[BC] Changes at CBS?

Mike McCarthy Towers
Sun Mar 18 06:51:04 CDT 2007


Yup....

MM

At 09:18 AM 3/17/2007 -0500, Mark Durenberger wrote
>You're partially correct about the team relationship issues, Mike, but as 
>with all stories there are several other 'sides' that probably won't see 
>the light of day.  There were team concerns with the broadcasts 
>(particularly clutter and production values)which in some cases could have 
>been worked out, had not a couple of the stations taken their relationship 
>for granted.
>
>Mark Durenberger
>
>
>----- Original Message ----- From: "Mike McCarthy" <Towers at mre.com>
>To: "Broadcasters' Mailing List" <broadcast at radiolists.net>
>Sent: Saturday, March 17, 2007 8:34 AM
>Subject: Re: [BC] Changes at CBS?
>
>
>>Be careful there.  I'm not going to suggest Joel didn't make some bad 
>>decisions. But...there are two issues here
>>
>>MLB has been playing with broadcast rights for some time and essentially 
>>usurped the team's "rights" to control the exclusive radio broadcasts 
>>when they did a deal with XM requiring the feeds be sent to XM.  MLB 
>>actually took a cue from the NBA which did this about 10 years ago when 
>>they took control of the broadcast rights of all their TV games in 
>>response to super stations WGN and WTBS carrying the Bulls and Hawks (and 
>>Cubs and Braves) whenever they wanted and against other teams broadcasts.
>>
>>Everyone to the manager has balked about both situation and many stations 
>>have walked away from long term relationships because they no longer have 
>>an exclusive franchise and will loose money in new deals. In many cases, 
>>the stations have decided the legal extortion the teams are exerting is 
>>also not worth the revenue they generate. WBBM's broadcasts of the Bears 
>>is SO cluttered with live reads that you have to wonder if there is a 
>>game being played because the rights fees are so high.  The pre/post 
>>games show have no less than 20 minutes of spots per hour and is no 
>>different in many NFL markets. KDKA and WCCO didn't want to pay the 
>>astronomical rights fees.
>>
>>Additionally, in the case of KMOX, the TEAM bought into a station and 
>>decided to end the deal with KMOX. The station really didn't have a say 
>>in the matter. The same is true in Washington and the Redskins. The teams 
>>are realizing they have the resources to produce the broadcasts and 
>>simply feed them to desirable affiliates if they don't already have 
>>interests in the licensees. Case in point, we do the deal with the White 
>>Sox for their games and THEY provide the satellite receiver.
>>
>>As for Hollender, this really doesn't surprise me.  He took two well cash 
>>flowing cows and turned them into dead sticks with the conversion of the 
>>oldies format to Jack in Chicago and NYC.  CBS has a 2nd station full 
>>market station here which is really fallen to what is considered to be a 
>>2nd tier running lots of brokered programming when it's not running the 
>>"Free-FM" format of Opie and Anthony, et al. It was at one time a classic 
>>rocker with a 3 share doing 8 digits.
>>
>>Final note...Hollender inherited a sinking ship from Mel.  Mel ran the 
>>station group with such an iron fist (in more ways than one) that 
>>stations were under funded and lacking for essential promotional 
>>campaigns (among other things) that in the end resulted in declining 
>>ratings.  Mel also didn't consolidate the stations in the same manner CC 
>>(and others) did as they moved/consolidated studios, offices, and 
>>transmitter sites. Mel wanted each station to be functionally separate 
>>with only a few common players, such as market or cluster managers. (Thus 
>>if a deal came along, the separation process would not be painful to the 
>>remaining stations.)
>>
>>In the end, that proved to be a bad strategic decision as we have found 
>>the cost to build out after a sale is announced is far less than 
>>sustaining long term duplicative operations. Especially in today's world 
>>of easy importing digital quality audio from afar, switcher based 
>>studios, IP phones, etc.  One can find space and build something to 
>>commence operations in a few months.  Whereas years ago, it would have 
>>taken a year or more to build and split.
>>
>>Hollander started to correct that error, but the configuration of the 
>>stations made it difficult to consolidate operations, thus keeping 
>>operating costs high. Here in Chicago, all the CBS stations have separate 
>>studios on sometimes separate floors and sometimes buildings.  That and 
>>you have two distinct technical operations...union and non-union. Union 
>>at the legacy original O&O stations and non-union at the stations they 
>>have acquired in the past 20 years.
>>
>>So...in a nut shell...he in part dug his own grave. In others, the coffin 
>>was already open.  I don't have any envy for the person who would replace 
>>him.  It is not going to be a simple job to operate/navigate that ship 
>>through the end of the Mel era leases.
>>
>>MM
>>
>>At 10:28 PM 3/16/2007 -0500, Mark Durenberger wrote
>>>Not to mention what he did to help disrupt three major sports 
>>>relationships: KMOX, WCCO, KDKA, who collectively had more than 150 
>>>years of partnerships with major league baseball teams.
>>>
>>>Mark Durenberger
>>>
>>>
>>>----- Original Message ----- From: "Gary Blau" <gblau at w3am.com>
>>>To: "Broadcasters' Mailing List" <broadcast at radiolists.net>
>>>Sent: Friday, March 16, 2007 10:16 PM
>>>Subject: Re: [BC] Changes at CBS?
>>>
>>>
>>>>IMHO, how he lasted this long after tanking so many major stations and
>>>>so much revenue and having no major successes remains a mystery.  I can
>>>>only assume I'm stupid.
>>>>
>>>>g
>>>>
>>>>Reader wrote:
>>>>
>>>>>It looks like Joel Hollander may be on the way out.
>>>>>
>>>>>The first result of search on the NY Post site was "Hollander for
>>>>>Less. Looking for Hollander?"
>>>>>
>>>>>http://www.nypost.com/seven/03162007/business/hollander_grew_sick_of_moonves_radio_ga_ga_business_peter_lauria.htm
>>
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>>
>
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