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News/Talk Format Dragging Cumulus Down


If you're a GM at one of the Cumulus News/Talk stations in markets 1-10, you've got to be feeling a little pressure right about now. Cumulus CEO Lew Dickey wanted to make it crystal clear Thursday that 10 stations -- out of 570 -- caused the company's drop in revenue. He said they were all in the top 10 markets and many were in the News/Talk format. Those 10 stations accounted for a $10 million drop in revenue and three stations accounted for $5.5 million of the $10 million. So which stations in those markets are causing the problem? Here's what we found.

Although Dickey did not call out each station, here's a list of some of the News/Talk stations Cumulus owns in top 10 markets. In New York, WABC-AM; in Los Angeles, KABC-AM; in Chicago, WLS-AM; in Dallas, KGO-AM; in San Fran, WBAP-AM; in Washington, DC WMAL-AM; and in Atlanta, WYAY is all news. Dickey also said that the 560 other stations that Cumulus owns posted a two percent gain in revenue, again emphasizing that 10 stations caused the revenue decline.

Dickey said the News/Talk stations in the top 10 markets that Cumulus now owns were "under-invested vessels for syndication." He said Cumulus is working to bring them back and turn them around but it could take up to four quarters before that happens. "We're still going to carry that baggage into Q3."

Dickey said revenue was down 1.7 percent compared to the same three months in 2011.

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hey Lew you can't manage Myrtle Beach, what made you think you were qualified to run stations in LA?
quit blaming others and look in the mirror. I'd start formulating my Q4 excuses now!

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