The Prospect of Even More Radio Cutbacks

I have long suspected that this week's latest round of "layoffs" formerly known as firings would not end with the 590 victims Clear Channel claimed.

Now, I'm sure of it.

I'm told Chief Execution Officer John Hogan in a Clear Channel webinar said this is the end of the firings. The good company man that he is -- Hogan said they did their due diligence and this should take care of the personnel cutbacks.

That's why I am convinced there will be more -- because Hogan says there won't be.

But no matter what, the cutbacks and firings are proving to be not enough to save consolidated radio companies.

Clear&hellip

The Prospect of Even More Radio Cutbacks

I have long suspected that this week's latest round of "layoffs" formerly known as firings would not end with the 590 victims Clear Channel claimed.

Now, I'm sure of it.

I'm told Chief Execution Officer John Hogan in a Clear Channel webinar said this is the end of the firings. The good company man that he is -- Hogan said they did their due diligence and this should take care of the personnel cutbacks.

That's why I am convinced there will be more -- because Hogan says there won't be.

But no matter what, the cutbacks and firings are proving to be not enough to save consolidated radio companies.

Clear&hellip

The Prospect of Even More Radio Cutbacks

I have long suspected that this week's latest round of "layoffs" formerly known as firings would not end with the 590 victims Clear Channel claimed.

Now, I'm sure of it.

I'm told Chief Execution Officer John Hogan in a Clear Channel webinar said this is the end of the firings. The good company man that he is -- Hogan said they did their due diligence and this should take care of the personnel cutbacks.

That's why I am convinced there will be more -- because Hogan says there won't be.

But no matter what, the cutbacks and firings are proving to be not enough to save consolidated radio companies.

Clear&hellip

Breaking Down the Clear Channel Firings

Clear Channel President and CEO John "The Chiropractor" Hogan has now completed an adjustment on his patient.

In one day (yesterday) -- 590 people were fired from Clear Channel. Add this to the 1,800 or so that were cleared out in January and all the "little firings" in between and you can see why Hogan has become the CEO (Chief Execution Officer).

And the term "adjustment" is exactly how Hogan described this mass execution of radio talent to the surviving employees in a company letter:

"In January, we took the first steps to adjust our business to the realities that all media companies face this year. Those actions&hellip

Breaking Down the Clear Channel Firings

Clear Channel President and CEO John "The Chiropractor" Hogan has now completed an adjustment on his patient.

In one day (yesterday) -- 590 people were fired from Clear Channel. Add this to the 1,800 or so that were cleared out in January and all the "little firings" in between and you can see why Hogan has become the CEO (Chief Execution Officer).

And the term "adjustment" is exactly how Hogan described this mass execution of radio talent to the surviving employees in a company letter:

"In January, we took the first steps to adjust our business to the realities that all media companies face this year. Those actions&hellip

Breaking Down the Clear Channel Firings

Clear Channel President and CEO John "The Chiropractor" Hogan has now completed an adjustment on his patient.

In one day (yesterday) -- 590 people were fired from Clear Channel. Add this to the 1,800 or so that were cleared out in January and all the "little firings" in between and you can see why Hogan has become the CEO (Chief Execution Officer).

And the term "adjustment" is exactly how Hogan described this mass execution of radio talent to the surviving employees in a company letter:

"In January, we took the first steps to adjust our business to the realities that all media companies face this year. Those actions&hellip

The Next Radio Firings

On the eve of the next round of "layoffs" at Clear Channel, information is beginning to emerge of who may be let go.

There is no way to know for sure, but lately the way Clear Channel works is to follow a well thought out plan.

I'm hearing that some program directors may be in line for unemployment soon -- especially off-air PDs.

That, as one reader told me, "the smaller markets are about to lose their engineers although disguised as an emergency operations center in the event of an emergency it will be an engineering national operations center dispatching contract engineers when needed".

There is some thinking&hellip

The Next Radio Firings

On the eve of the next round of "layoffs" at Clear Channel, information is beginning to emerge of who may be let go.

There is no way to know for sure, but lately the way Clear Channel works is to follow a well thought out plan.

I'm hearing that some program directors may be in line for unemployment soon -- especially off-air PDs.

That, as one reader told me, "the smaller markets are about to lose their engineers although disguised as an emergency operations center in the event of an emergency it will be an engineering national operations center dispatching contract engineers when needed".

There is some thinking&hellip

The Next Radio Firings

On the eve of the next round of "layoffs" at Clear Channel, information is beginning to emerge of who may be let go.

There is no way to know for sure, but lately the way Clear Channel works is to follow a well thought out plan.

I'm hearing that some program directors may be in line for unemployment soon -- especially off-air PDs.

That, as one reader told me, "the smaller markets are about to lose their engineers although disguised as an emergency operations center in the event of an emergency it will be an engineering national operations center dispatching contract engineers when needed".

There is some thinking&hellip

Clear Channel’s Fake Localism

I guess Clear Channel CEO John Slogan Hogan thinks he's got everyone buffaloed over his companies disingenuous localism initiative.

Hogan somehow thinks if he keeps saying the word localism while doing everything in his power to reduce it at Clear Channel stations that perception will once again trump reality.

It usually does -- as many researchers will tell you.

But this time, I don't think he's going to pull it off. Let me tell you why.

Of course you already know that the main reason Clear Channel is firing local talent is to save money. And that they need to save money because of the recession -- not&hellip

Clear Channel’s Fake Localism

I guess Clear Channel CEO John Slogan Hogan thinks he's got everyone buffaloed over his companies disingenuous localism initiative.

Hogan somehow thinks if he keeps saying the word localism while doing everything in his power to reduce it at Clear Channel stations that perception will once again trump reality.

It usually does -- as many researchers will tell you.

But this time, I don't think he's going to pull it off. Let me tell you why.

Of course you already know that the main reason Clear Channel is firing local talent is to save money. And that they need to save money because of the recession -- not&hellip

Clear Channel’s Fake Localism

I guess Clear Channel CEO John Slogan Hogan thinks he's got everyone buffaloed over his companies disingenuous localism initiative.

Hogan somehow thinks if he keeps saying the word localism while doing everything in his power to reduce it at Clear Channel stations that perception will once again trump reality.

It usually does -- as many researchers will tell you.

But this time, I don't think he's going to pull it off. Let me tell you why.

Of course you already know that the main reason Clear Channel is firing local talent is to save money. And that they need to save money because of the recession -- not&hellip

An Apple-Inspired Radio & Records Turnaround

Many if not most of my readers are progressive thinkers based on the contact I have had with them since I have been writing in this space.

People who love radio.

Passionate about the music industry and a shared fascination about new media and the role of differing generational traits that drive today

An Apple-Inspired Radio & Records Turnaround

Many if not most of my readers are progressive thinkers based on the contact I have had with them since I have been writing in this space.

People who love radio.

Passionate about the music industry and a shared fascination about new media and the role of differing generational traits that drive today

An Apple-Inspired Radio & Records Turnaround

Many if not most of my readers are progressive thinkers based on the contact I have had with them since I have been writing in this space.

People who love radio.

Passionate about the music industry and a shared fascination about new media and the role of differing generational traits that drive today

Online Radio Listening

Edison Research and Arbitron did a survey recently in which 17% of the respondents said they listened to online radio in the survey week.

That

Online Radio Listening

Edison Research and Arbitron did a survey recently in which 17% of the respondents said they listened to online radio in the survey week.

That

Online Radio Listening

Edison Research and Arbitron did a survey recently in which 17% of the respondents said they listened to online radio in the survey week.

That

Texting and Radio

The number one obsession of young people nationwide is text messaging.

We are beginning to see some significant trends that are worth keeping an eye on:

1. Text messaging continues to grow at a rapid pace. Texting is the Holy Grail for Gen Y. Nothing is more a part of their lives. Most would even do without an iPod before a cell phone because of its texting capabilities. Radio is not heard here.

2. While Facebook growth is slowing among young people (after all, they are already there), it is growing rapidly among the over 30 crowd. You know that because some of you have only recently taken the Facebook&hellip

Texting and Radio

The number one obsession of young people nationwide is text messaging.

We are beginning to see some significant trends that are worth keeping an eye on:

1. Text messaging continues to grow at a rapid pace. Texting is the Holy Grail for Gen Y. Nothing is more a part of their lives. Most would even do without an iPod before a cell phone because of its texting capabilities. Radio is not heard here.

2. While Facebook growth is slowing among young people (after all, they are already there), it is growing rapidly among the over 30 crowd. You know that because some of you have only recently taken the Facebook&hellip

Texting and Radio

The number one obsession of young people nationwide is text messaging.

We are beginning to see some significant trends that are worth keeping an eye on:

1. Text messaging continues to grow at a rapid pace. Texting is the Holy Grail for Gen Y. Nothing is more a part of their lives. Most would even do without an iPod before a cell phone because of its texting capabilities. Radio is not heard here.

2. While Facebook growth is slowing among young people (after all, they are already there), it is growing rapidly among the over 30 crowd. You know that because some of you have only recently taken the Facebook&hellip

Flirting With Radio Listener Implosion

You know the radio industry really has it wrong when it doesn't even know what time it is -- that is to say, what time it gets its largest audience.

It appears new People Meter results show that 3-4 pm is actually radio

Flirting With Radio Listener Implosion

You know the radio industry really has it wrong when it doesn't even know what time it is -- that is to say, what time it gets its largest audience.

It appears new People Meter results show that 3-4 pm is actually radio

Flirting With Radio Listener Implosion

You know the radio industry really has it wrong when it doesn't even know what time it is -- that is to say, what time it gets its largest audience.

It appears new People Meter results show that 3-4 pm is actually radio

Silent Radio

The other day I heard that a very small AM station here in Scottsdale was going silent.

The owner apparently would rather pull the plug than sell the license to his employees and didn

Silent Radio

The other day I heard that a very small AM station here in Scottsdale was going silent.

The owner apparently would rather pull the plug than sell the license to his employees and didn

Silent Radio

The other day I heard that a very small AM station here in Scottsdale was going silent.

The owner apparently would rather pull the plug than sell the license to his employees and didn

Clear Channel’s Repeater Radio Sham

Clear Channel's latest managers meeting has produced the industry's biggest bait-and-switch plan to nationalize and regionalize its programming to save money.

The company is burning through cash at a record pace and the largest radio consolidator, now owned by Lee Capital Partners and Bain Media, has resorted to selling snake oil to the public, federal regulators and lawmakers.

Under the guise of producing better radio, Clear Channel has announced a quality improvement plan.

As Inside Radio put it, "CC PD's to Focus on Quality".

That's really odd because Clear Channel PDs had no problem focusing on quality&hellip

Clear Channel’s Repeater Radio Sham

Clear Channel's latest managers meeting has produced the industry's biggest bait-and-switch plan to nationalize and regionalize its programming to save money.

The company is burning through cash at a record pace and the largest radio consolidator, now owned by Lee Capital Partners and Bain Media, has resorted to selling snake oil to the public, federal regulators and lawmakers.

Under the guise of producing better radio, Clear Channel has announced a quality improvement plan.

As Inside Radio put it, "CC PD's to Focus on Quality".

That's really odd because Clear Channel PDs had no problem focusing on quality&hellip

Clear Channel’s Repeater Radio Sham

Clear Channel's latest managers meeting has produced the industry's biggest bait-and-switch plan to nationalize and regionalize its programming to save money.

The company is burning through cash at a record pace and the largest radio consolidator, now owned by Lee Capital Partners and Bain Media, has resorted to selling snake oil to the public, federal regulators and lawmakers.

Under the guise of producing better radio, Clear Channel has announced a quality improvement plan.

As Inside Radio put it, "CC PD's to Focus on Quality".

That's really odd because Clear Channel PDs had no problem focusing on quality&hellip

Radio’s Four Bankruptcy Options

A day hardly goes by without news reports from radio groups that their business is tanking faster than anyone ever anticipated.

Take Cox and Emmis.

Both good companies. Run by solid radio execs.

Their quarterly revenues are down by a fourth.

Emmis is not far away from being in violation of its loan covenants

Radio’s Four Bankruptcy Options

A day hardly goes by without news reports from radio groups that their business is tanking faster than anyone ever anticipated.

Take Cox and Emmis.

Both good companies. Run by solid radio execs.

Their quarterly revenues are down by a fourth.

Emmis is not far away from being in violation of its loan covenants

Radio’s Four Bankruptcy Options

A day hardly goes by without news reports from radio groups that their business is tanking faster than anyone ever anticipated.

Take Cox and Emmis.

Both good companies. Run by solid radio execs.

Their quarterly revenues are down by a fourth.

Emmis is not far away from being in violation of its loan covenants

Great Apple Apps for Radio

Yesterday I was talking about how important it will be for the radio industry to do more than port their terrestrial signals over to new media.

There are so many options beginning to open up and yet the radio industry continues to ignore them.

I understand that most radio CEOs have enough trouble just surviving until tomorrow because of all the debt they accumulated in good times.

They refused to look ahead to the future.

Refused to budget for the future.

At no point did any public group assign even as little as 5% of their annual operating budget to new media. No wonder as traditional terrestrial&hellip

Great Apple Apps for Radio

Yesterday I was talking about how important it will be for the radio industry to do more than port their terrestrial signals over to new media.

There are so many options beginning to open up and yet the radio industry continues to ignore them.

I understand that most radio CEOs have enough trouble just surviving until tomorrow because of all the debt they accumulated in good times.

They refused to look ahead to the future.

Refused to budget for the future.

At no point did any public group assign even as little as 5% of their annual operating budget to new media. No wonder as traditional terrestrial&hellip

Great Apple Apps for Radio

Yesterday I was talking about how important it will be for the radio industry to do more than port their terrestrial signals over to new media.

There are so many options beginning to open up and yet the radio industry continues to ignore them.

I understand that most radio CEOs have enough trouble just surviving until tomorrow because of all the debt they accumulated in good times.

They refused to look ahead to the future.

Refused to budget for the future.

At no point did any public group assign even as little as 5% of their annual operating budget to new media. No wonder as traditional terrestrial&hellip

The Digital Future Radio Is Missing

(Clockwise from JD in blue -- Bruce St. James, Ken Dowe, Jim Taszarek and Todd Wallace at a recent Scottsdale Study Group lunch)

The other day Major League Baseball announced a blockbuster initiative that could give new meaning to the term Internet streaming.

MLB's At Bat Apple application makes it possible for users of iPhones or iPod Touch devices to receive streams of broadcasts for every major league baseball game in 2009 for a one-time fee of $9.99.

As of yesterday, At Bat was the fourth best selling application for the iPhone and it is one of the most expensive apps even at a reasonable $9.99.

That's still&hellip

The Digital Future Radio Is Missing

(Clockwise from JD in blue -- Bruce St. James, Ken Dowe, Jim Taszarek and Todd Wallace at a recent Scottsdale Study Group lunch)

The other day Major League Baseball announced a blockbuster initiative that could give new meaning to the term Internet streaming.

MLB's At Bat Apple application makes it possible for users of iPhones or iPod Touch devices to receive streams of broadcasts for every major league baseball game in 2009 for a one-time fee of $9.99.

As of yesterday, At Bat was the fourth best selling application for the iPhone and it is one of the most expensive apps even at a reasonable $9.99.

That's still&hellip

Handicapping Radio Bankruptcy

Since consolidation the radio industry has always depended on ample advertising revenue to pump free cash into paying debt.

As long as the major groups could keep the money coming in, they could make payments on the massive debt they accrued by acquiring stations at unrealistically high prices.

Now, many of the major consolidators are in danger of defaulting on their loans.

Unlike in better times, they can't get banks to simply refinance the debt at favorable rates (to the banks!).

Of course, the banks also have a problem.

If they cause a default, they could drive the radio group into bankruptcy and risk&hellip

Handicapping Radio Bankruptcy

Since consolidation the radio industry has always depended on ample advertising revenue to pump free cash into paying debt.

As long as the major groups could keep the money coming in, they could make payments on the massive debt they accrued by acquiring stations at unrealistically high prices.

Now, many of the major consolidators are in danger of defaulting on their loans.

Unlike in better times, they can't get banks to simply refinance the debt at favorable rates (to the banks!).

Of course, the banks also have a problem.

If they cause a default, they could drive the radio group into bankruptcy and risk&hellip

Fagreed Takes a Haircut

Citadel CEO Farid "Fagreed" Suleman's income for last year was announced yesterday and it appears he's taking a big hit on compensation.

The $11 million man in 2007 -- and $17 million dollar man from 2006 made only $1,262,248 to the penny last year.

He voluntarily gave up stock options -- you know, with Teddy Forstmann holding a gun to his head. (Okay, I kid Fagreed).

Actually, he did take a pass on compensation. This is what the proxy revealed:

"Stock award compensation of $4,819,642 is comprised of $3,440,000 related to 2,000,000 shares of restricted stock with solely time-based vesting conditions and&hellip

Fagreed Takes a Haircut

Citadel CEO Farid "Fagreed" Suleman's income for last year was announced yesterday and it appears he's taking a big hit on compensation.

The $11 million man in 2007 -- and $17 million dollar man from 2006 made only $1,262,248 to the penny last year.

He voluntarily gave up stock options -- you know, with Teddy Forstmann holding a gun to his head. (Okay, I kid Fagreed).

Actually, he did take a pass on compensation. This is what the proxy revealed:

"Stock award compensation of $4,819,642 is comprised of $3,440,000 related to 2,000,000 shares of restricted stock with solely time-based vesting conditions and&hellip

Inside Apple’s New iTunes Pricing

Apple yesterday pulled off another masterful move to get consenting adults to pay for music that they otherwise could own for free.

And, they made the record labels think they finally won a round by instituting variable pricing on iTunes.

As I've often said, be careful what you wish for.

The new DRM-free music library allows you to buy music for 69 cents, 99 cents or the low, low price of $1.29 for some cuts.

Lots of luck.

You're not going to find a lot of 69 cent songs -- it's just a slight of hand for the $1.29 cent downloads. In reality, most everything else remains as it was -- 99&hellip

Inside Apple’s New iTunes Pricing

Apple yesterday pulled off another masterful move to get consenting adults to pay for music that they otherwise could own for free.

And, they made the record labels think they finally won a round by instituting variable pricing on iTunes.

As I've often said, be careful what you wish for.

The new DRM-free music library allows you to buy music for 69 cents, 99 cents or the low, low price of $1.29 for some cuts.

Lots of luck.

You're not going to find a lot of 69 cent songs -- it's just a slight of hand for the $1.29 cent downloads. In reality, most everything else remains as it was -- 99&hellip

Trends for Radio & Records To Watch

1. No sooner than Twitter takes the world by storm, Google (the Clear Channel of the Internet) tries to buy it.

The speculation is that Twitter's founders sell for about $250 million and move on. After all, the same group sold Blogger to Google five years ago.

Action Step: Outsource for creativity. Big companies are woefully insufficient in coming up with big ideas. Clear Channel and major record labels, this means&hellip

Trends for Radio & Records To Watch

1. No sooner than Twitter takes the world by storm, Google (the Clear Channel of the Internet) tries to buy it.

The speculation is that Twitter's founders sell for about $250 million and move on. After all, the same group sold Blogger to Google five years ago.

Action Step: Outsource for creativity. Big companies are woefully insufficient in coming up with big ideas. Clear Channel and major record labels, this means&hellip

The Emmis Rent-a-Station

Did you see what Emmis did late last week?

They gave up on their Not Movin' format to enter into a deal with Grupo Radio Centro out of Mexico City to turn over the KMVN-FM 93.9 frequency so Grupo can operate a Mexican station in LA.

I love this.

And there are lots of repercussions for radio -- most of them good -- if we'll allow them to be.

More on that in a second.

Here's the Emmis deal that outsources a good radio facility to Mexico.

It's a long-term LMA (Local Marketing Agreement) with a powerful Mexican broadcaster. The LMA starts April 15th. Emmis gets $7 million a year for seven years&hellip

The Emmis Rent-a-Station

Did you see what Emmis did late last week?

They gave up on their Not Movin' format to enter into a deal with Grupo Radio Centro out of Mexico City to turn over the KMVN-FM 93.9 frequency so Grupo can operate a Mexican station in LA.

I love this.

And there are lots of repercussions for radio -- most of them good -- if we'll allow them to be.

More on that in a second.

Here's the Emmis deal that outsources a good radio facility to Mexico.

It's a long-term LMA (Local Marketing Agreement) with a powerful Mexican broadcaster. The LMA starts April 15th. Emmis gets $7 million a year for seven years&hellip

Radio’s Internet Future Is Not What You Think It Is

The radio industry is beginning to get the idea that its future is on the Internet.

The best way to deliver that message is when it comes at a financial conference such as the Kagan event in New York City. (For some reason programmers and creative people who have been saying this for years have previously been ignored).

Kurt Hanson and Paul Maloney who write Radio And Internet Newsletter provide some context:

TargetSpot CEO Doug Perlson said on a panel,

Radio’s Internet Future Is Not What You Think It Is

The radio industry is beginning to get the idea that its future is on the Internet.

The best way to deliver that message is when it comes at a financial conference such as the Kagan event in New York City. (For some reason programmers and creative people who have been saying this for years have previously been ignored).

Kurt Hanson and Paul Maloney who write Radio And Internet Newsletter provide some context:

TargetSpot CEO Doug Perlson said on a panel,

9 Months and Counting for Citadel Radio

Citadel just bought itself a little more time to avoid bankruptcy by renegotiating deals with lenders.

It isn't pretty.

May not even be doable.

Both the lenders and Citadel CEO Farid "Fagreed" Suleman have no choice. Bankruptcy is the likely end of Citadel and bankruptcy is absolutely the end for the lenders.

That's why both sides keep dancing with each other. They may not like their partners. May step on each other's toes, but they're all they've got right now.

Here's the latest:

1. For the fourth time in 12 months, Citadel has changed its finance agreements with lenders (the other times being&hellip

9 Months and Counting for Citadel Radio

Citadel just bought itself a little more time to avoid bankruptcy by renegotiating deals with lenders.

It isn't pretty.

May not even be doable.

Both the lenders and Citadel CEO Farid "Fagreed" Suleman have no choice. Bankruptcy is the likely end of Citadel and bankruptcy is absolutely the end for the lenders.

That's why both sides keep dancing with each other. They may not like their partners. May step on each other's toes, but they're all they've got right now.

Here's the latest:

1. For the fourth time in 12 months, Citadel has changed its finance agreements with lenders (the other times being&hellip

Facebook Strategies for Radio

(With my daughter, the Facebook "consultant" and son who uses Facebook to communicate with fans of his Home Theater Review website).

Facebook, the Gen Y social networking site that older generations are now beginning to embrace, is ready to count its 200 millionth user sometime this week.

200 million Facebook users!

Talk about rapid growth.

In August, just seven months ago, Facebook users hit 100 million.

Mark Zuckerberg, the 24 year old Harvard dropout, only started Facebook about five years ago. First at Harvard, then a few other schools before opening it up to every university.

Facebook is&hellip

Facebook Strategies for Radio

(With my daughter, the Facebook "consultant" and son who uses Facebook to communicate with fans of his Home Theater Review website).

Facebook, the Gen Y social networking site that older generations are now beginning to embrace, is ready to count its 200 millionth user sometime this week.

200 million Facebook users!

Talk about rapid growth.

In August, just seven months ago, Facebook users hit 100 million.

Mark Zuckerberg, the 24 year old Harvard dropout, only started Facebook about five years ago. First at Harvard, then a few other schools before opening it up to every university.

Facebook is&hellip