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Volume 22, Issue 164, Jim Carnegie, Editor & Publisher
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Monday Morning August 22nd, 2005
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Radio News®
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 Arbitron council moves ahead
on PPM, reorganization
The real excitement will be next month (9/20), when Arbitron releases the first station-level data from its PPM test in Houston, but much of the Arbitron Radio Advisory Council meeting which wrapped up Friday in New Hampshire was spent on data and questions regarding the Houston test. "We're encouraged," said Council Chairman Nick Anthony, Executive VP of Operations for Rubber City Radio. Early data from May-June mirrors "fairly closely what we saw in the Philadelphia," he said - - TSLs are down, CUMEs up, morning drive down, other dayparts up. But Anthony noted that data for the 18-24 Demo was still a problem - - even with cell-only households in the sample. He also suggested that TSL levels for the Houston test may be depressed because of the refusal to encode by seven stations owned by Cox Radio and Radio One. Of course, there was interest in the Clear Channel RFP to draw out challengers to PPM, which Anthony said was good because it adds a sense of urgency to finding a replacement for diaries. There's also a sense of urgency, he said, about solving the problem of getting cell-only households into the ratings sample, regardless of the methodology, and the council has established a subcommittee to deal with the issues of cell-only households and young male proportionality in the ratings sample. One idea being explored for the latter is supplemental sampling, which would have to be worked out with the Media Rating Council.
RBR observation: Basic data on Cume Up means people are testing radio but with TSL down radio is not holding their attention long enough to build the quarter hour. RBR would have to examine the Houston data ourselves for a clearer picture but to point a finger at Cox and Radio One not participating is not totally relevant as it is only a test. Only suggestion is do not stop the progress forward like some in TV are attempting to do and even get congress involved with Nielsen's LPM, 07/28/05 RBR #147, and stay in the diary world as the real world is driven by the consumers need and want for techie devices.
Council itself is going through dramatic changes
Plans won final approval during the same meeting last week to change the make-up of the Arbitron Radio Advisory Council (ARAC). In the next elections this fall, there will not be a single candidate on the ballot from Clear Channel, Infinity, Cox, Entercom or ABC Radio - - that's because the top five groups will all have guaranteed seats. And elections will no longer be by format. Rather, there will be two seats each for markets 1-50, 51+ continuously measured markets, smaller market non-continuous, smaller market condensed. There will continue to be designated seats for "youth-appeal" formats, Hispanic and Urban. Those are the 16 voting seats, plus three research seats (Katz, Interep and a newly added research seat to be filled by a radio group researcher), an at-large seat traditionally filled by the President of the RAB, a group PD seat and a seat that automatically goes to the council's past chairman. Just as soon as the meeting concluded, Arbitron rushed out its own summary of the issues addressed. The ARAC highlights are interesting like point number 4: Satellite Radio-Fall 2005: Arbitron will institute an enhanced satellite radio diary credit policy. | 12 Bullet point highlights are |
 Susquehanna: No delay in sale bids
Susquehanna Media says a report published Friday in another trade publication is not true - - there has been no delay in the sale process for its radio and cable holdings because of the comment letter it received from the SEC (8/17/05 RBR #161). Otherwise, company officials aren't giving any hint about how the sale process is going. "We've asked for bids for September 13th. That's about all I can say," said CFO John Finlayson when asked by RBR/TVBR. Finlayson earlier told analysts and reporters on the company's conference call that Susquehanna Media will file its response to the SEC inquiry by the September 6th deadline and make that filing public. "We expect no restatements to the December 31, 2004 and March 31, 2005 balance sheets, statements of operations and statements of cash flows," Finlayson said. He declined to reveal anything about the specifics of the SEC's letter. In the call,  Susquehanna Media CEO David Kennedy gave a bit more detail about the Q2 drop of 3% in radio revenues that was already reported. He noted several soft markets and said the launch of a "Jack" station in Indianapolis and the lack of a major event from last year in Houston contributed to Susquehanna coming in below the industry's flat quarter. On the plus side, Kennedy said auto dealers and financial institutions led growth in the top five ad sectors, which as a group were up 7%. Susquehanna doesn't comment on forward pacings, but Kennedy noted that there has been evidence of turnarounds at stations where the company has made format changes.
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 Lawsuit says CCU
hijacked Jack
SparkNet Communications is going after Clear Channel, charging it with cybersquatting and trademark infringement. SparkNet says it is the creator and rights-holder for the new Jack FM Format, and it's heading into a San Diego federal court to challenge Clear Channel's alleged trespass. The suit, filed by law firm Newman & Newman LLP, also alleges unfair competition, trademark dilution and violation of business & professional codes. "For more than four years, radio format innovator SparkNet spent countless hours developing its enormously popular and unique radio programming product ('the JACK FM Product'), which SparkNet offers in connection with trademarks 'PLAYING WHAT WE WANT'...and 'JACK FM...,' states the complaint. "Consumers expect stations using Jack Marks to offer the JACK FM Product, rather than a cheap imitation of that product, such as the programming Defendant Clear Channel offers at its San Diego Radio Station KMYI." The cybersquatting charge is related to that station's use of JackFMSanDiego.com as its Internet domain name, even while Midwest TV's KFMB-FM is running the format legitimately in the market with SanDiegoJack.com as its Internet domain name. Sen. Spencer Abraham (R-MI) has introduced legislation that would make cybersquatting officially illegal, with penalties up to 300K. According to Webopedia Computer Dictionary, cybersquatters have been losing in court despite the lack of federal legislation. SparkNet further charges CCU with running a similar format called STEVE-FM at its WLTY-FM in Columbia SC, using a brand "PLAYING WHATEVER WE WANT", and further using the brand "WE PLAY WHATEVER THE HELL WE WANT" at its KDRB-FM in Des Moines.
RBR observation: SparkNet cannot copy the playlist formula behind JACK FM any more than a musician can copyright a C Major chord. Tunes are the building blocks of much radio programming, and every radio station has the right to decide what to play, and in what order (or so we believe). But, today's rules and laws are not like the old days of "Alice" stations, or the old "Turn your knob to Bob" Country as one time the word common law trademarks were not heard of and internet was not around. Today, it is a different matter as this much we do know from first hand experience - cybersquatting and or trademark infringement and common law trademark infringements are illegal. If you are unsure you are best to consult a knowledgeable copyright / internet legal mind. As the Internet arbitrators do not sit kindly on squatting or stealing ones in use identity. Internet and trademark law differs from Judge Judy.
 Disney beefs up corporate governance
The Walt Disney Company announced two new measures designed to make it more responsive to shareholders. From now on, any director who receives a majority "withhold" when shareholders vote on directors, he/she will be required to submit a letter of resignation - - and then the board's Governance and Nominating Committee will recommend to the full board whether to accept it. Secondly, the board has adopted a provision based on a shareholder proposal which didn't pass at this year's annual meeting. It generally prohibits the company from buying back shares at above-market prices from anyone holding 2% or more of Disney's shares - - a practice commonly called "greenmail" - - without first getting shareholder approval. "Today's action is the latest in a series of steps we have taken to further strengthen Disney's corporate governance practices. The Board remains committed to monitoring evolving best practices and adopting new provisions, as appropriate, to serve the long-term interests of the Company's shareholders," declared Sen. George Mitchell, Chairman of the Board of Directors.
RBR observation: Most companies don't have any mechanism to oust directors if they receive a big no confidence vote from shareholders. But we would note that the one which Disney's board has adopted is a pretty toothless tiger. First, the no votes have to be 50% or more, so the 47% rejection that Michael Eisner got in 2004 wouldn't trigger this new rule. (Don't forget, back then the common wisdom was that any CEO who got hit with a 47% no-confidence vote would be gone within 24 hours. He lasted a year and a half.) And even if a majority of the shareholders want to get rid of a director, the board still gets to weigh whether to accept the will of the company owners - - or stand by their comrade on the board.
 CCU SLC ABC affiliate
nixes Sheehan ad
An ad featuring Cindy Sheehan, the anti-war protester who has famously been camping out in Crawford TX in an effort to speak with President George W. Bush, has been nixed by KTVX-TV in Salt Lake City, according to the Associated Press. A group called Gold Star Families for Peace is running the ads in anticipation of a national VFW convention to be held there, with a speech from Bush on the agenda. The local NBC, CBS and Fox stations are running the ad. However, KTVX felt that it's antiwar message may not sit well with the residents of Salt Lake City and decided to turn it down. They said it did not qualify as an issue ad since it was not tied to a specific ballot item. Local management also said that the station's national management team at Clear Channel headquarters had nothing to do with the decision.
RBR observation: Stations have a responsibility to try and protect viewers and listeners from companies offering fraudulent goods or services. It's entirely appropriate to turn down a cash airtime buy from the producer of a sham weight-loss program. However, when you start picking and choosing which political- and issue-oriented ads you will agree to air, you're beginning to tread on thin ice. You'd better be prepared to refuse ads from both sides of the issue. Further, CCU San Antonio probably did not have anything to do with this at all, just like CCU troops on the ground in SLC say. But you can bet CCU will be tarred and feathered anyway. Let's see which watchdog will be the first to once again erroneously connect the Dixie Chicks ban and Clear Channel. CCU does not need to keep defending itself from such stuff.
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Adbiz©
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Podcasting: can it make money?
 According to new forecasts from The Diffusion Group, a consumer technology research consultancy, demand for podcasts is expected to grow from less than 15% of portable digital music player owners in 2004 to 75% by 2010. While Emmis CEO Jeff Smulyan said not too long ago he believes iPods are a bigger threat than satellite, lately the reaction from radio has been to join the podcasting revolution than to try and "beat it," per se.
| More... |
Accounts in motion and review
Office Depot has launched a review for its 95 million account - NBC Universal's broadcast and cable TV programming division has reportedly narrowed its media services review to six - 7-Eleven has reportedly selected Omnicom Group. Note: For details see More News Headlines this report
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| Media Markets & MoneyTM |
Bott and paid for
The Bott family, another radio group with both commercial and noncommercial elements, has deals in the fire on both sides of the com/noncom divide, including a 5M agreement to acquire a Nashville AM station. That deal's being done on behalf of Bott Communications, the commercial side of the operation, which is run by Richard P. Bott I & II and Sherley E. Bott. The station is Nostalgia/Big Band WAMB-AM, which serves Nashville out of Donelson TN. The seller is Great Southern Broadcasting Company Inc., which retains both WKDA-AM Nashville and the rights to the WAMB call letters. The contract also has an unusual stipulation, showing that brokerage firm American Media Services will receive 50K for its part in arranging the deal, with half of that amount coming from each party. The Botts also showed up in the FCC deal database the day before WAMB arrived - - as noncommercial Community Broadcasting Inc., it is picking up a pair of small-market Kansas FMs from Donald E. Wildmon's American Family Association. The total cash consideration for KBMP-FM Enterprise KS and KARF-FM Independence KS will be 30K. Both stations are looking for CPs to upgrade.
Fox files to simplify its existence
Now that News Corporation is a US-based company, primarily owned by United States citizen-stockholders, it is free to transfer all of its television station licenses - - 35 stations in 26 markets - - to a wholly-owned US subsidiary. The 11/12/04 HQ move from Australia to the US enabled the procedure. The company says, "The proposed transfer will reduce corporate complexity for News Corporation." Fox Television Stations are said to reach 45% of US TV households, with duopolies in New York, Los Angeles, Chicago, Dallas, Washington, Houston, Minneapolis, Phoenix and Orlando.
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| Washington Beat |
 Newspaper merger leads to FEC complaint
Pennsylvania was a major battleground state during the 2004 presidential election, and figures to be prominent in the national headlines again in 2006, when Democrats will make a major effort to unseat incumbent Rick Santorum (R-PA). Which has led to this odd scenario. In the Wilkes Barre-Scranton market, a pair of newspapers are merging - - The Scranton Times and the Tribune. The resulting Scranton Times-Tribune is being touted in both newspapers ads and on billboards, which, according to the Associated Press, use a representation of the new paper's front page with a fake headline reading, "Casey to run for Senate." Republicans in the Keystone State are saying this may be in essence an illegal corporate campaign contribution to Bob Casy Jr., and they want the Federal Election Commission to look into it. A spokesman for the paper said that the charges were without merit, pointing out that doesn't do anything to specifically promote Casey, and that anything Casey is of local interest, since Scranton is his home town. The spokesman also said the ads would have no effect on the outcome of an election still 15 months away.
RBR observation: We don't know if the Republican case holds water or not. We do know, however, that the newspaper would not be fighting a rear guard action right now if it had picked a topic for its fake headline that is not as politically charged as, well, politics. This rule of thumb also applies to broadcasters. If the Washington Post and the Washington Times were to merge tomorrow (fat chance), they'd be wise to compose a headline about the National Zoo's new baby panda and leave Mayor Anthony Williams out of it. A word to the wise from your friends at TVBR.
Scarborough stays on the sidelines
MSNBC talk show host and former US Rep. Joe Scarborough has decided not to run in the primaries for the Florida Senate seat currently occupied by Bill Nelson (D-FL). Some members of the GOP have expressed concern that announced candidate Rep. Katherine Harris (R-FL) may have excess baggage from her role in Bush v. Gore in the 2000 presidential election, and were hoping to draft Scarborough as an alternative. Scarborough wants to keep his show going and have more time with his family.
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| Programming |
 JRN launches HD-ready formats
Jones Radio Networks announces the debut of a new suite of programming products designed for Internet streaming and HD multicasting. JRN clients can now receive custom programming in any genre, from mainstream formats to unique niches. The formats are delivered hands free via Jones Content Delivery System. Says Jim LaMarca, EVP/COO, JRN, "It's a very exciting time. All of the new technology helps stations offer new content and extend their brand on a variety of platforms, not just AM/FM. Jones Radio Networks' clients are able to meet the needs of their listeners with a variety of programming choices for both terrestrial and HD delivery." "We've helped hundreds of radio stations develop unique brands in their market," says Ken Moultrie, Senior Director of Programming, JRN. "These stations are able to the move to the future with all of the resources they need to compete in a rapidly changing marketplace. We take the hassle and guesswork out of adding additional music choices for Internet streaming and HD side channels." This summer, NPR began offering five programmed music formats to HD Radio multicasting stations: classical, jazz, electronica, AAA and folk. Other program offerings NPR is developing for stations with new channels include a news and information service and formats that would serve culturally diverse audiences. 24 NPR member stations will begin multicasting by year's end. Westwood One and PRI also offer multicast content.
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| Engineering |
J.D. Power: HD Radio pricing garnering
higher consumer interest than satellite
Premium surround sound systems HD Radio are highly attractive features consumers would like to see in their new vehicles based on their estimated market prices, and consumers prefer to pay a one-time fee over a monthly subscription for satellite radio, according to the J.D. Power and Associates 2005 U.S. Automotive Emerging Technologies Study released Friday. | More... |
RBR observation: It's all about offering the listener more and better choices. We think once the majority of HD stations and HD receivers offer Multicasting, it could tip the scales away from satellite. Through innovative FM multicasting formats, traditional radio can theoretically match the offerings of satellite in decent-sized markets. And it is free. Certainly, ad campaigns educating the consumer on multicasting are needed-especially for the Christmas shopping season! The FCC needs to act decisively on approving multicasting as well. That will give more manufacturers and stations the green light they've been waiting for.
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| TVBR TV News |
 Analyst puts pressure on
Gray TV management
In the days leading up to passage of the Sarbanes-Oxley law, many Wall Street analysts were criticized for being lap dogs for the companies they were supposed to be critiquing. Well, you certainly can't say that about Victor Miller at Bear Stearns. First he began pushing Clear Channel to adopt his "Plan B" (6/1/05 TVBR #107) rather than the reorganization plan that management had announced. Now he's attacking the plan that Gray Television has announced to spin off its newspaper group into a merger with Bull Run Corporation, creating a new company to be called Triple Crown Media. Miller says Gray would be better off selling the newspaper group, which he figures is worth 140-182 million bucks. And he's not buying management's explanation that the tax bite from an outright sale would be too much to bear because the tax basis in the properties is so low. Miller has been crunching numbers and says Gray has approximately 120 million in net operating losses on its books available to offset most of the taxable gain from a newspaper sale. A sale would also reduce Gray's leverage far more than the 40 million bucks that Triple Crown is to put into its coffers after the split. In addition, Miller is questioning whether the Triple Crown deal amounts to a bail-out of Bull Run, a penny stock company whose debt - - currently 59.3 million according to the analyst - - is personally guaranteed by J. Mack Robinson, who is Chairman of Bull Run and Chairman and CEO of Gray Television. Miller's latest research report concludes that the spin-off to create Triple Crown "is not in the best interests of shareholders." He has downgraded Gray's stock to "Underperform."
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| Monday Morning Makers & Shakers |
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Transactions: 7/11/05-7/15/05
After taking a week off for Independence Day, traders were back, putting up the best numbers of the summer thus far. A couple of big market TV deals will do that - - SBS entered the business in Miami, and Belo picked up a UPN affiliate to go with its CBS station in New Orleans - - getting the station from Viacom, the owner of both networks.
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Total
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Total Deals
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23
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AMs
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11
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FMs
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14
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TVs
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2
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| Value |
72.756M
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| Complete Charts |
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Radio Transactions of the Week
Battaglia on both sides of Phoenix deal
| More... |
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TV Transactions of the Week
SBS expands into TV
| More... |
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| Transactions |
37M WDLP-TV Miami-Ft. Lauderdale (Key West FL) from WDLP Broadcasting Company LP (William De La Pena) to Mega Media Holdings Inc., a subsidiary of Spanish Broadcasting System Inc. (Raul Alarcon Jr. et al). 500K escrow, 14M cash at closing, 22.5M note. Cross-ownership with WRMZ-FM, WXDJ-FM, WCMQ-FM in Miami, and WZMQ-FM Key Largo FL & WMFM-FM Key West in the Keys. WDLP is indy on Channel 22 (DTV Channel 3). [File date 7/15/05.]
2M WNTS-AM Indianapolis (Beech Grove IN) from S&M Broadcasting Co. Inc. (Jack N. Marsella, pres) to Davidson Media Station WNTS Licensee LLC, a subsidiary of Davidson Media Group LLC (Peter Davidson). 150K escrow, balance in cash at closing. [File date 7/14/05.]
1.5M KBTE-FM Lubbock TX (Tulia TX) from Dove Media LLP (Bruce H. Campbell) to Wilks License Company-Lubbock LLC (Jeffrey Wilks), replacing NextMedia Group. Combination of LMA/option fees, cash. Superduopoly with KLLL-FM, KONE-FM, KMMX-FM. NextMedia is completing earlier deal for KBTE, then selling all four Lubbock stations and four Reno NV stations in a separate transaction. [File date 7/14/05.]
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| Stock Talk |
Just what happened in Friday's market?
It was a weird day to end the week. The Dow had been up substantially, but then a jury verdict against drug maker Merck sent the market falling. The Dow ended with a gain of only four points at 10,559. Other major indices were also little changed.
Not so for radio stocks, where the trend was definitely negative - - apparently a spill-over from concerns earlier in the week about retail sales. The Radio Index fell 1.259, or 0.6%, to 204.108. Entravision dropped 2.3%, Saga declined 1.7% and Cox Radio was off 1.4%.
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| Radio Stocks |
Here's how stocks fared on Friday
| Company |
Symbol |
Close |
Change |
Company |
Symbol |
Close |
Change |
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Arbitron
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ARB
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42.65
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+0.24
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Jeff-Pilot
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JP
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49.73
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+0.16
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Beasley
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BBGI
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14.00
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-0.10
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Journal Comm.
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JRN
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15.90
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+0.01
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| Citadel |
CDL |
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13.40 |
-0.08 |
Radio One, Cl. A
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ROIA
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13.84
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-0.03
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Clear Channel
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CCU
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33.70
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-0.17
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Radio One, Cl. D
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ROIAK
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13.80
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-0.05
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Cox Radio
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CXR
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15.06
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-0.22
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Regent
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RGCI
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5.50
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-0.02
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Cumulus
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CMLS
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12.48
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-0.09
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Saga Commun.
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SGA
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13.67
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-0.23
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Disney
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DIS
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25.97
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-0.11
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Salem Comm.
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SALM
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17.89
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-0.08
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Emmis
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EMMS
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21.60
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+0.28
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Sirius Sat. Radio
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SIRI
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6.44
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-0.04
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| Entercom |
ETM
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32.87
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-0.23
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Spanish Bcg.
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SBSA
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7.76
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-0.04
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Entravision
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EVC
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7.80
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-0.18
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Univision
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UVN
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26.91
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-0.09
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Fisher
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FSCI
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45.01
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-0.31
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Viacom, Cl. A
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VIA
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34.72
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-0.12
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Gaylord
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GET
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44.61
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-0.25
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Viacom, Cl. B
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VIAb
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34.63
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-0.19
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Hearst-Argyle
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HTV
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25.52
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-0.25
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Westwood One
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WON
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20.35
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-0.20
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Interep
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IREP
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0.60
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-0.02
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XM Sat. Radio
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XMSR
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33.00
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-0.37
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International Bcg.
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IBCS
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0.01
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unch
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-
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-
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- |
-
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-
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Bounceback
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 We want to
hear from you.
This is your column, so send your comments to [email protected]
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Radio Media Moves
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 Beasley added
to NAB board
That's Caroline Beasley, CFO of Beasley Broadcast Group. She gets the seat on the NAB Radio Board left vacant when Bonneville's Bruce Reese was elected Joint Board Chair. Caroline Beasley has been with Beasley Broadcast Group since 1983 and she's been CFO since 1994. By the way, if you need a loan, she's also a director of the Bank of Florida in Naples, FL, where Beasley Broadcast Group is headquartered.
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August Digital Magazine
Now Available
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Media Business Report '06
Where will the Brand Dollars Land?
GM Talkback
Podcasting focus. Views from:
WAMU-FM -Caryn Mathes
WMAL- Chris Berry - And others
Brand Spending
Trends in TV & Radio in '06
This is pass along pacing data
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
August Issue of RBR/TVBR
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RBR Radar 2005
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Radio News you won't read any where else. RBR--First, Accurate, and Independently Owned.
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NAB: Let IBOC rock
Asking the FCC to sweep aside last-minute complaints and get radio on the road to IBOC ASAP. It notes that numerous concerned entities pushed the process to where it is now, and while admitting that certain uncertainties remain, contends that they can be worked out while moving ahead. Publisher observation: RBR totally agrees that you move forward because if you stand still long enough you are bound to catch the bullet and be left behind. It can be IBOC, PPM, LPM, or any technology remember it is a consumer device driven world and it is up to us in our fields to become more consumer user friendly. You can not work out the issues until you confront the inevitable and face them head on. Just as we at RBR/TVBR did in early 2000 by taking an RBR color magazine and a paper Fax publication and tested electronic delivery. This my colleagues produced much pain but the decision was made to stop printing the old fashion way in weekly magazine paper and go for the technology as the new breed was already into laptops and blackberry devices. Proof just by you reading RBR this morning was once and for 20 years a weekly color magazine. Content and presentation still there but it didn't happen overnight. You test, try, improve, and make mistakes but learn from them and grow or you will catch that bullet sooner now more than later. 08/19/05 RBR #163
Suddenly, everybody wants to measure radio
CC Radio says it's gotten more than two dozen responses so far - - and the deadline isn't until December 15th. RBR observation: Sheer numbers, of course, aren't the most important thing, but it is good news for radio that so many companies are interested in the RFP. Maybe something really interesting will be put forth that no one had heard of previously. But we would also warn that many of the radio ratings wannabes probably have only a vague idea and nothing close to a ratings product ready for implementation. As for these two dozen potential ratings firms our question is - Who Are They? Publisher note: Don't pop the cork just yet just because Clear Channel is happy getting two dozen responses as getting into the ratings game in radio or television is serious money business and radio has a history of not supporting anything new. History tells this story as published in RBR the History of Radio Ratings in March 2004 and it is worth another read. 08/19/05 RBR #163
Cable pushes the envelope...
even on radio
WTRW-AM Two Rivers, WI owner Mark Heller tells RBR/TVBR that his minister dropped by the other day and noted that he'd just heard the word "nooky" air on the station. Heller said he couldn't believe that Scott Shannon would use that word on the air, but it turned out not to be the DJ, but rather a spot carried on ABC Radio's True Oldies Format - - a spot for A&E's " Dog the Bounty Hunter." RBR observation: It seems that the radio nets were caught off guard by the increasingly edgy content in the TV tune-in sector. The standards and practices departments tend to devote their greatest attention to such things as spots for Viagra and its competitors and making sure that ads for OTC pharmaceuticals comply with government regulations. No one expected to find objectionable content in an ad for A&E. But with complaints starting to come in from affiliates, they'll likely be paying closer attention to the cable spots. But and there always is a butt, someone has got to get a hold onto reality and not the TV programming they are putting out these days like 'Dog the Bounty Hunter' is a real dog and speaking of programming dog doodoo. 08/18/05 RBR #162
NAB pushes FCC on
IBOC fast track
In the latest round of filings at the FCC on setting a digital radio standard, the NAB has urged the Commission to dismiss opposing views and adopt IBOC ASAP.
08/18/05 RBR #162
Dole goes to bat for reporters shield
Ex-US Senator and Republican 1996 presidential standard-bearer Bob Dole has taken to the pages of the New York Times to express support for a bipartisan bill which would create a national reporters shield, allowing reporters leeway when trying to protect the identities of anonymous sources.
RBR observation: The only people who need fear whistle-blowers are those in danger of being the object of the whistle. Maybe that's why there seems to be a shortage of politicians who are willing to stand up and speak out against this bill. That's the cynical view, anyway. Maybe it's just so obvious that the shield is a necessary tool for journalists that everyone who goes on the record takes the high road. The test will be putting on the floor for a vote. Will that happen or will this go into the same holding cell as the Broadcast Decency Enforcement Act of 2004...we mean 2005?
08/17/05 RBR #161
Spot loads down, rates up
Harris Nesbitt analyst Lee Westerfield confirms that radio inventory was cut in July - - by an average of 7.5% in the top 10 markets, with Clear Channel cutting far more - - a whopping 26.5% from a year ago. And he notes that "yield per minute" is increasing, as reported by CCU and some other groups in their quarterly conference calls. Even so, says Westerfield, "We caution investors that radio may at best be able to achieve our +1.6% growth forecast for the year."
RBR observation: But back to the yield-per-minute news, which is where the long-term good news lies. Westerfield calculates that revenue per minute increased 7-8% in July for the top 10 markets. That's what will make LIM worthwhile for Clear Channel and for other groups who are also cutting inventory to push up prices. It will, however, take time.
08/16/05 RBR #160
Tepid growth for broadcast
That is what Veronis, Suhler sees projects a shift from advertiser-supported media to media where consumers make their own selections - - with more marketing dollars following them to those new media entities. As such, projecting unimpressive growth for broadcasting over the next few years. "We believe the broadcast radio sector is transitioning from a growth business to a mature one," the report says. With radio revenues expected to rise only 2.7% this year (which is higher than many Wall Street estimates), VSS is projecting that radio revenues will rise at a compound annual rate of 4% through 2009. The forecast isn't much better for TV. VSS sees the spikes in even years (election/Olympics) becoming less pronounced than in the past five years due to such challenges as DVRs and increased competition from cable and the Internet.
08/16/05 RBR #160
MBR -- Is Rupert about to Blinkx?
News Corporation was working on an acquisition in the Internet search arena. In his view, it was a very important acquisition, although he said he doubted that Wall Street would think it very significant. Blinkx, a privately held Internet search engine (blinkx.com). What apparently makes the company so attractive to Murdoch is that its voice recognition software searches podcasts, Internet videos and, yes, even TV, not just text. RBR observation: The connection is obvious. With Blinkx, News Corp. would be able to provide viewers with a way to search for programs of interest on its broadcast and cable networks - - and likely license it to other broadcasters (both radio and TV) as well. Rupert and his Team with Roger Ailes see beyond today or just now. It is today, tomorrow, next week and next year.
08/16/05 RBR #160
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