5-7-2012
Cumulus, the second largest radio company, reported a 3.5% drop in same station revenue compared to the same quarter a year ago. Cumulus CEO Lew Dickey attributed the decline to several factors including lost revenue from the Rush Limbaugh controversy, L.A. Dodgers comps from a year ago (Cumulus dropped Dodger broadcasts from KABC) and a drop-off in advertising in March. The Cumulus decline follows a relatively flat report from Clear Channel. Radio One has reported the best quarter so far, up 6.4%. Ed Christian's Saga checks in on Tuesday.
Dickey told investors and analysts last night that local is leading the way with national still lagging behind. Dickey said his Katz reps have told him that things should start to pick up for the rest of the year. Dickey also said that automotive was up 2.5% at Cumulus and made up a total of 12% of the company revenue for the quarter. In addition, the wireless category was up 6.5% for the quarter. And, Cumulus expects to generate about $30 million in political revenue by the time the election rolls around. So far that category has not produced earth shattering numbers for the company.
(5/7/2012 8:04:53 PM)
No Prob. Here's how to handle that (and make sure my full name is on the check): Fire the local celebrities that have been drawing audience and advertisers for years and replace them with somebody who is less attracting but more...oh, I dunno...cheaper!
Yeah. That's the ticket.
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