Gary Rozynek’s Maverick Media is exiting the Lima OH market, sending a one-AM, four FM cluster to Childers Media Group. The FM side of the cluster gets straight As, which of course in the radio business isn’t necessarily a good thing.
But this quartet does what it’s supposed to do for the most part, which is blanket the city of Lima. Only one, WDOH-FM Delphos OH, relies mostly on its secondary contour to get into the town.
The buyer has five stakeholding investors – Lori Lewis will take a 42.5% position, Matthew D. Childers will have 30%, Holly Morris and John Bowman will have 12.5% each and Scott E. Shaw will have the final 2.5%.
The price for the cluster will be $2.1M cash.
The contract includes an interesting accounts receivable set-up. As is usually the case, the seller eventually will have to right to proceeds from all the advertising sold while it was still the cluster’s owner, but the buyer will handle collections and have access to some of the cash during the early going of its term as owner. During the first two collection months, the buyer will turn over only 50% of what it collects to Maverick. It will turn over everything in collects during the third month, and it will turn over 100% of whatever it collects during the fourth month, plus the remaining 50% of each of the first two months. At that point, any remaining receivables become the responsibility of the seller.
Here’s a look at the stations:
* WCIT-AM Lima, a Class D News-Talk station on 940 kHz with 250 W-D, 6 W-N, DA2
* WEGE-FM Lima, a Class A Classic Rocker on 104.9 MHz with 3 kW @ 220’
* WWSR-FM Lima, a Class A Sports outlet oni 93.1 MHz with 3 kW @ 318’
* WFGF-FM Wapakoneta, a Class A Country station on 92.1 MHz with 3 kW @ 328’
* WDOH-FM Delphos, a Class A Lite Rocker on 107.1 MHz with 3.3 kW @ 299’
