David Gow Buys the Translator

[Astros2023]

KGBC Was charging 20k a month for its signal about 5 years ago.. most recently the church that had it was paying 15k with the option to purchase it. Sounds like burning 15k but .. kgbc could be a primary signal for 105.3 where it would become legal for the first time after about 3 years now. j/s or maybe no but having 1540 in Galveston brings nothing to the table plus the sale i was offered does not include 1540 so this is a whole new deal. but consider that Arango who owns 1540 did just sell a station for 1.1 mil a few days ago.

Has Arango given Gow Media the station? Should that be the case, the purchase price will be considerably changed for all of Gow radios. I highly question whether Arango made the generous decision to allow Gow to proceed without charge. Arangp has engaged in multiple instances of selling KLVL and KGBC without proper FCC documentation

 

[radioislife2020]

ARANGO AND FREE will never go together! He thinks KGBC is worth about 1.3 Million.

 

[MarkW]

Either iHM or Audacy should try to grab 92.1. There would be significant upside potential for their existing Sports brands by adding FM.

GOW's programming stinks, so any upside for that operation with regard to a theoretical move from 97.5 to 92.1 would be much more limited.

 

[Ryan Williams]

Either iHM or Audacy should try to grab 92.1. There would be significant upside potential for their existing Sports brands by adding FM.

KROI was already sold and ostensibly SBS has made a couple of payments related to the purchase. If they hadn’t I think we would have already seen an amendment filed or the deal would have officially been dismissed.

 

[Deleted member 108832]

ARANGO AND FREE will never go together! He thinks KGBC is worth about 1.3 Million.

It had better come with a couple dozen full body adjustments from the good chiropractor. 1540 hasn't been worth that kind of coin in at least 20 years.

 

[Mediafrog+]

KROI was already sold and ostensibly SBS has made a couple of payments related to the purchase. If they hadn’t I think we would have already seen an amendment filed or the deal would have officially been dismissed.

Assuming payments have been made on schedule, SBS has so far paid $2.9M of the $7.5M purchase price of KROI. Payments of $1M are due at the end of March, April and May, with the final $1.6M due at closing set for the beginning of July.

There has already been one 90 day “extension of consummation” that was filed with the FCC in January, and a second will need to be submitted by April 9 to push the closing into July.

The deal for KROI could still fall apart, but I’m giving it a 70% chance of actually closing. We should finally hear a new format on 92.1 in a little over four months.

If the deal does collapse we’ll be hearing Praise 92.1 into 2025. Guess you can speculate on which frequency will flip first, 92.1 or 97.5.🤣

 

[BamaTX]

Full power FMs tend to go for $2 to $3 per head based on 60 dBu or 65 dBu contour coverage.

That's my point. I think valuing a translator strictly based on a "per head" basis is silly. Translators are a different broadcasting ballgame and there are factors to consider that you'd disregard with most full licensed stations.

If I were buying a translator (I wouldn't), I wouldn't simply put a cheaper price per head. I'd also consider other factors, such as the percentage of the metro area not covered, the average commuting distances of the people inside the 60 dBu contour, and how many other stations share the channel in the metro area. All of these factors could dissuade people from listening.

Then there's also the fact that K223CW isn't guaranteed coverage. All it takes is one rule change and the translator could be knocked off the air if a Class A is allowed to sneak in between KCOL, KWUP, and KKHA. 1.1 Million is too big of a risk IMO.

 

[nd2023]

Is K223CW actually running its licensed pattern and power now?

 

[Astros2023]

That's my point. I think valuing a translator strictly based on a "per head" basis is silly. Translators are a different broadcasting ballgame and there are factors to consider that you'd disregard with most full licensed stations.

If I were buying a translator (I wouldn't), I wouldn't simply put a cheaper price per head. I'd also consider other factors, such as the percentage of the metro area not covered, the average commuting distances of the people inside the 60 dBu contour, and how many other stations share the channel in the metro area. All of these factors could dissuade people from listening.

Then there's also the fact that K223CW isn't guaranteed coverage. All it takes is one rule change and the translator could be knocked off the air if a Class A is allowed to sneak in between KCOL, KWUP, and KKHA. 1.1 Million is too big of a risk IMO.

I respectfully believe that the mindset described has led to many AM radio station owners being hesitant to invest in translators due to concerns about the lack of guaranteed coverage and the risk of losing the translator with a single rule change. That is like saying that we should all refrain from purchasing a home due to the concept of Eminent Domain, which refers to the government's authority to expropriate private property for public use. The primary contributing factor to AM Radio Stations ultimate demise was its failure to foresee the transition towards translators and amend its business model to offer more compelling programming. Numerous translators in the Houston market are likely to be more financially successful than 90% of AM radio stations and potentially even more profitable than certain FM stations.Perhaps it would have been smarter for David Gow to invest in a few translators instead of acquiring KFNC 8 years ago.

 

[BamaTX]

IThat is like saying that we should all refrain from purchasing a home due to the concept of Eminent Domain, which refers to the government's authority to expropriate private property for public use.

Apples to oranges scenario. With eminent domain, you're at least going to get compensated for the property being taken away at fair market value.

There is no such assurance with a commercial translator since it's entire purpose is to supplement coverage. Theoretically speaking, even a random citizen could take a translator off the air if they complain (and prove) to the FCC that a translator is causing interference.

The primary contributing factor to AM Radio Stations ultimate demise was its failure to foresee the transition towards translators

With the current spacing rules, there simply wasn't enough space to accommodate every AM station. Furthermore, not everyone could have predicted that the FCC would allow translators to run amok.

and amend its business model to offer more compelling programming.

Even fully licensed 100kW FM stations in Missouri City are guilty of this. But the death of radio can only be slowed down with excellent programming, not stopped.

Media consumption over the internet will continue to grow to the point where new "radios" (believe me, I don't use that term lightly) will likely omit the AM and FM band in the near future. Anticompetitive partnerships between manufacturers and streaming platforms are coming sooner rather than later.

Numerous translators in the Houston market are likely to be more financially successful than 90% of AM radio stations and potentially even more profitable than certain FM stations.

It has been alleged by some that translators in the Houston market are getting away with non-compliance. If this is true, then how much money could they make if they would stick to their licensed parameters?

Perhaps it would have been smarter for David Gow to invest in a few translators instead of acquiring KFNC 8 years ago.

David Gow would have been better off buying KHJK instead of KFNC. Both went for practically the same price, but KHJK had the better signal.

 

[Astros2023]

Apples to oranges scenario. With eminent domain, you're at least going to get compensated for the property being taken away at fair market value.

There is no such assurance with a commercial translator since it's entire purpose is to supplement coverage. Theoretically speaking, even a random citizen could take a translator off the air if they complain (and prove) to the FCC that a translator is causing interference.

With the current spacing rules, there simply wasn't enough space to accommodate every AM station. Furthermore, not everyone could have predicted that the FCC would allow translators to run amok.

Even fully licensed 100kW FM stations in Missouri City are guilty of this. But the death of radio can only be slowed down with excellent programming, not stopped.

Media consumption over the internet will continue to grow to the point where new "radios" (believe me, I don't use that term lightly) will likely omit the AM and FM band in the near future. Anticompetitive partnerships between manufacturers and streaming platforms are coming sooner rather than later.

It has been alleged by some that translators in the Houston market are getting away with non-compliance. If this is true, then how much money could they make if they would stick to their licensed parameters?

David Gow would have been better off buying KHJK instead of KFNC. Both went for practically the same price, but KHJK had the better signal.

If you're afraid to die, you're afraid to live. Your assumption appears to be overly contingent on hypotheticals. The translators on 106.1, 105.3, and 104.5 continuously reimbursed themselves through huge profitable endeavors. The expenditure was justified 1000%. I believe you are excessively pessimistic in your views regarding translators.

 

[BamaTX]

If you're afraid to die, you're afraid to live. Your assumption appears to be overly contingent on hypotheticals.

Not an assumption. A possibility.

But we digress. That's not my main argument as to why the translator may have been priced incorrectly. You're focusing too hard on an offhand comment.

The translators on 106.1, 105.3, and 104.5 continuously reimbursed themselves through huge profitable endeavors.

Again, those were endeavors taken under what some on this board suspect to be nevolous circumstances (not me personally, but some people on this board have raised questions). Can you say for certain that all FCC requirements were met when it came to compliance?

Here's a totally unrelated anecdotal observation; I have a friend from college who has made a killing in the service industry for several decades now. He hires illegal labor, doesn't report all of his earnings, and doesn't follow environmental laws when disposing of chemicals. I don't think he would be profitable if he went kosher overnight.

The expenditure was justified 1000%. I believe you are excessively pessimistic in your views regarding translators.

It's not irrational to believe that at some point down the road the FCC will eventually start enforcing their rules again and eventually shut down loop holes and translator abusers. If Mexico can shut down their AM and stuff their FM band with Class A stations, then so can the US.

 

[Astros2023]

Not an assumption. A possibility.

But we digress. That's not my main argument as to why the translator may have been priced incorrectly. You're focusing too hard on an offhand comment.

Again, those were endeavors taken under what some on this board suspect to be nevolous circumstances (not me personally, but some people on this board have raised questions). Can you say for certain that all FCC requirements were met when it came to compliance?

Here's a totally unrelated anecdotal observation; I have a friend from college who has made a killing in the service industry for several decades now. He hires illegal labor, doesn't report all of his earnings, and doesn't follow environmental laws when disposing of chemicals. I don't think he would be profitable if he went kosher overnight.

It's not irrational to believe that at some point down the road the FCC will eventually start enforcing their rules again and eventually shut down loop holes and translator abusers. If Mexico can shut down their AM and stuff their FM band with Class A stations, then so can the US.

You introduce irrelevant and outdated information into a particular discussion. Your assertions that translators may not be operating legally in the Houston Metro Area are somewhat unclear. If the allegations of translators operating with excessive power and violating laws were accurate, why has the FCC not taken the decisive step of shutting them down entirely? They been at Wellsfargo and Chase 8 times last year with surprise visits. I Remember KMAZ-LP operating at 11 watts with a limited range antenna "nicom bkg77" covering Beltway 8 and surrounding areas. I do not have a background in engineering, but I believe that with either 99 watts or 250 watts, it should be sufficient to cover Houston effectively from downtown. I concur with the notion that no individual should be exempt from the law and must be held responsible for their actions.

 

[davideduardo]

It's not irrational to believe that at some point down the road the FCC will eventually start enforcing their rules again and eventually shut down loop holes and translator abusers. If Mexico can shut down their AM and stuff their FM band with Class A stations, then so can the US.

Mexico... and the rest of Latin America... allows full power stations spaced an second adjacent channels.

Mexico did not shut down all their AMs. They allowed many to petition to move, and most did. The exceptions were in the big cities where no or few FMs were available and along the US border where agreements with the US prevent most new assignments. But lots of the AMs have been reassigned, many going to rural areas and broadcasting in one of the over 110 indigenous languages and dialects spoken in rural Mexico.

 

[SomeRadioGuy]

Mexico... and the rest of Latin America... allows full power stations spaced an second adjacent channels.

Mexico did not shut down all their AMs. They allowed many to petition to move, and most did. The exceptions were in the big cities where no or few FMs were available and along the US border where agreements with the US prevent most new assignments. But lots of the AMs have been reassigned, many going to rural areas and broadcasting in one of the over 110 indigenous languages and dialects spoken in rural Mexico.

I've seen a case or two where an AM in Mexico got an FM but couldnt turn off the AM because the IFT determined the AM going off would leave like.. 11 people.. without radio service... XEABCA.

There was another AM that got an FM, but turning off the AM wouldve left even fewer people without radio service

 

[HTX]

I do not have a background in engineering, but I believe that with either 99 watts or 250 watts, it should be sufficient to cover Houston effectively from downtown.

The main issues that you don’t have to be an engineer for is checking a translator for an originating station and checking the directions that there should be a null.

Let’s say hypothetically there’s a translator called “Overpowered 109.8”. They mention in their legal ID they’re heard on an HD3 but tuning that HD3 you hear a completely different genre of music. You look at the coverage map and there’s a strong directional pattern to the north almost reaching Spring but you hear it way to the north in Lake Jackson. It doesn’t take a rocket scientist to know something fishy is going on.

 

[Astros2023]

The main issues that you don’t have to be an engineer for is checking a translator for an originating station and checking the directions that there should be a null.

Let’s say hypothetically there’s a translator called “Overpowered 109.8”. They mention in their legal ID they’re heard on an HD3 but tuning that HD3 you hear a completely different genre of music. You look at the coverage map and there’s a strong directional pattern to the north almost reaching Spring but you hear it way to the north in Lake Jackson. It doesn’t take a rocket scientist to know something fishy is going on.

I would like to reiterate that the FCC made unannounced visits to Wellsfargo Plaza and Chase on eight occasions last year. Primarily due to accusations that closely resemble those presented on this forum, which lack substantial evidence.

 

[HTX]

I would like to reiterate that the FCC made unannounced visits to Wellsfargo Plaza and Chase on eight occasions last year. Primarily due to accusations that closely resemble those presented on this forum, which lack substantial evidence.

I’m not sure what they were checking when they were there. But I just scanned my radio dial just now and there’s at least 2 translators from there I can’t find the originating station for.

I’m not naming names or speculating on signal strengths, but anyone who knows what they’re talking about can’t say 100% of translators in the Houston area all have originating stations from the greater Houston area.

 

[Astros2023]

I’m not sure what they were checking when they were there. But I just scanned my radio dial just now and there’s at least 2 translators from there I can’t find the originating station for.

I’m not naming names or speculating on signal strengths, but anyone who knows what they’re talking about can’t say 100% of translators in the Houston area all have originating stations from the greater Houston area.

I concur with your viewpoint. It is important to note that despite efforts to address the issue of consistency among translators, the continuous finger-pointing and harassment have persisted. On any given day, when the boards are quiet, an individual at home may choose to make baseless accusations. I anticipate that the FCC will commence issuing fines soon.

 

[davideduardo]

I do not have a background in engineering, but I believe that with either 99 watts or 250 watts, it should be sufficient to cover Houston effectively from downtown.

Remember, the "Houston" we talk about is the radio market, which is what Nielsen surveys. The market is made up of 11 whole counties.

There is no way a translator can serve even a full county. Maybe they cover 1.5 to 2 million at best, and that is about 20% or so of the 8 million in the metro.