Communlcations 501 Third Street N W Washinotnn D C 7nnn1-2797 EX PART€' OP LATE FlLED Workers of America ~ - ---- AFLCIO CLC 2021434-1 100 Fax 2021434-1279 ...... ,. .

March 6. 2003

Ms. Marlene Dortch, Secretary MAE fi ?oo:] Federal Communications Commission

445 ~IwelfthStreet, S.W. 'W-HAL COUMUNICC~IONSc,~H~~~~~ Washington, D.C. 20554 nr:l(:i CFTHE SECP~~R~

Dcar Ms. Dortch:

RE: Ex Parte Notice. MB Docket No. 02-277, MM Docket Nos. 01-235,Ol-317,OO-244. In the Matter of 2002 Biennial Regulatory Review -Review of the Commission's Broadcast Ownership Rules and Other Rules Adopted Pursuant to Section 202 of the Telecommunications Act of 1996; Cross-Ownership of Broadcast Stations and Newspapers; Rules and Policies Concerning Multiple Ownership of Radio Broadcast Stations in Local Markets; Definition of Radio Markets.

On March 5,2003, Debbie Goldman of the Communications Workers of America, Dr. Dean Baker of the Center for Economic and Policy Research, and Mike Gildea of the Department for Professional Employees, AFL-CIO had two meetings with FCC staff. In the first meeting, they mct with Sarah Whitesell, Legal Advisor to Commissioner Jonathan Adelstein. In the second meeting, they met with Paul Gallant, Mania Bdghdadi, Marcia Glauberman, and Judy Herman of the Media Bureau.

The discussion focused on five issues: I) Television and newspapers as the dominant source for local news and information; 2) television and newspapers as separate local product markets; 3) television and newspaper local market concentration; 4) ownership rules as necessary to protect and promote viewpoint diversity; and 5) CWA's proposal for structural ownership rules. We discussed the CWA proposal for a single local media ownership rule. The proposed rule would prohibit combinations in concentrated local media product markets, and permit combinations in unconcentrated local media product markets conditioned on a requirement to maintain separate news and editorial staff to protect viewpoint diversity.

Dr. Baker reviewed his analysis of the FCC Media Ownership studies. Dr. Baker's analysis was previously entered into the record as Attachment B to CWA's Comments in this proceeding, dated Jan. 2, 2003. Ms. Marlene Dortch March 6,2003 Page 2

The attached hand-out “Broadcast Ownership Rules” was used in both meetings. The attachment “CWA Annotation of Economic Study F: Counting Outlets and Owners in : An Illustrative Example” was provided to Ms. Whitesell, and with this ex parte notice, is being provided to the aforementioned Media Bureau staff.

Sincerely,

Debbie Goldman,iz Research Economist Research and Development Department cc: Sarah Whitesell Paul Gallant Mania Bdghdadi Marcia Glauberman Judy Herman

Attachments CWA Annotation of Economic Study F: Counting Outlets and Owners in Milwaukee: An Illustrative Example

Study by Bruce M. Owen, Kent W. Mikkelsen Submitted by Fox Entertainment Group, “2,Viacom As attachment to their comments In MB Docket No. 02-277, MM Dockets No. 01-235,Ol-317,00-244 (Comments dated Jan. 2,2003) Table F9. Local Outlets Available to the Average Household in the Milwaukee DMA

Daily Newspapers 1.2 Weekly Newspapers 3.2 Broadcast Television 14.0 Radio 35.2 Cable Television 2.0 h4apanne. 15 0

I ,,I< 111, 1lllIrl

Total 170.6

23

ECONOMISTSINCORPORATED .~~ ~ __._~__~~~.

Table F1. Daily Newspapers and Availability Areas in the Milwaukee DMA

CirtJo-kdK, NewspaperKompany Name Owner Counties Where Available Daily Citizen Madison Newspapers Inc.** Dodge Daily Jefferson County Union Hoard's Dairyman** Jefferson 9,355 lJ Watertown Daily Times Johnson Newspaper Corp. Jefferson 32pa52gfooo * Kenosha News United Communications Kenosha COT. Journal Sentinel Journal Communications* Milwaukee, Ozaukee, Washington, and Waukesha Racine

%chi>\ Fan

\\ ,,~lllll~l~~li

aiJqaqld Waukesha Freeman Waukesha

Source: Editor and Publisher Yearbook; Maplnfo Corporation Notes: * Owner information obtained from wvw.jc.comkompankd ** Owner information obtained by telephone

10

ECONOMI s TS I N co R PORA TED Table F2. Daily Newspapers Available to the Average Household in the Milwaukee DMA

County #of daily Households County Weighted number newspapers per county household of daily newspapers weight DODGE 31,417 0.04 0.04 JEFFERSON 28,205 0.03 0.07 KENOSHA 56,057 0.07 0.07 MILWAUKEE 377,729 0.44 0.44 OZAUKEE 30,857 0.04 0.04 RACINE 70,819 0.08 0.08 SHEROYGAh' 43345 0.05 0.05

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Daily Newspapers Available to Average Household in Milwaukee DMA 1.20

Sources: Editor and Publisher Yearbook; SRDS Circulation 2003; US Census Bureau.

I1

ECONOMISTS INCORPORATED Table F3. Weekly Newsp:il~o~nin the Milwaukee DMA

&G Name Of Newspaper Owner city Households In city 50 Plus Plus Publications I lartland 3.002 Advantage Conley Publishing Group Ltd. West Bend 11,375 430Brookfield News 'Journal Communications* New Berlin 13,891 I,$% Brown Deer Herald 'F Journal Communications' New Berlin 5.134 Bulletin United Communications Corp Kenosha 34,41 I Burlington Standard Press /Southern Lakes Newspapers LL( Rurlington 3,838 u,m Catholic Herald Milwaukee Catholic Press ApoCl' Milwaukee 232,188 Community Journal Patricia Panillo** Milwaukee 232.188 Courier - Hometown News LP** Waterloo 1,242 'fi8hdahylSt. Francis Reminder-Enterprise .Journal Communications. New Berlin I 1.938 G,O@DeIavan Enterprise Bliss Communications Inc. [Jelavan 2.93 I Dodge County Independent-News Times Publishing Inc. Oineau 31,417

+<$O East Troy News 'Southern Lakes Newspapers LI .( Fast Troy 1,350 7,bfElkhorn Independent 'Southern Lakes Newspapers LI Elkhorn 2.919 i$TbElm Grove Elm Leaves 7 Journal Communications. New Berlin 2,444 l,'?bb Fox PointIBaysiddRiver Hills Herald Journal Communications' New Berlin 5, I84 9,3*Franklin Hub h Journal Communications. New Berlin 10,602 ~,i)oGermantownBanner -Press f Journal Communications. New Berlin 6,904 1,mlendale Herald

ECONOMISTS 1 \< ORPORATED Name Of Newspaper Owner f ity Households in city 2?(grSun XJournal Communications* Iiariland 3,310 is Week! *Journal Communications* Waukesha 25,663 Three Lakes News Delphos Herald Inc. Fagle 592 9,r)U Times Not available Walworth 850 Tri-County 0 Madison Newspapers Inc. Ikaver Dam 6,349 Union Extra Hoard's Dairyman I nrt Atkinson 4,760 Vilas County News Review Delphos Herald Inc. I agle 9,066 Walworth County Shopper- Community Shoppers Inc. 1,elavan 34,522 Advertiser/Sunday Shopper 1,dOWaterford Post 'Southern Lakes Newspapers LLC Waterford 1,561 Waukesha Area Sunday Post ' Conley Publishing Group Ltd Waukesha 25,663 L,UL Wauwatosa News-Time 'Journal Communications* New Berlin 20.388 $?Ab West Allis Star 'z Journal Communications* New Berlin 27,604 West Bend Booster Boost- Inc. West Bend 11,375 /,boWestine Report J Southern Lakes Newspapers LLC llnion Grove 1.63 1 Westosha Rcport 'Southern Lakes Newspapers LLC Twin Lakes 1,973 4mWhitefish Bay Herald C Journal Communications* New Berlin 5.457

J 3,000 Whitewater Register Southern Lakes Newspapers LI ( Whitewater 4,132 Wisconsin Hi-Liter Hi-Liter Graphics Inc. nudington 3,838 @OO0 Wisconsin Jewish Chronicle Milwaukee Jewish Federation Milwaukee 232, I88 Wisconsin Light Not available Milwaukee 232.188 Tntal Households 2.7 12,377 Tnlal DMA Households 852,222

Number of Weekly Newspapen Available to the Average Household in IIw \l#h*:ivkee OMA 3.2

Notes: Owner information obtained from www.jc.comIcomli,illi~,~' ** Owner information obtained by telephone

14

ECONOMISTSlvr ~RPORATED ##$: 23K

Table F4. Broadcast Television Stations in the Milwaukee DMA

OI CALL ($$ LTRS CHANNEL OWNER W63CU 63 Weigel Broadcasting Company 94. WCGV-TV 24 Sinclair Broadcast Group lnc U?d I970 WDJT-TV 58 Weigel Broadcasting Company d5 / a2hlSN-TV 12 Hearst-Argyle TV Incorporated A& J I?% WIT1 6 Fox Television Stations lnc 6@ J WJJA 49 TV-49 lnc WML W -LP 41 Weigel Broadcasting Company Milwaukee Area Technical College WMVS 10 District Board Milwaukee Area Technical College :6 niclricl hard

I )(I I, ,I I <~l~,~ll,11 I ltIl1" ?Of

oiiiiii UII I

Source: BIA Database Notes: Owner information obtained from w.jc.codcompanied ** Owner information obtained by telephone

15

ECONOMISTS INCORPORATED Appendix F: Market by Market Data

Radio Market Date Rank Stations Owners Formats CRl CR2 CR4 Milwaukee - Racine Mar46 20 34 16 27.5 da 68.5 Nov-97 29 35 ir 16 30.4 d8 01.1 Nov-90 3f 35 16 I6 29.7 51.7 00.2 Mar40 31 35 16 17 23.4 46.2 76.1 Mar41 31 34 10 27.6 512 88.5 Mar42 32 35 & 16 26.2 50.7 @ Table F5. Radio Stations in the Milwaukee DMA CALL LTRS Owner WAUK WALT-WEST Wisconsin Inc WAZI L&L Pewaukee Ventures Inc WBEV Good Karma Broadcasting WBFM Midwest Communications Incorporated WBJX WBJX Inc WBKV B&Communications Inc WBSD Burlington Area School District WBWl Bliss Communications Inc Carroll College WCLB RBH Enterprises Incorporated WEMP Entercom WEXT NextMedia Group WEZY B&Communications Inc WFAW Marathon Media Group LLC WFDL BBK Broadcasting Inc WFMR Saga Communications Incorporated WFZH Salem Communications Corporation WGLB Kinlow. Joel J.

\iI ,I I' \i:iho;irC riro:ldc:lqlltlg 1111

\4(,lI \4 ,~101,~,1,l)111111L l<,I

16

ECONOMISTS INCORPORATED CALL 2JL-.- --8n?ner .- . WMWK Family Stations Inc WMYX Entercorn WNOV Courier Communications WOKY Clear Channel Communications WFUT ~lea;Channe~Communications WFUN Bliss Communications Inc WRRD Salem Communications Corporation WSHS WSJY Marathon Media Group LLC WSLD WPW Broadcasting Incorporated University of Wisconsin System WTKM Kettle Moraine Broadcasting Company Inc WTKM Kettle Moraine Broadcasting Company Inc WTMJ JmCommunications WTlN Good Karma Broadcasting WUWM University of Wisconsin System WVCY VCY America Incorporated WXER RBH Enterprises Incorpomted WXRO Good Karma Broadcasting Entercorn \WhI Milwaukee Board niSchool Directors \A /I

Source: BIA Database Notes: Owner information obtained from wwwjcxodcornpmied

17

ECONOMISTS INCORPORATED Table F7. Regional Magazines Available in tbe Milwaukee DMA

Regional Magazines Publishing Company/Owner

Alive Magazine Milwaukee Zoological Socieiy

Milwaukee Symphony Orchestra Encore Encore Ltd.

Lore Milwaukee Public Museum

Alvemo Magazine Alvemo College

Mt. Mary Magazine Mount Mary College

Quarterly Carroll College

\111.111 Iju~ln~\~I11111' Small l3ii~iiic~~I ime.

411Lp11cI

Ou-Tre Mike Paul Greater Milwaukee Dining Greater Milwaukee Convention & and Visitors Guide Visitors Bureau

Milwaukee Magazine Milwaukee Magazine, Inc,

Wisconsin Times Wisconsin School for the Deaf

US News and World Report US News and World Report

Time Magazine AOL Time Warner

Newsweek The Washington Post Company

Source: National Directory of Magazines, 2000

19

ECONOMISTS INCORPORATED Name Owner URL Milwaukee's LGBT Center httpl/www.mkelgbt.org/ American Red Cross httpJ/www.redcmssinsis.org/

Milwaukee Aquarium Society http://fishclubs.c~mMrYMAS/ho me2.htm Milwaukee Astronomical Society httpY/www.milwaukc.org/

Cavalry Chapter of Milwaukee http://www.ccmil.cond Congregation Shalom http://www.cong-shalom.org/

United Church of God httpi/www.ucgmil.org/ Alvemo College http://www.alvemo.edul Marquette Universiiy http://www.marquette.edd

Milwaukee Area Technical College http://www.matc.edd Milwaukee Institute of Art and Design httpi/www.rniad.edu/

Milwaukee School of Engineering http://w.msoe.edul IIW-Miluaukee hnp://www.uwm.edu/ WC A 01 h4il\s,jilhe< Iiii1). 'i\\r'\r.\.\rcaoyni.orl?,or~c4r ~111111 liiil~.~ovwu.liiiii~rnas~lorcr.oi~:

htrp://www.myschoolonline.com Isitdo, 1876,53529- 14793046- 8307,OO.html hnpY/www.shorewoodschools.or

Milwaukee's Teacher and Educaton' Association http://wmu.mtea.org/

Associated General Conwdm of Greater Milwaukee httpi/www.agc-Brn.org/

Guide to Milwaukee http://www.ciryonthelae.~m

Guide to Milwauka http~/wmu.officialmilwaukee.co rn/main.cfm Milwaukee Hurling Club httpY/www.hurIing.net/ Milwaukee Bar Association http://www.milwbar.org/ Milwaukee Fire Depment http~/www.miIfm.cod Milwaukee Yacht Club http://www.milwaukeeyc.cond

Milwaukee County Historical Society http://www.milwaukeountyhis tsoC.org/ Milwaukee Naturally http://w.milwaukee- naturally.com/

20

ECONOMISTS INCORPORATED Name Owner URL Milwaukee Jewish Federation http://www.milwaukeejewish.or g/ Milwaukee One httpJ/www.mkel .cord

I Milwaukee Rocks httphww.milwaukecks.co m/ MKE Blue httpJ/www.december.com/place s/mke/blue.hml All About Milwaukee httpJ/www.allaboubnilwauk~.c Om/ Zoological Society of Milwaukee http://www.zoosocicty.org/ Metro Milwaukee Association of General Commerce httpJ/www.mmac.org/ Historic Milwaukee httpj/www.historirmiIwaukm.or d Milwaukee Akido Club http://gbit.com/milwad Greater Milwaukee Today http://www.gmtoday.comlindex. asp Greater Milwaukee Foundation http://www.greatennilwaukeefou ndation.org/ Milwaukee Youth Symphony Orchestra httpi/www.myso.org/ Guide to Milwaukee http://milwaukee.areaguides.netl United Way http://www.unitedwaymilwaukc e orp

/I \I \I L' 13 ,I! ?ha\ rom

ii~~~~i,~li~~:tt,li, il\I\I dIL'II'IICII\

~l,~ll:,l~l~~~,~lll~,l,L'llll, il \A ,I <11p11.11 llel~lll10lLO111 All About Wisconsin, Inc u online corn onmilwaukee.com www.onm~lwaukee.com onwisconsin.com Journal Communications' ' www.onwisconsin.com WCGV-TV Sinclair Broadcast Group Inc httpJ/www.wcgv24 .corn/ WDJT-TV Weigel Broadcasting Company - htrpJ/www.cbs5Il.com/ WISN-TV Hearst-Argyle TV Incorporated http://www.themilwaukeechanne I.com/ WIT1 Fox Television Stations Inc ' httpJ/www.fox6milwaukee.com/ WMLW-LP Weigel Broadcasting Company ' httpJ/w.wmlw.com/ WMVS Milwaukee Area Technical College httpj/rnptv.org/ District Board WMVT Milwaukee Area Technical College http://mptv.orgl District Board WTMJ-TV Journal Communications. hnp~/w.touchbnj4.com/

WVCY-TV VCY America Inc httpJ/www.vcyamerica.org/ WVTV Sinclair Broadcast Group Inc http://www.wvWlIl.cond WAZl L&L Pewaukee Ventures Inc www.lifernessage.org! WBJX WBJX Inc www.lacampeona.com wccx Carroll College http:Ncscbeta.cc.eddwccx/ WEXT NextMedia Group www.extremecounby.com WFMR Saga Communications Incorporated www.wfinr.com WGLB Kinlow, Joel J. http://my.execpc.coml-wglW WGLB Starboard Broadcasting Inc http //my.execpc.com/-wglb/fm/ hhtml

21

ECON OM I S TS IN COR P 0 RATED . . ..

Name ~~ Owner -- ..URL , WGTD Wixonsin Public Radio www.gateway.tec.wi.&Cmn- puseslWGTI-FM9 1 Iwgtd-fin9 1 .hbnl WHAD Wisconsin Public Radio www.wpr.o@ WllL NextMedia Group www.95wiil.cnn WlSN Clear Channel Communications www.broadcast.comlrndiohlW wisn WJJO Mid-West Family Broadcast Group www.W~O.~ 'WJUB Jubiliation Ministries www.wjub.org/ WKKV Clear Channel Communications www.vl00.codmain.hbnl WKLH Saga Communications Incorporated www..cod WKTI Journal Communications* www..com WLlP NextMedia Group www.wlip.com WLKG Kwiatkowski, Tom www.wIkg.com WTQ Clear Channel Communications www.light97.ne1Jmain.hbnl WLUM Milwaukee Radio Alliance LLC www.newrock.com/home.asp

WLZR Saga Communications Incorporated wwW.WIP.COm WMCS Milwaukee Radio Alliance LLC www.1290wmcs.com WMlL Clear Channel Communications wwwh 106.codmain.hbnl WMSE Milwaukee School of Engineering www..orp/ WMWK Family Stations Inc \r?vw.Tamilyradio.com/ \4 OK j Clear Channel Cointiionii iiinii? www nl119?hr'nk!. .corn/iacor- cniiimon~pax.Iiiin

\i\ll< \A I~lOll~lIlI'llbli< I<.ldl$ wwu dir.hovgan.l. I2.wi.iisjnonh iMedia/\rshsi\r,shs.h~m wsuw University of Wisconsin System www.wsuw.orgl WTKM Kettle Moraine Broadcasting Company http:llwebcenteramn.codwtkml index.hbnl WTKM Kettle Moraine Broadcasting Company http:llwebcenteramer.codwtkml index.hbnl WTMJ Journal Communications* www.62owbnj.cod WUWM University of Wisconsin System www.uwm.edulWUW1 RBH Enterprises Incorporated www.wxn.com/plhome.html WXER i WYMS Milwaukee Board of School Directors wwW..orgl ' Daily Citizen Madison Newspapers Inc.** www.citizenol.com Daily Jefferson County Union Hoard's Dairyman'. www.dailyunion.com 1 Waterlown Daily Times Johnson Newspaper Corp. www.wdtima.com ! KenoshaNews United Communications Corp. www.kenoshacounty.com ' Milwaukee Journal Sentinel Journal Communications* www.jsonline.com Journal Times Lee Enterprises Inc. www.journaltima.com Sheboygan Press GaMetl Co. Inc. www.wisinfo.com/sheboyganpre ss/index.shtml Daily News Conley Publishing Group www.rhinelanderdailyews.com I I Waukesha Freeman Conley Publishing Group www.gmtcday.com \ Notes: * Owner information obtained from www.jc.codcompanies/ ** Owner information obtained by telephone r: 22 (7V ECONOMISTS INCORPORATED Broadcast Ownership Rules MB Docket No. 02-277 MM Dockets No. 01-235,Ol-317,OO-244

Communications Workers of America Ex Parte Presentation March 5, 2003 Overview

Television and Newspapers are the Dominant Source for Local News and Information Television and Newspapers are Separate Local Media Markets Local Television and Newspaper Markets are Highly Concentrated Ownership Rules are Necessary to Protect and Promote Viewpoint Diversity CWA Proposal for Structural Ownership Rules Television and Newspapers are the Dominant Source for Local News and Information

Newspapers - 54% read daily paper, 64% Sunday paper (NAA) - 62% read newspaper (Waldfogel, Nielsen) Television - 60% watch eve news, 64% nightly news (Waldfogel); 85% use N for news (N ielsen) Radio - 35% use radio for news & info (Nielsen) Cable - Only 19 markets with local cable news show (Fox et al) Internet - 18.8% use Internet for news (Nielsen) - Only 54% of Americans have Internet access at home (US. Dept of Commerce) - Most Internet news sites are newspaper or TV sites Television and Newspapers are Separate Local Media Markets

Consumers Show Weak Substitution across Media TY Pes - FCC Waldfogel study (study #3) Advertisers View Local Newspaper, Radio, and Television as Separate Markets - FCC Bush study (study #IO) Relaxation of Media Ownership Limits Has Resulted in More Concentration in Local Media Markets

Media Outlets Media Owners 1960-1980 1980-2000 1960-1980 1980-2000

Altoona 73 '10 2 1o/o 33 '/o 2 5O/o Birmingham 5 7 '/o 34 '/o 7 0 '10 12%0 Burlinqton I 147% I 43% I 115% I 2 1o/o I Charlottesville I 62% I 7 7'/o I 100% I 40% I KansasCitv 1 100% I 20% I 106% I 0% I La ncaster I 50 '10 I 19% I 60% I 2 5'/o I Little Rock 106% 7 1'/o 114% 10% Myrtle Beach 267% 43 '10 115% 44% New York 7 3 '/o 20% 9 3'10 -2% Terre Haute 117% 2 7 '10 138% 16% Comparison of Media Outlets and Owners for Ten Selected Markets (1960, 1980, 2000)" h Example: Local Radio Markets 1996 - 2002

1996 Telecom Act eliminated national radio ownership limits and reduced local radio limits

0 Clear Channel and Infinity now own 1,340 or 43% of all radio stations in U.S. (up from 109 stations in 1996).

0 Total number of distinct radio station owners declined 33% since 1996

0 In local radio market, top four owners control, on average, 93% of market (as measured by ad revenues), up from 83% in 1996

0 Radio ad rates have increased more than 60% (adjusted for inflation) Sources: FCC study #11, G Williams and S Roberts, "Radio Industry Review 2002" Most Local Markets Have Only 4-5 Major News Outlets - the Dailv NewsDaDer and the Major Networks’ News Shows

Newspapers Most cities have one major daily newspaper Newspaper HHIs in virtually all markets are above 1800 (highly concentrated) Te Ievi si o n 70% of DMAs have 4 or fewer original local news shows; 89% of DMAs have 5 or fewer original local news shows

(source: FOX et al)

Only I9 DMAs have local cable news (source: Foxetal) Market Concentration in Local Television Markets,, 2001 I Market Concentration in Local Television Markets 2001 1 DMA 1 Market Share of Top Four Stations I HHI i New York City, NY (001) 7 1 '10 1959 Los Angeles, CA (002) 57% 1796 Chicago, IL (003) 68% 1852 Philadelphia, PA (004) 83% 1852 San Francisco, CA (005) 8 0% 2370 Boston, MA (006) 7 8'10 2276 Dallas, TX (007) 63% 1881 Washington, DC (008) 85% 2254 Kansas Citv, MO (0311 80% 1914 Birmingham, AL (039) 77% 1895 Harrisburg, PA (046) 9 5 '10 2555 Little Rock, AR (056) 9 3 '10 2605 Burlington, VT (090) 95% 3500 Altoona, PA (096) 100% 3166 Myrtle Beach, SC (109) 100% 4146 Terre Haute, IN (145) I 100% 4178 Source: BIA, 2001. Market share - averaqe 2000 LCS. HHI calculation based on combined market share of each indeDendentlV owned Market Concentration in Local Daily Newspaper Markets Daily Newspapers in Principal Metro City & One County

Market Cancentratim in Local Daily Newsoaoer Markets Daily Newspapers in Princil 11 Metro City &id One Surrmndim C~Lhr Principal City and Om SJrrourding Cwnty (DMA) Daily Newspapers Market Share New York CitypA'esthester Co. W (ml) Wall Street burnal 36% NwYork Times 24% NY Daily News 15% NY Post 11% Bloomberg NmS 6%

Journal News (Westhester) 3%~~ 5% LOS Pnples and Oranp Co, CA (002) Los Pnples Times 50% Orange Comty Registel 18% La Opinion 7% LA Press-Telegram 5% LA Daily Breeze 4%

Korean Central~~ ~ Dailv 3% Gtkrs 1% Chicago and Lake CO IL (003) ChicaQoTribure 50% Chicago Sin-Times 35% Lake Daily Herald (Lake Co.) 11OJo Chicaao Defender 2% Tk&s an(Lake Co.) 2% Philadelphia and Montgmery Co. PA (004) Philadelphia lnqJ rer * 59% Philadelphia Daily News* 3 1% ("mmmcnly owred with joint advertising) TkWrcury (Mont. Co.) 4% Times &rald (Mont. Co.) 3% TkRemrter 3% San Francisco and Santa Clara Co, CA (m5) San Francisco Chrcnicle 59% San lose MeKury bhs 31% Palo Alto Daily News ((0) 3% San Francisco Examiner 6% otkrs 1% Market Concentration in Local Daily Newspaper Markets Daily Newspapers in Principal Metro City & One County

Principal City and One SJrrounJing Ccunty (DMA) Daily Newspapers Market Share HHI Boston ard Middlesex Co, M4 (m6) Boston Globe 4 7 '10 3239 Boston l-krald 26O/0 Boston Wro 18% TkSun (Lowell MA) 5% Ott-ers 4% Dallas/Fort worth ard kntcn Co TX (007) Dallas Morning News 64% 4948 Fort Worth Star-Telqram 29% Otkrs 7%. .- Washingtcn, D.C. ard Maltgowry Co. MD (003) Washingtcn !%st 86% 7510 Washrnatcn Times 11% &3% Kansas City and Linn Co. MO (Q31) I TkKansas City Star 95% 9053 Linn Nevvs-Bulletin 5% Birmingham, AL (033) TkBirmingham News 88% 7905 Birmingham Post-Herald 12% (Joint berating Agreement) Lancasbr, PA (046) Lancaster Intelligencer Iarnal 1ouYo io,om Little Rock aid Pulaski Co. AR (056) Arkansas Demwrat-Gazette__ - - 96% 9187 Pulaski Daily Record 3% Burlinqton. VT (OW1 1000/0 10,003 Altoona, PA (096) Altoona Mirror 1000/0 io,om Myrtle Bearh, SC (109) Sun MYS 1000/0 m,om Terre Ha&, IN (145) 1 Tribure-Star 1000/0 10,003 Charlotteswlle, VA (1E) I Dallv Proaress 77% 6,431 I Cavalier Daily 23% Source: mw Ndia Directory, 2033. Local daily newspaprs in principal metro c ' of DMA and one surrounding ctxmnty. Trade pcblications not ncludal, Ownership Rules are Necessary to Protect and Promote Viewpoint Diversity

Ownership Influences Viewpoint - Academic literature - Examples from newspaper/broadcast corn binations - Influence of advertisers on journalism and even on acceptance of issue ads - CanWest Global chain editorial policy “Synergy” is not viewpoint diversity CWA Proposal for Local Broadcast Ownership Rules

In all but a handful of local media markets, there are only 4-6 independently owned major media outlets Allowing further combination in concentrated markets would further reduce diversity and competition FCC must either maintain current rules (duopoly, newspaper/broadcast cross- ownership, dual network, radio rules), or Framework for unified local media ownership rule - Newspaper, radio, TV are distinct product markets - Careful geographic definition of each relevant product market - Market share analysis of each product market - No combinations (vertical or horizontal) where the product market is highly or moderately concentrated (e.g. duopolies, newspaper/broadcast combinations) - Combinations allowed in unconcentrated markets based on public interest review .-aJ> .-c,

Ur .I VI c' c' 6 >b 0 .I t n 5 U Q m .Ic Q 0 a= v, n CIm 3 v) aJ 3 S .Ia > $! a aJ L v) 3 aJL IVI L a w 0 c, 0 U c v) I .-0 S c, m L~ VI 0 0 0 E" n L 0 0 v) X L 3 aJ c, e a, v) t 8 3 m L a, U c, uI CIm -a, L a, rn U Q 0 a, I I I I/) E