TVNewscheck Exclusive

Big Deals = Big Changes In Station Groups

Page 8 of 9

2013 Revenue: $163 million
Stations: 16 in 10 markets
Coverage: 4.3%
Ownership: Journal Communications (NYSE:JRN)
Key executives: Steven J. Smith, chairman-CEO, Journal Communications; Andre J. Fernandez, president-COO, Journal Communications; Deborah Turner, EVP of television and president-GM News Channel 5 network, Nashville.

What's up: Journal sold its Palm Springs, Calif., NBC-MNT duopoly of KMIR-KPSE-LP last October to OTA Broadcasting for $17 million in cash. OTA, backed by billionaire computer retailer Michael Dell, has been buying stations with an eye toward selling spectrum back to the government in the FCC's planned incentive auction. The deal closed this January.

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The group changed ad reps last December, choosing  Eagle Television Sales of the Katz Television Group as the new national sales representative for 10 of the company’s stations in seven markets: Boise, Idaho (KIVI-KNIN); Green Bay, Wis. (WGBA-WACY); Lansing, Mich. (WSYM); Las Vegas (KTNV); Palm Springs, Calif. (KMIR-KPSE); Milwaukee (WTMJ) and Twin Falls, Idaho (KSAW). Nashville station WTVF, which Journal acquired in December 2012, was already represented by Eagle.

At the beginning of this year, Journal Broadcast Group made organizational changes to its leadership team. Journal Broadcast Group began the year with executive moves that included promoting Debbie Turner, EVP-GM of WTVF Nashville, to EVP of television, reporting to Andre Fernandez, president-CFO of Journal Communications.

In addition, KNTV Las Vegas GM Jim Prather assumed group-wide responsibilities for a number of strategic television efforts including retransmission consent agreement negotiations, network relations, original programming initiatives and TV Everywhere.

Former Fisher Communications executive Brian McHale was named Journal’s VP-chief technology officer in March, succeeding the retiring Andy Laird.

Brand Connections

Los Angeles
2013 Revenue: $126 million
Stations: 65 in 23 markets
Coverage: 13.9%
Ownership: Entravision Communications Corp. (NYSE: EVC)
Key executives: Walter F. Ulloa, chairman-CEO; Christopher T. Young, EVP-CFO-treasurer; Jeffery A. Liberman, COO; Mario M. Carrera, chief revenue officer

What's up: In advance of the FCC’s adopting a new regulation that would generally bar broadcasters from joint TV station retransmission consent negotiations, in March, Univision Communications asked the FCC to allow it to continue negotiating retransmission consent deals for all Entravision Communications stations.

St. Paul, Minn.
2013 Revenue: $117 million
Stations: 14 in 7 markets
Coverage: 3.3%
Ownership: Hubbard family
Key executives: Stanley S. Hubbard, chairman; Rob Hubbard, president, Hubbard Television Group

What's up: Hubbard made what President Rob Hubbard called a tough decision last December when it opted to change representation, dropping Petry Media for CoxReps. "It was no fun," Hubbard said, noting that the family-owned broadcast group's relationship with Petry dates back to the 1920s.

Another, less painful, move Hubbard made at the end of last year was the deal it signed with Internet Broadcasting Systems to provide digital advertising operations support for Hubbard’s TV group. The partnership includes creative development through campaign coordination and trafficking, as well as SEO and SEM.

22. Quincy Newspapers Inc.
Quincy, Ill.
Ownership: Private
2013 Revenue: $109 million
Coverage: 1.8%

Key executives: Ralph M. Oakley, president-CEO; Dennis Kendall, director of broadcast news; Dan Batchelor, director of broadcast sales

What’s up: This private, family-owned media company made acquisition news in February with its deal to buying three stations from Granite Broadcasting Corp. and one owned by Malara Broadcasting for $190 million. The stations are WEEK (NBC) Peoria-Bloomington, Ill. (DMA 117); WPTA (ABC-CW) Fort Wayne, Ind. (DMA 109); KBJR (NBC-MNT) and its satellite, KRII, in Duluth, Minn.-Superior, Wis. (DMA 139); and WBNG (CBS-CW) Binghamton, N.Y. (DMA 157).

In addition to owning and operating the newly acquired stations, Quincy said it would provide operating services to several stations, including WHOI and WAOE in Peoria-Bloomington, Ill., as well as stations to be acquired by Sagamore Hill Broadcasting: WISE Fort Wayne, Ind., and KDLH Duluth, Minn.-Superior, Wis. Those moves, which preceded the FCC’s crackdown on sharing agreements, may be why the deal is still awaiting FCC action.

Quincy Broadcasting upgraded its seven-year-old centralcasting setup with an infusion of new technology from Harris Broadcast that’s expected to improve the group’s workflow and cut down costs. The upgrade brought the group’s 12th station into its hub-and-spoke model last October, allowing the hubs to time and distribute syndicated programming, in addition to some new proprietary tasks, like distributing syndicated promos.

In December, NAB Television Board Chair Marci Burdick appointed Quincy Newspapers President-CEO Ralph Oakley to the NAB TV board of directors. He replaced Scott Blumenthal, LIN Media EVP of television, who retired.

St. Paul, Minn.
Ownership: Evening Post Industries (private)
2013 Revenue: $99 million
Stations: 26 in 12 markets
Coverage: 2%
Key executives: John Barnwell, CEO, Evening Post Industries; Terry Hurley, president; Cordillera; Dan Stein, director of programming and operations

What's up: Last August, the parent company of Cordillera Communications, Evening Post Publishing Co., changed its name to Evening Post Industries. According to company CEO John Barnwell: "The name change better reflects our existing diversified holdings and ongoing acquisition strategy beyond media, while keeping the legacy value of Evening Post.”


Comments (13) -

HopeUMakeit Nickname posted over 2 years ago
lets rank these mergers by how many people got laid off and how conpensation increased for the corporate shirts who dont produce new stories or do not sell ads.
Insider Nickname posted over 2 years ago
So you and the other comments of this ilk are for Socialism instead of Capitalism on which this Country was built. Good to know.
JamesV Nickname posted over 2 years ago
In what way does HopeUMakeit's comment suggest he/she is for Socialism? It's a fact of life that most mergers such as those discussed in the article result in employee layoffs, increased debt, and rarely any improvement in consumer/customer service. Given the Capitalism supposedly relies on effective competition to achieve its benefits, why do you believe that those opposed to such mergers are socialists or for socialism? Those who really believe in capitalism should want to see effective competition among many players, not reduced competition and fewer people working.
Insider Nickname posted over 2 years ago
To any reasonable person, they would only need to reread the post "lets rank these mergers by how many people got laid off and how conpensation (sic) increased for the the corporate shirts who dont produce new (sic) stories or do not sell ads." If you are unable to realize that post is anti-capitalism and pro-socialist, then I really cannot help you.
SalesGrrl Nickname posted over 2 years ago
The only founding principles this country had were Deism and that this was a Representative Republic. Socialism and Capitalism are byproducts of a later era, and those ideals were not part of our country's founding. And Socialism, I might add, would oppose mergers and individual ownership of something so important as our public airwaves, and would favor government control, which is not what HopeUMakeit is advocating. Also, true Capitalism would disapprove of the mergers, as the creation of huge media conglomerates would decrease the competition between stations. So really, there is nothing in your comment that is correct, other than your usage of ilk, which is laudable.
Insider Nickname posted over 2 years ago
Your post is so full of flaws in its attempt to twist something around to try and make points it would take a JC 5000 word post to address it all, which I am not inclined to do. 1) The Country's founders believed in a higher being, but one that did not care about us. 2) I never stated that the Country was founded on Capitalism v Socialism. 3) HopeUMakeIt's entire post is based on mergers should be looked at on the effect they have on people's jobs (which as the base principal of the Founding Fathers that "the higher being" did not care about us, and thus goes against that basic concept you seem to be trying to weave into this). 4) The Public Airwaves are the Public Airwaves, despite your assertion of the opposite. The Company pays for the license, which can be revoked, as we have seen in the past. 5) To say that Capitalism would disapprove of mergers is fiction. Monopolies yes, Mergers no. 6) As thus, your entire post is nothing but a group of assorted facts which does nothing to build a case to the point HopeUMakeIt and yourself are trying to establish.
HopeUMakeit Nickname posted a year ago
American History is not your strong point. You expose your shortfall with your capitalism comment.
SCOTT GILBERT posted over 2 years ago
It's what I call Clear Channeling... Buy everything you can and amass a huge amount of debt. Then reduce "synergies" until there's hardly anyone left and quality of the product falls, while telling everyone it's all getting better and better. Then continually kick the can of debt down the road...
boisemedia2 Nickname posted over 2 years ago
Betasso is no longer with Gannett.
CEOBOY711 Nickname posted over 2 years ago
nothing to add to the first two brilliant comments. they are right on the money.
tvspy Nickname posted over 2 years ago
It takes "two to tango". The sellers are unable to continue to run their companies at a profit margin suitable to longterm health. Unfortunately, as in any merger, the areas of duplication that get cut. Peopless Master Control, robotic cameras, and centralized/regional hubbing of traffic/accounting, and MMJ's versus photog's are the reasons people are loosing jobs. Mergers simply speed up the process that would have inevitable happened in the longrun...or why would they be selling?
HopeUMakeit Nickname posted a year ago
"these sellers are unable to run their companies at a profit margin suitable to longterm health" !! what a fricking joke. !! and I know. I am a employee of one of the above referenced companies and we print money like the mint. Your "tango" had nothing whatsoever t do with logic or leverage or clout. It was only about money going to a small group of people who were alredy rich.
JamesV Nickname posted over 2 years ago
Why would they be selling? For the financial benefit that can accrue to shareholders and executives. Simple as that. How much money were the merger entities losing at the time of their mergers? It's a matter of either increasing the value of equity held, cashing out on equity held, increasing the longer term value of equity held, or possibly increasing profit margins. It's all about benefiting those at the top, regardless of the impact on employees, consumers or the public interest.
Marketshare Blog Playout Blog




Overnights, adults 18-49 for September 22, 2016
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Source: Nielsen


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