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Welcome to RBR's Daily Epaper
Volume 24, Issue 173, Jim Carnegie, Editor & Publisher
Wednesday Morning September 5th, 2007

Radio News ®

Radio picks up political purchases
That's the good news. According to the Radio Advertising Bureau and Nielsen Monitor-Plus, 26.3K political spots have been bought on radio stations in the first half of 2007, a 17% gain over 2005's 22.5K total. But when looking at overall revenue results for the second quarter and the first half of 2007, the fact that RAB chose to highlight Miller, Kaplan, Arase & Co. figures on non-spot gains is actually bad news, in that the industry organization is avoiding to key local, national and network figures. But it must be noted that non-spot business is in fact making a noticeable impact on radio's bottom line. But here's the ugliness: Local, national and network were down 2% apiece in Q2. But a 16% surge in non-spot was able to reduce the damage to only minus 1% overall for the quarter. For the first half of the year, local is down 1% and national is down 3%. Network, however, it 3% in the black, and non-spot is up 12%. The end result is flat, on par with the first half of 2006. RAB said that important ad growth categories include communications/cell/public utilities, insurance, professional services and concerts/theaters/movies.

RBR observation: If radio can keep on taking a bigger slice of the political pie, that may help inject a little black ink into 2008. The medium may also benefit from spillover from regular television users who are forced to seek alternative means to get their message out in battleground areas where TV becomes inundated with political ads.
| See the figures |

CBS raises dividend again
CBS Corporation has only been an independent public company for a little over 20 months, but it has announced the 5th increase in its dividend. With the latest increase by 14%, three cents per share, shareholders will receive 25 cents per share when the next quarterly payout is made October 1st to shareholders of record on September 14th. CBS will also use some of the cash from its bulging coffers to buy back 1.6 billion bucks worth of its own stock. "Raising our dividend and using a portion of our excess cash to buy back shares reaffirms CBS's commitment to return a sizable portion of our strong free cash flow to shareholders," said CEO Les Moonves. "Since January 1, 2006 we have raised our quarterly dividend by nearly 80%," he added.


Wall Street not surprised by CBS
Wall Street traders and analysts greeted the increased dividend and stock buyback announcement by CBS with a big yawn. It had little effect on the company's stock price. "We are not surprised by this announcement as CBS continues to return 2.8 billion of cash on hand (as of June 30th) to its shareholders. We continue to like CBS as a solid core holding and look for it to make additional increases to its dividend until it reaches its 50% payout ratio, which we anticipate sometime in 2009," wrote Wachovia analysts Timothy Schlock and Marci Ryvicker in a quick note to clients.

Bear Stearns analyst Victor Miller quips that the CBS letters stand for Cash Back to Shareholders. At the current share price, he figures CBS will be buying back about 7% of its outstanding stock under the new buyback authorization. Miller maintains his "Outperform" rating on the stock.

At Lehman Brothers, Anthony DiClemente downgraded the stock from "1-Overweight" to "2-Equal Weight," saying "we believe there are fewer visible catalysts for CBS shares in the next 6-12 months." He added that "local media concerns and broadcast TV ratings trends may also support a more tempered view given fair intrinsic valuation relative to growth."

Bank of America analyst Jonathan Jacoby remains neutral on the stock. "We believe that today's capital return announcement might be the last one for a while. Post the announced 1.6 billion buyback, leverage will be approximately two times. In our view, this would appear to be at CBS' comfort leverage range, and we would not expect CBS to take leverage significantly above this range. Furthermore, we believe that going much higher might impact management's strategy to keep some 'dry powder' for future acquisitions," Jacoby told clients.

BMI royalties grew
8% for the past year

Broadcast Music Inc. said it will distribute a record 732 million bucks in royalties for its 2006-2007 fiscal year, which concluded at the end of June. Radio is still a big chunk, of course, but BMI reports gains from licensing music across new media outlets, as well as cable television, plus growth in foreign markets. Total revenues grew 7% for the past year to 839 million, but BMI said it reduced its overhead costs to a record low 12.7% of revenues, resulting in the larger increase in royalties paid out to songwriters, composers and copyright owners. Radio royalty payments were up 7% and still account for around 25% of the total, but BMI Exec. VP/COO John Cody told RBR that was down from about a third of total revenues coming from radio 20 years ago. New media revenues have grown from nearly zero about five years ago to over 12 million - and growing. Going forward, Cody is looking for continued double-digit growth in cable. "Radio, as you know, has had its struggles within the industry, and they seem to be bouncing back. Similarly with TV, but when you get into the whole digital realm, that's another area where we're going to see growth, both within the new media and within different segments of the traditional media as you look at alternative ways of delivery. And I think our international revenue will grow," Cody said.


Satellite radio merger on the ropes?
Bank of America analyst Jonathan Jacoby has told investment clients that his DC contacts believe that XM and Sirius have "lost momentum" in their efforts to win regulatory approval to merge. The analyst now believes that the chance of getting the merger approved has fallen to 30% or less. "This conclusion is based upon discussions with our DC contacts regarding the recent reply comments filed concerning the NPRM on the 'rule' change. Our contacts believe that a) XMSR/SIRI's arguments were somewhat weak regarding the NPRM and b) the NAB and consolidated broadcasters' filings did a nice job of highlighting the administrative law issue for the merger hopefuls, and added a new argument that a broader audio market definition should allow for the elimination of local radio ownership caps. (In other words, allowing the merger would open Pandora's box and set a precedent that would encourage a wave of media consolidation.)," Jacoby said in an update to clients. The FCC filing by a group of broadcasters got kudos for its arguments that if the market to be considered is "audio entertainment," as the satellite companies claim, then the FCC should abolish all AM and FM ownership limits. "Our contacts believe that this argument could give the FCC the most trouble. The broadcasters state that if the FCC were to allow the merger, 'then it would be impossible to justify any continued regulatory limitation on AM/FM broadcast radio ownership.' The problem for the FCC is that they are in for a huge court battle on radio ownership if they simply waive the rule - the risk is that the FCC will lose AGAIN at the courts on ownership issues," Jacoby wrote.

RBR observation: Jacoby's analysis focuses on the merger arguments before the FCC. We continue to believe that the antitrust review at the Department of Justice is an even bigger hurdle for the two satellite radio companies.

Court upholds FEC's 527 approach
Chris Shays (R-CT) and Marty Meehan (ex-D-MA) lost their challenge of a Federal Election Commission decision on 527 organizations in a decision related to the Bipartisan Campaign Reform Act. The two, the House counterparts of McCain and Feingold regarding BCRA, wanted such organization defined as political committees under all circumstances; FEC retains its right to take them on a case-by-case basis. The issue was settled in the US District Court for the District of Columbia. 527s became a big issue during the 2004 presidential campaign, with groups such as MoveOn.org and Club for Growth using soft contributions to fund advertising efforts. The FEC had been slow to define such groups, named after a section of IRS tax code, and therefore did little in the way of regulating them in 2004. But since then, it has declared many groups claiming 527 status to in fact be political action committees and has levied substantial fines against many for overspending.

In a release, the FEC explained, "In reaching this decision Judge Emmet G. Sullivan agreed with the Commission that judgments about whether the major purpose of an organization is influencing federal elections are complex and therefore the FEC's decision not to draft a general rule but rather to consider this question on a case by case basis is within the agency's discretion. The Court also noted that 'the FEC has successfully brought enforcement actions against 527 groups since the [Court's] 2006 opinion...' The Commission has completed action against a number of such groups that were active in the 2004 election cycle, and these groups have agreed to pay a total of approximately 2.3M in civil penalties."

RBR observation: MoveOn long ago dropped its 527 status and has been relying on small donations to keep its cash and advertising projects flowing, and the hefty fines that FEC has been issuing make it unlikely that many who used this loophole in the past will try to overtly do so again in the future. However, if such groups engage in issue advertising that can be argued to be not directly advocating the election or defeat of any specific candidate, we suppose they would be free and clear to do so under the recent Supreme Court ruling in the Wisconsin Right to Life case. It looks like while the 527 loophole has been closed for the most part, another big loophole was opened on the issues front. In the end, the cash flow into the political battle should continue full throttle.


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Wall Street Media Business Report TM
DG FastChannel completes GTN buy
DG FastChannel has completed its previously announced buy of GTN, Inc., for 11.5 million. Based in Detroit, GTN serves the ad community through a range of advertising media services including distribution for standard definition and high HD commercials, asset management, archival and production and post-production, services. Following the closing of the acquisition, DG FastChannel divested GTN's post-production assets and operations for 3.0 million in cash. Said Scott Ginsburg, DG FastChannel CEO: "Like our other recently completed transactions, this acquisition is strategically and financially compelling. Strategically, GTN strengthens DG FastChannel's presence in Detroit and the business combination brings talented personnel with strong automotive industry and local agency relationships to DG FastChannel. GTN's marquee clients include top automotive advertisers and Detroit-based advertising agencies focused on the automotive advertising market."


Ad Business Report TM

InStore Broadcasting Network signs for PPM in Houston
InStore Broadcasting Network has signed a contract with Arbitron to measure the audience of its in-store audio network in 200 Walgreens drug stores in the Houston-Galveston DMA. This marks the first time that Arbitron will provide audience estimates to place-based media using the existing panel of consumers carrying the company's PPM device as part of its ratings service. Over April through June in Houston, an average of 1.25 million people 18+ were exposed to the Walgreens Network, which reaches 30% of the overall population and about 34% of women 18+ on a monthly basis. Women represent just under 60% of the audience. Just over 36% of women 18-34 are exposed to the network in a month. On average, people in the Houston market are exposed 1.5 times per month.

Kansas City and college radio spots examined
Media Monitors took a look at college advertisers, Kansas City and their use of spot radio. Last week in Kansas City, these were the spots heard on the radio. #1 was the SHANE COMPANY with 759 spots. Zooming into #2 from #8 the previous week was the KANSAS SPEEDWAY with 648 units, while LEE'S SUMMIT MITSUBISHI was #3 running 620 commercials. VINSON MORTGAGE GROUP was #4 with 572 spots and SHAWNEE MISSION HYUNDAI was #5 airing 523 announcements. SHAWNEE MISSION KIA was #6 with 522 spots, while NEBRASKA FURNITURE MART was #7 with 460 units. HOME DEPOT was #8 running 364 spots and TOYOTA was #9 with 340 spots. And finally, #10 on the K.C. SPOT TEN was LOWE'S with 336 spots.

Colleges and universities that advertised on the radio the most: STRAYER UNIVERSITY, with campuses from New Jersey to Florida was #1 running 1613 spots. Very un-turtle-like, The UNIVERSITY OF MARYLAND came in #2 with 657, while Fort Lauderdale, Florida's NOVA SOUTHEASTERN UNIVERSITY was #3 airing 418 units and SOUTHWEST FLORIDA COLLEGE was #4 with 364 spots. NATIONAL UNIVERSITY, based out of California, Nevada and Military bases, was #5 running 363 commercials. Florida's Statewide Career School, KEISER UNIVERSITY was #6 airing 331 announcements. WALSH COLLEGE, out of Troy, Michigan was #7 running 328 spots, while the Christian school out of Pennsylvania, WAYNESBURG UNIVERSITY was #8 with 310 spots. STAUTZENBERGER COLLEGE, with their main campus in Maumee, Ohio was #9 running 295 spots with the UNVERISTY OF PHOENIX coming in 10th with 287 spots.

On the NATIONAL SPOT TEN last week, HOME DEPOT was back in at #1 last week running 27,774 spots. The HD DIGITAL RADIO ALLIANCE was #2 airing 27,181 announcements. FORD LINCOLN MERCURY was #3 with 21,375 spots, while GEICO ran 20,692 ads at #4 and VERIZON was the 5th biggest radio advertiser running 19,869 spots.


NAB Daytime Planner

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

BANKERS
Peter H. Ottmar; Dover Capital Partners, LLC; Westin Charlotte; 401/723-1063 x103; cell 401/639-4958; [email protected]

Jacob J. Barker; Barker Capital; Hilton Charlotte City Center; (212) 332-4312; [email protected]

Brian Eick/Dave Meier; The Gladstone Companies; Omni Charlotte Hotel; Brian cell 847-612-3002, Dave cell 847-650-1735; [email protected], [email protected]

BROKERS
Todd Fowler/David Reeder; American Media Services; Westin Charlotte; 843-972-2200; [email protected]; [email protected]

Cliff Gardiner; Clifton Gardiner & Co.; Hilton Charlotte City Center; 303-758-6900; [email protected]

Andy McClure/Erick Steinberg, The Exline Company, Westin Charlotte, office 415-479-3484, Andy cell 415-497-3855, Erick cell (415) 209-4890, [email protected]. [email protected]

Frank Boyle; Frank Boyle & Co.; Residence Inn Charlotte Uptown; 203-969-2020; cell 203-249-7818;
[email protected]

Gordon Rice; Gordon Rice Associates; 843-884-3590; Westin Charlotte; [email protected]

John L. Pierce/ Jamie Rasnick; John Pierce & Company LLC; office 859-647-0101, John cell 859-512-3015; Jamie cell 513-252-1186, Westin Charlotte; [email protected]; [email protected]

Dick Kozacko/George Kimble;
Kozacko Media Services; office 607-733-7138; cell 607-738-1219; Westin Charlotte; [email protected]; [email protected]

Media Services Group; Westin Charlotte; www.mediaservicesgroup.com

Elliot Evers/Greg Widroe/Brian Pryor/Patricia Carberry-Harris;
Media Venture Partners;
415-391-4877; Hilton Charlotte City Center;
[email protected]

Larry Patrick/Susan Patrick/Greg Guy/Todd Wirth; Patrick Communications; 410-740-0250; Westin Charlotte; [email protected]

Glenn Serafin; Serafin Bros., Inc.;
office 813-885-6060; cell 813-494-6875; Westin Charlotte; [email protected]

Bill Schutz; Schutz & Company; Westin Charlotte; office 757-258-8740, cell 757-880-9251; [email protected]

Zoph Potts; Snowden Associates; Omni Hotel; 252-940-1682, cell 252-717-3772; [email protected]

CONSULTING ENGINEERS
Richard Mertz, Dan Ryson; Cavell, Mertz & Associates, Inc.; Main Office 703-392-9090; [email protected]

TRAFFIC SYSTEMS
Shane Harris/Susie Hedrick; Marketron Broadcast Solutions; Booth #530; www.marketron.com; 208-788-6800; [email protected]; [email protected]


Media Business Report TM
McClatchy keeping
CareerBuilder stake

There will be no sale after all of the 14.4% stake that the McClatchy Company still holds in CareerBuilder. McClatchy says it has negotiated new terms for its newspapers with CareerBuilder's primary owners, Gannett and Tribune, so it will remain a minority owner and affiliate. McClatchy acquired a 33% stake in CareerBuilder with its acquisition of Knight-Ridder in June 2006, and in August 2006 sold 18.3% of the interest it acquired to Gannett and Tribune, who had been the other two-thirds owners. At that time, McClatchy said it entered into an affiliate agreement with CareerBuilder that limited the number of products McClatchy's newspapers could sell compared to the former Knight-Ridder affiliate agreement and the Gannett and Tribune affiliate agreements. Earlier this year McClatchy began talks with Gannett and Tribune to renegotiate that affiliation agreement to be, in the view of McClatchy, "more equitable" to its newspapers.

"It was our clear preference to remain with CareerBuilder, and we are pleased to continue our affiliation with them and to continue with our ownership of the nation's largest online job site. We believe the new affiliate agreement is more equitable for our newspapers and we look forward to a successful relationship with CareerBuilder," said McClatchy CEO Gary Pruitt (pictured).


Media Markets & Money TM
Close encounter in the Midwest
Kalil & Co. have chimed in with another done deal. Rolland Johnson's Three Eagles Communications has added in three markets, getting a total of 12 stations from Clear Channel Communications pursuant to its small-market sell-off. The 25M deal includes KGLO-AM, KIAI-FM, KCHA AM & FM, KCZE-FM, KLKK-FM & KSMA-FM in Mason City IA; KYSM AM & FM & KXLP-FM in Mankato-New Ulm-St. Peter MN; and KWMT-AM/KKEZ-FM Fort Dodge IA. According to the FCC filing on the transaction, Three Eagles will also pick up an FM CP in Manson IA, not far from the Fort Dodge combo.


Washington Media Business Report TM
FCC venues up in Chicago
The full FCC road show on media ownership plans to be in Chicago on 9/20/97, and now we know where. The forum will be held in Dr. King's Workshop at Operation Push National Headquarters on 930 East 50th St. That's on the corner of South Drexel Blvd. This marks forum #5, following outings in Los Angeles CA, Nashville TN, Harrisburg PA, Tampa FL and leaving one more to be scheduled, presumably before year's end. Another hearing was held earlier this summer in Portland ME, part of the somewhat similar localism proceeding which dates all the way back to the Michael Powell regime at the FCC.


Entertainment Media Business Report TM
Matt Drudge to be replaced by Bill Cunningham
WLW-AM Cincinnati talker Bill Cunningham goes national 10/7, debuting a syndicated Sunday night talk show on 325 stations, replacing "The Drudge Report" hosted by Internet journalist Matt Drudge. The show is distributed by Premiere Radio Networks. Cunningham will continue to do a local show weekdays on WLW. Drudge affiliates have been told he's quitting radio to focus on his website.

Salem to syndicate National Geographic show
National Geographic Music & Radio (NGMR) announced a new, weekly, 2-hour radio program targeting family audiences and hosted by Boyd Matson. Produced by National Geographic, the series, which debuts this month, will tap the world's great storytellers, explorers, scientists, photographers and filmmakers. "National Geographic Weekend" is distributed by Salem Radio Network, which has cleared stations nationwide, including in Chicago, San Francisco, Dallas, Seattle, Detroit, San Diego and many other radio markets.

Hedgecock gets top Flagship
Syndicated Solutions, Inc. (SSI) has entered into a joint venture with Roger Hedgecock and will begin nationally syndicating The Roger Hedgecock Show in November. The program's flagship station will be Clear Channel's AM 600 KOGO in San Diego. Initially, SSI will debut the show Saturdays 12p-3p ET/9a-12p PT. In 08, plans call for expanding the program to include a Monday-Friday broadcast 6p-9p ET/3p-6p PT. Hedgecock is the well-known former Mayor of the city of San Diego and as the election campaign heats-up, Roger's practical background as a politician coupled with his experience as a popular talk host will help voters make educated choices and energize them to revitalize America. Simply put it is radio at its best.


Ratings & Research
Another study
suggests TV troubles
Here in the US watchdogs are busily engaged in linking childhood television habits with obesity. A new study from New Zealand suggests that there are other things to worry about as well. It looked at children born between April 1972 and March 1973 and discovered a link between heavy childhood television use and attention problems upon reaching adolescence. According to a Reuters report, children averaged just over two hours of viewing daily from the ages of 5-11, a number which rose to 3.1 hours daily by the time they reached the 13-15 age cell. Those children on the higher side of the average number, over two hours daily, were 40% more likely to have attention problems, regardless of any medical diagnosis of ADD or hyperactivity. The study did not have a definitive answer for why it produced these results and only suggested possible answers. It noted the possibility of a chicken-egg situation, saying it was possible that it wasn't television causing attention problems, it might be attention-challenged children gravitating to television rather than pursuing other activities. It also noted, however, that early viewing seemed to cause the damage, and that heavy young uses suffered despite cutbacks in viewing habits later on.

RBR observation: As parents, we certainly believe that it is vitally important that children spend their time pursuing a wide variety of activities. That's why we sometimes wonder about government-mandated children's programming. Sure, educational programming is better than the empty intellectual calories they may get from some other forms of children's entertainment, but there are times when we don't want them watching any TV at all, educational or otherwise. When we were kids, vast segments of the daily TV schedule had nothing for us, and we gladly played outside and even read books. Nowadays, kidvid is on 24/7 one way or another. Maybe the FCC should mandate certain no-kids dayparts and force Nickelodeon and the Cartoon Channel and all other channels and broadcast outlets to put on the generic programming we call "Boring Old Guys in Suits Just Talking" and other programming they hate, just to drive them out into the rich world full of both nature and make believe, beckoning from as nearby as our own back yard.

NAB 2007
Investing Time or Exhibiting? Get the Max ROI, let attendees know,
Market in RBR & MBR.

SPECIAL ROI Ad Rate for NAB
Contact June Barnes 803.731.5951 or Jim Carnegie 813.909.2916
for Ad Marketing opportunities in RBR, MBR.

Engineering Business Report TM
LBA launches blogs
LBA Group has launched three blogs specific to the wireless and radio frequency industries. Content will be contributed by experts from the LBA companies, employees, customers and invited industry contributors. "As the LBA Antenna Turns" will focus on RF equipment such as AM antenna systems for broadcasters, low and medium frequency equipment for DGPS, NAVTEX and the navigational world, RF test equipment, and radio systems integration and support. "See No RF Evil - Hear No RF Evil" will offer views on radio frequency hazards, wireless security, electromagnetic compatibility and RF regulatory compliance over a variety of industry segments including cellular, broadcasting, wireless IT and academia. "Antena LBA Hispana" is in Spanish with technical content specific to Latin America and Spain, including a sampling of both other blogs. See www.lbagroup.com/blogsphere/.


Transactions
18M WPXX-TV Memphis TN from Flinn Broadcasting Corporation (George S. Flinn Jr.) to Ion Media Memphis License Inc., a subsidiary of Ion Media Networks (R. Brandon Burgess, Lowell W. Paxson et al). Cash. 100K allocated to non-compete. LMA 1/2/98. Ion Media was sold to CIG Media in transaction filed 5/16/07. This station will also merge into CIG. [File date 8/16/07.]

1.1M WPRZ-AM Warrenton VA from Praise Communications Inc. (Steve Buchanan) to Metro Radio Inc. (Bruce A. Houston, Joan H. Houston, J. David Houston, Robert B. Houston). 55K escrow, balance in cash at closing. Superduopoly with WKCW-AM Warrenton VA, WKDV-AM Manassas VA. WKDV-AM in part of the Washington DC market. [File date 8/15/07.]

1M WLRX-FM Louisville KY (Charlestown IN) from Blue Chip Broadcasting Licenses Ltd., a subsidiary of Radio One Inc. (Catherine L. Hughes, Alfred C. Liggins III) to WAY FM Media Group Inc. (Robert D. Augsburg et al). 60K deposit, balance in cash at closing. Buyer is noncommercial. [File date 8/16/07.]


Stock Talk
Stocks gain on rate cut hopes
A monthly report from the Institute for Supply Management showed a decline in manufacturing activity, boosting Wall Street expectations of a rate cut from the Fed. The Dow Industrials moved up 91 points, or 0.7%, to 13,449.

Radio stocks rode the wave higher. The Radio Index gained 2.068, or 1.7%, to 126.690. Saga led the advance, up 3.6%. Westwood One had a tough day, after failing to conclude its renegotiation with CBS by the end of August. WW1's stock dropped 8.7%.


Radio Stocks

Here's how stocks fared on Tuesday

Company Symbol Close Change Company Symbol Close Change

Arbitron

ARB

50.45

+0.62

Google

GOOG

525.15

+9.90

Beasley

BBGI

7.34

-0.04

Hearst-Argyle

HTV

25.55

-0.02

CBS CI. B CBS

31.58

+0.07

Journal Comm.

JRN

10.18

-0.19

CBS CI. A CBSa

31.57

+0.11

Lincoln Natl.

LNC

61.62

+0.74

Citadel CDL
4.13 +0.06

Radio One, Cl. A

ROIA

3.72

-0.17

Clear Channel

CCU

37.35

+0.09

Radio One, Cl. D

ROIAK

3.72

-0.19

Cox Radio

CXR

13.70

-0.08

Regent

RGCI

2.72

-0.03

Cumulus

CMLS

10.84

+0.14

Saga Commun.

SGA

7.46

+0.26

Debut Bcg.

DBTB

1.25

unch

Salem Comm.

SALM

10.47

+0.20

Disney

DIS

34.13

+0.53

Sirius Sat. Radio

SIRI

3.01

+0.04

Emmis

EMMS

6.45

+0.08

Spanish Bcg.

SBSA

2.83

-0.01

Entercom

ETM

21.31

+0.01

SWMX

SMWX

0.06

-0.02

Entravision

EVC

9.20

+0.19

Westwood One

WON

2.64

-0.25

Fisher

FSCI

49.87

+0.98

XM Sat. Radio

XMSR

12.72

+0.25


Bounceback

Send Us Your OpinionsWe want to
hear from you.

This is your column, so send your comments and
a photo to [email protected]

"Much ado about nothing" was immortalized by William Shakespeare but it seems a host of public servants inside the DC Beltway have 'nothing' better to do than challenge Will's claim to fame.

Properly preparing most Americans for the February 2009 analog cut-off of their favorite television broadcasts should be as easy as the time-honored techniques of local editorials and locally-produced programming. Be it a station general manager or top news anchor, their market presence can carry credibility in assuring viewers, through strategically plotted editorials, that remedies are readily available to convert them from analog to digital distribution. They can promote half-hour programs aired conveniently and repeatedly that walk viewers step-by-step through the options available for a smooth conversion. After all, what institution other than the local station "brand" has more clout and vested interest in helping viewers across the threshold? Can any national initiative offer the grass roots capabilities WAAA or KBBB can muster with minimal effort? Is it naive to believe many local television stations are planning creative campaigns to not only keep current viewers but woo new ones with innovative digital services?

Or, as Will put it in All's Well That Ends Well, "our remedies oft in ourselves do lie."

Thomas VanBenschoten
VP Broadcast Station Services
Telecorps Leasing powered by Wexler Video


Below the Fold
Ad Business Report
InStore Broadcasting Network
Signs for PPM in Houston...

Media Business Report
McClatchy keeping CareerBuilder
There will be no sale after all has negotiated new terms for its newspapers with the big guys...

Media Markets & Money
Close encounter in the Midwest
Three Eagles Communications has added in 3 markets, total of 12 stations from Clear Channel...

Washington Media Business Report
FCC venues up in Chicago
Forum will be held in Dr. King's Workshop...




Stations for Sale

Market your Stations For Sale
in our daily epapers.

Contact
June Barnes
[email protected]


Radio Media Moves

Del Core joins BMP
Border Media Partners announced that Jerry Del Core has been named Vice President/Market Manager for its seven-station Austin, TX cluster. With more than 20 years of broadcasting experience in radio and television, Del Core worked for the past seven years as Regional Vice President and Market Manager for Clear Channel in Atlanta, GA and Sacramento, CA.

Tierney switches coasts
Mike Tierney has been named Assistant Program Director and Music Director of CBS Radio's "92.3 K-Rock" WXRK-FM New York. Tierney has most recently been PD of sister station KUFO-FM Portland, OR and has had a long and varied career in radio and records including stints as Sr. VP of Epic Records, VP of music programming for VH1, label manager of ATO Records, and at radio stations KUBE-FM and KPLZ-FM in Seattle. Tierney started at WQHT-FM New York, where he worked alongside current K-Rock PD Tracy Cloherty.

Vacancy in Philly
Veteran PD Chris Conley has resigned from WBEB-FM Philadelphia to start his own consultancy, with WBEB as his first client.


More News Headlines

Bob Sievers dead at 90
For nearly 50 years, Bob Sievers was the host of "The Little Red Barn" morning show on WOWO-AM Ft. Wayne, IN, a 50kw flamethrower with an audience spread across the Midwestern and Eastern US. He retired from daily work in 1987, but remained a legend in the market. Online tributes are piling up at the WOWO website, following Sievers' death Monday at age 90.

Brothel now advertising on billboards in Vegas
KVBC.com reports that the Chicken Ranch, a well-known brothel in Pahrump, NV, began advertising its services on a mobile billboard. Billboards advertising brothels are now legal in Clark County. That's because a federal judge struck down a state law that once prohibited the racy ads. Some supporters say the r ad has been done tastefully, considering the sensitive nature of the message. Others told the TV station the ads are too suggestive and harmful for young minds. The Chicken Ranch says it wants to identify itself as a safe, legal, licensed brothel and not shove explicit photos in your face, said the report.


TVBR - TV News

GMA adds 3rd hour...but not on TV
As the battle for morning dominance continues, ABC has countered NBC's launch next week of a 4th hour of "Today" (8/15/07 TVBR #159) with a 3rd hour of "Good Morning America." The additional hour launched yesterday, with Chris Cuomo as lead anchor. But there will be no broadcast. The additional hour will be available only from ABC News NOW, the network's broadband, mobile and cable network. In addition to extended and additional interviews from GMA, the new hour of fresh content, dubbed "Good Morning America NOW," will feature segments from GMA's" XM Satellite Radio show that launched in 2005, something Cuomo says will add more spontaneity to the program. Viewers will also be encouraged to send in their own videos commenting on stories and those "Talk Back" segments will be an integral part of GMA NOW. Jessica Stedman Guff is the executive producer of ABC News NOW and teams up with GMA NOW senior executive producer Jim Murphy and executive producer Tom Cibrowski to launch the new 3rd hour online.




RBR Radar 2007
Radio News you won't read any where else. RBR--First, Accurate, and Independently Owned.

Regent and Riley continue sparing
Riley Investment Management has continued to buy stock in Regent Communications, even as it battles in two courts to try to force Regent to hold a special shareholders meeting at which Riley hopes to place its own representatives on the board of directors.

RBR observation: The dissident shareholders had demanded that a special shareholders meeting be held on September 3rd. That deadline has now passed without any such meeting. It now appears to be up to the courts whether there will be such a meeting - and when. (There are more details in RBR)
09/04/07 RBR #172

Newspaper advertising
down again in Q2
Total ad expenditures at newspaper companies were 11.3 billion for Q2, an 8.6% decrease from the same period a year earlier, according to preliminary estimates from the Newspaper Association of America (NAA). Spending for print ads in newspapers totaled 10.5 billion, down 10.2%. Ad expenditures for newspaper Web sites, however, increased by 19.3% to 796 million in the second quarter versus the same period a year ago.

RBR observation: Newspaper ad revenues were down 8.6% in Q2, but the NAA headlined its release with ads for newspaper websites being up 19%. Online is the growth area, but still not able to overcome the sharp decline for the larger traditional business.
09/04/07 RBR #172

AM auction set for
Arbitron market #1
The FCC has set a window of October 1-5 for applicants to file for a new AM station in the New York market, specifically for Rockland County at 1700 kHz in the expanded AM band. The filing window is the result of a successful effort by Alexander Broadcasting, licensee of WRCR-AM Spring Valley, NY, to get the FCC freeze on expanded band applications thawed slightly to allow for this one AM auction. Alexander wants to move WRCR from its current 1300 position, with only 500 watts day/83 watts night, to the proposed 10kw day/1kw night on 1700. That, of course, would give it pretty good coverage of the New York Metro, while its signal now is limited to the far suburbs.

RBR observation: It was just a little over a year ago that we reported the success of Alexander Broadcasting in getting the FCC to grant an exception to the freeze. It took support from lots of folks with political clout to push the exception through, after it was first turned down by the Commission. Now it has taken another 12 months just to get to the point of scheduling the auction. The wheels turn slowly, but at least they are turning.
08/31/07 RBR #171

Morning shows
accused of liberal bias
The right-leaning Media Research Center (MRC) is out with a report complaining that the morning news shows on NBC, ABC and CBS devote far more coverage to Democratic candidates for President than to the Republicans. Is it bias, a "liberal agenda" or just following the news? MRC charged. "Our results show pure partisanship on the part of ABC, CBS and NBC. Not only are the network morning shows over whelmingly focused on Democrats, they are actively promoting the Democrats' liberal agenda." declared MRC President L. Brent Bozell III. The networks deny any bias.

TVBR observation: This is the first time since the introduction of television that we have had a US presidential election without either a sitting President or his Vice President in the running, creating a real horse race in both major parties. Let's face it, there is more drama in the Democratic race at this point. That will change once the nominees are selected and it becomes a two-person competition for the White House.
08/31/07 TVBR #171

XM director puts his
money on the line

Jeffrey Zients, who has served on the board of directors at XM Satellite Radio since May 2006, has demonstrated his confidence in the company’s future, buying 270,000 shares of stock.

RBR observation: Unless XM and Sirius are lucky enough to draw Judge Paul Friedman, if and when the US Department of Justice Antitrust Division files suit to block an XM-Sirius merger, getting the same outcome is a long-shot. Friedman’s decision in the organic grocery merger is at odds with decades of antitrust law precedents and is likely to be overturned on appeal. An off-beat ruling by a single judge isn’t going to change how they look at antitrust cases.
08/30/07 RBR #170

Clear Channel sues over disintegrating deal
Clear Channel has now sued in a Texas state court to try to hold American Securities Capital Partners (ASCP) to its 452.1 million bucks deal to buy 187 radio stations. ASCP has fired back with its own lawsuit filed in a New York state court, so look for lots of legal wrangling ahead.

RBR observation: With this deal now in doubt Mark and Randall Mays could have avoided all of this divestiture drama, of course, if they had accepted a preemptive bid from former Clear Channel Radio CEO Randy Michaels for the entire block of stations. You may have read elsewhere that he and Oak Hill Capital Partners offered around 800 million. We have it on good authority, though, that the actual bid was over 900 million, but that the Mayses held out for 1.1 billion. When all is said and done, will Clear Channel now even come close to that mark?
08/29/07 RBR #169

HD Radio rules take effect
The FCC's HD radio rules are to take effect September 14, 2007. Subject to the limitations noted below, AM stations will be able to broadcast HD at night and FM stations can operate HD2 and HD3 streams without a need for special authorization. At this point, HD radio remains a "hybrid" IBOC (in-band, on-channel) system that permits the transmission of both analog and digital signals within the spectrum occupied by a single AM or FM channel. Among the benefits..

RBR observation: The highlights of the rules that are to take effect September 14 are as follows
08/23/07 RBR #165


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