RadioDiscussions.com

 
Login June 18, 2013, 04:38:27 PM *
Username Password Session Length
 
Welcome, Guest. Please login or register. Did you miss your activation email? Did you forget your password?
:  
   Home   Help Search Contact Us Login Register  
Pages: [1] 2 3   Go Down
  Print  
Author Topic: The Radio Industry I left Behind  (Read 3021 times)
moohead
rimember

Offline Offline

Posts: 67


The Radio Industry I left Behind
« on: October 11, 2008, 08:15:25 PM »

When Clear Channel purchased Majac in 2000, I was shocked that anyone could believe the stations justified the price.

Now we see what has become of our whole economy...one based on speculation instead of productivity. The unfortunate shareholders of Clear Channel purchased our stations. I doubt Lowry Mays and his people have suffered any more than AIG corporate types. The shareholders lost their asses. Clear Channel traded at $95 a share in 2000. Why? Speculation. The same reason house values doubled and bogus loans were made to unprepared owners.

It does not please me that the stations in Binghamton (not just CC, but Citadel as well) have suffered. It appears darker days lie ahead.

For the record, I made a very serious inquiry 2 years ago to buy back the Majac group, but was rebuffed by corporate to provide the very same detailed financials that I had provided them 6 years earlier. Profit and Loss statements were loaded with trades, auction revenues and discontinued one time only event revenues.

Again, for the record, NTR was nothing more than corporate double talk. In every case I have seen, this "non traditional" revenue cost as much as it made, and did nothing but artificially pump up the top line revenue figures.

I sit here and see the debris that was once local radio, and I see the same misinformation and greed that I see in our banking and lending institutions. At the time I sold the group, I wondered how CC could possibly make out. Now I know who really footed the bill. And for that I am truly sorry.

Had our government not allowed the corporations to take over our small and medium markets, there would still be a place for good people to work in the industry. Well funded local owners could weather tough economic times without carelessly firing people.

While my wife, dog and I are at peace in our little bubble in Florida, we now are seeing what the country has reaped from the seed planted so long ago. You wanna talk special interest groups and lobbyists? Look no further than the corruption in the FCC that allowed the monopolies, and forced people like me to sell prematurely. I was 43 when I was forced out. I did what I had to do for myself and my family. But it should never have come to that.

The days after the sale, as Bob Dunphy and his hack cronies told our staff that "Marc's days in radio are over", little did they know how right they were. Despicable men like these destroyed the entrepreneurial spirit of local radio, and created a financial den of iniquity.

This is not a sentimental recollection of radio the way it used to be. This is a personal indictment against the people who have destroyed something I loved very much. May the golden parachute boys in San Antonio and others like them rot in hell with their public money scam and their dependence on government handouts. That was the only way they could gain a foot hold and wrestle properties away from good local owners.

Marc Steenbarger
Not dead, not buried
Rendered insignificant by a government that caved to special interests

My sincerest best wishes to Thunder, as well as the many who have been eradicated by corporate malfeasance.



Logged
Element9
rimember

Offline Offline

Posts: 2359


Re: The Radio Industry I left Behind
« Reply #1 on: October 12, 2008, 08:28:41 AM »

A fine perspective from somebody who's seen the war from the battlefield.

You're one of the few lucky ones. Hope you got cash and put it under your mattress, rather than shares in CC. The communications business is a friggin' mess, a veritable stinkin' pigpen. And it's bound to get stinkier. The 4th quarter looks dismal. Can you imagine what the 1st Qtr of 2009 is going to look like? Wonder how long the Route 81 cluster in Elmira-Corning is going to rot in the hands of investment bankers, W-S?

Many (not all) of the suits running half the radio corporations are criminals and deserve the same fate as the boys who ran Enron. Remember "Kenny Boy" Lay? Some of these guys bought radio properties like kids on a sugar high at a birthday party. Gotta have more cake!

Where was the adult supervision?

But, and there's always a "but," we get the government we elect... or in many cases, the government we DON'T elect. When only 53 per cent of the registered voters drag their asses to the polls on election day and make their decisions strictly along party lines, when citizens don't know who their Congressmen/women and Senators are (let alone state representatives), when people can't identify the three branches of government (Executive, Judicial and Legislative) and their roles in governance, when people buy a $250 thousand home when they can afford only a $100 thousand home, and when lending institutions "give" these people to money to buy that home, what's to be expected? Where's the accountablility?

The answer? Exactly what we're experiencing now.

Moohead, you're lucky. And from what I read on these boards, probably pretty damn smart. And you probably worked your assets off. You got out alive. Maybe you'll be able to buy back in at ten cents on the dollar.

Send your post to the Binghamton papers and post it on the national board here. Some people still know how to read. Maybe your post (a damn fine one at that) will help them get the message.

-9-
Logged
amfmxm
rimember

Offline Offline

Posts: 820


Re: The Radio Industry I left Behind
« Reply #2 on: October 15, 2008, 11:29:38 AM »

Early this year--on the heels of the release of "Clear Vision" & "Right of The Dial"--the two misleading or misguided books on Clear Channel--I began to write a book about what really happened to our radio industry, that is, the inside job Lowry Mays pulled from his perch at the NAB writing degregulation legislation giving CC an enormous headstart on its rape of radio. Three chapters into it I passed the draft past some respected radio friends and an attorney. All advised me that without quitting my day job (running media properties) and/or hiring a research team to verify it all, I'd be facing lawsuits until my dying day.

Moohead, it's not all that far from Enron. If there's an enormous difference, it may be in the way that the operational methods used by the Big Players to game Wall Street filtered quickly down to the smaller companies--most likely because of Clear Channel's immediate presence in more than two-thirds of radio's 300 rated markets--all the way to the Caspers & Cookevilles of the radio world. So the damage wasn't limited to just one out-of-control company--it infected the entire industry.

I'll agree with Element9, you may still have opportunity to revisit your radio roots. Radio is too omnipresent (still with more than 90% reach, despite all of this) to just disappear. But it will take years of rebuilding to bring the industry back to a relative measure of good health. 
Logged
Element9
rimember

Offline Offline

Posts: 2359


Re: The Radio Industry I left Behind
« Reply #3 on: October 15, 2008, 05:59:20 PM »

It occurs to me that the radio bandits are envious of the banking thieves who got a $700 billion bailout. That's $700,000,000,000 or as the Brits like to put it, 7 thousand million. So, radio was the precursor to the real estate and banking debacles.

Radio! Once again setting trends and leading the way. Only this time, in the wrong direction.

I fear we're headed for a deep recession. It may be that radio will be one of the first victims. If (when?) national and local advertising fall off, layoffs will follow. It won't be the exception, but rather the rule, to have one jock voice tracking across three stations within the cluster: Stations signing off at midnight or 1 a.m., signing back on at 5 or 6 a.m; AM stations within the cluster being totally brokered or going dark and in extreme cases, AM stations turning their licenses back in.

This is ugly. Whoda thunk 1995 would be viewed as "the good ol' days."
Logged
moohead
rimember

Offline Offline

Posts: 67


Re: The Radio Industry I left Behind
« Reply #4 on: October 16, 2008, 05:57:28 PM »

Even if I had the opportunity to get back in, the landscape has changed. Internet Radio, satellite radio. The whole thing has been spread thin, and terrestrial radio was bastardized. Who knows how much listenership has been forever lost?

Not to mention the recession, local ad agency revenues declining, and national revenue gone.

It all started with bogus "double minority applications" for 80-90 frequencies that turned out to be the big boys in disguise. They are without ethics. And the damn NAB sat and let it happen and recommended to broadcasters that 80-90 was designed for diversity.

All in all, I should be happy I am rid of this slime.

Moo
Logged
amfmxm
rimember

Offline Offline

Posts: 820


Re: The Radio Industry I left Behind
« Reply #5 on: October 17, 2008, 10:01:02 AM »

It all started with bogus "double minority applications" for 80-90 frequencies that turned out to be the big boys in disguise. They are without ethics. And the damn NAB sat and let it happen and recommended to broadcasters that 80-90 was designed for diversity.

Hey, I'm just glad to see that someone else recognizes this. While all this was going on--from the 80-90s to LMAs to Telecom 96--I was telling anyone who would listen that we were being scammed. But there always seemed to be a feeling among most practitioners--those of us who do radio on a daily basis--that we would somehow benefit, and so the scam was not just tolerated but admired. I still cringe to open "Radio Ink's" annual "Most Powerful" issues to see Lowry's idiot kids idolized as "industry leaders." Sort of like building a statue to honor Atilla The Hun for destroying your village... 
Logged
The Voice of Reason
rimember

Offline Offline

Posts: 1377


Re: The Radio Industry I left Behind
« Reply #6 on: October 24, 2008, 06:54:59 AM »

My friends the chickens have come home to roost. What radio is experiencing is the fallout from corporate greed. The victims, unfortunately, are those hard-working individuals who devoted many years of their adult lives trying to eek out a living, only to find themselves pushed out the front door because owners and managers wanted to increase their bottom-line.
I'm a capitalist; but also believe in the theory that having dedicated workers is what makes, or breaks, a company's future. Once a company starts cutting to the bone, you end up with a skeleton.
What is truly unfair is how a select few have managed to destroy a industry (broadcasting) while lining their pockets.
Someone on here once wrote that radio is dead. It might not be dead yet...but the Medical Examiner's office is standing by.
Logged

Broadcasting is the equivalent to Bizzaro World.
TheBigA
rimember

Online Online

Posts: 10919


Re: The Radio Industry I left Behind
« Reply #7 on: October 25, 2008, 10:26:47 AM »


Had our government not allowed the corporations to take over our small and medium markets, there would still be a place for good people to work in the industry. Well funded local owners could weather tough economic times without carelessly firing people.


Another approach would be to say: Had those smaller local owners not sold out to the big corporations....

A few did not.  Country star Buck Owens sold KNIX in Phoenix to Clear Channel.  But he kept KUZZ in Bakersfield for himself.  The money he got from the Phoenix station allowed him to hold on to the smaller stations for emotional reasons.
 
Lots of small companies were simply looking to get out.  This was a trend that began in the mid-80s that involved many of the founding companies that owned radio stations in the 20s.  Why?  For a number of reasons.  But in many cases, it was obvious that the days of smaller, more localized radio was over.  The number of stations in most markets had more than doubled, increasing the level of competition.  In an effort to cut costs, small local radio stations were outsouricing their engineering.  This was the start of cluster operations, long before the 96 Act.

One other mistake made was when the government reinstituted the cross-ownership rules that prevented newspapers from owning radio stations in the same town.  Lots of radio stations had been offshoots of their local newspapers.  They were forced to sell, and often to people or companies that weren't as committed to local service.  When you consider who in a local community is best suited to run a radio station, the obvious one is the local newspaper.  But for 30 years, they've been prevented from owning local radio.  That has hurt both the newspaper and the radio industry.

It's easy and convenient to blame corporate greed.  But there are a lot of former radio owners living in luxury right now because they sold when the prices were high, and got out before the new technologies came in and took over.  Who really is the greedy one?  The buyer or the seller?  I often read how their former employees wish for them to come back, buy back their stations at fire sale prices, and return radio to its former glory.  I have no reason to believe anyone is going to do that. 

But let's examine one well funded local owner, and see how he runs his radio stations.  Dan Snyder owns the Washington Redskins.  He also owns a number of Washington area radio stations.  He has been cycling employees through them like water, hiring and firing GMs, OM, and on-air people.  He recently fired a popular talk show host because the host was often critical of the Redskins.  THAT is what you get from well-funded local owners.

The fact is that most of the corporate owned radio stations are for sale right now.  You may not know it, but you might be able to buy a few at a good price.  The bad news is that when you take ownership, you'll find yourself with many of the same problems that the previous owners had.  Because the operating environment has changed greatly in the last ten years.  Great programming and lots of local involvement is not the attraction it once was. 

Ask yourself what you would be doing if you didn't own a computer and this message board didn't exist.  The answer is you'd be listening to the radio.  The reason radio is in trouble is not because of the owners, the programming, or the government.  It's because we have other things to do with our time. 
« Last Edit: October 25, 2008, 10:28:48 AM by TheBigA » Logged
SirRoxalot
rimember

Offline Offline

Posts: 7116


A? As in corporate Apologist?
« Reply #8 on: October 25, 2008, 12:56:46 PM »

Quote
Ask yourself what you would be doing if you didn't own a computer and this message board didn't exist.  The answer is you'd be listening to the radio.  The reason radio is in trouble is not because of the owners, the programming, or the government.  It's because we have other things to do with our time.

Actually, I'm on this message board, AND listening to radio. Why? Because there's great locally programmed music on that I like a lot. It's a Blues show - on the local NPR station because no local commercial station would ever host it. It gets great numbers - mostly from 35+ listeners who go out of their way to listen to it because it's not the pre-packaged corporate pap that we get served by most commercial stations.

The reason radio is in trouble is because corporations cut locally-produced programming and replaced it with generic crap that sounds the same in market after market after market after market. There are very few "oh, wow" moments outside of the morning show - typically the last bastion of locally produced programming.

PS - Dan Snyder is hardly a typical "well-funded local owner".
Logged

Here we go again...
TheBigA
rimember

Online Online

Posts: 10919


Re: A? As in corporate Apologist?
« Reply #9 on: October 25, 2008, 01:38:49 PM »


Actually, I'm on this message board, AND listening to radio.

There's always an exception to the rule.


The reason radio is in trouble is because corporations cut locally-produced programming and replaced it with generic crap that sounds the same in market after market after market after market.


And yet for some reason, those shows tend to be the ones that get the ratings. 

And at the same time, locally produced programming has simply not been a consistent ratings winner. 

Once again, I'm sure you'll bring up one or two exceptions, and that's wonderful.  But if you study the entire country as a whole, looking at the top-rated stations, formats, and approaches to radio, you will see that there is a good reason companies are doing what they're doing, and it's not simply to save money. 


PS - Dan Snyder is hardly a typical "well-funded local owner".


You can't vote on the people who own broadcasting as though it's some kind of reality TV show. 
Logged
Pages: [1] 2 3   Go Up
  Print  
 
Jump to:  

Powered by MySQL Powered by PHP

Postings on Radiodiscussions.com are the opinions of the people who post them. Views expressed do not necessarily represent the views of Radiodiscussions.com or its owner or operator. In fact many of the views expressed here are just plain wrong. But they are opinions and this site allows us all to discuss those opinions. Any reliance on information posted is done so at the user's own risk. For a detailed look at the rules, regulations and uses of Radiodiscussions.com please see our TERMS OF SERVICE.

Valid XHTML 1.0! Valid CSS!
Page created in 5.143 seconds with 20 queries.