It's official - News 92 is Sinking

[KTN Corp]

Just curious...why would CBS be interested, at all, in KROI?

For an affiliation to replace ABC News Radio. ABC sounds so hysterical at the TOH update, no wonder KROI is losing listeners.

 

[JustinT]

Why do you guys think CBS would be interested in 92.1?

1) CBS could try putting their touch on the all-news format... excluding WTOP, they own nearly all of the nation's all-news powerhouse stations.

2) CBS could add a 5th FM... Clear Channel/Univision/Cumulus seem pretty much stuck with what they have due to the ownership cap, and if the posts on this board are to be believed, Liberman is broke.

They have a pretty solid cluster as it stands and haven't they been more in the sell mode in the last few years?

In the past two years, they've added an FM in New York City, an FM in Washington, and reportedly made an offer to add an FM in Philadelphia. They've dropped a few markets, but all much smaller than Houston (Buffalo and West Palm Beach come to mind).

 

[JimTexBell]

I have to wonder what possible difference it would make for CBS to come in and buy KROI? News 92's biggest problem is a lack of identity. I think we can all agree that it has a lot of good people putting out a good product, so what would CBS do that Radio One isn't doing? News 92 would have new owners facing the same problem of local identity and trying to find solutions for it.

 

[Mediafrog+]

Just curious...why would CBS be interested, at all, in KROI?

SportsRadio 92.1, in order to plunge a knife into 790.

 

[davideduardo]

...and if the posts on this board are to be believed, Liberman is broke.

"Broke" is not really the term to use.

LBI discloses its financials, and these can be viewed online.

From an August 29 S&P report:

"LBI Media Downgraded To Selective Default ('SD') On Senior Discount Notes Exchange "

 

[JimTexBell]

****SportsRadio 92.1, in order to plunge a knife into 790. ****

Sure. Just what Houston needs. Another sports radio format. That pie is already divided up several ways. By going to sports, KROI would just get a smaller piece of it.

 

[purpledevil]

92 flipping to sports wouldn't knock out KBME, either. 97.5's been trying to do that for several years now without success. Add that to KBME being the flagship for both the Rockets and Astros, and you'll quickly see that 790 is here to stay.

I'll speculate a little for fun. If CBS gets a hold of KROI, day one should involve a flip to classic country, a return of KIKK's call to FM, and finally level the playing field of the country war in this City. Perhaps this would also convince CBS to put some worthwhile effort back into KILT-FM. Lord knows, it needs some attention.

But alas...I still imagine CBS' interest in obtaining 92.1 is extremely doubtful. RO would have to sell it for around $80 million just to break even considering the outrageous price they paid for it when they purchased it from the Studes.

 

[Mediafrog+]

92 flipping to sports wouldn't knock out KBME, either. 97.5's been trying to do that for several years now without success.

97.5's biggest problem is that the local shows stink. I try listening from time to time...too much rambling about non-sports stuff, lack of intelligent discussion. Much of what made "1560 The Game" so easy to hate.

Add that to KBME being the flagship for both the Rockets and Astros, and you'll quickly see that 790 is here to stay.

Those contracts will eventually expire. And 790 has nighttime signal issues, which Charlie Pallilo has constantly complained about on the air.

I'll speculate a little for fun. If CBS gets a hold of KROI, day one should involve a flip to classic country, a return of KIKK's call to FM, and finally level the playing field of the country war in this City. Perhaps this would also convince CBS to put some worthwhile effort back into KILT-FM. Lord knows, it needs some attention.

We already have Country Legends 97.1, which does surprisingly well despite the rimshot signal. Would further dilute the Country market, involving demographics that are shrinking. A better scenario would have Cox buy 92.1 and simulcast Country Legends, reestablishing a pairing that existed for three years in the 1990's with KRTS and KRTK.

But alas...I still imagine CBS' interest in obtaining 92.1 is extremely doubtful. RO would have to sell it for around $80 million just to break even considering the outrageous price they paid for it when they purchased it from the Studes.

RO will lose money on any sale of 92.1...they would just be cutting their losses. Michael Stude was a genius for selling 92.1 at the peak of the radio market in 2004.