"I feel that they should've moved the KHJ airstaff and calls over to 101.1 back when KHJ went country. It would've been a great way to save a legend, and by now they would probably be oldies anyway."
As a former babyboomer who grew up in LA, I bow to the legend that was Boss Radio KHJ. However, I can't help looking at it from a historical perspective:
KRTH 101.1 was actually KHJ-FM until 1972 (or possibly 73) when they changed the call letters - reportedly because they were going to put in an Album Rock format. However, they changed their minds at the last minute - there were a number of popular AOR stations on the FM dial in LA at that time (KMET, KLOS, etc.), but no FM Oldies station. They were smart, and kept the "K-Earth" branding, despite the fact that it sounding kind of hippie-ish..you know, earth day, whole earth, the environment, etc.
This change happened about 7 years before KHJ went country. By the time KHJ flipped, K-Earth was an established brand.
KRTH has been an established (and generally popular station) with the same basic format for 35 years. The Top 40 KHJ format ran from 1965 to 1980; only 15 years.
The owners - RKO General - did not appreciate the developing value of FM in those days. At least they didn't sell 101.1. In San Francisco in the mid 70s, RKO sold off KFRC-FM (106.1), believing FM was never going to gain wide acceptance, despite ample evidence to the contrary. When 610/KFRC tanked in the 80s due to the popularity of music on FM, they had no place to move the format, and 106.1/KMEL was among the competitors that finished them off.