Is Nassau Broadcasting going down for the count....

[plooker]

With the current state of the economy, Radio is in a very bad state right now. Locally, Citadel and Entercom have been making major cuts in the Scranton and ABE markets. (As have most major operations nationwide.)
However, I have been hearing alot of interesting info eminating from 619 Alexander St. In Princeton, concerning Nassau.
The deal with WDAC Radio and Nassau can't be completed due to a major credit crunch, and Nassau has to terminate the LMA on 30Nov. However, a possible suitor has been found for Frank, more details to come on that.
I have also heard that Nassau just terminated their Pa. Director of Engineering and his assistant, leaving 1 engineer to cover their 13 properties in Maryland/Pa. This cannot be a good sign, especially with winter coming, notoriously a challenging period for operations. This seems like a move in preparation for a sale. Which would make sense since their New England operation is bleeding them dry. Heres the article from the always reliable Scott Fybush website.

http://www.fybush.com/NERW/2008/081006/nerw.html

Nassau Broadcasting Partners, which used the easy capital of the boom years to build up a cluster of 38 small- and medium-market stations spread from Maine to Maryland, told the FCC it can't close its $22 million purchase of Reading-market WFKB (107.5 Boyertown) on schedule.

[EDIT]
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And the potential loss of WFKB may not be the biggest worry at Nassau, we're hearing. Will the credit crunch bring even bigger shakeups at the Princeton, N.J.-based group? Stay tuned...


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[Rockin Rob]

Nassau has to terminate the LMA on 30Nov. However, a possible suitor has been found for Frank, more details to come on that.
[EDIT-reference to deleted material]

This will be interesting to hear what will go on. It would seem that Nassau's control of 107.5 is going to end at month's end, no? It doesn't seem like Nassau is in any rush to finalize this deal. Altho' I do suspect that the Feds will allow the LMA to extend, it would also seem that they won't be able to ge tthe backing and WFKB becomes someone else's by year's end.

 

[plooker]

Just heard there was another round of lay offs todat at both the Princeton and Easton clusters.. can anybody confirm this??

 

[zap]

wait...bring back Ken & Kitty, nevermind!scratch that! bring back Michaels & Lane.

keep doing that collective contesting thing..it sounds so ..well you know..BIG

also..give all sales managers a raise.....they're the backbone of Nassau

LESS TALK MORE ah...just do it.


...and play more Boston..

 

[backinblack]

I hope so! these are the most inept radio operators I have ever heard of. first, they promised to crush Y102.
and they didn't. they offered 22 million dollars for 107.5 , then sold spots for $50 with a commercial free mid day. how in the hell do you make a profit like that? then, the economy went to hell, and now they have a station, maybe worth 10 million, based on their 2 million in sales last year. now here are the options.

1: they come up with 22 mil to pay wdac broadcasting. (no chance in hell)
2: the fcc extends the LMA again. (not likely, but possible)
3: clear channel buys 107.5 and combines them with Y102. (could happen and CC would own the market)

in any event, the days of Frank are probably over.

 

[Rockin Rob]

I hope so! these are the most inept radio operators I have ever heard of. first, they promised to crush Y102.
and they didn't. they offered 22 million dollars for 107.5 , then sold spots for $50 with a commercial free mid day. how in the hell do you make a profit like that? then, the economy went to hell, and now they have a station, maybe worth 10 million, based on their 2 million in sales last year. now here are the options.

1: they come up with 22 mil to pay wdac broadcasting. (no chance in hell)
2: the fcc extends the LMA again. (not likely, but possible)
3: clear channel buys 107.5 and combines them with Y102. (could happen and CC would own the market)

in any event, the days of Frank are probably over.

With the economy showing no signs of getting back on track any time soon, scenario #2 above would seem more a likelihood now. CC has enough of their own profit issues, so I don't see 3 coming about (not totally ruling it out, but would be rather surprised, even shocked). PLooker did mention about a "third party". And, to wit, I would suppose is either a company no one thought of or an outsider. Anyways, I think we could all agree that, as the days drag on, idea 1 seems like a huge long shot (as in Ralph Nader might become President first.....oh, nevermind).

 

[eyg2181]

I hope so! these are the most inept radio operators I have ever heard of. first, they promised to crush Y102.
and they didn't. they offered 22 million dollars for 107.5 , then sold spots for $50 with a commercial free mid day. how in the hell do you make a profit like that? then, the economy went to hell, and now they have a station, maybe worth 10 million, based on their 2 million in sales last year. now here are the options.

1: they come up with 22 mil to pay wdac broadcasting. (no chance in hell)
2: the fcc extends the LMA again. (not likely, but possible)
3: clear channel buys 107.5 and combines them with Y102. (could happen and CC would own the market)

in any event, the days of Frank are probably over.

or nassau could put the bone on 107.5, that will crush all the regional rock stations.

 

[Rockin Rob]

in any event, the days of Frank are probably over.

or nassau could put the bone on 107.5, that will crush all the regional rock stations.

In the words of Gregg "Opie" Hughes, "Wow! Who saw that coming???".

 

[radioguybroadcasting]

I hope so! these are the most inept radio operators I have ever heard of. first, they promised to crush Y102.
and they didn't. they offered 22 million dollars for 107.5 , then sold spots for $50 with a commercial free mid day. how in the hell do you make a profit like that? then, the economy went to hell, and now they have a station, maybe worth 10 million, based on their 2 million in sales last year. now here are the options.

1: they come up with 22 mil to pay wdac broadcasting. (no chance in hell)
2: the fcc extends the LMA again. (not likely, but possible)
3: clear channel buys 107.5 and combines them with Y102. (could happen and CC would own the market)

in any event, the days of Frank are probably over.

Unless I am misunderstanding things, if it's merely an LMA, the FCC doesnt have to extend it or give them permission to do so.. an extension of the LMA would be an agreement between the two companies... the reason they notified the FCC of the extension is becaise it would affect a preplanned closing date on a purchase.

But I could be wrong.

 

[Rockin Rob]

I hope so! these are the most inept radio operators I have ever heard of. first, they promised to crush Y102.
and they didn't. they offered 22 million dollars for 107.5 , then sold spots for $50 with a commercial free mid day. how in the hell do you make a profit like that? then, the economy went to hell, and now they have a station, maybe worth 10 million, based on their 2 million in sales last year. now here are the options.

1: they come up with 22 mil to pay wdac broadcasting. (no chance in hell)
2: the fcc extends the LMA again. (not likely, but possible)
3: clear channel buys 107.5 and combines them with Y102. (could happen and CC would own the market)

in any event, the days of Frank are probably over.

Unless I am misunderstanding things, if it's merely an LMA, the FCC doesnt have to extend it or give them permission to do so.. an extension of the LMA would be an agreement between the two companies... the reason they notified the FCC of the extension is becaise it would affect a preplanned closing date on a purchase.

But I could be wrong.

The sale has a drop dead date (right now, at least) of Dec 21. If what you're saying is how it goes, why all the chatter of this "third party purchaser"? Was that leaked to hold Nassau's feet to the fire, or does WDAC think Nassau won't come up with the monies for outright purchase? It seems to me, not knowing anything other than what's out there in regards to dates, that WDAC is "ye of little faith" as far as Nassau goes and is prepared to sell to another entity who does have the funding on-hand to buy WFKB outright. Although, I will admit that anything can happen, especially in regards to the current financial climate.

On another point raised in this thread, about Nassau promising to take out Y102. When you come up with a format, it is always to punk out the market leader. The owners that operated the station as "Mix 107.5 - WYCL" wanted to do it with a Mainstream AC format (at the time, WRFY was a Mainstream Top 40). They crashed and burned. Fast forward about 20 years (give or take) and it became Y102 as a Rock CHR vs. Classic Hits Frank. It would seem the same result. I still maintain that the only way to take a chunk out of RFY's leadership is Mainstream CHR. But, that's just my opinion.

 

[backinblack]

the bone on 107.5 will crush who? they didn't crush zzo, and by the way, they still have to come up with 22 million dollars no matter what they put on 107.5 not likely.

CHR on 107.5. could work. but CHR is a young audience who now has I-Pods and the internet. THat would never garner any 25-54 numbers which, like it or not, is still the demo advertisers want.

 

[Rockin Rob]

the bone on 107.5 will crush who? they didn't crush zzo, and by the way, they still have to come up with 22 million dollars no matter what they put on 107.5 not likely.

CHR on 107.5. could work. but CHR is a young audience who now has I-Pods and the internet. THat would never garner any 25-54 numbers which, like it or not, is still the demo advertisers want.

My thought process was to take what Y102 is doing, then do the opposite. I'm not too sure how a Hot AC/Adult CHR might fare (CHR without the rap or hard rock, perhaps with lots of oldies/recurrents - again, stuff Y102 wouldn't touch). I'm not too hip on Variety AC, besides the 98.5 translator for WLEV ain't exactly setting the world on fire.

Another idea I just got would be for an 80's-focused "Classic Hits, Generation II". This would be a la CBS-FM, WOGL, or WSOX - but heavy on the 80's (maybe a smattering of upbeat 70's). Add some echo to the audio chain and rehire some WRFY cast-offs from days gone by and that might be a winner.

Forget Country, I105 has a corner on that market.

 

[M_Shannon]

Shhhhh! ???

 

[Rockin Rob]

Shhhhh! ???

Rut roh, now we've stirred the hornet's nest.......

 

[eyg2181]

the bone on 107.5 will crush who? they didn't crush zzo, and by the way, they still have to come up with 22 million dollars no matter what they put on 107.5 not likely.

CHR on 107.5. could work. but CHR is a young audience who now has I-Pods and the internet. THat would never garner any 25-54 numbers which, like it or not, is still the demo advertisers want.

well, for one thing, the bones coverage is a fraction of zzo's. the bone only covers the lehigh valley, where zzo reaches the valley and the surrounding ares. when was the last time you heard five finger death punch on zzo... but then again, you are a y102 fan, so your into the softer side of the rock world.the bone kills zzo in the music selection, who wants to sit through 10 old worn out tracks to get to something heavy and new, where you can liosten to the bone and get modern rock with the occasional classic... and its usually a good classic. if the bone had the same coverage zzo has, i bet my life the bone would be on top. and if you looked at the lehigh valley rationgs, which im sure you did, you will notice that the bone is on the top 10 fm stations in the valley, WITH limited coverage, there you go.

 

[ccuphl]

Forget Country, I105 has a corner on that market.

Country on 107.5 would be a very easy sell. I'd say the heck with all of Berks County. Cover an area from Reading through Montgomery and Bucks Counties... be the country station for the NW suburbs of Philadelphia. WXTU and WIOV aren't the most exciting stations on the planet.

 

[backinblack]

ok, but lets look at this as a business. if you say the heck with berks, and concentrate on those other counties, you will have a station in the philly metro, with a 1 share if you are lucky. no agencies will buy it,
no McDonalds, Toyoto, Verizon, Nobody! So it comes down to , what can you do with 107.5 to make money.?

that's the real question here.

anybody have an idea?

 

[Rockin Rob]

Country? No way. You have the two you mentioned, WXTU and I-105, but you can also get Bob FM, Cat Country LV (altho' it battles with WSOX in some areas) and WGTY.

 

[Rockin Rob]

Hey gang, sorry to give this "Da Ol' Bump", but Nov. 30 has come and gone and Dec. 21 is fast approaching. Any more word on this?

 

[plooker]

Rob,

Really strange on this. At one point, there was a bit of info flowing on this, and now all of a sudden, all the pipelines are closed. Something is probably in the works, but leaks seem to be closed for now. Last I heard, both parties involved are in such poor financial positions, the market in general sucks, they'll probably keep the arrangement going short term just to keep something on the frequency, but I definitely anticipate some type of sale of this property in the future. Frank never really dominated like Nassau expected, they spent alot of money upgrading the facilities w/ Scott Studios and HD transmission gear, and the ad dollars aren't there now. I think Nassaus Reading experiment will end within the next 6 months, but again, this is all speculation.

Anyone else hear anything lately?