DIDN'T SEE THIS COMING (NOT!)

[TommyR]

As reported this morning by Tom Taylor...

Dr. Glenn Cherry’s bid to overturn the FCC decision that gave the Tama Radio stations to a receiver is denied. It didn’t have much of a shot, says the FCC – Dr. Cherry failed to “specify with particularity” the grounds for his appeal, known as an Application for Review. The FCC could’ve rejected his plea right there but given the gravity of the situation – 10 southeastern stations are involved – it “reviewed the entire record.” And it still thinks the 2009 decision to turn stations in Tampa (WTMP-AM/FM), Jacksonville (including WHJX) and Savannah (including WSGA) over to court-appointed receiver Scott Savage was correct. The Commission also denies Dr. Cherry’s request for a Stay of the decision – so he may be out of options, at least at the FCC. Dr. Cherry claimed that receiver Savage took premature control of the licenses.

 

[AnotherCat]

It would be hard to reach the level of ineptitude TAMA attained when they had these stations. They had a station manger who actually called another female industry person a "white b***" at a public event for no apparent reason and their few staff members were often rude to listeners who approached them at live broadcasts. . They would not hire competent people to run or staff their stations, they ran contests that never had winners, promoted stations events on air that never happened or said they were involved with events that they were not officially promoting. For a while one of their programming staffers was listed as part of the management team for a musician that was in their format. It seemed to me that they were more abotu showing up at events and acting important than about delivering a quality and profitable products..although I wll say that there were some good people on staff at times..working for a crazy company is, after all, better than not working.

 

[smedge2006]

The Cherrys may have had their problems, but the hedge fund that took over those stations is hardly blameless.

http://www.tampabay.com/news/humaninterest/how-hedge-fund-deal-cost-minority-owners-their-control-of-wtmp-in-tampa/1086601

Do you think the hedge fund's strategy is to build up these stations? Hardly.

 

[Tibbs4]

i miss the days of single operator ownership... :-\

 

[Nostalgia]

Interesting article, and very interesting comments posted on the SP Times website in response.

Here is what I say to the people accusing the lender of taking over the stations for reasons other than collateral recovery for the loan. WHY WOULD THEY WANT THEM??? I doubt all of them together are worth the loan value (physical assets and value of each license). An internet search would show they have been trying to unload them for awhile with no takers. Meanwhile they have to PAY people to keep them on the air so their value wont plummet any further. If the Cherrys were selling out and were cash flow positive they wouldnt be in this situation so we can assume the receiver is not doing any better than they did as absentee owners.

Maybe back in radio's heyday they might have grabbed them and flipped them as a group or one by one, but now? Just like home foreclosures, banks, hedge funds, ect are in the business of loaning money. Actually running businesses are the last thing they want to do. Do not confuse this with corporate raiders who actually bought into companies with the purpose of running them for awhile then breaking them up and selling off divisions or assets for cash.

While I am very sad that Dr Cherry has lost his station and Tampa has lost a locally owned black radio station, I'm afraid they are just another casualty of the economic bust, nothing more sinister.

 

[Radio-X]

Interesting article, and very interesting comments posted on the SP Times website in response.

Here is what I say to the people accusing the lender of taking over the stations for reasons other than collateral recovery for the loan. WHY WOULD THEY WANT THEM??? I doubt all of them together are worth the loan value (physical assets and value of each license). An internet search would show they have been trying to unload them for awhile with no takers. Meanwhile they have to PAY people to keep them on the air so their value wont plummet any further. If the Cherrys were selling out and were cash flow positive they wouldnt be in this situation so we can assume the receiver is not doing any better than they did as absentee owners.

Maybe back in radio's heyday they might have grabbed them and flipped them as a group or one by one, but now? Just like home foreclosures, banks, hedge funds, ect are in the business of loaning money. Actually running businesses are the last thing they want to do. Do not confuse this with corporate raiders who actually bought into companies with the purpose of running them for awhile then breaking them up and selling off divisions or assets for cash.

While I am very sad that Dr Cherry has lost his station and Tampa has lost a locally owned black radio station, I'm afraid they are just another casualty of the economic bust, nothing more sinister.

I don't like knocking small radio operators...we need a lot more of them in cities...but Tama had to be one of the worst operators on the block. EPICALLY TERRIBLE engineering, iffy jocks, and the best part is that none of the stations have really improved since Scott Savage has become receiver. Actually, one of the jocks here in Savannah had a nice little rant one afternoon about not having an AC unit in the studio.

...now I've worked in some crappy studios (imagine a $99 RadioShack 4 channel DJ mixer as the board), but never ever have I heard of not having AC in a studio. All that equipment and insulation will not only be unbearably hot but won't that fry something besides the DJ?!?!

Luckily most of the stations that have been sold thusfar have gone to other commercial broadcasters that are new in the market and doing pretty good formats (ratings still suck on these rimshots). Give it another year of no sale and I bet you some of the remaining FM's in Savannah/Jacksonville may be going to some folks like EMF or other religious broadcasters off the bird.

And who would pick this group up? Will it be completely broken up or do you think somebody will purchase an entire city's cluster? I think there are only 2-3 full-market FM's in the group so I doubt any of the big boys will bite for them.

Radio-X