RBR's Daily Morning Epaper

Volume 23, Issue 77, Jim Carnegie, Editor & Publisher

Wednesday Morning April 19th, 2006

Radio News ®

Looking ahead at Emmis
Emmis Communications Chairman Jeff Smulyan thinks that radio fundamentals are rock solid, and the current weakness in the business has done nothing to change his mind. He wonders what other media, in an increasingly fragmented world, reach as many Americans - - 96% - - on just about a daily basis. He said that people continue to rely on radio for both entertainment and information, with the latter being particularly important in times of crisis, in a way that few other media can match. Satellite radio and iPod are getting a lot of attention, but at the end of the day, are radio derivatives which have mustered only a tiny fraction of radio's total audience. If successful, they will be niche businesses and nothing more, in his opinion. At the same time, the spin-off of the company's former television portfolio was done because the company saw structural problems it was unable to solve. So where is the money going that should be headed to radio bank accounts? (One problem is the lack of business from domestic auto - - Ford got a special mention.) Smulyan and Radio President Rick Cummings noted the work of Mary Beth Garber of the Southern California Broadcasters Association, which suggests that a significant response to media fragmentation has been the experimentation with the Internet. Garber further suggests that this year will mark the tipping point, and that a significant portion of these online experiments will be regarded as failures. One simple reason is that as a mass medium, mass is what it lacks, with only a 75% reach compared to radio's aforementioned 96%. Still, Emmis is ready to work the radio business with what it has on hand already. It will look for investment opportunities in other areas where it perceives greater potential for rapid growth.

RBR observation: The canary in the mine reported its Q4 and closed out their year and it did not end on an up note, see below. So this tells all of us what radio can anticipate as the rest begin to roll out their Q1's. RBR suspects it will not be a pretty site for the medium as a whole. What radio needs more than ever is strong united leadership front attack. RBR is not talking lip service but it is time the top guns hit the streets themselves and start making calls talking about the radio business as a complete business. RBR agrees with Smulyan that radio is a rock solid business but one must work a business to make it successful.

PTC attacks network court attack on FCC
The Parents Television Council is appalled that the networks are taking the FCC to court over the issue of fleeting utterances of the "f" and "s" words, captured by mics and broadcast over the air. PTC's L. Brent Bozell said, "Memo to the networks: the broadcast airwaves are owned by the American people, and the broadcast industry must abide by community standards of decency. This is not a proposal, it is the law that the Supreme Court affirmed many years ago. The FCC rightly decided that the use of these words is considered indecent. It is the networks' responsibility to follow the law. In the U.S., there are rules of decent behavior and these expletives clearly cross the line. Maybe the network executives let their children drop F-bombs at the dinner table, but there isn't a normal family in America that would find it appropriate or decent for that language to be used by their children. The networks have taken this fight to a court of law because they know they don't stand a chance in the court of public opinion. The only thing wrong with these indecency fines is that they are not nearly tough enough to stop these networks, which have now made it crystal clear that they want to pollute the public airwaves with raunch."

RBR observation: We're not sure exactly what "the Supreme Court affirmed many years ago," but whatever it was, the FCC did not interpret it to mean that the fleeting, inadvertent broadcast of these "bombs" constituted actionable indecency - - at least, not until over a year after U2 frontman Bono's "f" bomb on a telecast of the Golden Globes, when the 8th floor changed its mind on the topic and overruled the Enforcement Bureau, which acted on the rules as then written and let Bono off the hook. The fact that the FCC ruled both ways on Bono, and completely ignored the "f" bomb's cousin the "s" bomb - - all after former Chairman Michael Powell's much-heralded indecency guidelines absolutely and with the utmost clarity demonstrated that such a slip was not actionable - - is just one more example of the impossibly gray murk that envelopes indecency enforcement efforts. We won't even get into the topic of just what exactly the real community standards are. Suffice it to say that nearly every day, for untold thousands upon thousands of broadcast hours, nary an "f" nor "s" bomb can be heard. Broadcasters should be heralded for being cleaner than Ivory Soap, which last we heard was 99 44/100% pure - - not fined six-digits for the rare smudge here and there.

Conditions look good
for broadcast borrowing
RBR/TVBR assembled a group of lenders active in radio and TV financing and asked them about the current climate for borrowing money in broadcasting. We asked Robert Malone of GE Commercial Finance, Global Media & Communications, whether he's seeing more competition in the broadcasting financing field. "We do. We feel like generally conditions remain very favorable for broadcast financing, primarily driven by the abundance of capital that's available to borrowers. That certainly has increased the competition from a lender's perspective. It's not uncommon for any given deal to be bidding against three or four competing lenders. I think typically you're seeing both traditional lending sources, to just commercial banks and finance companies, as well as some of the alternative investors such as hedge funds. It's created a very active and favorable environment for the borrower," Malone said. Are more lenders getting in or are they just increasing their interest in doing loans? "I would say over the past 12 months there's probably been increased activity from both the traditional historic lending sources, commercial banks and finance companies, as well as new entrants into the market, such as some of the hedge funds that have become more active," Malone said. This is an excerpt from part one of a roundtable discussion with four lenders that appeared in the March issue of RBR/TVBR Solutions Magazine.
| Read it here |

Black businesses taking off
Here's some news you can use, if you allocate a significant portion of your media portfolio to serving the Black market. A recent report from the US Census Bureau should come as good news - - and the key facts are that from 1997 to 2002, the revenues earned by the nation's Black-owned businesses rose 25%, and the raw number of such businesses increased 45%. By the end of the measured period, the 1.2M companies were generating a combined 88.8B in revenues. Census Bureau Director Louis Kincannon commented, "It's encouraging to see not just the number but the sales and receipts of black-owned businesses are growing at such a robust rate, confirming that these firms are among the fastest growing segments of our economy." According to the CB, five states account for 44% of all of these businesses - - in order, New York (129,324), California (112,873), Florida (102,079), Georgia (90,461) and Texas (88,769). Other states with a significant share of such businesses are Maryland, Illinois, North Carolina, Michigan, Virginia and Louisiana.

RBR observation: Broadcasters on both sides of the radio/TV divide, with their ability to aim for precisely-targeted demographics, are well positioned to deliver minority audiences for these businesses. And more importantly, there is no reason on this earth why a minority business should serve only a minority - - broadcasters can help them get a piece of the general population pie.

Jerry Doyle files ethics complaint
against Harry Reid
Talk Radio Network's Jerry Doyle, pictured, has filed a formal ethics complaint against Senator Harry Reid of Nevada investigating a connection between Reid's intervention on behalf of certain Native American tribes and contributions made by these tribes to Reid's tax-exempt political group, the Searchlight Leadership Fund. "With all the free trips, free drinks, private jets, and an explosion of lobbying on Capitol Hill, the problem with impropriety, corruption, political favors and bribery in DC has become so obvious it's hard to see," said Doyle. Doyle has filed this complaint in his personal capacity as a citizen of the State of Nevada. The ethics complaint was researched and compiled by the Washington watchdog group Judicial Watch. In the nine page document Doyle alleges, and provides documentation, that Reid intervened on behalf of Native American Tribes from several states including California, Michigan, Louisiana, and Mississippi. Also, that Reid consequently received between approximately $40,000 - $66,000 in Abramoff-related donations from four different tribes in those States between 2001 and 2004. Doyle's complaint also noted that Senator Reid has refused to return any of the money that he received from those tribes while serving on the Senate Indian Affairs Committee. Continuing his efforts to fight corruption on Capitol Hill, Doyle has also posted a letter on his website, www.JerryDoyle.com where listeners of The Jerry Doyle Show are able to download, sign, send, and help Doyle "call out" corrupt members of Congress. In the letter, Doyle said that the pattern of lobbyists and campaign contributors to influencing policy "has more than the appearance of impropriety; this has the look of outright graft by our Congressmen - an absolute betrayal of the trust of the American people. We're living in an age of a culture of secrecy in our government, and we at the Jerry Doyle Show are sick of it."

Wall Street Media Business Report TM

Big market anchors cause Emmis to miss target
Weakness in New York and Los Angeles, and weakness in radio advertising in general caused Emmis Communications to miss its fiscal 4Q target. Overall, reported net revenue was up 4%, from 80.9M to 84.5M, and reported radio revenue gained 4% as well, but on a pro form basis net radio revenue was down 2%. Los Angeles and New York, said to represent about 60% of Emmis's domestic radio business, was a big factor in a drop in station operating income from 24.4M to 19.5M; additionally, the company blamed increased promotional costs in Chicago and an unexpected bankruptcy from a core advertiser which by itself resulted in a 1.3M hit. Emmis's fiscal Q4 includes the months of December, January and February. Chairman/CEO Jeff Smulyan explained, "In the past fiscal year, we have transformed the company. We sold 13 of our 16 television stations at higher than expected prices, and we used that money to pay down debt and buy back nearly 40% of our stock. Our balance sheet is very strong, which will allow us to invest both in our core properties and in businesses we expect to grow faster, including our interactive division." Emmis is still in the running to buy into Major League Baseball with the National League Washington Nationals franchise, but is generally considered to be a dark horse at this point.

Ad Business Report TM

Home Depot to sponsor Univision's
FIFA World Cup Germany
Univision Communications announced that The Home Depot will sponsor, in part, Univision's exclusive Spanish-language broadcast of the FIFA World Cup Germany 2006--the most important competition in international soccer and the most widely viewed and followed sporting event in the world. The sponsorship agreement includes World Cup matches, specials, vignettes and other branding opportunities. The FIFA World Cup Germany 2006 tournament will take place in 12 cities throughout Germany starting 6/9 in Munich and culminating in Berlin 7/9. The Home Depot will be a sponsor in each of the 64 matches being televised live on Univision and TeleFutura. In addition, The Home Depot commercials will air on daily rebroadcasts on TeleFutura and Galavision networks in primetime. The Home Depot is also sponsoring a vignette series currently on the air, featuring great moments from past World Cups and focusing on assists that led to spectacular goals, reinforcing the retailer's "You can do it. We can help" tagline. The sponsorship agreement also includes two Sunday afternoon preview specials and a primetime entertainment extravaganza, "Viva el Mundial" starring "Sabado Gigante" (Gigantic Saturday) host, Don Francisco. To entice soccer enthusiasts to get their homes ready for World Cup entertaining, The Home Depot is also kicking off a "Tu Casa Es Tu Cancha" sweepstakes. Three grand prizewinners will be awarded a $10,000 The Home Depot Gift Card to be used toward any home improvement project.

Yankee Group sizes in-game ad market
The Yankee Group revealed that the in-game ad market is poised for explosive growth, garnering more than five times the current market value to reach 732 million by 2010. In a highly fragmented media environment, Yankee Group finds that video games present a promising window of opportunity as a growing advertising medium. As television advertising loses its effectiveness, advertisers must reach a largely segmented audience with discerning tastes. According to the Yankee Group DecisionNote, "Video Games Are the Next Frontier for Advertisers," advertisers are finding greater value and ROI from in-game advertising. In 2005, advertisers spent approximately 56 million placing ads in video games, up from 34 million in 2004. The market shows no signs of slowing. By year-end 2006, the number of games with in-game ads will more than double. Yankee Group anticipates approximately 200 games will contain in-game advertising, representing nearly all the major video game platforms. As the market becomes more lucrative, it will have a significant impact on the business operations of video game publishers such as Activision, Ubisoft and Electronic Arts. Although console-based in-game ad serving is dominated by independent in-game ad-serving networks today, Yankee Group predicts that Microsoft, Sony and Electronic Arts will bring in-game ad serving in-house and come to dominate this segment of the market.

Media Business Report TM

Emmis taps Vibes Media
for mobile marketing
Vibes Media, a provider of interactive text message and mobile content marketing programs, and Emmis Communications announced that Emmis has launched a national mobile messaging program using Vibes' landmark radio platform. Emmis is leveraging Vibes' iRadio Instant Response Text Messaging Platform for a wide variety of radio promotions. Emmis kicked off the program 3/20 at Q101 in Chicago with a tailored program which allowed listeners to text in to a short code to win tickets for a Pearl Jam concert. In the first 10 days, the station received more than 123,000 messages from 8,000 unique individuals - an average of 15 messages per person. Everyone who sends a message receives a response, regardless of service provider. Using iRadio, program directors and on-air personalities can customize contests and promotions through Vibes' OptimumAnalysis Tools, effectively tailoring promotions according to listener response in real time.

Amp'd Mobile, Break.com and Blognet.com
kick off college comedy tour
Amp'd Mobile, a fully integrated mobile entertainment company, and Break.com, the largest digital entertainment network for men, announced they will kick off a College Comedy tour featuring rising stand-up comic artists Nick Thune, who recently signed a development deal at Comedy Central and Jo Koy, hot off his performance on "The Tonight Show" and Comedy Central's "Premium Blend" available exclusively through Amp'd mobile phones and on Break.com. Thune and Koy are storming five New England colleges and universities with camera crews following their every move and capturing the antics that will likely ensue. The performance at Boston University will be broadcast live on Amp'd phones & Break.com today.

Media Markets & Money TM

Close encounter on the VA-WV border
A pair of AM-FM combos on either side of the line dividing Virginia from West Virginia have officially changed hands. Todd Robinson's WVJT LLC is the buyer, and now proud owner, of WKEY-AM/WIQO-FM Covington VA and WSLW-AM White Sulphur Springs WV/WKSJ-FM Lewisburg WV. According to Media Services Group broker Bill Whitley, who handled the deal along with his colleague Stephan Sloan, the pricetag was 1.3M. The seller, Quorum Radio Partners of Virginia, was holding onto the stations as debtor in possession.

Washington Media Business Report TM

Tug of war over telecom?
House Energy and Commerce Committee chair Joe Barton's (R-TX) telecom bill, which would pave the way for telcos to get into the MVPD business by easing franchising rules, as well as pass on the same easements to the cable industry, is being tailored with more than just the ins and outs of Republican/Democratic wrangling in mind. According to the National Journal, it may have to veer into the area of emergency 911 service, since cable, telcos and Internet providers will all be looking to move into one another's area. That may add the legislative wild card of a session in the House Judiciary Committee, which Barton is said to want to avoid. The legislation will also have to be reconciled with a Senate version. The issue is on the docket there but is not nearly as far along as is the House version.

NAB Day Time Planner

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

EQUIPMENT Les Kutasi, Sales Manager; Stainless, Booth #C2447, 215-631-1313, [email protected] BROKERS Todd Fowler/David Reeder/Gene Ferry, American Media Services, Bellagio, 843-972-2200, [email protected], [email protected], [email protected] Cliff Gardiner, Clifton Gardiner & Company, 303-758-6900, The Wynn Hotel, [email protected] Andy McClure/Dean LeGras, The Exline Company, The Wynn Hotel, 415-479-3484, [email protected] Frank Boyle, Frank Boyle & Co., LLC, Hilton Grand Vacations Villa, 702/765-8300, [email protected] Gordon Rice, Gordon Rice Associates, 843-884-3590, Treasure Island, [email protected] John L. Pierce, John Pierce & Company LLC, Mirage Hotel, 859-647-0101, cell 859-512-3015, [email protected] Jamie Rasnick, John Pierce & Company LLC, Mirage Hotel, 859-647-0101, cell 513-252-1186, [email protected]	Dick Kozacko/George Kimble, Kozacko Media Services, The Wynn Hotel, office 607-733-7138, cell 607-738-1219, [email protected] Elliot Evers/Brian Pryor/ Adam Altsuler/Tim Beach Media Venture Partners, LLC, 415-391-4877, [email protected], [email protected] Larry Patrick/Greg Guy, Susan Patrick Patrick Communications, Bellagio, 410-740-0250, [email protected] Glenn Serafin, Serafin Bros., Aladdin Hotel, office 813-885-6060, cell 813-494-6875, [email protected] Larry C. Wood, Wood & Company, Inc., Alexis Park, office 513-528-7373, cell 513-225-5100, [email protected]. LAWYERS Gregg P. Skall Womble Carlyle Sandridge & Rice, PLLC 202-857-4441, Wynn Hotel [email protected] SALES Regional Reps Corp., Broadcast Sales Representatives, Stuart J. Sharpe, 216.535.3975, [email protected], Gail F. Lawing, 404.504.7030 [email protected],

Internet Media Business Report TM

TI reports record Q1 traffic
Tribune Interactive, a division of Tribune Company, today announced that it drew a record level of online traffic in Q1 2006. According to Nielsen//NetRatings, Tribune Interactive (TI) sites drew an audience of 14.8 million average monthly unique visitors in the first quarter, representing growth of 32% above the same period in 2005. "We're committed to delivering high-quality content, including leading news, local information, and lifestyle resources," said Brigid Kenney, Tribune Interactive senior vice president and general manager. "By visiting TI sites in record numbers, consumers are clearly sending the message that we're meeting that goal."

The TI network of more than 50 websites spans:
* 15 news sites offering continuously updated and breaking information, including LATimes.com, ChicagoTribune.com, Newsday.com and BaltimoreSun.com
* 26 television sites, including ktla.com in Los Angeles, wgntv.com in Chicago, wpix.com in New York, wphl.com in Philadelphia and wlvi.com in Boston
* Entertainment and shopping resources, including TheEnvelope.com, Zap2it.com, Metromix.com, ctnow.com and SouthFlorida.com

Ratings & Research

Zimmerman latest to sign for PPM
Arbitron announced Zimmerman Advertising, Omnicom Group's "Brandtailing" arm, has signed a contract for the use of Portable People Meter-based radio audience estimates. The agreement covers the U.S.-based radio planning and buying activities. Arbitron has announced a rollout of the Portable People Meter system as its radio ratings service to the top 50 markets, beginning with Houston in July (pending Media Rating Council accreditation.) "Accountability is key when it comes to radio media buying. Our firm embraces the innovation the PPM provides in audience measurement and looks forward to utilizing its effectiveness to better understand where and when to target marketing dollars," stated Lisa Branigan, VP, Director of Media and Broadcast Services, Zimmerman. "With over 6000 local retail clients and as a top buyer of radio, we support Arbitron in providing the advertising industry a better measurement option." The rollout schedule will put the PPM into the top 10 radio markets by fall 2008, and into all of the top 50 radio markets two to three years thereafter.

Transactions

6.5M KVSO-AM/KKAJ-FM, KTRX-FM & KYNZ-FM Ardmore OK (Ardmore, Dickson, Lone Grove OK) from NM Licensing LLC, a subsidiary of NextMedia Group Inc. (Carl Hirsch, Steven Dinetz, Samuel Weller, Sean Stover et al) to LKCM Radio Group LP (Hugh Savage, Greg Regian). 325K escrow, balance in cash at closing. Includes non-compete. Existing superduopoly. Buyer plans to try to upgrade and move KKAJ-FM to Springer OK. [File date 3/29/06.]

1.6M WKBR-AM Manchester NH from Devon Broadcasting Co. Inc. (Steven A. Silberberg), related to Northeast Broadcasting Company Inc. to Absolute Broadcasting LLC (Thomas Monahan). 100K deposit, balance in cash at closing. Duopoly with WGAM-AM Nashua NH, attributed by BIA to Manchester market. Absolute is also licensee of WSMN-AM, also in Nashua but attributed to the Boston market. LMA 3/20/06. [File date 3/29/06.]

Stock Talk

Ups and downs on Wall Street
It was a day to wear your seat belt if you were a broadcast issue taking a ride down Wall Street. There was none of that up a nickel here, down a nickel there stuff. Well, some companies went that route, but a lot of other soared or flopped. And how about the canary in the mine shaft - - Emmis - - punished by investors yesterday with a loss just a metal George Washington or so shy of two of those much more potent pieces of currency featuring Mr.Washington on paper.

Radio Stocks

**Here's how stocks fared on Tuesday**
Company	Symbol	Close		Change	Company	Symbol	Close		Change
Arbitron	ARB		33.30	+0.22	Hearst-Argyle	HTV		23.22	unch
Beasley	BBGI		11.95	+1.97	Journal Comm.	JRN		11.64	-0.15
CBS CI. B	CBS		24.80	+0.09	Lincoln Natl.	LNC		56.40	+1.26
CBS CI. A	CBSa		24.86	+0.10	Radio One, Cl. A	ROIA		7.66	-0.19
Citadel	CDL		10.37	-0.30	Radio One, Cl. D	ROIAK		7.66	-0.21
Clear Channel	CCU		28.17	-0.55	Regent	RGCI		4.34	-0.03
Cox Radio	CXR		12.98	-0.44	Saga Commun.	SGA		9.06	+0.01
Cumulus	CMLS		10.80	-0.26	Salem Comm.	SALM		14.76	+0.15
Disney	DIS		28.09	+0.44	Sirius Sat. Radio	SIRI		5.17	+0.05
Emmis	EMMS		13.28	-1.72	Spanish Bcg.	SBSA		5.10	-0.02
Entercom	ETM		26.65	-1.02	Univision	UVN		34.85	+0.16
Entravision	EVC		8.50	-0.01	Westwood One	WON		9.95	-0.29
Fisher	FSCI		42.83	+0.41	XM Sat. Radio	XMSR		23.03	+0.20
Gaylord	GET		44.18	+0.84	-	-	-	-	-

Bounceback

Send Us Your Opinions We want to
hear from you.
This is your column, so send your comments and
a photo to [email protected]

How many times must the industry be hit in the head with a 2 X 4 before we stop acting like amateurs? The self styled HD promotional efforts do not address the issues at hand. The radio industry is acting as if they are the worlds best marketeers because they are in a business that sells advertising time. As my previous year-end diatribe stated, "Marketing rollouts," and "Advertising" are completely different disciplines. Between the layered approach to HD station frequencies and the disorganized slap-shot fashion, in which we attempt to position HD, we're never going to be successful. PEOPLE THINK THAT HD MEANS SATELLITE, because satellite was first to the consumer's mind in the digital category. Cutsie commercials stating that it's "Static Free" or "Free to the listener" do nothing to MAKE THE DIFFERENTIATION between satellite and terrestrial broadcasting. Until radio gives the proper respect to the process of product rollout and positioning, we might as well be spitting in the wind.

Russ Oasis

Below the Fold

Wall Street Media Business Report
Big market anchors
Cause Emmis to miss target, weakness in NYC & LA...

Ad Business Report
Yankee Group in-game
Ad market is poised for explosive growth...

Media Markets & Money
Encounter on the VA-WV border
Pair of AM-FM combos change hands...

Washington Media Business Report
Tug of war over telecom?
Joe Barton's (R-TX) telecom bill is being tailored...

Radio Media Moves

CC Radio New York names Riley LSM at Power 105.1
Clear Channel Radio's Power 105.1 (WWPR-FM), New York announced Shetellia Riley as the new Local Sales Manager for the station. She most recently served as a Senior AE at Power 105.1.

Entravision ups
Susan Knoll
Entravision Communications announced Susan Knoll has been promoted to Vice President/ Director of Research, overseeing all Entravision divisions, including Television, Radio and Outdoor. Previously serving as Director of Research of Entravision Radio, Knoll will now oversee all research audience measurement initiatives.

Stations for Sale

25,000w FM Station
Low price opportunity, profitable station w. huge upside. Small town, NEast by interstate, county seat.
595K. Lv. msg. @ 781-848-4201 or
email [email protected]

More News Headlines

CC Radio Sales
opens Denver office
Clear Channel Radio Sales (CCRS) has opened a regional office in Denver. Joe Goodman has relocated from San Francisco to Denver to run the unit as Vice President/Sales. In his new role, Goodman will serve as a single point of contact for all 1,200+ CC Radio stations and function as a research resource and primary link to CC Radio assets including CC Traffic, CC Hispanic Radio and CC Online Music & Radio. Goodman was most recently the VP/Sales for CCRS in San Francisco.

KPIG Radio streams
for free-again
KPIG radio, one of the first radio stations to stream over the internet as far back as 1995 is back online with 24/7 live, FREE streaming on www.kpig.com "We're back! And sounding better than ever. Thanks to all of our faithful listeners world-wide who wouldn't give up on the free stream and thanks to Mapleton Communications (our parent company) for finding a way to make it happen" says Laura Hopper, KPIG PD. KPIG is the legendary, award winning radio station that has long been known for a quirky sense of humor, unique music, and an all-live DJ format 24/7.

Clark Howard nominated for Nat'l Radio Hall of Fame
Jones Radio Networks announced Clark Howard (The Clark Howard Show") is a nominee for induction into the National Radio Hall of Fame (NRHOF) in Chicago. America's Consumer Champion, Howard is nominated in the Network or Syndicated Host - Active category.

TVBR - TV News

THE TUBE
secures financing
Remember when there used to be music on MTV, most of the time, anyway? A service which is all music, without reality, game or award side shows, has just secured about 2M from institutional investors, and further is already being used by Raycom as a broadcast DTV split-stream programming option. It raised 1.95M by selling a convertible debenture that converts to equity at a fixed price of $2.25 per share. But what was interesting is the business plan. The music channel focuses on touring musical acts mixed with up-and-comers, and already reaches 2.9M viewers via Raycom digital TV stations. It expects to be in 50 markets over the course of the next few months, including New York, Los Angeles, Chicago, Philadelphia, Boston, Dallas, Houston, Atlanta and Miami.

RBR observation: If this takes off, it could wind up being competitive with in-home radio listening. This is not a huge portion of the radio audience any more, and hasn't been for years, but it is something to keep an eye on.

RBR Radar 2006

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

Indecency wars still front and center
The FCC noted late last week that it had received further opposition from CBS regarding indecency forfeitures assessed for a broadcast of "Without a Trace." It indicated it would, as usual and as a matter of course, review the broadcaster's remarks, but also said it believed its rulings were correct.

RBR observation: We always thought that the whole thing about the Janet Jackson episode was that it was pretty much unprecedented. Frankly, we've seen hundreds of wardrobe malfunctions on those blooper and home video shows where the malfunction is not fleeting at all. We wish CBS and the other networks well in their battle for some kind of indecency policy that makes sense - - we sure don't have one now.
04/18/06 RBR #76

Finally! An Ad guy saying it
HD Radio isn't ready for prime time. Rich Russo's comments are right on the mark. Even if we ignore the technical issues, there need to be receivers of the type people actually use (battery operated) and programming that's taken as seriously as the main/analog channels. We need showbiz on HD2. Otherwise, the one chance we'll have to sell a receiver will be lost to dull programming. Bounce Back
04/17/06 RBR #75

Fighting back on indecency
The FCC is finally going to have to defend its indecency standard in court. ABC, CBS, Fox, NBC, Hearst-Argyle and the various network affiliate associations filed a slew of appeals in federal courts all over the country challenging several of the indecency rulings the FCC issued last month.

RBR observation: It has been nearly three decades since the US federal courts have ruled in a broadcast indecency case and there can be no doubt that the FCC's standards for what is or is not indecent has been all over the road during that time. In recent years, the trend has been toward an ever more schoolmarms approach - We see two possible outcomes: review them in
04/17/06 RBR #75

Top Ad Agency Execs Unimpressed
by HD/HD-2 Radio rollout
Jon Mandel, Chairman/MediaCom US and Chief Global Buying Officer MediaCom Worldwide, the topic drifted to HD Radio. He's not so sure the latest campaign is going to drive people to the stores: "I think the HD and HD-2 thing is too little, too late. I was in LA earlier this week and heard ads from Tweeter. But other than that, I have never heard anything promoting it; it doesn't really explain what the hell it is, other than no static and no monthly fees. Big $%&@ing deal. Nobody is talking in detail about how I can get all these other formats. What are they, what station is offering what? They're screwing it up." Rich Russo, JL Media's SVP/Director of Broadcast Services tells us HD-2 could have been rolled out a bit better: "HD equals Huge Debacle or Highly Debatable and here's why: It is not ready, so why launch it? The unit is beyond inadequate to say the least and there are numerous flaws with the HD alliance itself.

RBR observation: As we said on 3/23/06, HD-2 formats need to compete with the format variety of satellite. They should be perceived and promoted as the free, viable alternative to satellite in each market, even if some formats don't "test" well yet. Each market's HD-2 channels need to be absolutely refreshing and unique to get (especially) the younger listeners' attention - More details and suggestions see Ad Biz
04/14/06 RBR #74

Entercom fires back at Spitzer
has gone on the offensive against the "corporate payola" lawsuit filed by New York Attorney General Eliot Spitzer. The radio company has filed a motion to have the whole case thrown out of court, arguing that Spitzer hasn't alleged anything that's actually illegal.

RBR observation: Bravo! Someone is finally fighting back at this self-styled national cop who's making the rules up as he goes. As we've demonstrated previously, Spitzer's interpretations of the federal payola law and the FCC's sponsorship identification rule are just plain wrong - - not to mention that he has no authority to enforce them in the first place.
04/14/06 RBR #74

Group offers 1.10
per share for Interep
Interep's long languishing stock price stock shot up to 88 cents at one point after Oaktree Capital Management went public with an offer to buy the company for 1.10 per share, a 439% premium to Tuesday's closing price of 20 cents. But saying it is frustrated by months of negotiations, Oaktree has given Interep's board of directors a deadline of April 21st to act on the 14.3 million bucks offer. Oaktree is Interep's largest bondholder.
04/13/06 RBR #73

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RBR Epaper -- 108 annual
or just 9 a month