RBR's Daily Morning Epaper

Volume 23, Issue 82, Jim Carnegie, Editor & Publisher

Wednesday Morning April 26th, 2006

From the NAB in Las Vegas

Martin defends
indecency enforcement
Appearing at NAB2006 in Las Vegas, FCC Chairman Kevin Martin defended the Commission's crackdown on indecency, insisting that there's been no change in how the FCC interprets what is or is not indecent. "I'm not sure when people say they want more guidance that it is that different than what it was in 1978 or '79," Martin said. He noted that the recent indecency fines have been for three or four of the same words cited in the landmark case from the '70s over a broadcast of George Carlin's "Seven Words You Can Never Say on Television." But while he insisted that the FCC hasn't changed its rules, Martin said public outcry over indecency is growing. "We have seen a significant increase in the number of complaints," Martin said. And it's not just because Internet-based campaigns make it easier to generate tens of thousands of complaints in short order. The Chairman said the number of shows being complained about is also increasing. Speaking a day after Jack Valenti had asked broadcasters to help promote a campaign to inform parents about the V-Chip and other blocking devices, Martin indicated that won't be enough. "There are a significant number of TV sets out there that don't have a V-Chip," he said. Left unsaid is that the V-Chip applies only to TV and there is no similar device for radio.

Chairman says satellite radio should stay national
Under questioning by Bonneville International CEO Bruce Reese at NAB2006, FCC Chairman Kevin Martin indicated that the Commission will continue to block satellite radio companies from introducing local content. "Its service is fundamentally different from local terrestrial radio," Martin said, noting that satellite radio couldn't provide vital local emergency information in an event such as Hurricane Katrina. "We don't want everything to become a national service," Martin said.

Just how much public service is going on?
Broadcasters have made a big deal out of promoting the amount of public service they do, but the message clearly isn't getting through to Washington, DC. In his appearance at NAB2006, FCC Chairman Kevin Martin told his audience of radio and TV broadcasters that they should compile data on what they do to serve their local communities to help the Commission assess just how well they are serving the public interest. That request seemed to surprise NAB Joint Board Chairman Bruce Reese, CEO of Bonneville International, who noted that the NAB had been doing precisely that for years and that the tally ran to the billions of bucks each year. "It seems to be greeted with skepticism at the government and local level," Reese said of the annual report. He then said broadcasters may need to have an independent firm compile the data to add credibility. Chairman Martin suggested that additional detail would also be helpful.

The future is in beating the iPod
"You have to find a way to be better at what you do than the iPod does," was the advice for radio broadcasters from Wall Street Journal technology columnist Walter Mossberg as featured speaker at Tuesday's Radio Luncheon at NAB2006. HD Radio and the new HD-2 channels are great, Mossberg said, "but you have to figure out how to beat the iPod." Mossberg's strongest criticism, however, was directed at the RIAA and its record company members for blocking advancement of new services for consumers. He said RIAA is suing consumers and imposing new restrictions on the use of its members' music at a time when it should be letting the marketplace decide what direction it should be going in to let consumers dictate when and how they want music delivered.

Indecency, round two
Indecency was also a major topic as the other three FCC commissioners appeared at NAB2006 a few hours after Chairman Kevin Martin. Asked to justify the fact that broadcasters are subject to far greater regulation than cable and satellite, Commissioner Jonathan Adelstein said broadcasters have a special role and shouldn't be carrying indecency when children might be in the audience. "I don't think that's too much to ask," he said. Commissioner Michael Copps said he was disappointed that two years after NAB held its summit on responsible broadcasting, there are yet no guidelines. Copps also insisted that the last batch of FCC indecency rulings included a "corpus of reasoning" that should make the Commission's indecency standards clear to broadcasters. "I wish we were talking about the positive impact that media can have," said the FCC's newest member, Debi Tate, but she noted that the role of a regulator is more often to deal with controversy. She noted that children watch an average of three hours of television a day and said broadcasting affects everyone. Some dissension in the Commission was evident when talking about the ownership rules sent back to the FCC by the Third Circuit Court of Appeals in Philadelphia. Copps and Adelstein, the Commission's two Democrats, said they wanted to get moving on new rules right now, but noted that the FCC's agenda is set by its Republican Chairman.

Ten win Crystal Radio Awards
Winners of the 2006 NAB Crystal Radio Awards were announced yesterday at NAB2006 during the Radio Luncheon. The winners are KLVI-AM Beaumont, TX; KZBR-FM, San Francisco, CA; KOZT-FM Ft. Bragg, CA; WHAI-FM Greenfield, MA; KSL-AM Salt Lake City, UT; WHUR-FM Washington, DC; KUDL-FM Kansas City, MO; WILV-FM Chicago, IL; KUZZ-FM Bakersfield, CA and WJON-AM St. Cloud, MN.

Radio News ®

Martin re-upped
This is the no-brainer of the week. President George W. Bush has nominated Kevin Martin for another term at the helm of the FCC. He has been Chairman since succeeding Michael Powell. Martin said, "I am honored to have been renominated for a second term as Commissioner and Chairman of the Federal Communications Commission. I thank President Bush for the privilege to continue to serve in his Administration. This is an exciting time of growth and innovation in the communications sector. I look forward to working with the Administration, Congress, my fellow Commissioners and the talented staff at the FCC to provide all Americans with the services and opportunities offered by the best communications system in the world today."

RBR observation: Martin has not even really gotten a chance to start his term - - he's been working with a 2-2 party-line split on the 8th Floor. The third Republican, who presumably will allow Martin to at long last tackle thorny policy issues which follow that split, has been held hostage by Sen. Jay Rockefeller (D-WV). This should give Martin time to go to work.

Oaktree withdraws Interep takeover bid
Rep firm Interep is safe for now - - a bid to buy the company at a price which the Interep board found to be on the low side has been taken off the table. The board said it carefully considered the offer, but in addition to disagreeing with the price, was not pleased either by the timetable. In a statement, the company said, "It is understandable why Oaktree Capital Management demanded an immediate agreement - - to acquire the company at a discount. In the months since signing the non-binding letter of intent, there have been a number of favorable business developments at the company, which Interep believe increases the valuation of the company and strengthen its financial position. As one example, Interep expects to realize shortly $8 million in cash from the sale of its investment in Burst Media and the company will look at its alternatives for use of the money, including paying down the bonds. Interep is exerting great care and diligence to ensure this value is reflected as the company considers strategic alternatives. Management and the Board of Directors remain willing to explore all options -- including a deal with Oaktree Capital Management or other prospective financial partners - - as we maintain our focus on achieving improved performance through stronger operations and excellent client service."

RBR observation: Interep Board you turned away the hound again but it will be a continued up hill battle in the near future and that future is today. Interep does not have the complete media depth of Clear Channel Katz rep firm or the financial pockets. Interep Board RBR recommendation is bring in outside experts to fully evaluate your options for total media growth and less dependent on selling national spot. Interep was built on creative ideas going back to McGavren & Guild rep firm days and those ideas have to flow again at full speed ahead with a solid proactive business plan and do it now.

Lehman Brothers looking for weak radio performances
Two of radio's biggest groups are getting set to report on Q1 2006, and analysts at Lehman Brothers are not expecting it to be pretty - - not at the top of the food chain or anywhere else. Well, that's not entirely true. It thinks Clear Channel may be able to use black ink thanks to finally getting to comp its performance to the early throes of last year's Less is More kick-off. That could bump it up as much as 3% - - modest, but better than the prospects at CBS, facing depressed industry revenue reports, increased expenses and extra drain on advertising revenue due to competition with the Winter Olympics. The crystal ball shows a backloaded year for the industry, as it begins to gather steam fueled by what figures to be a hot and heavy political mid-term season.

RBR observation: As always, political will be hit and miss, depending how safe a given incumbent is. However, there seem to be a lot fewer safe incumbents this year than in any since 1994. And radio will be a much more congenial tool for the more constricted budgets of folks running for the House of Representatives.

PTC points its army toward Capitol Hill
The Parents Television Council and other like-minded organizations are urging their membership to pick up the phones today and call their representative in the House and both of their senators. The objective: Enacting six-digit fines for indecent broadcasts. PTC's L. Brent Bozell points out that the House has twice passed such legislation only to see it wither on the Senate's vine. Although Senate Commerce Committee Chairman Ted Stevens (R-AK) has opted to give Jack Valenti's parental control educational campaign a chance before risking a court confrontation, the FCC's recent rulings have prompted a court battle anyway, which is what has the PTC up in arms. Bozell wrote, "Two years after Janet Jackson exposed her breast to a national television audience that included millions of children - - two years after Congress vowed to safeguard the airwaves against Hollywood's sleaze - - two years after Hollywood pledged to clean up its act nothing has changed. And now the broadcast networks have actually filed suit against the FCC demanding the right to use the F-word and S-word on television at any hour!" In his call to the phones, Bozell said, "Nothing less than our children's future is at stake."

RBR observation: Broadcasters are not asking for the right to blanket the airwaves with "s-bombs" and f-bombs." As we understand it, in a relatively narrow action, they are asking the courts to free them from excessive liability for the inadvertent on-air slip-up a la the Bono Golden Globes incident, or one of numerous incidents when athletes have been caught off-color by a live mic - - exactly the way the FCC explained it a few years back. (Hey - - maybe we should make professional sports teams liable when professional athletes utter audible expletives in front of an audience full of children!) As for the future of our children, isn't this argument a little overwrought? Maybe you personally know dozens of children who have been turned into ravening drooling beasts by their exposure to the Janet Jackson incident. All we know is that at our house, it was witnessed by our daughter, six going on seven and in the first grade at the time, and she understood enough to giggle at it. Since then, she has demonstrated exemplary behavior and compassion, is a straight A student, frequently honored at her school. We'd have to say that beyond any shadow of a doubt the incident has had no impact on her future whatsoever, unless she happens to some day have a stake in a broadcast license for a station which inadvertently broadcasts one of the bomb words.

CEO Steve Smith upbeat about Journal performance
...and the stock price reflected it yesterday. While experiencing a 29.5% drop in Q1 net earnings from Q1 '05, Journal Communications Chairman and CEO Steve Smith was upbeat about Journal's performance and moving forward: "We were pleased with the achievements of our broadcast group in the first quarter of 2006. A significant increase in operating earnings in television was driven by a particularly strong performance at our three news stations; excellent Olympics revenues and a solid start to the year in Las Vegas. Further, despite a 3.5% decrease in radio revenue, strong cost controls resulted in a flat earnings performance in the quarter. Our three new television stations exceeded expectations for both revenue and operations earnings. We attribute this success to three things-First, the intense planning of our transition team; the strong people we have in place; and our focus on sales and improving our news products."
| Read More... |

Wall Street Media Business Report TM

Journal reports lower Q1 net; will spin off subsidiary
Journal Communications announced Q1 financial and a repurchase plan of up to fiveM additional shares of its class A stock. The Q1 results include the operations of three television stations whose purchased 12/5/05 and that unless otherwise indicated, all comps are to Q1 '05.
| Read More... |

Ad Business Report TM

American Telecom launches
national campaign for "Pay N' Talk"
IDT Corp.'s American Telecom Services, a leading provider of Digital Cordless Multi-Handset Home phones bundled with telecom services, announced the launch of a nationwide retail campaign supported by Brooks/Eckerd direct to millions of homes. The program will be promoted in approximately 1,900 Brooks/Eckerd drugstores this spring and fall and will be supported by national advertising from ATS, as well as in-store front-end displays in all 1,900 Brooks/Eckerd drugstores. Bruce Hahn, CEO of American Telecom, stated, "We are pleased about Brooks/Eckerd commitment to the program to launch in 1,900 drugstores nationwide. Our strategy is to become the leading provider of consumer telephones bundled with communication services distributed through major U.S. retail mass market channels."

Martin wins 20M
BF Goodrich account
BF Goodrich has moved its 20M account to the Martin Agency Richmond, VA, following a review that included finalists Carmichael-Lynch, Minneapolis, and Richards Group, Dallas. The incumbent Doner, Southfield, MI declined to participate. Martin's work on the account will begin right away with planning and print creative, according to AdAge. The agency found out about the win Friday, just days after it was notified it won Discover Financial's 80 million account. BF Goodrich Brand Director Kaz Holley and his team showed up to surprise the agency with the news, pulling up with two BF Goodrich-sponsored NASCAR cars and champagne.

Media Markets & Money TM

Close encounter outside Wilkes Barre
Joseph R. Reilly has gotten the keys to the FM mate for his WHLM-AM Bloomsburg PA. His Columbia FM now owns WKAB-FM Berwick, which, according to Dick Kozacko of Kozacko Media Services, he acquired for 1.1M from Robert Moisey's 4M Broadcasting. Both towns are located on the I-80 corridor considerably west of the market's main population centers.

Washington Media Business Report TM

Strange bedfellows redux
The FCC's derailed 2003 attempt to deregulate media ownership rules managed to bring together organizations in opposition which rarely see eye to eye on other topics. The possibility that the new House telecom bill update will threaten Internet network neutrality is having the same effect. Timothy Karr of Activist group Free Press said "Network neutrality is the First Amendment of the Internet. It ensures that the public can view the smallest blog just as easily as the largest corporate Web site by preventing companies like AT&T from rigging the playing field for only the highest-paying sites and services. Net neutrality is the reason why the Internet has driven economic innovation, democratic participation, and free speech online - - and the public demands Congress not dismantle it." He was echoed on the other end of the political spectrum by Craig Fields of Gun Owners of America, who said, "Gun Owners of America opposes any attempt to limit or curtail political speech. Without statutory network neutrality, there is nothing to prevent big telecom companies from injecting political bias into the very skeleton of modern communications. If the telecoms believe they can frame opposition to their power grab as a liberal or anti-free-market attack, they are sadly mistaken." Both are signed on to an organization called SavetheInternet.com Coalition.

RBR observation: RBR/TVBR makes its living on the Internet, and we are proud of the fact that we are independently owned and beholden to no media groups large or small. It's bad enough we have to try to get past spam-blockers every day. We will be extremely unhappy if all of a sudden we're getting so much as a yellow flag from the Verizons of the world. Every time would-be cyberspace traffic controllers shout out the phrase "property rights," we should shout the phrase "right of way" right back at them. Just like broadcasters, these companies use the wires and spectrum of the United States at the pleasure of the citizens, not the other way around.

Other member organizations
Besides Free Press and Gun Owners of America, SavetheInternet.com Coalition is comprised of Professors Larry Lessig of Stanford University and Tim Wu of Columbia University, "right-of-center" Instapundit blogger Glenn Reynolds, MoveOn.org Civic Action, Consumers Union, Consumer Federation of America, Public Knowledge, Common Cause, the American Library Association and U.S. PIRG.

NAB Day Time Planner

	The following will be attending the NAB. Call or email to make your appointment in advance.

EQUIPMENT Les Kutasi, Sales Manager; Stainless, Booth #C2447, 215-631-1313, [email protected] BROKERS Todd Fowler/David Reeder/Gene Ferry, American Media Services, Bellagio, 843-972-2200, [email protected], [email protected], [email protected] Cliff Gardiner, Clifton Gardiner & Company, 303-758-6900, The Wynn Hotel, [email protected] Andy McClure/Dean LeGras, The Exline Company, The Wynn Hotel, 415-479-3484, [email protected] Frank Boyle, Frank Boyle & Co., LLC, Hilton Grand Vacations Villa, 702/765-8300, [email protected] Gordon Rice, Gordon Rice Associates, 843-884-3590, Treasure Island, [email protected] John L. Pierce, John Pierce & Company LLC, Mirage Hotel, 859-647-0101, cell 859-512-3015, [email protected] Jamie Rasnick, John Pierce & Company LLC, Mirage Hotel, 859-647-0101, cell 513-252-1186, [email protected]	Dick Kozacko/George Kimble, Kozacko Media Services, The Wynn Hotel, office 607-733-7138, cell 607-738-1219, [email protected] Elliot Evers/Brian Pryor/ Adam Altsuler/Tim Beach Media Venture Partners, LLC, 415-391-4877, [email protected], [email protected] Larry Patrick/Greg Guy/Susan Patrick Patrick Communications, Bellagio, 410-740-0250, [email protected] Glenn Serafin, Serafin Bros., Aladdin Hotel, office 813-885-6060, cell 813-494-6875, [email protected] Larry C. Wood, Wood & Company, Inc., Alexis Park, office 513-528-7373, cell 513-225-5100, [email protected]. LAWYERS Gregg P. Skall Womble Carlyle Sandridge & Rice, PLLC 202-857-4441, Wynn Hotel [email protected] SALES Regional Reps Corp., Broadcast Sales Representatives, Stuart J. Sharpe, 216.535.3975, [email protected], Gail F. Lawing, 404.504.7030 [email protected],

Entertainment Media Business Report TM

CC Radio adds HD-2 to 20 more markets
Clear Channel Radio today announced 20 more markets are set to air HD digital multicasts. The additions are part of a larger launch begun in January. The new channels will also be made available at the company's HD2 streaming site here as they go live.
| See the list here |

Greater Media announces HD-2 formats in Jersey
Greater Media announced details of its HD2 multicast channels in the New Jersey market. "WDHA LIVE" is the name of the station's new HD 2 station. With the rich rock history and the archive of live and studio performances that WDHA has at its disposal, this will be a great complement to its main format. "Over Easy" will be the name of WMGQ-FM's HD 2 station. This unique side channel will offer an acoustic channel, featuring singer-songwriters, along with folk and unplugged versions of a variety of artists, ranging from Eric Clapton to Joni Mitchell.

Mark Cuban to get Sirius talker
Sirius Satellite Radio announced Mark Cuban, former Broadcast.com owner and outspoken owner of the NBA's Dallas Mavericks, will host a wide-ranging weekly talk show. "Mark Cuban's Radio Maverick" will debut this summer and air Sundays from 12 - 2 pm ET exclusively on Sirius Stars, channel 102. Cuban will take calls from listeners and talk with prominent guests as part of a weekly discussion on sports, business and everyday life.

Cox Radio launches
HD-2 channels in Atlanta, Tampa
Cox Radio announced the launch of seven new HD2 formats, which correspond with Cox Radio's current analog and HD1 radio station formats serving the Atlanta, Georgia and Tampa, Florida markets. In Atlanta, WSB-FM, an Adult Contemporary station, will broadcast a new Soft Standards HD2 sub-channel; WBTS-FM, a Rhythmic Top 40 station, will broadcast a Pop Top 40 HD2 sub-channel; WALR-FM, an Urban Adult station, will broadcast an Adult Hip Hop HD2 sub-channel; and WSRV-FM, a Classic Hits station, will simulcast Cox Radio's AM750 News/Talk format on its HD2 sub-channel. In Tampa, WSUN-FM, an Alternative Rock station, will broadcast an All Grunge Rock HD2 sub-channel; WPOI-FM, an 80's Hits station, will broadcast a Modern Adult HD2 sub-channel; and WWRM-FM, an Adult Contemporary station, will broadcast a Contemporary Christian HD2 sub-channel. Cox Radio expects more than 50% of its stations to be upgraded to HD by June.

Transactions

262M WNWO-TV Toledo OH; WSTM-TV Syracuse NY; WACH-TV Columbia SC; KXRM-TV Colorado Springs; KGBT-TV Harlingen-Weslaco-McAllen-Brownsville TX (Harlingen TX); WPBN-TV/WTOM-TV Traverse City-Cadillac (Traverse City, Cheboygan); WFXL-TV Albany GA; WLUC-TV Marquette MI; and KTVO-TV Ottumwa IA-Kirksville MO (Kirksville MO) from Raycom Media Inc. (Paul H. McTear Jr.) to Barrington Broadcasting LLC (Paul M. McNicol et al). Cash/stock. Includes non-compete. Deal also includes WSTQ-LP Syracuse and KXTU-LP Colorado Springs. Raycom retains televsion stations in Toledo, Columbia SC and Albany GA. WNWO-TV is NBC affiliate on Ch. 24; WSTM-TV is NBC affiliate on Ch. 3; WACH-TV is Fox affiliate on Ch. 57; KXRM-TV is Fox affiliate on Ch. 21; KGBT-TV is CBS affiliate on Ch. 4; WPBN-TV is NBC affiliate on Ch. 7; WTOM-TV is NBC affiliate on Ch. 4; WFXL-TV is Fox affiliate on Ch. 31; WLUC-TV is NBC affiliate on Ch. 6; KTVO-TV is ABC affiliate on Ch. 3; WSTQ-LP is UPN affiliate on Ch. 14; and KXTU-LP is UPN affiliate on Ch. 57. [File date 4/10/06.]

2.1M WLSZ-FM Jackson TN (Humboldt TN) and WHMT-AM Humboldt TN/WLSQ-FM Dyer TN from R. Darrell Boyd, Boyd Enterprises to Forever South Licenses LLC (Kerby E. Confer, Donald J. Alt, Christine Hillard et at). 100K escrow, 800K non-compete, balance in cash at closing. Superduopoly between WLSZ-FM and WYNU-FM Milan, WTJS-AM/WTNV-FM Jackson TN. LMA 4/15/06. [File date 4/10/06.]

Stock Talk

Small change day for radio stocks
A very tame day for radio stocks, as most moved in the low digit range or not at all. In fact, it was rare to see three zero movers in one day-Salem, SBS and Saga.

Radio Stocks

**Here's how stocks fared on Tuesday**
Company	Symbol	Close		Change	Company	Symbol	Close		Change
Arbitron	ARB		34.41	+0.21	Hearst-Argyle	HTV		22.75	-0.23
Beasley	BBGI		10.23	+0.37	Journal Comm.	JRN		11.74	+0.76
CBS CI. B	CBS		25.37	+0.56	Lincoln Natl.	LNC		56.74	-0.11
CBS CI. A	CBSa		25.37	+0.52	Radio One, Cl. A	ROIA		7.45	+0.08
Citadel	CDL		9.44	-0.12	Radio One, Cl. D	ROIAK		7.41	+0.07
Clear Channel	CCU		27.99	+0.16	Regent	RGCI		4.32	-0.04
Cox Radio	CXR		12.74	-0.15	Saga Commun.	SGA		9.06	unch
Cumulus	CMLS		10.59	+0.12	Salem Comm.	SALM		14.84	unch
Disney	DIS		27.00	-0.27	Sirius Sat. Radio	SIRI		4.87	+0.06
Emmis	EMMS		12.22	-0.29	Spanish Bcg.	SBSA		5.08	unch
Entercom	ETM		26.47	-0.04	Univision	UVN		34.68	+0.02
Entravision	EVC		8.23	-0.01	Westwood One	WON		9.62	+0.11
Fisher	FSCI		42.99	+0.12	XM Sat. Radio	XMSR		22.23	+0.31
Gaylord	GET		43.96	-0.05	-	-	-	-	-

Bounceback

Send Us Your Opinions We want to
hear from you.
This is your column, so send your comments and
a photo to [email protected]

In yesterday mornings RBR 04/25/06 #81 the report that RAB Pres. Gary Fries says posting (verifying that a schedule was run as it was bought-delivery and guarantees included) is coming to radio brought this question from Rich Potyka. We are sure that Rich is not alone so your feedback is welcome, share in the Voice of Radio.

"Fries comments on "posting" -- as a newcomer precisely what does he mean by "posting" --- put the rate card up online or what ??? As usual the "answer" generates many more questions. Regarding the call to support so called HD radio. Again what is the return on investment and how do we pay the huge fees for this very questionable technology? The NAB is quick to embrace a most exclusive technology with-out looking at other potential options. With reduced audio quality much the less reduced coverage don't cut it for western stations that cover +/- 100 mile markets. FM HD seems to do OK in a 20 mile radius which would leave us with a pop count of 10% of analog FM. So pay more to get less ?? Does the NAB have any clue about the country beyond the dense east coast ? Seems not. "

Rich Potyka
KRDE 94.1 Phoenix

Below the Fold

Wall Street Media Business Report
Journal reports lower Q1
Will spin off subsidiary...

Ad Business Report
American Telecom launching
National campaign for "Pay N' Talk"...

Media Markets & Money
Outside Wilkes Barre
Reilly has gotten the keys to the FM mate...

Washington Media Business Report
Strange bedfellows redux
Possibility new House telecom bill update will threaten...

Stations for Sale

25,000w FM Station
Low price opportunity, profitable station w. huge upside. Small town, NEast by interstate, county seat.
595K. Lv. msg. @ 781-848-4201 or
email [email protected]

April RBR/TVBR
Digital Magazine

In this months Issue
We ask GMs and CEOs
about issues new NAB CEO
David Rehr should be tackling;
we also interview Rehr.

Magna Global's Brian Wieser
talks about the viability of
mobile video for ad placement.

We visit Indie/Classic Alternative KBZT-FM San Diego; and go OneonOne with B-101's Jerry Lee.

Read RBR/TVBR in 2 simple steps:
1.Create a simple account with Zinio and download the Zinio Reader.
2. You can then download the
April Issue of RBR/TVBR

RBR Radar 2006

Radio News you won't read any where else. RBR--First, Accurate, and Independently Owned.

NAB 2006 Report
NAB Pres. David Rehr calls broadcasters to action
Called on broadcasters to go on the offensive, rather than defending the status quo. Building on a strong foundation, he said, digital TV and digital radio are about to change our industry. Rehr took another swipe at the satellite guys declared that "the FCC needs to pay more attention to the obscenity and vulgarity that has found its home on satellite radio." Total details in
04/25/06 RBR #81

RAB Pres Gary Fries says
posting is coming to radio
Noting that many in the audience might never have expected to hear him say it, that some sort of posting is inevitable for radio and needed. Noted that posting was the subject of a recent "raw" discussion at an RAB board meeting, but in the end everyone agreed that posting was coming to radio. Total details in
04/25/06 RBR #81

Multimedia in evidence at NAB/RTNDA gatherings
Let there be no doubt that the Internet has come of age. Google VP Marisa Mayer drew a distinction between what Google does, aggregating and ranking news stories, and traditional news gathering. Blogs a "news-like medium," but saying people expect a level of fact checking from "hard news." Total details in
04/25/06 RBR #81

Smulyan ups the ante in bid for Nats
Major League Baseball is said to be close to selecting the ownership group for the long-time orphaned franchise, the Washington Nationals. Emmis Communications honcho Jeff Smulyan has been working to counteract his out-of-towner status by partnering with numerous local investors, and has further been able to structure an investor lineup in which 25% of the equity would be held by African Americans. Now he's going another step further.

RBR observation: Reading the quote of community stands out - "It is important that the Washington Nationals' organization is involved with every community across the District." RBR wonders if this style of community involvement goes for local radio. Lot of passion in those words and Smulyan would be wise to spread it around - Local, community involvement, words like that then - would have never produced his words that radio dropped the ball and satellite waxed radio's PR butt would never get up to the batters box. Think about it - the passion of that quote. Jeff, Radio needs this style of passion and commitment too.
04/25/06 RBR #81

Quarterly results couch
sessions kick off
Maybe the broadcasters forced to trot out their quarterly dog and pony show should appear before a different kind of analyst - - one less reliant on a calculator and more in line with either Dr. Phil or Joyce Brothers - - someone who can at least buoy their sagging spirits since the bank accounts appear to be beyond immediate help. It must be particularly trying to keep waiting for the advertising business turnaround that just does not want to come.

RBR observation: Hey, talk to Doctor RBR. The prescription is simple. While you may not agree with FCC Commissioner Jonathan Adelstein's stance on payola, but he is dead on accurate when he describes broadcasting's greatest strength. In three words, it is Local-Local-Local. The nation is swirling with offerings that are highly fragmented and therefore forced to be nationally oriented. Broadcasters are the only electronic media which can pull together a significant number of citizens at any given point. It's time to emphasize that power. And find new ways to use it. Read the entire analysis in
04/24/06 RBR #80

Roth hits the exit door
"I was booted, tossed, and it's going to cost somebody," said David Lee Roth Friday morning as he confirmed to the (few) fans of his radio show that CBS Radio has pulled the plug on his effort to fill Howard Stern's shoes - - and indicating that he intends to sue if he doesn't get his full four million bucks contract payment.

RBR observation: It was only a question of when the pink was going to be handed down. Come on get real - Roth on radio - CEO Joel Hollander putting Roth on the air would have been better off airing Roth's audio from the video rock tour because that was what he bought. Now the real business question - what has this cost CBS in money since radio is only a margin business to upper big honcho Les Moonves. See Radar right column for Publisher observation. Enough said - period - Next.
04/24/06 RBR #80

Sun-Times blasts CBS Radio
And it is Justified
In a column by Robert Feder took CBS and CEO Joel Hollander to task for his recent moves in Chicago. Excerpts: "CBS Radio rearranged the deck chairs on the Titanic Monday, replacing the general managers of its two most rapidly sinking radio stations in Chicago. The same incompetents responsible for foisting Shane 'Rover' French on 'Free FM' talker WCKG-FM (105.9) and the 'Jack FM' format on oldies WJMK-FM (104.3) apparently hope they can buy themselves time by shuffling the suits in the stations' front offices. It's unlikely that any of the moves will do much to reverse plummeting sales at either station...Editor's note rest is not pretty.

RBR observation: Bottom line-Add up what O&A where billing before they were fired; the revenue loss of Stern; the blowing up of CBS FM for the Jack format. How much has CBS Radio blown in NYC? A bunch. And Feder says Chicago isn't much better.

Publisher note: Spent the week (4-17) in NYC and saw the bus boards on Roth and then tuned him in. Comment is - NO Comment and by Friday 4-21 - Ta Dum - Roth got Pinked or you are fired. But there were numerous questions asked for my observation on the entire issue of the CBS cluster in NYC and a betting line is on when and who will walk the plank for all this revenue loss as Les Moonves only sees radio as a margin business. Not hitting the margins in NYC someone or more than one has got to take a bullet for cluster Fx0! Again my observation was to all that asked was - No Comment for now as I wait for Moonves next conference call. RBR keeps telling ya and all wonder why radio is in a heck of a hess.
04/21/06 RBR #79

NAB boss David Rehr
sees shift in mission
The organization's role in Washington is changing. Rather than being a lobbying group, he said the focus is now on advocacy-what he called a "positive offense" to make the broadcast industry's case on Capitol Hill and with regulatory agencies. Rehr outlined four important values and the new mission statement of NAB with his vision for success in the overall broadcast industry. Rehr's four points can be reviewed in Washington Media Business Report column
04/21/06 RBR #79

CCU slammed by Fund
Influential institutional investor California Public Employees' Retirement System (CalPERS) listed six companies - - out of over 1.8K which it reviewed - - that it says are underperforming due to corporate governance issues. Here's the rap on Clear Channel: "Clear Channel Communications, a diversified media company that owns hundreds of radio stations, has excessive executive compensation and severance agreements, and lost 42% in stock value over the past five years compared with a 26% decline for industry peers."

RBR observation: The key to see how this plays out - excessive and the lost of value over the past five years, which RBR has also documented, is surely to make the balance of this year interesting to say the least.
04/20/06 RBR #78

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