Clear Channel TV sale in question

Clear Channel Communications Inc. said Providence Equity Partners Inc. might back out of a $1.2-billion agreement to acquire its 56 television stations.

Providence might not close the deal on the terms agreed upon in April, San Antonio-based Clear Channel said. The sale outcome doesn’t threaten Clear Channel’s pending $19.5-billion takeover by Thomas H. Lee Partners Inc. and Bain Capital, the broadcasting company said.

Providence might scrap the agreement because ad sales for radio and TV broadcasters are falling as automakers cut back ad spending and more advertisers move to the Internet and cable-TV networks.