Merlin was hiring news format people away from jobs at other stations as recently as last month, and it just let them go. So, looking at whether they hire a music staff may not be a good indicator of future plans. It does appear that this flip to Alternative was a hastily made decision.
Running a computer music format is a whole lot cheaper than paying an entire all news staff, and if they were planning to blow up the news format in a few months anyway, for financial reasons they might have decided to do music for the summer and save all that cash.
A syndication station, like Merlin's got in Philly, could almost be instantly profitable depending on how a deal with Premier is structured. Clear Channel might be very interested in getting its big talkers on FM in NYC without blowing up one of its own top rated FMs, which would be foolish to do. But, Rush's contract with WABC is reported to run until sometime next year, and Hannity's syndication contract is a kind of partnership between Premier and Cumulus which owns WABC, where Hannity does his show.
So, Alternative fans might savour and support the music and the format, and hope that Merlin's apparent quick decision is the one that will last, and that it isn't just the cheapest interim format they could put on quickly. Don't forget Merlin has an Alternative station in Chicago, that could have come to the rescue with a new format on a hard drive over the weekend, and that was the best option available to save the bucks for now.