Scott Fybush said:
The FCC tackled that issue when USA Today started - as national newspapers, USAT and WSJ don't count against local ownership caps.
WNGC on 106.1 is limited toward Atlanta by the Alexander City, AL 106.1, 105.7 at Canton, GA and a 105.9 Class A open allotment at Milner, GA. 106.1 is the IF of 95.5 and you can't short space those frequencies. Right now, and until 95.5 moves off the tall tower near Chateau Elan....106.1 is as close to Atlanta as it can get. It's hemmed in to the east by 106.3 at Maudlin, SC(Greenville)
The only grandfathering 106.1 Toccoa has is with 106.7 at Gainesville. Since both were licensed on those channels long before the FM allotment policy was adopted by the FCC in 1964, they can completely ignore each other's facilities. This is how 95.5 can move to the WSB-FM tower. 96.1 and 94.9 are pre 64 spacings. They can ignore each other. The pre-64 status follows a channel even with a city of license change once a pre-64 is downgraded, it's stuck. Example...Cox first applied to move 95.5 to WSB-FM as a C2. However, before a license was granted, it filed to keep a C1 status by moving a couple other stations off their channels so the WSB-FM site would clear for a C1.
As far as Toccoa upset over losing 106.1, that station hasn't had a local presence since the 1980s when it was moved to Gainesville. The station struggled until Paul Stone bought the intellectual rights to 95.5 WNGC, which included the advertising accounts, and turned 106.1 into WNGC. The station prior to then had a huge coverage area but really no home. Too big of a facility....too much overhead for a 100KW station...much like WNEG TV in Toccoa has always struggled. The TV station is being sold to UGA.
A class A FM or a C3 FM can do well in rural but growing NE Georgia but most local advertising is bought for the immediate area around the towns...not regional and except for car dealers and there aren't many which are going to pay more than $25 to $50 per ad for radio or TV ads.
With 95.5 moving to the WSB-FM tower, it does pull the IF contour off 106.1 but the other stations close that opening pretty quickly.....in other words, all those other stations would have to go away before 106.1 could move considerably closer in to Atlanta and be a viable signal there. I can't imagine that Clear Channel would accomodate a downgrade on their Columbus market 106.1 to gain a new competitor in Atlanta even though if they downgraded they could move much closer to Columbus.
Everyone thinks Cox is going to move stations from Athens into Atlanta. I may be wrong but I don't see why they would or at least why they have to. The Athens, GA market is probably the most financially lucrative unrated market in the nation. The fact that it is not a Arbitron market means that the number of stations one owner can own is determined by contour overlap. The ownership limits are determined by Arbitron BIA Radio markets and if the stations are licensed to towns inside that radio market or considered "home" to the BIA radio market.
They could own a bunch more stations in Atlanta if they wanted but they own everything viable in the market. Plus, how many stations does one need in Athens. The same can be said of Atlanta. What format could do they on another FM they aren't already doing or is already being done on some other big FM.
I don't know what Cox stations do in revenue but I would suspect that the bottom line of the Athens market is as good as the Greenville, SC stations and a lot less competitive.
Also, a case can be made that the submarkets near Atlanta but far enough to be standalone markets of their own....such as Athens and Gainesville is a good business plan. They can operate them as standalone markets but also use their Atlanta presence and sales relationships to develop regional sales on the Athens stations from the larger city nearby.
The move of 103.7 to Maysville so it puts a city grade over Gainesville has lead to some speculation that maybe Cox wants to set up a stronger presence in Gainesville which population wise equals Athens in size. The big difference is a strong strong competitor in Gainesville. The Jacobs have always had a great operation in WDUN. That dates back to 1949 when they along with the prominent Gainesville DUNlap family put WDUN on the air.
In today's market, it would seem to me that it's a smart move to bulk up in these strong outlying markets near a major market like Atlanta but far enough away to have their own identity. Its a new concept but one which may make a lot more sense than just buying more signals in an already saturated market such as Atlanta.