March 2005 Archive
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RNW March comment - Considers how US terrestrial radio should meet competition from new competitors and considers strong local services are best placed to compete.
RNW February comment - Expresses concern about the pressures put on broadcasters by pressure groups, the public and advertisers without any relation to discernibly consistent standards.
RNW January comment - As Michael Powell prepares to leave the FCC, pressures mount for broadcasting regulation, and racially prejudiced and tasteless or offensive comments by hosts arouse outrage, we consider how far we should regulate broadcast inaccuracy, bigotry, indecency and racism.
2005-03-31: UK Emap in an update before it announces its preliminary reports for the year to the end of March - the full figures are due in May - has reported total group revenues up 2% on a year earlier and UK Wireless Group has gone one better and reported revenues up 22% to GBP 39.7 million (USD 74.6 million) and those for its talkSPORT national station up 26% to GBP 14.8 million ( USD 27.8 million) for the year to the end of December.
Emap's overall figure was pulled down by weakness in France where its revenues were down 7%: Other divisional figures were a 3% increase in Emap performance that includes its radio operation, 6% in Emap Consumer Media, and 10% for Emap Communications.
Radio advertising revenues were up 2% for the year and up11% in the final quarter and Emap says forward bookings for radio advertising for the start of the 2005 financial year are reasonable and it expects to continue to outperform the market.
At the Wireless Group, the strong performance of talkSPORT was put down to a boost from the European football championships and a "very strong" third quarter: overall its operating profits, excluding goodwill and around GBP 1 million (USD 1.88 million) of costs related to the legal battle it lost against UK radio ratings company RAJAR, was up 54% to GBP 4.3 million ( USD 8.1 million), with operating profits at its local stations up 21.4% to GBP 6.8 million ( USD 12.8 million).
Overall the group cut its reported loss by 13.4% to GBP 9.7 million (USD 18.6 million).
The group said it was in takeover talks with several would-be buyers including chairman and chief executive Kelvin MacKenzie although these might not lead to an offer for the company.
MacKenzie whose initial nil-premium bid collapsed when his equity backer Veronis Suhler Stevenson withdrew is now said to be attempting a new bid with backing from venture capital firm 3i.
Previous Emap:
Previous MacKenzie:
Previous Wireless Group:
2005-03-31: Former Bay Area morning host Dr Don Rose has died at his California home after several years of failing health.
Rose, whose broadcast career lasted 33 years, majored in accounting at the University of Nebraska and then worked on stations in Omaha, Nebraska, San Antonio, Texas, and Kearney, Nebraska, before getting work in Fort Dodge, Iowa, where he met his wife and took over the morning show.
He subsequently worked in Duluth, Minnesota and Atlanta before moving to WFIL, Philadelphia, where he won DJ of the Year award.
After a successful run there he joined KFRC in 1973, remaining at the station for 15 years and again winning the DJ of the Year award.
After leaving KFRC he worked at KKIS and KIOI before a heart attack on air at the latter forced him into retirement.
CBS 5 report:
2005-03-31: Latest Australia ratings show some good news for Austereo as 2-DAY in Sydney moved up to third place from seventh although competitor DMG's Nova was also up - from third to second.
Macquarie Radio Network's 2GB remained at the top but rival talk station Southern Cross Broadcasting's 2UE was down from fourth to seventh.
In the Sydney breakfast slot, long dominated by Alan Jones, first with 2UE and then with 2GB , talk fell back as Nova and 2-DAY increased their shares - from 10.2 to 10.7 for Nova as it overtook ABC 702 and Angela Catterns to move into second spot and from 6.9 to 9.4 for 2-DAY as it moved from seventh to fourth.
Jones' share was down from 16.2 to 14.6 whilst that for Catterns at dropped 11.5 to 10.,6 and she slipped down a rank to fourth and at 2UE Mike Carlton's share fell from 9.8 to 8.6 and he dropped from fourth to fifth .
There was good news for 2Ue and John Laws in the morning slot as the gap closed on leader 2GB with a combination of Jones to start followed by Ray Hadley after the first hour. 2GB remained top but its share fell from 13.3 to 12.6 while that of 2UE in second place rose from 10.8 to 11.4.
City by city, the top three stations were (previous % share in brackets):
*Adelaide: 5AA 16.8 (14.4) moved up from third; Mix 16.7 (16.7) - down from first; SAFM -14.2 (15.3)- down from second.
* Nova 12.0 (11.1) - remained fourth.
*Brisbane - Triple M with 17.1 (16.5) - same rank; B105FM 12.5 (13.6) - same rank; NEW 97.3 FM with 11.7 (10.8) - same rank.
*Melbourne - 3AW with 13.8 (15.6)- same rank; ABC 774 with 11.5 (11.2) - same rank; Nova with 11.1(9.4) was up to third from sixth.
* Triple M with 10.7 (10.8) - fell from third to fourth.
*Perth - MIX 94.5FM 16.7 (18.3) - Same rank; 96FM with 14.2 (13.2) - up from third;) Nova with 11.3 (11.5)- same rank.
*ABC 720 with 11.2 (11.5 0- was down from third equal to fourth.
* Sydney: 2GB 11.4 (11.7) - same rank; Nova with 9.6 (9.2) - up from third; 2-DAY with 9.0 (7.8) - up from seventh.
ABC 702 dropped from second to sixth with 8.7 (9.5) and 2UE with 8.6 (9.1) was down from fourth to seventh. Austereo's Triple-M remained eighth but took its share up from 7.4 to 8.4.
Austereo said the results for its Today and Triple-M networks were in accordance with its strategy and chief executive Michael Anderson said, "It's very pleasing momentum and right in the direction we'd expect, given the changes
we've made to both networks," he said, "It's particularly pleasing to see Judith Lucy and Kyle and Jackie doing so well after we swapped their shifts with each other [Lacy was moved to drive and the Kyle and Jackie O show to breakfast in Sydney]. Fox FM and 2-DAY are still the most listened-to stations in their markets in terms of cumulative audience."
"The improvements we're seeing in Triple M are also continuing without any significant marketing," he added.
Previous ABC, Australia:
Previous Anderson:
Previous Austereo:
Previous Australian ratings:
Previous Carlton:
Previous Catterns:
Previous DMG:
Previous Hadley:
Previous Jones:
Previous Laws:
Previous Macquarie:
Previous Southern Cross:
2005-03-31: US National Public Radio (NPR) says the audience for its programming has risen by 41% over the past four years to reach more than 23 million a week in Fall 2004, with one in seven adults aged 25 or older and almost a third of college graduates saying they listen to NPR member stations.
Its Morning Edition programme now has a weekly audience of more than 13.2 million, making it the most listened to morning show in the US.
NPR President and CEO Kevin Klose said over the four years NPR had been "one of the few media organizations to expand serious, in-depth reporting of news from around the nation and around the world and added, "Our audience growth is directly traceable to our increasingly unique position as a credible, trusted source of careful and responsible journalism."
…"The strength of NPR also lies with our partnership with Member stations, which are an increasingly meaningful source of local news and content. .. While radio listening has declined and Americans have exponentially more media choices, this new data proves what we've known all along: NPR and public radio stations are a primary source of news, information, and entertainment for millions of Americans."
Previous Klose:
Previous NPR:
2005-03-31: UK media regulator Ofcom upheld no complaints against radio or TV its latest bulletin and only adjudicated one case - a complaint by a regular complainant about an edition of the Jon Gaunt Show on BBC Radio WM who thought comments about taping the programme to "tell tales" about it referred to him when in fact they related to action by a member of the station's staff. This compared to one radio and three TV complaints upheld in the previous bulletin.
All the other complaints were rejected or held to be out of remit. They totalled 184 TV complaints relating to 149 items and 19 radio complaints relating to 18 items compared to a corresponding 126 TV complaints against 154 items and 25 radio complaints against 28 items in the previous bulletin.
Previous Ofcom:
Previous Ofcom broadcast bulletin:
2005-03-30: The BBC says its re-launch of its Radio Player at the end of January has boosted requests for on-demand listening to its radio networks; In February requests for on-demand listening were up more than a quarter on January to a record nine million requests.
In terms of listening hours however, on demand rose by only 5.7% over January whilst live listening was up 33.7%: Figures were still affected to a degree by server problems in December last year and January that affected live listening and skewed the earlier figures towards on demand services.
In terms of individual programmes, six of the top ten was from BBC Radio 1, three from Radio 4 and one from Radio 2.
The top five on-demand programmes were the BBC Radio 4 soap The Archers with 354,401 listeners in February followed by Chris Moyles breakfast show on BBC Radio 1 with 347,796; Essential Mix on BBC Radio 1 with 188,573 (up from fourth); The Essential Selection on BBC Radio 1 with 174,925 (Up from fifth) and Dance Anthems from BBC Radio 1 with 146,216 (Up from sixth: Just a Minute from BBC Radio 4 was down from third to seventh.)
In terms of network listening in January this year, the rankings were (listening hours-live plus on-demand- in brackets):
Radio 1 (3,190,062);
Radio 2 (2,217,349);
Radio 4 (1,934,504);
BBC 7 (929,523);
Radio 5 Live (858,993);
6 Music (594,112);
Radio 3 (592,321);
1Xtra (538,307);
Asian (179,133);
5 Live Sports Xtra (57,262);
Previous BBC:
Previous BBC Online figures:
2005-03-30: Clear Channel has promoted Lisa Dollinger to the newly created post of Chief Communications Officer. She joined the company in 2003 as Senior Vice President of Marketing and Communications for the company's radio division and was named Senior Vice President, Corporate Communications later that year.
Clear Channel says that in her expanded role Dollinger will "provide executive leadership for the company's communications initiatives, acting as chief communications strategist and spokesperson for the global media and entertainment company."
In addition Dollinger will direct corporate communications and branding, reputation and issues management, strategic positioning of the company's diverse global assets, media relations, consumer viral marketing, strategic sponsorships and employee communications and will work with executive management on litigation, public policy and financial communications.
Commenting on Dollinger's appointment, Clear Channel President and CEO Mark P. Mays said in a statement, "Two years ago, our company was largely misunderstood and fabrications were accepted as fact. Through Lisa's unfailing instincts and creative leadership, our company is known today as an innovative leader and positive change agent in all of the businesses in which we operate. She's a consummate team player and a valued advisor."
Previous Clear Channel:
Previous Mark Mays:
2005-03-30: Scottish Radio Holdings (SRH) in a trading update says its like-for-like radio revenues were up 3% in the half year to the end of this month with overall group revenues up 11% within which overall radio revenues were up 13% and press revenues were up 7%.
It puts the increase in radio revenues down to a 9% growth in local advertising, partially offset by a 4% decline in national advertising revenue, allied with an 8% growth in sponsorship and promotions income.
SRH shares ended the day up just less than 1% at 957 pence valuing it at around GBP 344 million (USD 645 million).
The price anticipates a possible bid, particularly from Emap, which holds 27.8% of the company, which it bought from SMG last year (RNW Jan 17, 2004).
Emap, which is due to publish an update today, has attracted a favourable report from a review of its prospects by broker Teather and Greenwood according to CityWire.
The broker expects Emap shares to rise around 14% over the next twelve months to 955 pence and says speculation is that it will soon make a bid to take over SRH.
Previous Emap:
Previous SRH:
CityWire report:
2005-03-30: Boston public broadcaster WGBH has appointed Marita Rivero, its General Manager for Radio since 1988, to the new post of General Manager for WGBH Radio and Television.
The role gives her responsibility for programming and operations of WGBH's two radio services, WGBHFM and The Cape and Islands NPR Stations, its two broadcast television channels, WGBH 2 and WGBH 44, as well as six new television services, and the broadcaster's Web site, wgbh.org.
Previous WGBH:
2005-03-29: The battle lines over US "indecency" legislation seem to be forming with a report in the New York Times that new US Federal Communications Commission (FCC) chairman Kevin J. Martin appears to favour suggestions by Alaskan Republican Senator Ted Stevens that indecency legislation should be extended to cover subscription services and the introduction by Vermont Independent Rep. Bernie Sanders to prevent such an action.
In support of its contention the New York Times quotes a letter sent in December 2003 to L. Brent Bozell, president of the Parents Television Council, the pressure group that in some cases has been responsible for campaigns connected to virtually all the complaints against some programme.
The quotation does allow wriggle-room, saying, "Certainly broadcasters and cable operators have significant First Amendment rights, but these rights are not without boundaries. They are limited by law. They also should be limited by good taste."
Martin and Democrat Commissioner Michael J. Copps have expressed hard line sentiments about indecency and the paper quotes one example of a TV show in which Fox TV was not penalized for transmission of an episode of the "Keen Eddie" show.
According to the FCC ruling, to which Martin and Copps issued dissenting statements, the episode included a plot about trafficking in horse semen on the black market and "according to the video tape provided by Fox, three men apparently hire a prostitute to 'extract' a horse's semen for the artificial insemination of another thoroughbred horse."
"Neither the script nor the images describe how the prostitute will accomplish this task," it says and refers to a scene in which the prostitute is shown standing over a collapsed horse and "explains that she tried to arouse the horse by lifting up her shirt, but she is never shown doing so. She states that when she did so, the horse collapsed and died."
In its ruling, the Commission said, "… the material contains no graphic or explicit dialogue, discussion, depiction or description of any particular sexual or excretory organ or activity. In addition, the characters do not dwell on or repeat at length any references to specific sexual or excretory organs or activities. The woman is at all times fully clothed, and is never seen touching or even approaching the horse. The entire episode lasts less than 28 seconds. Finally, the scene does not appear to have been intended to pander, shock, or titillate. While we understand that some viewers may have found the subject matter of this episode to be offensive, we have repeatedly held that subject matter alone is not a basis for an indecency determination."
Two of the Commissioners agreeing with the decision, Republican Kathleen Q. Abernathy and Democrat Jonathan S. Adelstein commented that they were "compelled by the Constitution not to overreach our limited authority in this area and impose our taste and personal judgments on the rest of America. If we overstep our authority, we run the risk of having our limited authority curtailed forever. As parents and Commissioners, we have carefully applied the law with the long-term sustainability of our enforcement authority in mind.
Martin in his dissent said the majority admitted the programme "contains references of a sexual nature that were broadcast at a time of day when children were likely to be in the audience" and goes on to say that they nevertheless conclude "that the program, in which a prostitute is hired to sexually arouse a horse by removing her blouse and to 'extract' semen from the horse, is not indecent because the prostitute is 'never seen actually touching' the horse."
"Despite my colleagues' assurance that there appeared to be a safe distance between the prostitute and the horse, I remain uncomfortable," he concludes, adding, "I respectfully dissent."
Sanders, whose Stamp Out Censorship Act of 2005 would prohibit extending FCC authority to subscription services, said in a news release, "There is a growing culture of censorship in this country that needs to be ended. First they went after broadcast television and radio and now they want to censor cable, satellite and the Internet. The bottom line is that government commissars should not be the arbiters of what Americans see and hear, especially over cable, satellite and the Internet -- all of which people have to pay for in order to receive."
"We don't need the FCC bleeping Tony Soprano or Jon Stewart," he added. "Allowing the FCC to regulate these venues would, in affect, permit the government to control what content people can purchase. That offends basic American principles of freedom and liberty that are the foundation of our democracy."
RNW comment: We remain unclear after reading and re-reading the New York Times report on the crucial issue of whether Martin is in favour, as are some politicians including Alaskan Republican Senator Ted Stevens, of the idea of extending broadcast indecency and profanity rules to cover subscriptions services or whether he is one of those who favours the idea of using technology such as the TV V-chip to block certain programming, an approach that some lawmakers say has been ineffective.
In our view Abernathy and Adelstein were correct to assess the matter of one of not overstepping the Commission's limited authority and impose their taste on the rest of America.
We do not know if they are right to suggest that if they did so they would risk the Supreme Court curtailing that limited authority forever but would certainly consider that a much better solution than exceeding to the demands of the demented or humourless to censor. As we understood it, "Keen Eddie", which did not last long, was intended to be "drama/COMEDY" so we would deduce that the episode concerned - aired at 9P.M. according to Bozell's testimony to a US Senate Committee - was intended to be a spoof!
We also, as we have done in the past, feel that if a society is to be one of laws, then the laws have to be applied on the basis of the manner in which they have been laid down and not on the basis of a subsequent amendment of decisions - as in the Bono Golden Globes Award ruling where we think in terms of any normal use of language the commission perversely overturned the decision not to rule against the incident by its staff to pander to particular short-term political pressures.
If Martin is playing a political game by expressing support for something that he knows would be thrown out on First Amendment grounds but that he doesn't expect to have to back clearly and openly, it's a tactic that we think is understandable but deserving of contempt.
If he intends to try and devise clear rules that are harsher - as are the penalties currently being proposed with their ten-fold increase in the amounts that can be levied - then it is a matter of enacting them so as to remain within the US Constitution and the only sensible path is to withhold judgment until details become clear.
Our instincts however are with Sanders and we would hope that if push came to shove the Supreme Court would unequivocally throw out any extension of censorship to paid services as in breach of the First Amendment.
Previous Abernathy:
Previous Adelstein:
Previous Copps:
Previous FCC.
Previous Martin:
Bozell testimony:
New York Times report:
2005-03-29: Looking at impending consolidation in the UK radio sector and particularly the formation of GCap Media from Capital Radio and GWR to form a group more than twice the size of its nearest commercial rival, the UK Times says the main problem for the group is that it will still be small - capitalized at around GBP 660 million (USD 1.25 billion) compared to USD 18.6 billion for Clear Channel - and is facing the might of the BBC.
Commercial radio in the UK says the report, "has long suffered from a miserly allocation of spectrum compared with the Beeb and, until recently, a regulatory system that balkanized the industry, preventing it from competing financially."
It notes that the BBC dominates radio listening with a share of around 54 per cent and that its top-rated station Radio 2 with a 13.3 million figure in the latest ratings reaches more than twice the weekly audience of 6.2 million for GWR's national franchise, Classic FM, although BBC classical station Radio 3 is well behind with only 2.1 million: The rest of the Capital and GWR empire it says is essentially local.
In regard to taking on the corporation it quotes Ralph Bernard, executive chairman-designate of GCap, as saying, "It's very clear to us that the BBC is the principal competitor for audiences in the UK and that they have had their own way for a very long time. We now have two of the biggest brands in commercial radio, Capital and Classic, and we need to work with our brands to take on the BBC."
Salvation for the group - and potentially for other commercial groups - suggests the report may come from digital radio where spectrum allocation puts commercial radio on par with the BBC and in which regard GCap has the asset of owning a national commercial multiplex.
Bernard, says the paper, hopes that 30% of households will have digital receivers by 2008 but the paper notes that even these are unlikely to have multiple digital receivers dotted round the house as is common with analogue receivers.
There's also the competition from other listening such as the iPod, although Bernard argues that this is "no more of a threat than a radio cassette player." The article responds that it is far easier to assemble favourite music on an iPod or MP3 player than on audio tape and thus the newer technology is far more likely to eat into listening time.
Bernard, however, sees some business opportunities in the new technology and the paper notes that GWR has been experimenting with "Hear it, Buy it, Burn it", a music download service announced last year (See RNW Mar 3, 2003) that has been running for the past ten months and is supported by a library of 300,000 tracks.
It is not clear, says the report exactly how well the service is doing, although the official line is that the concept is developing "according to plan" and that some people are using it as their "principal source of music downloading".
Previous Bernard:
Previous Capital:
Previous GWR:
UK Times report:
2005-03-29: Entries have now opened for this year's Australian Commercial Radio Awards, the 17th year of the awards.
In all there are now 29 categories including a new Innovation Excellence Award, sponsored by Southern Cross Broadcasting, that recognizes excellence in innovation across all facets of radio including on and off air, sales, marketing, programming and management.
Judges will consider an individual or group project, which has demonstrated significant added value to a station or network through an innovative approach or project.
Entries for the awards have to be submitted by May 6 and the winners will be announced at a gala ceremony to be held at the Sydney Convention Centre on October 15.
Also to be announced at the ceremony are the names of those inducted into the 2005 Australian Radio Hall of Fame. This year's ceremony will also mark the 75th anniversary of industry body, Commercial Radio Australia (CRA):
Previous CRA:
Previous Southern Cross:
2005-03-29: ABC Daytime network again held on to its top rank in the Arbitron RADAR 84 (Radio's All Dimension Audience Research) Radio Network Audience Report just released covering 47 networks - up one - in the period from January 8, 2004 to December 15, 2004; this time it gained listeners and took its AQH which had fallen over five ratings from 4.0 to 2.9 back up to 3.0.
Second placed Westwood CBS News Primetime Network lost listeners whilst in third place, up from fourth was Premiere Morn Drive Network, which pushed Jones MediaAmerica TWC Radio Network down one into fourth place.
In the top five places, ABC Daytime Network, still in the top slot, gained 312,000 listeners a week to end up with a weekly audience of 7.420 million, up from 7.108 million in the RADAR 83 survey with AQH up from 2.9 to 3.0
Second-ranked Westwood CBS News Primetime Network lost 118,000 listeners to reach 5.980 million and ended up with AQH down from 2.5 to 2.4.
Third ranked Premiere Morning Drive Network moved up one from fourth as it increased listening by 200,000 to 5.437 million although AQH remained the same at 2.2.
Down from third to fourth place was Jones MediaAmerica TWC Radio Network, which lost 182,000 listeners and AQH fell from 2.3 to 2.2.
Fifth ranked ABC Morning News Radio Network gained 62,000 listeners with AQH remaining 2.1.
Overall the percentage hearing at least one network advertisement was 76% of the 18 plus and 35 plus demographic, and 78% of the 18-49 and 25-54 groups.
Previous Arbitron:
Previous Disney/ABC, America:
Previous Jones MediaAmerica:
Previous RADAR:
Previous RADAR ratings (RADAR 83):
Previous Premiere Networks:
Previous Westwood One:
2005-03-29: Takafumi Horie, president of Japanese internet company Livedoor, which is involved in a contested takeover battle for Nippon Broadcasting System (NBS), a member of the Fujisankei Media Group, on Monday cancelled a meeting he had been scheduled to hold with Softbank Investment (SBI) CEO Yoshitaka Kitao. It is not clear whether the meeting is to be rescheduled.
SBI last week "borrowed" just under 14% of Fuji TV's shares from NBS, which had been the largest shareholder in Fuji with a 22.5% stake when Horie launched his bid with an out of hours acquisition of 35% of NBS.
Previous NBS:
2005-03-28: We start our look at print comment on radio this week in South Florida with a report by the Sun-Sentinel's pop music writer Sean Piccoli on a practice common in the US but prohibited by regulators in much of the world - the format flip.
"Last month," writes Piccoli, "South Florida got flipped. Rock fans lost 94.9 Zeta while fans of Hispanic hip-hop gained the new Mega 94.9. Dance fans lost Party 93 as that station morphed into Zeta's would-be replacement, 93 Rock, and the musical chairs stopped there. Rock survived, Hispanic-urban arrived and dance was unplugged -- all in the space of three days."
"Listeners from Boca Raton to Kendall," he continued, "had no advance notice; they just tuned in and found new tenants in old haunts. Flipping is hardly novel or unexpected in this or any media market; the pursuit of audiences and the ad dollars they attract is what drives commercial radio. But trade professionals say that flips are happening more frequently today, across the country, as radio chains try to catch up with changes in population and in young people's tastes."
Something else is driving the flips according to the report - fear: "The shake-ups along the dial are taking place as the industry scrambles to keep listeners from tuning out," writes Piccoli, who notes a comment by Paragon Media Strategies researcher Larry Johnson that US commercial radio is experiencing 'unprecedented declines in time spent with radio' by the general population
And the demographic changes: Piccoli reports that the Mega 94.9 project started with some digging into U.S. census numbers that showed almost half of the 938,000 people aged 18-34 in Miami-Dade and Broward counties are Hispanic.
"That number jumped off the page," says Dave Ross, vice president of Clear Channel in South Florida.
Research also showed that almost two-thirds of that Hispanic 18-34 grouping speaks both Spanish and English at home, at work and among friends, a bilingual audience targeted directly by Mega.
Ross calls Mega a principled gamble that brings a wealth of new and previously unheard music to the market, and gives Miami-Fort Lauderdale a more culturally diverse FM dial.
"One of the axioms of radio is to find out what people are doing and reward them for doing that," says Rob Roberts, vice president of programming for Clear Channel in South Florida.
There's also the question of loyalty and Piccoli comments, "One question raised by the practice of flipping is whether it sends an unintended message. Radio wants loyal listeners, but flipping potentially says to them: Bond with this station at your own risk. If the ratings don't suffice, the music and DJs you enjoy will disappear."
One of the formats hit hardest is rock but new 93 Rock (WHDR), program director Phil Michaels-Trueba believes there is plenty of excitement yet to be found in rock music.
The move to rock by Cox Radio, bucked the industry trend away - it also marks the second flip at 93.1 since Cox bought what was then classical music station WTMI for USD 100 million and turned it into dance station WPYM, Party 93, in 2002.
"We saw an opportunity and we took it," Michaels-Trueba said in an e-mail. "We're proud to pick up and carry the rock torch in this market and we're going to do our best to create a radio station that rock listeners love and become passionate about."
After questions of format, some questions of fact starting in Los Angeles and a column by KFI-AM talk host John Ziegler in the Los Angeles Times' "Outside the Tent" space in which it allows critics to "spank" it for its shortcomings.
Ziegler took up the challenge with a column that the paper's Sunday Opinion Editor Bob Sipchen, who initially turned down the submission and introduces it with his own criticism including the comment, "As it happens, I heard Hahn [about an interview with Los Angeles Mayor James K. Hahn] and I don't buy Ziegler's contention that the mayor was "in tears." Hahn sounded like he had a cold and simply lost patience with the hosts' spoiled-brat browbeating. And the juror's side [Juror Roberto Emerick sat in the case of the trial of former "Baretta" actor Robert Blake for the murder of his wife, Bonny Lee Bakley - he was acquitted] of what happened differs considerably from Ziegler's. But those weren't my reasons for rejecting the column. I spurned it because it reads more like a self-infatuated valentine to KFI than the sort of pointed, specific criticism of The Times that we demand in Outside the Tent."
And the self-infatuated Valentine? It starts by commenting, "As a radio talk-show host on KFI-AM (640), I am keenly aware that there is often a dramatic difference between the "facts" of a story and the "truth" of that tale. The Los Angeles Times is usually an outstanding source of facts, but when it comes to revealing the real truth of the big news events, talk radio, with all its own faults, often gives its consumers the type of revealing information that no other medium can or will. Two recent local episodes vividly illustrated this phenomenon."
Ziegler, after other self-promoting comments says of the two incidents referred to above: "Also on election day, Mayor Jim Hahn, in an act of pure political desperation, asked to appear on the show of my colleagues, 'John & Ken.' What resulted was extraordinary theatre that revealed much about the mayor and his troubled campaign."
"After a heated confrontation with host John Kobylt, Hahn got extremely emotional and appeared to be in tears as he abruptly ended the ill-advised interview and hung up the phone. No one who heard the show is likely to forget it, and it certainly revealed much about the psychological state of the mayor. Despite the truly amazing nature of this incident, The Times never wrote even one word about it."
And of the murder trial: "The article, which briefly mentions his rocky appearance on my show, portrays Emerick as simply a sincere juror who also just happens to be a musician who created a CD about the trial simply to release the tension of the circumstances by benignly expressing his feelings."
"Although it was mentioned in the article that commentators, including myself, had been very critical of the appearance of attempting to profit from jury service, the writer appears to naively buy into the notion that because Emerick is not selling his music, there is nothing sinister about what he is doing.
"Listeners to my radio interview with Emerick got a totally different perspective on what was really happening. Emerick admitted openly to me that he did not realize until after he created the CD that jurors could not profit from service until 90 days after a verdict and that he knew that, as a mechanic with the Los Angeles Unified School District, this was his lone chance to launch a music career."
"What is most outrageous about Emerick's music venture is that while his lyrics are consistent with almost any verdict, there is no doubt that they work best, and are far more potentially marketable, with a controversial "not guilty" verdict. Clearly this is the kind of conflict of interest that should have resulted in Emerick's removal from the jury.
"Perhaps just as important to the context of understanding the real Roberto Emerick was the abject lack of logic and reasoning behind his view on Blake's guilt or innocence (a position that changed dramatically when the microphones were turned off during commercials), as well as the palatable sense that listeners got that he just didn't care very much about whether the verdict was correct, at least not in comparison with his desire to self-promote."
Again there is a dispute about fact, with the paper noting, "Roberto Emerick disputes Ziegler's account. He says he never waffled on the verdict: "I've always maintained that I don't believe Blake pulled the trigger." He denies there was an off-air skirmish: "Anything he says happened off the air is more shtick to try to promote himself." And he says sales of his CD will go to a charity that supports victims of violence.
"Of Ziegler, he says: "He might as well have conducted the interview with himself, because he obviously had all the answers and he didn't care what I said."
To allow people to make up their own minds, the paper has posted a link to the station, which has posted audios of the interview. There are five in all, from 1-6 Mb MP3s, and in the first one the host introduces it by indicating the jury had to be "brain dead" to have come up with a conclusion that Blake had nothing to do with the death.
If nothing else it's a reasonable illustration of Los Angeles talk radio and we leave it up to those who have the time to listen to make up their own minds- in our view, by three minutes into the first audio there's a strong sense of hectoring by the host.
The contrast with a recent report by Tim Rutten, also in the Los Angeles Times, about a US National Public Radio (NPR) decision to end its 21-year connection with arts reporter David D'Arcy, shows a marked difference in its approach and that of KFI to controversy and "fairness" in reporting.
NPR in its "All Things Considered" programme broadcast a report on a long-running dispute over ownership of Egon Schiele's "Portrait of Wally" which was stolen from its Jewish owner, Viennese art dealer Lea Bondi, in 1939, subsequently passed into the collection of Austria's government-supported Leopold Foundation and was loaned to the Museum of Modern Art (MOMA) seven years ago. There Bondi's heirs recognized it and asserted ownership with the result that the painting is being held in U.S. government custody until a federal court can resolve the matter.
The issue in this case is of detail - detail that the KFI audio indicates wouldn't worry their host much - in this case an allegation by the Museum that the reporter had only asked it for comment about an article on the issue by the museum's lawyer and not about the case itself although D'Arcy has said he repeatedly sought comment about the general issue and the case.
NPR subsequently aired a correction saying the original report had failed to make it clear the painting was not in the museum's possession, had failed to report that the museum had said it had never taken a position about the ownership and "finally, NPR failed to give the museum an opportunity to answer allegations in our story about its motivations and actions."
An NPR spokesman who asked not to identified told the Times the reporter was fired not for the substance of his report but for failing to observe two of the network's reportorial guidelines- allegedly interviewing Lauder on one topic - the general issue of art seized by the Nazis - then used it in a piece about another specific issue, the Schiele case and making no direct effort to secure MOMA's response to what was termed "specific attacks on its integrity that he intended to broadcast in the piece… NPR requires that the most strenuous efforts be made to do just that and he didn't do it."
NPR's action were defended by its ombudsman Jeffrey Dvorkin in a column Experts, Gender and Reporting on the Powerful that dealt with three topics, the use of experts and what background about them should be given to put comments into context, the case of a woman guard who was overpowered and where the report had led to criticisms that the guard's sex was irrelevant to the story, and the case of the Schiele painting.
Although the comments on the latter were criticized by the Los Angeles Times for not mentioning that the reporter had been fired and the editor involved suspended for a day, these actions could be held as very much subsidiary to Dvorkin's comments, which are directed towards the issue of pressure from the powerful about reports they don't like.
We did note, however, a discrepancy in the "facts" was reported in the two articles: The Times says MOMA has never taken a position about ownership of the painting whereas Dvorkin says it has taken the view "that the Austrian courts must decide the painting's legal owners, since the painting was in the United States only as part of a loan arrangement."
Again the links follow to enable those who want to make up their own minds.
Finally another column that in a sense could be said to be about provenance, this time from Paul Donovan in the UK Sunday Times. Headed "Charitable trust" it takes up the issue of various radio events to raise funds for charity and the "risk of things going awry."
Donovan refers to one specific case, a winning bid in the UK Radio Aid event to raise funds for tsunami victims. One prize, a tour round the Prime Minister's official residence, Number Ten Downing Street, and a cup of tea with PM Tony Blair was won with a bid of GBP 27,101 (Around USD 50.700) by "Mike Bullas, a Grimsby man who calls himself an "entrepreneur and business investor".
Bullas, however wasn't quite what the description implied: Donovan notes, "As any visitor to the Companies House website can see, he is disqualified as a director until 2011. His undertakings not to hold directorships or take any part in company management followed the winding-up of a nursing-home business that failed with debts of more than GBP1 million (USD 1.87 million) , and which he caused to trade while insolvent to the tune of GBP 402,026 (Around USD 752,000)."
Additional detail in the Donovan column indicates that Bullas is not trying to promote himself, that it won't be a media event, and he won't be allowed to take a camera into Downing Street with him, but as Donovan noted earlier of another prize-winner," How does James Herbert, for example, know that the individual who has paid to be written into his next horror novel is not a criminal or an extremist?"
And moving on to recommended listening we start with suggesting a listen to some of Ziegler's interview then stay with issues of news coverage with the first suggestion, last Friday's The Message on BBC Radio 4, a half-hour programme devoted to TV news and what it should and should not show.
As companion listening we'd suggest The Media Report on the Australian Broadcasting Corporation's Radio National, which last Thursday looked amongst other things at the issue of the introduction of digital radio into Australia.
Then music and a note for those who want Easter listening that BBC Radio 3 last week aired Bach's St John Passion and St Matthew Passion in its Performance on Three slot - the first on Wednesday and the second on Friday: Both are available on the web site for seven days after the performance (links in the Programmes section).
Also from BBC Radio 3, for those interested in the instrument, we'd suggest the "Joy of Sax" three-part series that began on Saturday in the station's Jazz File slot: Last week's programme is on the site and next week's is at 17:00 GMT on Saturday.
Back to Easter and BBC Radio 4 on Friday aired "The Wickedest Man", a profile of Judas Iscariot. The title came from the description of Judas by Pope Leo I in the 5th century but others have pointed out since than that God must have chosen him for the task.
Then drama and the Drama on 3 slot on Sunday on BBC Radio 3 was taken by a production of Faustus, a reworking of the legend by David Mamet and featuring a cast that included Ed O'Neill, Ed Begley Jr, Ricky Jay - and two members of the Mamet family, his wife Rebecca Pidgeon and their daughter Clara.
Then drama, specifically drama of interest to the young, and we'd suggest three of last week's run of Afternoon Plays on BBC Radio 4 - Charlotte's Web by EB White, which ran in two parts on Tuesday and Wednesday and The Man, written and adapted by Raymond Briggs, from Friday.
Then for a whimsical look at England through the eyes of an American, we'd suggest [P.J.] O'Rourke Talks, which began on Sunday with Ties that Bind and continues next week with a second programme The Binds that Chafe (16:40 GMT).
For documentary we'd suggest Analysis from BBC Radio 4 - last week's, The Tiger or the Tank?, which is still on the site and concerned the issue of whether current economic practices are sustainable - and this weeks (Thursday, 19:30 GMT), which in "Going to the Blogs?" looks at the effect on politics of the internet and blogging.
And finally for a light-hearted end to the week, BBC Radio 4 on Friday (17:30 GMT) with a Saturday repeat has The Now Show and BBC Radio 2 on Saturday from 12:00 GMT to 13:00 GMT has The Day the Music Died followed by The Lee Mack Show
Previous Columnists:
Previous Donovan:
Previous Dvorkin:
KFI - Ziegler interview MP3s:
Los Angeles Times - Rutten:
Los Angeles Times - Sipchen & Ziegler:
National Public Radio - Dvorkin:
South Florida Sun-Sentinel - Piccoli:
UK Sunday Times - Donovan:
2005-03-28: According to the UK Independent, institutional investors at Chrysalis Group have warned the company off pursuing its interest in acquiring the Guardian Media Group's radio assets: The Guardian newspaper, owned by the same parent, has reported that it is not interested in a sale (See RNW Mar 26) but rumours still suggest that it would sell if the price were high enough.
The Independent says Chrysalis is thought to believe GMG radio is worth around GBP 110 million (USD 206 million) but shareholders believe this is an overvaluation and that Chrysalis risks overpaying for other radio assets it may target.
The paper notes that Chrysalis would need to issue new shares, or sell assets to help fund the acquisition and says institutional shareholders would be unlikely to support a share issue. Some shareholders, it adds, have suggested that it would make more sense for Chrysalis to sell its own radio assets, as valuations are so high.
Kingsley Wilson, an analyst with Investec, told the paper, "You could argue that there is a risk of Chrysalis overpaying for GMG's radio assets, but there is also a risk if Chrysalis does not do anything to gain critical mass. A deal may be expensive, but it may well be the best option for Chrysalis. Shareholders have to weigh up whether it's the lesser of two evils."
Schroders is Chrysalis's largest investor, with around 30%, followed by Chrysalis chairman Chris Wright with 26%
Previous Chrysalis:
Previous GMG:
Previous Wright:
UK Independent report:
2005-03-28: Japanese internet company Livedoor has formally claimed that it has taken control of radio group Nippon Broadcasting System Inc. (NBS) saying that, based on the shareholders list from September 30 last year, it now has shares controlling 50.21% of voting rights: A new list is to be determined on Thursday and Livedoor sources said they were confident they would also have control based on this list according to Kyodo News.
The purchase of the radio group, a member of the Fujisankei Communications Group, was seen by many as a fist move in an attempt to bid for Fuji TV, another member of the group. The two companies have cross-holdings and when Livedoor made a surprise after-hours raid on the NBS shares in February the radio company was the single largest group in Fuji TV with a 22.5% share but since then NBS has "loaned" 353,704 Fuji TV shares to Softbank Investment Corporation (SBI), a subsidiary of the financial services and internet group Softbank Corporation, reducing the NBS influence and making SBI the largest holder in Fuji TV with nearly 14% of the votes (See RNW Mar 25).
SBI CEO Yoshitaka Kitao in an interview on Fuji TV has said he is confident any legal challenge by Livedoor to the move will fail in the courts, commenting, "There's a 99.9999 percent, you can put as many nines as you want, chance Livedoor won't win in a court action."
Kitao criticized the tactics of 32-years-old Livedoor founder and President Takafumi Horie in his bid for NBS saying, "You can get a way with a lot when you're young but you still have to follow proper etiquette and civility. It sounds old-fashioned but it's just common sense.''
Previous NBS:
Bloomberg report:
Japan Today report:
2005-03-27: Last week was fairly quite for the regulators with no major developments and yet again there was nothing from Australia or Ireland and not a great deal elsewhere with no significant developments from the US: In Canada the Canadian Radio-television and Telecommunications Commission (CRTC), was involved in a run of routine radio-related announcements. In order of province they included:
Ontario:
*Approval of new English-language FM in Dryden to replace CKDR-AM and amendments to delete transmitters CKDR-1 Ignace, CKDR-2 Sioux Lookout, CKDR-3 Hudson, CKDR-4 Ear Falls, CKDR-5 Red Lake and CKDR-6 Atikokan and in their issue licences for CKDR-5 Red Lake as an AM originating station with CKDR-4 Ear Falls as a transmitter and CKDR-2 Sioux Lookout as an AM originating station with CKDR-1 Ignace, CKDR-3 Hudson and CKDR-6 Atikokan as transmitters.
The new AM originating stations in Red Lake and Sioux Lookout will each broadcast local programming split fed from the programming broadcast on the new FM station in Dryden.
Quebec:
*Approval of extension until March 25, 2006, of time limit for commencement of operation of new transmitter CIRA-FM-2, Trois-Rivières, for in CIRA-FM Montréal.
*Renewal of licence of CFOR-FM Maniwaki until 31 August 2011.
Short-term renewal until 31 August 2009 of the licence of CKYK-FM, Alma, and its transmitter CKYK-FM-1 Alma. The shorter tem renewal is related to a check in 2002 when the station was found to have broadcast only 48.4% of French language vocal musical selections although its licence requires 55%.
*Short-term renewal until 31 August 2009 of the licence of CKCN-FM Sept-Îles. The shorter tem renewal is related to a check in 2002 when the station was found to have broadcast only 62.8% of French language vocal musical selections although its licence requires 65%.
Saskatchewan:
*Approval of amendment to licence of CBK-FM Regina, to add a 57,000 watts FM transmitter in Yorkton.
The Commission also issued a number of public notices including the following.
*Application to change the contours of CFSF-FM, Sturgeon Falls, Ontario, by increasing the effective radiated power from 50 watts to 1,350 watts and by increasing the antenna height. The proposed change would change the station from a low power unprotected service to a regular Class A FM station. The deadline for interventions or comments is April 26
*Application to change the contours of CJLF-FM, Barrie, Ontario, by increasing the effective radiated power from 1,800 watts to an average effective radiated power of 18,700 watts and also amend the conditions of its licence relating to Canadian talent development. The deadline for submission of interventions/comments is April 27.
In the UK, Ofcom was involved in consultations and publications rather than decisions with activities including publication of documents on its Draft Race Equality Scheme, and of its second half-yearly report covering the last six months of its work in competition and economic regulation.
Previous CRTC:
Previous Licence News:
Previous Ofcom:
CRTC web site:
Ofcom web site:
2005-03-27: Air America Radio, which only last month named former record industry executive Danny Goldberg as CEO to replace Mark Walsh who left in April last year (See RNW Feb 25) has now named Premiere Radio Networks' EVP/Music Operations Gary Krantz as its President.
It will move current president John Sinton to a newly-created post of co-Chief Operating Officer in which role he will share duties with current COO Carl Ginsburg.
Krantz, who has worked in broadcasting for a quarter of a century, joins Air America on April 11.
Previous Air America (owned by Piquant):
Previous Premiere Networks:
2005-03-27: It's a case of two Jackson's today on US radio when the political and religious Rev Jesse Jackson plays host to Michael Jackson, whose last interview would seem to have not helped him in his current trial.
Chicago-based Jesse will interview the singer cum entertainer on his "Keep Hope Alive with Rev. Jesse Jackson" that originates from Clear Channel's WGRB-AM and is syndicated to 28 US markets as well as being streamed on the internet.
The show's executive producer Jesse Jackson's daughter Santita, was quoted by Robert Feder in the Chicago Sun-Times as saying, "We want to give Michael a chance to give his side of the story. Our family goes back 40 years with Michael and his family. We've watched him grow and followed his journey from Gary [where Michael Jackson, the 7th of nine children, was born in 1958], to greatness."
The show airs at 08:00 to 09:00 EST (14:00 to 15:00 GMT) today.
Previous Feder:
Chicago Sun-Times - Feder:
Keep Hope Alive web site:
2005-03-26: Nashville WNSR-AM (ESPN 560) has filed a lawsuit against Cumulus, ABC Radio Networks and ESPN Radio alleging tortuous interference by it with the station's contract between ABC/ESPN in relation to the move of ESPN programming to Cumulus's WNFN-FM and WTN-FM that is due to start on Monday.
WSNR, which changed its name to ESPN 560 in spring last year has held Nashville rights to ESPN since 1997: It claims ABC/ESPN and Cumulus conspired to move ESPN from WNSR to the two Cumulus-owned stations (WTN and WNFN) and damage WNSR as a future competitor in violation of anti-trust laws.
It also says Cumulus is violating its trademark Sports Radio and using market power of its five Nashville-area stations, plus its advertising marketing agreement with WSM-AM, owned by Gaylord Entertainment Company, to damage WNSR through unfair marketing practices.
The law suit alleges that for nearly a year, ABC/ESPN planned to move the ESPN Radio Network to WNPL-FM 106.7 and WWTN-FM 99.7, despite its agreement with WNSR, and that the companies breached their contract with the AM radio station when the move was made..
WNSR vice president and general manager Ted Johnson told the Tennessean, "We were severely damaged by the actions of these two media giants (ABC/ESPN and Cumulus). 'Our losses could be in the millions of dollars. After several attempts to resolve the problem with ESPN we felt compelled to take a stand not only for ourselves, but for other independent stations.''
Cumulus Nashville General Manager Michael Dickey, who joined Cumulus when it acquired DBBC, LLC and its Nashville stations in 2001 and who is named in the suit along with Cumulus chairman, president, and CEO Lewis Dickey, told the paper he was unaware of the suit and therefore could not comment on it.
Previous Cumulus:
Previous Lewis Dickey:
Previous Disney/ABC:
Nashville Business Journal report:
Tennessean report:
2005-03-26: As if its problems with the now infamous tsunami song parody that led to it firing some of its morning crew and suspending others as well as paying USD 1 million to tsunami relief (See RNW Feb 3), and a subsequent shooting outside the station were not enough, Emmis's WQHT-FM (Hot 97) is now the subject of an investigation by the New York State Attorney General Eliot Spitzer along with the New York State Athletic Commission into the station's sponsorship of the "Smackfest" competition, where two participants take turns slapping each other in the face to settle a dispute.
Newsday reports that the investigation was started after six City Council members wrote to Spitzer complaining about the popular contest that has since been stopped and says investigators will examine whether the station staged the boxing-like event without the proper licensing or permits.
A spokesman for Spitzer's office said there was "a state law designed to protect people from potentially dangerous and demeaning competitions."
Emmis chairman and CEO Jeff Smulyan termed the move "pure political opportunism" and added, "The Smackfest promotion has already been shut down, and we do not believe it violated the law in any way."
Hip hop activist Charles Fisher told the paper that while "Smackfest definitely was a huge mistake, I personally know the people at Emmis Communications and believe they will do all they can to rectify this matter."
Previous Emmis:
Previous Smulyan:
Newsday report:
2005-03-26: The UK Guardian, owned by the same parent as Guardian Media Group (GMG) Radio, reports that the parent group has now formally said that its radio business is not for sale.
The move contradicts an earlier report in the UK Sunday Telegraph that indicated that, although GMG had turned down a bid from Chrysalis for its radio operations, it ready to sell if the offer was right (See RNW Mar 21).
In a statement issued following a routine board meeting GMG chief executive Sir Robert Phillis said, "Following persistent media speculation in recent weeks, we wish to make it clear that GMG is committed to the long-term growth and development of its radio portfolio. It is our intention to apply for new radio licences as they become available and to bid for any appropriate assets that add value to our existing portfolio."
The paper notes that GMG's radio division reported an operating loss of GBP 2.1 million (currently USD 3.9 million) last year compared triple that a year earlier and outperformed the industry with a 60% increase in turnover. The company has insisted that it was not under financial pressure to sell after refinancing the debt incurred by the GBP 593 million (currently USD 1.1 billion then USD 965 million - See RNW Aug 7, 2003) deal to take control of Trader Media Group in 2003.
Previous GMG:
Previous Phillis:
UK Guardian report:
2005-03-26: According to the New York Times, New York attorney general Eliot Spitzer who had been looking into the personal use by radio host Don Imus of a charity ranch in New Mexico established for ill children (See RNW Mar 25) has now closed the inquiry without any findings of impropriety.
The host had attacked the original article by the Wall Street Journal on his show: It said the law required that the Imuses reimburse the ranch for personal visits but the Imuses countered that they had not reimbursed the charity because they were not aware of the rules and said they spent their time at the ranch working.
On his show Imus called the reporter Robert Frank, a "punk," saying that he had lied and had refused to come to the ranch and that he had only interviewed him the day before the article ran but in a statement yesterday, the managing editor of The Wall Street Journal, Paul Steiger, said that the article was accurate and fair and that Frank had had many detailed discussions with Imus's representatives during the two months he worked on the article and also spoke twice with Imus at length the day before the article was published.
A spokesman for the attorney general's office said two developments triggered the examination: the charity had requested an extension to file tax data, which typically prompts an inquiry, and the office received an anonymous letter saying it ought to check into Imus's use of the ranch.
Previous Imus:
New York Times report:
2005-03-26: New owners Mapleton Communications, which already sells advertising for the station under a Joint Sales Agreement, is expected to keep the classical music format of KBOQ-FM, Carmel, California, that it is buying for an undisclosed amount from J&M Broadcasting according to the Monterey Herald.
The paper quotes J&M president Sherrie McCullough as saying no format changes are expected at the station, the only local classical music broadcaster, and added that Mapleton "has been our partner for a long time and they understand and will continue our pioneering community classical format…I could not be more pleased."
Mapleton President Adam Nathanson in a news release called KBOQ, also known as K-Bach, a "terrific station" and that his company would "build on the legacy" that McCullough and her co-founder Stoddard Johnston created.
Mapleton, which was founded in 2001, proclaims its philosophy as to "be the local community-oriented radio operator who is dedicated to the old-fashioned way of providing value to our customers, serving the community with a wide variety of formats, and participating in every phase of community development."
It already owns five stations in the Monterey-Salinas market where in 2002 it completed its purchase of bought a five-station cluster from New Wave Communications along with the KBOQ JSA (See RNW Jan 19, 2002).
The current Mapleton stations in the market are all music format FMs - streaming pioneer AAA KPIG; Alternative KMBY; Classic rock KHIP; Hot AC KCDU; and Oldies KOTR/KTEE [Bought in April last year - See RNW Apr 20, 2004 and in 2001 -See RNW Dec 13, 2001].
Previous Mapleton:
KBOQ/K-Bach web site:
Monterey Herald report:
2005-03-25: According to the New York Daily News, Clear Channel is to stream concerts on the web sites of its stations from May starting with Stripped, it's first original online concert series.
The paper quoting unnamed sources says a number of artists have signed on for the concerts including Rob Thomas, the front man for rock band Matchbox 20, John Legend, Gavin DeGraw, and Jesse McCartney.
It says none will be paid for their appearances and the streams will be free: the benefits for the artists will be promotion of their recordings. The concerts will be shot live and the paper says Clear Channel is intending to attract one national and one local advertiser for each event and is said to be close to inking its first deals. The company, it adds, refused comment.
Behind the move, says the paper is a sluggish radio advertising market with growth of 2% to 3% expected this year to a total of USD 22 billion whereas internet advertising sales are expected to grow 30% to around USD 11 billion.
Clear Channel last year hired Evan Harrison, then Vice President and General Manager for AOL Music, to revamp its online activities and create what it termed a "Complementary Station Experience Featuring Exclusive, Custom Online Content" to boost its existing web site streams and the paper says it's banking on his efforts in combination with the advantage of having the radio stations to steer fans to its online events.
The paper notes that AOL music attracts around 20 million visitors a month and says that Harrison is "already playing hardball" and will no longer promote events from AOL and other music sites on its stations.
AOL's response said the paper was to say the move would be Clear Channel's loss.
RNW comment: In view of the flack Clear Channel has received for playing hardball with competing concert promoters and earlier this week saw a Chicago jury award USD 90 million in damages against it in a case brought by Jam Productions (See RNW Mar 23 Clear6) we would have thought it undiplomatic at least to take the view it has about competitors. More pertinently, in view of the clout the company has, our view is that it is abuse of its position to refuse to take advertisements from its competitors. In the interests of fairness and a level playing field, we can only wish failure on Clear Channel and maximum awards by juries in any future actions against it.
Previous Clear Channel:
Previous Harrison:
New York Daily News report:
2005-03-25: UK Emap has raided the ranks of its competition for the second time this week and has appointed Steve Parkinson, marketing director of Chrysalis Radio and managing director of the group's London-based Heart 106.2, as its National Brand Director: It has also just appointed former Capital FM managing director Andrea Vidler as managing director of its Magic FM station (See RNW Mar 24).
Shaun Gregory, Emap Performance's MD of national radio brands said in a statement, "Emap's radio strategy is to harness unrivalled strong brands, distribution and content to deliver audience and revenue growth. "Steve's experience will be invaluable in helping us to deliver this whilst also further strengthening Emap's position as the number one in digital radio and growing our national radio brands."
Parkinson, who will report to Gregory and will sit on Emap's national radio executive board, commented, "It's time to get my teeth into a new set of brands which have real growth potential both nationally and in the fiercely competitive London market. I'm looking forward to joining Emap's talented radio team to build still further on recent successes."
Emap has also announced the appointment of Dee Ford to its Executive Board, as Group Managing Director of Radio. She joined Emap in 1994 as Managing Director of Rock FM in Preston and was then appointed Yorkshire Regional Managing Director before taking over responsibility for managing Emap's London and national radio brands in 1998. She has led Emap's radio business since January 2004.
Chief Executive Tom Moloney said of the appointment, "Dee's appointment to the Executive Board is a tribute to the progress she has made in the past 12 months, and emphasises the importance of radio to the Group, as well as the essential role of the Executive Board."
Previous Emap:
Previous Moloney:
2005-03-25: US radio host Don Imus has said on his radio show that a Wall Street Journal report on costs incurred by his charity that takes sick children to his New Mexico ranch was a "hatchet job."
The paper, quoting filings from the charity said that it spent USD 2.6 million in 2003 and USD 2.7 million in 2002 to take 100 children to the ranch, far more than that spent by other children's charities such as Camp Starfish, which hosts more than 150 children on a budget of USD 360,000 and actor Paul Newman's charity, The Hole in the Wall Gang Fund, that hosts ten times as many children for a little over twice the amount spent by Imus.
It added that the charity is supposed to account for or be compensated for the personal use of the ranch by Imus and his wife, but hasn't done so.
Imus said that he and his wife work for the charity, both raising money and doing chores during the children's stay at the ranch, all without compensation.
"Why don't you do a survey about other foundations this size and see what they pay their chief executives? Most charities spend 50 cents to raise a dollar," he said. He also called "insane" the notion that he uses the ranch for private use, saying that when he takes vacations he goes elsewhere than the ranch.
RNW note: The Imus ranch has been termed a "scam" by Howard Stern but Smoking Gun web site, which posted details of returns for the ranch in the year to the end of 2001, then said it didn't think Stern would "find anything fishy in The Imus Ranch's latest financials."
Another report on the site last year concerning a lawsuit against the host by a former nanny (See RNW Dec 2) might however seem to indicate that the host had made private use of the ranch as the former nanny said that during her visits there she only saw staffers and members of Imus' family.
Previous Imus:
CNN Money report:
Smoking Gun on 2001 ranch filing:
Smoking Gun on 2004 nanny law suit:
2005-03-25: TV host Jerry Springer's radio show is to go national from April 1 under a deal with the Air America network that will see it initially air on around 45 of the network's affiliates.
The "Springer on the Radio" show began in January on WCKY-AM in Cincinnati and is now aired on other Clear Channel Radio stations in Cleveland, Detroit, Miami and San Antonio; Springer said the Air America deal will not affect his relationship with Clear Channel.
Springer told the Associated Press, "I said when I started the show that I am committed to making this radio program work, not only because I enjoy it, but because we need to hear progressive voices as well as conservative voices in our conversation today."
Springer, who was elected mayor of Cincinnati in 1977 and made an unsuccessful bid for the Democratic nomination for governor of Ohio in 1982, ducked questions about running for office again, saying, "I am committed to making this (radio show) work now, but who knows down the road? I want to determine where I can have the greatest influence in the political dialogue of America. One option is running for office, but the argument can be made that I could do more good for the progressive cause on radio
Previous Air America (owned by Piquant LLC):
Previous Clear Channel:
San Francisco Chronicle/AP report:
2005-03-25: The battle over Japanese radio broadcaster Nippon Broadcasting System, which is the subject of a hostile bid by internet company Livedoor, has taken unexpected turn in relation to expected attempts by Livedoor to leverage the deal to gain influence over Fuji TV - in which NBS was the largest single shareholder with a 22.5% holding.
In a deal, said by those involved to be unrelated to the Livedoor feud with the Fujisankei Communications Group, Softbank Investment Corporation (SBI), a subsidiary of the financial services and internet group Softbank Corporation, has "borrowed" 353,704 Fuji TV shares held by Nippon Broadcasting System Inc. for five years.
The arrangement effectively cuts any NBS influence over Fuji TV and makes SBI the largest single investor in Fuji TV with a holding just under 14%. Cross-holdings between NBS and Fuji mean that the former has no voting rights in the TV company under Japanese regulations.
Last month NBS loaned shares in Fuji TV amounting to 8% of the company to Daiwa Securities SMBC.
The deal is widely regarded as a step to thwart any possible bid for Fuji TV by Livedoor and avoids possible lawsuits from shareholders if NBS had sold the shares. SBI CEO Yoshitaka Kitao commented at a news conference, "Are we a white knight? That might be the case in the end."
Kitao also said he had not consulted Softbank Corp. President Masayoshi Son about the deal but suggested that he expected full support from Son to keep the TV company out of the hands of Livedoor President Takafumi Horie, commenting, "Son is one of my comrades. We can understand each other using very few words."
A joint statement from SBI, Fuji TV and NBS said the three would seek to form an alliance combining SBI's know-how in the Internet business and content from Fuji TV and NBS, a deal very similar to that on offer from Horie.
Under the arrangement the three companies have agreed to set up a JPY 20 billion (USD 188 million) fund to foster venture companies in various content, media and broadband businesses. The fund will be managed by SBI Ventures K.K., a wholly owned SBI subsidiary.
Livedoor reacted by issuing a statement saying it would " continue to seek a friendly business alliance with NBS and Fuji TV" but the Softbank tie-up seems likely to stymie this approach.
RNW comment: As this fight goes on, it seems increasingly to us that Horie may have put one over Fuji in obtaining a major share of NBS in its original surprise raid but only won the first battle. When it comes to the big guns and stamina, we expect his opposition to win the war.
Previous NBS:
2005-03-25: A report in the Oklahoman says that former state senator Gene Stipe, whose sale of five stations in a USD 2.2 million deal is now being reviewed by the US Federal Communications Commission (See RNW Mar 9), started one of the stations KESC-FM, Wilburton - in 2002 using a college broadcast studio paid for with about USD 300,000 in state-appropriated dollars.
The FCC decision to review the sale of the station and four others in McAlester relates to his conviction for offences of perjury and obstructing a Federal Election Commission investigation.
The paper says Stipe's Little Dixie Radio Corporation obtained its FCC license for KESC in 2002 after working out a deal with Eastern Oklahoma State College that called for the college to build and equip the broadcast studio. Under the deal it says the college was to gain by having educational opportunities available to students interested in radio broadcasting and Stipe's company was to gain by not having to pay for the broadcasting equipment and studio, receiving some free student labour, and receiving the profits from the station's operation.
Mark Lauerman, the college's business manager at the time, said college officials were concerned about the propriety of the deal and he was "somewhat amazed" when the contract gained final approval, "but I was assuming the smell test was being done at the state level."
The contract was submitted to Oklahoma Attorney General Drew Edmondson's office for review and a spokesman for Edmondson's office, confirmed that an assistant attorney general examined the contract but said the assistant was not told Stipe was the owner of Little Dixie Radio and was not asked to look into the ethics or legality of a state lawmaker benefiting financially from appropriations the Legislature approved.
The paper also reports that the station's new owners, including state Sen. Richard Lerblance, who succeeded Stipe in office, have upset local residents by filing an FCC application to move the station to Okemah, which would leave Eastern Oklahoma State with a remodeled broadcast studio and USD 175,000 worth of equipment, but no license to broadcast.
Lerblance told the paper the application to move the station to Okemah was strictly a business decision and the Oklahoman notes that according to the filing the move would mean the station would reach 251,593 people instead of 134,922 people.
He said that even if the station moves, he and the other new owners are committed to providing service to Wilburton through their McAlester stations.
RNW comment: The more that comes out about the honesty and general ethical standards of Oklahoma politicians in this case the more we tend away from our original feeling that the balance of fairness in this case edged towards allowing the sales to stand despite the fact that Stipe's record should have been taken into account when the original approval was given. In this case, the judgment of Solomon would probably be best suited by looking at the history of each station separately rather than considering the case as a whole thus allowing the option of revoking some but not all the licences.
In this case the ethics of the manner in which the licence was obtained and subsequent application to move the station by the new owners mean we wouldn't feel overly concerned if they lost the licence: At the very least the move application should be rejected.
Oklahoman report:
2005-03-25: Former Chicago WGN-AM VP and General Manager Mark Krieschen, who resigned from the station last month (See RNW Feb 9) has been hired by Cox Radio as vice president and general manager of KHPT-FM and KLDE-FM, in Houston.
Robert Feder in the Chicago Sun-Times says Krieschen was hired by Cox Radio now executive vice president and chief operating officer Marc Morgan who commented, "To find someone of Mark's background, track record and talent is a huge bonus. We're ecstatic to have him join us."
Krieschen said he was "very excited" about his new job and added, "Over the past several weeks, I've seen the dedication that Cox has for its listeners, advertisers and employees," he said. "It's an honour to be working for a company with strong values, a great culture and one that's committed to radio."
Previous Cox:
Previous Feder:
Previous Krieschen:
2005-03-24: A new study "Internet and Multimedia 2005: The On-Demand Media Consumer" just released by Arbitron Inc. and Edison Media Research indicates considerable changes in US media habits with video-on-demand, online news, and Internet radio listening as well as substantial ownership of portable MP3 devices - 27% of 12-17 years old Americans own one - all posing potential threats to terrestrial media although so far this has not led to a major drop in radio listening.
The study says regarding this that those who own portable MP3 devices, subscribe to satellite radio or listened to Internet radio spend 2 hours 33 minutes a day listening to traditional radio, only 15 minutes less than the average.
It also shows awareness of satellite radio has increased greatly with awareness of XM Satellite Radio up since 2002, from 17% to 50% and that of Sirius up even more, from 8% to 54 %.
In the longer term, however, according to Bridge Ratings president Dave Van Dyke terrestrial radio is facing a much more significant threat from Internet radio than from satellite.
Current projections it says indicate satellite subscription increasing to 35 million by 2010 with XM retaining a "senior" share but internet streaming, already the preferred source for supplemental audio amongst Americans, will retain its position and continue its growth as broadband take-up increases and have even more potential with the growth of wireless technologies.
"With Internet radio already the preferred medium over satellite radio, traditional radio should continue to perfect and refine its product, keep an eye on the alternatives and not get distracted," writes van Dyke. "It just appears that the 'wolf' isn't banging on our door yet; he's still a few miles away."
He concludes, …"Wireless Internet radio represents the biggest challenge - not satellite radio. The Internet radio solution will be aggregated in a portable device, much like an iPod or MP3 player with docking ports in your car and in every room in your home so it can be heard through car and home entertainment audio components."
Previous Arbitron:
2005-03-24: Nippon Broadcasting System (NBS) President Akinobu Kamebuchi says his company is to start talks with internet company Livedoor, which is making a hostile takeover bid for NBS, following a ruling by the Tokyo High Court upholding an injunction granted to Livedoor by the Tokyo District court to prevent NBS issuing new stock to dilute the holding Livedoor has built up in the company.
NBS says it has now abandoned its plan, announced in February, to issue options to Fuji TV - in which NBS has a 22.5% stake - allowing it to buy up to 47.2 million shares in NBS, thus cutting the Livedoor holding from approaching 50% to less than 20%.
Livedoor will now send a representative to NBS's shareholder meeting in June as the largest single shareholder in the company.
The Mainichi Shimbun notes that despite this Fuji TV's shareholding is enough to allow it to veto decisions at the meeting.
Livedoor has said that if it succeeds in gaining more than half the shares in BS it intends to propose at the meeting that more than half the present board be replaced with Livedoor executives.
Previous NBS:
Mainichi report:
2005-03-24: The Australian commercial radio industry has filed a submission to the Federal Government arguing that copyright fees should remain capped at 1% of gross revenues.
The submission follows a review of the cap on the fees, paid to the Phonographic Performance Company of Australia (PPCA) on behalf of record companies and performers, that was announced by the Attorney General's Department; in its submission the PPCA termed the cap "the most unbalanced limitation applying in the [Copyright] Act " and called for its repeal "so that PPCA broadcasters are able to negotiate a realistic payment rate based on existing market conditions and the relevant circumstances."
The PPCA also argues that rules on ephemeral provisions" that allow broadcasters 12 month period to maintain copies of sound recordings which would otherwise be infringements are excessively generous and in stark contrast to ephemeral periods provided in other countries such as periods of up to one month. It suggests a change to only allow broadcasters to make a copy of a sound recording in association with other matter provided they obtain a licence from the copyright owner as agreed or as set by the Copyright Tribunal.
On their part, the broadcasters note that the current market rate of 0.4 per cent of gross industry revenue, which has been negotiated between industry body Commercial Radio Australia (CRA and PPCA over many years, is well below one per cent and also says were there no cap the PPCA would seek a massive agreement when the current agreement expires at the end of June this year.
"Because of past dealings with PPCA, we know that PPCA would seek an increase to 2-3% of industry revenue," it says in its submission. "It would also continue to seek massive fee increases at every review opportunity. "
The broadcasters also note that between 1999 and 2003 Australian revenue growth of 21.7% was outpaced by the growth in expenses at 26.1% and all copyright fees at 24.6% and that in 2002 to 2003 more than a quarter of commercial radio stations were unprofitable.
These were mainly in regional areas and the broadcasters say that increased copyright costs could force many out of business.
Another argument in favour of retention of the cap, it adds is the possibility that increased costs resulting from a change could discourage investment in a move to digital radio, which will cost around AUD 400 million (USD 310 million).
The submission also notes that just over 3 ½ years ago, the Australian Government rejected a recommendation by the Intellectual Property and Competition Review Committee (IPCRC) to repeal the cap on the basis amongst other things that the cap provides certainty for all relevant broadcast sectors and ensures that the viability of rural and regional broadcasters is not impinged.
The broadcasters also argue that requirements that Australian commercial stations broadcast a minimum quota of work by Australian artists, most of which attract PPCA fees, amounts to a forced levy on the industry and say the one percent cap is a trade-off for the Australian content quotas.
If the one percent cap is repealed or amended, the commercial radio industry says it will seek removal of those Australian content quotas and adds that, since the price cap was acknowledges as "an economically sound and desirable form of monopoly regulation" when PPCA was given its authorization to collect copyright fees a change would also in its view require PPCA's authorization to be revoked.
RNW note: As well as the PPCA, Australian stations also have to make payments to the Australasian Performing Right Association Limited (APRA), which collects and distributes Australian and New Zealand copyright royalties for music creators and publishers from around the world.
Previous CRA:
Australian Radio industry submission(3.25MB 47 page PDF)
PPCA submission:
2005-03-24: US National Public Radio (NPR) is taking a leaf out of CBS Radio's 1950's book next month with a new series based on the "This I Believe" CBS programme segments hosted by Edward R. Murrow.
The original series was comprised of some 1,000 essays from a wide range of people ranging from cab drivers and school pupils to US Presidents Harry Truman and Herbert Hoover, Franklin D Roosevelt's widow Eleanor Roosevelt, baseball player Jackie Robinson and scientist Albert Einstein and had an audience of nearly 40 million a week.
The NPR series of the same name is hosted by Jay Allison and amongst those who have agreed to contribute essays are former US President Bill Clinton and his wife Sen Hillary Clinton; Republican politicians Newt Gingrich and Senator John McCain; former heavyweight boxing champion Muhammad Ali and authors and actors including Drew Barrymore, Robert Redford, and John Updike.
It is being produced in collaboration with Atlantic Public Media and This I Believe Inc. and is funded by Farmers Insurance