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Welcome to RBR's Daily Epaper
Volume 23, Issue 142, Jim Carnegie, Editor & Publisher
Monday Morning July 24th, 2006

Radio News ®

Lots of wondering
which street to take

First what happened to CBS's Jack? One Wall Street analyst is predicting format flips at CBS Radio after ratings declines for its Jack stations in all three of the largest markets in the Spring 2006 Arbitron book. Marcia Ryvicker at Wachovia Securities is also wondering if Radio One might put KKBT-FM LA up for sale. "CBS' Jack-formatted stations lost share in all three major markets, suggesting that listener curiosity and interest have worn off. We believe that consumers would rather self-program their own iPods and MP3 players rather than listen to the random mix of iPod-like programming provided by the Jack-related formats. We would not be surprised to learn of several Jack-related format flips before the end of this year," Ryvicker said in a note to clients. As for the situation with KKBT "The Beat," she noted that the station "continues to lose share at a rapid pace despite recent programming changes." Ryvicker noted comments by Radio One CEO Al Liggins that the proliferation of Hispanic stations in LA is hurting Urban stations, such as KKBT, which had previously drawn Latino listeners as a "2nd favorite" music station. Meanwhile, the percentage of Hispanic population in LA is growing while the African-American percentage declines. "We view KKBT as a non-core asset and think the company's next step is to sell the station and use the proceeds to reduce its hefty debt level," Ryvicker said.

RBR observation: It appears our concerns about the Jack format are being borne out. Initially the deep playlist will have listeners enjoying songs that they hadn't heard on the radio in a long time. But after listening for a period of time, they start to notice that the station is also playing songs that they hoped never to hear again. That leads to tune-out. As for KKBT, much has changed in the LA market since Radio One scored a major coup in buying the Urban giant in 2000 as Clear Channel had to spin off stations from the AMFM merger. Yes, there have been programming missteps. But even if The Beat had been managed perfectly, the demographic changes in the market would have negatively impacted the station. It just may not make any sense anymore for Radio One to stay in LA with a standalone.

The sweep is clean
at WCBS-FM

As Wall Street scratches RBR has heard that WCBS-FM NY (Jack FM) LSM Jim Gallagher was recently escorted out of the building as well, making a clean sweep of the management there. Add him to GM Chad Brown and NSM Jim Reilly at the station. We had reported he was targeted with the other 115 let go at CBS Radio this month (7/14/06 RBR #136), but not officially on the list. Rumor has it big changes might be in store for Jack-FM in NYC, as ratings have again dropped. We hear a Spanish language format may be in the works, but CBS Radio CEO Joel Hollander had denied that in a recent conversation with RBR.

RBR observation: Trends do not start in NYC. WCBS-FM was Oldies and New Yorkers loved their station. Nobody ever picked up that audience or the estimated 30 million that went with it. Wall Street crunchers are not the only ones that are scratching various body parts to still figure out why.


Watchdogs keeping tabs on FCC ownership proceeding
FCC Chairman Kevin Martin has put the Third Circuit remand of the 6/2/03 ownership rulemaking on the agenda, but other than that, very few details are known, other than the topics under consideration. And that's essentially been known since the court sent them back. Watchdogs are nervous that they won't have time for an effective response. Keeping particularly close tabs are Free Press which has long been organizing grassroots forums on the media. That group has often empanelled Democratic FCC Commissioners Michael Copps and Jonathan Adelstein but has had no luck persuading any of the Republican commissioners to attend. Also on guard is the Prometheus Radio Project, which was the lead plaintiff in the Third Circuit case which resulted in the rulemaking remand in the first place. Martin promised to hold hearings on the rulemakings in geographically diverse locations, and further promised studies on the implications of any potential rule changes. As yet, no timetables have been set for either, according to an article in New Standard. At the FCC open meeting when the decision was made to tackle the ownership rules, both Copps and Adelstein expressed doubts about where it was headed, while Martin pointed out that their concerns were premature, as there is nothing in it yet even remotely indicating where indeed it is headed.

RBR observation: The court instructed the FCC to either come up with new rules or come up with better justification for the rules approved by Martin and his then-Republican colleagues Michael Powell and Kathleen Abernathy back on 6/2/03. Watchdogs and the Democratic commissioners are afraid that the new attempt will be a rerun of the first. However, nobody is going to be taken by surprise this time, and the Senate Commerce Committee inserted an amendment into Ted Stevens' telecom update requiring the FCC to report on any intended rule changes before acting on them. And Martin did promise to hold those six public meetings. The opponents of media consolidation would be well-advised to remain on the alert, but they shouldn't be overly concerned. Martin will have no more luck executing a swift and silent midnight rulemaking than the British had executing a swift and silent midnight march to Concord and Lexington back in 1775.

Dems ready to unleash 30M warchest
The Democratic Congressional Campaign Committee is flush with cash and ready to spend heavily in selected districts. It's sitting on 32M, compared to 18.4M at this time in 2004. The Committee's Republican counterpart isn't very far behind, with 26.5M cash on hand. According to the Associated Press, the DCCC is trying to get maximum bang for its buck by reserving airtime now, a move they hope will help to avoid stiffer rates when September and October roll around. The money won't be going just anywhere, however. Republicans thought to be vulnerable will be in the crosshairs. AP mentioned Jim Gerlach (R-PA), Curt Weldon (R-PA), Michael Fitzpatrick (R-PA), John Hostettler (R-IN), Geoff Davis (R-KY), Steve Chabot (R-OH) and Heather Wilson (R-NM). Other Republicans are expected to join the list, and more advance time reservations are expected. A spokesman for the RCCC says it expects to follow a similar path in the not too distant future. The Democrat's senate committee is also said to be ahead of the Republicans at this point. The Republican National Committee, however, has a sizable cash-on-hand edge over the DNC, with well over 40M for a 4-1 dollar-for-dollar edge.

RBR observation: All the signs we've seen are pointing to a banner year for the political category. Every time there is news on the topic, it only moves deeper into banner year territory. If you're in a battleground district, make sure the drawer of your cash register is in good working order now.


Emmis looking for another Mancow?
Seems Emmis has just placed want ads trying to hire a host for Mancow's slot on Q101. While Q101 hyped that listeners wanted more music on the station and that Mancow wasn't hip to that edict, their ad reads like they want to re-create Mancow's Show. RBR colleague Rob Feder of the Chicago Sun-Times: "With Mancow Muller out of the picture, Emmis Communications has begun advertising in radio trade publications for "morning show talent" on alternative rock WKQX-FM (101.1). While overnight host James VanOsdol fills in with music for the time being, Q101 bosses hope to launch their brand new morning show Sept. 18. "Are you funny AND smart?" read the ads. 'Q101 is looking for charismatic talent who can relate to an alternative station's target audience as part of an ensemble team. Looking for people who are able to ad-lib, interview, write, make people laugh almost effortlessly and are ready to innovate...Opportunity of a lifetime with a great company to help build the morning show of the future'."

RBR observation: With NYC and LA numbers just reported as significantly down, why would Emmis jeopardize what was up, in Q101? We still think they're bluffing and that Mancow will be back, but at a lower salary at the station. Somebody needs to pick up the phone and make that call. Or get a business agent to conduct business.

All the news that's fit to dissect
Harris Poll recently took a look at bias in the news, with some interesting cross-media findings. In general, citizens see bias in direct proportion to their own bias. For starters, however, Harris identified heavy and light users of news/public affairs programming, with heavy users going there at least once a week and with light users going there no more than two or three times a month. Radio talk programming proved to be more addictive than its television counterpart. 25% of radio listeners tune in three or more times weekly, compared to 13% for TV. TV catches up in the remaining tiers. 13% go to radio once or twice a week compared to 16% for TV; 9% use radio less than once a week but more than once a month, compared to 21% for TV, and 54% use radio less than once a month, compared to 50% for TV. Respondents to Harris' poll had to pick which medium they thought most biased, and divided responses by political party affiliate and by political philosophy. Most groups picked television as most biased. At best, it tied in some categories with those who felt all are equally biased. Not surprisingly, radio, considered by many to be dominated by conservative Talkers, was seen as less biased by Republicans and conservatives (a mere 2% in each case) than by Democrats and liberals (11% and 16% respectively).
| View the Chart |


Wall Street Media Business Report TM
RBR observation:
There's a sucker born every minute
Think radio are the only chumps out there that believe everything they read or hear. Wrong as RBR wants to demonstrate the same happens on the other side of the media fence. The suckers we're talking about today are those who have been buying EchoStar and DirecTV shares on rumors that the two may be in line for a merger. Apparently some analysts who are so Wall Street oriented that they don't have a clue what goes on in Washington, DC have actually put out research notes giving credence to this ridiculous notion. Yes, the Kevin Martin FCC is more deregulatory minded than its three predecessors - but that doesn't mean the GOP majority is free to use its 3-2 edge to do anything it wants. Virtually all Democrats and many, if not most, Republicans in both houses of Congress would go ballistic if the FCC were to approve a merger of the only two satellite TV competitors. In other words, go off the deregulatory deep-end by voting for such a move and kiss your future inside the beltway goodbye. We don't believe Chairman Martin, Commissioner Deborah Tate nor Commissioner Robert McDowell is into retirement planning just yet.


Sales & Marketing Business Report
Close-up: What to bring to the agencies
We've asked folks from both sides of the desk for advice on what to do before you make that sales appointment with the agency.

Can you close the deal?
by Lynne Cowlishaw, PHD's LMN (Local Media Network) Broadcast Supervisor

Little did I know that the answer to that question would determine my fate in advertising. Fresh out of college on my first interview I was told the art of media buying is like playing cards. Never show the "seller" your hand and never get yourself backed into a corner. Ironically, my sales representative was getting the same advice. The buy is up and the race is on to achieve the best deal from both respective parties. In the process of negotiating, I quickly learned that there are all different kinds of sales tactics and different approaches to "selling" media. Anyone can sell but what separates the good ones from the bad ones are: knowing the client, being responsive, and supplying useful/reliable information in a professional manner. This is no small task and truly is a talent. Knowledge about the client seems straightforward. However, the seller should also be knowledgeable about the competition, the marketplace and agency itself. These criteria should be established prior to the avail, not when the buyer has 8 hours to complete a buy. Also, a more receptive and positive negotiation is established when the seller does not negative sell the competition. It's the agency's job to know pros/cons of each station. So whenever a seller tells me how bad their competitor is, I tune out. Knowing the market and how to tie-into the clients' needs is a key component in the sell. You can have a great station but if you don't strategically identify with the agencies objectives and goals you lose the sale. In order to effectively sell, the salesperson needs to be available and responsive.

Tomorrow: Lynne says knowing the agencies deadlines and meeting them on time might make or break a deal.


Ad Business Report TM

XM puts creative in review
XM Satellite Radio is launching a review on its creative account, via LA-based Select Resources International. XM spent 50 million in measured media in 2005, according to Nielsen Monitor-Plus. The incumbent, IPG's Mullen in Wenham, MA, will not be defending.

Heineken launches review on creative
Heineken USA has reportedly begun a creative review for its Heineken and Heineken Light brands. Publicis USA and Berlin Cameron are the incumbents on the 70 million account and have been invited to participate. No word yet if they are declining. Pile and Co. are handling the review.


Media Business Report TM
New VNU names new directors
One person very familiar to broadcasters is on the list of new directors who are taking over at VNU, following its buyout by a group of equity firms. Among the new members proposed for election to the supervisory board is Richard Bressler, who was CFO of Viacom before moving to the equity investment world to join Thomas H. Lee Partners, one of the equity firms involved in the VNU buyout. Also nominated are Daniel Akerson and James Attwood Jr. from Carlyle Group, Lord Clive Hollick (former CEO of United Business Media) from KKR and James Quella from Blackstone Group. A special shareholders meeting is required to confirm their election, but that is a foregone conclusion since the equity firms now own almost all of the stock of VNU. The company has also announced plans to recapitalize. It plans to raise approximately 1.67 billion by selling senior unsecured bonds maturing in 2014 and senior subordinated bonds maturing in 2016, entering into a seven-year bank loan for 4.3 billion euros and entering into a 574 million euro revolving credit facility. Meanwhile, it will buy back and/or cancel VNU's preferred shares. VNU said it had completed tenders for its old bonds amounting to 1.095 million euros and intends to redeem at par all securities which were not tendered in its previous tender offers. Among VNU's holdings are Nielsen Media Research, Adweek, Mediaweek, The Hollywood Reporter, Billboard and, soon, Radio & Records which is already promoting Billboard events.


Media Markets & Money TM
Breaking up isn't necessarily hard to do
One Cedar Rapids combo is breaking up, and another is forming, thanks to a 775K deal for KCRG-AM. The station will no longer be associated with ABC KCRG-TV 9, and instead will have a more traditional FM station as a sister. The seller is Cedar Rapids Television Company, headed by Joseph F. Hladky III. They buyer is KZIA Inc., headed by Eliot Keller, Robert Norton, Robert Downer and Peter Vanderhoef. They own KZIA-FM in the market. They are contractually obligated to change the calls of the AM station within the month, a move which the seller will set in motion at the FCC.


Washington Media Business Report TM
NextMedia bike contest suffers a blow-out
WYAV-FM Myrtle Beach SC was celebrating bike week (the motorized kind) in mid-May 2004 by co-sponsoring a contest with a local motorcycle dealer and the Myrtle Beach Rescue Squad, which in turn was putting on a two-band concert. The NextMedia radio station was giving away tickets to the concert and ignition key vouchers to lucky callers for a month prior to the concert. The truly lucky caller would have a key which started up a 35K custom motorcycle. The 35 contestants were advised to show up on or before 7PM. However, due to the concert and local noise ordinances, WYAV staff learned that they had to have the contest completed before 7PM, with the drawing occurring at 6:20PM. They were able to include 30 of the 35 in the contest, but three showed up too late, but despite being offered consolation tickets to a future concert, at least one took the matter to the FCC. You might think that NextMedia would get off the hook on this one on force or circumstances outside its control. That's not how the FCC saw it. The Commission said the incident showed lack of organization and control and hit the station with a 4K fine for not conducting a contest as advertised.

RBR observation: On the plus side, the Commission clearly stated that there was no evidence of malice or contest fixing or anything like that. 99 times out of a hundred, we'd bet that the late arriving contestants would understand the situation, and in the live and let live spirit, accept their consolation prize.


Ratings & Research
38% of active podcasters
listen to radio less

More than 6% of U.S. adults, or about 9 million web users, have downloaded podcasts in the past 30 days, according to The Economics of Podcasting, a report released by Nielsen Analytics. In a Q1 2006 study, conducted at Nielsen Entertainment Television testing facilities in Las Vegas, more than 1700 participants were surveyed on their podcasting usage. About 6% of respondents described themselves as regular podcast downloaders - more than 75% of whom were male. The findings show that a significant percentage, approximately 38%, of active podcast downloaders say they are listening to radio less often. Among the findings: The most successful podcasts are garnering as many as two million downloads a month, enabling them to attract mainstream advertising. An example -- Dixie Paper Company now sponsors the Mommycast Podcast Series starring Gretchen Vogelzang and Paige Heninger. Overall, 60% of respondents surveyed said they "always" fast forward past commercials in their podcasts. Women were more likely to fast forward than men, with 67% saying they "always fast forward." Given the ability to skip commercials, advertisers are already devising more effective means to reach consumers, such as embedding their messages within the program content or having podcast hosts endorse their products and services. The survey found that the average length of the podcasts being listened to was 44 minutes. This may change with the growing popularity of video podcasts, which generally tend to be shorter, said Gerbrandt. Some 72% of respondents who regularly download podcasts say they download an average of one to three podcasts per week. About 10% of all podcast downloaders could be characterized as "heavy users", downloading 8 or more podcasts a week.


Monday Morning Makers & Shakers

Transactions: 6/5/06-6/9/06
The summer doldrums continued, with the previous week's unimpressive total number of filings halved from 10 to five. However, total value of the deals was closer to double the previous week, so there was much more bang for the buck this time around. TV was again MIA, but there was one small-market deal in Minnesota and Wisconsin in which Red Rock/Curtis Squire picked up nine stations for 7.5M.

6/5/06-6/9/06

Total

Total Deals

5

AMs

6

FMs

7

TVs

0
Value
19.55M
| Complete Charts |
Radio Transactions of the Week
CCU Springfield builds via barter bonanza
| More...
|
TV Transactions of the Week
Patience...more action coming soon



Transactions
16M KWOG-TV Seattle-Tacome WA (Bellevue WA). 75% of African-American Broadcasting of Bellevue Inc. from Christopher J. Racine to Fisher Broadcasting Company (Colleen B. Brown). 4M down payment, balance in cash at closing. Duopoly with KOMO-TV, cross-ownership with KOMO-AM, KVI-AM, KPLZ-FM & JSA w/KING-FM. KWOG-TV is indy on Channel 51: KOMO-TV is ABC affiliate on Channel 4. LMA until closing at approximately 151K per month. [File date 7/3/06.]

110K WDAP-AM Huntingdon TN from Johnson Communications/J&J Broadcasting Inc. (Mark C. Johnson, Jennifer Marie Johnson) to Jim W. Freeland. 1K escrow, balance in cash at closing. Combo with WVHR-FM. [File date 6/30/06.]

50K KIMM-AM Rapid City SD from KIMM Radio Inc. (Matthew L. Ward) to Gunslinger Radio Inc. (Duane D. Butt). 10K earnest money, balance in cash at closing. [File date 6/29/06.]


Stock Talk
Week ends on down note
Microsoft beat expectations, but disappointing reports from Dell and Advanced Micro Devices weighed on Wall Street Friday. The Dow Industrials fell 60 points, or 0.6%, to 10,868.

Almost all radio stocks lost ground. The Radio Index fell to another year-to-date low, dropping 2.951, or 2.1%, to 139.014. Westwood One took a beating, plunging 5.2%. Cumulus fell 4.5%.


Radio Stocks

Here's how stocks fared on Friday

Company Symbol Close Change Company Symbol Close Change

Arbitron

ARB

35.89

-0.42

Hearst-Argyle

HTV

20.59

-0.33

Beasley

BBGI

6.95

-0.04

Journal Comm.

JRN

10.25

-0.27

CBS CI. B CBS

26.23

-0.15

Lincoln Natl.

LNC

56.15

-0.30

CBS CI. A CBSa

26.24

-0.13

Radio One, Cl. A

ROIA

6.77

-0.06

Citadel CDL
8.70 -0.31

Radio One, Cl. D

ROIAK

6.79

-0.07

Clear Channel

CCU

28.76

-0.54

Regent

RGCI

4.10

+0.16

Cox Radio

CXR

14.20

-0.13

Saga Commun.

SGA

7.66

-0.30

Cumulus

CMLS

9.35

-0.44

Salem Comm.

SALM

11.26

-0.17

Disney

DIS

28.47

-0.65

Sirius Sat. Radio

SIRI

3.90

-0.09

Emmis

EMMS

14.00

-0.12

Spanish Bcg.

SBSA

4.70

-0.04

Entercom

ETM

24.57

-0.45

Univision

UVN

33.06

-0.16

Entravision

EVC

7.68

-0.15

Westwood One

WON

7.00

-0.38

Fisher

FSCI

41.42

+0.13

XM Sat. Radio

XMSR

11.20

-0.72

Gaylord

GET

38.53

+0.11

-

-

-

-

-


Bounceback

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Below the Fold
Wall Street Media Business Report
RBR observation: There's a sucker born every minute
So you think it only happens in radio..

Sales & Marketing Business Report
What to bring to the agencies
Lynne Cowlishaw, PHD's LMN,
Never show the "seller" your hand & never get yourself backed into a corner...

Media Markets & Money
Breaking up isn't necessarily hard
775K deal for KCRG-AM the station will no longer be associated with ABC KCRG-TV 9...

Washington Media Business Report
NextMedia bike contest
FCC saw it as the incident showed lack of organization and control....

Ratings & Research
38% of active podcasters
Listen to radio less...

Stations for Sale

New York City
2-LPTVs reaching 12 million people $10 mil for BOTH Philadelphia- $2.5 million George Kimble-Kozacko Media 520-465-4302 [email protected]

CD Border 25kw FM
Favorable competitive op.
Small/dual market FM with huge upside for turnaround operator.
595K 781-848-4201 or [email protected]


Radio Media Moves

JRN taps
Nicole Maroutsos

Jones Radio Networks announced Nicole Maroutsos has joined the company as Programmer/Music Director. Maroutsos and the JRN programming team will be working with a number of the company's music programming clients. Maroutsos comes to JRN from Fisher Radio, where she spent the last three years as Assistant MD for KPLZ-FM, Star 101.5 in Seattle.

Singleton
to chair AP board; No
rate hike

William Dean Singleton, CEO of radio/TV/ newspaper owner MediaNews Group, has been elected the next chairman of the Associated Press. He will take over next May from Burl Osborne, publisher emeritus of The Dallas Morning News, owned by Belo Corporation. The AP board also voted not to impose a general assessment increase on its basic level of services to its broadcast and newspaper members for 2007. It is the first time since 1971 that the AP has not raised rates.


More News Headlines

Has Universal bid
2B for BMG unit?

That's the price that the Financial Times reported Friday as bids came in for the music publishing unit that was put up for sale by Bertelsmann AG. Vivendi's Universal Music was reported to be the top bidder at nearly two billion bucks, with Warner Music and BC Partners, a private equity group, also continuing to the next round of bidding. All of the bids were reported to be in the 1.5-2 billion range. Viacom was said to have bid, but didn't make the cut.


State Association News

New Media focus for Michigan gathering
The Michigan Association of Broadcasters (MAB) will focus on The New Media Mix in its annual meeting and leadership retreat today through Wednesday at the Boyne Mountain Resort in Boyne Falls, MI. The keynoter will be Kurt Hanson, publisher of Radio and Internet Newsletter (RAIN), who will focus on how technology is changing the use of broadcast media by consumers. Also speaking to the group will be David Rehr, the new CEO of the National Association of Broadcasters, and a panel of advertising executives will discuss how radio and TV fit into The New Media Mix.


RBR Radar 2006
Radio News you won't read any where else. RBR--First, Accurate, and Independently Owned.

Philadelphia could be
first PPM market
Arbitron officials refuse to speculate on the sequence of events, but that was a conclusion that was pretty easy to draw from Arbitron CEO Steve Morris' comments to analysts in his quarterly conference call. Noted two hang-ups with flipping the switch to take Houston from test mode to commercial service: Arbitron's pledge not to go forward in Houston until it gets (MRC) accreditation - which is taking longer than expected and refuses to speculate on when it might come.

RBR observation: Morris had little to say about the Next-Generation Electronics Ratings Evaluation Team, except to complain that the RFP process initiated by Clear Channel had gotten "somewhat secretive" of late. Arbitron hasn't yet responded to the group's June letter calling for more information about PPM, but Arbitron's Thom Mocarsky told RBR that is because Arbitron is still waiting for clarification from the Next-Gen group on just where its previous submission was lacking. It seems to us that constitutes a communications problem. The Next-Gen group needs to stop bickering about who can and cannot be a member and get on with the work at hand. Completion of a side-by-side evaluation of the two competing systems for electronic radio audience measurement would be beneficial for everyone concerned. Otherwise, Arbitron will simply win by default. Last note deals with Trust. Do either side truly Trust one another? Just look at the time and money spent when Arbitron and Nielsen tried to work together. No Trust No Results. Nielsen early this year cut their tie with Arbitron and decided to 'Follow the Video.' Arbitron may take a lesson here with Clear Channel's Next-Generation and do a Nielsen on them.
07/21/06 RBR #141

Why are stations "abandoning"
HD-2 formats?
We're not sure about other markets, but indeed in DC it seems broadcasters are not all that psyched about HD-2 formats. In short to bring the younger listeners back to radio, we need formats like: Indie Rock, Reggae, Drum & Bass/Techno, Underground Classic Rock, Rap/Hip-Hop with no syrupy R&B mixed in, etc... And the spots need improvement - "There are secret stations in your city - go to HD Radio.com to find out more" is not going to cut it. Get the right HD-2 formats up and running 24/7; tout they are commercial-free; say how and where to tune them in and play good clips of the music in the spots.
07/21/06 RBR #141

Fraud plagues online advertising
There's a big problem when you put an ad online and pay by the click. Anybody can do the clicking, and a lot of the time, 14.1% the person doing the clicking is not an individual interested in the product or service being advertised. Scammers are said to be responsible for phantom clicks that often, a number which is on the increase. Among the motives noted are self-enrichment, as when a website operator clicks on ads it's running, or to attack the competition, as when a rival business owner clicks on a competitor's ads to drain its marketing budget.

RBR observation: This is a pitch point broadcasters may be able to use to help stem the flow of cash from broadcast to the Internet. Broadcast waste is measured in terms of wasted impressions. However, while it may not do your client much good if a senior citizen with false teeth hears a toothpaste ad, at least the waste isn't coming right out of the client's checking account.
07/20/06 RBR #140

Harpo gearing up
Harpo Radio General Manager John Gehron has made his first big hire for the fall launch of "Oprah & Friends" on XM Satellite Radio. Laurie Cantillo, formerly PD of KFI-AM & KGME-AM Phoenix. Gehron said of Cantillo - has a passion for bringing quality news and high-impact human interest stories to radio.

RBR observation: Re-read Gehron's quote where he states these two key words - Passion and Radio. Passion and Radio seems those two simple words just fit together and something that is missing in radio today. Remember Gehron is a pure radio pro who focuses on content and presentation. Gehron did not say XM, not Harpo XM or XM Harpo satellite radio he just said passion and radio. Our bet is that Gehron views XM as radio and Oprah just may be the key to opening the XM success lock.
07/20/06 RBR #140

Let the Calls begin; Broadcasting saves quarter for Journal
Gains in radio and TV revenues, including some new TV stations, counter-balanced revenue declines for other units of Journal Communications. Q2 revenues were flat with last year.

RBR observation: Nice radio numbers. Unfortunately, they are not likely to be duplicated by many other radio groups.
07/19/06 RBR #139

XM wants lawsuit thrown out
has put into writing its claim that the Inno device (made by Panasonic) which allows subscribers to record songs is protected by the 1992 Audio Home Recording Act (AHRA). It has asked a federal judge to toss out a multi-million bucks lawsuit over the device filed by the big record labels back in May 06.

RBR observation: The record labels made their bed, but now they don't want to lie in it. As we noted previously (5/22/06 RBR #100), the record industry lobbyists were totally clueless about where technology was heading when they pushed through the AHRA in 1992. Now, it seems, they want to pretend that it doesn't exist. And don't think that this only concerns satellite radio. The very same conflict is lurking around the bend for digital broadcasting by terrestrial radio stations.
07/19/06 RBR #139

Diaries get PPM shuffle
Arbitron announced changes to its start dates for the Winter 2007 and Spring 2007 ratings survey periods. The move is designed to harmonize the quarterly periods for diary measurement with its planned launch of Portable People Meter ratings in some markets next year. Going forward, Arbitron says it will no longer place a one-week break between the Spring and Summer surveys. To view the chart on this page see
07/18/06 RBR #138

CBS Evening News
adding radio simulcast
When the CBS Evening News with Katie Couric debuts 9/5, the viewers will be able to watch and listen, as well as a get related programming on television, radio, Internet and wireless platforms.

RBR observation: Surprising CBS Corp. CEO Les Moonves is not using more CBS O&Os to air Katie. Needless to say, expect a ton of promotional radio spots running on the CBS Radio News network. Whether we'll hear them on the music stations remains to be seen. On the interactive and wireless side, all of this will be ad-supported. None will be subscription-based. Ad packages are currently being put together. We'll have more on that. More read this page in RBR
07/18/06 RBR #138


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