If my doctor took my blood pressure this week, he’d probably put me in the hospital.
I have read so much misinformation on the internet about iHeart’s Chapter 11 filing, it makes me wonder how anyone how it can be so few journalists can be so ignorant.
And, I have read so many ignorant Facebook comments from so-called professionals, I just want to scream.
So here’s the facts:
Chapter 11 bankruptcy is NOT liquidation. iHeart will still, most likely be in business to re-emerge from it. When they do, they will still, most likely own all or nearly all of the stations they do today.
No stations will be “going dark”. As long as they are viable properties, they are assets and if the bankruptcy judge decides to order a few sales, they will be sold.
There will likely be NO FIRE SALE. Read that again, if you don’t understand it. Stations that may possibly turn up on the market will be sold for fair market value.
Oh yeah…and read the following at least ten times to burn it into a few thick skulls out there:
THERE WILL NOT BE A HUNDRED, OR TWO HUNDRED, OR THREE HUNDRED OR MORE SALES TO LOCAL OWNERS. AND “ALL THOSE RADIO JOBS” LOST DUE TO DE-REG WILL NOT BE COMING BACK.
Why do I say that? Show me the line of owners who have a couple hundred million or more to burn on buying stations, then have the millions needed to employ a full staff similar to the kinds we had in the 1970’s.
And yes, this is NOT the “end of the radio business”. It is not, as someone suggested on Facebook, “a blight on the radio industry”.
Any station owner who is making money…and mind you there are hundreds who are right now, will tell you they are fine. In some cases, sales are up 2 or 3 percent from last year.
Back in the 70’s, I knew station owners who would sell their first born to get that. It was Wall Street that penalized broadcast stations for those types of gains after a good part of the industry sold their souls to be listed on the NYSE.
I am aghast at some of the stories I have read about this online this week. Hey, Forbes. Yeah, you. Tell your “journalists”…and I use the term loosely, they need to go talk to some station group owners BEFORE they publish another “sky is falling” article.
After all, that would only be “getting both sides of the story”.
Or, is it, Forbes…you don’t care about doing that?