NEWSSTAND PRICE $6.50 AUGUST 9, 2002 Rock Radio Gets Very Disturbed Make Sure Your Message Is Heard! Disturbed grab Most Added honors at three formats In today's overcommunicated society, it's very difficult - Rock, Active for any single message - Rock and Alternative including those from radio - th s week with stations - to make an "Prayer," the first impression on consumers. s ngle from their This week John Parikhal forthcoming album discusses the strategies and Believe. Disturbed tips that will help your are also featured in marketing strategy cut this week's Active through the clutter. The Insight, Page 79. www.radioandrecords.com story begins on Page 1. www.americanradiohistory.com R&R CHR POP D 146 Already Over 1,000 Spins at Top 40 (+422) including: 11 RHYTHMIC MONITi WKST/Pittsburgh 86x CROSSOVER MONITOR 23 INWHT/Syra use 70x WKHF/Harrisburg 61x New York 65x KFlYlDJlJenver 42x Ir ica o 50x WflJifIampa 42x \ FrJirijïjr 45x W DOW Palm Beach 42x W KF/Dayton 42x rifiTfr in 40x 1SC/Chicago 40x riFF/r.F,F:ffir, 45x W FS/Cincinnati 30x [7 I r 55x *HT/Washington D.C. 25x HTS/San Diego 20x 1 UC/Las r;GF:, 56x VVHYI/Miami 20x WNVZ/Norfolk 55x 4.0111XXL/Orlando 20x 6- WKSE/Buffalo 18x ATU R I D ACARI THE JCINT FROM HER NEW ALBUM ANIMAL HOUSE ALBUM COMING THIS SUMMER ..,RACINIDAUGCEEmDEBNY,RAIC.7, AO LC HJED 1. HEANRTI EC RK C JE INCN C WWW.ANGIEMARTINEZONLINE.COM WWW.ELEKTRA.CON 2002 ELEKTP 0 El. TEPTANMENT GROUP NO WANNER MUSIC GROUP. AN AO/ TIME WARNER COMPANY ON ELENT,A 00.4PACT DISCS ANO 1111111 www.americanradiohistory.com AUGUST 9, 2002 ! N S D E Q2 Earnings Continue To Roll Entercom spurred by ratings growth, improved ad market; Radio One turns profit, beats street management marketing sales BY Mows Zacux per share rose a penny to 35 cents Gettirg your message across in today's R &R WASHINGTON BUREAU [email protected] and met Thomson First Call ana- society is a serious overcommunicated lyst estimates. Net revenues in- problem for every marketing expert. John Despite continued volatility in the stock market, a host of radio creased 15%, to $108.5 million; this issue i T Parikhal explores important broadcast cash flow gained 18 %, our Management, Marketing & Sales companies provided investors with reasons to have faith that the to $47.8 million; and after -tax section, which begins on this page. Also $29.1 sector is bouncing back. Several cash flow grew 10%, to this week, Walter Sabo asks and - radio companies reported im- million (59 cents). answers today's top question: "Wha "'s - coir. proved quarterly earnings, with On a same -station basis, net wrong with radio ?" His answer? The www. radwandrecords. only one media company - revenues increased 6% and BCF MMS section also has rates! This week's whose primary business isn't ra- climbed 7%. Entercom - which installment of Countdown to the BCF another dio - showing a significant loss. said its quarterly revenue, People Meter, and sales consultant Irwin More Than 600 Clear Channel Helped by ratings growth and ATCF were the highest in its Pollack offers you the first 30 questions and an improving advertising 33 -year history - expects Q3 you reed to ask a client. market, Entercom's Q2 net in- revenue of $102 million, BCF of $42 million and ATCF of 54 Pages 1, 10 -15 Employees Dismissed In June come rose from $9.9 million (21 cents per share) to $16 million cents per share. Additional layoffs pending from Ackerley (32 cents). Before an accounting EARNINGS /See Page 34 AIR PERSONALITY THEME ISSUE merger; lawsuits with Inside Radio settled change, the company's earnings In conjunction with the annual Morning BY JOE HOWARD Show Boot Camp happening this week in RAR WASHINGTON BUREAU was paid to the restructuring New R &R's format editors [email protected] related to severance. Orleans, reserve PART FOUR OF A FIVE -PART SERIES discuss all things air talent. You'll read Although Clear Channel In an effort to address the profiles of highly rated morning shows, shook one monkey off its recent trend of corporate ac- stories of successful syndicated efforts, back last week by finally counting irregularities, Clear Cutting Through In An top tips from consultant Tommy Kramer, a reaching a settlement in a Channel management made it view of management perspectives and a long- pending legal battle, a point to personally attest to great article - beginning on this page - news that the company has the company's financial data . Overcommunicated Era about a Dallas air personality and her laid off hun- ' of em- 67,112 BY JOHN PARIKHAL change your mind, get efforts to get her listeners to read more dreds CLEARCHANNEL ployees this RADIO parikhal @aol.com you to buy or change books. summer was worsened by an Chairman/CEO Lowry Mays ' If you hate tele- your behavior. As a re- admission that it may lay off said he and CFO Randall marketers or tune out as sult, people are devel- IN THE NEWS many more. Mays have signed sworn soon as you hear a oping increasingly so- Clear Channel said in an statements that the company's commercial on the ra- phisticated ways to fil- dio or hit "Mute" when ter out the noise. 1 it laid most recent filings con - Chick Hearn, legendary Aug. SEC filing that SEC off 630 employees in June tain no "material errors or you see a commercial on Technologically, we basketball announcer. dies and that another 170 layoffs omissions." TV, you're not alone. use caller ID to keep Steve Stiles becomes are pending all related to Lowry Mays released a You're living in the the home -invasion - at bay. FD of WNUA/Chicago the restructuring associated statement saying, "Clear overcommunicated telemarketers world. Psychologically, we with the company's merger Channel has always operated ParlkhaI WLCE/Philadelphia flips with Ackerley. Clear Channel openly, honestly and fairly, The overcommunicat- practice "instant amne- t] gold -based AC WSNI reported that the June merger and we are proud to sign ed world is characterized by a re- sia," and we forget things as soon lentless demand for your atten- as we hear them. Ted Stecker becomes set it back $40 million in re- these statements personally. and that, is pleased to tion, usually without giving any- But in a marketing- driven OM for KSCS /Dallas structuring expenses Clear Channel during the first six months of thing back. overcommunicated world, mar- Page 3 is more than the year, about $8.9 million CLEAR CHANNEL/See Page 18 The overcommunicated keting important world is filled with noise - thousands of messages trying to See Page 10 CHR/POP MRIL LAVIGNE Radio Stocks Hit Complicated (Arista) Velasquez Erupts Jessie's Book Club CHIR/RHYTHMIC As Lava Records Five -Year Lows IELLY/KELLY ROWLAND Dilemma (Fo' Reel/Universal) Move over, Oprah, Alternative has Jessie Sr. VP /Promotion is a BY ADAM JACOBSON URBAN BY JIM KERR This great radio story RAR RADIO EDITOR RAR ALTERNATIVE EDITOR about both, a calculated risk ajacobson @ radioandrecords.com NELLY Hot In Herre (Fo' Reel, Universal) Lisa Velasquez has been ap- [email protected] and the ground swell of pub- pointed Sr. VP/Promotion for Five radio companies were OF BAN AC In radio, calculat- lic support that devel- Lava Records. downgraded on Aug. 2 by to USIO Haltcrazy (Del Soul/IDJMG) ed risks can lead to oped for it. She was previ- Wachovia Securities analyst Jim big successes. Being It takes place in Dal- CLUNTRY ously VP/Pop Boyle, and investors heeded the person who las, where Jessie Jes- NENNY CHESNEY The Good Stuff (BNA) & Crossover Boyle's recommendations by launches and over- hosts afternoon Promotion for sup dumping their shares on Monday. AC sees such a project is drive on ICDGE (The Atlantic Rec- The result was a drop of 13.91 the CELINE DION A New Day Has Come (Epic) one of the great radio Edge). Jessup's idea ords. She has R &R composite index, which experiences, espe- was simple: She de- also worked at finished the day at 139.39 its HIT AC cially if you face re- veloped a monthly - the EastWest, lowest level since July 1997. AVRIL LAVIGNE Complicated (Arista) sistance along the book club. Perhaps RCA and Is- While Boyle may be to blame way. that doesn't seem like SMOOTH JAll land labels. for Monday's malaise on Wall Velasquez However, there that big a deal, but we .0E SAMPLE X Marks The Spot (PRA/GRPNMG) "Having had Jessup Street, the R &R index's dreadful are also things that aren't talking about an the pleasure of working alongside finish that day only punctuated ROCK develop purely on their own, NPR station or even a Talk sta- Lisa while at Atlantic Records the steep decline in radio issues RED HOT CHILI PEPPERS By The Way (Warner Bros.) increasing in momentum tion; we are talking about an makes this appointment all the seen over the last two months. As while the participants just Alternative station. ;. IVE ROCK more sweet," Lava founder Jason of Tuesday's close, which saw an scratch their heads and enjoy You may still not consider lED HOT CHILI PEPPERS By The Way (Warner Bros.) Flom said. "Her highly moti- improvement that almost erased the ride. As rare as a calculat- this to be a big deal, but. vated and results- oriented ap- Monday's losses, the index was c 'NYE ed risk is in radio these days, through luck and hard work.