Well, it's not that cut and dry. Just because WKTV is the only Utica station with local news doesn't mean they've got a license to print money -- or at least to print as much as they could 10-15 years ago.
All TV stations are feeling more and more of the pinch from both cable/satellite and the internet. The more choices people have, the harder it is for local TV stations to keep their audiences intact. It was bad enough when cable had 36 channels, then 72... and now you have hundreds of competitors with digital cable and satellite.
Yes, WKTV is still the clear leader in local news -- but that's only because they're the only choice. Even though they've eliminated a lot of expenses by installing ParkerVision, eliminating several of their most experienced (and highly-paid) off-camera positions, and replacing outgoing talent with cheaper, less-experienced rookies... I think the shoddier product is also turning viewers away. Where I live, both Syracuse and Utica locals are offered on cable, and given the choice, I'd much rather watch Syracuse. Ten years ago, however, and I would have put WKTV on equal (or very close to it) footing with Syracuse. If were right in Utica, without access to WSTM or WSYR... I'd probably wind up just not watching the news unless there was something specific I wanted to see.
Prime time is another ballgame. The trends there go back and forth. Affiliates have no control over how good or bad their network programming is. NBC had those killer Thursday nights back in the days of Friends, Frasier, Seinfeld and ER. Nowadays, it's Fox cleaning house with American Idol. I would hope WFXV is doing all they can to milk Idol's success for all it's worth while the going is still good -- the novelty wore off for me after one season, and I'm still hoping the rest of the nation will get sick of it too, someday.
As for radio going into penny-stocks... I don't think Utica is to blame. In Regent's latest quarterly report, the head honcho said Utica's revenue was up over last year. Regent's problem lies in the fact they paid a ton of money to buy a cluster of stations in Buffalo, when they probably shouldn't have. Just goes back to the same thing I said about WKTV yesterday -- no matter how well you do in your own market, there's always a chance you'll suffer anyway, thanks to poor performance by some other cluster elsewhere.