• Get involved.
    We want your input!
    Apply for Membership and join the conversations about everything related to broadcasting.

    After we receive your registration, a moderator will review it. After your registration is approved, you will be permitted to post.
    If you use a disposable or false email address, your registration will be rejected.

    After your membership is approved, please take a minute to tell us a little bit about yourself.
    https://www.radiodiscussions.com/forums/introduce-yourself.1088/

    Thanks in advance and have fun!
    RadioDiscussions Administrators

Big League Broadcasting takes a haircut and a bath in St. Louis

B

busterluck

Big League Broadcasting who LMA's WQXI (AM) the Zone in Atlanta a few years back decided to buy a trio of suburban St. Louis area radio stations. Saltzman and Shapiro said they were going to show St. Louis how radio was really going to be done by their Big League Broadcasting Company. But then the losses operating the stations began.

Big League paid 11.5 Million cash for a 1KW AM on 590 licensed to Wood River, Illinois, a far suburban Class A FM two counties removed from the City of St. Louis licensed to Troy, Missiouri, and a 10KW five tower directional daytimer licensed to DeSoto, Missouri.

Several months ago Big League sold the Troy FM for $450,000, then sold the 1190 Daytimer for $600,000. Today, it is announced that the remainer of the Big Leauge assets and the 590 license are being sold to a local group for only 1.4 million. Total sale of all three nets Big League only $2,450,000. Figuring the purchase price of $11,500,000 equals a loss of $9,050,000. That is a big league loss for Saltzman & Shapiro and their investors. Sadly, this is how far station prices have fallen in the past four years. A Big League strikeout!
 
(Keeping this topic Atlanta-centric...)

Still a bargain compared to WGST!
 
I doubt they're actually losing $9 million. This sounds like a short sale, meaning the bank has agreed to accept less than was owed. Lenders are sometimes willing to do this when a property is headed toward foreclosure.

Even with just 1,000 watts, that 590 signal is actually really good across the St. Louis market.
 
RoddyFreeman said:
I doubt they're actually losing $9 million. This sounds like a short sale, meaning the bank has agreed to accept less than was owed. Lenders are sometimes willing to do this when a property is headed toward foreclosure.

Even with just 1,000 watts, that 590 signal is actually really good across the St. Louis market.
Click to expand...

Short sale generally only applies to residential property. Either way, they still sold the stations for $9 mil less than what they were purchased for. Somebody is coming out on the short end of the stick.
 
The 590 signal is ok within the city of St.Louis, but does not cover the entire MSA. Big League suffered from bad ratings for years, often less than a 1.o 12 plus. Additionallyh there were 4 other stations with sport formats in the market. Then the final blow came when a full powereed Class C1 FM went all sports and hired most of the good St. Louis air talent. Big League just did not perform well at all in St. Louis.
 
Status
This thread has been closed due to inactivity. You can create a new thread to discuss this topic.


Back
Top Bottom