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Gray TV acquiring Schurz


TheRob

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A few take aways:

 

Springfield, MO is now served by Nexstar and Gray. For some reason that just feels disappointing for that market but imagine more markets will be like that as more station groups consolidate. Plus I'm interested in seeing how they run KY3 because Schruz put a lot of investment into that station like they did with their other stations and eventually the LMA they have with KSPR.

 

It will also be interesting to see how much KOTA and KEVN combine their operations in Rapid City because they're the two dominant stations in that market. I'm surprised that hasn't raised any red flags yet.

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First a murder, now a sale. Poor WDBJ.

 

Why are they dumping WSBT and not WNDU?

 

WNDU IIRC rates higher and has Notre Dame football. Regardless whomever divested has (M)MG written all over them.

 

KAKE is a tossup. Scripps does have radio in Wichita so they'd be logical, ditto Hearst.

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From the press release, it states that Gray will sell KAKE-TV and WSBT-TV, as well as consolidate operations of WAGT and WRDW in Augusta, GA.

 

Is a WAGT-WRDW consolidation possible? Right now, WAGT is controlled by Media General, and surely just shutting it down would be a breach of contract unless the LMA is almost up. Regardless, it represents little change in the Augusta market.

 

WSBT would definitely best suited for Media General (being a hole in what would be a sizable network in the Midwest), but they cannot acquire KAKE+ since they already have KSNW+. If a single buyer is to be found for all those stations, we know Media General would be out, along with Sinclair.

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Is a WAGT-WRDW consolidation possible? Right now, WAGT is controlled by Media General, and surely just shutting it down would be a breach of contract unless the LMA is almost up. Regardless, it represents little change in the Augusta market.

 

They just bought a Class A in Augusta (WBEK, calls will change).

 

Note this: "Over time, Gray expects to consolidate WAGT-TV’s operations with Gray’s existing operations in this market. Gray anticipates that the FCC license for WAGT-TV will be offered in the upcoming FCC spectrum auction, with the proceeds from such auction, if any, payable to Gray."

 

This explains the Augusta acquisition. WAGT will move to the Class A station. The full-power license will be put in the spectrum auction. I also do not see any information about a contract between Schurz and Media General in either file for WAGT or WJBF.

 

As to KOTA and KEVN, Gray owns an LPTV there too (KIVN). I could imagine a transmitter shuffle where ABC and Fox service are put on one transmitter in each area except in Rapid City and one of the station facilities is shut down. KOTA is on VHF channel 2.

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They just bought a Class A in Augusta (WBEK, calls will change).

 

Note this: "Over time, Gray expects to consolidate WAGT-TV’s operations with Gray’s existing operations in this market. Gray anticipates that the FCC license for WAGT-TV will be offered in the upcoming FCC spectrum auction, with the proceeds from such auction, if any, payable to Gray."

 

This explains the Augusta acquisition. WAGT will move to the Class A station. The full-power license will be put in the spectrum auction. I also do not see any information about a contract between Schurz and Media General in either file for WAGT or WJBF.

 

As to KOTA and KEVN, Gray owns an LPTV there too (KIVN). I could imagine a transmitter shuffle where ABC and Fox service are put on one transmitter in each area except in Rapid City and one of the station facilities is shut down. KOTA is on VHF channel 2.

 

In a large rural area with the Black Hills, VHF 2 isn't exactly problematic.

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It's a sad day in broadcasting when a decent operator like Schurz gets sucked up by an inferior one (Gray).

 

Here's hoping they don't destroy WDBJ and KYTV....

 

As for the Augusta situation, WAGT is WELL situated within WJBF....their new Television Park was built specifically to run both stations. Trying to do the same with WRDW may force them to move to a larger facility. It's an underhanded move that could cause layoffs and a much more inferior product on WAGT.

 

Keeping WNDU is a no-brainer, since it's the dominant station in the market owing to it's long past as a part of Notre Dame before they sold it off to Gray. Media General could be a good swap partner for WSBT, perhaps to even out the loss of WAGT's operation. Weigel could be another suitor since they could put their low-powered operation on a full-powered signal and be well within their right to do so.

 

Interesting that KWCH is being kept.....before Schurz owned it, it was a Media General station. Now that KSN is a part of them, that rules them out of getting KAKE. Maybe Sinclair would want to trade up KSAS...

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Two things of interest:

 

In the Augusta, Georgia, market (DMA 112), Schurz owns WAGT-TV, the market's NBC and CW affiliate. Gray owns WRDW-TV, the market's CBS affiliate. Over time, Gray expects to consolidate WAGT-TV's operations with Gray's existing operations in this market. Gray anticipates that the FCC license for WAGT-TV will be offered in the upcoming FCC spectrum auction, with the proceeds from such auction, if any, payable to Gray.

 

Since Gray has already bought WBEK-CD, it would be wise to move The CW stream there. Here's how I'd see things in Augusta:

WRDW: 12.1 CBS (1080i HD), 12.2 NBC (720p HD), 12.3 MNT/Antenna TV (480i SD)

WBEK-CD: 16.1 CW (1080i HD)

WAGT: 26.1 ????

 

In the Rapid City, South Dakota, market (171), Schurz owns KOTA-TV and three satellite stations, which serve as the market's ABC affiliate. KOTA-TV is the number one ranked and highest grossing station in the market. Gray anticipates combining KOTA-TV's operations with those of Gray's KEVN-TV, the market's FOX affiliate.

 

Here's one that could go either way. If KEVN goes:

KOTA/KHSD/KDUH/KSGW: 3.1/11.1/4.1/12.1 ABC (720p HD), 3.2/11.2/4.2/12.2 FOX (720p HD), 3.3/11.3/4.3/12.3 MeTV (480i SD)

KEVN/KIVV: 7.1/5.1 ????

 

If KOTA goes:

KEVN/KIVV: 7.1/5.1 FOX (720p HD), 7.2/5.2 ABC (720p HD), 7.3/5.3 MeTV (480i SD)

KOTA/KHSD/KDUH/KSGW: 3.1/11.1/4.1/12.1 ????

 

In either case, ThisTV would move to the LPTV that Gray's buying in Rapid City (can't remember call sign).

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Before the deal closes, Schurz would still have The South Bend Tribune, 960 WSBT Radio and WSBT Channel 22.

 

After the sale closes, Schurz would still own The South Bend Tribune, Gray would own 960 WSBT Radio and someone else will own WSBT Channel 22.

 

What a mess in South Bend.

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I still think that anytime someone puts a station up for sale, you have to first think Sinclair. They do own KSAS in Wichita, but they could easily sell that station to Armstrong Williams or another shell, and move Fox to a KAKE subchannel.

 

I wonder if Weigel will make a play for WSBT, giving them CBS, ABC and CW in South Bend?

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I feel like Nexstar makes the most sense. They could buy both without any problems and both fit their typical market size. WSBT would be a wonderful complement to their other Indiana stations and KAKE would expand their big footprint in Missouri into another state (and they could get more than half of Kansas to boot)

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I wonder if Weigel will make a play for WSBT, giving them CBS, ABC and CW in South Bend?

 

Schurz once tried to do that to combine WSBT's, WBND's, WCWW's and WMYS' operations together. That deal fell through and this was before WBND started its own news department.

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I could see Heartland going for the smaller stations. Not so much for the big guns (Wichita and South Bend)...doesn't seem to fit well with their M.O. so far for acquisitions.

 

As for Rapid City, factoring in OTA coverage, KEVN seems more likely to be given the axe, given KOTA's much larger satellite footprint (and, from what I recall, higher-rated newscasts).

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I'm sure that Heartland has been trying to many of the same stations that have changed hands in the past year. The problem is that they can't compete with publicly traded companies like Nexstar, Gray and Sinclair who have a greater ability to borrow money and are willing to pay a premium to gobble up assets.

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As for Rapid City, factoring in OTA coverage, KEVN seems more likely to be given the axe, given KOTA's much larger satellite footprint (and, from what I recall, higher-rated newscasts).

 

KOTA is far and away the market leader in Rapid. The only news that KEVN produces is a 9pm newscast plus a 6pm show called "The Six".

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