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Infinity Goes Private

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Infinity Goes Private I I10 S I D E: Hughes President At NEW COMPARATIVE Ragan Henry Group RENEWAL RULES COMING Woodward VP /GM At WXTR, Kidwell FROM FCC? VP /GM At WEZS Bob Hughes, who had been A scheduled meeting next week GM of Ragan Henry National may well start the ball rolling at Radio's Gold WXTR -FM /Wash- ington for the past 18 months, the Commission for streamlined has been named President/ comparative renewal rules, COO of the parent company. possibly including greater Hughes had also supervised op- protection erations at Henry's WEZS/ for licensees against Richmond and WWIN & unfounded or frivolous challenges. WGHT /Baltimore. He will be Page 6 replaced as WXTR VP /GM by Bob Woodward, previously GSM of the station. In addition, Hughes has named Don Kidwell SPARKING SENIOR Bob VP /GM of WEZS. Hughes SALESPEOPLE Ragan Henry National Radio LP is a newly- formed entity If a LARGEST RADIO DEAL EVER salesperson stops growing. sooner that will assume control of all or later (probably sooner) he stops six Ragan Henry stations, selling. Motivating and redirecting senior which are currently held by salespeople is one the trickiest Infinity Goes of Private various Henry- controled lim- propositions a sales manager must ited partnerships. As Presi- attempt, but it's also one of the most dent/COO, Hughes will he re- rewarding. In $484 Million Deal sponsible for day -to-day over- Page 12 Infinity Broadcasting 's top A stock would receive $30 per The company's top execu- sight of the stations while he managers say they want to take share in cash, about $175 mil- tives own 4.2 million Class B continues to work closely with the company private with a $484 lion. Holders of its 7 1/4 percent shares, valued at about $125 Henry on new acquisitions. Al- million buyout bid, the largest convertible subordinated de- million, which will be con- though Henry is based in Phila- transaction in radio history. bentures would receive $1052.63 tributed to WCK in exchange for delphia, Hughes will, at his re- RADIO ON THE BRAIN: The proposal was made last in cash for each $1000 in princi- cash and stock. That stock rep- quest, operate out of a Washing- ATTRACTING LISTENERS week by WCK Acquisition pal amount of debentures. This resents about 87 % of the com- ton office. Corp., a company formed by In- represents $30 per share on the pany's voting power. "Bob Hughes is a big believer THE LATERAL WAY finity Chairman Michael 1%ein- shares into which the deben- Founded in 1973, Infinity is in research." Henry told R &R. They call it "hemispheric er, Co-Chairman Gerald Car - tures are convertible. The buy- one of the nation's largest radio "With the help of that research, iateralizatiion," but all it means is the rus, and President/CEO Mel out price represents a 45% pre- companies with 15 stations in 11 he has established quite a track left side of the brain is more verbal Karmazin. mium over the June 7 closing markets, including the top ten record in deciding what we and reports what's going on, while price of $20.50 per share. In ad- cities. The stations are WJIT & should be doing at our stations. Under terms of the manage- the right side is intuitive and dition, WCK would also assume WXRK /New York, KROQ /Los So, in picking Bob, I'm picking ment buyout, the 5.8 million outstanding debt totalling about Angeles, WJJD & WJMK /Chi- someone who has been a winner handles pictures and music. The holders of the company's Cass $184 million. cago, KOME /San Francisco- for us." trick is to get your station noticed San Jose, WYSP /Philadelphia, "Our goal is to built a quality by the left brain. Researcher WOMC /Detroit, WBCN /Boston, broadcast group," said Hughes. Carolyn Moyer suggests some Investment Bankers Buy KXYZ /Houston, KVIL -AM & "We'll do that by doing two methods: FM /Dallas, WQYK -AM & FM/ things: serving our listeners Avoid repetition, emphasize Dorton,Replace Management Tampa, and WBMW /Washing- and serving our customers." variety in promos & ads Mayo, Simonson Head Company ton. INFINITY /See Page 29 HUGHES /See Page 29 Schedule promos & IDs just after A New York investment bank- by Dorton, who joined the firm a super -popular song ing group says it is taking over in January 1987 after serving as BLACK MUSIC HEAD Use humor, innovation, and Detroit -based Dorton Broad- the head of Gannett Broadcast- controversy to attract notice casting Inc. for $68 million in ing. If you can get listeners' left brains the wake of a boardroom coup The investment group has Rodriguez Becomes engaged, they'll have much more that has led to the rejection of a raided the top executive ranks conscious recognition of your rival buyout bid and the ouster of RKO Radio's New York oper- station's messages. of company CEO Joe Dorton. ations for veteran pros to man- Columbia Sr. VP Page 34 "To be totally honest with age the company. Current Columbia VP /Black Music & you, it came as a total surprise WRKS /New York VP /GM Jazz Promotion Ruben Rodri- to me," Dorton said. "I think I Barry Mayo will become Presi- guez has been elevated to the got into a squeeze play between dent of BPI. Lee Simonson, the newly- created post of Sr. VP/ MIDDAY TALK: AM SOLUTION? two rival investment bankers current VP/GM of WOR /New Black Music. He's been with the who were both shareholders. York, will become BPI's Exec. label since early 1986. AM Full- Service ACs frequently score big "My whole attitude is that the VP /COO. Rodriguez, who reports morning ratings, only to watch to their shareholders had a lot of faith in DORTON /See Page 29 CBS Records Division Presi- middays tumble into the doldrums. me, and they should be taken WHDHIBoston 's Ed Lennon and KFII care of first," Dorton said. L.A.'s Ken Kohl discuss their strategies "That's why I'm going to bust CBS /Nashville Fanfare of moving talk hosts into the gap. my butt to make everything For Top Execs Page 52 successful for them. I want to Ruben Rodriguez hand it to them on a silver plat- dent Tommy Mottola, will ter when they take over." oversee all aspects of Colum- bia's black music activities, in- The five -station chain will WHEN DO CONSUMERS BUY be cluding marketing, promotion, acquired by Broadcasting Part- product management, artist MUSIC? ners Inc., new a company form- development, sales, publicity, ed by Morgan, Lewis, Githens & Saturday's the big day for buying music, and video. Ahn, a New York -based Mike Shalett finds, with the 1st and the invest- Mottola commented, "Colum- ment banking firm special- 15th of the month, no great surprise, that bia's success in the black music izes in leveraged buyouts. scoring highest among calendar dates. Sta- field under Ruben's direction tions included in the deal Weekends are has been nothing short of spec- were also made for concerts, WBMX /Chicago; WCZY /De- tacular." He added that the with the end of the month showing as troit; KSKY /Dallas; and WGIV CBS Records Group President Walter Yetnikoffand Record Division President Tommy Mottola were department reorganization will the peak attendance time. & WPEG /Charlotte. two of the most illustrious visitors to Nashville's annual Fan Fair festivities. Pictured at a /Nashville allow Rodriguez "to expand his Page 35 The purchase is expected to CBS affair are (l -r) CBS MR exec /producer Steve Buckingham, artist scope, and enable us to better be completed in August The Ricky Van Shelton, Mottola, CBS/Nashville chief Roy Wunsch, and coordinate all aspects of this Newsstand Price 55.00 company will continue to be Yetnikoff. More Fan Fair photos: Pages 53 -54. music." managed during the transition RODRIGUEZ/See Page 29 www.americanradiohistory.com r, Paid " e, Oct{ .L.11) .1k/et/VIA of Flying" Columbia Lo "Secrets Taken from the Lp IS the Columbia RECORD Taken from Trent Darby" THIS MOST ADDED Hardline according -BOUN "Introducing the BREAKER Fast! Top Tens! And Closing Including These 197 Stations Strong 123 Stations, Z93 11 -7 CHR e PW R99 1 -1 15 At: WHYT 10-9 Already Top HOT 103 3 -3 WXKS 9 -9 17 -13 Z100 5 -4 20 -3 WHYT WFLY 11 -9 PWR 99 19 -14 KMEL 8 -6 -7 WBCY KMGX 12 -9 FM102 11 18-14 WPGC 8 -6 -10 KQKQ PWR95 8 -7 B96 14 -10 Z93 14 24 -15 WTIC 26 New Stations! KITS 14 -11 .. And Added At WGH 17 -13 I f ^ e- i)t iuf 60,1 (0 Seventh One" Qp-CtAe- t The Lp. the Columbia " ) Taken from " Hangiñ Tough" the Columbia LP- Week! Taken from Nom! -Digit Of The Summer Another Double RECORD KZZU The HOTTEST KISR add Add WKTI 29 -25 Q98 WPFM add KNAN add WXKS add 36 KQIZ KRBE deb KPLZ WZOU add 40 WPFM WJMX 18 -16 WERZ add- add add WPGC UUB WGH 34 -27 (HOT) WQUT Q101 add KMGX KOZE add KMEL deb 40 KSND add WHSL pWR96 add KLUG SLY96 add KYRK add K104 deb 39 99KG add add WDBR KXX106 KáK OK100 KIPS deb 34 WTNZ add KTRS KKFR KAKS add deb 38 add 95XIL KQMQ WCGQ add OK95 Here's the Proof you need to add it now! r , If tcac/e to ou R&R UC Chart G EG B i COiumoa" RI are trademarks of CBS Inc 1988, CBS Records Inc.
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