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Cordillera Looking To Exit TV Business


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They have some well positioned stations. Some of them would be good fits for Gray were it not in the midst of a merger.

 

Sinclair did get Bonten while it was in the middle of a merger with Tribune.

 

 

I think the most likely suitors for the stations are Tegna, Nexstar (KXRM dispatched to Standard in that case) and Standard, especially if the latter walks away with the Gray-Raycom conflicts.

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Since the merged Graycom will already have stations in the three largest Cordillera markets (Lexington, Tucson, Colorado Springs), it would seem unlikely they would be interested in the group as a whole. Would Heartland be interested, perhaps? Maybe Standard?

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Hearst is a clean fit with Cordllera...plus KSBY will reunite with KSBW...

 

KSBW & KSBY:The Twins Separated at Birth

That's true, but I don't think Hearst would be interested in such small markets, if they are interested in expanding to new markets at all.

 

The KSBW/KSBY thing is irritating, I grant you that.

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That's true, but I don't think Hearst would be interested in such small markets, if they are interested in expanding to new markets at all.

 

The KSBW/KSBY thing is irritating, I grant you that.

 

Maybe...or they could make a sneak attack like in 2014 and 2017.

 

 

R.I.P. Alabama's 13 (2009-2015)

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Maybe...or they could make a sneak attack like in 2014 and 2017.

 

 

R.I.P. Alabama's 13 (2009-2015)

 

Anything is possible, but I doubt it's part of their plan. Yes, it is a great fit market wise for Hearst, and as far as I know the Cordillera stations are pretty competitive. It's a nice group of stations, however I just don't think Hearst is looking to become the next Tegna or Nexstar.

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Well this is a kick in the gut!

 

I was expecting less of this to happen after the Sinclair decision, honestly. I've also been reading about decline in broadcast revenue so far this year - a little concerning since it is an election year. Digital is becoming huge with more ad dollars being allocated there--I imagine Cordillera wants to leave their stations to someone better equipped to compete.

 

Also sort of wondering where these groups selling off now were during the FCC auction. They could have made bank selling some spectrum and channel sharing - certainly enough of an ROI versus whatever these stations may get now.

 

I wonder if Quincy or Hubbard would like to expand...we don't talk about those groups much. Maybe NPG too?

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Problems are that they are so geographically dispersed, and with a real mess of possibilities, that good luck finding one buyer.

 

The competition in their markets:

 

MTN stations

Billings - Nexstar, Cowles

Butte/Bozeman - Sinclair, Cowles

Great Falls - Cowles

Helena - none?

Missoula - Sinclair, Cowles

 

Other stations

Colorado Springs - Gray, Nexstar, NPG

Corpus Christi - Sinclair, Tegna

Lafayette - Bayou City, Nexstar

Lexington - Gray, Morris, Sinclair

Santa Barbara/SLO - NPG

Tucson - Gray, Scripps, Tegna*

 

* May not be a conflict if KSMB is outside the top 4.

 

Good luck finding something there...

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I wonder what will happen to the Montana Television Network (KTVQ, KRTV, KXLF, KBZK, KPAX and KAJJ + KTVH and KBGF). That's been around since forever.

 

I'm sure it would stay united. Gray can keep it all together, while Nexstar can as well by selling KSVI (they surely would in such a purchase). They have major conflicts elsewhere though. As for who can buy everything whole, that would be left to smaller companies like Heartland, if they can pony up the money - or Quincy, if they want to leave their footprint.

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I'm sure it would stay united. Gray can keep it all together, while Nexstar can as well by selling KSVI (they surely would in such a purchase). They have major conflicts elsewhere though. As for who can buy everything whole, that would be left to smaller companies like Heartland, if they can pony up the money - or Quincy, if they want to leave their footprint.

 

Someone will have to take all the Montana stations. They are virtually worthless on their own. Nexstar would love to get rid of the bastard stepchild known as KSVI/KHMT, but no one has wanted it. The gap in ratings and revenue between those two stations and Q2/KULR is about the size of Yellowstone.

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Someone will have to take all the Montana stations. They are virtually worthless on their own. Nexstar would love to get rid of the bastard stepchild known as KSVI/KHMT, but no one has wanted it. The gap in ratings and revenue between those two stations and Q2/KULR is about the size of Yellowstone.

 

Yep, KSVI is a ratings joke in comparison. Gray would be perfect for the Montana stations, but they run into big trouble elsewhere. The only real gains elsewhere are Lafayette (the last missing piece in Louisiana) and Corpus Christi. I don't think they want an isolated asset in California, and the other three bigger markets are all conflicts where they have the stronger station anyway. In a Nexstar acquisition, KSVI looks like something heading for the dumpsters...and they still would have to sell one in Colorado Springs and one in Lafayette.

 

As for why two companies have come out so fast with selling ambitions, it could be because of the Sinclair issue. They may have feared Sinclair would bully them into selling their stations to them at an enormous payday - now that they are on probation it appears, they can maybe get better buyers.

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Problems are that they are so geographically dispersed, and with a real mess of possibilities, that good luck finding one buyer.

 

The competition in their markets:

 

MTN stations

Billings - Nexstar, Cowles

Butte/Bozeman - Sinclair, Cowles

Great Falls - Cowles

Helena - none?

Missoula - Sinclair, Cowles

 

Other stations

Colorado Springs - Gray, Nexstar, NPG

Corpus Christi - Sinclair, Tegna

Lafayette - Bayou City, Nexstar

Lexington - Gray, Morris, Sinclair

Santa Barbara/SLO - NPG

Tucson - Gray, Scripps, Tegna*

 

* May not be a conflict if KSMB is outside the top 4.

 

Good luck finding something there...

 

Tegna can't purchase KRIS/KZTV because they owned KIII, I can see Nexstar acquiring KRIS/KZTV and Tegna acquire WLEX.

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They have some well positioned stations. Some of them would be good fits for Gray were it not in the midst of a merger.

Maybe Raycom can bu- oh wait.

 

But Cordillera seem like a good fit for Raycom. Possibly the only maket of conflict is Tucson.

I'm sorry to say this, and I know their in a middle of a merger, but this is Gray's one to lose.

 

They would complete the entire state of Louisiana with KATC, and "basically" the Great Plains with the Montana properties. Remember Gray bought KTVH before they gave it to Cordillera. Why not try to get it back (and then some)? Those Montana properties screams Gray. That would give them another 2% in the cap to about 26% (without the discount).

 

Since the merged Graycom will already have stations in the three largest Cordillera markets (Lexington, Tucson, Colorado Springs), it would seem unlikely they would be interested in the group as a whole.

As for spin-offs, I don't see any reason why they couldn't spin-off the three markets. I could see them easily unloading WLEX & KOAA. I'm at a toss-up between the two in Tucson (KVOA/KOLD).

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I'm sorry to say this, and I know their in a middle of a merger, but this is Gray's one to lose.

 

They would complete the entire state of Louisiana with KATC, and "basically" the Great Plains with the Montana properties. Remember Gray bought KTVH before they gave it to Cordillera. Why not try to get it back (and then some)? Those Montana properties screams Gray. That would give them another 2% in the cap to about 26% (without the discount).

 

 

As for spin-offs, I don't see any reason why they couldn't spin-off the three markets. I could see them easily unloading WLEX & KOAA. I'm at a toss-up between the two in Tucson (KVOA/KOLD).

 

In general, I agree that a few conflicts should not scare off what would otherwise be a good merger, however I wouldn't think that it would be a very good use of Gray's resources to add the entire group when the three largest properties (by far) would all need to be sold off.

 

Now, if Cordillera sells their stations to multiple buyers, you're right that Gray should be all over the Montana stations and KATC. They might have interest in Corpus Christi as well.

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Tegna can't purchase KRIS/KZTV because they owned KIII, I can see Nexstar acquiring KRIS/KZTV and Tegna acquire WLEX.

 

And on that front, I can see KOAA being a good fit as a KUSA sister station (NBC affiliates in side-by-side markets).

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I'm sorry to say this, and I know their in a middle of a merger, but this is Gray's one to lose.

 

They would complete the entire state of Louisiana with KATC, and "basically" the Great Plains with the Montana properties. Remember Gray bought KTVH before they gave it to Cordillera. Why not try to get it back (and then some)? Those Montana properties screams Gray. That would give them another 2% in the cap to about 26% (without the discount).

 

As for spin-offs, I don't see any reason why they couldn't spin-off the three markets. I could see them easily unloading WLEX & KOAA. I'm at a toss-up between the two in Tucson (KVOA/KOLD).

 

KOLD is higher rated than KVOA. Hearst would be perfect for KVOA, KOAA and WLEX (in the case of KVOA, it would reunite it with most of its former Pulitzer sister stations).

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