Clear Channel should Close Shop!

[BossJock1947]

Standard & Poor’s says the Clear Channel offer is tantamount to a default.
S&P generally approves when companies strive to pay down debt and improve liquidity. But the ratings agency takes a very dim view of Clear Channel’s below-par value offers for its bonds. It drops the corporate credit ratings on Clear Channel and its parent CC Media Holdings to “CC”, says Reuters – ten notches below investment grade.

What a bunch of creepy crooks! If I decided to pay my bills by paying just half i'd be out of business in a minute. I agree with S&P. The pathetic CC offering is grounds for a DEFAULT.

Get out of the radio business Crap Channel!!!!!! Let us Honest broadcasters have our industry back!!!

 

[oaktree]

Only problem -- it was the so-called "honest broadcasters" who caved in to the big, fat Clear Channel checkbook in the first place, which led to consolidation by everyone else.

The "honest broadcasters" saw the chance to bail when times for them weren't very good back in the mid-90s recession era and that radio's growth was at a stalemate. Some were losing blood red and wanted out. In comes Clear Channel on a white horse to rule the day ... and to "save" radio.

There are LOTS of people still laughing when they open their checkbooks every morning who say, "those idiots" ... when de-regulation, consolidation and the new "rules" on ownership came about, with leveraged debt that they ... nor Clear Channel (and others) couldn't afford.

The radio industry will never be "given back" to "honest broadcasters." They are the ones who sold out for the big bucks. Now, no one wants to play the game with the inflated prices because of "mismanagement" of the mega-groups and Wall Stret investors.

Those who kept focus are doing quite well. Clear Channel ... is not. Nor is Citadel, Beasley, Emmis, Cumulus, etc. etc.

 

[BossJock1947]

Only problem -- it was the so-called "honest broadcasters" who caved in to the big, fat Clear Channel checkbook in the first place, which led to consolidation by everyone else.

The "honest broadcasters" saw the chance to bail when times for them weren't very good back in the mid-90s recession era and that radio's growth was at a stalemate. Some were losing blood red and wanted out. In comes Clear Channel on a white horse to rule the day ... and to "save" radio.

There are LOTS of people still laughing when they open their checkbooks every morning who say, "those idiots" ... when de-regulation, consolidation and the new "rules" on ownership came about, with leveraged debt that they ... nor Clear Channel (and others) couldn't afford.

The radio industry will never be "given back" to "honest broadcasters." They are the ones who sold out for the big bucks. Now, no one wants to play the game with the inflated prices because of "mismanagement" of the mega-groups and Wall Stret investors.

Those who kept focus are doing quite well. Clear Channel ... is not. Nor is Citadel, Beasley, Emmis, Cumulus, etc. etc.

Wrong. Just because you "sell out" doesn't mean you're dishonest. That's absurd. They saw radio dying and yes they sold out. The dis-honest ones are the Mays among others who are offering half on the dollar.

 

[One Who Knows]

Only problem -- it was the so-called "honest broadcasters" who caved in to the big, fat Clear Channel checkbook in the first place, which led to consolidation by everyone else.

The "honest broadcasters" saw the chance to bail when times for them weren't very good back in the mid-90s recession era and that radio's growth was at a stalemate. Some were losing blood red and wanted out. In comes Clear Channel on a white horse to rule the day ... and to "save" radio.

There are LOTS of people still laughing when they open their checkbooks every morning who say, "those idiots" ... when de-regulation, consolidation and the new "rules" on ownership came about, with leveraged debt that they ... nor Clear Channel (and others) couldn't afford.

The radio industry will never be "given back" to "honest broadcasters." They are the ones who sold out for the big bucks. Now, no one wants to play the game with the inflated prices because of "mismanagement" of the mega-groups and Wall Stret investors.

Those who kept focus are doing quite well. Clear Channel ... is not. Nor is Citadel, Beasley, Emmis, Cumulus, etc. etc.

Wrong. Just because you "sell out" doesn't mean you're dishonest. That's absurd. They saw radio dying and yes they sold out. The dis-honest ones are the Mays among others who are offering half on the dollar.

Mr. "Boss":

Nationwide Communications, Inc. sold its properties in the 90's to Clear Channel to come up with the money to build a hockey arena (Now the home of the Columbus Blue Jackets.) They didn't see radio as "dying". They were making money hand over fist with most of their properties. (About 20 million a year with 2 stations in that market alone.) But, when Clear Channel whipped out its checkbook and offered (I think it was) 650 million dollars for its properties, Nationwide saw how they could come up with the cash to build the downtown Columbus arena, and took the check.

I can appreciate that you're not a fan of Clear Channel. But, your "one size fits all" assumptions as to why station owners sold in the 90's doesn't quite fit the mold everywhere.

 

[davideduardo]

Nationwide Communications, Inc. sold its properties in the 90's to Clear Channel to come up with the money to build a hockey arena (Now the home of the Columbus Blue Jackets.) They didn't see radio as "dying". They were making money hand over fist with most of their properties. (About 20 million a year with 2 stations in that market alone.)

Clarification. They were billing close to $20 million, but making signficantly less than that.

But, when Clear Channel whipped out its checkbook and offered (I think it was) 650 million dollars for its properties, Nationwide saw how they could come up with the cash to build the downtown Columbus arena, and took the check.

Yeah. $620 million for 17 stations. That goes a long way in the stadium building department

I can appreciate that you're not a fan of Clear Channel. But, your "one size fits all" assumptions as to why station owners sold in the 90's doesn't quite fit the mold everywhere.

Excellent point. Many former owners that i know simply saw good prices, and if they were ready to retire or move on, this was the "deal they couldn't refuse." After the poor economy of radio in the first half of the 90's, the future looked a lot better with some nice tax free Muny's and a condo on the golf course than running radio staitons. The very data that got consolidation approved showed half of US stations not making a profit, so when the armored car drove up, many said "where do I sign?"

 

[oaktree]

Wrong. Just because you "sell out" doesn't mean you're dishonest. That's absurd. They saw radio dying and yes they sold out. The dis-honest ones are the Mays among others who are offering half on the dollar.


So typical a response from you. No one said anything about "honest" broadcasters being "non-honest" broadcasters. It was the "good guys" who found themselves in a pinch and sold out or sold, as David said, when that big, juicy checkbook came calling. I know, I was there. Please comprehend what others say. Not your first time.

Also, it would be Bain-Lee's decision to "close shop," not Clear Channel. And closing shop is not an option. Bankruptcy may be, but not closing shop.

 

[gr8oldies]

Let's not romanticize too much. There were plenty of bad apples in the old days too. No one really said "I'll put a mortgage on my house and buy this station..sniff...just to do a good swap shop show for those people". Insurance companies aren't going to buy these stations back.

 

[BJSteigner]

Let's who Clear Channel (Crap Channel, Cheap Channel, Crud Channel) do close up shop and sell the NY cluster.

The station sound like they are playing dumb and not great.

 

[gr8oldies]

I don't see Clear Channel's major stations going silent. Does bring to mind the only possible scenario (remote that it is) that could trigger any kind of government bailout..if 8 stations in my market suddenly went off the air it could be considered a disruption of public service..then and only then could I see the government stepping in.

 

[TheBigA]

They're not losing money in New York. The New York properties are among the most profitable, making up for a lot of marginal stations in small and medium markets. The best thing they could do is unload a lot of stations that are dragging down the rest of the company. The problem is they still have a bunch of Aloha Trust stations they HAVE to sell, and no buyers. A bankruptcy attorney would look at their situation and have them do to stations in Arkansas and North Dakota what GM did to Pontiac and Saturn...for the same reason. But New York isn't where the problem is.

 

[TonySantiago]

The Hudson Valley cluster of CC stations would go before anything (IF anything) happens to New York. NYC is gone once CC is totally broke.

 

[BJSteigner]

I agree with Tony....New York City would be gone if Cheap Channel goes broke.

But who would pick up the stations if CC decides to sell???

Open for discussion.

 

[TheBigA]

I agree with Tony....New York City would be gone if Cheap Channel goes broke.

But who would pick up the stations if CC decides to sell???

Open for discussion.

They've got a couple of Aloha Trust stations available on Long Island. Maybe they'll do like GM and put them on Ebay.

 

[LibertyNT]

well Clear Channel Is Getting Out Of Radio. They Are Already Selling A lot Of their Radio & TV Stations, to go into the biz of, Billboards.

 

[davideduardo]

well Clear Channel Is Getting Out Of Radio. They Are Already Selling A lot Of their Radio & TV Stations, to go into the biz of, Billboards.

Huh? Clear is already in the board business. And they are not getting out of radio.

There has been talk of spinning the billboard division off, just as they did when they created Live Nation.

The stations sold/being sold were part of a plan to eliminate overlaps or market excesses due to the redefined market cap rules as well as a "housecleaning" of lower margin smaller markets.

 

[LA_Guy]

Cmon!!

The Mayses were one of the biggest profit takers. They pulled out WELL OVER A BILLION DOLLARS when Clear Channel went private.
Don't kid yourself-this whole consolidation fiasco that's been going on the past 13 years is all about GREED!

 

[TheBigA]

Re: Cmon!!

The Mayses were one of the biggest profit takers. They pulled out WELL OVER A BILLION DOLLARS when Clear Channel went private.
Don't kid yourself-this whole consolidation fiasco that's been going on the past 13 years is all about GREED!

By the same token, they invested in the company in the first place. THAT's how they got rich. From investing their own personal money in the company. I used to tell people during the growth days that there was only one way to make money from broadcasting: The stock market. For many people (including a lot of union retirement funds) it worked for a long time. A lot of people, including grandmothers and government employees, profited from CC's "greed." I remember talking with one anti-CC guy back in 2003, and asked him which fund his IRA was with. It turns out 5% of the fund (at the time) had CC stock in it. He didn't know. He was a stockholder!