MERGER TO CREATE HUGE RADIO NETWORK.Byline: Dave McNary and Fred Shuster Staff Writers
Radio giants Clear Channel Communications Not to be confused with clear channel radio stations, which are AM radio stations with certain technical parameters.
Clear Channel Communications (NYSE: CCU) is a media conglomerate company based in the United States. Inc. and AMFM AMFM Association of Marriage and Family Ministries
AMFM Automated Mapping Facilities Management
AMFM Association des Modélistes Ferroviaires de Montréal (French: Montreal Railroad Modelers Association) Inc. announced Monday a $23.5 billion merger to create the nation's largest radio network with 830 stations, including 11 in Los Angeles Los Angeles (lôs ăn`jələs, lŏs, ăn`jəlēz'), city (1990 pop. 3,485,398), seat of Los Angeles co., S Calif.; inc. 1850. .
The deal, expected to close in the second half of 2000 following the sale of about 125 stations to satisfy regulators, combines such local heavyweights as KFI-AM, KOST-FM, KIIS-FM, KBIG-FM, KLAC-AM and KXTA-AM.
Allen Klein Allen Klein (born December 18, 1931) is an American businessman and record label executive. He is best known (and somewhat notorious) for his tenacious management of rock and roll performers in the 1960s, and the subsequent hostile acquisition and control of their works. , an analyst with Encino-based Media Research Graphics Inc., predicted there could be format changes at some of the local stations. ``They will probably take the best-earning formats and plant them on stations with better signals,'' he said.
It marks the growing trend toward consolidation in the media industry and is the second such mega-merger in less than a month after the blockbuster block·bust·er
1. Something, such as a film or book, that sustains widespread popularity and achieves enormous sales.
2. A high-explosive bomb used for demolition purposes.
3. $35 billion buyout Buyout
The purchase of a company or a controlling interest of a corporation's shares.
A leveraged buyout is accomplished with borrowed money or by issuing more stock. of CBS (Cell Broadcast Service) See cell broadcast. by Viacom.
``The deal makes sense,'' said entertainment analyst Barry Hyman at Ehrenkrantz King Nussbaum. ``It's something that had been rumored for a long time, and it looks like they finally worked out a price.''
Wall Street endorsed the deal, which calls for shareholders of AMFM to receive 0.94 shares of Clear Channel stock for each AMFM share held, giving them a 37 percent stake in the new company and paying them a 13 percent premium to Friday's closing price. AMFM stock rose $1.9375 to $65.125 while Clear Channel fell $3.875 to $76.50.
The new company, which will retain the Clear Channel name, will have 110 million listeners for its network, along with 19 TV stations, 240 foreign radio stations and 425,000 billboards. Dallas-based AMFM, the former Chancellor Media, owns 443 U.S. stations including seven in Los Angeles; San Antonio-based Clear Channel's holdings, which were bolstered by last year's buyout of Jacor Communications, include 512 domestic stations.
The announcement means the merged entity will probably have to sell three stations in the Los Angeles market to meet current requirements but a spokesman said no decision has been made yet on which will be put on the block.
AMFM was created over the past six years through a series of acquisitions by Dallas-based buyout firm Hicks Hicks , Edward 1780-1849.
American painter of primitive works, notably The Peaceable Kingdom, of which nearly 100 versions exist. , Muse, Tate & Furst. The deals left $6.1 billion in debt, which will be assumed as part of the deal and partly paid down through the station sales.
RADIO PLAY LIST
These are the local stations the combined Clear Channel and AMFM Inc. will own if their merger goes through although three will probably have to be sold:
KLAC-AM (570) - standards
KFI-AM (640) - talk
KXTA-AM (1150) - sports
KKBT-FM (92.3) - urban
KYSR-FM (98.7) - adult
KCMG-FM (100.3) - oldies Oldies is a generic term commonly used to describe a radio format that usually concentrates on Top 40 music from the '50s, '60s and '70s.
Oldies are typically from R&B, pop and rock music genres.
KIIS-FM (102.7) - top 40
KACD-FM (103.1) - rock
KBCD-FM (103.1) - rock
KOST-FM (103.5) - adult
KBIG-FM (104.3) - adult
BOX: Radio play list (see text)