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Welcome to RBR's Daily Epaper
Volume 22, Issue 174, Jim Carnegie, Editor & Publisher
Tuesday Morning September 6th, 2005

Radio News®

Enlarge This ChartRBR Close-Up First
Clear Channel preparing HD Radio multicast Consortium

The likely naming of a successor to NAB President & CEO Eddie Fritts may not be the only big news coming out of this month's Radio Show (9/21-23) in Philadelphia. Last Thursday evening, 9/01/05, RBR/TVBR obtained a document that appears to be a PowerPoint presentation for internal use at Clear Channel Communications laying out a timeline and potential business models for developing multi-channel HD Radio. Someone has apparently been circulating the document outside the company, since Mark Ramsey has made reference to a study, which RBR assumes is the attached PDF, on his Radio Marketing Nexus website. One key date is a September 21st press conference in Philadelphia. Competing head-to-head with satellite radio with a digital radio subscription service is dismissed as not being a viable business model. Rather, the document focuses on four alternatives for creation of one or more entities to manage digital spectrum and provide programming for the additional channels which will become available with HD. One alternative would create an industry-wide coalition, with each member sharing pro rata in the start-up costs and eventual profits and having a voice in local/national programming decisions, but with Clear Channel and Infinity managing the partnership and handling national sales. Another proposal would create a similar partnership, but as a completely new entity with new management and its own national sales force.

RBR observation: The PowerPoint presentation does a good job of laying out the pros and cons of each possibility. While it may seem arrogant to some to propose that Clear Channel and Infinity manage a national partnership, don't forget that the two already supply lots of programming to everyone else in radio, and even to each other, via Westwood One and Premiere Radio Networks. But would an industry-wide coalition pass muster with the DOJ's antitrust watchdogs? That question is raised in the document, but, at this point, not answered. It's clear that most radio companies don't have the resources to fund, launch and market dozens of new programming services for channels which will, for the first few years, be available only to a minority of the listening public. Talks have been taking place for months among various groups to figure out how to move radio into a multi-channel digital world. We applaud all of the creative thinking being devoted to this. If everyone works together, radio can and should get this right.

Publisher note: Wondering if this was an industry circulated document and if it was factual. I spoke with Emmis Chairman Jeff Sumlyan who had no idea of such a presentation except to say the industry leaders were talking. Also sent an email to Cox President Bob Neil and have yet to hear back. Also requested CC Radio CEO John Hogan and Infinity CEO Joel Hollander for comment on the document. Calls to both were made on Friday 9/02/05 plus email to both with Alternative 2 plan requesting to at least discuss this Power Point presentation. Neither returned my phone call or replied to the email with Alternative 2. Mum seems to be the word but we leave space open in RBR for any and all to participate with your BounceBack to [email protected] including Hogan and Hollander.

Enlarge This Chart
Making the case for HD2
Presented as the first option, is to have local rather than national partnerships, although programming would obviously come from national providers. The other option is described as "Market Forces (Let it Run Wild)," in which case each radio company would handle its own budget, sales efforts, and programming decisions. A couple of the negatives noted for that are diminished advertising potential and a negative perception because of the industry's failure to present a united effort to compete with satellite radio. While it mostly amounts to preaching to the choir, since Clear Channel and other groups are already in the midst of implementing HD Radio, the PowerPoint presentation lays out the reasons for moving from analog radio to multi-channel digital, currently referred to as HD2 (although those two channels will eventually become at least eight when receiver penetration reaches the point where analog signals can be turned off). The presentation details how broadcast CUMEs and TSLs have decreased for listeners who have "new media" options available to them, such as satellite radio or MP3 players. It projects a 3% annualized drop in AQH persons 12-54 over the period from 2004 through 2015 for terrestrial analog radio. And while it notes that HD2 will initially not have full market coverage, compared to analog, it projects that most people in major metros will be able to receive a 60dBu or greater digital signal - - from a low of 65% in the difficult terrain of San Francisco to 96.2% in Dallas for the top 10 markets. To build public demand for HD2 receivers - - which are due to be formally introduced this month (September 15th) - - the presentation proposes a "PR Plan" which includes a "viral program" to place receivers in the hands of "high-profile" influencers - - hand delivering them, training the users and then checking later for feedback. It also details how the new receivers will be presented to important business leaders - - presumably including key advertisers - - with celebrities enlisted to help draw them to in-car demonstrations and "exclusive lunch events in selected cities" - - followed by thank-you letters.

RBR observation: If nothing else, terrestrial radio can learn from the expert PR efforts that the satellite radio guys have orchestrated over the past few years. While their audiences remain miniscule, they've created the public impression, however false, that XM and Sirius have become major players overnight and taken significant market share away from terrestrial radio. Broadcasters have to work together in each market to build "buzz" for HD radio and promote their HD2 channels. Make people believe that HD receivers are the latest, hot thing and you should be able to build market demand that will make HD quickly surpass the level of satellite radio receiver penetration. After all, unlike satellite PAY radio, HD is going to be advertiser-supported and free to the consumer. That's an easy choice for people to make.

Radio hits a July pothole
June radio results, as reported by the Radio Advertising Bureau, were flat. That was the expectation for July as well, but it turns out predictions for a flat month was overly optimistic. A modest 3% gain in non-spot revenue was not enough to radio out of the hole dug by a 2% decline in local business and a 3% drop in national. YTD, local, national and total revenue are all up 1% over the January-July stretch of 2004, unaffected by flat results in non-spot

RBR observation: We haven't heard any speculation, but it seems that there is a very good chance that September revenue statistics are going to be reported out of the red ink well - - it would take strong positive gains elsewhere to make up for the revenue crater left in the wake of Katrina in the Louisiana, Mississippi and Alabama.

How much is that Mousy in the Window?
Walt Disney is still looking to sell off its radio assets but, according to a Reuters report, has slowed the process since its initial asking price of 3B or more failed to cause any potential buyers to reach for their checkbooks. A powerful threesome is said to be in on the negotiations, including Emmis Communications, which is flush from the recent sale of about half of its television portfolio. The other two are Citadel and Entercom. The emergence of ABC as a possible seller is said to have slowed down the previously announced sell-off by Susquehanna - - which is being shopped pretty much to the same group of customers (with the possible addition of Cumulus Media). Speculation is that the ABC stutter step may have moved Susquehanna back to the front of the line.

RBR observation: Katrina has provided Emmis with a major snag in its plans to finish its television sell-off. One of the properties still on the market is Fox WVUE-TV in - - you guessed it - - New Orleans. It should be awhile before the group will be able to recoup full value for that station. Look at the buzz Disney has caused as first Susquehanna is expecting bids to close within the next two weeks for their radio and cable operations. Citadel is said to be pursing Susquehanna's radio in which they may have their fingers crossed that Susquehanna will see a nice bid for the cable spin off separately and leave radio to their potential rumored offer. But as RBR mentioned as the talk of Disney consistently shopping ABC Radio just seems to slow all progress forward and ABC has some real plums of facilities and many want to spend their borrowing cash smartly. And do not count out Susquehanna managements' bid for the combined cable and radio as they are backed said to be backed by real money players like Kohlberg Kravis Roberts & Co. who we believe once back Herb McCord's radio operation. Do not count out last second largest radio group in number and that would be Cumulus Media which is also said they too may lob a bid in to the total mix. Our only issue is if Disney is going to sell this time - do it and move forward as your employees need to know and plan their lives.

Powerful radio: WWL interviews
New Orleans Mayor Ray Nagin

This is what local radio does best. Listen to the passion of this radio interview with Mayor
Ray Nagin and WWL's Garland Robinette last week on WWL/United Radio Broadcasters of New Orleans (9/1/05 4pm). Citadel, Entercom, Apex and Clear Channel New Orleans continue doing a wonderful job informing the listeners affected by this unprecedented tragedy. We should all be very proud of the job these brave broadcasters are doing. These broadcasters are the vital link in this region, the central clearing house for all information. The stations have become somewhat like small-town radio because there are no communications in the area. People are using these stations as the only way to get in touch with their families, "Ellie, if you're hearing this, call Uncle Fred in Houston and let him know you're alive."

RBR audio note: To get a taste of this powerful medium, listen here for a powerful, dramatic interview with the mayor. The CBS Radio News network created an MP3 audio file and podcast of the interview.

Broadcasters hunker down for long-haul fund-raising
Across the country, radio and TV stations are at the forefront of effort to raise cash and materials for Hurricane Katrina relief. In New York, WNBC-TV's locally produced "Hurricane Relief" fund drive raised nearly 2.3 million from viewers and another six million from corporate contributors - - a total of nearly 8.3 million. Celebrities such as
Aida Turturro, Wynton Marsalis and Bebe Neuwirth pitched in to answer phones to help with the fundraising. What's become clear is that a week or so of fund-raising won't meet the needs from the biggest natural disaster in US history. The big six TV networks are still firming up plans for an unprecedented joint telethon and we can expect to see broadcasters working with relief agencies for months to come. In addition to efforts already reported on Friday, here's what we're hearing from stations across America.
| Who is doing what to help |


Freefone and Verizon's nationwide
Joint Marketing Agreement

Freefone (3/15 RBR #52), the public courtesy telephone and digital advertising system, and Verizon announced a nationwide joint marketing agreement that will establish a network of Freefone terminals in leading colleges and universities across the US. Under the agreement, Freefone terminals will be installed at various Verizon Public Communications locations offering ad-subsidized free calling to customers. "Freefone's proven high usage in universities demonstrates the power it has to impact the student demographic," said
David Parkes, President and CEO of Freefone. "With high profile institutions to act as host locations, advertisers on Freefone will reach millions of students, every day." Under the terms of the agreement, a Freefone unit will be installed at college and university locations across the country that currently have Verizon payphone service. Freefone offers targeting and marketing capability for advertisers, who can run existing TV creative with no additional production charges. Commercials are sent to the Freefone terminals via a web-based distribution system. Commercials can be changed daily and may run in select locations or on the entire network. The distinctive Freefone terminal is 24" by 37" and contains a 15" flat screen monitor, which displays full motion and sound commercials.

RBR observation: Think of the Class of 2009, (08/25 RBR #167), those college Freshmen/women were born in 1987 and to them what they see today is a mobile device driven society. No books but hand devices, laptops, etc is where it is today. Forget the '20s, '50s or in my era of the '60s by asking this class about that time, events because if you do you get their reply - "Well - whatever." Now we still have media execs fighting over various issues and we all know what they are. How do you think you are going to capture the class of 2009 with something like Freefone and other technology the Class of 2009 are using to communicate and educate? This not only applies to Radio but TV as well.

BBDO gets Motorola; focus on "Rokr"

Motorola is reportedly planning to give the Omnicom's BBDO its 100 million account, handling account management, distribution and some creative, including this week's spots for the Motorola "Rokr," the new iPod phone loaded with Apple iTunes software. BBDO's spots for Rokr feature
Madonna and Iggy Pop.
The tag is reportedly, "How many musicians can you get in a phone booth?" Motorola and Cingular Wireless (also a BBDO client) also partnered on the venture, whereby it will operate on the Cingular Network. The first iPod phone will have two models with either 512MB or 1GB of storage. The move eliminates most, if not all of Ogilvy & Mather's future work with the account, which has been in decline. Motorola gave a branding assignment to Amsterdam 180 just this spring. Ogily's most recent work for the account was new spots for the Razr phone.

Ad Council backs Katrina PSA effort
Ads for the American Red Cross featuring New Orleans musical legend Aaron Neville produced by GSD&M was created not long after Hurricane Katrina struck the Gulf Coast. The campaign is being distributed by the Ad Council, which is spearheading the charge to secure free airtime and web inventory for the fundraising effort. Ads on TV, radio and online are set up to push donors to

Carnegie Cuz Network
Blogging with Carnegie
Rebuild your Business Plan Now
2005 is almost over and expectations in many areas of operations have been under construction. Most of this year has caught the majority of Radio, TV, Newspapers, Agencies and Clients completely off guard. The Carnegie Cuz Network is intended to face challenges with thought provoking ideas and solutions.

Share The Voice at

Media Markets & MoneyTM
ABC Radio sale talks going slow
Will there actually be a sale of ABC Radio? Citing market sources, Reuters claimed that talks are continuing, despite Disney being disappointed that initial bids came in below the expected three billion mark. As previously reported, Emmis, Entercom and Citadel are said to be active bidders. Meanwhile, there's word that three big private equity firms are backing management in a bid for Susquehanna Media as the company prepares to accept bids for its radio and cable assets on September 13th.

3CP, hold the O: EMF spins one, adds two
Educational Media Foundation, the outfit behind the noncommercial K-LOVE Contemporary Christian network, is picking up a pair of FM CPs, and in the case of one of them, its giving a CP up. The clean simple acquisition involves KAIB-FM CP Whitehall MT, a community just east of Butte. There, EMF is paying 28,450 for a Class C1 to be built on 89.7 mHz with 18 kw @ 1,850'. The other deal involved WWZP-FM CP, which will serve the Saginaw-Bay City-Midland MI market out of Freeland MI. The CP is owned by American Family Association, which has a 90K deal to sell it to Edgewater Broadcasting. Instead, that CP - - for a Class A on 90.9 mHz with 240w @ 213 (and a CP app in the works for an upgrade to 430 w @ 324') - - will go to EMF, and Edgewater will get EMF's KHFD-FM CP in Hereford TX, a town to the southwest of Amarillo. That facility, being transferred for the nominal charge of 100 dollars, is for a C2 on 88.7 mHz with 28 kw @ 230'.

Close encounter in Tyler
Bob Austin of Satterfield & Perry has checked in to let us know that the keys have been exchanged in the 975K deal sending a pair of Tyler-Longview TX FMs to Waller Media. The stations are KXAL-FM Tatum and KDVE-FM Pittsburg. The deal increases the Waller cluster to an AM and four FMs. The sellers were On-Air Family and Hunt Broadcasting.

Washington Beat
FCC sweeps away noncom rules to further relief efforts
Recognizing that there are a limited number of up-and-running broadcast facilities in New Orleans, the FCC has waived a section of the rules prohibiting the airing of commercial material on noncommercial stations. The purpose is to allow noncoms to rebroadcast important information made available over commercial stations without having to erase out any commercial messages which may come with it. "This special relief is designed to bring immediate life saving and other important program information to the residents of New Orleans in the most expeditious manner possible," announced the FCC Media Bureau. "It is also intended to help facilitate the cooperative efforts of broadcasters to disseminate information with the limited broadcast facilities that are currently operational." The special dispensation of the rules will be in effect through 11/1/05.

Piracy on the Hudson:
Senatus sentence reduced

Who knew that New York's Hudson River was a hotbed for pirates? Well, it wasn't the River so much, but rather the public airwaves around it, particularly the sliver known to communications engineers as 96.1 mHz. That is where
Jean L. Senatus was operating, along with unnamed partners, originating a signal from an office building in Spring Valley NY. The town is to the west of the Hudson and just north of the New Jersey line above Paterson. The FCC action closing down the unlicensed station dates back to April 2004. That's when it was alerted by New York Times station WQXR-FM New York, which was experiencing interference on its 96.3 mHz spectrum slot. The normal procedures were followed to track down the pirate, which shut down as ordered. The normal 10K fine was assessed to Senatus, who proceeded to make many of the usual pleadings to wriggle free, including ignorance of the law, immediate compliance with the FCC shut-down order, he wasn't the only culprit, the operation did not sell commercials, and inability to pay. The FCC, as usual, was unyielding on all counts but one. Apparently Senatus really was unable to pay, at least to the tune of 10K. The FCC took his bank account into consideration and knocked the fine down to 2.5K.

Stern pulled in Columbus
North American Broadcasting's WBZX-FM Columbus, OH has pulled The Howard Stern Show over an FCC inquiry stemming from the recent indecency complaint the show received from watchdog attorney Jack Thompson. The station is currently cooperating with the FCC on the inquiry. Stern himself has talked about leaving the terrestrial airwaves this month, instead of the intended January switch-over to Sirius. He may retire the terrestrial radio mic any day now given this latest trouble.

Oldies KFRC changes format
Infinity Oldies KFRC-FM San Francisco morphed into a Classic Hits format last Friday at Noon. The new format, will feature the contemporary artists of the 60's, 70's and early 80's including Fleetwood Mac, Beatles, Stevie Wonder, Linda Ronstadt, Paul McCartney and Wings, Elton John, Kenny Loggins, Huey Lewis and the News, Doobie Brothers, Eagles and others from that era. There are no immediate plans for air-staff changes and the programming will evolve moving forward. The format was co-developed for KFRC by
Doug Harvill and radio strategist Terry Patrick. Doug is currently Market Manager of all the Infinity radio stations in the San Francisco market.

Jones, WYD launch
"Liddy & Hill"

Ron Hartenbaum's WYD Media Management has launched the "Liddy & Hill" program, the first in a series of next gen conservative programs in association with the Jones Radio Networks. Tom Liddy is an active GOP loyalist, former Marine Corps officer and the son of Radio America's G. Gordon Liddy. Austin Hill is a 24 year radio in the western U.S. They hail from KFYI-AM Phoenix. The duo offer a fun, fast-paced, and always irreverent look at the hot issues of the day. The show airs live during afternoon drive time in the Pacific time zone, 3-6/PT and is syndicated by Jones Radio Networks and ad sales are managed by Jones MediaAmerica.

Ratings & Research
Response rate update: Spring 2005 Radio Survey
Arbitron released a summary of response rates, consent rates and return rates for the 296 markets measured in the Spring 2005 survey. In the overall Spring survey, the average Metro survey area response rate declined 1.4 percentage points, from 33.1% in Spring 2004 to 31.7% in Spring 2005. The return rate increased 0.3 points, from 56.4% in Spring 2004 to 56.7% in Spring 2005. The consent rate declined 2.8 points, from 58.1% in Spring 2004 to 55.3% in Spring 2005. | More... |

All six broadcast nets to air
"Shelter from the storm" relief concert

ABC, CBS, FOX, NBC, The WB and UPN will join forces next week for a primetime special entitled "Shelter from the storm: A concert for the Gulf Coast," to raise funds for those impacted by Hurricane Katrina. In a cooperative and collaborative effort, the six broadcast networks will present this one-hour commercial-free simulcast on Friday, 9/9 (8:00-9:00 PM). The entertainment special/fundraising event will salute the brave citizens in the devastated areas of Louisiana, Mississippi and Alabama and pay tribute to the rescue personnel guiding relief efforts in the region. The concert will be broadcast live from locations in NYC and LA to the Eastern and Central time zones and tape-delayed in the Mountain and Pacific Time zones. Joel Gallen, who produced "America: A Tribute to Heroes" telethon in September 2001 in the aftermath of the 9/11 tragedy, will executively produce the special, which will feature musical performances and appearances by celebrities from the world of film, television and music. Viacom's BET network will run its own telethon on Sept. 9, from 7:30 to 10pm.

Makers & Shakers

Transactions: 7/25/05-7/29/05
The last week of July barely managed to clear 10M, with just a little over a tenth of the business filed as was registered with the FCC the previous week. There was something of a run on singleton AMs, in places like Nashville, Salt Lake City, Lubbock and in uncharted waters per Arbitron - - nine transactions were for an AM only, and only one, noted below, was for even two stations.



Total Deals







| Complete Charts |
Radio Transactions of the Week
Clear Channel unspins a bit of its OH web
| More...
TV Transactions of the Week
Gray day in Albany GA
| More...

3.75M WVAG-TV Albany GA (Valdosta GA) from P.D. Communications LLC (Paul Shok) to Gray Television Licensee Inc. (J. Mack Robinson, Robert S. Prather et al). 375K escrow, balance in cash at closing. Station is UPN affiliate on Channel 44 (DTV Channel 43). [File date 7/25/05.]

2M WQIO-FM & WMVO-AM Mount Vernon OH from Capstar TX LP, a subsidiary of Clear Channel Communications (Mark Mays et al) to BAS Broadcasting Inc. (James A. Lorenzen, Thomas W. Klein). 200K escrow, balance in cash at closing. [File date 7/27/05.]

850K KTRW-AM Spokane WA from KTRW LLC (Melinda Boucher Read) to Sacred Heart Radio Inc. (Ronald R. Belter, Paul Fuglevand, Bernadette Belter, Gary Samaniego, Jack Warfield, Robert Gunderson). 10K earnest money, balance in cash at closing. Buyer must change calls. Station is noncommercal. [File date 7/25/05.]

50K AM CP Farmington NM from Dewey Matthew Runnels to Western Broadcasters Inc. (E. Boyd Whitney, Douglas Scharbauer). 5K down payment, balance in cash at closing. CP is for 1090 kHz. [File date 7/26/05.]

Stock Talk
Disaster worries weigh on stocks
Concerns about the long-term economic impact of Hurricane Katrina depressed stock prices on Friday. The Dow Industrials fell 12 points, or 0.1%, to 10,447.

Radio stocks were also lower. The Radio Index declined 2.043, or 1%, to 206.540. Ethnic niche players, who had been Wall Street favorites, were down for the day. Radio One slipped the most, down 2.5% for its Class D stock and 2.2% for Class A. Entravision was down 2.2% and Univision declined 1.8%.

Radio Stocks

Here's how stocks fared on Friday

Company Symbol Close Change Company Symbol Close Change













Journal Comm.




Citadel CDL
13.15 -0.23

Radio One, Cl. A




Clear Channel




Radio One, Cl. D




Cox Radio












Saga Commun.








Salem Comm.








Sirius Sat. Radio








Spanish Bcg.
















Viacom, Cl. A








Viacom, Cl. B








Westwood One








XM Sat. Radio




International Bcg.










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Market Results
| Greenville |
| Huntsville |
| West Palm Beach |

Stations for Sale

Suburban NYC AM
Good population coverage. Comes with studio/transmitter site. Fulltime station w. low night power, upgrade possible. 1.6M. 781-848-4201
[email protected]

More News Headlines
Katrina Relief

NAB Daytime Planner

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

American Media Services,
Todd Fowler, David Reeder,
843-972-2200, Marriott,
[email protected], [email protected]

Clifton Gardiner & Company,
Cliff Gardiner, 303-758-6900,
Ritz-Carlton Hotel,
[email protected]

Force Communications,
Hal Gore, John Laurer, Stan Raymond,
770-329-2234, Hilton Garden Inn, [email protected]

Frank Boyle & Co.,
Frank Boyle,
203-969-2020, Marriott Courtyard, [email protected]

Gordon Rice Associates,
Gordon Rice, 843-884-3590,
Marriott Downtown, [email protected]

Henson Media, Inc.
Ed Henson,
502-589-0060, Loews Hotel, [email protected]

John Pierce & Company LLC,
John Pierce, Cell 859-512-3015,
Jamie Rasnick, Cell 513-252-1186,
859-647-0101 Hilton Garden Inn,

Kozacko Media Services,
Dick Kozacko, Cell 607-738-1219,
George Kimble, 607-733-7138,
Marriott, [email protected]

MCH Enterprises, Inc.,
Brett Miller, Cell 805-680-2265,
805-237-0952, Marriott Courtyard,
[email protected]

Patrick Communications,
Larry Patrick, Greg Guy,
410-740-0250, Marriott, [email protected], [email protected]

Schutz & Company,
Bill Schutz, Cell 757-880-9251,
757-258-8740, Loews Hotel, [email protected]

Serafin Bros.,
Glenn Serafin,
cell 813-494-6875, 813-885-6060, Marriott Downtown, [email protected]

RBR Radar 2005
Radio News you won't read any where else. RBR--First, Accurate, and Independently Owned.

Broadcasters nationwide
aiding hurricane victims

From coast-to-coast, radio and TV stations are spearheading efforts to aid victims of Hurricane Katrina and the devastating floods which followed the storm. RBR/TVBR will stay with our broadcast coalition as RBR/TVBR will stay with this issue of aid and let all know what is going on day to day. Numerous radio and TV stations have told RBR/TVBR of their relief efforts. 09/02/05 RBR #173

John Maher Fires back at Jon Mandel Director of Planning U.S.
International Media John Maher took exception to Jon Mandel's bounce back and stated "I had to read Jon Mandel's response twice before I realized it wasn't a joke. What an incredibly namby-pamby, sniveling, mealy-mouthed reply. Besides foisting an answer that's woefully out of place, the oft-quoted U.S. Chairman of the world's 8th largest "media agency" seems to have been out sick or behind a door for the last 20+ years...As long as the industry continues with a Three Stooges approach to resolving this, we'll have Nielsen and their lousy methodology as a monopoly." 09/02/05 RBR #173

Aid efforts kick off across the nation
As broadcasters in hurricane and flood-ravaged regions struggle to deliver emergency information to their communities, their brethren across the country are cranking up efforts to send relief aid to the victims. What's your station doing to help? 09/01/05 RBR #172

FCC relieves broadcast
Katrina victims
The FCC will do everything it can to help radio, television and MVPDs which found themselves in the path of Hurricane Katrina to get back up and running, and/or to get emergency information out to citizens in the stricken areas. 09/01/05 RBR #172

Jon Mandel
Chairman MediaCom U.S.
Fires back to WGN-TV's Dominic Mancuso, Mr. Mancuso that the reason Nielsen is a "monopoly" (which it really isn't as there are other research companies) is that stations, in a bid to save money, stopped buying both Arbitron and Nielsen ratings. The problem is not the rating company, it is the programming. 09/01/05 RBR #172

Nielsen vs. Arbitron: The top 20
The major ratings services for both radio and TV have released their market ranking updates - - Nielsen for the 2005-2006 TV season and Arbitron for the next year of radio ratings, beginning with the Fall book. If you've spent your entire career in one broadcast medium, you may be surprised to see how different the market rankings are in the other.
RBR observation: Big question? Now do you know how to use your national status to your advantage locally? RBR will show you how in future reports. 08/31/05 RBR #171

Nielsen Monitor-Plus looks
at creative in first half
Ad spending for the first half of 2005 rose 5.7% over the same period last year, due to gains across major media, according to figures released. There were 15,798 different creative used on national television in the first half of the year, airing over 4.8 million times, and accounting for 25.4 million. Each creative aired an average of 307 times. The large majority of the commercials were placed on cable television. RBR observation: Key word why cable had the most - creative since the watchdogs are not always nipping at their private parts. Creative was the big issue this past February at the 4A's and clients demanding better creative to brand their goods. Free media like Radio and TV can't take or will not accept certain creative so you lose and cable wins. End of story as broadcasters can only change their policies or lose more money next year. And, do not blame Nielsen - they are just providing the data - they are not making this stuff up.
08/31/05 RBR #171

Advertisers adopt Ad-ID system
Jointly announced more than 300 of the nation's top advertisers have adopted Ad-ID, a universal ad coding standard. A total of 875 companies have registered in Ad-ID, and over 14,000 individual codes have been created for various forms of advertising. ABC, NBC, CBS and Fox are all Ad-ID compliant, as well as Donovan, Datatech, Harris, Talent Partners, Vyvx, MediaPlex, Verance and other systems.
08/31/05 RBR #171

Market re-ranking won't affect LPM roll-out; what about PPM?
Detroit may no longer be a top 10 TV market but it's still getting Local People Meters (LPM) come January. Houston's move into the top 10, displacing Motown, won't change the plan to complete the roll-out of LPM in 10 markets by adding Detroit and Dallas-Ft. Forth in January 2006 and Atlanta in June. RBR observation: We're sure that Houston's move into the Nielsen top 10 didn't go unnoticed at Arbitron, which is in the midst of testing its Portable People Meters (PPM) there, even though Nielsen passed on participating. Arbitron has made no secret of its desire to follow the 2005 test with real ratings in Houston in 2006 as the first market to make PPM its ratings currency for radio - - and for TV and cable as well if Nielsen signs on for a joint venture. Nielsen's TV clients in Houston will now have to decide whether they want to join their top 10 brethren (plus #11 Detroit) in the LPM camp, or push for PPM. No doubt the ad buyers will be pressuring them to do one or the other, rather than sticking with the current meter/diary methodology. 08/30/05 RBR #170

2005 the roll of the Dice;
Tracking of a Soft Year
Weak advertiser demand has kept a lid on radio revenue growth this year. And there's not much reason to think the rest of 2005 is going to be much better. Forecasts that seemed conservative six months ago are now looking overly optimistic. Universal McCann's Bob Coen started the year with a prediction that radio revenues would rise around 5% this year. He cut that aggressive view back to 3.5% last month for local radio, but held onto the 5% for network and national spot combined. Most Wall Street forecasters, though, are expecting much less. RBR observation: The bar is now set pretty low, but this is going to be one year when just about everyone can say that they outperformed the industry average - - and not be lying. That average is going to be held down by the giant of giants, Clear Channel, which is sticking to its Less is More plan and taking a big hit this year to set the stage for future growth. In their quarterly conference calls, group heads have been saying that each month out looks progressively better than the one before, so things are going in the right direction. It's just going to be a long, tough climb. The main key is focusing on being local with your content and sell local. RBR's advice - set your in-house tracking chart and then compare when we produce the overall national forecast. Break your in-house into local, national spot, network and other categories. This will become your road map for the balance of the year and get you pointed in the right direction for 2006. 08/29/05 RBR #169

Hey Talk Radio
Sales Managers
Remember last week this was on the QT? It is now out and it is Clear Channel's KTLK-FM Minneapolis-St. Paul needing GSM with a proven track record of success to take a new Talk station to record heights. If you are a direct "Animal" with the savvy to manage transactional business then we want to hear from you.
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Market Manager
Montgomery, Alabama with our new Hallelujah 104 and our 3 Urban stations dominating the market and need this key person to be community involved and provide leadership to a hungry sales staff. See our qualifications and if you have them you are encouraged to joint our Clear Channel team in Montgomery. In confidence contact us.
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