Welcome to RBR's Daily Epaper
Volume 25, Issue 67, Jim Carnegie, Editor & Publisher
Friday Morning April 4th, 2008

Radio News ®


Banks under pressure
in Clear Channel battle
It's strike two for the banks who were supposed to fund the 26.7 billion bucks buyout of Clear Channel Communications. A federal judge has rejected an attempt by the banks to move the case to federal court, bouncing it back to the Texas state judge in San Antonio who had already issued an order that essentially required the banks to fulfill their loan commitments. Wall Street remains cautious, with Clear Channel's stock ending down a bit yesterday. US District Judge Orlando Garcia said in his order that the preference is to leave lawsuits in state courts so the defendants, the six banks, faced a heavy burden to prove that CC Media, the Delaware company created to acquire Clear Channel, was fraudulently joined to Clear Channel as a plaintiff in the Texas case, thus blocking the effort by the banks to have the case heard in federal court. "Defendants have not met their heavy burden of showing that CC Media Holdings, Inc. was fraudulently joined as a plaintiff in this action," Judge Garcia wrote. He ordered the case remanded to Bexar County, Texas and noted that his order is not appealable. Bexar County Judge John Gabriel had already issued a temporary restraining order barring the banks from interfering with closing the Clear Channel buyout. He has set a hearing of next Tuesday, April 8th, on whether to grant a permanent injunction. The banks, meanwhile, are trying to get Clear Channel added as a party to another lawsuit in the New York state courts, where the lenders were sued by Thomas H. Lee Partners and Bain Capital, the private equity firms sponsoring the buyout deal.

RBR observation: Hang onto your hats! Things could start moving fast. The banks do not want to risk a trial in Texas, where Clear Channel's lawsuit is seeking damages well in excess of 26 billion bucks. The Financial Times notes that a jury in Texas back in 1985 awarded Pennzoil 10 billion bucks from Texaco for interfering with Pennzoil's attempt to merge with Getty Oil. We would not be surprised to see a settlement by Monday, before Judge Gabriel's scheduled hearing on Tuesday.

Battle engaged over content pricing
Entertainment is a major part of the economy in California, and SB 1765 has become the fulcrum in a battle pitting studios and broadcasters against various entertainment unions. The bill would require that entertainment companies charge fair market value for movie, television and radio content. It is a remedy for the alleged practice of selling content cheap from one portion of a vertically-integrated media conglomerate to another in order to duck fair compensation to the talent that created it.

RBR observation: Any legislation that threatens to impose penalties on one entity or another, pivoting on an issue as fuzzy and gray as fair market value, is just crazy, if you ask us.
| Read more here |


AFTRA to start talks with AMPTP 4/28
The American Federation of Television and Radio Artists (AFTRA) announced it will start contract talks Alliance of Motion Picture and Television Producers (AMPTP) on 4/28, after announcing last weekend it will work a deal separate from the Screen Actors Guild (SAG). The two unions had negotiated together with producers for decades, but that deal has been severed. AFTRA said it decided to push back its negotiations to give SAG time to work out a separate deal with studios--scheduled to begin 4/15.

XM/Sirius critics
grab their megaphones

"As an analyst that has studied the telecommunications business for almost two decades, I am absolutely baffled by the nonsensical explanation employed by the Department of Justice in its precedent-setting Sirius-XM merger-to-monopoly approval." So says Jimmy Schaeffler, Chairman & CSO of The Carmel Group. The merger plan is now under scrutiny at the FCC. "To use the applicants' callous disregard for FCC rules as the basis for such approval, defies all common sense and sets a dangerous precedent for future companies that would prefer to simply buy their rival, rather than actually compete in the marketplace," continued Schaeffler. "Worse still, along the way, the DOJ and the companies lost sight of their most important audience: the consumer." Consumers Union VP and frequent Capitol Hill testifier Gene Kimmelman also weighed in on the DOJ decision. "If the DOJ truly believes the failure to develop an interoperable radio is diminishing competition between XM and Sirius, it should be promoting aggressive steps to market that interoperable radio rather than allow the two companies to combine into a monopoly," he said, according to the Associated Press.

RBR observation: Rather than add anything further to these remarks, let us instead rerun a brief video from Consumers Coalition for Competition in Satellite Radio.
| See it on YouTube here |

New political hooker scandal
There's not likely to be any dramatic resignation this time, since it is the politician's spouse who was caught by the cops. Newspapers in Detroit obtained a Troy, MI police report that Tom Athans had admitted in February that he paid 150 bucks to a prostitute for sex, although he was only cited for driving with a suspended license. Athans is married to United States Senator Debbie Stabenow (D-MI). He is also the former CEO of Air America Radio and currently heads TalkUSA Radio. Athans issued a statement of apology through a law firm.

FOX News Radio

Ad Business Report TM

Aflac using radio, TV, online,
print for new campaign
Aflac announced the launch of its new integrated B2B campaign, "Aflac for Business," features television, print, online and radio components showcasing how Aflac can help serve as a benefits solution provider for companies of all sizes. The new ads are also an evolution in the role of the Aflac Duck. Using a more targeted message toward business owners and benefits pros, the new campaign will feature the Aflac Duck demonstrating how Aflac insurance policies can assist with attracting and retaining employees as well as complement existing insurance plans at no direct cost to a company. The effort was via Kaplan Thaler Group, NYC. Aflac will debut new television in May and will use :15 second ads, according to spokesperson Mechell Clark. The national radio buy uses product from Premiere, Dial-Global, Westwood One, AURN and ABC Radio Networks. Radio network affiliates around the country include formats such as talk personality, business radio, news and information.
| See the entire radio buy here | Hear one of the spots on rbr.com's media center |

Jack-FM flips to Stones-FM for movie promo
Another smart, untraditional way to use radio's strengths: CBS Radio's Jack-FM becomes Stones-FM today in honor of rock n' roll hall of famers The Rolling Stones, who will take over the airwaves in a special broadcast event in four cities across the country. Stations in Los Angeles (93.1 JACK-FM,) Chicago (104.3 JACK-FM), Dallas (100.3 JACK-FM) and Seattle (96.5 JACK-FM) will feature living musical legends Mick Jagger, Keith Richards, Ron Wood and Charlie Watts hosting the four hours of commercial free Jack-FM music from 3-7pm. The takeover event will coincide with the band's new big screen release, "Shine A Light," and includes several songs from the film and soundtrack. "Shine A Light" will be released today in theaters and IMAX, which marks it as the largest North American IMAX release in history.

SBS/Miami stations airing
from Florida theme parks

Spanish Broadcasting System announced its Miami stations WCMQ-Clasica 92.3 FM, WXDJ-El Zol 95.7 FM, and WRMA-Romance 106.7 FM, will feature live broadcasts of their leading shows at Jungala, the newest attraction at Busch Gardens in Tampa, and Aquatica, Seaworld's newest water park opening in Orlando. Yesterday WCMQ celebrated the inauguration of Jungala by airing "Zona Cero" from 6:00-10:00 AM. In the afternoon, WXDJ joined in the celebration by broadcasting "Fonomania" from 3:00-7:00 PM in the middle of the new leafy jungle. Today WCMQ's "Zona Cero" will celebrate the inauguration of Aquatica, Seaworld's newest water park in Orlando, by broadcasting live from 6:00-10:00 AM EST. Afterwards, WRMA will broadcast "La Alfombra Roja" from 10:00 AM-3:00 PM.


NAB Daytime Planner
NAB Show - Las Vegas
The following will be attending the NAB. Call or email to make your appointment in advance.

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

Serafin Bros., Inc.; Glenn Serafin;
office 813-885-6060; cell 813-494-6875;
Planet Hollywood (formerly the Aladdin) Hotel; [email protected]

Kozacko Media Services;
Dick Kozacko, George Kimble;

office 607-733-7138; Dick cell - 607-738-1219; George cell - 520-465-4302
; Bellagio Hotel; [email protected], [email protected]

Patrick Communications;
Larry Patrick, Managing Partner;
Susan Patrick, Managing Partner;
Greg Guy, Managing Partner;
Todd Wirth, Director;
office: 410-799-1740;
Larry cell 410-707-4602 Bellagio Hotel; [email protected], [email protected]; [email protected]

Frank Boyle & Co; Frank Boyle,
office 203-377-3030;
Frank cell 203-249-07818;
Rio Suites Hotel;
[email protected]

Media Venture Partners; Elliot Evers, Brian Pryor, John Cunney, Bill Fanning,
415-391-4877, Bellagio Hotel;
Schutz & Company;
Bill Schutz; Bellagio Hotel;
office 757-258-8740,
Bill cell 757-880-9251;
[email protected]

American Media Services;
Todd Fowler/David Reeder;
office: 843-972-2200; Bellagio Hotel;
[email protected], [email protected]

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

Dover Capital Partners, LLC
Kirk Warshaw, General Partner
Peter Ottmar, General Partner
Office: 401/723-1063, x109
Peter's Cell: 401/639-4958
Bellagio Hotel; [email protected];
[email protected]

Womble Carlyle Sandridge & Rice, PLLC; Gregg P. Skall office 202-857-4441, Gregg cell; 703-623-0600; John Garziglia; office 202-857-4532; John cell 202-270-8967; Bellagio Hotel; [email protected]; [email protected]

Contact [email protected] to get your company listed today.
Advertise with RBR/TVBR/MBR

Media Markets & Money TM
Grizzle's a Go in Georgia
There's a brand new group coming into the Peach State, courtesy of Hubert S. Grizzle and no less than four trading partners. The result will be an eight station group called Go Media Group LLC, spread out in unrated portions of the southeast quadrant of the state. The northernmost are WHCG-AM & WBMZ-FM in Metter, which are coming from William Jimmy Page and his Radio Metter Inc. for 1.1M. The other six form a daisy chain superduopoly. Due south of Metter is Baxley, home to WUFE-AM & WBYZ-FM. This combo is coming from James Alvin Graham Sr.'s South Georgia Broadcasters Inc. for 4M. Due south of Baxley are a pair of FMs, WKUB-FM Blackshear and WWUF-FM Waycross, coming from Gentry T. Mattox's Mattox Broadcasting Inc. for 2.375M. Finally, to the west are WOKA AM & FM Douglas, coming from Dwayne Gillis's Coffee County Broadcasters Inc. for 4M. That works out to a total of 11.475M for three AMs and 5 FMs. The Baxley and Blackshear stations overlap all of the stations except those in Metter, while the Douglas combo and the Waycross FM do not overlap.

Washington Business Report TM
ACLU backs Dorgan measure
Senators have about three extra weeks to consider Byron Dorgan's (D-ND) Resolution of Disapproval, after its original mark-up session was postponed earlier this week. They can add another submitted opinion to their deliberations if they have any doubts about how they'll vote on the matter. The American Civil Liberties Union has fired off a letter to Committee Chairman Daniel Inouye (D-HI) and Ranking Member Ted Stevens (R-AK) supporting passage of Dorgan's resolution. ACLU said, "Ultimately, ever increasing consolidation will lead to a less informed citizenry existing in a very homogeneous world of news and entertainment." It argues that the explosion of new media has not yet supplanted the reliance of the average citizen on broadcast and newspaper for news, and that "six major companies already control most of the media in our country, including the most predominant sites on the internet." In conclusion, ACLU said, "An informed citizenry is the backbone of any democracy. But where all the media voices speak as one, there is little diversity of opinion and the citizenry is deprived of varying viewpoints." While only returning the rules to their state as of December 2007, the measure, "...at least prevents further consolidation, further erosion of minority ownership and diversity, and further narrowing of the spectrum of opinions expressed in the media."

Entertainment Business Report TM
CineSport signs Greater Media,
Genesis, Peak Broadcasting

CineSport, in partnership with FigMedia1 announced that Greater Media's new 950 ESPN Radio Philadelphia (www.sr950.com), Genesis Radio stations in Orlando/Melbourne (www.espnflorida.com) and Tampa/Clearwater and Peak Broadcasting stations in Fresno (www.kmj580.com) and Boise have added CineSport, producer and distributor of syndicated online sports highlights, to their websites.


Ratings & Research
Rockers are going to vote...
in droves

If local election officials thought that turnout for the Presidential primaries was big, just wait until the November elections. They'd better be prepared for longer lines than they've ever conceived, according to Jacobs Media's newest Media/Technology Web Poll IV, which finds incredibly strong interest in the upcoming Presidential Election among fans of Rock, Classic Rock, and Alternative radio stations. Overall, 84% of its more than 27,000 respondents say they plan to vote in the Presidential contest in November.
| Read more here |

Engineering Business Report TM
Wegener execs selected as speakers at NAB 2008
Wegener, provider of equipment for television, audio and data distribution networks worldwide, announced that two of its execs have been selected as feature speakers during the NAB 2008 convention. Kamy Merithew, Vice President of Marketing for and Gary Pelkey, VP System Architect, will present discussions at the World Teleport Association Content Distribution Forum and the 62nd Annual Broadcast Engineering Conference respectively. Pelkey will be joined by Eric Wiler, VP of Technology for Jones Radio Network, for a presentation entitled "Radio Broadcasters: Building File-Based Networks". They'll examine the technology behind the next generation of satellite-delivered programming and discuss ways to provide listeners and advertisers with a sense of local presence by transitioning to file-based program delivery. The presentation is part of the session, Radio Technology Advancements and is scheduled for 4/13 at 1:00 p.m in the Las Vegas Convention Center Room S226/227.

2.35M KFSZ-FM CP Flagstaff-Prescott AZ (Munds Park AZ) from LCKM Radio Group LP (Kevin Prigel) to OD Broadcasting LLC (Michael O'Donnell). 135K escrow, balance in cash at closing. CP is for Class C2 on 106.1 MHz with 4.3 kw @ 1,535'. [File date 3/3/08.]

Stock Talk
Ben reassures Wall Street
Stocks closed slightly higher after Fed chief Ben Bernanke indicated that the crisis in the credit markets has settled down. The Dow Industrials rose 20 points to 12,626.

Radio stocks were slightly higher as well. The RBR Radio Index rose 0.235, or 0.3%, to 89.856. Beasley was on the rebound again, rising 12.8%. Regent rose 4.9%.

Radio Stocks

Here's how stocks fared on Thursday

Company Symbol Close Change Company Symbol Close Change




















Journal Comm.







Lincoln Natl.




Citadel* CDL
1.76 -0.05

Radio One, Cl. A




Clear Channel*




Radio One, Cl. D*




Cox Radio*












Saga Commun.*




Debut Bcg.




Salem Comm.*








Sirius Sat. Radio








Spanish Bcg.*








Westwood One*








XM Sat. Radio













*Component of the RBR Radio Index


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Below the Fold
Ad Business Report
Aflac using all media
Radio, TV, online, print for new campaign...

Media Markets & Money
Grizzle's a Go in Georgia
There's a brand new group coming into the Peach State...

Washington Business Report
ACLU backs Dorgan measure
Senators have about three extra weeks to consider this...

Ratings & Research
Rockers are going to vote
In droves, local election officials better be prepared...

Dload - Powering Interactive Marketing


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More News Headlines

Michio Kaku's "Physics of the Impossible" soars on NY Times list
Michio Kaku, host of Talk Radio Network's "Science Fantastic," has a new book out--"Physics of the Impossible." It has already hit the NY Times Bestseller list. The book is a scientific exploration into the world of phasers, force fields, teleportation, and time travel Michio Kaku explores to what extent technologies and devices deemed impossible today might become commonplace in the future. Science Fantastic now has over 115 affiliates.

Randi Rhodes suspended
Air America Radio has suspended network talk host Randi Rhodes after video of an appearance she made in San Francisco was posted on YouTube. In the standup comedy routine she refers to both Sen. Hillary Clinton and former Rep. Geraldine Ferraro as "whores." The event was sponsored by the network's local affiliate. "Air America encourages strong opinions about public affairs but does not condone such abusive, ad hominem language by our Hosts," said Charlie Kireker, Chair of the network.

MySpace, Sony BMG, UMG and Warner Music launching "MySpace Music"
MySpace, Sony BMG Music Entertainment, Universal Music Group, and Warner Music Group announced the formation of MySpace Music. The product will integrate new content and music capabilities across three primary areas: the MySpace Music home page, the site's 5 million artist profile pages, and individual user home pages, providing bands and fans multiple touch points to discover, share, and purchase music and merchandise in one place for the portable device of their choosing. It will include DRM-free digital downloads, ad-supported audio and video streaming, a mobile storefront (powered by News Corporation's Jamba mobile company), as well as various sponsorship solutions. For the labels' artists, MySpace Music will offer them the opportunity to provide their fans with digital downloads as well as mobile ringtones, SMS, and artist wallpapers, all directly from their artist profiles. Additionally, artists will also be able to monetize physical goods such as t-shirts and concert tickets. The new company will be based in LA and will have a dedicated executive management team to oversee the business.


RBR Radar 2008
Radio News you won't read any where else. RBR--First, Accurate, and Independently Owned.

Keeping the closing table ready
With lawsuits flying, Clear Channel Communications has again extended its bond tenders so that they can close, if and when a group of banks comes to the closing table with over 22 billion bucks in financing for the 26.7 billion bucks buyout. The new expiration date for the bond tenders, if it means anything, is April 11th. Clear Channel notes that it has sued the banks to enforce their commitment.

RBR observation: If those numbers have more digits that anything ever entered in your checkbook, remember that this was, back in early 2007, a must view all these zero, RBR's Clear Channel buyout funding , read this page report in
04/03/08 RBR #66

The Philly PPM in-tab explanation
Yes, in-tab numbers for PPM were down for Week 1 of March in Philadelphia (4/2/08 RBR #65). After checking into it, Arbitron Sr. VP Thom Mocarsky says that was a result of the company's efforts to improve performance in Persons 25-34, as promised to broadcasters.

RBR observation: More of the examination and explanation in RBR report page here
04/03/08 RBR #66

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