Despite warnings of 'a material uncertainty' from its auditors KPMG due to an 18% slump in advertising revenues, the owners of Classic FM and Heart have managed to keep underlying profits steady at £31m. The accounts of Global Radio revealed that KPMG was uncertain about the future of the group until they had finished a re-financing deal worth £210m with Lloyds Bank. The chief executive of the group Ashley Tabor, said that once debts were refinanced, the group would be able to put warnings aside and KPMG's caution was just 'simply a matter of housekeeping'. Rather than concentrating on local stations, the radio broadcaster has been working on marketing the Heart brand, as well as cost-cutting initiatives so that 'underlying earnings will be roughly the same'. The radio broadcaster bought Chrysalis Radio in 2007 and GCap Media in 2008. The company is now planning to sell a number of stations based in the Midlands to its competitor, Bauer, for £58.3m to reduce borrowing, the Times reported.