1.11111Ims Volume 15, Issue 47
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November 30, 1998 1.11111ims Volume 15, Issue 47 VOICE OF THE RADIOBROADCASTING INDUSTRY® 1-rTY771" .11111 Acoustics FCC wavers on waivers-radio-TV combos in trouble 2 The FCC is drawing upnew, what you might call"irregulations" which would limit Architecture the size of a radio -TVcombo-and some in Congress are not happy about it. TV LMAs are in the FCC'scrosshairs 2 Consoles Player #3 tries to getinto the OARS wars 3 Food for thought: Repeatcustomers responsible for new business 3 In like Flynn: Ex-politico/ambassadorkicks off radio show 3 Revolving door at thecourthouse: American View in, WW1 out 3 Engineering CBS, Chancellor topthe top groups in the top markets 6 IT1 .11INT` Ergonomics tr7 " " " " I n J111' Newspaper continuesits long slide:Times looks to go national 4 ZDTV gets Vulcanized; wireless cable bleeding unchecked 4 ntegration Bottom line: Growingnet for the Internet 4 MIN I 1,I 1 1/ . 1AI1r.111I 1 I 1 1/11.'1111-13 131,.1=11. 1/,1117...1,1 1 111:1113111,'I Furniture NMIMIMI 111.1k1.11-1 g n Sports format comesof age, racks up big totals 7-10 Stricken by the strike: Station hopes hinge on hoops 9-10 Peripherals Sports: Making the mostof theestrogen factor 10 1.1.1.V.11 W.L.M 1111 .1.11 1:1111111111,:=1jilA.1AAal-J11.111,111-111.117,Iti13,111.. Patch Bays Westower adds siteacquisitionand tower construction companies 11 Retlaw's TV group hooked by Fisher 11 Supervision OmniAmerica's board gives thumbs up to American Tower merger 11 V I IrS7ITM . r7T71-3-r 1 1 113111, 1 1 1.1:4 1131111.7.71 1 1 III a I 11 11:11J a 1..11111-In._. Wiring Citadel picks up Wicks for $77 Million 12 Larry Wilson can add pegs on the national Arbitron map in Charleston and Binghamton, plus he'll add some strong players in unrated parts of Indiana. Albuquerque: Simmons grows as Trumper kisses off KKSS 12 Tele-Remedia? Eastern group reborn in the West 12 More than 100 man-years Allowance day for Children's-Blaya set to close on big -market AMs 12 )f frontline experience. WOTS up, Doc? Torrado picks up steam in Orlando 12 Tht's the kind of ystelli Taking a Napa: Moss grows on Young combo 12 brin[s to Clearance Channel: Your Jacor-CCC holiday shopper's guide 13 acuity come from 2,-) :car of hilidip,111...\' overrim,, And 110 PATRICK(ICOMMUNICATIONS )Oil iti!Iq. (,0111;w111,:il WV\ \A,I)11'.(1)11, Station Brokerage ,,ale.yupre.com or uNII Debt & Equity Placement F, at 760-138-3911 Fair Market & Asset Appraisals Expert Witness Testimony ( 410) 740-0250 www.patcomm.com AI 1 11 R I. 1 F. AIt( II 6F, N (,I N ItI N Jim Carnegie Publisher Cathy Carnegie VP Administration Ken Lee Associate Publisher/GM Ronald Greene Executive Director of Production Jack Messmer Executive Editor John Neff General Sales Manager Dave Seyler Senior Editor Maggie Daley Account Executive Carl Marcucci Associate Editor Beth Dell'Isola Account Executive Frank Saxe Associate Editor Jane Morrison Admin. Assistant Jim Allen Associate Editor April Olson Admin. Assistant FCC considers forcingstation spin -cycle "I would anticipate the heat would be by Frank Saxe turned up considerably," noted Sinclair (O:SBGI) lobbyist Mark Hyman, who Dozens of prime radio propertiesmay overhaul in FCC ownership rules. Yet believes the battle won't be between be spun by some of the top radio faced with growing Capitol Hill furor broadcasters and the FCC, but rather groups, if the FCC makes expected and a huge amount of work, FCC between Congress and the Commission. changes in broadcast ownership rules sources said last week several pro- CBS VP John Orlando agreed, and next month. At the Commission's Dec. posals may be delayed until nextyear. said he has begun hearing "rumblings 17 meeting, it could proposea vast A letter from the Mass Media Bureau about the Commission on following the intent of Congress, which never wanted Radio -TV Overlaps to Chair Bill Kennard (D) recom- mended the delay, said RBR sources. it to clamp down on these things." Group Overlap Markets Preliminary proposals call for a Both Sen. John McCain (R -AZ) CBS New York, Los Angeles, Chicago, change in the radio/TV one -to -a -mar- and Rep. Billy Tauzin (R -LA)are San Francisco, Philadelphia, threatening to hold hearings if the Detroit, Boston, Minneapolis- ket rule, which has allowed owners, via waiver, to own a TV station in addition FCC moves forward. St. Paul, Baltimore and Pittsburgh The Commission is also expected Chancellor* Dallas -Ft. Worth, San Diego, to its full complement of radio stations Indianapolis, Hartford, Austin, in a given market. Sources say the FCC to take up the newspaper cross-own- Grand Rapids and Springfield- is considering capping owners at four ership rule. Insiders expect it to allow Decatur, IL radio stations and requiring the bal- radio -newspaper combinations, but Jacor Cincinnati ance be divested. For one senario un- bar TV -print combos. There aresev- Clear Channel Providence, Memphis, Jacksonville,der consideration, CBS (N:CBS) could eral radio companies that alreadyown Albany/Schenectady/Troy. Tulsa, be forced to spin nearly 60 radio sta- newspapers, including Cox, Belo, Little Rock, Harrisburg/Lancaster Hearst, Tribune, Journal and Pulitzer. and Mobile/Pensacola. tions-while another incarnation would ABC New York, Los Angeles, Chicago cost it as few as 12. Whether the plan TV LMA's under fire and San Francisco will include a grandfathering clause is The FCC is also expected to eliminate Cox Atlanta, Orlando and Dayton still not known. TV LMAs. Sources say the proposal Emmis Terre Haute, IN Group owners are expected to fight would give LMA participants between Sinclair St. Louis, Kansas City, Milwaukee, the forced spins, with court action one and three years to end the arrange- Norfolk, Buffalo,Greensboro/ expected. Broadcasters would likely ment. Cmsrs. Susan Ness and Gloria Winston-Salem and Asheville/ get plenty of support from Congress, Tristani have said LMAs reduce diver- Greenville -Spartanburg where many believe the FCC sity, by allowing large companies to Jefferson -Pilot may once Charlotte again be setting itself up to do battle. further concentrate media voices. Bonneville Salt Lake City "They're pissing off the barracudas "This is the one area that cries out Tribune Chicago on the Hill," said one lobbyist. and has the most impact on the public Journal Broad Milwaukee Several key senators will return to interest," said civil rights attorney David Fisher Seattle Washington this week, and the anti- Honig-who predicted the FCC may Hearst Baltimore FCC rhetoric is expected to pickup sacrifice its clamp -down on other liber- Gaylord Nashville steam. Kennard will likely bepre- alizations, including the one -to -a -mar- *Either Chancellor Media or Capstar sented with a bipartisan letter that ket, to end the proliferation in televi- Broadcasting holdings will express congressional displea- sion LMAs. He added, "Politically, the Source:Radio Business Report database sure with what has been leaked. Commission can't do everything." ©1998 Radio Business Report. Inc. All content may not be reproduced, photocopied and/or transmittedwithout written prior consent. All material is protected by copyright law. Any violations with be dealt withlegally. Publishers of Radio Business Report, Mid -Week News Brief, the Source Guide, Manager's Business Report Subscription Cost S220.00 and the Information Services Group database. Material may not be reproducedwithout permission. EDITORIAL/ADVERTISING OFFICES: 6208-B Old Franconia Road. Alexandria, VA 22310 (or) P.O. Box 782, Springfield, VA22150 Main Phone: 703/719-9500 Editorial/Sales Fax: 703-719-7910 Subscription Phone: 703-719-7721 Subscription Fax: 703-719-7725 Advertising sales information: Ken Lee 703-719.9500 Fax 703-719-9509 Email the Publisher: JCRBRkol.com Email Editorial: [email protected] Email Sales: [email protected] [email protected] [email protected] [email protected] 2 11/30/98RBR A third satelliteDARS RBR News Briefs proponent in thewings Minnesota's Jesse Ventura went 33, Carl Marcucci from wrestling, to radio, to the state :k consortium of companiesholding wireless spectrum licenses in the WCS house. Boston's Ray Flynn has now Sand (next to DARS) has filedwith the FCC to use the spectrum for DARS and gone from the state senate, tothe ,aunch a satellite. An FCCspokesperson says the WCS band was left as an mayor's office, to Vatican ambassador, 1)ption for DARS and a numberof other services including wireless and PCS. to his own radio talk show. WRKO-AM the application should beplaced on public notice by December. PD Kevin Straley told RBR while What about XIVI Satellite Radioand CD Radio? Weren't they under the there is "no contract between us, we are impression that they would be theonly two players in the field, paying $89M both committed to working on the pro- gram in the coming months." In hisfirst and $83M respectively per license? but had interference problems with Saturday midday show, Flynn put down "This spectrum was originally for DARS, published reports which characterized -Canada and Mexico, so it got moved outto wireless communications with the for terrestrial services," said Andrew him as a heavy drinker and a rotten expectation that it would be used ambassador -JA Greenebaum, EVP/CFO, CD Radio (O:CDRD)."We've said publicly that after we go operational andthis market proves to be as big as it may be, a third At press time, RBR learned Seattle - entrant becomes possible, although wefind it difficult to see that happening based The Reseach Group laid off 12 within the first four years of our becomingoperational.