|
|
|
|
|
Volume 24, Issue 51, Jim Carnegie, Editor & Publisher
|
Wednesday Morning March 14th, 2007
|
|
|
Radio News ®
|
 Clear Channel
delays buyout vote
Amid increasing indications that the proposed 26.7 billion bucks buyout of the company will not win the required two-thirds support from shareholders, Clear Channel Communications announced late yesterday that the vote has been rescheduled to April 19th, rather than next week (March 21). The official reason given is that the independent directors on the CCU board determined that so many shares have changed owners recently that the roster of shareholders as of the original record date no longer reflects the actual ownership. CCU said the independent directors decided that more time was needed to send out a revised proxy statement and give the current shareholders a "meaningful opportunity" to review the offer. Under the revised schedule, shareholders of record on March 23rd will be eligible to vote at the special meeting on April 19th at the Westin Riverwalk Hotel in San Antonio (although few are expected to show up in person).
RBR observation: It is pretty easy to see that the real reason for the delay is to give the board and management time to try to turn this around. What is hard to see is how they can accomplish that, since the momentum is clearly moving against acceptance of the 37.60 per share offer. The obvious way to reverse that trend is to raise the bid, but it doesn't appear that Thomas H. Lee Partners and Bain Capital Partners have any intention of doing so.
 SBS disappoints Wall Street
The stock price for Spanish Broadcasting System fell yesterday as Q4 results came in below expectations, with radio revenues down and TV still contributing little to the company. Analysts were also disappointed with the outlook for Q1. SBS officials told analysts and investors that the weakness is exclusively on the national ad sales side, with local radio up 2% for the quarter and national down 18%. CEO Raul Alarcon insisted that the national problem is being addressed and that SBS and its rep, Interep, have put in place a plan to fix the problem. However, national is still expected to be soft in Q1. For the quarter, SBS says to expect radio revenues to be down in the mid single digit range. Alarcon's Q&A session with investors and analysts was tense at times, over both the radio sales problem and the decision last year to enter the television business. One investor pointedly asked Alarcon whether he believed the company had any fiduciary responsibility to its shareholders. Alarcon responded that he is the largest shareholder, "so I have a fiduciary obligation to myself." The CEO insisted that he will eventually be proven right in making the move into TV, just as he was previously criticized for acquiring a Los Angeles radio station that is now a major profit center.
RBR observation: This has got to be a first when a CEO states when asked whether he believed the company had any fiduciary responsibility to its shareholders. Reply was he is the largest shareholder, "so I have a fiduciary obligation to myself." The key is to himself. Has got to be a first as RBR prints you decide.
|
|
|
 Sumner takes a pay cut
In a move that will settle a lawsuit filed by disgruntled shareholders, CBS Corporation has moved to make the compensation package for its Executive Chairman and primary shareholder, Sumner Redstone, more closely tied to stock price performance. Under the new pay package, Redstone's basic pay will be one million per year, down from 1.75 million, and deferred compensation of 1.3 million will be eliminated. His target cash bonus under CBS's short-term incentive plan will be reduced from 6.1 million to 3.5 million per year. Redstone will receive an annual award of stock options having a grant-date value of three million bucks. He will also receive an annual award of performance share units (PSU's) with a target value of three million. The value, if any, realized from PSU's will depend on the total shareholder return of CBS Class B common stock compared with the total shareholder return of companies comprising the Standard & Poor's 500 Composite Index over a measurement period of, in general, three years and, in certain circumstances, by a measurement of operating income before depreciation and amortization. Redstone also agreed to convert an approximate 10 million deferred compensation account balance to stock options. The option equivalents will have an exercise price equal to the closing price of CBS's Class B common stock on the conversion date and will vest over four years. "The pay-for-performance model is one I have long championed, as it more closely aligns executive compensation with the returns the company generates for its shareholders," Redstone said of his new deal.
Commissioners cross the Mall one more time
The House Subcommittee on Telecommunications and the Internet will be in session tomorrow to exercise "Oversight of the Federal Communications Commission." The last time Ed Markey's (D-MA) subcom met, to discuss the future of radio, it ended up focusing on XM/Sirius. This session should be a more wide-ranging affair. Where there is a subcommittee, their is a committee above it, and Energy and Commerce Committee Chairman John Dingell (D-MI) and Ranking Member Joe Barton (R-TX) both have an interest in communications issues, so don't be surprised if they make cameo appearances. The radio session wound up revolving around Sirius honcho Mel Karmazin. Today's session should rest squarely with the five FCC Commissioners, Chairman Kevin Martin (R), Michael Copps (D), Jonathan Adelstein (D), Deborah Taylor Tate (R) and Robert McDowell (R). It's scheduled to kick off at 9:00 AM Eastern. The session was originally booked for February but was postponed due to the death of Rep. Charlie Norwood (R-GA).
RBR observation: The Senate has already grilled the FCC's fab five, and they've all been heading out to public forums here and there. It will not be long before each commissioner's opening remarks will qualify as a stump speech.
|
|
|
Rehr underscores XM/Sirius testimony
In case House Judiciary Committee Chairman John Conyers (D-MI) wasn't taking notes, NAB President/CEO David Rehr underscored his forceful testimony in opposition to the proposed merger between XM and Sirius with a letter. He has six reasons why the wedding should be annulled before it ever gets started.
| Read it here |
Media dumbfounded by Hagel finagle
 Journalists have figured out that the 2008 presidential campaign is under way - already - and they've figured out that individuals who appear to be in the running have adopted the practice of announcing that fact in hierarchical dribs and drabs. But Sen. Chuck Hagel (R-NE) managed to take it to a new level this week. Speculation not only about Hagel's candidacy but also about the possibility he may retire from the Senate has simmered for quite some time now, and the his scheduling of a press conference at the University of Nebraska "on my political future" prompted political journalist from various media to drop what they were doing and head out to Nebraska. Washington Post reporter Dana Milbank said there were local dignitaries, up to and including the governor of Nebraska, and 15 television cameras in the room. The big announcement? He's going to decide later.
RBR observation: This sort of stunt is bad for the electoral process. There are any number of unobtrusive ways in which Hagel could have made his non-announcement. Simply not announcing anything comes to mind. It's not hard to find people who will say that political campaigns are too long. Warnings are already out this year about voter fatigue. And no news organization wants to pay for a plane ticket and hotel room, not to mention other related expenses, for this sort of garbage. Politicians love to dump on the media for shoddy campaign coverage. Maybe they can make an instant improvement, by no longer gaming the system.
|
|
|
|
|
Leverage Your Station's Brand
|
Advertisement
|
|
 The Fast Track to HD at NAB
Free seminars on how to meet and defeat the competition with ready-today strategies for HD Radio, Multicasting, Messagecasting and Internet Broadcasting.
| More info on www.bdcast.com |
|
|
|
|
| Wall Street Media Business Report TM |
Liberman drops IPO
The long-pending stock offering by Liberman Broadcasting is officially dead. The company has asked the SEC to withdraw the IPO application it filed in February 2004 (2/16/04 RBR #31) and amended repeatedly over the years. The original application had sought to sell 184 million in stock to the public. But market conditions, which had not been ideal at the time of the filing, deteriorated as the IPO sat on the shelf. Wall Street turned its back on "old media" stocks and radio stocks in particular. Even though Liberman has both radio and TV and is in the still-fast-growing Spanish media segment, the IPO window never opened. LBI Holdings, the current parent company of Liberman, continues to have public bonds and the company will continue to have all of its equity in private hands - primarily Jose and Lenard Liberman.
Soft quarter for SBS
Spanish Broadcasting System saw revenues decline 5% in Q4 to 44.4 million, coming in well below the Thomson/First Call consensus of 47 million. Radio net revenues fell 9% to 42.7 million, with the drop blamed on soft national sales and the discontinuation of some low-margin promotional events. The single-station TV division contributed 1.7 million in revenues. Operating income before depreciation and amortization and gain on the sale of assets dropped 43% to 7.0 million. However, if you exclude the TV loss of 5.2 million in Q4 2006 and 2.3 million in Q4 2005 (and non-cash stock based compensation of 400K), adjusted operating income before depreciation and amortization and gain on the sale of assets was down only 14%.
|
|
|
|
|
Ad Business Report TM
|
 How stations will work with
Wal-Mart to promote HD Radio
iBiquity spokesperson Vicki Stearn tells RBR some of the details of how stations will work with Wal-Mart locally in promoting HD Radio sales in-store (3/6/06 RBR #45). HD digital radio receivers are launching in 1,989 Wal-Mart stores in 85 markets. In response to anticipated high consumer demand for in-vehicle HD radios, Wal-Mart stores will initially stock the JVC HD-W10 Mobile HD Radio receiver, which retails for less than 190 bucks. Along with the ad campaign via HD Digital Radio Alliance stations, says Stern, "We're working with some of the different clusters in the top 20 markets across the country. They made their own localized, unique POP signs in Wal-Marts that will be up in the middle of April. Many of these are designed by the local clusters to publicize the HD-2 components." The clusters will give the signage to contractors at the stores who will assemble them. All 1989 Wal-Mart stores in 85 markets will have in-store signage; the Top 20 markets are where stations have already designed signage for some stores.
RBR observation: Most Wal-Mart stores don't allow branding, so this is a pretty big deal. Getting the receivers hooked up to an outdoor antenna may be easy in some stores, harder in others. Most TVs at Wal-Marts are hooked into centralized DVD players; the radios usually just use their own pull-out antennas. In many suburban and urban Wal-Marts, they will be able to use a simple antenna mounted near the display, as signal strength will be sufficient near the broadcast towers. However, some of the more rural stores may need to look into quick outdoor installations. We're sure an engineering consultancy could quickly do nationwide signal strength maps and plot the appropriate Wal-Mart stores as a guide.
TNS: US ad spend increased 4.1% last year
Total advertising expenditures in 2006 increased 4.1% to 149.6 billion as compared to 2005, according to data released by TNS Media Intelligence. Ad spending during Q4 '06 was up by 4.2% against the same period in 2005. "Total advertising expenditures continue to expand slowly. Excluding the cyclical contributions from special events such as political elections and the Olympics, core growth is tracking in the range of 3%," said Steven Fredericks TNS CEO. "In the near-term, we foresee no significant changes to underlying fundamentals that would move the overall ad market onto a different track. Our most recent forecast of 2.6% growth for 2007, while conservative, still seems appropriate."
| Read More... |
|
|
|
|
| Media Business Report TM |
 YouTube sued
for 1B by Viacom
Back when Google bought YouTube for 1.65 billion (10/10/06 RBR #197) there were predictions that having a deep-pockets parent company would invite massive copyright lawsuits against YouTube by major content owners. The first has now been filed, with Viacom suing Google/YouTube for at least one billion bucks in damages. The lawsuit filed in a New York federal court charges that nearly 160,000 unauthorized clips of Viacom programming were made available on YouTube, resulting in more than 1.5 billion viewings. Viacom charges that the YouTube business model is "based on building traffic and selling advertising off of unlicensed content." That, the lawsuit charges, "is clearly illegal and is in obvious conflict with copyright laws." The lawsuit was hardly unexpected, since Viacom had recently demanded that YouTube take down more than 100,000 video postings that Viacom said infringed on its copyrights. The site owner insists that business as usual will continue. "We will certainly not let this suit become a distraction to the continuing growth and strong performance of YouTube and its ability to attract more users, more traffic and build a stronger community," Google said in a statement. The Computer and Communications Industry Association (CCIA) came to the defense of YouTube, insisting that Viacom has not exhausted the legal remedies required by the Digital Millennium Copyright Act. "This lawsuit represents another attack on balanced copyright by rightsholder interests who mistakenly believe they are the sole gatekeepers for how copyrighted works may be used. The fair use doctrine says otherwise. Much of the content on YouTube represents news, commentary, and criticism - these represent the heart of our fair use doctrine. And for any content that is not protected by fair use, processes exist to resolve copyright concerns that do not involve firing off lawsuits. These disputes should be addressed under the carefully balanced notice-and-takedown system provided for in the Digital Millennium Copyright Act. That system relieves service providers of the impossible obligation to affirmatively monitor the Internet," said CCIA President Ed Black.
RBR observation: As shown by the ongoing disputes between the music industry and Internet streamers and between the TV/movie industries and video sharing sites such as YouTube, the Digital Millennium Copyright Act was written in the Stone Age as far as Internet law is concerned - way back in 1998. No one then could have imagined that in 2007 anyone with a home computer would be able to grab video content, edit it and post in on the Internet for people all over the world to share. Nor could the congressional authors have imagined that the notice-and-takedown system would require major content owners to have entire staffs of people devoted to doing nothing else. It seems to us that a review and rewrite is in order - along with some mechanism for adapting rules to keep pace with technology. Otherwise, we will just be in the same predicament a few years down the road.
|
|
|
|
| Media Markets & Money TM |
Falwell looking to upgrade cross-owned cluster
The Associated Press says that Jerry Falwell is looking into the acquisition of a Roanoke-Lynchburg VA television station for his Liberty University. The station - WDRL-TV Danville VA - is said to be financially challenged, and any transaction would have to be approved by a bankruptcy court in addition to the FCC. According to the Roanoke Times, Falwell is prepared to spend 6M for the indy, formerly a UPN affiliate, which he will use to promote the University's sporting and religious events, and will serve as an upgrade to the LPTV the University already owns. That station is WTLU. In particular, Falwell said he was interested in a station that would hold must-carry rights on local cable systems. Falwell's operation also has a radio station, WRVL-FM.
|
|
|
|
| Washington Media Business Report TM |
House Dems want better network balancing act
The request is in the mail, coming from Democratic House members led by Maurice Hinchey (D-NY), Lynn Woolsey (D-CA), Marcy Kaptur (D-OH) and Tammy Baldwin (D-WI). It concerns the Sunday morning network talk shows and a Media Matters report that says that most, with ABC's "This Week" excepted, have skewed right of center since November 2006. "We recognize that the Sunday shows occupy a singular place in our political culture. They serve as weekly 'town hall' meetings where millions of Americans learn what is happening in their nation's capital. The terms of national debate is often set, and conventional wisdom is often formed, by these programs. Consistently booking Republicans and conservatives in higher numbers than Democrats and progressives gives the public a skewed and imbalanced perception of the national discourse. Furthermore, Democratic and progressive Americans are being denied the right to have their points of view adequately represented in this important weekly forum. We hope you will agree that the networks need to actively address this problem, and safeguard against its recurrence, or risk diminishing their respected position in the American political landscape."
RBR observation: There has been a lot of pushback against the notion that the media skews to the left in recent years. It's a nebulous and subjective topic overall, and there are many ways to slice and dice it. On the plus side for broadcasters, it is utterly impervious to regulation. At any rate, conservatives have long used whatever bully pulpit they can commandeer to air their media gripes, so if anything the story here is that liberals are now availing themselves of their opportunities for bully pulpitry. This comes on the heels of a Fox Democratic debate in Nevada being scratched, supposedly because of some jokes told by Roger Ailes. It's likely to get noisier before it gets quieter.
|
|
|
|
| Entertainment Media Business Report TM |
 "A Face Made for Radio" winner
Alex Diaz of Clear Channel's WXXL-FM Orlando has been named winner of the "Ugly Betty, a Face Made for Radio Deejay Contest." Diaz, the morning show producer for the Doc & Johnny Morning Show, beat out contestants from 22 radio stations across the country to win a trip to Hollywood and a visit to the set of ABC Television's "Ugly Betty" show. "Our listeners had my back from the get-go, and now I am packing my bags! I can't wait to meet America Ferrera and Rebecca Romijn," said Diaz as his win was announced. As the winner's photo demonstrates, the contest required deejays to give themselves a makeover that resembled Betty Suarez, the lead character in "Ugly Betty." Each contestant received a Betty in a Bag makeover kit, which included a wig, braces, red eyeglasses, poncho, make-up and a digital camera. The deejay with the most votes during the month of February was crowned the winner. Not only did Alex Diaz don the costume, but he added his own touch, with a handmade necklace made of a pretzel resembling Betty's favorite B, and XLs morning show even dedicated a segment on the last day of voting, entitled Reasons to Vote for Alex, to generate more votes. As a secondary part of the contest, one listener from each of the participating radio markets will also win a trip to Cancun, with a runner-up receiving a custom couture look-alike Betty handbag. The contest has generated over 57,000 online entries and nearly six million hits.
|
|
|
|
| Internet Media Business Report TM |
Music downloads were fastest
growing digital music category in 2006
According to The NPD Group, a consumer and retail information company, 2006 offered the music industry positive and negative news. The recording industry registered solid growth of digital music sales from services like iTunes, but they continue to fight against serious challenges from music piracy in the form of peer-to-peer (P2P) file sharing.
| Read More... |
|
|
|
|
| RBR Stats |
 Libby story lands on top
The Project for Excellence in Journalism found 3/4-9/07 to be another diffused news week. However, the verdict in the Lewis "Scooter" Libby trial was the most-covered story, getting double-digit attention from four of five media, and topping the overall list as the only double-digit entry. Iraq remained a hot topic, but the policy debate has been sharing time with other aspects, particularly the homefront, spurred by stories about Walter Reed in particular and VA hospitals in general. The previous week had been even more diffuse, with no story topping 7% overall, and six stories dropped out of the top ten, including three one-timers - tornadoes, a drop in stock prices and the Oscars, and two ongoing storier - Afghanistan and the war on terror. Oh, the tabloid-fodder Anna Nicole Smith story finally dropped out of the top ten, and almost left the chart entirely, but the cable nets still weren't quite ready to let it go, but were able to hold it down to 1% of the news hole.
| Top ten lists here |
|
|
|
|
| HD RADIO 2007 |
BE to host HD Radio reception
Broadcast Electronics will present four technical papers and host the NAB HD Radio Reception during NAB 2007. BE will sponsor the NAB HD Radio Reception, held in the Radio Hall on Monday, April 16, from 4:30 to 6pm, as a way for broadcasters to unwind after day-one of the exhibition and network with others interested in HD Radio business and technology developments.
| Read More... |
HD Digital Radio "Discovers" SXSW
For two decades, SXSW in Austin, Texas has been the annual "it" spot where record company officials, music media executives, artists and consumers discover the hottest new music and technology. At this year's event, they'll find out about HD Radio's new formats and programming, crystal-clear digital sound and NO subscription fees. Today the HD Digital Radio Alliance will be hosting a "Discover It! SXSW Day" showcase during SXSW, consisting of live artist performances, three HD Radio listening stations for product sampling and HD Radio giveaways (up to 5 receivers an hour) to help SXSW's attendees and Austin music fans tune in. On two simultaneous stages, the event will feature the indie sounds of The Silos, The Sights, Quincy Coleman and much more. Tex-Mex food and open bar beverages will also be available. If you can make it to the event, here are the coordinates:
| Read More... |
|
|
|
|
| Music Media Business Report |
 US Patent Office to revoke
CC Live Concert CD patent
The US Patent and Trademark Office is revoking a patent on live concert recording technology owned by Clear Channel, following a successful challenge launched last year by the Electronic Frontier Foundation (EFF), a digital civil liberties advocate. The patent was related to the process used by Clear Channel's Instant Live unit (now part of Live Nation), which captures and mixes live music concerts and then burns them onto CD so fans can purchase them at the venue immediately following the show. The EFF petitioned the Patent Office for a re-examination of Clear Channel's patent in February of last year; the Patent Office granted EFF's request in April 2006, and announced its Notice of Intent to cancel all five of the patent's claims on Tuesday. "Bogus patents like this one are good examples of what's wrong with the current patent system," EFF staff attorney Jason Schultz told Digital Media Wire. "We're glad that the Patent Office was willing to help artists and innovators out from under its shadow." From the story: "CC announced 4/04 that it had acquired a business-method patent on making live concert recordings, and soon after launched a aggressive campaign against companies similar to its Instant Live, including Disc Live, claiming it had exclusive rights to the technology. Disc Live countered that Clear Channel's patent was not relevant to its own live recording technology, even inviting to the company inspect Disc Live's system and see for itself. Clear Channel's failure to reply to questions about its patent was also cited by the Patent Office in its Notice of Intent to cancel the patent. "The patent owner failed to timely file a response" to questions mailed on March 31, 2006, the notice reads."
|
|
|
|
| Transactions |
3.6M KSMT-FM Breckenridge CO, KIDN-FM/KTRJ-FM Hayden CO, KKCH-FM Glenwood Springs CO, KTUN-FM Eagle CO, KNFO-FM Basalt CO, KSPN-FM Aspen CO and KFMU-FM Oak Creek CO from NRC Broadcasting Inc. (Timothy Brown) to NRC Broadcasting Mountain Group LLC (Timothy Brown, David Rogers). 360K cash at closing, 3.24M note. [File date 2/22/07.]
36.5K WYNI-AM Monroeville AL from Joe McKissick d/b/a McKissick Enterprises to Brantley Broadcast Associates LLC (Joan Reynolds, Paul Reynolds, Lee Reynolds, Lyle Reynolds). Cash. Combo with WTID-FM Repton AL. [File date 2/20/07.]
|
|
|
|
| Stock Talk |
Stocks take a dive
Major problems in the mortgage industry are taking their toll on Wall Street. The Dow Industrials fell 243 points, or 2%, yesterday, as traders tried to guess what impact the losses for companies in the sub-prime home lending business will have on the overall economy.
Radio stocks were lower. The Radio Index plummeted to a year-to-date low, falling 2.451, or 1.6%, to 151.670. Cox Radio fell 3.4% and Journal Communications dropped 3.1% as the day's worst performers. Also, penny stock Spanish Broadcasting System plunged 8.6% as it reported soft Q4 results and issued soft guidance for Q1.
|
|
|
|
| Radio Stocks |
Here's how stocks fared on Tuesday
| Company |
Symbol |
Close |
Change |
Company |
Symbol |
Close |
Change |
|
Arbitron
|
ARB
|
|
45.81
|
-0.34
|
Journal Comm.
|
JRN
|
|
13.12
|
-0.01
|
|
Beasley
|
BBGI
|
|
9.19
|
-0.06
|
Lincoln Natl.
|
LNC
|
|
67.67
|
-0.19
|
| CBS CI. B |
CBS |
 |
31.29
|
+0.62
|
Radio One, Cl. A
|
ROIA
|
|
7.04
|
+0.05
|
| CBS CI. A |
CBSa |
|
31.24
|
+0.63
|
Radio One, Cl. D
|
ROIAK
|
|
6.99
|
+0.01
|
| Citadel |
CDL |
|
9.76 |
+0.02 |
Regent
|
RGCI
|
|
2.95
|
-0.02
|
|
Clear Channel
|
CCU
|
|
34.85
|
-0.54
|
Saga Commun.
|
SGA
|
|
9.80
|
+0.01
|
|
Cox Radio
|
CXR
|
|
13.87
|
+0.38
|
Salem Comm.
|
SALM
|
|
11.80
|
+0.43
|
|
Cumulus
|
CMLS
|
|
9.47
|
+0.17
|
Sirius Sat. Radio
|
SIRI
|
|
3.37
|
-0.05
|
|
Disney
|
DIS
|
|
34.20
|
-0.17
|
Spanish Bcg.
|
SBSA
|
|
4.65
|
+0.35
|
|
Emmis
|
EMMS
|
|
8.11
|
+0.11
|
SWMX
|
SMWX
|
|
0.90
|
-0.10
|
| Entercom |
ETM
|
|
28.01
|
+0.30
|
Univision
|
UVN
|
|
36.03
|
+0.01
|
|
Entravision
|
EVC
|
|
9.10
|
+0.16
|
Westwood One
|
WON
|
|
6.35
|
+0.02
|
|
Fisher
|
FSCI
|
|
46.55
|
-0.57
|
XM Sat. Radio
|
XMSR
|
|
13.70
|
+0.08
|
|
Hearst-Argyle
|
HTV
|
|
26.64
|
+0.55
|
-
|
-
|
-
|
-
|
-
|
|
|
|
|
|
|
Bounceback
|
 We want to
hear from you.
This is your column, so send your comments and
a photo to [email protected]
 As you know, I'm in the Idea Bank and with them and talking to other broadcasters, I think there are a lot of people who feel like it wasn't the "right" thing for the FCC to give waivers to WGNS and WRHI for use of their FM translators. While I can appreciate the limited nighttime coverage of Class C AM stations in the southeast; if any waivers were granted, you would have thought they would have first gone to AM stations which have limited or no pre-sunrise or post sunset power. Furthermore, I'm of the opinion, and I know many other broadcasters are too, that the FCC is now on a slippery slope when it starts granting waivers simply because of a station's political relationships. The FCC should leave "political favors" in the relm of the US Congress and Congress should leave radio regulations to the FCC. I consider the folks at WRHI friends, but they and WGNS should have not taken these waivers until all AM stations could have the use of FM translators. I hope the FCC will appreciate the delicacy of what they've done here and grant waivers to all AM stations to use FM translators until the rule changes are made. Let's keep the playing field level.
Douglas M. "Art" Sutton, Jr.
Chairman/CEO
GA-Carolina Radiocasting
Toccoa, GA
|
|
|
Below the Fold
|
|
Ad Business Report
How stations will work
With Wal-Mart to promote HD Radio...
TNS: US ad spend
Increased 4.1% last yearto
149.6 billion as compared to 05 See the results...
Media Business Report
YouTube sued for 1B by Viacom
Deep-pockets parent company would invite massive copyright lawsuits...
Entertainment Media
Business Report
"A Face Made for Radio"
Alex Diaz of WXXL-FM Orlando winner of the Ugly Betty...
|
|
|
Stations for Sale
|
NorthEast FM's For Sale
Clusters, standalones, sticks
8x - 12x BCF, 950K - 7.2M
[email protected] or
781-848-4201
10 TX, AZ, NC, and GA
FM radio stations at an exceptional value offered for sale. Broker cooperation encouraged. Please visit www.toweritrust.com for complete information including pricing.
 Market your Stations For Sale
in our daily epapers.
Contact
June Barnes
[email protected]
|
|
|
Radio Media Moves
|
 Martin joins
CNN roster
Nationally syndicated columnist and WVON Chicago radio host Roland S. Martin is joining CNN as a contributor across several programs effective immediately. Jon Klein, President of CNN/US said in the coming months, the network will develop various other programming concepts around him.
Tim not Tom
It is Tim Peters who is returning to Wichita at KFTI-FM. He was incorrectly identified yesterday as "Tom."
|
|
|
More News Headlines
|
Tobacco company
loses broadcast
phone call protest
Back in 2001, public interest group American Legacy Foundation (ALF), preparing anti-smoking advertisements, taped Lorillard Tobacco Company (LTC) employees without their knowledge, asking them if they would be interested in purchasing dog urine to use as a cigarette additive. The ad was widely broadcast over the radio, and although it is now out of circulation, LTC asked the FCC for a declaratory ruling prohibiting the practice under the regulation which prohibits stations from recording and airing phone calls without prior consent. LTC said it's common sense that the plain language holding licensees responsible should transfer over third parties like ALF. ALF said nonsense, the plain language affects licensees only, and that LTC was trying to bypass normal rulemaking channels. ALF was supported by a number of organizations, including CBS, Belo Corp., Fox, Infinity, NAB, Radio One and Saga Communications. And the one that counts, the FCC. It agreed with ALF that the plain language of the regulation referred to licensees only, and that it would be incredibly burdensome for broadcasters to track down the particulars of every recording submitted to broadcast by third parties. The proceeding has been pending since 10/1/01.
Air America offers to host GOP debates
Air America Radio Air America President Mark Green sent a letter yesterday to the chairmen of four state Republican parties, offering to host and broadcast the state parties' upcoming presidential debates. Green wrote to the Iowa, Nevada, New Hampshire, and South Carolina Republican chairmen in a deadpan communication provided to The Politico website.
| Read the letter here |
Playing defense,
not offense
In an article yesterday called "Clear Channel fends off spate of license challenges," we noted presence of Wiley Rein attorney Dorann Bunkin on a number of license renewal challenges aimed at Clear Channel radio stations, and the implication was that Bunkin was working with the challengers. In fact, an alert reader points out that Wiley Rein represents Clear Channel, so like any good goalie, Bunkin was keeping the challenges out of the net.
|
|
|
RBR Radar 2007
|
|
Radio News you won't read any where else. RBR--First, Accurate, and Independently Owned.
|
More trouble for CCU buyout bid
With the vote next week (March 21st), it is looking more and more likely that shareholders may vote down the proposed 26.7 billion bucks deal to take Clear Channel Communications private. The Glass Lewis advisory firm has told its institutional investor clients that they should vote against the buyout, saying the offer of 37.60 per share is too low.
03/13/07 RBR #50
CRB rates would net
SoundExchange 2.3 billion a year
A very telling story from BetaNews: "Using new facts presented to us by several sources, especially Eric Ronning, managing partner of online radio advertising firm Ronning Lipset Radio, BetaNews can project with some confidence that the SoundExchange group would become a 2.3 billion dollar per year business should the rates the CRB accepted last week finally become ratified." More from the informative article:
03/12/07 RBR #49
Streaming websites pleading
for help on new royalty fees
As expected, the new, ridiculous Copyright Royalty Board copyright licensing fees for streaming radio stations has alarmed internet broadcasters. Here's a few that have so far crunched the numbers and realized their businesses are in immediate jeopardy:|Read the facts in RBR as it is your Future we are fighting for.
03/12/07 RBR #49
New internet royalties
draw fire on Capitol Hill
Rep. Edward Markey (D-MA), chairman of The House panel on telecommunications and the Internet, had harsh words for the U.S. Copyright Royalty Board's new internet audio royalty rates (3/7/07 RBR #46). It proposes raising the amount that commercial Internet radio broadcasters pay to labels by 30% retroactively to 2006 and through 2009. From a CNET News story: "This represents a body blow to many nascent Internet radio broadcasters and further exacerbates the marketplace imbalance between what different industries pay." NAB spokesperson Dennis Wharton told RBR: "It's a disappointing decision. If it stands, there will be less music choice for consumers and a technology would get stifled in its infancy."
RBR observation: OK NAB everyone has opened the door for you to go in for the lobbying stand up kill. RBR likes NAB's Dennis Wharton but his quote of disappointing if the decision stands does not stand very well for the NAB as radio's lobbying arm and freedom fighter in general. The movement for radio to cross market with the internet would be shut down. Don't worry about XM/Sirius be more concerned for your radio members paying dues from NYC to Minot, ND as this will affect their bottom line, being competitive with other music services and the over all internet. Does RBR need to run radio's 2007 revenue forecast again to remind all that local radio is out their slugging it out every day to be competitive. RBR said it yesterday and says it again, NAB Get a Dog in this Fight and Fight for Radio!
03/09/07 RBR #48
New internet royalty fees;
are they good for radio?
The NAB, representing radio broadcasters, has so far been silent on the new, exorbitant internet streaming royalty fees (3/7/07 RBR #46). We were told this is due to staffers being present at the proposed XM/Sirius merger hearing. Broadcasters RBR spoke to, like Entercom's David Field, mentioned they were still analyzing the new fees and deciding where to go with their streaming audio. No decision has been made yet. WBEB-FM Philadelphia's Jerry Lee told us much the same: "I haven't seen the math yet, but I've asked my people to analyze it. It sounds pretty bad. My take is if it isn't changed, at least the people that are webcasters are not going to be around. It sounds horrendous."
RBR observation: This is just the tip of the iceberg in pushing the radio medium between a rock and a growth hard place. Raising ad rates sounds nice but in reality that will not happen as many broadcasters are just now toying with the internet. These new internet royalty fees have to be stopped. Dues paying NAB members best pick up the phone and call your elected Board member and tell them to get their act together. With the Internet do not let the RIAA cut you off at the competitive knees. NAB Get a Dog in this Fight and Quick.
03/08/07 RBR #47
Definition of the market
Is going to be a huge key to the success of the proposed merger between rival DARS services XM and Sirius. DARS says it competes with all other audio services; broadcasters and consumer advocates says its much more a two-company market that wants to monopolize. Hearings on the future of radio hosted by Ed Markey (D-MA) and the Subcommittee on Telecommunications and the Internet had much in common with an earlier one hosted by John Conyers (D-MI) and the Judiciary Committee's Antitrust Task Force. The main event, Sirius honcho Mel Karmazin, Greater Media's Peter Smyth was a stand-in for NAB's David Rehr, and Consumer Union's Gene Kimmelman was a stand-in for the Consumer Federation of America's Mark Cooper.
RBR observation: The New York Times reports that FCC Chairman Kevin Martin (R) has privately expressed skepticism about the merger. Since Martin is firmly entrenched in the deregulatory wing of the Commission, this would appear to be a major hurdle to be overcome. But this one has a long way to go. Stay tuned. Statement summaries of those who spoke their words is worth a double read in this special page of RBR.
03/08/07 RBR #47
|
|
|
|
 |
Hard finding that key person
to fill the important position at your organization? Media HeadHunters is the place that key media firms use to get results. See Media HeadHunters and get results with service--Period.
Need assistance
contact Cathy Carnegie
|
 |
|
|
|
|
Help Desk
|
__EMAIL__ :
Having problems with our epapers?
Please send Questions/Concerns to:
[email protected]
If you wish to remove your name completely from our database use this link __UNSUB__
RBR Epaper -- 108 annual
or just 9 a month
|
|
|
|
©2007 Radio Business Report, Inc. All rights reserved.
Radio Business Report -- 2050 Old Bridge Road, Suite B-01, Lake Ridge, VA 22192 -- Phone: 703-492-8191
|
|
