Publisher of six Christian and conservative- themed magazines Last Twelve Months Ended December 31, 2010 (Revenue / EBITDA / % Revenue Contribution) Total: $207mm / $51mm (2) / 100% 1)Includes announced acquisitions, divestitures and exchanges. 2)Includes corporate expenses of $17 million. 4 Salem’s multiple platforms give advertisers and ministries a highly effective means to reach the Christian audience

Color Scheme Geographically Diversified Portfolio in Large Markets 95 Stations Across 37 Markets Note: Station and market ranking are as of Spring Book Market ranking is published by Arbitron and excludes Puerto Rico. 1)San Francisco stations are rated in San Francisco (market size #4) and San Jose (market size #34) 2)New York stations are rated in New York City (market size #1) and Nassau-Suffolk (Long Island), NY (market size #17) 3)Includes announced acquisitions, divestitures and exchanges 5

Color Scheme Diversification By Market Top 10 Salem Markets – Last Twelve Months December 2010 Broadcast Revenue Top 10 Salem Markets – Last Twelve Months December 2010 Station Operating Income Total: $66.1mm (1) Total: $160.6mm (1) 1)Excludes network and corporate revenue and SOI. 6

Color Scheme Three Strategic Radio Station Formats Christian Teaching and Talk 39 stations (28 AM, 11 FM) Two revenue streams: block programming and advertising Typical hour includes 52 minutes of paid block programming time Christian Music – The FISH® 11 stations (all FM) Addresses growing popularity of contemporary Christian music News Talk 24 stations (all AM) Programmed via Salem’s talk radio network, SRN Last Twelve Months December 2010 Broadcast Revenue Total: $159.8mm (1) Total: $62.7mm (1) Last Twelve Months December 2010 Station Operating Income 1)Excludes network and corporate revenue and SOI. 7

Color Scheme Salem Radio Network Salem Radio Network Revenue 8

Color Scheme Salem Broadcasting Salem Net Broadcast Revenue – Quarterly Salem Net Broadcast Revenue – Annual Note: Dollars in millions. 9 $206 $194 $172 $175 $50 $48 $42 $44 $42 $43 $41 $45 $44 $45 $43

Color Scheme We serve the same niche audiences online and in print. ChristianConservative Opinion INTERNET PUBLISHING Significant Internet and Publishing Businesses 10

Color Scheme Salem Publishing Revenue - Quarterly Publishing Revenue - Annual Note: Dollars in millions. Publishing 11

Color Scheme Internet Internet Revenue – Quarterly Internet Revenue – Annual Note: Dollars in millions. 12

Color Scheme Since December 31, 2010 Bond Redemption On June 1, 2011, we redeemed $17.5 million of bond debt at a price 103% of the face value – We have now redeemed $47.5 million of bond debt in 18 months Acquisitions WDDZ-AM, Pawtucket, Rhode Island, on March 2 nd for $0.6 million WorshipHouse Media on March 28 th, an on-line church media and video ministry website, for $6.0 million Dispositions KKMO-AM in Seattle on January 6 th for $2.7 million – Sold at a 10 multiple KXMX-AM in Los Angeles on February 25 th for $12.0 million – We received cash of $11.0 million and a promissory note of $1.0 million from the buyer – Sold at a 12 multiple 13

Color Scheme Church Products Division New Division Launched in April 2011 Launched in conjunction with the acquisition of WorshipHouse Media Placed all of our assets that target the church in one division and under common management Powerful Marketing Tool Uniquely positioned to market to this audience Radio stations hosted pastors’ events in 30 markets – Almost 20,000 pastors in attendance Publishing division produces Preaching Magazine, a bi-monthly periodical for pastors – Operates preaching.com website Approximately 110,000 addresses of pastors 14

Color Scheme Annual Meeting June 2011 Annual Meeting June 2011 Nasdaq: SALM