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Volume 24, Issue 244, Jim Carnegie, Editor & Publisher
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Monday Morning December 17th, 2007
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| WGA Strike Central: Day 43 |
 Letterman may be set to settle
"The Late Show with David Letterman" could be returning to the air with new shows and WGA writers as soon as early January. The union told its members over the weekend that it is ready to negotiate with individual production companies, rather than the AMPTP, where talks have broken down. The change of stance is to be publicly announced today by the union and the first company expected to ink its own deal is Letterman's Worldwide Pants, which produces not only his show for CBS, but also "The Late Late Show with Craig Ferguson," which follows immediately afterward on the Eye net. "Because we are an independent production company, we are able to pursue an interim agreement with the guild without involving CBS in that pursuit," said a statement from Worldwide Pants CEO Rob Burnett. If Letterman cuts his own deal with the union - likely to include "most-favored" status to incorporate whatever terms eventually come out of the WGA contract negotiations with AMPTP, his return to the air will put pressure on other late night talk hosts to cross picket lines and return to work without their writing staffs. There had already been rumors that
Jay Leno and Conan O'Brien were likely to go back on the air at NBC in January, regardless of whether the strike is settled. TVBR's story below spells out analysis from Carat on how dramatically ratings for the late night shows have fallen since they began airing only reruns. AMPTP has played down the union's move to bargain with individual production companies. The alliance said it still speaks for the studios, individually as well as in a group. While Worldwide Pants and some other small production companies may seek to cut individual deals with WGA and get back to work, there has been no indication that any of the major players - GE/NBC, Walt Disney/ABC, CBS, News Corporation/Fox, Time Warner and Viacom - are going to break ranks and enter into individual contract talks.
WGA files unfair labor practices complaint
The Writers Guild of America has filed an unfair labor practices complaint with the National Labor Relations Board claiming studios violated federal law by breaking off negotiations. The WGA demanded in a statement Thursday that AMPTP return to the bargaining so the six-week strike can be ended. WGA said it was "a clear violation of federal law for the AMPTP to issue an ultimatum and break off negotiations if we fail to cave to their illegal demands." It also said it was irresponsible for AMPTP to break off talks in the midst of the holiday season "with thousands of our members and the membership of other unions out of work." Negotiations broke off 12/7 when AMPTP refused to bargain further unless the union dropped a half dozen proposals that included the authority to unionize writers on reality shows and animation projects. AMPTP responded with its own statement: The "baseless, desperate NLRB complaint is just the latest indication that the WGA's negotiating strategy has achieved nothing for working writers."
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Latest details on WGA strike impact on programming
Carat Programming announced it would also like to see both parties get back to the negotiating table and work out a fair and equitable agreement as soon as possible. From a recent newsletter: "Our main goal is to deliver the GRPs we purchased in the upfront. We continue to pay close attention to maintaining the integrity of our clients' delivery as it pertains to overall strength of schedules. Low-rated unscripted makegoods are not a substitute for expensive quality scripted programs pre-empted by a strike. To date, only late night scripted talk/variety shows have been directly impacted. As we head into midseason 2008, a prolonged strike will severely impact the primetime programming landscape as the supply of scripted originals will disappear. Many fall series are down to one-four episodes each. A handful of popular shows including NBC's The Office and Heroes are down to zero. Speaking of NBC, we now have some additional detail regarding their interim midseason schedule. Noteworthy is its scheduling of Medium, which will now air on Mondays at 10 p.m. replacing Journeyman. Other schedule highlights include a remake of syndicated fight franchise series, American Gladiators. Currently NBC lacks a defined Sunday schedule. ABC is expected to release its updated midseason schedule by the end of the week. The network has quite a bit of scripted programming in its midseason arsenal. Besides eight episodes of Lost (which will probably launch in February), the network also has unaired episodes of three new series: the dramas Eli Stone and Cashmere Mafia and comedy series Miss/Guided."
| See latest Jan/Feb tentative schedule |
 Writers strike still impacting
late night ratings
Carat Programming's Broadcast and Video Beat reports ratings for the late night talk shows continue to be depressed since the writers strike began 11/5. "As we first reported four weeks ago, NBC is feeling the pain in particular with its flagship The Tonight Show with Jay Leno tumbling by 40% in the key Adult 18-49 demographic versus a year ago. As The Tonight Show goes, so goes the rest of the NBC lineup -Late Night with Conan O'Brien and Carson Daly (whose Last Call went back into first run telecasts recently) are down similar enormous percentages." Some are blaming NBC's mid November decision to run very old episodes of the Leno show (some as old as 14 years) as part of the reason for the drop, but Tonight's ratings tanked the first two weeks of the strike with, er, fresh reruns and have never recovered. Over at CBS, Late Show with David Letterman is down significantly but not as much as Leno, if for no other reason than Dave has less far to fall, and fewer people watched his original telecasts in the first place. Letterman's companion show Late Late Show with Craig Ferguson is also down in ratings, but at a lesser clip than Dave.
Curiously, ABC's Nightline is not getting much traction despite remaining in first run (its writers are not affected by the strike). Although it got a slight bump in household ratings, it is down on Adults 18-49 and flat in the keys news demographic of Adults 24-54. Still, Nightline's relative stability as lead in to Jimmy Kimmel Live is probably helping that program shed fewer viewers. On the weekend, Saturday Night Live reruns are down significantly considering we're comparing it to a year ago period that already contained two reruns out of four telecasts. Fox's Mad TV and Spike Feresten have also lost viewers but are weathering the strike better than NBC. Now six weeks in, rumors are heating up that one of the major talk show hosts is going to go back into production, perhaps breaking the strike logjam and allowing other hosts to follow suit despite the continuing job action. During the 1988 strike, it took Johnny Carson nine weeks to return to first run shows (sans writers at first). David Letterman, who followed Carson in the lineup back then, returned seven weeks after that.
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TV News ®
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 Scripps names post-split bosses
You already knew that Richard Boehne would become President and CEO of The E.W. Scripps Company (newspaper/TV) after its cable networks are spun off into a new stand-along company. Now Boehne has named his corporate management team. As expected, Bill Peterson will continue as Sr. VP of the television station group. Likewise, Mark Contreras will continue as Sr. VP of newspapers and Doug Stern as President of United Media, the character licensing and feature syndication business. William Burleigh, former CEO and currently Chairman of the board of the pre-split company, will continue as Chairman of the board for the newspaper/TV company as current CEO Ken Lowe becomes Chairman, President and CEO of the spin-off, Scripps Networks Interactive. Joining Boehne at HQ of the new E.W. Scripps Company will be: Mary Denise Kuprionis as VP/Corporate Secretary, who adds new duties as Chief Ethics and Compliance Officer; Lisa Knutson, who adds Sr. to here current title of VP of Human Resources; Douglas Lyons as VP/Controller; Roger Carson as VP/Chief Information Officer; and Michael Hales as VP/audit and Compliance.
With Lowe as Chairman of the board at Scripps Networks Interactive, in addition to being President and CEO, Nicholas Paumgarten will become the company's lead independent director. John Lansing will continue as President of Scripps Networks, the cable TV network division. Lowe's management team will also include: Joseph NeCastro as Exec. VP and CFO; Anatolio Cruz III as Exec. VP, chief Legal Officer and Corporate Secretary; Mark Hale as Sr. VP of Technology Operations and Chief Technology Officer; Jennifer Weber as Sr. VP of Human Resources; Lori Hickok as Sr. VP of Finance; Chad Boydston as VP/Controller; and Terry Smithers as VP of Audit and Compliance. Scripps has said that it expects the split to take place by mid-year 2008.
Broadcasters, associations strike back
at micromanaging from DC
No one knows yet what will be in the Proposed Rulemaking on Broadcasting Localism that FCC Chairman Kevin Martin will unveil at tomorrow's meeting, but based on what's been leaking from the Commission into press reports, broadcasters are worried that Martin wants to bring back the bad old days of excessive regulation and micromanaging by Washington bureaucrats.
| Read More |
TVBR observation: If the rumors about what Chairman Martin has up his sleeve are true, he is seriously disconnected from reality. Rather than enhancing "localism," some of the proposals would serve to force many of the remaining "mom & pop" owners to consider selling out of the business.
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Political Portal: 12/10/07-12/14/07
The highlight of the week was the return engagement of the five FCC commissioners on Capitol Hill. They visited the House Subcommittee on Telecommunications and the Internet the prior week, and this time met with the Senate Commerce Committee (which has been operating without a specific communications subcommittee for several years now). The senators in attendance were basically unanimous in expressing their desire that FCC Chairman Kevin Martin postpone a vote on eliminating cross-ownership restrictions in the top 20 markets at the 12/18/07 open meeting. He said he anticipates having the vote anyway. John Kerry (D-MA) promised a congressional response. He did not say what that response would be. The usual leader of consolidation opposition, Byron Dorgan (D-ND), was not present.
The GAO issued a report criticizing the lack of government leadership on outreach for the DTV transition, which drew an immediate 99-page response from the FCC, largely built around years worth of technical and legal decisions underpinning the transition. But the Democratic commissioners agreed with the GAO that outreach was lacking. A hearing on minority ownership which was to have been held in the House Judiciary Committee was postponed. One of its major attractions was a scheduled appearance by Dan Rather. Look for the event to be rescheduled early next year.
 Political spending by medium
Local television will be the media venue of choice, as per usual, according to the assessment of Wachovia Capital Markets as Marci Ryvicker and associates. WCM looked at the spending patterns of the last two contests and provides projections going forward for a wide variety of media. Television, in its various forms, is expected to grab 67.6% of political business. Radio is expected to be ahead of 2004 in terms of revenue and share. It will come in ahead of 2006 in terms of raw dollars but its share is expected to decrease. It will be the third venue of choice, behind direct mail. Newspaper, internet and outdoor have yet to take hold in the politcal arena, looking at shares of 2.3%, 2.3% and 1.4% respectively.
| Year-by-year, medium-by-medium breakdown |
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Ad Business Report TM
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Heinz launches "Top This TV Challenge Take Two"
Due to an outpouring of creative videos in its first "Top This" TV Challenge, Heinz announces "Top This TV Challenge Take Two," giving consumers who did not make the final cut another opportunity to create the next great Heinz Ketchup commercial. The first challenge generated more than 4,000 qualified entries and 5.2 million online views. Like the last contest, the lucky winner of "Top This Take Two" will receive 57,000 and, if not 15 minutes, at least 30 seconds of fame when the commercial airs nationally. Consumers can uncap their creativity and the many ways they top their favorite foods with Heinz Ketchup by first submitting their 30-second TV commercials on YouTube and then registering their submission on TopThisTV.com between 12/14, and 3/14/08. A panel of judges will narrow down the entries to 10 semi-finalists, which will be revealed on TopThisTV.com 4/7/08, when consumers will have a chance to vote online for their favorite spot. Additionally, four runner-up ads will air on national TV and the creators each will receive 5,700 bucks.
 Heineken taps Wieden + Kennedy
Heineken has moved creative chores on its Heineken lager and Heineken Premium Light brands from Berlin Cameron to Wieden & Kennedy, Portland, without a review, according AdAge. The two brands spent a combined 73.4 million through the first nine months of 2007, according to TNS Media Intelligence. The story said Heineken informed Berlin last week it was moving the business to Wieden-the agency Berlin had actually beat after a review that ended in March. That review was led by former Heineken USA President Andy Thomas, who left in October. Wieden actually quit that review before it concluded, leaving Berlin for the pick, said AdAge.
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| Washington Business Report TM |
Another pirate walks the plank
Marckenson Bazile is a member of the budget fleet on FM buccaneers. His operation on 100.9 MHz at Port St. Lucie FL (part of the Fort Pierce market) this past August was unlicensed. Bazile freely admits that. He says he was unaware that a license was required, which of course is no excuse and is not a viable way to duck the traditional 10K fine. Nor was the educational rather than for-profit nature of his broadcasting. He did, however, cooperate with authorities and was able to produce documents proving that 10K would produce a financial hardship. The FCC let him off with a 1,450 fine.
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| Cable Business Report TM |
Comcast sues NFL Network
 It's back to court for the ongoing battle between the NFL Network and cable giant Comcast. In the latest round, Comcast has filed suit, claiming that the NFL Network is violating its carriage contract with Comcast by urging viewers to switch from its service to satellite competitors DirecTV and Dish Network, both of which carry the NFL Network on basic tiers. Comcast carries the network owned by the NFL teams, but only on a special sports tier. The NFL Network had sued after Comcast moved it from its basic digital tier to the sports tier. A New York judge ruled in favor of Comcast and the NFL Network is currently appealing that ruling.
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| Ratings & Research |
Target, Wal-Mart, Macy's top list of favorite holiday ads
TV ads are catching shoppers' attention in creative ways this year, from an Advent calendar filled with top toys to a bevy of celebrities decorating a department store for Christmas. According to a survey conducted for the Retail Advertising and Marketing Association (RAMA) by BIGresearch, the top three holiday television advertisements this year come from Target, Wal-Mart and Macy's. Retailers rounding out consumers' top 10 favorite holiday TV ads include Best Buy, Sears, Kohl's, Kmart, JCPenney, Publix and Meijer. Though the results were consistent among most demographics, Best Buy overtook Target for the number one spot in the sought-after 18-24 year-old category. Additionally, Staples made the top ten list for men, Big Lots made the top ten list for women, and Zales' ads were in the top ten for young adults (18-24).
In addition to adding a bit of holiday cheer to TV programming, some consumers admit that holiday ads send them to certain stores and websites. According to the survey, 17.1% of consumers said that their favorite holiday advertisement persuaded them to shop with a specific retailer. An additional 31.5% of consumers said they already planned to shop there. Overwhelmingly, young adults were much more likely than other shoppers to say that holiday television ads sent them to specific stores (27.3% vs. 17.1%). Though shoppers remember their favorite television commercials, they admit that other advertising can be more effective in helping them determine where they will shop for holiday gifts. More than one-third of shoppers said that coupons (35.2%) influenced their decision about where to shop. Consumers also said they are persuaded by newspaper inserts (30.4%) and word of mouth (22.7%).
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| Monday Morning Makers & Shakers |
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Transactions: 10/29/07-11/2/07
There was somewhat of a rebound in trading as October faded into November. The week hailed the return of at least one transaction on the television side as a network affiliate in Texas got set to change hands. A pair of regional cluster transactions fueled the action on the radio side. The value of the 29 radio stations in the mix was just a hair above that of the one TV station.
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Total
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Total Deals
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12
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AMs
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11
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FMs
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18
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TVs
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1
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| Value |
51.828M
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| Complete Charts |
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Radio Transactions of the Week
Indiana group fetches 11.1M
| More... |
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TV Transactions of the Week
Nacogdoches, Longview and Tyler too
| More... |
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| Stock Talk |
Inflation scare sinks stocks
A jump in the government's Consumer Price Index increased concerns about inflation and had Wall Street traders worried that the Fed might stop cutting rates as a result. The Dow Jones Industrial Average dropped 178 points, or 1.3%, to spend the weekend at 13,340.
TV stocks dropped with the market. Media General fell 4.8%. Journal Communications was off 4%.
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| Stocks |
Here's how stocks fared on Friday
| Company |
Symbol |
Close |
Change |
Company |
Symbol |
Close |
Change |
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Acme
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ACME
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2.60
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-0.19
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Lincoln Natl.
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LNC
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57.23
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-1.37
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Belo
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BLC
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16.61
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unch
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LIN TV
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TVL
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11.33
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+0.28
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| CBS CI. B |
CBS |
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26.15
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-0.43
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McGraw-Hill
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MHP
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45.42
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-0.05
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| CBS CI. A |
CBSa |
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26.15
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-0.39
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Media General
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MEG
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20.84
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-1.05
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Clear Channel
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CCU
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34.75
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+0.39
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Meredith
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MDP
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55.92
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-0.84
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Disney
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DIS
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33.01
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+0.25
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News Corp.
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NWS
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21.14
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-0.30
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Emmis
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EMMS
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4.46
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unch
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Nexstar
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NXST
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8.30
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+0.13
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Entravision
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EVC
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7.25
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-0.12
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Ion Media
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ION
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1.30
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unch
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| Equity Media |
EMDA |
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2.83 |
+0.13 |
Saga Commun.
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SGA
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6.37
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-0.17
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Fisher
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FSCI
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36.25
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-1.21
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SBS
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SBSA
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1.85
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+0.02
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Gannett
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GCI
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35.30
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-0.17
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Scripps
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SSP
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43.66
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-0.27
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Gen. Electric
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GE
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36.91
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-0.67
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Sinclair
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SBGI
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9.25
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-0.26
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| Google |
GOOG |
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689.96
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-4.09
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SWMX
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SWMX
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0.01
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+0.01
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Gray
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GTN
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8.37
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-0.02
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Time Warner
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TWX
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16.89
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+0.11
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Gray, C1. A
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GTNa
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9.05
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+0.23
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Tribune
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TRB
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32.57
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-0.22
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Hearst-Argyle
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HTV
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21.80
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-0.37
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Wash. Post
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WPO
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776.30
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-1.80
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Journal Comm.
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JRN
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8.51
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-0.35
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Young
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YBTVA
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0.95
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-0.23
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Bounceback
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 We want to
hear from you.
This is your column, so send your comments and
a photo to tvnews@rbr.com
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Below the Fold
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Cable Business Report
Comcast sues NFL Network
It's back to court for the ongoing battle...
Ad Business Report
Heinz launches
"Top This TV Challenge Take Two"...
Washington Business Report
Another pirate
Walks the plank and he is Marckenson Bazile is a member of the budget fleet on FM buccaneers...
Ratings & Research
Top list of favorite holiday ads
Target, Wal-Mart, Macy's results were consistent among most demos, Best Buy overtook Target...
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Stations for Sale
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 Market your Stations For Sale
in our daily epapers.
Contact
Jim Carnegie
jcarnegie@rbr.com
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TV Station Auction
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WTVE-TV 51 / DTV25
Philadelphia DMA
Full-Power Commercial Independent. Licensed to Reading, PA. Carried on nearly 2 million households
The auction of WTVE will take place at 9:30 AM EST on January 3, 2008 in the United States Bankruptcy Court for the Eastern District of Pennsylvania, 900 Market Street, Philadelphia, PA 19103.
Qualified bids are due on December 21, 2007. The minimum bid price is $12 million and a refundable deposit of $200,000 is due on that date. A copy of the Sale Motion, Bidding Procedures and/or Bidding Procedures Order may be obtained by written request:
J. Scott Victor
Senior Managing Director
(610) 940-5802
jscott.victor@nationalcity.com
Michael J. Gorman, Associate
(610) 940-3615
michael.gorman@nationalcity.com
Ryan C. Cole, Analyst
(610) 940-2619
ryan.cole@nationalcity.com
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TV Media Moves
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Sundance names Director/Integrated Sales
Tara Marshall has been named Director, Integrated Sales, Sundance Channel. The announcement was made by Kirk Iwanowski, Sundance Channel Executive Vice President, Marketing, Branded Entertainment and Sponsorship. Marshall is joining Sundance Channel's recently formed Branded Entertainment and Sponsorship Department, where she will focus on selling integrated, multi-platform packages. Marshall was most recently at ABC Digital Media Sales where she sold properties including "The Academy Awards," "Lost" and "Desperate Housewives".
CFO resigns
Outdoor Channel Holdings announced that William Owen has resigned as CFO. Shad Burke, the company's Chief Accounting Officer, has been named interim CFO.
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More News Headlines
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Trebek ready to play
Alex Trebek expects to be back hosting "Jeopardy" when taping of the "Teen tournament" begins on January 14th. Trebek was released Saturday from Cedars-Sinai Medical Center in LA, where he had been since suffering a mild heart attack (12/12/07 TVBR #241).
Mystery voice for
"NBC Nightly News"
A new announcer will debut this evening on the "NBC Nightly News with Brian Williams" - and NBC is keeping his/her identity a closely guarded secret to try to entice people to tune it tonight. According to the network, the "very special announcer" who will introduce the program and Williams each evening is someone "who has a rich, extensive, award-winning theatrical career for nearly 40 years." The announcer's identity will be revealed at the end of the program, allowing viewers the chance to submit their guesses throughout the broadcast at www.nightly.msnbc.com. The prior announcer for "Nightly News," Howard Reig, served the broadcast by introducing John Chancellor, Tom Brokaw and currently Williams for more than 25 years. Reig retired from the program in 2005 and "Nightly News" has been using his recordings since.
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TVBR Radar 2007
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Television News you won't read any where else. TVBR--First, Accurate, and Independently Owned.
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WGA Strike Central, Day 40
DGA won't negotiate until
after the New Year
Some good news for the WGA. The Directors Guild of America (DGA) issued two statements saying they have chosen to wait to negotiate with AMPTP to give WGA and the AMPTP more time to return to the negotiating table to conclude an agreement.
TVBR note: Read the full DGA statements here in TVBR
12/14/07 TVBR #243
LIN in retrans battles
LIN Television says it has reached an impasse in retransmission negotiations with Cable One and expects the MSO to stop carrying KASA-TV (Ch. 2, Fox) Albuquerque in New Mexico come tomorrow (12/15), when the current retrans agreement expires. LIN has also filed an FCC complaint against Atlantic Broadband for continuing to carry WIVB-TV (Ch. 4, CBS) Buffalo on systems in New York and Pennsylvania even though it has no retrans agreement with LIN. Since the complaint was filed this week, LIN told TVBR that Atlantic Broadband has removed WIVB from its systems in the Erie, PA DMA, where there is another CBS affiliate as well, but that the station remains on without LIN's consent in the Buffalo DMA. There is more to this Retrans Battle in TVBR
TVBR observation: In the course of 2007 various TV group owners began to report substantial retransmission consent revenues in their quarterly conference calls. This has become an important new revenue stream - and one worth fighting for. Most MSOs seem to have accepted the fact that they now have to pay for the major broadcast networks (and the valuable news product of their local affiliates), but there will no doubt continue to be occasional retrans battles.
12/14/07 TVBR #243
WGA Strike Central, Day 39
Nets looking to scrap the upfront?
Along with being the first to pull out of the now-cancelled Winter Television Critics Association tour, NBC may be the first net to officially scrap upfront events due to the WGA strike. Execs at each of the other big three confirmed the strike was driving the movement toward a mid-May week without any circus-like upfront events.
12/13/07 TVBR #242
WGA Strike Central, Day 38
WGA and AMPTP now
in all-out battle
WGA and AMPTP issued some fairly negative statements this week, assuring little chance they'll get back to the negotiating table anytime soon. The general theme seems to be, "Who 'ya gonna believe?" After negotiations had broken off again.
12/12/07 TVBR #241
'Tis the season to CYA
Technically, it's always the season to CYA in Washington, but the looming DTV transition is making some of the natives inside the Beltway very nervous. Ed Markey (D-MA) went viral today with news of a new Government Accountability Office report on the FCC/NTIA preparations for the DTV transition in which it "...found no comprehensive plan or strategy to measure progress or results," he said. The FCC fired right back with a 99-page report noting that it has "been planning for the DTV transition for more than 20 years."
TVBR observation: Our CYA jesting notwithstanding, it is appropriate to make a lot of noise about the DTV transition. However, it may be slightly premature to go into panic mode. The NAB and its membership has a vested interest in seeing this go off without a hitch, and it should be gearing up for a big consumer education push in the very near future. Meanwhile, it is unfair to rag too hard on the FCC for not doing more to publicize the transition. The GAO is working for Congress, the very same institution that gave the FCC a budget of next to nothing for consumer outreach. We regularly see memos from the Commission, but the average citizen does not. The government has essentially handed the ball off to broadcasters, asking them to run it up the middle for a touchdown. And they probably will. The government meanwhile must make sure that any regulatory loose ends are tied off well ahead! of the deadline. And it wouldn't hurt if Congress put a little more fiscal muscle behind the outreach effort.
12/12/07 TVBR #241
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TVBR Classifieds
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New Positions
Available in TVBR Classifieds.
See TV Careers.
Hard finding that key person
to fill the important position at your organization? TVBR Classifieds, Results with Service. Contact April McLynn at classifieds@rbr.com
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