Expose The Hypocrisy


October 08, 2008
Consider It A Warning



In recent days
, we're starting to hear from currently-employed radio people (yes, a few remain!) who are upset over coverage of their employer's faltering financial picture.

Hey, it isn't about the messenger, consider it a warning. Some of these firms just aren't going to survive this mess. Yours could be one of them.

Smashed stock prices (Entercom hit $2.77 this morning, Citadel, 37 cents) are just one element of the meltdown. What we can't yet see is the revenue deterioration, lack of access to credit and inevitable writedowns of station valuations that are going on behind the scenes.

The overall markets are preparing for a recovery, whether today or in the coming weeks. But radio was in deep doo-doo long before the financial crisis hit and isn't poised for a rebound, as Jerry Del Colliano notes on his site:



This recession or whatever it is could be the final blow for an industry that caused its own recession even when times were good.

You may remember for example, Citadel's stock price was under $1 a share well before the mortgage and banking crisis. There is no shortage of other radio companies whose stock is in the toilet. In fact, no radio company is offering a decent return on investment for its shareholders currently. I'll say this about the Mays boys, they sure knew when to get out.

I can promise you that Farid Suleman who earns $11 million from Citadel for producing that 55 cent stock will not be hurting that much when his compensation is updated and made public again. In fact, not to pick on poor Farid, the other radio CEOs are sitting pretty while their radio groups are going to hell in the proverbial handbasket.


A day is coming where a radio company won't be able to meet payroll. We haven't seen it yet, but it is only a matter of time.

A few days ago, I heard from a radio professional with many years in the business. He told me that he's heading back to school for an additional degree in a new field.

If you're still working in radio, are you preparing for a highly uncertain career future? That's what this is about. We can celebrate the demise of a few of these executive jerks, but in the long run, radio people need jobs. We need to look beyond the end of these companies and to what comes next.

Posted by Brian Maloney at 11:10 AM | Comments (12)  | Track


Comments

You can bet your bottom dollar that were "Farid Suleman" named "Fred Smith" no one would even blink. But because he has an ethnic name and is a person of color, he is targeted. Shameless. Typical right-wing attack!

Posted by: Celtic Frost at October 8, 2008 02:10 PM


Hey Celtic...
Please drop dead and get out of the way with your stupid liberal nonsense. How much of an egomaniac are you, anyway? Oh, wait...I know....you consider ANY attention paid to you, whether positive or negative, a good thing. Narcissism is unbecoming. And you're a boor.
Suleman is a creep, no matter what his ethnicity.
Sorta like YOU!

Posted by: bob at October 8, 2008 03:10 PM


Why is Howie forbidden to utter the words "satellite radio", "Sirius" or "XM" (although he seems to be able to skirt the issue by saying "magic radio"), but can spend five minutes exulting on the below-$3.00 price of Entercomm stock? It IS great radio though.

Posted by: Laurence Glavin at October 8, 2008 04:41 PM


Yes Bob...great post! CF your act has worn thin and everyone here knows what you're about now so you're not foolin' anyone. You are still so lonely and post here 24/7...get a life and ask a liberal to help you since they are supposed to be so tolerating...Conservatives will tell you straight up to get lost bacuse we don't have to be phoney about it we are at ease with calling losers out asap!

Posted by: JSYK at October 8, 2008 04:54 PM


America is not (yet) colorblind, or sexual-persuasion indifferent, etc.

You are a lily-white straight American if you think otherwise. Sorry, but that's the truth!

Posted by: Celtic Frost at October 9, 2008 10:28 AM


Howie can't say satellite radio or XM or Sirius because entercom is insecure and afraid everyone will bolt to the competition. It's like not being able to say another station's call letters, however, letting Howie rant on and on about the stock is priceless, it's very entertaining, I'm not sure what or if entercom can do anything about that, stock is stock, it's not a competitor so what can they say? LOL! Howie is taking full advantage of it and I love it, he sticks it to entercom every chance he gets, it may not be professional but it sure is entertaining especially knowing all the details of what transpired between Howie and entercom!

Posted by: the real Barbara at October 9, 2008 11:28 AM


JSYK, Talk about an ACT that has worn thin!

Posted by: Hazel at October 9, 2008 03:31 PM


Radio has fired everybody.
Radio has used up good clients and relationships.
Radio has junked up and bastardized their products.
Radio over promises and unbelievers.
Radio screws stockholders

The chickens have come home to roost.

http://thinkonthesethings.wordpress.com/2008/03/20/video-jeremiah-wright-chickens-coming-home-to-roost-september-11-full-sermon/

Posted by: pocket-radio at October 9, 2008 06:35 PM


Look for more pay-to-play restaurant, gardening and finance shows.

Posted by: WRKO Staffer at October 9, 2008 09:43 PM


Howie is forbidden to say "satellite radio" or mention XM or Sirius...because management is baffled by the concept. They don't not know how to deal with Howie, so they quietly demonize him behind his back, pretend they love him to his face, and continue to have a deep grumbling contempt for him, rather than realize he's been the franchise of the station for a very long time. Howie brings in the most WRKO dough by a wide margin. Ditto his ratings. The sales staff is caught in the middle and told to promote Finneran and Reese to the advertisers. Poor saps!

Love him or not, imagine WRKO without Howie Carr. That right...NOTHING left.

Management broke Howie's spirit, treated him like dirt because they don't like his sarcastic political views, blamed HIM for the contract problems when he wanted to leave, and then WRKO made everything worse for themselves by siding with the "beautiful people"...the Democrats Howie ridicules because of their failed policies and corrupt politics. Staff people say Howie was told "if you mention satellite radio, your producers will get the axe." Great management huh? Howie was also told not to refer to his employment as "indentured servitude". And they wonder why Howie wants OUT.

RKO management is no different than the dopes that run this state. They're too dumb to recognize they've made some very bad moves, and too stubborn to admit they were wrong when the shite hits the fan. So instead, management continues to treat Howie like the offender, makes HIM their enemy and wonders WHY he wants to leave so badly.

And now, in this dark economy, you'd think they'd finally realize what they have in Mr. Carr...but no. WRKO management would rather go down with the ship than simply PARTNER with Howie's side of the aisle and possibly change the course of their pre-determined doom.

Howie brings the only value to the station. No one else at RKO can compare to Howie's performance on the air, or the amount of revenue he generates for the station and his advertisers.

So what does RKO do? They "push" Reese, or glorify Finneran. And the station continues to sink...er, stink, while Howie succeeds in spite of it all.

SAVE WRKO? Since Wolfe was appointed VP of programming, nothing he's done at WRKO has worked. Nothing. And the sales staff remains caught in the middle, working like beaten and abused sled dogs every day to meet their numbers. So, who's the problem at RKO?

Posted by: bob at October 11, 2008 11:00 AM


RKO staffer, God help us, MORE finance shows, oh sure, we just can't get enough of those and yes yes yes, please add another gardening show, keeping you down to earth, up to date and on the air, and please let there be THREE hosts who talk over each other......also, please add more colon cleanse promos and vitamin shows, those are VERY stimulating.

Posted by: the real Barbara at October 12, 2008 06:25 PM


LOL at the above post by the real Barbara, but in fact with the deteriorating economy, the finance shows have become pretty interesting as they scramble to keep up a good front.

Posted by: Jim from Boston at October 13, 2008 07:50 AM