Welcome to RBR's Daily Epaper
Volume 21, Issue 197, Jim Carnegie, Editor & Publisher
Friday Morning October 8th, 2004

From the NAB in San Diego...

Commissioners back off on news indecency
Some TV and radio stations have already been using delay systems for live news coverage in order to avoid any FCC citation for an indecent comment hitting the air, but two Commissioners appearing at the NAB Radio Show in San Diego insisted that those fears are unwarranted. "Maybe there should be a news exemption," said Commissioner Kevin Martin, who noted that the FCC has never issued an indecency fine for a news broadcast. "I think that news certainly does have a higher level of First Amendment protection," said Commissioner Jonathan Adelstein. | More... |

Fritts warns of license challenges
"Today's license renewals are a whole new ballgame," said NAB President Eddie Fritts as he addressed the NAB Radio Show in San Diego. He warned that groups targeting broadcasters have "raised the decibel level in Washington" and that organized attacks on radio and TV licenses are taking place as never seen before. "Bottom line - - these groups are out for your licenses, or at the very least to affect the program content of your stations - - and they aren't going away anytime soon." Fritts urged individual broadcasters to be sure to file comments in the FCC's localism inquiry, for which comments are due November 1. "The citizen groups are seizing this opportunity to change the rules and set new standards by which we are judged at renewal time," he warned. The NAB has created a mechanism on its web site so that broadcasters can submit their comments to the FCC without having to employ a DC lawyer to represent them.

Fries: Get out of the bunker
With all of the gloom and doom heard about the state of radio revenues, Radio Advertising Bureau President Gary Fries says many people in the industry seem to have adopted a "bunker mentality" and are not being aggressive in trying to move the business forward. While the economy may be slow, he insists that radio is not losing ground and the industry should be working on building share. "There is no erosion. There is no cancer," he insisted. | More... |

Group heads bristle at Stern flacking Sirius
A day after announcing that he would move from terrestrial radio to Sirius Satellite Radio in 2006, Howard Stern irritated his current affiliates by spending much of yesterday's show on what was essentially an infomercial for Sirius. That did not go unnoticed in the group head session at the NAB Radio Show in San Diego. With three Stern affiliates, Citadel is one of the largest affiliate groups outside Infinity. Citadel COO Judy Ellis was clearly irked by Sterns actions and said she was evaluating how much time Stern spent flacking for Sirius outside his show's allotted spot load. "I'm gonna charge them," she insisted. Entercom CEO David Field, who owns one Stern affiliate, didn't say what action he might take, but he noted that Entercom has a company policy against accepting any advertising from either Sirius or XM Satellite Radio. | More... |


Radio News ®

Howard Stern interviewed on moving to Sirius
Reuters reported an interview with Howard Stern on his announcement he'll be leaving traditional radio for Sirius Satellite Radio in 2006. Excerpts: "Calling himself radio's "biggest star," controversial talk show host Howard Stern said on Wednesday he was abandoning commercial broadcasting for satellite subscription radio because he wanted to be free of censors, government regulators and the religious right. | More... |

Hollander on Stern: What now?
RBR/TVBR had the chance to speak to Infinity President Joel Hollander via cell phone yesterday as he was leaving San Diego's NAB Radio Show. We asked him what he's going to do about Howard Stern, when the King of All Media's contract is up in 15 months and he moves over to Sirius Satellite Radio. "We're looking at all of our options. We're going to put something in his place that's very compelling and Viacom is going to give us the resources to do that." You've gotten him on nine new stations after Clear Channel dropped him, you've paid his fines and stood behind him with the FCC. Now he does this. What do you think? "We're not happy, but we'll deal with it. It's my job to help find a solution to this and I've got enough time to do it." What about Stern spending a lot of his time on-air talking about Sirius the last two days. If he keeps this up, you could take him to court, no? "You could make that assumption."

Indecency watchdogs claiming a Stern victory
"What a week it's been...We have more good news to report to you. Howard Stern has been driven off of the public airwaves - - and it's thanks to your efforts and activism." That is the message now posted on the Parents Television Council website. "Stern claims that by making the move, he will no longer be subject to broadcast decency laws," the post continues. "The real victors are the millions and millions of American families who will no longer be subjected to Stern's pornographic rantings during their morning drive time." | More... |

Study: Local NFL radio broadcasts provide marquee environment for sports advertisers
Scarborough Research released an analysis of Local NFL game listeners and found that these consumers are top spenders in emerging sports ad categories such as travel and home improvement, as well as in traditional sports ad categories, including quick service restaurants, beer, and automotive. Local NFL game listeners are 70% more likely than the average adult to have taken three or more domestic air trips in the past year, and 34% more likely to have spent 3,000 or more on home improvements during this time frame. These consumers are 66% more likely to spend 100 dollars or more on their monthly cellular bill.
| More... |


Adbiz ©

AOL launches new branding campaign
"Want a better Internet?" That's the question America Online will be asking in a new brand campaign started 10/7. The comprehensive new advertising campaign is intended to reposition America Online as the service that is truly on the side of the online consumer. It begins with print ads in leading newspapers that outline AOL's commitments to its members. AOL also announced today the first redesign of its logo since 1991, which among other things gives the familiar triangle a more up-to-date look. | More... |

Slim-Fast moves to Ogilvy & Mather
Unilever has reportedly moved its Slim-Fast creative from Grey Worldwide NY to Ogilvy & Mather. The agreement to move the account to Ogilvy was reportedly made with WPP CEO Martin Sorrell before the acquisition of Grey was announced. Grey is the agency for Unilever rival P&G. It will soon be under the same umbrella though, as WPP Group, which owns Ogilvy, is in the process of acquiring Grey in a deal expected to be closed by the end of the year. Unilever spent 90 million last year on Slim-Fast last year and 35 million through July, according to Nielsen Monitor-Plus.


Media, Markets & Money tm

Close encounter in OK City
Tyler Media has closed on its 12.5M dollar acquisition of KQOK-TV in Oklahoma City, according to Kalil & Co., which brokered the deal. The seller was Shawnee Broadcaasting, a subsidiary of Equity Broadcasting. Brother act Ty and Tony Tyler will be getting a Channel 30 Indy to go with their two-AM, two-FM radio station cluster in the market.


Washington Beat

Advisory group looks to increase minority ownership
The Advisory Committee on Diversity for Communications in the Digital Age has issued recommendations designed to get more women and minorities into licensed communications ownership. To whit, it suggests that the FCC maintain Designated Entity rules - - these rules tie ownership opportunities to company size, ordering that smaller companies, worth less than a certain ceiling amount, be given preference. The second urges the FCC to explore "possible ways to foster ownership diversity in the commercial FM radio band." The cowmmittee issued a nine-point plan designed to address the FM question.

RBR observation: We would add a 10th: Resurrection of the minority tax credit. We have seen numerous examples of big local radio clusters deciding to shed a station because it just doesn't fit in to their plans. Money talks, and if the company can get more of it by selling to a small business, that's what it'll do. However, the FCC has no way to enact such a plan. John McCain (R-AZ) has mentioned bringing it back to life, and the FCC can make sure he doesn't forget and urge him to keep relevant legislation alive in the Senate.

SHVERA hurdles the House
If the Senate goes along with the House of Representatives, satellite multichannel video program distributors (MVPD) will retain the right to bring distant broadcast signals into any areas where they are not otherwise available. However, EchoStar will be required to put an end to its policy of segregating some of the local broadcast stations it carries onto a second dish. The two-dish policy was widely seen as discriminatory against smaller stations, including niche and minority programmers and independents. Bill author Fred Upton (R-MI), pictured, chairman of the Subcommittee on Telecommunications and Internet (part of the Energy and Commerce Committee), said, "This bill is a big win for consumers across the county. Without a doubt, by extending expiring provisions, increasing parity between satellite television and cable operators, and promoting competition between satellite television and cable, this bill will significantly enhance consumer choice and service." The National Association of Broadcasters hailed the action. "NAB applauds the House's passage of [SHVERA], legislation that balances the needs of consumers, local television and the satellite industry," said President/CEO Eddie Fritts. "We are grateful for the diligent and cooperative work of the leaders and members of the Judiciary and Commerce Committees in driving the measure forward. It is now vital that the Senate move decisively to pass this landmark bill before the end of the session and the expiration of the current law."


Programming

Salem Radio Network syndicates
"Bill Gaither's Homecoming Radio''
Salem Radio Network and Bill Gaither, Gospel Music legend, announce the launch of "Bill Gaither's Homecoming Radio." Following the successful "Homecoming" concert - TV/video series, Gaither created and is hosting this weekly radio show. The one-hour program features performances recorded "live" by the "Homecoming" artists on stage at the concert venues and presented in the "down-home" flavor that is unique to his style. Bill Gaither, singer-producer-entrepreneur, relates, "As a young lad growing up in Indiana, I was fascinated with gospel music from listening to it on the radio. Radio has always been special to me and now this new show allows me, and our `Homecoming' artists, to utilize this great medium for yet another outlet to reach millions with the best music in the world, gospel music." In addition to Salem's independent satellite syndication to the general marketplace and gospel radio stations, Salem's Solid Gospel Radio Network will also feature "Bill Gaither's Homecoming Radio" through its more than 100 affiliates.


Transactions

KGND-FM Tulsa (Ketchum OK) from Northeast Oklahoma Broadcast Network Inc. to Public Radio Capital Inc.

WNRI-AM Providence (Woonsocket RI) from Anastos Media Group Inc. to Bouchard Broadcasting Inc.

| More Details |


Stock Talk

Stocks hit an oil slick
The results for most stocks were, well, crude, as the price for a barrel of crude oil made it up to 53 bucks a barrel. It was a rare communications stock that managed to enter this Wall Street oil slick and come out on the other side still on its feet. Hats off to Disney, which gained 41 cents. Almost everyone else is lamenting the fact that while the oil may be black, the ink they were forced to use was red.


Radio Stocks

Here's how stocks fared on Thursday

Company Symbol Close Change Company Symbol Close Change

Arbitron

ARB

37.86

-0.14

Jeff-Pilot

JP

49.79

-0.59

Beasley

BBGI

15.00

-0.25

Journal Comm.

JRN

17.71

-0.17

Citadel CDL
13.22 -0.03

Radio One, Cl. A

ROIA

14.24

-0.37

Clear Channel

CCU

32.05

-0.35

Radio One, Cl. D

ROIAK

14.10

-0.38

Cox Radio

CXR

14.86

-0.14

Regent

RGCI

5.55

-0.27

Cumulus

CMLS

14.34

-0.19

Saga Commun.

SGA

16.80

-0.34

Disney

DIS

24.75

+0.41

Salem Comm.

SALM

24.90

-0.65

Emmis

EMMS

18.69

-0.27

Sirius Sat. Radio

SIRI

4.00

+0.13

Entercom

ETM

32.79

-0.41

Spanish Bcg.

SBSA

10.15

+0.05

Entravision

EVC

7.93

-0.22

Univision

UVN

31.32

-0.33

Fisher

FSCI

47.55

-0.45

Viacom, Cl. A

VIA

35.56

-0.62

Gaylord

GET

31.14

-0.13

Viacom, Cl. B

VIAb

35.13

-0.64

Hearst-Argyle

HTV

24.89

+0.19

Westwood One

WON

20.35

-0.08

Interep

IREP

0.85

-0.01

XM Sat. Radio

XMSR

28.35

-0.65

International Bcg.

IBCS

0.01

unch

-

-

-

-

-


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Bounceback

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Response on
Howard Stern's 2006 move to Sirius

Anyone who is a long-time Stern listener recognizes that the "edge" left his programs a couple years ago. His program today is a far cry from the cutting edge humor and innovative radio he did in his early years. His ratings are strong...but is his franchise? The mote is crumbling. Stern will be quick to blame the FCC. However, his programming is stale, much of his past creativity long gone. Will Stern push Sirius over the hump or is Serius Stern's salvation? And can two satellite radio systems survive with the cost of syndicating programming rising the way it is? Stay tuned.

Larry Grimes
President
W.B. Grimes & Company


Upped & Tapped

Kenyon named head broadcast technical services at Denny & Associates
Denny & Associates, P.C., a consulting engineering firm that specializes in broadcast, wireless and RF engineering, announced that Al Kenyon is the new head of the Broadcast Technical Services Division. Kenyon, former Clear Channel SVP/Technology, brings a wealth of experience to Denny & Associates. | More... |


More News Headlines

Competing Media

Broadcast scores 96 out of 100 top programs
In the second week of the 2004-05 broadcast season, ended Sunday, Oct. 3, broadcast again topped ad-supported cable, according to a TVB analysis of Nielsen Media Research figures. | More... |


NAB Day Time Planner


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

American Media Services,
Todd Fowler, Office 843-972-2200, Manchester Grand Hyatt, [email protected]

Cobb Corp.,
Denis LeClair [email protected]
Joel B. Day
[email protected]
Office 202-478-3737,
Manchester Grand Hyatt

Gordon Rice Associates,
Gordon Rice,
Office 843-884-3590,
Manchester Grand Hyatt,
[email protected]

Kozacko Media Services,
Dick Kozacko,
Office 607-733-7138,
Cell 607-738-1219,
Manchester Grand Hyatt, [email protected]

Patrick Communications,
Larry Patrick, Greg Guy
Office 410-740-0250,
Manchester Grand Hyatt, [email protected]




September Digital Magazine

Complimentary Report

Quarterly Deals:
4.1 Billion spent on broadcast properties since the thaw
RBR/TVBR Observation:
Where is the action? We got it.

Less is More
CCU's already meaning less with syndicators and nets.


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RBR Radar 2004
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Stern moving to Sirius, reaction muted at NAB in San Diego
It was the big "gee whiz" topic in the halls of the NAB Radio Show in San Diego - - "did you hear about Howard Stern?" But despite the interest from a gossip point of view, there appeared to be little concern that Stern's defection to satellite radio will have any big impact on the terrestrial radio industry. That may be because so many of the stations which carry Stern are owned by Infinity which, with parent company Viacom, is not a member of the NAB.
RBR observation: This is a shot in the arm for both satellite firms. Stern is the first big national talent to cross over the air waves. At this point it is it doesn't matter if Sirius stock moves the key is having the talent and content with the potential for all the cult listeners of Stern to follow with the purchase of satellite radio. Like in real-estate it only takes that right one to walk through the door and say sold. Stern is the first part of the issue of here comes da satellite. The next factor is seeing who and or what Infinity and affilates will follow with when Stern is off the air. Bets are now being placed on: Will Infinity pull Stern immediately or leave him on the air to pump his move? This is not going to be an easy replacement. 10/07/04 RBR #196

General Sales Manager
Los Angeles. Opportunity of a lifetime. 5 years radio sales management experience. EEO. Reply to: [email protected]

Local Sales Manager
Cumulus Broadcasting of Shreveport seeking a LSM. The person hired for this very important position will have the ability to train, motivate, write and supervise proposals, close sales with A/E's and hit or exceed monthly and quarterly local sales budgets.

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