FYI: Underlined headlines are links to the full story. Read the html version here.
www.tritonmedianetworks.com
Welcome to RBR's Daily Epaper
Volume 25, Issue 117, Jim Carnegie, Editor & Publisher
Monday Morning June 16th, 2008
RADIO NEWS ®
www.andomedia.com
Broadcasters, vendors
file for FM HD power hikes

Eighteen commercial and non-commercial radio broadcasters and major broadcast equipment makers filed with the FCC last Tuesday in support of a proposed power increase (MM Docket 99-325) for FM HD signals. The filing says the initial HD Radio rollout was structured to ensure minimal interference of analog signals while also offering a strong digital service. That first phase has gone smoothly, with minimal interruption of traditional radio broadcasts. Tests conducted on the proposed increase found that with Class A FMs, a 30% increase of service radius was found, and a 67% increase in coverage area. For Class Bs it was a 24% increase in service radius and a 56% gain in coverage area. Building penetration was also significantly increased, from a -20 db power to a -10db power.

RBR observation: No doubt the power hikes will help, and if analog ever gets turned off, a full power increase would be in store for the main center channel-it would be likely more robust than the analog. But that is years away, and to do the power increases now, it will cost money and be quite inefficient from a power standpoint. There are pros and cons plus our special Intel Brief on HD are on RBR.com

More reaction to the PPM restart
Arbitron Radio Advisory Committee (RAC) Chairman Chuck DuCoty says the big issue is not accreditation, but that PPM must be right - and in his view the main concern is still sample size. Saga CEO Ed Christian warns that Arbitron should not "rush headlong back into an unproven technique and a methodology with unanswered questions." Arbitron spokesman Thom Mocarsky, meanwhile, responds to the worries of Kathy Crawford (6/13/08 RBR #116) and assures broadcasters that the MRC audits for all eight new markets will be complete before they go currency with the September data. The list speaking out reads like the Who's Who on this issue at RBR.com

RBR observation:
Just like talk radio, the phone lines are open - except in this case it's email. Was Arbitron right to go ahead with the restart? Is accreditation by MRC needed before ads should be bought and sold based on PPM? Or do you have other concerns? We're waiting to hear from you at [email protected]

www.google.com

Organizations back FCC on profanity
It will come as no surprise to veterans of the 21st Century indecency wars to learn that the Parents Television Council has filed an amicus brief with the Supreme Court supporting the FCC's ability to punish incidents of fleeting profanity. Another organization has similarly weighed in - the American Center for Law and Justice is doing to on behalf of 18 members of Congress. ACLJ basically argued that context should be considered in all indecency proceedings, fleeting or not. PTC said 80 years of jurisprudence, the green light on cursing granted to broadcasters by two federal judges and an overwhelming sense of the nation all support the FCC's case.

RBR observation: If there is a problem with indecency enforcement, it is the fact that it is very subjective and full of shadings of gray. The FCC has struggled for years to find as bright a line as possible so that broadcasters have some idea what is and what is not permissible. ACLJ's argument would actually make the whole thing one great big gray area. For more, follow the headline to RBR.com.

Legislators leery of royalties
Perhaps we were a bit premature in our recent comments on the prospects of performance royalties in Congress. If your perspective is limited to the Subcommittee on Courts, the Internet and Intellectual Property, you'd think legislation making them a reality is a mortal lock. However, the NAB has been busily assembling a lengthy bipartisan roster of reps who oppose new royalties, and that effort is within votes three of a floor majority. The senate effort is less far along. Recent additions to the list of legislators supporting the Local Radio Freedom Act (S. Con. Res. 82) brings the House total to 215 (out of 435), and the senate total to 13.

RBR observation: This is one of those issues that springs forth from time to time like a cicada uprising. If NAB is able to help shoot this down in 2008, it deserves a nice round of applause, since the committee responsible for the legislation seems perfectly ready to move forward with it. But watch out - even if it's driven underground this year, it's sure to rise again in the future.

XM/Sirius sees White Smoke
From the chimney of the FCC according to various reports early this morning which claim FCC Chairman Kevin Martin is giving is blessing to this long awaited merger removing probably the last regulatory hurdle calling it a done marriage. Details are sketchy but according to the WSJ there will be a few conditions that will have to be met to protect the interest of consumers namely controlling any price increases with the satellite services. In the WSJ report another condition is the satellite guys have to set aside 8% of its channels for noncommercial and minority interests.

Another soft month
Look for the RAB to report May revenue figures sometime this week. It will, by all accounts, be another down month. The Wall Street consensus is a 4% decline. CL King analyst Jim Boyle says based on his checks of markets across the country, he is expecting the decline to be 5-6%. Once again, Boyle says smaller markets did better than their larger brethren, with the revenue gap growing in May. That's 24 months out of the last 28 that small to medium markets performed better than large markets, Boyle notes.

http://www.arbitron.com

ONLY ON RBR.COM
www.interep.com
Viewpoints
Struble timeline: What's old is new

by Bob Harper for RBR
RBR found a fascinating Q&A with Bob Struble, the CEO of Ibiquity. In case you don't know, Ibiquity is the company responsible for HD Radio. I say "fascinating" because the interview is almost two years old and, yet, it reads like it could have happened yesterday. This Q&A from the Broadcast Newsroom site started me building a HD Radio timeline where the key dates are these:

2002 - FCC gives a thumbs up to Ibiquity's HD Radio technology
2005 - I conducted the national HD Radio dial/display research study*
2006 - Mr. Struble talks to Frank Moldstad of BroadcastNewsroom.com**
2008 - HD Radio today

Ideas Working Now
Entertainment Radio

By Chuck Blore
The idea here, is an unfamiliar, seldom used approach to radio ... entertainment.
Radio as an entertainment medium ... pretty wild idea, huh?
Entertainment, not casually, specifically. Not some of the time, all of the time.
Radio today, AM, FM, HD or Satellite is some form of music and/or talk. Radio as an entertainment medium is history. Or, as presented here ... the future is now. But, if it's not specifically music or talk, what constitutes entertainment as it pertains to radio? The answer is, not unlike USA Today, it is a concise presentation of things which are relevant to your life, stuff that matters to you. If it's really interesting, if it makes you smile, or makes you laugh, or makes you curse, or nod your head, or if it makes you say, "I'll be damned.." That, by this definition, is entertainment. More at RBR.com
www.glrnetworks.com

AD BUSINESS REPORT
Yahoo! strikes search ad deal with Google
That will up its ability to compete in the search and display marketplace. Yahoo will run Google search ads alongside Yahoo search ads on select pages from the company's network of sites. Specifically, the agreement will enable Yahoo! to run ads supplied by Google's AdSense for Search and AdSense for Content services next to Yahoo!'s internally generated paid search and algorithmic search results. The agreement is non-exclusive, giving Yahoo! the ability to display paid search results from Google, other third parties, and Yahoo!'s own Panama marketplace.
 

MEDIA MARKETS & MONEY
Courier delivers AM to new owner 
WNOV-AM Milwaukee WI is changing hands. The station, known for serving the local African American community, is going from Courier Communications Corporation to Radio Multi-Media, headed by Rene Moore in an asset/real estate deal. The price is $1.5M cash, with $850K allocated to the real estate and the remainder to the station attributes. Courier is headed by Jerrel Jones, Earnestine Jones and Mary Ellen Strong.

__FIRST__ __SECOND__,
here is another transaction brokered by Kalil & Co., Inc.
ARMADA MEDIA
has acquired
KODY-AM          KXNP-FM
North Platte, Nebraska
KUVR-AM          KMTY-FM
Holdrege, Nebraska
from
NRG MEDIA
for
$3,900,000
 
 
b
Kalil & Co., Inc.
6363 North Swan Road
Tucson, AZ 85718
(520) 795-1050

TRANSACTIONS
$1.2M WSGY-FM State College PA (Pleasant Gap PA) from Forever Broadcasting LLC (Carol B. Logan) to 2510 Licenses LLC (Nicholas A. Galli). Cash. Superduopoly with WOWY-FM University Park, WHBV-FM State College. [File date 4/29/08]

$270K WVEK-FM Johnson City-Kingsport-Bristol TN-VA (Cumberland KY) from JBL Broadcasting Inc. (Regina K. Moore) to Holston Valley Broadcasting Corporation, a subsidiary of Glenwood Communications Corporation (William M. Boyd, George E. Devault Jr. et al). Cash. Station is moving to Weber City VA and into Johnson City market, where it will have cross-ownership with WKPT-TV 19 and form a superduopoly with WKPT-AM, WOPI-AM, WKTP-AM, WTFM-FM and LMA of WRZK-FM. [File date 4/28/08]

 

WASHINGTON BUSINESS REPORT
Analog sales action, with a twist 
Two new consent decrees taking aim at the sale of analog only receiving equipment to consumers have interesting and unusual new angles. Conn's Inc. was one of the firms. It has agreed to terminate the sale of analog-only equipment by 12/31/08 - but if it sells so much as one unit of analog-only equipment during any month beginning on 9/1/08, it must make a voluntary contribution of $1.5K to the US Treasury. Over at Rent-A-Center, which often enters into rent-to-buy arrangements with its customers, it is making a voluntary contribution of $60K to the Treasury for labeling omissions. And on top of that, anybody who bought analog-only equipment from them from 5/29/07 through 8/7/07, or entered into a lease which is still in force during that period, is entitled to a free digital-to-analog converter box courtesy of Rent-A-Center.
FOX News Radio

MEDIA BUSINESS REPORT
Tribute to a Professional
Russert the Sunday morning Dominator

NBC News reported Friday that NBC Senior Vice President and Washington Bureau Chief Tim Russert had died from a sudden heart attack. He was 58. The long time moderator of "Meet the Press" was recording voiceovers at the Washington bureau for Sunday's program when he collapsed. Russert joined NBC News in 1984, after working in politics for the late Sen. Daniel Patrick Moynihan (D-NY) and Gov. Mario Cuomo (D-NY). Although he had previously worked for those Democrats, he was known in Washington for his tough questioning of candidates and officials from all sides of politics.

RBR observation: To truly see the value of what Russert accomplished at Meet the Press, Nielsen provided RBR/TVBR with the historical stats which are truly remarkable. View at RBR.com
www.talkradionetworks.com

MONDAY MAKERS & SHAKERS
Transactions: 4/28/08-5/2/08 
Contracts were filed this week stipulating the transfer of no less than 33 radio stations. Over half were attributable to one deal Down East, wherein Clear Channel is sending 17 to Blueberry Broadcasting. The sale of niche AMs in Dallas and Seattle also enriched the bottom line, but for the second week in a row, television trading was not a factor.
 

- Total Mkts 1-50 Mkts 51-100 Mkts >100 Unrated
AMs 9 3 0 2 4
FMs 24 0 0 12 12
TVs 0 0 0 0 0
Total 33 3 0 14 16

-Type Trans Stations Value
Radio, 1 mkt 15 16 18.825M
TV, 1 mkt - - -
Rad-TV, 1 mkt - - -
Radio, multimkt 1 17 11M
TV, multimkt - - -
Rad-TV, multimkt - - -
Totals 16 33 29.825M
©2008 Radio Business Report, Inc. All rights reserved.

Radio Trans. of the Week:
Clear Channel enriches Blueberry portfolio

Louis Vitali and Bruce Biette formed Blueberry Broadcasting and started out with a bang, grabbing 17 radio stations in Maine from Clear Channel for $11M. The stations are in Bangor, Augusta-Waterville and other area communities. Two FMs in Bangor have already been earmarked for resale.


TV Trans. of the Week: Still going through a quiet spell

www.capitalsource.com

RADIO STOCKS

A recent rarity: A day of gains
Stock prices rose on Friday as the government's report on consumer prices contained no surprises and oil prices dropped. The Dow Industrials jumped 166 points, or 1.4%, to 12,307.

Radio stocks joined the celebration. The RBR Radio Index gained 1.922, or 2.5%, to 78.651. Salem led the way, up 8.2%. Radio One Class D gained 7.3%.

Here's how stocks fared on Friday

Company
Symbol
Close
Chng
Company
Symbol
Close
Chng

Arbitron*

ARB

51.00

+1.93

Google

GOOG

571.51

+18.56

Beasley*

BBGI

4.50

+0.20

Hearst-Argyle

HTV

21.71

+0.14

CBS CI. B
CBS

20.68

+0.09

Journal Comm.

JRN

5.80

+0.19

CBS CI. A
CBSa

20.70

+0.16

Lincoln Natl.

LNC

51.29

+0.30

Citadel*
CDL
1.51
+0.02

Radio One, Cl. A

ROIA

1.33

+0.08

Clear Channel*

CCU

35.50

+0.08

Radio One, Cl. D*

ROIAK

1.32

+0.09

Cox Radio*

CXR

12.60

+0.22

Regent*

RGCI

0.97

-0.05

Cumulus*

CMLS

4.73

-0.13

Saga Commun.*

SGA

5.44

+0.19

Debut Bcg.

DBTB

0.45

0.00

Salem Comm.*

SALM

2.38

+0.18

Disney

DIS

33.93

+0.69

Sirius Sat. Radio

SIRI

2.54

+0.14

Emmis*

EMMS

2.72

+0.01

Spanish Bcg.*

SBSA

1.20

+0.04

Entercom*

ETM

8.51

+0.21

Westwood One*

WON

1.47

+0.06

Entravision

EVC

4.78

+0.13

XM Sat. Radio

XMSR

10.87

+0.54

Fisher

FSCI

34.11

+0.17

-

-

-

-

-

*Component of the RBR Radio Index
 
Bouncebacks

Send Us Your OpinionsWe want to
hear from you
Send your comments and a photo to [email protected]

www.interep.com


Below the Fold
Only on RBR.com
Entertainment Radio

By Chuck Blore, The idea here,
is an unfamiliar, seldom used
approach to radio..Entertainment

Washington Business Report
Analog sales action,

With a twist, 2 new consent decrees
taking aim at the sale of analog

Makers & Shakers
Transactions: 4/28/08-5/2/08

Radio, Clear Channel enriches
Blueberry portfolio. Television, Going through a quiet spell

Ratings & Research
Kids and Teens:

The Video Generation and
Where the spend their time

www.targetspot.com


www.patcomm.com
Media Moves
Weiss to NextMedia
Larry Weiss has joined NextMedia as Vice President and General Manager of its cluster in Greenville/New Bern/Jacksonville. He replaces TJ Anzivino who segues to the Director of Sales Position at the company's Myrtle Beach cluster due to personal reasons.

Upped in Lincoln
KLIN-AM Lincoln, NE News Director John Bishop has been promoted to Program Director of the NRG Media station. Bishop has been part of the "Voice of Lincoln" staff for more than 15 years.

Windy City return
Citadel's WLS-AM Chicago announced that "after some successful negotiations, Christina Filiaggi returns to the Roe Conn Show on Chicago's Talk Station, WLS 890 AM. The lone female voice of the show and her traffic reports have been missed since late February." Filiaggi made a "guest appearance" Friday and officially returns to the staff full time today.


Stations for Sale

Market your stations on rbr.com and in our daily epaper.

See our website
for details


Northern New England
College town

3kw FM. Thriving market near 2 major ski-areas, University town with several local banks, county seat. Upgrade to 6kw possible, owned transmitter site, only commercial FM signal. Priced at 7x trailing cash-flow $799,000. Visits, conference calls with seller possible. Inquiries 781-848-4201 or [email protected]


Music To Go Player - Click for Demo


Industry Careers
Find that key person!
Fill that important position at your organization with RBR Classifieds. .See our website for details.

Radio Careers
Submit a Job

www.eastlanratings.com


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

PPM restart a "go"
What most people in radio had been expecting - Arbitron will resume its Portable People Meter (PPM) rollout this fall. Details at RBR.com

RBR observation: If your market is in line for PPM and you haven't really kept up on developments because the rollout was on hold, got to the Media Center at RBR.com to hear the panel discussion of PPM issues.
06/13/08 RBR #116

Clear Channel racing
toward July 30 closing

Just a few weeks ago Clear Channel Communications was telling shareholders to expect the company's long-pending buyout to go to closing in Q3. But they'll only have to wait until the first month of the quarter.

RBR observation: We still have not heard any indication that there will be any organized opposition to the $36 price at the July 24th meeting. That $39.20 bid is now a distant memory as shareholders look at what's happening to oil prices, the US economy and stock prices every day. Time to take the money and run.
06/13/08 RBR #116

Chamber goes to
bat for broadcasters

The broadcast industry must not be shackled with onerous rules that would hinder its ability to compete. Sounds like something the NAB might say, but in fact these are the words of William L. Kovacs, VP/Environment, Technology & Regulatory Affairs for the US Chamber of Commerce. USCC wants the FCC to pull back.

RBR observation: The station can produce a completely empty creel regarding the FCC's fishing expedition for the kind of public interest programming it would like to see, and still the FCC would have no recourse. And if we are correct, and the FCC cannot do a thing about such a ridiculous abuse of the airwaves (which no broadcast company in its right mind would ever perpetrate) (except maybe as an interim format flip stunt) then the whole entire FCC enterprise is a waste of time and money.
06/13/08 RBR #116

Performance royalties
get loft in subcommittee

Many see only the performers side, and the members who see merit in the broadcast side also see merit in the performer's argument. That means the tilt would seem to be firmly to the performer side of the issue.
06/12/08 RBR #115

www.radioamericanetwork.com


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