We knew that Judith Dittman was selling iconic Hit FM WABB-FM Mobile AL to noncommercial religious broadcaster Educational Media Foundation, which is taking one more step toward nationwide ubiquity with the acquisition. And now we know how much EMF is planning to pay for the station.
Mike Novak has signed a contract that will send $3.1M to licensee WABB-FM Inc. EMF usually includes provisions for a promissory note in its acquisition contracts, but that will not be a feature of this compensation package. It will put 10% of the price into escrow and pay the full amount in cash at closing.
The deal includes a network affiliation agreement – the LMA of choice for EMF. Under its terms, the station will begin broadcasting EMF’s K-LOVE network on 3/1/12.
Dittman is hanging onto the call letters and associated WABB-AM. The seller will assist EMF in getting the necessary paperwork together to assign new calls to the FM. Dittman will also hang onto other assets needed to continue operating the AM, including those assets that were used jointly by both stations. Everything else solely associated with the FM’s operations will go to EMF.