Volume 21, Issue 21, Jim Carnegie, Publisher
Monday Morning February 2nd, 2004

Radio News ®

Indecency Hits Super Bowl
When they called it from the broadcast booth that the second half would produce raw naked packed football the play-by-play the announcers were correct. But the half time entertainment of Janet Jackson produced by CBS's - MTV did not get MVP or Most Valuable Performance. Ms. Jackson bared a part for the world to see that, well, it was pierced. Justin Timberlake was dancing with Janet Jackson and at the conclusion of their dance number reached over and ripped off part of her top. (photo from AP) Here's the official statement release by the NFL Executive Vice President Joe Browne regarding the Super Bowl halftime show: "We were extremely disappointed by elements of the MTV-produced Halftime show. They were totally inconsistent with assurances our office was given about the show. It's unlikely that MTV will produce another Super Bowl halftime." Editor's Note: Many yelling indecent broadcast on the local level with FCC handing down fines galore we wonder what Viacom head Mel Karmazin is waiting for this morning? The entire world saw this one. Quick, someone call Chairman Powell and get a figure on a potential indecency fine. If a :30-second spot was costing $2.8 Million … that sounds about right.

Pixar exit invigorates Eisner opponents
Last week's break-up of talks to have Disney continue its lucrative movie deal with Pixar has provided new ammunition to ex-Disney directors Roy E. Disney and Stan Gold, who are trying to build shareholder support to oust Disney CEO Michael Eisner (pictured).
| Full Story Click Here
|

Consumers Union blasts
FCC crossownership evidence

One of the arguments the FCC used in justifying its relaxation of media cross-ownership rules was a diversity index, which weighted various forms of media in terms of their use by the public for news and information. The Consumers Union and the Consumer Federation of America are saying that the FCC's weighting system was seriously flawed. In particular, it undervalued newspapers and overvalued radio and the Internet. | Full Story Click Here |


Q4 reports off to a good start
Most radio companies won't report their Q4 2003 financial results until the second half of this month, but the reports from broadcasters so far - - mostly newspaper companies that own TV groups - - have been pretty good. RBR observation: Signs of a recovery.
| Full Story Click Here
| RBR Observation |

CWA gets behind Kerry
Communications Workers of America have endorsed Sen. John Kerry's (D-MA) bid for the Democratic presidential nomination. The union also made it abundantly clear that it wants to replace the current White House occupant. "It is becoming increasingly clear that Senator Kerry is the strongest candidate to carry the party's banner and reclaim the White House from an administration that listens solely to the corporate and wealthy elites at the expense of working families," said CWA President Morton Bahr. He concluded, "CWA members know John Kerry as a leader who has stood with us time and again, fighting consistently for the interests of American working men and women during his 19 years in the Senate. We are proud to stand with him today, and we will mount a vigorous grassroots effort on behalf of John Kerry's nomination and for his election as President in November."

Tauzin ready to hang 'em up?
It looks like the rumors that Billy Tauzin (R-LA) has been job-hunting are true. Numerous sources report that the veteran high-powered Congressman is ready to find a less stressful line of work after fighting a serious recent illness. He has turned down an offer to head up the MPAA, taking over for its long-time head Jack Valenti (a job he is said to think may be offered to outgoing Senator John Breaux (D-LA). He is considering a similar post with PhRMA. a pharmaceutical industry organization. Democratic presidential candidate Wes Clark was quick to jump on that possibility, and other Dems have joined in the potshot contest, charging conflict of interest following Tauzin's role in pushing the new prescription drug bill through Congress. As Chairman of the powerful House Energy and Commerce Committee, Tauzin has been in a position to forward issues of concern to broadcasting companies.


Adbiz ©

Experian Consumer Direct picks
Ocean Media for planning, buying

LA-based Ocean Media announced that Experian Consumer Direct, a division of Experian, has selected them to handle offline media planning and buying. The selection of Ocean Media marks the return of a successful partnership between the two companies. In 2003, media planning and buying for Experian Consumer Direct was handled by Corinthian Media in New York. | Full Story Click Here |

Anti-PETA ad airs in Honolulu, Duluth, Montana
This week, as folks in Honolulu, Duluth, MN and Montana see PETA's anti-meat TV spot, a competing ad also hits the airwaves, via the Center for Consumer Freedom. It sites PETA's "darker side," including the group's documented connections to arson and domestic terrorism. | Full Story Click Here |

Dr. Joy Brown working with new sponsors
On 2/12, WOR Radio Networks' Dr. Joy Browne will broadcast her nationally syndicated show live from the legendary "Rosie O'Grady's" restaurant in NYC. This sold-out event is sponsored by Dial-a-Mattress and Pajama-gram, new sponsors to the Dr. Joy Browne show. Also in February, Dr. Joy hosts the "5-Minute Wrinkle Challenge Sweepstakes" sponsored by the makers of Jeunesse, the 5 minute anti-wrinkle cream. Listeners will submit their "look good, feel good" stories and pictures of the week, and Dr. Joy will choose six lucky listeners who will each win a $1K Spa Package of Jeunesse products. For more information, go to www.wor710.com. Dr. Joy Browne broadcasts live from CKLW-AM Windsor/Detroit on 3/12 in support of its annual fundraiser which benefits "W.E. Care For Kids", a local Detroit organization that raises funds for pediatric care programs to buy equipment designed specifically for the needs of seriously ill children. Last year, "W.E. Care For Kids" raised over $300K.

ATTENTION SALES STAFFERS: Quiznos alert!
This news items may be of interest to sales types. The FCC has just issued an official citation to Quizno's Subs operations in several locations, warning them to stop sending unsolicited faxes advertising their business. | Full Story Click Here |


Media, Markets & Money tm

Ripp-off? NRG expands in Wausau
Mary Quass's NewRadio Group, which kicked into high gear with a Marathon purchase late in 2002 have now struck a deal which will amplify on the only Arbitron-related part of the former deal, Wausau-Stevens Point WI. They'll be getting News-Talker WFHR-AM and Classic Rocker WGLX-FM from Bliss Communications, according to a report in the Stevens Point Journal. No price was reported. NRG (pronounced "energy") already has a foursome in the area: WDLB-AM, WOSQ-FM, WYTE-FM and WLJY-FM. NRG's GM, Wayne Ripp, will take over the new stations, according to the Journal, but doesn't anticipate wholesale changes beyond that.

Jefferson-Pilot reports today
Jefferson-Pilot Communications is only a small part of Jefferson-Pilot Corp., and an even smaller part following a recently announced $200M acquisition by the insurance company (1/15/04 RBR Daily Epaper #9). Nevertheless, its radio and TV stations are nice cash flow generators for Jeff-Pilot and we'll find out today how they did in Q4, along with the rest of the company. Wall Street is looking for earnings per share to be up 21% to $0.91. Jeff-Pilot managers will wait until tomorrow to conduct their quarterly conference call with analysts.


Career Ads

The Management Opportunity of 2004
Hubbard Broadcasting's - KS95 in the Twin Cities is looking for an exceptional General Manager to run one of the best known and legendary stations in the country. Are you a strategic and visionary leader?

Sales Manager - KPNT
St. Louis' Alternative Rock Powerhouse THE POINT (KPNT) is seeking a new sales leader. Is it you? Do you love Alternative rock, Howard Stern? Would your sales staff walk through burning buildings for you? Excellent opportunity.

Editor's Note: These are two great radio companies. Plus, they are good to their people. Click on Radio Careers for details.

Need to find that career minded radio or television executive, use our Career Ad section read by 15,000 media executives every morning. To place your marketing position click on submit jobs and follow the easy instructions.

Find Your Radio Career
Post Your Companies Job Openings
Find Your TV Career
Post Your Services Offered
Questions? Contact me [email protected]


Your current copy of RBR is
a click away

Dear Media Executive:
Now get the Total 2004 Forecast By individual Mediums as RBR goes One-On-One with each Major Ad Bureau Chief. Down Load RBR Solutions Magazine TODAY! Get the Facts!
First - Fast - and Accurate.

Why wait for the snailman?



Washington Beat

Let's call the whole thing off
The FCC and Roy Henderson have decided not to bother determining if Henderson misrepresented facts to the Commission, nor whether he lacked candor in dealing with the Commission, regarding his CP for WTCU-FM in Fife Lake MI.
| Full Story Click Here
|

Pre-emptions and rescheds in the House
Fred Upton's (R-MI) House Telecommunications and the Internet Subcommittee was set to convene a session at 10:00 AM Wednesday, 2/4/04, called "The Current State of Competition in the Communications Marketplace." Wednesday is still the date, but the time has been moved back by three hours and change. The session will be held in the Rayburn Building at 1:15 PM instead. At press time, a list of panelists was still being finalized. This does not figure to be the last word from the subcommittee on communications. It is set to markup HR 3717 "The Broadcast Indecency Enforcement Act" in the near future, and before it does that, most of the members seemed intent on sinking their talons into the flesh of some real live broadcast executives and FCC commissioners. Neither the markup nor the second indecency hearing are on the schedule yet. Stay tuned.


Ratings & Research

Eastlan makes gains in Gainesville
Radio ratings giant Arbitron's main competition Eastlan is going head-to-head in another market, thanks to a contract with small market radio group Dix Communications. The new battlefield will be in the Gainesville-Ocala FL market, which Eastlan says is Arbitron rank #86. The new market marks Eastlan's first foray into top-100 territory. Editor's Note: To understand the radio ratings services of yesterday, today and tomorrow watch for RBR's Solutions Magazine March report on The History of Ratings Companies - Pros and Cons. | Full Story Click Here |


Programming

KGO-AM talker Bernie Ward challenges O'Reilly
On his radio show last week, KGO-AM talker Bernie Ward basically called Westwood One Talker/Fox News icon Bill O'Reilly a liar. Ward quoted O'Reilly as saying in 3/03 that "if the US invades Iraq and they are 'clean' (no weapons of mass destruction), then he (O'Reilly) will apologize to the nation and not trust the Bush administration again." Ward says O'Reilly has done neither and is asking his listeners to e-mail O'Reilly and ask him to now apologize.

Reba hosting CMA Awards
CBS announced that a familiar face will be hosting the "39th Annual Academy of Country Music Awards" show, to be broadcast live May 26th. Reba McEntire will be back for the third straight year to host the three-hour awards show.


Monday Morning Shakers & Makers

Deals: 12/29/03-1/2/04
The week that straddled the 2003/2004 was almost perfectly divided in style. The first part of the week belonged exclusively to radio deals, mid-range at that. The second part, effectively only one day (January 2), featured a handful of small radio deals, and two giant TV deals. The bottom line: The first $1B trading week since the big freeze over the summer! Both of the TV deals were complicated, and values are TVBR estimates.

12/29/03-1/2/04

Total

Total Deals

18

AMs

13

FMs

20

TVs

13
Value
$1,007,595,000
For Complete Charts, Click Here |

Radio Deal of the Week
Bismarck, Gainesville tie for the lead
| Full Story Click Here
|
TV Deal of the Week
Freedom, Scripps go multi-market
| Full Story Click Here
|

Transactions

$8,000,000 WLUS-AM/WTMN-AM, WYNY-AM/WKZY-FM, WTMG-FM, WHHZ-FM, WRGO-FM, WDJY-FM & WRZN-AM Gainesville-Ocala FL (Gainesville, Cross City, Williston, Newberry, Cedar Key, Trenton, Hernando) from 6 Johnson Road Licenses Inc., a subsidiary of Pamal Broadcasting Ltd. to Jablamco LLC.

$600,000 KWOM-AM Watertown MN from Watertown Radio Inc. to WM Broadcasting Inc.

$4,875 KHDR-FM Lenwood CA, KHRQ-FM Baker CA. 30.3% of The Drive LLC.

N/A KIXF-AM Baker CA & KIXF-FM Lenwood CA from Highway Radio Inc. to KHWY Inc.

| More Info Click Here
|


Stock Talk

Slower growth sends stock prices down
Growth in the nation's gross domestic product slowed to 4% in Q4, disappointing Wall Street and sending stock prices lower. The Dow Industrials dropped 22 points, or 0.2%, to 10,488.

Radio stocks did a bit better. The Radio Index moved up 0.151, or less than 0.1%, to 278.297. There were few big movers. Univision fell 4.4% after being downgraded by Morgan Stanley. Its largest TV affiliate group, Entravision, rose 2% as the day's best performer. Disney fell 1.8% on news of Pixar walking away from talks on extending their movie deal.


Radio Stocks

Here's how stocks fared on Friday

Company Symbol Close Change Company Symbol Close Change

Arbitron

ARB

$43.53

-$0.53

Jeff-Pilot

JP

$51.34

+$0.24

Beasley

BBGI

$17.64

+$0.04

Journal Comm.

JRN

$19.22

+$0.22

Citadel CDL $18.95 -$0.05

Radio One, Cl. A

ROIA

$18.44

+$0.02

Clear Channel

CCU

$44.99

-$0.16

Radio One, Cl. D

ROIAK

$18.43

+$0.11

Cox Radio

CXR

$23.27

+$0.12

Radio Unica

UNCA

$0.75

+$0.05

Cumulus

CMLS

$20.31

+$0.23

Regent

RGCI

$7.00

+$0.02

Disney

DIS

$24.00

-$0.45

Saga Commun.

SGA

$18.20

+$0.13

Emmis

EMMS

$25.84

+$0.24

Salem Comm.

SALM

$26.50

+$0.04

Entercom

ETM

$47.61

-$0.57

Sirius Sat. Radio

SIRI

$2.70

-$0.06

Entravision

EVC

$10.47

+$0.20

Spanish Bcg.

SBSA

$11.57

-$0.09

Fisher

FSCI

$49.85

-$0.25

Univision

UVN

$35.37

-$1.64

Gaylord

GET

$29.03

+$0.01

Viacom, Cl. A

VIA

$40.57

-$0.31

Hearst-Argyle

HTV

$27.33

+$0.17

Viacom, Cl. B

VIAb

$40.30

-$0.27

Interep

IREP

$2.20

+$0.04

Westwood One

WON

$30.55

-$0.45

International Bcg.

IBCS

$0.02

unch

XM Sat. Radio

XMSR

$23.42

+$0.69


Have a news story you'd like to share? [email protected]

CLICK HERE to unsubscribe to RBR's Daily Epaper

RBR Audiocast

02/02 - Get the feel of what you are scrolling down and reading ...Listen to this morning's AudioCast and the Dean Scream...
Hold On To Your Hair!

Click Here to Listen

with Bob DeCarlo'
"In Da Morning"


Bounceback

We want to hear from you.
This is your column, so send your comments to [email protected]


Upped & Tapped

Gary Nolan tapped as PD of KRWM-FM Seattle
Infinity's WLTE-FM and WXPT-FM Minneapolis OM/PD Gary Nolan has moved on to become PD of Sandusky;s KRWM-FM Seattle, replacing Tony Coles, who resigned last year to become RVP/Programming for CC Radio/Oregon.


Stations For Sale

Europe is Knocking...
Two Opportunities!!!
#1 Get in on the ground floor with the launch of an 8-station digital group based in London, with coverage throughout southern England. Government protected format and licenses. Already on the air.
#2 Program Syndicator with unique format aimed at the huge vacation market. Major station deal in place. Others in the works. Coverage throughout Europe. Music partner is one of the UKs biggest. Both parties are seeking financial support in the $1 million range in return for equity participation.
Contact: Larry Grimes, President, W.B. Grimes & Company, (301) 253-5016; [email protected]

7 Station
Regional Cluster

Excellent Cash Flow in Far Northwest
Cliff at Clifton Gardiner & Co (303)758-6900
[email protected]

Rated Market AM
10KW expanded band AM. Could be move-in to top 25 market.
Cliff at Clifton Gardiner & Co (303)758-6900
[email protected]




RBR Radar 2004
Click on these issues for Radio News you won't read any where else. RBR--First, Accurate, and Independently Owned.

RBR Media Alert
Watch Out any email with a .bat, .cmd, .exe, .pif, or .scr extension
Is likely bad news in a plain brown wrapper. As many in the professional world learned from the Slammer worm, which hit in January last year and infected every single public e-mail address in the world. Known commonly as the MyDoom worm, or the W32.Novarg.A@mm mass-mailing worm. RBR/TVBR Recommendation: Click and Print these security tips:
01/30/04 RBR #20

Network, group execs were not invited to House session
Three specific entities were mentioned at least once during the session: NBC Television Network, Fox Television Network and Clear Channel. Many members of the House of Representatives took the occasion of the House Energy and Commerce Committee's Subcommittee on Telecommunications and the Internet session on broadcast indecency held 1/28/04 to express their dismay that nobody from the offending broadcast companies was present to explain themselves. There was, of course, a good reason for their absence. None were invited. RBR observation: The subcommittee should have been reading TVBR - - then they might have gotten the right people into the Rayburn Building's Green Room. Should be yet another standing-room only day in the press gallery. Damn! (Can we say that?) : 01/30/04 RBR #20

Citadel scores $100M Memphis buy
Al Kaneb's Barnstable Broadcasting is exiting Memphis with a $100M check from Citadel Broadcasting after 19 years in the market. RBR observation: Who will buy out whom? On Citadel stock dive see below. : 01/30/04 RBR #20

Citadel's stock plunges
on Ted Forstmann sale
Less than 6 months after selling its IPO on Wall Street, Citadel is back with an add-on stock offering. The planned Forstmann Little stock sale clearly unnerved investors, who may well be wondering why Ted Forstmann is moving so quickly to cash out a big chunk of his investment in Citadel. The stock was only up 6.8% from last summer's IPO at $19 per share prior to the SEC filing for the 28M-share sale. News of the filing sent the stock price down yesterday, back below the IPO price. With its sale of nearly 20M shares, Forstmann Little will cut its voting stake in Citadel from 78% to around 58%. RBR observation: What's the rush? Does Ted know something we all don’t? Keep one eye on this puppy. 01/28/04 RBR #19

San Antonio hearing wild affair
In a sometimes rowdy four hour hearing that had to be gaveled back into order several times, the five Federal Communications Commissioners got an earful about issues ranging from sex and violence on television to the perils of corporate ownership of radio and television stations. At one point Commissioner Jonathan S. Adelstein asked Steve Giust, General Manager of the Univision about the portrayal of women in the noxiously risqué "novellas," or Mexican soap operas. "I think we have some very lovely women on our TV station," Boos and catcalls from the crowd. RBR observation: Ole! Maybe some kind of FINE should have been laid down at this meeting. Next time invite Bubba ‘The Love Sponge’.
01/28/04 RBR #19

Roy Disney takes anti-Eisner fight
to shareholders
Ex-Disney directors Roy E. Disney and Stan Gold are turning up the heat on Disney CEO Michael Eisner. They're asking Disney shareholders to vote "no" on re-electing Eisner and three other directors - - former Sen. George Mitchell, Judith Estrin and John Bryson. RBR observation: The small guys roll with the punches but the big guys throw them. The real fight bell is set to ring on March 3rd and in the city of 'Rocky Balboa' - Philadelphia. 01/28/04 RBR #19

FCC puts the $755K squeeze on Clear Channel’s Bubba ‘The Love Sponge’
It seems Bubba just chews through any rope leash and for it another blockbuster indecency action, the FCC has levied a total of $755K in fines on Clear Channel Communications for multiple indecency infractions emanating from its Bubba the Love Sponge show. Four Florida stations and 26 counts were cited in an assessment which also included $40K for public file problems. Editor's Note: No wonder Clear Channel and all their resources are crying for some set standard by FCC. Standard is needed but also put a chain leash on him. Or do as Infinity did with O&A! Next!
01/28/04 RBR #18

Happened on Hollander’s Watch
Andy Schuon pushed Out at Infinity
Some would say Schuon was ultimately responsible for the failings of WNEW-FM New York, post-Opie and Anthony. But he can't take all the blame. There were many involved and it seemed like a great idea. We had done a feature on it, in fact. However, WNEW is still a fish flopping out of water, with its latest incarnation being yet another attempt to grab share from WLTW-FM and WPLJ-FM in that market. Editor's Note: We think it should re-launch as an Indie Rock hybrid for "Hip New Yorkers," but that's a different story. Or, go All Christmas.. Now! RBR observation: The Sykes-Hollander relationship bears some resemblance to the Karmazin-Sumner Redstone dynamic. It's not nearly as complicated. 01/28/04 RBR #18

Clear Channel calls for clear indecency standards
On the same day, see above, it was hit with a $755K fine mainly for broadcasting indecent material, called for the FCC and the industry to come up with reasonable and clear indecency standards. RBR observation: Amen, brother!
01/28/04 RBR #18


Contacts
MANAGEMENT
Publisher, Jim Carnegie
[email protected]
VP/GM, Assoc. Publisher, Ken Lee
[email protected]
VP, Cathy Carnegie
[email protected]
Admin. Assistant, April McLynn
[email protected]

EDITORIAL
Executive Editor, Jack Messmer
[email protected]
Managing Editor, Dave Seyler
[email protected]
Senior Editor, Carl Marcucci
[email protected]
Reporter, Bob DeCarlo
[email protected]

SALES
Account Executive, June Barnes
[email protected]

Other Links
State Associations
Issue Archives
©2004 Radio Business Report/Television Business Report, Inc. All rights reserved.
Radio Business Report 6208-B Old Franconia Rd. Alexandria, VA 22310