Re: Rock 101 off the air Saturday?

[Garrett Wollman <wollman>]

<<On Tue, 04 Aug 1998 22:55:07 -0400, Donna Halper <dlh@donnahalper.com> said:

> personalities as well as the hits.  I wanted to create stations that are
> like a FRIEND to the listener.  And I still say it can be done in a way
> that allows owners to make a profit.      

As with publishing, quality broadcasting does not give a yearly return
of 18% -- and that's what the financial markets require.  That's why
Steve Hicks tells his investors that by cutting costs, he can extract
8% more from his stations than the accountants say.

One thing to ponder: even if Capstar went under, Hicks, Muse would
still come out having made a killing.  They make their money from
management fees charged to the investors in their venture funds, even
if the company loses money.  So long as they trust Hicks, he's free to
run the stations ino the ground.  (So said an article in one of the
big business magazines I read a few months ago, which made me somewhat
concerned, since pension plans are some of the biggest investors in
thse funds.)

- -GAWollman

- --
Garrett A. Wollman   | O Siem / We are all family / O Siem / We're all the same
wollman@lcs.mit.edu  | O Siem / The fires of freedom 
Opinions not those of| Dance in the burning flame
MIT, LCS, CRS, or NSA|                     - Susan Aglukark and Chad Irschick

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