Now it's up to the FCC to decide
Reply comments are in for the FCC's docket proceeding on whether it should launch an investigation of PPM. Very few of the filings, however, addressed the key issue - whether the FCC has any authority to conduct such an investigation. The PPM Coalition, which sought the investigation, says it is not asking the FCC to regulate Arbitron, but insists that the Commission certainly has authority to inform itself about facts affecting the radio industry. Arbitron counters that it would be a "serious mistake" for the FCC to jump into the fray and divert the company's attention from securing MRC accreditation for PPM.

RBR observation: The FCC has no in-house expertise in evaluating media ratings methodologies. The FCC has no power to make Arbitron change anything even after completing such a probe. Even if you accept the position that the Commission somehow has the authority to conduct such an investigation - which is quite a legal stretch - what's the point?

Arbitron cancels monthly PPM call
Faced with battling the Attorney General of New York in court and trying to convince the FCC to stay out of the Portable People Meter (PPM) controversy, Arbitron has canceled its monthly client and press call to go over PPM panel data and answer questions. The call had been scheduled for today, which was also to have been the day when September PPM data was released. That was moved up to Monday to ensure that New York AG Andrew Cuomo would not be able to get a court order barring the first currency release of PPM data in the New York market. So, instead of the monthly call, Arbitron simply released a summary, which you can read by clicking the headline.

FCC checking into military analysts
It was revealed some time ago that many if not most retired military officers used by news organizations for commentary on hostilities around the world had ties to the Pentagon, defense-related private companies or both. John Dingell (D-MI), pictured, asked the FCC in May to look into whether failure to disclose the relationship was a violation of sponsorship identification rules; now word is out that the FCC is doing so. Dingell and others are concerned that analysts had a business interest in providing favorable coverage of military operations abroad in Iraq and Afghanistan, and that their business ties should have been revealed so consumers could make a judgment on how much weight their expressed opinions deserved.

RBR observation: This inquiry hangs on the same regulatory peg as payola, product placement, pay-for-say, secretly-sponsored product demonstrations/reviews and unattributed video and audio news releases.

Kelly Communications still above water
The owner of WOAM-AM & WPMJ-FM in Peoria IL flatly states that Kelly Communications is not headed into bankruptcy. The company is taking a breather to try to deal with an untenable situation brought about by five predominant factors, according to owner Bob Kelly. They include: (1) Flat income over a 5-year period; (2) drastic increases in operating expenses over this same period; (3) lack of ability to obtain refinancing; (4) inability to produce the operating funds; and (5) no indication that this situation is going to improve in the near future.

RBR observation: Kelly is worried that others will find themselves in a similar situation. Companies paid a certain price to enter markets. If revenue growth was plugged in as a factor in meeting covenants, and the growth fails to show up...well, enough said. He thinks television, newspaper and other media sectors face the same vulnerability.

New Empire for Power Broadcasting
A buyer has been found for another station at another troubled company. The restructuring of On Top Communications will take a big step forward with the sale of KNOU-FM, licensed to Empire LA, a town about 40 miles down the Mississippi from New Orleans. The buyer is Power Broadcasting Company, headed by Rick Moreno. He'll pay $6M for the station. The sale is being steered through bankruptcy court by chief restructuring office Brian C. Rice.

$265K KYTM-FM Lufkin TX (Corrigan TX) from Tammy L. Pearce to Family Worship Center Church Inc. (Jimmy Swaggart). Promissory note. Buyer is non-profit entity. [FCC file date 9/10/08]

N/A WMSX-AM Boston MA (Brockton MA) from Hispanic Broadcasters Inc. (Antonio Molina) to Hispanic Broadcasting Asset Trust (Susan Schlesinger). Reposession. Buyers owed over $1.263M principal, $500K interest and over $73K in taxes. [FCC file date 9/11/08]

Roger Hedgecock goes daily with Radio America
Radio America announced the addition of The Roger Hedgecock Show, live and daily from flagship station KOGO-AM in San Diego. The long-time KOGO-AM host will make his debut 1/5/09 in the 6p-9p ET, Monday-Friday time slot. Hedgecock's program replaces The Michael Reagan Show, which has anchored that spot for the last five years. We spoke to Reagan on his future plans.

WSJ Radio Network launches new daily report
The Wall Street Journal Radio Network announced the launch of "Watching Your Wallet," a daily one-minute program with no network inventory hosted by WSJ Radio's Patrice Sikora and Jennifer Kushinka focusing on family finance will begin airing 10/13. The Radio Network will utilize its unique resources to provide financial analysis to make sound money decisions.

Z100 adds Ryan Seacrest
to middays in NYC
Z100, New York's Hit Music Station, welcomes Ryan Seacrest to middays at the station. "On Air with Ryan Seacrest" debuts Monday, October 13th and will be heard 10am-1pm, Monday through Fridays. The announcement was made by Tom Poleman, Z100's SVP Programming, and Sharon Dastur, Z100's Program Director.

WPGC-AM to announce new programming
CBS Radio DC blown up the inspirational talk format on WPGC-AM (1580) "Heaven 1580" and has replaced it with a simulcast of its Urban WPGC-FM. "The simulcast is not permanent, but we are not prepared to announce the direction with which we will be going," GM Sam Rogers tells RBR.

CRN and Salem sign deal
CRN Digital Talk Radio and Salem Broadcasting have resigned their agreement that allows CRN to syndicate Salem talent to satellite and cable television in HD audio. The agreement precedes a two year agreement and extends the relationship until 2011.

NABOB disputes Arbitron's PPM analysis
Arbitron was quick to issue a press release yesterday showing how well Urban and Spanish stations had done in the first PPM reports for eight new markets. Not so, said NABOB, which accused Arbitron of issuing a "deceptive press release." But NABOB Executive Director Jim Winston says ad buyers won't be fooled -and are likely to press for "huge reductions" in ad rates at top Urban stations based on PPM ratings.

Study uncovers consumer online ad preferences
iPerceptions, a provider of web-focused Voice of Customer analytics, announced the results of a new study that delivers accurate insights into which types of online ads are popular with consumers. iPerceptions collected user-generated feedback from over 14,000 visitors to leading media sites during the month of August to paint a detailed picture of consumer ad preferences based on their likelihood to click on different types of online ads.
The study found that, despite current buzz around video ads, marketers do not need to spend on fancy interactive ads in order to reach consumers. In fact, consumers are most likely to click on simple text ads (25% of respondents).

Bailout continues to trump election
Of course, in a way, the financial crisis feeds directly into the national conversation about the 2008 election, but in terms of direct media coverage, the travails on Wall Street are getting more play than the battle between John McCain and Barack Obama. According to the Project for Excellence in Journalism charts for 9/29/08-10/5/08, it was bailout 45%, election 34%. Even cable followed suit, despite its track record of going into election tunnel-vision-mode. Radio news picked up that baton and ran with it, however, with a near perfect reversal of the overall media newshole allocation, giving the election a 45%-35% win over the bailout. The discovery of the remains of Steve Fossett managed a two-share on the overall chart; no other story topped 1%.

Ban bonanza in California
Proposition 8 is hot. Real hot. The California ballot initiative seeks to limit marriage to a union between a man and a woman, or in other words, it seeks to ban same-gender marriage. This highly-charged issue is leading to big bucks being poured into the coffers of activist groups, and through them into the media. According to the Associated Press, the top group supporting the ban has raked in $25.4M, while those in favor of legal same-gender unions have pulled in $15.8M. The anti group has more on hand, both are planning $10M in media buys ASAP, and the lagging group expects to have caught up in funding by election day 11/4/08.

RBR observation: It just goes to show that the political category doesn't necessarily depend on battleground races.

We want to
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Send your comments and a photo to [email protected]

Sell honesty
First things first: I am no big fan of Arbitron. At least not the diary system that exists in the majority of the country's rated markets. I discontinued a contract with the ratings giant after spending thousands of dollars to watch ratings that varied by huge spreads book-to-book...That's why I have to stand in Arbitron's corner on PPM.

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Dan DeBruler
General Manager
Christian Listening Network
996 Helen Street
Fayetteville, NC

Only On RBR.com
Election Weekend Sales
Typically, they will be
cutting new spots daily

Media Markets & Money
New Empire
For Power Broadcasting a buyer has been found for another

Washington
Business Report
FCC appends
Time to amendment period
A trio of media companies
was successful in asking

Re-org announced
at ESPN Radio
Mo Davenport, ESPN Radio SVP/GM, announced three promotions designed maintain content and programming momentum allowing the network to present the best of both to its listeners.
Pete Gianesini, formerly Senior Director, Programming, has been promoted to the new position of Senior Director -- Radio Content & Operations, while Mike & Mike in the Morning Producer Scott Shapiro is named Program Director and Peter Ciccone is promoted from News Editor to Program Director - News Content.

New in Tucson
Journal Broadcast Group - Tucson Operations has named Dewayne Jones as Director of Sales. He joins the operation from Augusta, GA, where he served as General Sales Manager at WAGT-TV.

Rockin' in Omaha
Jim Spector has been named Program Director at Journal's heritage rock station KEZO-FM "Z-92" Omaha. Spector is a rock radio veteran with stops in Austin, Texas; Virginia Beach, and Philadelphia. He joins Z-92 from WWUZ and WWVB-FM/WYSK in Fredericksburg, VA.

Minority tax credit still on back burner?
The National Association of Black Owned Broadcasters notes in its latest newsletter that support is growing for reinstatement of the minority tax certificate, am instrument which encourages holders of broadcast licenses to sell to eligible entities. Bills are before the Senate, from Bob Menendez (D-NJ) and the House, from Charles Rangel (D-NY) and Bobby Rush (D-IL). However, it doesn't appear that much has changed in their status lately, and Congress is heading home to campaign. Is this matter going to be left up to the 111th Congress? Stay tuned.

Somebody still
has some money
If you assumed that private equity has dried up because of the current turmoil in the financial markets, think again. Dow Jones Private Equity Analyst reports that US private equity firms raised $222.6 billion through the first three quarters of 2008 and are on pace to set an all-time record this year. What's hot? Investing in private equity funds created to buy distressed firms.