Radio+Television Business Report

WASHINGTON, D.C. — House Energy and Commerce Chairman Frank Pallone Jr. (D-N.J.) has confirmed that the Committee’s formal organizational meeting for the 117th Congress will take place, remotely, on Tuesday.

The session will get underway at 1pm as a virtual event, owning to the ongoing COVID-19 pandemic.

During the meeting, the Energy and Commerce Committee will adopt the Committee Rules and its six standing subcommittees, as well as announce subcommittee chairs, ranking members, and members.

This meeting will take place remotely via Cisco Webex video conferencing. Members of the public may view the meeting via live webcast accessible on the Energy and Commerce Committee’s website. Please note the webcast will not be available until the meeting begins.

Additional information for this meeting, including the live webcast, will be posted here as they become available.

By Bruce Roberts
Special to RBR+TVBR

When stay-at-home orders first went into effect across the globe, radio broadcasters found themselves facing a changed landscape. Many stations were concerned about the hit they would take with the rise in remote work and the loss of drive-time listenership.

Even with significantly fewer people commuting to and from work every day, a Nielsen survey conducted in Spring 2020 found that 83% of Americans were listening to as much or more radio than they were before the pandemic.

Radio audiences are growing, and they’re as engaged as ever, but they’re also listening in new ways. Audio streaming services like Spotify and Pandora had already sparked a shift toward digital streaming and on-demand, but as more individuals tune in using smart speakers or mobile devices rather than car radios, digital platforms are becoming increasingly popular with audiences and increasingly important for broadcasters.

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In May 2018, a group led by Fletcher Ford agreed to purchase an AM in Canton, Ill., and its FM translator as part of a deal for a Class B FM.

It’s a facility, now owned by another licensee, that was owned for 46 years by the late Charles E. Wright Jr., who passed away in January 2012 and had sold the facility in 1999.

Now, this AM is on the move again.

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In July 2009, Fred Dockins expanded his media holdings in a significant way. With one Florida FM in his possession, he moved forward with the acquisition of a five-station group in rural southeast Missouri from Randolph Miller’s Southern Star Broadcasting.

Now, Dockins is adding to his Show-Me State holdings, and it’s thanks to a “joyful” deal.

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The controversial donation-based broadcast TV service provider that says it is a non-profit — thus avoiding retransmission consent negotiations — has debuted in two more markets in the U.S. Southeast.

One is a major banking hub and home to Bank of America. The other is home to the nation’s biggest collection of theme parks.

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According to MoffettNathanson Senior Analyst Michael Nathanson, “It should be clear that the COVID-19 pandemic, which has ravaged much of the world for the past 12 months, has accelerated the adoption of streaming services.”

And, as summer turned to autumn and fall turned to winter, Americans once again found themselves in front of their screens with few linear options — aside from live news and sports.

In contrast, Nathanson says, consumers had access to “an unlimited bouquet of
increasingly excellent streaming content choices.”

Is broadcast TV losing the content war to “SVOD”?

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Ross Video will host a Webinar on Tuesday (1/26) which will talk about new software-based audio solutions for broadcasters.

Orban and Nielsen partnered with Ross to add specific elements to this platform that bring a new set of tools to radio broadcasters.

This event is scheduled for 11am Eastern/8am Pacific on Tuesday.

It sees the Signal Processing Team discuss in detail Ross Video’s infrastructure products for Cloud Technologies, IP Networks and SDI Infrastructure.

The Ross team will also be joined by representatives Orban Labs and The Nielsen Company to discuss cloud-based signal processing infrastructure.

“The broadcast community, including radio, is moving steadily toward software-based solutions for the broadcast air chain,” says Orban VP/Business Development Mike Pappas. “The new softGear platform from Ross, which incorporates next-generation Orban processing along with Nielsen audio watermark encoding and Dolby audio, brings powerful tools to Radio broadcasters. It’s available now.”

Pappas adds that one launch customer “has ordered hundreds of channels.”

Product introductions and upgrades to Ross’ Signal Processing portfolio will also be shared on the Tuesday webinar.

To register, click here: https://www.rossvideo.com/live

 

Beasley Broadcast Group’s wholly owned subsidiary Beasley Mezzanine Holdings on Thursday (9/21) priced its offering of $300 million in aggregate principal amount of 8.625% Senior Secured Notes due 2026.

The size of the offering was increased by $20 million from the previously announced offering size of $280 million.

The Notes were offered to persons “reasonably believed” to be qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended, and outside the United States in compliance with Regulation S under the Securities Act.

Beasley expects to use the net proceeds of this offering to repay in full existing indebtedness under the company’s senior secured credit facilities and certain other indebtedness, with remaining proceeds to be added to the Issuer’s balance sheet and used for general corporate purposes.

Translation: It is a new debt for old debt transaction.

The Notes offering is expected to close on February 2.

Investors took a late afternoon liking to BBGI on Thursday. At 2:36pm Eastern, a big gain was seen, helping Beasley Broadcast Group experience a 11.3% gain on the day.

It brings the audio media company’s stock to a fresh six-month best.

With the Closing Bell on January 21, BBGI was at $2.27. It shed three cents in early after-hours trading on the Nasdaq Global Market.

Could it be tied to a debt swap announced Tuesday (1/19)?

It’s possible, as Beasley Broadcast Group wholly owned subsidiary Beasley Mezzanine Holdings intends to offer $280 million in aggregate principal amount of senior secured notes, subject to market and other conditions.

On a six-month chart, BBGI looks good.

On a one-year chart, it’s another story. In mid-June 2020, a $3.86 spike was seen — marking a short-lived jump for an undervalued issue.

One year ago, BBGI was $3.65. And, five years ago shares were $3.68.

The five-year high: $13.40, seen in late 2017.

WASHINGTON, D.C. — House  Energy and Commerce Committee Republican Leader Cathy McMorris Rodgers (Wash.) has released the names of the Republican subcommittee leaders and subcommittee rosters for the 117th Congress. The six subcommittees and their Republican Subcommittee Leaders are:

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Tru Optik, a TransUnion company, announced today an agreement with Targetspot to offer advertisers audience-based targeting capabilities for streaming audio.

Tru Optik’s data management platform will be integrated into Targetspot’s tech stack, available starting February 2021.

Through this integration, buyers and sellers are able to identify and segment audiences across mobile and streaming audio devices, including smart speakers.

In addition, media companies and audio advertisers will be able to leverage Targetspot’s audio supply inventory with consumer and behavioral insights across streaming audio and podcasts.

“Mapped against Tru Optik’s patented Household GraphTM of more than 80 million U.S. homes, advertisers will have advanced audio targeting capabilities that result in precise, effective and cost-efficient advertising campaigns across mobile, smart speakers and even gaming consoles,” the companies boast.

 

In March 2018, The Mainstay Station Trust LLC came to fruition. It was created to take on four stations divested by Cumulus Media in order to complete its Chapter 11 reorganization plan.

The Trust is headed solely by noted broker Elliot Evers.

In October 2019, two of the four properties were spun from the trust. This followed the removal of a Missouri station from the trust, as Cumulus turned in the license for another property in the market.

Now, the last of the stations licensed to Evers is being sold.

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Hey, Alexa … play K-I-N-K on iHeartRadio.

That’s just one of many, many commands one can voice to their Amazon Alexa smart speaker to listen to live audio streaming of a U.S. broadcast radio station.

But, just how many consumers do this, rather than “play Pandora” or audio content that doesn’t represent a broadcast radio station’s live stream?

Triton Digital has the answer.

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In June 2016, well before anyone in Washington, D.C., expected Donald Trump to become the 45th U.S. President, concerns over the re-nomination of a Democratic FCC Commissioner surfaced.

Then came the November election, and the transition of Commission leadership from Tom Wheeler to Ajit Pai. With Republicans in control, Jessica Rosenworcel became a political pawn. She left on Inauguration Day 2017, only to return six months later with her re-nomination from President Trump confirmed.

Now, he’s actually to thank for making Rosenworcel the interim FCC Chairman.

Well … sort of.

President Biden on Thursday (1/21) designated Rosenworcel as Acting FCC Chairwoman of the Federal Communications Commission.

“I am honored to be designated as the Acting Chairwoman of the Federal Communications Commission by President Biden,” she said, thanking Biden for the opportunity to lead an agency “with such a vital mission and talented staff.”

Rosenworcel called it ” a privilege to serve the American people and work on their behalf to expand the reach of communications opportunity in the digital age.”

In her stints at the Commission, Rosenworcel has worked to promote greater opportunity, accessibility, and affordability in the nation’s communications services and has been a consistent champion for connecting all.

Prior to joining the agency, she served as Senior Communications Counsel for the Senate Committee on Commerce, Science, and Transportation, under the leadership of Sens. John D. Rockefeller IV and Daniel Inouye. Before entering public service, Rosenworcel practiced communications law for Drinker Biddle Reath in Washington, D.C.

Her brother, Brian, is the drummer in the alternative rock band Guster.

Republican colleague Brendan Carr extended his congratulations to Rosenworcel, calling her “a talented and dedicated public servant, as evidenced by her eight years of distinguished service on the FCC.”

NAB President/CEO Gordon Smith also applauded Rosenworcel on becoming acting FCC chair. “She is a dedicated and experienced public servant who has demonstrated great aptitude in leading communications policy during her tenure at the Commission,” he said. “We look forward to working with her and her fellow Commissioners on regulatory policies that help local radio and TV stations serve the public interest.”

What are the most important policy issues facing local television and radio stations during the 117th congress that the NAB will be advocating to policymakers and Members of Congress?

That was distributed on Thursday, one day after Joe Biden was sworn in as President of the United States.

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One week ago, the nation’s chief lobbying group representing small, and small market, MVPDs held court with the office of the newest FCC Commissioner.

What did ACA Connects discuss with representatives from Nathan Simington‘s office?

Consolidation in the broadcast television industry and retransmission consent matters.

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On Tuesday, all eyes were on the U.S. Supreme Court as oral arguments were heard in FCC v. Prometheus, the case that sees the Commission and the NAB teaming to get its cross-ownership rules approved with a reversal of a lower court’s remand.

While that’s certainly a huge matter, other legal issues impacting radio and TV in 2021 deserve attention.

What’s the first one that comes to mind to Gregg Skall, the noted Washington, D.C. communications attorney with boutique firm Telecommunication Law Professionals?

Find out in the latest InFOCUS Podcast, presented by DOT.FM.

Listen to “The InFOCUS Podcast: Gregg Skall” on Spreaker.

Cumulus Media on Thursday revealed what it calls “important changes” to its top-level sales leadership, impacting both its broadcast radio stations and its Westwood One national radio arm.

At Westwood One, Sales President Bryan Forbes is out. He’s leaving the company “to pursue another opportunity.”

As such, Ron Russo is taking the role, gaining oversight of network sales and sales planning. Russo, a 17-year sales leader, was previously EVP/Sales, Northeast at Westwood One. His resume includes roles at iHeartMedia and CBS Radio.

Meanwhile, at the Cumulus stations, Rafe D’Amico succeeds Forbes’ role that saw him oversee the AM and FM properties’ national spot team and manage their relationship with Katz Radio Group.

D’Amico will serve as SVP of National Sales. His resume includes roles as VP of Strategic Partnerships and National Sales at Beasley Media Group.

D’Amico reports to Cumulus EVP/Operations Dave Milner, while Russo reports to WWO head Suzanne Grimes.

In addition to those moves, Westwood One EVP/Sales and Sports Partnerships Brandon Berman, who has focused on sports and overall Midwest region efforts, adds the Northeast region for WWO.

Berman started his career at Westwood One some 15 years ago, as an account executive.

Taking on Southeast region duties at Westwood One is Kim Bryant, adding them to her role as EVP/Sales for the West and Southwest.

Bryant has been associated with Cumulus since the early 2010s. Before that, she held management roles at iHeart predecessor Clear Channel and Entravision.

Finally, seven-year WWO veteran Adam Shifrin rises from a Midwest and West sports sales role to become VP/Sports Sales and Marketing at Westwood One. He now manages all Westwood One Sports Play by Play, CBS Sports Radio, and associated shoulder inventory as well as the dedicated sports sales and operations teams.

“Westwood One is extremely fortunate to have a group of sales executives poised to lead the team forward seamlessly,” Grimes said. “I’m thrilled to announce these well-deserved promotions that will enable us to manage through this challenging pandemic with confidence, commitment, resilience and results.”

In August 2017, RBR+TVBR shared the news that a St. Louis-based provider of private-label online audience engagement and interactive content platforms had agreed to purchase a data-driven email marketing software and consulting business focused on the collection and use of first party data for the media industry founded by Ruth Presslaff.

Now the company that acquired Presslaff Interactive Revenue (PIR) is itself being purchased.

Second Street, which has carved a niche as a provider of private-label online audience engagement and interactive content platforms for broadcast media companies including contesting, quizzes, ballots, polls, surveys, e-mail, and data profiling, is being purchased by Upland Software, which offers products that give its clients opportunities for digital consumer engagement.

The all-cash deal is valued at $25.4 million, paid at closing.

Terms include a $5 million cash holdback payable in 12 months (subject to indemnification claims).

Upland expects the acquisition to generate annual revenue of approximately $9.4 million, of which all is recurring, and will not be subject to reductions for deferred revenue discount as a result of GAAP purchase accounting.

“The price paid for the acquisition is within Upland’s target range of 5-8x pro forma Adjusted EBITDA and it is expected that Second Street will generate at least $4.2 million in Adjusted EBITDA annually once fully integrated,” Upland says.

Additionally, the company notes that the acquisition will be immediately accretive to Upland’s Adjusted EBITDA per share.

“Adding Second Street to Upland’s product portfolio will provide Upland’s customers the power to build promotions and email campaigns that grow revenue, customer databases, and consumer engagement,” the Austin-based company says.

The Cosine Group acted as exclusive financial advisor to Second Street.

He became a renowned radio industry figure for serving as Station Manager at one of America’s most-listened-to Top 40 stations of the 1970s, with his 50kw Class A AM outdueling its rival, “The Voice of Labor in Chicago,” by March 1976.

In May 1979, he was named President of ABC-owned FMs following the resignation of Allan Shaw.

Now, media executives across the U.S. are paying tribute to Marty Greenberg, who has died of pancreatic cancer.

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