Partner buys out partner in New Orleans FM deal


SoldGeorge H. Buck Jr. and Michael A. Costello have been co-owners of WTIX-FM Galliano LA since 1995, but that’s about to change as the majority owner cashes out, which will make the surviving partner the sole owner.

WTIX is an Oldies outlet with good coverage of New Orleans and areas to its south. It’s a Class C1 on 94.3 MHz with 100 kW @ 981’.

Buck is selling his 60% stake to Costello for $550K, plus $231,626.40 that will repay a loan Buck made to the station’s license company Fleur de Lis Broadcsting Inc. The compensation package is almost entirely back-loaded – the contract calls for a $12K escrow deposit and a promissory note for $769,141.40 which is the total of the price and the loan repayment less the escrow deposit and Buck’s share of filing fees.

It will be Costello’s second FM in the New Orleans area. He recently acquired KWMX-FM Empire LA from a trustee for Power Broadcasting. That deal, struck when the station’s call letters were KNOU, was accepted by the FCC for filing 5/8/12. It was valued at $380K.

KWMX is a Class C2 on 104.5 MHz with 7.8 kW @ 850’. It is oriented just to the south of New Orleans with scant primary coverage of the urbanized area. The station is currently listed as licensed but silent.