Cumulus Declares Bankruptcy

Atlanta-based Cumulus Media, owner and operator of 446 U.S. broadcast radio stations including D.C.-area stations WMAL 630 AM and 105.9 FM, WRQX 107.3 FM, and the Westwood One radio network, has filed for Chapter 11 bankruptcy according to an article published in the Atlanta Business Chronicle. Cumulus President and CEO Mary Burner cited, "... the debt overhang left by previous years of underperformance remains a significant challenge that we must overcome for our operational turnaround to proceed."

Coming on the heels of Viacom's shedding of CBS Radio, Cumulus' decision symbolizes Big Radio's time of reckoning after overleveraging itself acquiring stations in the mid-to-late 90s.  The bills are long overdue -- Cumulus defaulted on $24 million debt payment earlier this month -- and radio stocks across the board are in the tank  It's safe to assume Cumulus will liquidate some of its portfolio, and that it will have to do so in a buyer's market.  We can also take for granted Cumulus will hold on to its properties in major markets, including their chronically underdeveloped and underperforming DC outlets.  The question is whether this reorganization will cause Cumulus executives to re-think the corporation's business model to improve its competitiveness 3-5 years into the future.

WOOK-LP Announces Schedule for Recording Promos and Station IDs

WOOK 103.1 LPFM announces the following schedule for programmers and show hosts to record promos and liners in anticipation of its on-air launch this Fall: 

     Wednesdays - 1 p.m.- 7 p.m.
     Thursdays - 1 p.m. - 7 p.m.
     Saturdays - Noon - 6 p.m..

Recording sessions last approximately 90 minutes, so plan your time accordingly.  E-mail wookradiodc@gmail.com with your contact information and name of your WOOK  program to reserve the date and time for your recording session(s).  All recording sessions and directions to the production studio will be confirmed by telephone.    

#AMPLIFY_DC!

'Black' Radio: Revisited

Several months ago, I wrote an op-ed countering the so-called demise of 'Black' radio in America.  Premiere Networks' (Clear Channel) cancellation of Michael Baisden's syndicated radio show, and longtime New York City Urban Contemporary outlet WRKS-FM's format switch to sports talk triggered the customary round of reactionary handwringing and conspiracy theories from industry insiders, activists, and critics predicting Black radio's iminent extinction.  I responded by first pointing out the number of radio stations -- broadcast and Internet -- owned or operated by African-Americans is higher today than at any point in history, even as growth among Af-Am owners of broadcast properties has roughly stagnated since the mid-90s.  Second, the number of Af-Ams currently working in the U.S. radio industry is higher today than at any point in history (racial/ethnic demographics of ownership notwithstanding).  Third, the cumulative total of radio programming inclusive of Af-Am themes and/or aimed at predominantly Af-Am audiences is also greater today than at any point in history.  It should be noted, however, that Af-Ams remain disproportionately underrepresented in all areas of the U.S. radio industry and underserved as a market.

I'm now following up on the first op-ed with a deeper analysis of the milieu as IMO the State of Black Radio sucks.  This time my observations are largely anecdotal and mainly concerned with aesthetics, especially the areas of marketing and programming.  Assuming Black radio to be programming principally representative of Af-Am culture, it does a terrible job putting the full range of Af-Am-oriented content on exhibit.  Black stations seem to come only in one of three flavors: R&B/Hip-Hop (more frequently marketed as 'Urban Contemporary' or 'UC'), 'Adult-oriented' R&B ('Urban Adult Contempory' or 'UAC' -- R&B for late Boomers and Gen Xers), and Gospel.  There are a handful of Af-Am news/talk stations, including WURD-AM in Philadelphia and Radio One's WOL-AM (Washington, D.C.) and WOLB-AM (Baltimore) scattered about the country, but in many cities where Af-Am represent > 10% the metropolitan area population Af-Am-oriented news/talk is practically nonexistent.  To be fair, there is a growing number of Af-Ams launching radio talk shows online, but the economics of Internet radio are such that it's doubtful many webcasters are building the audience needed for their stations to achieve financial viability.

I realize that business considerations influence radio stations' programming decisions, even for Black/Urban radio stations.  Yet, managers of these stations regularly complain they receive few ad buys relative to their ratings performance.  Urban radio's executives accuse advertisers and media buyers of redlining: fixing a percentage of the total ad dollars that are to be spent among all Af-Am-themed media.  Media buyers and ad agencies fire back by citing many of the listeners of Urban stations are young adults, < 25 years old, who aren't yet decision makers shopping for durable goods; i.e., cars, appliances, etc..  Therefore, the sponsors of Urban stations tend to be fast food restaurants, beverages, and toiletries/personal grooming items, along with other impulse buys (including entertainment media and lottery tickets) and special events. 

Many Af-Am-themed stations have chosen to brand themselves as 'Urban' rather than 'R&B', 'Hip Hop', or even 'Black' outlets to escape redlining, but the strategy has failed on two fronts: 1) programming remains narrowly focused on contemporary R&B content from a limited number of Af-Am content producers promoted and distributed by an even smaller number of non-Af-Am-owned media conglomerates, 2) stations' marketing efforts aren't in sync with their branding.  It stands to reason a generic UC station would feature programming with a greater mix of non-Af-Am artists across a similarly wide cross-section of music genres matching its local demographics.

It appears today's Black radio management simply lacks the imagination and fortitude for their stations to avoid appearing as anything but dull.  It's no surprise that so many critics regard Black radio as moribund.  Still, the potential for growth with Af-Am themed radio programming is vast and mostly underdeveloped.  It can and should be redefined in a way that results in more diversified programming and greater revenue streams for both individual stations and across the industry.

A good first step would be to distinguish 'Black' (or, 'African-American', 'Afrocentric', etc.) stations from UC, R&B, Gospel, and similar formats.  The hypothetical Af-Am station would feature content reflective of the African diaspora; a cross-section of several music genres; i.e., R&B, Jazz, Rock, International, etc., blended with local and regional news and public affairs relevant to Af-Am listeners.  Af-Am stations could further differentiate themselves from their UC counterparts by exhibiting content produced over a wider time period.  To counter tepid ad sales revenues, listener membership campaigns could be implemented as auxiliary (or even primary) revenue streams.  The added value from listeners having an interest in the station would also be a boon for its branding.  Many radio consultants recommend social media and digital content sales -- especially of metadata -- as revenue sources, but I believe event planning and production hold more potential as revenue sources for broadcasters and webcasters.

Ownership remains the biggest challenge facing Af-Am radio.  While Af-Am ownership of radio stations has exploded since the 90's, nearly all of the growth is in Internet radio with its relatively low barriers to entry.  Despite the growth, few online-only radio stations of any genre ever break even, let alone become competitive with their broadcast counterparts.  However, an individual webcaster's financial viability -- and their station's ability to compete with AM and FM stations -- is perhaps less important to the big picture of Af-Ams empowering the voices of our communities through the use of Internet radio technologies.  Considering also the standing opportunities for Af-Ams to launch or acquire AM and FM stations and networks through syndication, leasing, and investing to operate as low-power, full-power, commercial, or non-commercial entities, the conventional narrative describing Black radio's downfall is in dire need of a rewrite.

r.e.a.c.t. to be Established as a Non-Profit Organization

An informal consensus of local performing artists, media and entertainment pros, and otherwise inquiring minds I've spoken with over the last several months has convinced me to form Regional Entertainment Arts and Community Telecom -- r.e.a.c.t. -- as a non-profit organization.   r.e.a.c.t. will serve as the corporate framework for the Death Star, providing administrative, financial, marketing, and technical support to its individual chapters and affiliates.

As r.e.a.c.t.'s acquisition (or launching) of an over-the-air radio outlet in the D.C. metro area is the first objective, the process of seating a board of directors and drafting articles of incorporation has become urgent.  I anticipate those individuals whom make commitments at the inaugural meeting will become the organization's directors, and they'll go on to craft policies consistent with my ideas on media, content, and community.

My biggest hope, however, is that r.e.a.c.t. is eventually seen as a model of organization and social responsibility for its members and the general public.  For example, there are numerous groups dedicated in some fashion to the cause of indie music, and many of them are, IMO, correctly concerned about the conventional business practices of modern media companies.  What goes unaddressed is the legitimate roles institutions play in our society, and how best to adapt those institutions to achieve specific results.  So if the goal is to ensure performers are paid fairly for their live performances, effort would be better spent on organizing to open proprietary venues rather than lobbying the status quo to change.  He who has the gold makes the rules, right?

Bill Press Hits the Bullseye on D.C. Radio

Bill Press absolutely makes a spot-on commentary here writing on the state of talk radio in D.C.

To summarize, political discourse was one of the casualties resulting from the deregulation of broadcast radio and television. Until 1987, broadcasters were required to abide by a F.C.C. rule called the Fairness Doctrine whereby a small amount of time was to be reserved by the radio or TV station for public comment. The idea behind the Fairness Doctrine was to protect the public's interest from gov't and corporate propaganda.

Since the Fairness Doctrine's repeal, news and public affairs programming on radio and television has become kabuki theater. In its place is something that's supposed to look like news and political debate, but really isn't. News talk radio has become particularly banal with the likes of right-wing carneys like Rush Limbaugh and Sean Hannity dominating the medium. Press tells of Washington Redskins owner Dan Snyder's Red Zebra Broadcasting's decision to, "... jettison all progressive talk...", on 1260 AM, "... and replace it with pre-recorded financial advice programming". Red Zebra has built rather quickly a regional radio network out of mostly mediocre performing D.C.-area AMers, including WTNT 570, WTEM 980, WHFS 158o, and WWDC 1260 -- probably looking to better leverage the Redskins with advertisers. While the company's motives for buying the stations and making programming decisions are certainly understandable, it's another question entirely whether permitting such ownership groups in a given market is in the best interests of the public... y'know.... the folks who actually own the airwaves.

Press argues -- correctly in my view -- for the Fairness Doctrine to be resurrected by the FCC, and if not by them, by congressional mandate. In its original form, the Fairness Doctrine ensured the discussion of controversial topics and dissenting viewpoints over the airwaves. Because broadcast TV and radio frequencies are scarce physical resources, protecting the public's access to them is an important civil liberties principle. I also believe re-implementing the Fairness Doctrine would make for more dynamic, provocative radio & TV news/talk programming as listeners are more likely to participate in topics they find interesting, once they're provided expanded opportunities for comment. Given what today's broadcasters face in competition from the Internet, Satrad, mobile media devices, PCs, etc., you'd think they'd be eager to embrace any strategy that attracts a larger audience.

Unfortunately, the ownership rules have been relaxed to the point that restoring the Fairness Doctrine by itself might not achieve the level of programming diversity Press and others (including myself) prefer as optimum. It should be 1 part of a vigorous licensing policy applied to U.S. broadcasters designed to ensure maximum competition on behalf of the public interest. For the time being, however, bringing back the Fairness Doctrine would be a good first step.

A D.C. Radio Station by the People, for the People..

First, I can't overstate how strongly I feel this venture is about community. It's about organizing people around a shared interest in promoting music and public affairs of the Washington-Baltimore metroplex. It's about coming together, exchanging ideas, trying new ways of doing things, and learning from one another in the context of a viable business.

I want to thank in advance those of you who'll decide to give this project a spin. Starting a radio outlet is an ambitious challenge for anyone; I'm sure there'll be some who'll discover this is not for them, but will still get something of value from the experience. That's the exciting part about exploration, isn't it? Getting there from here is half of the fun.

To launch and operate our radio station, an energetic stream of input will be needed from musicians, students, record labels, music lovers, performing artists, IT and broadcast professionals, writers, journalists, event planners, civic activists, small businesses, marketing consultants... well, everyone and anyone. I've decided, half-jokingly, to call the project a Death Star because its business model will be a significant departure from broadcasting orthodoxy, and yet its organization will be so fundamental and transparent as to make the whole venture appear commonplace. Not only will the station's operation be influenced by you -- its supporters -- you'll share in the ownership of the venture.

My inspiration comes from many sources: years spent in and around non-commercial and commercial broadcasting; the evolution of the Internet and digital culture; the many D.C.-based musicians and performing artists I've met; untold hundreds of conversations with people from all walks of life, in a variety of settings, about music, media, and radio.  What I've discovered is there's a general consensus that believes mass media generally, and broadcast radio specifically, isn't about local voices anymore.  Radio programming has become increasingly centralized and homogenous... McDonald's-like.  Generic.  If you were to travel between cities, turn on your radio, and scan up and down the dial, it would be nearly impossible to tell you've changed locations.  Not only is the lack of programming diversity apparent across the dial nationwide, the individual stations within a market each feature tightly regimented playlists and syndicated content.   This is the state of the industry today as a result of its control concentrated in the hands of a few, as influenced by broadcasting deregulation and American-style economics.

Now, I'm not an opponent of commercial radio.  Neither am I categorically against a corporation holding multiple licenses, within reason.  I have no objection to a network of station affiliates. But it is clear the conventional point-to-multipoint (P2MP) broadcasting architecture is no longer competitive for content producers, broadcasters, sponsors, or consumers in a world of Web 2.0, digital content, and iPods.  A radical re-thinking of what a radio station does and how it does it is in order, and the solution's more complex than streaming broadcasts over the 'net and offering podcasts.

The Death Star project is my attempt at a solution.  It involves a fusion of various technological and business elements to be sure, but specifically, it's a listener-supported radio station organized as a cooperative.  A limited, and permanently fixed number of memberships will be offered by way of a direct campaign at $25 (student), $50, $100, and $250 (business/professional) levels -- securing for each member a part of ownership, with the more expensive memberships each conferring various privileges onto the member.  The members will collectively split a minimum of 50% ownership in the venture.   An annual membership dues schedule will be decided once a revenue model and budget has been determined through election by members.

The next step is to convene an organizational meeting so that a board of directors may be seated, and an organizational mission statement drafted.  It will be this initial group of organizers who'll help with the inaugural membership drive, as well as help shape the venture's operation and goals.  February 19, 2009 is the tentative date for the first meeting at a location to be announced.  Registration forms will be forwarded upon receipt of all e-mail requests.

Call for Organizers - Be the Future of D.C Radio

Group now forming to establish listener-supported, free-form, 'over-the-air' radio network in suburban D.C. featuring emerging local music and public affairs. Excellent opportunity for students, music and media professionals, performing artists, event planners, and political activists. Share in the profits! Send inquiries to neon_noodley2k@yahoo.com