Paxson/NBC deal: Is it still necessary to move Telemundo to 39?

[EricStein]

Today, NBC announced that they're buying an 18-month option to buyout Paxson Communications (details in this thread). This is another nail in the coffin of "i", but an opportunity for NBC to add stations for Telemundo in markets which don't have full powered stations.

We know that NBC/Telemundo has made a deal with Daystar to swap allocations for KPHZ-11 in Holbrook in exchange for the Channel 39 frequency, currently occupied by KDTP. However, Channel 39's signal is subpar for a full-powered station, and will possibly get some upgrades once NBC/Telemundo takes over.

With the opportunity at hand to acquire the rest of KPPX-51, which has a better signal despite being higher up the dial, is it too late for NBC/Telemundo to call off their deal with Daystar?

 

[stationi]

> Today, NBC announced that they're buying an 18-month option
> to buyout Paxson Communications (details in this thread).
> This is another nail in the coffin of "i", but an
> opportunity for NBC to add stations for Telemundo in markets
> which don't have full powered stations.
>
> We know that NBC/Telemundo has made a deal with Daystar to
> swap allocations for KPHZ-11 in Holbrook in exchange for the
> Channel 39 frequency, currently occupied by KDTP. However,
> Channel 39's signal is subpar for a full-powered station,
> and will possibly get some upgrades once NBC/Telemundo takes
> over.
>
> With the opportunity at hand to acquire the rest of KPPX-51,
> which has a better signal despite being higher up the dial,
> is it too late for NBC/Telemundo to call off their deal with
> Daystar?
>

Why would they call off the Daystar deal? That would be crazy considering that they didn't actually buy the Pax stations only an option. The Daystar deal will give NBC a full-power Telemundo outlet in Phoenix in less than a month. A pax deal could take 6 months to several years to get fcc approval.

Also, if NBC does buy KPPX (and get approved) they could programming it similar to KWHY and complement the Telemundo on 39.<P ID="signature">______________
<a target="_blank" href=http://www.stationindex.com/>TV Station List</a></P>

 

[dhett]

Not necessary, but wise

> Why would they call off the Daystar deal? That would be
> crazy considering that they didn't actually buy the Pax
> stations only an option. The Daystar deal will give NBC a
> full-power Telemundo outlet in Phoenix in less than a month.
> A pax deal could take 6 months to several years to get fcc
> approval.
>
> Also, if NBC does buy KPPX (and get approved) they could
> programming it similar to KWHY and complement the Telemundo
> on 39.
>

Like you, I think they'd be better staying with channel 39. As the old saw goes, a bird in the hand is worth two in the bush. There's no guarantee the buyout will happen, and even if it does, it could take 18 months to pull the trigger, then additional time for FCC approval.

 

[EricStein]

> Why would they call off the Daystar deal? That would be
> crazy considering that they didn't actually buy the Pax
> stations only an option. The Daystar deal will give NBC a
> full-power Telemundo outlet in Phoenix in less than a month.
> A pax deal could take 6 months to several years to get fcc
> approval.

With the new head of Paxson coming from NBC Universal, one thing could happen: LMA's. Very unlikely, but possible.

>
> Also, if NBC does buy KPPX (and get approved) they could
> programming it similar to KWHY and complement the Telemundo
> on 39.

Good point. I was just throwing around the original topic as a hypothetical question. NBC can make the needed technical upgrades to Channel 39 to make it a true full-powered station in no time. If NBC purchases Paxson when that time comes, they could sell 51 to a competing Spanish-language network such as TeleFutura or an Azteca America operator, but why would they want to do that? In the meantime, let's wait and see what NBC does to the Paxson option.