Good afternoon. My name is Carrie, and I will be your conference facilitator today. At this time, I would like to welcome everyone to the Live Nation Entertainment Fourth Quarter and Full Year 2012 Earnings Conference Call. Today's conference is being recorded. [Operator Instructions] Before we begin, Live Nation has asked me to remind you that this afternoon's call will contain certain forward-looking statements that are subject to risk and uncertainties that could cause actual results to differ, including statements relating to the company's anticipated financial performance, business prospects, new developments and similar matters. Please refer to Live Nation's SEC filings, including the risk factors and cautionary statements included in the company's most recent filings on Forms 10-K, 10-Q and 8-K for a description of risks and uncertainties that could impact the actual results. Live Nation will also refer to some non-GAAP measures on this call. In accordance with SEC Regulation G, Live Nation has provided a full reconciliation for the most comparable GAAP measures in their earnings release. The release, reconciliations and other financial or statistical information to be discussed on this call can be found on www.livenation.com/investors. It is now my pleasure to turn the call over to Michael Rapino, President and Chief Executive Officer of Live Nation Entertainment. Please go ahead.

Good afternoon, and welcome to our fourth quarter and full year 2012 conference call. I am joined today by Joe Berchtold, our COO; and Kathy Willard, our CFO. Let me start with overall 2012 financial performance. We delivered revenue and AOI growth across our 3 core businesses of Concerts, Sponsorship and Ticketing. For the company, revenue grew 8%, AOI was up 5% and free cash flow increased 36% for the year. Underlining the solid financial performance is growth in ticket sales and market share in both Concerts and Ticketing businesses with global ticket sales for the year up 4% for Concerts and 5% at Ticketmaster. Our success in 2012 following our growth in 2011 is demonstrating the strength of our live entertainment platform and the resilience of the live business. On a global basis, the industry grew and North America has bounced back from the economic slowdown of a few years ago. We continue to see strong fan demand and growth last year across concerts, sporting and family events, and our market research showing that 90% of fans who attended one of these events last year plan on going to the same or more events this year. From both our results and what the fans are saying, live events continue to show they are inherently non-duplicatable, in high demand and globally transferable. Our business model is based on maximizing ticket sales in the broader ecosystem around the live event. We grow the business by increasing our Ticketing market share and driving these adjacent businesses. As a result, we continue to see 2 core growth opportunities, increasing our 400 million ticket base, which drives our entire vertical economics. We've already have shown strong market positions in North America and Europe and have shown over the past 2 years our ability to…

Thanks, Michael. First, in Concerts, the Live Nation Concerts revenue was up 10% in 2012 while adding 2 million fans, bringing us to 49 million attending our shows globally. Our AOI grew 4% for the year, but if AOI is adjusted for the $6.9 million of incremental marketing spend in the fourth quarter specifically targeted at shows occurring in 2013, our AOI would have been up 26%. Looking more specifically at what worked in 2012, first we continued to have success with our North America amphitheaters. For the year, we grew our show count by 12%, attendance by 15% and increased overall line of business contribution margin by 13%. Our continued development of newer acts for the amp is working, with artists who had their first hit in the 2000s, representing half of the top 10 amp tours last year, including Jason Aldean, Drake and Big Time Rush. Another high point for the year was our festival business in general and EDM in particular. In 2012, global festival attendance increased 30% to 3.5 million attendees, and EDM doubled attendance across all of its shows with 1.4 million attendees. Our primary challenge last year was with our European Concerts business, which suffered from inconsistent fan demand, particularly in Southern Europe where we saw a 15% decrease in attendance per show. And this decrease offset the benefit from our increased show count, which is why we ended with growth in attendance below our overall results. An early look at 2013 indicates that our shows are off to a great start with 9 million tickets sold as of December 31 for Live Nation concerts in 2013. This is a 58% increase over last year, and it's consistently strong across the globe with North America up 36%, led by One Direction and Maroon 5,…

Thanks, Joe, and good afternoon, everyone. For the 12 months ended December 31, we have delivered growth in revenue, AOI and free cash flow, as Michael noted. I will now walk you through the key financial highlights for the quarter and the full year. For the fourth quarter, revenue was $1.4 billion, up 21% compared to 2011. Concerts revenue was up 32% driven by higher global touring activity with Madonna and Lady Gaga both on tour compared to no global tours in the fourth quarter of last year. And Ticketing revenue was up 6% from higher ticket sales and increased resale activity. Adjusted operating income was up for the fourth quarter to $63 million compared to $51 million last year, an increase of 23%. Concerts AOI was up 9% compared to last year, or $3 million, due to improved North America results. Ticketing AOI increased 5%, or $3 million, due to higher ticket sales and resale activity. Artist Nation AOI was down $7 million in the quarter, largely due to the $5.5 million of costs that Joe mentioned, and Sponsorship & Advertising AOI was up 4% with increased results from festivals and strategic sponsorships. For the quarter, we reported an operating loss of $126 million compared to a loss of $67 million last year with the decline driven by the impairment of $63 million related to the intangible asset in the Artist Nation segment. For the full year 2012, revenue was $5.8 billion, up 8% over 2011. On a constant currency basis, revenue increased 10%. Concerts revenue increased 10% compared to the prior year with higher overall attendance, increased global touring activity, more amphitheater shows and International expansion in Australia and Asia. Ticketing revenue for the year increased 4% as a result of higher ticket sales in North America and…

[Operator Instructions] And we'll take our first question from Bill -- I'm sorry, Ben Mogil with Stifel, Nicolaus. Benjamin E. Mogil - Stifel, Nicolaus & Co., Inc., Research Division: In terms of Sponsorship bookings, can you give us a sense of where you are now, say, compared to this time last year, both directionally and either dollar figure up or down or percentage up or down?

Yes, this is Joe, Ben. I think that if you refer back to our belief that this year will be up consistent with the past couple of years' growth in AOI, then, obviously, at this point of the year, we've got enough between what we have booked and in the pipeline to give you that guidance. Benjamin E. Mogil - Stifel, Nicolaus & Co., Inc., Research Division: Okay. And then on the longer issue of the sort of the 2015 guidance, when you look at that sort of guidance -- and you talked a lot about at the Liberty Day of sort of adding 5 million attendees per year largely through Electronic Dance Music and festivals -- how much of that do you think you can do organically? How much of that do you think you need to do M&A for? And what are the M&A multiples? And what's the M&A environment looking like from where you guys sit?

There's a quick question, isn't it, Ben? First of all, we didn't say 5 million a year, we said 5 million over the 3-year we were referring to. I think we're close to a couple of million now of that 5 million. So we would hope that -- if you look at the 2 million out of the 5 million that we've delivered, most of that's organic because the easiest and most effective way for us to get that 5 million is for Ticketmaster and Live Nation to sell a few more tickets to their current shows. So our first objective is always social media, mobile conversion, online conversion, sell more tickets to our current events to get close to that 5 million. So I would say a large majority of it will become or should come organically through better sell-through. And then opportunistically, as we've done in the past, we'll find some tuck-in, bolt-on promoters or ticketing companies either in America or around the world if we think they're strategic to our growth and always looking at our cost of capital and return on those.

And we'll take our next question from Martin Pyykkonen with Wedge Partners.

Two things on Concerts. I was wondering, just looking at the numbers, number of tickets sold up 11%, concert revenue up 31% and ticket -- gross ticket value up just under 16% in the quarter just for Q4. Can you talk to how much of that do you think was from dynamic pricing and particularly pricing the front of the house getting the real premium that you deserve versus to what extent it was just bigger artist, bigger ticket prices as a result? Just trying to get underneath a little bit to understand quantitatively how much dynamic pricing is helping.

Yes, Martin, this is Joe. I think first of all, looking at one quarter can be tough, especially on Q4 for us. As Kathy indicated, we had some global tours out. Those tend to be higher ticket prices. So probably, that will create some distortion, just the nature of the tours, particularly in the fourth quarter, more than any of our specific pricing initiatives. That said, I think as we've talked in the past, we've rolled out pretty aggressively our dynamic pricing in our amphitheaters and saw some nice return off of that through the second and third quarter. And we've seen even more success on what we call Platinum pricing, which is where we just start our pricing where we have a number of tickets in the front of the house that are at a premium price. So no doubt that's delivering some real value to our concert business that, frankly, is just coming through more in the second and third quarter.

And I would say, Martin, just to add to that, I mean, the important part for us because when the tide rises, we will gain the most. The business in general over the last 2 years, every artist, every business manager, agent has just gotten smarter about pricing the house. And I would say 2 years ago, everyone was slightly panicked about the economy. It was in a bit of a stalemate. I think today, 80% to 90% of the dates we do, that conversation starts with either, after them initiating, how do we scale the house more effectively, which really means how do we price the front of the house to meet the market and maybe reduce the prices in the back end. But every time an artist participates in that kind of conversation, it's a higher revenue event for us. So I think we've been the leaders, obviously, in the marketplace with our Pricemaster tool, getting over 1,000 artists or 1,000 shows working it through last year. And I think it's becoming a pretty ingrained trend now in the business, which will absolutely help our overall revenue growth.

And then just kind of a part B to that. I think Kathy mentioned the AOI margin should be up a little bit this year for the Concerts segment. What -- number one, is that -- did I get that accurately? And how much of that would be from better, smarter pricing continuing just on a -- ongoing improvements as opposed to something that's more cost driven? And I think the quantity of [indiscernible], just more directionally where that's going.

Yes. Right. You have the stat correct. That's what we're saying, it'll be up slightly. And it is driven a lot by selling more tickets and better pricing on those tickets.

[Operator Instructions] And we'll take our next question from Doug Arthur with Evercore.

Yes, Kathy, I just want to -- I mean, I know you're not going to give full year guidance, but you did -- I mean, between you and Joe, you sort of said Ticketing, you're sort of looking for flat based on the cost and the re-platforming continuing. Artist Nation, I guess, all else being equal, sort of flat. So Sponsorship, I mean, yes, it's grown at a nice clip, but it seems like if you go back a year, 18 months ago, that you really felt that would be a long-term, double-digit grower. So are you -- do you think you can get back there this year? And then, I guess, the balance of the upside would come from constant margins. And then, Michael, as a follow-up, can you just talk a little bit about some of the big tours that you expect out in '13? I mean, you mentioned a few and you've made a number of announcements. So how does sort of '13 shape up versus sort of '12 on the big, global tours?

So just the first half of the question, you got it right. I mean, I said on Sponsorship, that it would be consistent with the past few years. Last year was 9%. The year before that was 12%. So yes, we are talking double digit without giving you an exact number. And then the other comment was that we expect solid -- or we expect strong growth in the Concert business.

Yes, I would say, Doug, the -- given what Joe has indicated already on our on-sales year-to-date and the tickets sold through the pipe, it's always good to be starting the Q1 with the wind at your back. And we think the pipe looks very strong on a global basis for festivals, amps and the touring business. You've -- obviously, I can only talk about the ones that have been announced. But when you have a Justin Timberlake, Jay-Z stadium tour, it's big business. It's also a nice reaffirmation that there is life in young artists to take the spot of the other stadium acts. Beyoncé sold out in seconds. Pink has been phenomenal, selling out around the world and over 60 dates in Australia alone. Rihanna has been up for sale and selling out very, very clean across-the-board on a global basis. Jimmy Buffett went up last week, which was very strong. One D is strong. Maroon 5. So good point is all timing -- sorry, I should mention country, too, which is probably one of our biggest growth areas for '13. We sell a Megaticket, which is a combination of a bunch of artists. We went on sale a few weeks ago with our Megaticket, and we would typically sell that Megaticket, over about 20 million tickets on an annual basis, and we're already past that 20 million-mark. So you got the Jason Aldean, the Luke Bryan stuff, a huge lineup in country. I think when you look at the whole, the nice part is whether it's a One D young act, whether it's a Jimmy Buffett, whether it's a Rihanna pop act or a country artist, and then I'm leaving the festivals aside, which tend to be more electronic and younger, the portfolio looks very diverse and strong in our pocket. So we expect a strong year in the Concert division, and that, obviously, means a strong year in the ticket part of the Concert business also.

And just as a follow-up, I mean, you had mentioned in the last call some potential rationalization of the festival business in Europe and particularly, I guess, in Southern Europe. Is that -- are your comments consistent with that occurring as well?

Yes. I mean, it's early. I mean, the good news is most of our business in Europe tends to be around our festivals. We're fairly high concentrated in the North. For the South this year, it seems to be holding its own. We're going to the market much smarter this year. We're not taking the risks on a few festivals that we did last year. So I think we'll manage the portfolio of Europe smartly this year and reduce any exposures in the South, whether it turns around or not, and focus on the high-performing, less risky festivals of the North to deliver our total European target.

And we have no further questions. I will now turn the call back over to Mr. Rapino for closing remarks.

Thank you, everybody, for joining, and we will all talk to you after Q1.

Ladies and gentlemen, this concludes the Live Nation Entertainment Fourth Quarter and Full Year 2012 Earnings Conference Call.