15, 1992 the Industry's Newspaper Issue Number 941
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MAY 15, 1992 THE INDUSTRY'S NEWSPAPER ISSUE NUMBER 941 UPI Auctioned Off To Pat INSIDE: Robertson For $6 Million FCC TO APPROVE Evangelist the only bidder for entire NEW HOAX RULE organization; promises editorial freedom The FCC is expected to unveil a TV evangelist and former Re- creditors, owed approximately $60 million, would receive about plan this week to fine stations publican presidential hopeful Pat Robertson won a bankrupt- 10 cents on the dollar from Rob- that knowingly air bogus cy court auction of United Press ertson's bid. broadcasts that result in International, bidding $6 million Although he didn't spell out for the wire service network, specific plans for the company, "substantial public harm." A and other assets. Robertson listed the radio net- licensee will be held responsible "Business goes on as usual," work and international repor- ting among its most desirable even if the hoax is made without UPI Managing Editor Bob Kieckhefer told R&R late Tues- assets. He called the domestic management's knowledge. day (5/12) after lawyers for newspaper operation UPI's Page 4 UPI and its creditors commit- weakest link, but didn't say tee accepted the bid from Rob- whether he intended to shut it ertson's U.S. Media Corp. U.S. down. "I don't interfere in the Country Sales Swing Up Bankruptcy Judge Francis Con- editorial policies of our rad planned a hearing the next stations," Robertson told re- 10 QUESTIONS WITH Owing perhaps to an increasing number of older record day to certify the agreement. porters outside the court hear- buyers, sales of country music nearly doubled in the last GORDON HASTINGS Robertson is to provide ing in Rutland, VT. three years, according to figures compiled by the Record- $150,000 on May 19 and another UPI Exec. VP Steve Gei- ing Industry Association of America (RIAA). Country recordings "We have to $150,000 on May 26 to keep cash - mann said he had no idea what accounted for only 6 8% of dollar sales in 1989, but rocketed to in for the create more strapped UPI operating. Under Robertson had mind 12.5% in 1991. Conversely, rock recordings dropped from 42.9% terms of the agreement, Rob- company: "UPI has had no dis- pressure against of 1989 sales to 36.3% last year. The fastest -growing format: chil- ertson will forfeit that $300,000 if cussions with Robertson or any dren's records, which moved from 0.3% to 3.3% in three years. of of his people." .. radio's inventory," he backs out the deal by a The RIAA figures also revealed that 56.8% of last year's music June 30 deadline or lowers his UPI Katz See Page 30 says new consumers were 25 years or older, compared to 49.6% in 1989. bid after taking a closer look at Radio Group Prez Sales in record stores slipped from 71.7% to 64.4% during the UPI's books. three -year period, while sales in discount and department stores Gordon Hastings, Despite reports from UPI rose from 15.6% to 20.7 %. management that many firms who explains how Prerecorded Music Profile had sought information, only the mega rep firm four bids were submitted and !Percentage of each year's Robertson's was the only one plans to overcome the current total dollar figure) seeking to buy all of UPI. The advertising slump. 45 other bidders offered only Page 28 40 $12,000 to $125,000 for various 35 pieces of the company. UPI's 30 Convention Update 25 Be sure not to miss these 20 BOWEN'S NOT GOIN' great sessions: 15 Group W Seeks Radio On Radio Ending weeks of intense 10 Common Claus Saturday (6.'13) 4pm speculation, Liberty chief Jimmy 5 A self -analysis and solution - o Bowen has decided to remain at KFWB VP/GM manages oriented session looking at the ROC coming changes in radio - the Nashville label. COUNTRY KTWV; Chlowitz exits ROP,AZ.ei1/, moderated by Larry Kirg and Page 3 KFWB /Los Angeles VP /GM Garry Wall and featuring top C1d551CGOSPE` - 1991 L._J Chris Claus has been given ad- industry leaders interacting with CN1lORENOTNER 989 --' Source: RIAA ditional duties as VP /GM of the audience. neighboring sister Group W Rich Balsbaugh, CEO/ DID VEGAS STATION NAC outlet KTWV (The Wave). Pyramid Broadcasting PLAY BY THE RULES? He succeeds veteran radio ex- Jay Cook, President' London To Head A &M Black Div. ecutive Allan Chlowitz, who Gannett Radio Division Country KWNR /Las Vegas's leaves the station. Mel Karmazin, Pres dent/ Longtime pendent distribution system. Claus told R&R, "Westing- stunning upset of rival KFMS is CEO. Infinity industry exec- With the partnership of Per- house Broadcasting simply de- Broadcasting clouded by an Arbitron -related utive Miller spective and Tabu, A &M has cided to consolidate the two sta- controversy. The key question: London has LONDON %See Page 30 tions. It's our goal to put KFWB joined A &M & KTWV under one roof as ONLY 4 WEEKS TO GO. Did a KWNR newspaper ad Records as quickly as possible. We're be- soliciting past diarykeepers Sr. VP/GM of ginning that process now. Marketing Music the label's Ur- "At the same time, Group W distort the ratings? Weatherly Reigns In The '90s ban Music felt it was appropriate to create Friday (6/12) 1:30pm Page 48 Dept. He will As KROQ /L.A. PD one GM position for the two sta- Idea -packed session for pro- direct all Ur- tions. We've made a similar motion, marketing, sales and ban market- K e v i n consolidation in Boston: [N /T] product development execs. ing and pro- London Weatherly, PD WBZ Radio and WBZ-TV are R &R Sales & Marketing column- IN THE NEWS... motion efforts on behalf of A &M at Edens CHR now under the direction of one ist Chris Beck will show you NABOB urges FCC to drop and its Perspective and Tabu KKLQ (Q106)/ GM. The Wave's been success- how to generate better sales subsidiaries. San Diego, ful with its unique format, and with on -air and off -air promo- ownership proposals "Miller's vast experience and has resigned we have no other plans to tions, working with radio sales Ken Lane VP /Promo at ERG sense of teamwork are essential to accept the [change] the station." managers, and by maximizing to our success. I'm thrilled to PD post at In- Regarding Chlowitz, Claus retail mar- Ronnie Dashev named Exec. advertising and new have him with us," remarked finity New remarked, "The company has keting options. VP at Maverick A &M President /CEO Al Ca- Rock pioneer good feelings about what he ac- David Linton VP /R &B Promo faro. KROQ /Los complished. I know he'll land For complete London observed, "I had a Angeles, ef- somewhere appropriate." Convention registration at PLG close vantage point from which fective June 1. Weatherly Claus said the company is ex- and schedule details, Charley Lake VP /Pop Promo to watch and appreciate A &M He replaces Andy Schuon, who ploring the possibility of moving during the years I spent work- was named VP /Promotion at the Wave from its Sunset Blvd. see Page 9. at Motown ing Motown through the hide- MTV. WEATHERLY /See Page 30 CLAUS /See Page 30 Page 3 Newsstand Price $6.00 www.americanradiohistory.com mo' grooves. mo' stars. mo' money. LUTHER VANDROSS AND JANET JACKSON W 1 TH S P E C 1 A L G U E S T S B B D A N D R A L P H T R E S V A N T tbebest thpgsin life are The first single from CHR BREAKER the forthcoming Most Added! 144/144 Mo' Money origine P1 c T Debut Urban B AKER e motion pic undtrac #1 Most Added! 9/69 1 lirmProduced by Jimmy Jam & Terry Lewis I Luther Vandross appears courtesy of Epic Records. Janet Jackson appears courtesy of Virgin Records. BBD (Bell, Biv, Devoe) appears courtesy of MCA Records. 0 Ralph Tresvant appears courtesy of MCA Records. 1992 A&M Records. Inc. All rights reserved. ® 1992 Columbia Pictures Industries, Inc. All rights reserved. www.americanradiohistory.com NABOB Asks FCC Schwing! To Dump Rules New regs called MAY15, 1992 `unfair, unfounded' The FCC's new radio ownership BIG MOVE ROCKS L.A. AC BATTLE limits should be abandoned be- cause they're unfair, unfounded, Aggressive telemarketing and TV campaigns and improperly eliminated one of helped KBIGIL.A. end crosstown KOST's the Commission's minority owner- four -year 25 -54 stranglehold. Mike Kinosian ship policies, according to the Na- tional Association of Black -Owned has details, along with AC profiles of New Broadcasters (NABOB). York and San Francisco. In a petition urging the FCC to Page 40 reject the new limits, which are scheduled to take effect August 1, NABOB contends the agency has offered no evidence to support its FEATURES claim that relaxing the national It was party time (excellent) for "Wayne's World" stars Mike Myers and and local ownership limits will help Dana Carvey when they received platinum awards for the film's soundtrack. RADIO BUSINESS: FCC to approve hoax rule 4 the troubled radio business. Exchanging kudos are (l-r) Warner Bros. Chairman Mo Ostin, Carvey, NEWSBREAKERS 10 "The Commission is attempting "Wayne's World" and "Saturday Night Live" producer Lome Michaels, and OVERVIEW to put `the cart before the horse,' " Myers. NABOB claimed. "First, it pro- MANAGEMENT: Leading by teaching 16 poses to radically change its local MEDIA: Dees dazed l 18 and national ownership rules, and LIFESTYLES: Latest listener survey results 19 then it will find out if there is any STREET TALK: WPHR /Cleveland's new mix 20 record which could justify such ac- TIMELINE 26 tion." In fact, the petition states, Bowen Stays At Liberty R &R INTERVIEW: Katz Radio's Gordon Hastings ..