Clear Channel possible investigation

[Jeremy Mixer <mixer@zoso.net>]

I don't recall seeing anyone posting anything, but in the 2/1/02 issue of
R&R, there is an article beginning on page 1 concerning Californa
Represenative Howard Berman and his asking of Ashcroft and FCC chairman
Michael Powell to look into the "negative effects of consolidation in the
radio and concert-promotion businesses. One problem he cited was evidence
of CC punishing artists who have not made use of their concert promotion
service by denying them radio play, and goes on to talk about
consolidation hurting not only artists but the consumers who are basically
subjected to less diversity in programming. He also mentions record
companies having to pay money to get airplay on CC stations, and this is
the part that I was very pleased to see- in the two page letter he wrote
to the federal regulators, he referred to "press accounts of pending FCC
complaints that Clear Channel is trying to exceed limits for ownership of
radio and TV stations by using third parties, shell corperations or
related entities to make the purchases."

In the next paragraph of the article Burman is quoted as saying "If true,
this practice is against the public interest and hurts competitors, who
cannot offer equally advantageous rates to advertisers"

Of course Clear Channel insists that they are operating everything legally
and that they are basically not feeling threatened by an investigation.

Personally, if I were one of the big heads at Clear Channel I would be
scared out of my mind. I fired off an email to Michael Powell a month and
a half ago concerning Clear Channel and the "Concord Media Group" which
now owns WGUY to fit within the FCC guidelines, however it is being
operated by employees of Clear Channel, therefore there are still sales
deals that can be wroked out including advertising time on WGUY along with
the many other stations Clear Channel owns in this market.

I do want to stress that while I do work for a company that is competing
with Clear Channel, this is not what upsets me at the practices that Clear
Channel has been facing. I have worked for many corperate companies, most
of them not involved with media, and I always had a preference to the
smaller local companies, who value both their employees and customers a
lot more then the larger companies do. I never used to have a high opinion
of Cumulus, however my first paying radio job happened to be for Cumulus.
And since that time Cumulus has improved their business practices
immensly, and everything I have seen Clear Channel do has really angered
me. After four months I found myself fortunate enoguh to have an
oppertunity to work for the only locally owned broacdcasting company left
in Bangor.

I know many people in this small market, many of the newer personalities/
sales people etc that are working all over the Bangor dial are all people
in which I attended school with. And it really seems like those who I hear
the worst horror stories from are those who work for Clear Channel.
Actually that is about the only place I hear horror stories from. While
working at a small place like I do, the hardest thing is to move up in the
company. But what is worse, knowing that I have a job, and knowing what I
am going to be working every week, or not having any idea what is going to
change at the last minute without anyone telling me? How many hours I'll
have next week, whether it will be 6 or 30.....etc. and in some cases not
even knowing whether I would be getting any hours or not!!!

And to think I almost put a tape into Clear Channel for their new rock
station that was put in for one reason- to try and screw over WKIT. After
a year, the station is still only with live talent 3 hours every weekday
and 6 hours on Saturday nights. I would have been much better off if I
would have stayed at Cumulus.....luckily the oppertunity to work 23 hours
a week came up at WKIT.

I am an outspoken critic of Clear Channel and their practices. I sincerely
hope that Berman's urging of the feds to look into some of these practices
by Clear Channel causes some changes in this industry, I think all of us
who still work in this industry will benifit by the changes in the long
run. It is something interesting to speculate about regardless.......any
thoughts or comments? Discuss......

Jeremy