Volume 21, Issue 57, Jim Carnegie, Editor & Publisher
Tuesday Morning March 23rd, 2004

Radio News ®

Stern escalates indecency attack on Oprah
Infinity censors wouldn't let Howard Stern air explicit portions of an "Oprah Winfrey Show" tape, as we reported yesterday, so Stern has turned to the Internet. He's posted both a transcript and audio tape of the Oprah excerpt on HowardStern.com, along with a transcript of the Stern show most recently fined by the FCC. RBR observation: Howard has a point. Radio broadcasters have complained for years about a double standard - - with radio shows being hit with indecency fines for material that's standard fare on daytime television. The old argument that TV talk shows deal with such material in a more serious manner just doesn't wash like a Tupperware Party more like a Rainbow Party. Don't know what a Rainbow Party is - well listen inside because Oprah does, syndicated by Viacom's King World, runs daily at 4:00 PM ET, check you local listings. | Full Story Click Here | RBR Observation |

Another watchdog with a pro bono anti-Bono opinion
Many people and groups have been offering their two cents worth for free as the indecency wars continue to rage, and Morality in Media has become of the latest. It is thrilled with the FCC's announcement that it would hold non-licensees like broadcast networks accountable for programming they produce and air. | Full Story Click Here |

Who has the biggest cluster of them all?
Clear Channel Communications may have the nation's highest-billing radio station - - WLTW-FM New York at $69.6M in 2003, according to BIA Financial Network (BIAfn) - - but what we wanted to know is who has the biggest cluster in the Big Apple, and not just radio. So we crunched the numbers and Clear Channel is well back in the pack. Editor's Note: Of course, the piece missing from our tally of daily media revenues is newspaper then you would get a real color picture. It is all in the chart inside people and how you manipulate the numbers. | Full Story Click Here |


Les Hollander to report to Herman; Infinity ups Ongaro
Will losing its Director of Sales impact WLTW-FM New York's ranking by BIAfn as the nation's #1 billing station (see previous story)? That's what's happening, as we reported yesterday on Les Hollander's defection from Clear Channel to Infinity. Here's more. | Full Story Click Here |

Hicks to serve another term with Clear Channel
Tom Hicks is preparing to retire as head of Hicks, Muse, Tate & Furst a year from now (3/9/04 RBR Daily Epaper #47), so we'd wondered whether he'd serve again on the Clear Channel board of directors as he winds down his Hicks, Muse duties. Yep, he's on the proxy for re-election at Clear Channel's annual shareholders meeting April 28th in San Antonio. Hicks has been a Clear Channel director since the AMFM merger in 2000. No new directors are being added by Clear Channel this year. The newest member of the board is former Congressman J.C. Watts, who joined in February 2003. Up for re-election along with Hicks and Watts are Lowry Mays, Mark Mays, Randall Mays, Red McCombs, Alan Feld, Perry Lewis, Phyllis Riggins, Theodore Strauss and John Williams. Hicks, Muse is the largest shareholder of LIN Television, but Hicks doesn't sit on that board. In fact, the Hicks, Muse shares in LIN are non-voting, to avoid any regulatory conflict with the investment group's Clear Channel stake.

CEOs see sustained economic recovery
Chief Executive magazine's monthly poll of CEOs reveals faith among the business leader community that the economic recovery currently in progress has legs and will continue. However, it is expected to grow at a relatively modest rate, and there is still a great deal of skepticism about a similar recovery in the employment market.
| Full Story Click Here |


Publishers Perspective

Accountability 2004:
The History of Radio Ratings, Introduction
You can't change the radio ratings game if you don't know the history. Will the young CEO's and others today ever learn about radio ratings? Stop, write your age down and subtract 29. What was your age in 1975? Me, I was 26 years old. It is all about history and learning before you think you can change the radio ratings game. Why, because I was there, a part of it, and saw the possibilities. Learn from history and apply from those that have done and still are doing. Everyone in the business of radio, and I mean everyone - - engineers, DJs, CEOs, agency folks, receptionists, PDs...everyone - - needs to understand ratings. Today, the ratings game is facing huge changes. But you will not be able to understand where ratings are going if you do not understand where they've been. Hence this series. Watch this space in the coming days for a first-hand history of ratings, in small, easily digestible chunks. Learn so you can earn. See you tomorrow. Jim Carnegie, Publisher [email protected]


RBR News Analysis

Indecency responses vary; NAB fumbles the ball
With the FCC on the anti-indecency warpath, it's been interesting to watch how different broadcasting companies are handling the dirty broadcasting hot potato. Since we're dealing with both politics and the law - - which are not necessarily in lock step on this issue - - there are several different approaches being tried. Of course the NAB has gotten into the middle of the fray, but has managed to screw up its indecency "summit" by barring reporters from what is essentially a PR dog and pony show. Go figure.
| Full Story Click Here
|


RBR Focus on the Indecency Issue

A Child's Garden of Perverse, Part 2
Today's example of allowable broadcast indecency comes from a news program, no less, in the little California market of San Luis Obispo. This example, like the example in Part 1, would tend to exonerate Bono and NBC for his f-word slip-up last year.
| Full Story Click Here
|


Adbiz ©

Ronning Lipset Radio to rep [email protected]
AOL has signed Ronning Lipset Radio to rep audio ad spots on the [email protected] and narrowband [email protected] services. The services are part of the AOL [email protected] Network, which reaches 4.5M unique visitors a month and whose individual listeners average around five hours of listening (TSL) each week according to Arbitron.
| Full Story Click Here
|

Mphasis Integrated offers turnkey buying approach
More evidence of a new media buying trend: Denver-based Mphasis Integrated delivers clients a package of value-added, integrated marketing services from its group of specialty companies, which include HenryGill Advertising, ClarusPR, Proxy Partnerships and Strata Interactive. The integrated companies work together to deliver clients with a package of value-added, integrated marketing services. Mphasis also is Colorado's exclusive strategic partner with Initiative Media. | Full Story Click Here |

TrafficMac launches Queue Management System
TrafficMac, a provider of ad operations software, technology and outsourcing services, has launched "Queue Management System" (QMS), a complete solution for new efficiencies and control over their sales and ad operations. | Full Story Click Here |


Media, Markets & Money tm

Entercom in Providential $14.5M deal
It's not often you see a major group owner enter a new market with a standalone, but that's exactly what Entercom is doing. It's struck a $14.5M deal to buy WWRX-FM Providence, RI from FNX Broadcasting. An LMA begins May 1st. Look for the station's Alternative format to go bye-bye. Entercom is planning to go Sports. "We are pleased to be able to extend the powerful WEEI Sports Radio brand, bringing leading coverage of New England sports and provocative sports talk into the Providence area. WEEI Boston is the nation's leading sports talk radio station and has an extremely strong following throughout the northeast," said Entercom CEO David Field. This is the second FM Sports buy this month by Entercom. The first was a $9M buy of Adelphia's only station, WNSA-FM buffalo (3/9/04 RBR Daily Epaper #47).

Sheridan moves into Birmingham
Black radio group Sheridan Broadcasting, a long-time radio network operator (think American Urban Radio Network), has always had a few O&O radio stations around, but for the most part, it has been content to sit on the sidelines during the great radio tradefest which kicked off in 1992 and took off in earnest in 1996. Now, however, it is making a move into a third radio market. | Full Story Click Here |

March madness? Bookey irons out a third deal
Tom Booey's Heartland Communications group has just struck its third recent deal, according to broker Jerry Johnson. One is a sale, to Duke Wright in the Hibbing MN area, but the other two are acquisitions. | Full Story Click Here |


Washington Beat

Copps profiled by major newspaper
A major US newspaper didn't have to go very far to find one of its interviewees for its 3/22 issue. The FCC is located right in the Washington Post's backyard, so a chat with Commissioner Michael Copps was a natural fit. The chat was occasioned by the developments in what was for a long time Copps' seeming Lone Ranger act in the battle against broadcast indecency. If you've been reading these pages, you've followed his battle step by step from the beginning, when he essentially took the indecency baton from outgoing Commissioner Gloria Tristani. | Full Story Click Here |


Programming

Dick Purtan scores record $1.5M for Salvation Army
in Detroit

With all the recent news of indecency, here's something nice to report that radio's been doing lately: Infinity's WOMC-FM Detroit and The Salvation Army in metro Detroit joined forces again this year, breaking one-day fundraising efforts as WOMC listeners and sponsors helped raise over $1,530,836 in 16 hours to feed and shelter Detroit's homeless and hungry. | Full Story Click Here |

NBC, CCE debut "Action Sports Tour"
NBC and Clear Channel Entertainment announced a deal to produce "Action Sports Tour," a full-season competition in skateboarding, freestyle motocross and BMX. CC Entertainment/Motor Sports produces nearly 600 live events annually and owns the freestyle motocoss and supercross national and international tours. They will co-own the televised tour with NBC that will debut from April to October. Wade Martin was named GM of the tour.


Ratings & Research

RADAR 80: ABC's Daytime Direction on top again; special tabs to abound
ABC's Daytime Direction Network has scored tops for the seventh time in a row, this time for RADAR 80. For gross impressions (GI), network radio was up slightly-partly due to new networks; but, every network group increased gross impressions: ABC +1.5%, AURN +6%, Dial-Global +12%, Premiere +3%, and Westwood less than +1%. 26 networks were up and 11 were down. There were two double-digit increases and one double-digit decrease. RADAR's respondent base is very consistent, with this time around at 70K-the highest ever. There were 40 networks, with the addition of CrystalNet's Prestige, Jones MediaAmerica's TWC, and Premiere's Urban One. Premiere's Axis was dropped from RADAR 80 measurement. RADAR 80 will also be the first to use the 21+ age break. | Full Story Click Here |

Ethnics make the grade
Global Equity Research/Lehman Brothers have released the Fall 2003 edition of its group report card, based on the Arbitron performances of 13 big publicly-traded radio companies. Spanish and Black broadcasters clearly led the way. | Full Story Click Here |


Transactions

$5,750,000 WCMN AM & FM Arecibo PR. 51% of Caribbean Broadcasting Corp.

$900,000 WKWI-FM Kilmarnoc VA from Buffalo Broadcasters Inc./Radio Three Partners to Two Rivers Communications Inc.

| Full Details Click Here |


Stock Talk

Stocks plunge on terror worries
The assassination of a Palestinian militant leader put stock traders on edge Monday, fearing new terrorist attacks in reprisal. The Dow Industrials stayed barely above the 10,000 level, closing down 122 points, or 1.2%, to 10,065.

Radio stocks were not spared, with every stock in our index losing ground. In fact, of the 32 stocks listed below, only two penny stocks, Interep and International Broadcasting, had an up day. The Radio Index fell 5.365, or 2%, to end at 257.073 - - a year-to-date low. Clear Channel led the retreat, falling 3.9%. Spanish Broadcasting was off 3.7% and Arbitron 3.5%.


Radio Stocks

Here's how stocks fared on Monday

Company Symbol Close Change Company Symbol Close Change

Arbitron

ARB

$39.51

-$1.43

Jeff-Pilot

JP

$53.57

-$0.50

Beasley

BBGI

$17.89

-$0.27

Journal Comm.

JRN

$18.39

-$0.42

Citadel CDL $16.65 -$0.22

Radio One, Cl. A

ROIA

$18.17

-$0.34

Clear Channel

CCU

$40.11

-$1.62

Radio One, Cl. D

ROIAK

$18.15

-$0.26

Cox Radio

CXR

$21.05

-$0.32

Regent

RGCI

$6.10

-$0.07

Cumulus

CMLS

$19.76

-$0.34

Saga Commun.

SGA

$18.50

-$0.51

Disney

DIS

$24.90

-$0.49

Salem Comm.

SALM

$24.90

-$0.13

Emmis

EMMS

$23.42

-$0.46

Sirius Sat. Radio

SIRI

$3.05

-$0.11

Entercom

ETM

$43.25

-$0.59

Spanish Bcg.

SBSA

$10.19

-$0.39

Entravision

EVC

$8.55

-$0.16

Univision

UVN

$33.25

-$1.04

Fisher

FSCI

$48.00

-$0.24

Viacom, Cl. A

VIA

$38.10

-$0.69

Gaylord

GET

$28.92

-$0.59

Viacom, Cl. B

VIAb

$37.77

-$0.93

Hearst-Argyle

HTV

$25.49

-$0.62

Westwood One

WON

$28.38

-$0.68

Interep

IREP

$2.30

+$0.05

XM Sat. Radio

XMSR

$27.12

-$0.55

International Bcg.

IBCS

$0.04

unch

-

-

-

-


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RBR Audiocast

03/23 - Get the feel of what you are scrolling down and reading ...Listen to this morning's AudioCast and
Hold On To Your Hair!

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with Bob DeCarlo'
"In Da Morning"


Bounceback

We want to hear from you.
This is your column, so send your comments to [email protected]

Here's a veteran broadcaster's take on the current indecency controversy.

The problem with the indecency situation in broadcasting today is the mind set of many of today's air personalities and their bosses...
| Full Response Click Here
|


More News Headlines

Upped & Tapped

Hinson new
Univision CFO
Univision Radio CFO Jeff Hinson has now been named CFO of all of Univision, succeeding George Blank, who will remain in a senior management role after 17 years with the company.

Jim O'Connell named VP/Infinity Solutions and Beyond
Former NFL exec. Jim O'Connell has been named VP/Infinity Solutions and Beyond, it was announced by Rich Lobel, Executive Vice President of Infinity Broadcasting's in-house marketing and sales group. The appointment is effective immediately.


March Digital Magazine

Complimentary Report
2nd Quarter Accountability
"How do you plead, Effective
or Not effective?

Read RBR in 2 simple steps:
1.Create a simple account with Zinio and download the free Zinio Reader.
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NAB Day Time Planner


The following brokers will be attending the NAB. Call or email to make your appointment in advance.
-------------------------------Glenn Serafin, Aladdin Hotel,
cell 813-494-6875
[email protected]

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

Sarah O'Sullivan, Media Venture Partners, Ltd. , 415-391-4877,
[email protected]

Ted Hepburn, The Ted Hepburn Company, 561-863-8995,
[email protected]


Terry Greenwood, Bellagio,
410-931-3362,
[email protected]

Dick Kozacko, Luxor,
office 607-733-7138, cell 607-738-1219,
[email protected]

Jim Ortega, Satterfield & Perry,
cell 303/913-1888, [email protected]

Ron Swanson, Satterfield & Perry,
cell 570-881-5274, Bellagio Hotel, [email protected]

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

Larry Patrick, Patrick Communications, 410-740-0250, Bellagio, [email protected]

Media Services Group,
Bellagio Hotel, mediaservicesgroup.com.

Zoph Potts, Snowden Associates, Bellagio, 252-940-1680 cell 252-717-3772, [email protected]

John L. Pierce, John Pierce & Company LLC, Mirage Hotel,
859-647-0101, cell 859-512-3015, [email protected]

Frank Boyle, Bellagio, 203/969-2020,
[email protected]


RBR Radar 2004
Click on these issues for Radio News you won't read any where else. RBR--First, Accurate, and Independently Owned.

Latest indecency outbreak: Atlanta
The "Regular Guys" morning duo on Clear Channel's WKLS-FM Atlanta has some explaining to do to management about how mics were left open during a stop set. RBR observation: And how much better would this have been if things had gone as planned? Not much. We presume the FCC has engineers who know how to play a tape backward. 03/22/04 RBR #56

CPP system flawed for radio?
Joe Shamwell, Director/Market Research, ABC Radio/DC weighs in on CPP vs. CPM: "There are two methods of evaluating media efficiency: Cost-Per-Thousand (CPM) And Cost-Per-Point (CPP).
03/22/04 RBR #56

FCC fines Stern and Clear Channel, admonishes NBC
Fined Infinity's WKRK-FM Detroit $27,500 for a 2001 episode of the "Howard Stern Show" and Clear Channel's WAVW-FM Stuart, FL and WZZR-FM Vero Beach, FL $55,000 for a 2002 simulcast of a morning show. As expected, NBC got a slap on the wrist. RBR observation: Chairman Powell and the other four members of the FCC should be ashamed. For the first time in the history of the agency, they have demonstrated that an enforcement action can be reversed by political pressure. The commissioners are right that the NBC decision is a course reversal, but that's all they are right on. They are dead wrong on the law. By no stretch of the imagination would the FCC's revised action on the Bono comment stand up in court. This is all about politics, not law. Michael Powell, Kevin Martin, Michael Copps, Kathleen Abernathy and Jonathan Adelstein all have aspirations to higher offices in Washington. Every last one of them is using their FCC post as a stepping stone. Editor's Note: Each one of them has put politics ahead of their oath of office. 03/19/04 RBR #55

PPM not the only challenge
facing Arbitron
Arbitron still may have trouble cutting new long-term contracts with radio groups this year, since it still can't come up with cost estimates for the Portable People Meter (PPM) until it works out a joint venture with Nielsen. But a more immediate problem may be negotiating a new contract with Cumulus Media, which is studying whether to dump Arbitron in favor of cheaper Eastlan in some of its markets. RBR observation: What we hear at this point is that Cumulus and Arbitron have barely begun talking about the contract renewal and that Cumulus has barely begun the process of comparing Arbitron and Eastlan ratings data. If Lew Dickey leads the way to Eastlan, will others follow? And will agency/advertiser dollars follow as well? Editor's Note: In 1977, Jim Seiler, founder of Arbitron and MediaTrend, projected that it would cost $30 Million to break the back of Arbitron. What's $30 Million in 2004 dollars? 03/19/04 RBR #55


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