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Whoa! Fox wants KCPQ!?


Samantha

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I very much doubt KRIV (and KTXH) is an option for trading. Fox parted with WFXT because they were giving up a top ten market for another one, but here, Houston is a top ten market and Seattle is not.

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I very much doubt KRIV (and KTXH) is an option for trading. Fox parted with WFXT because they were giving up a top ten market for another one, but here, Houston is a top ten market and Seattle is not.

 

Texans are AFC, KTXH only gets 2 Texan games a season (unless there's a cross flex between Fox and CBS), is a top 20 market with an NFC team worth more than a top 10 market with an AFC team

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I don't know if Tribune can even get anything more from Fox than WPWR because Tribune is so close to the nationwide ownership percentage cap.

 

At this point, Tribune is obviously playing hardball with Fox, and it's very likely that they are trying to force Fox to do what they are threatening, as in, leave KPCQ for another station. But Fox is also limited beyond trading with CBS for KSTW (making KCPQ the market's CW affiliate by default), forcing Cox to trade again for KIRO (making KCPQ the market's CBS affiliate by default), or trying to make KBCB a Fox O&O.

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Well, FOX has purchased the Bellingham-based rimshot KBCB for a way-overpriced $10M. I only think this will be used as a pawn in order to get a bigger prize in Seattle (knowing how well building an O&O from scratch has worked out in Charlotte, why would they make the same mistake again?). Seems like a repeat of the desperation move CBS made by buying Channel 69 in Atlanta 20 years ago.

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Well, FOX has purchased the Bellingham-based rimshot KBCB for a way-overpriced $10M. I only think this will be used as a pawn in order to get a bigger prize in Seattle (knowing how well building an O&O from scratch has worked out in Charlotte, why would they make the same mistake again?). Seems like a repeat of the desperation move CBS made by buying Channel 69 in Atlanta 20 years ago.

 

I believe only reason it is $10 Million is the proximity to Vancouver BC, and even if Fox gets another station, you can bet that KBCB would become the default affiliate for Western Canada. With the fact it covers Vancouver with a city grade signal, they can get ad revenue from Vancouver to advertise during news and non-simsubed programming.

 

With the CRTC's restriction on international ownership, this may be an indirect way for Fox to enter one of the few markets they are not in.

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I believe only reason it is $10 Million is the proximity to Vancouver BC, and even if Fox gets another station, you can bet that KBCB would become the default affiliate for Western Canada. With the fact it covers Vancouver with a city grade signal, they can get ad revenue from Vancouver to advertise during news and non-simsubed programming.

 

With the CRTC's restriction on international ownership, this may be an indirect way for Fox to enter one of the few markets they are not in.

Scott Fybush posted on the RadioInsight boards as to why that can't happen.

 

There’s no money in trying to do a Vancouver-specific Fox affiliate from south of the border. All the network programming gets sim-subbed on Canadian cable, so even if a hypothetical Vancouver-focused KBCB were to sell ads to Vancouver customers during Fox network shows, those ads wouldn’t be seen by anyone watching cable – which is most of the Vancouver market. (Also, the Canadian government doesn’t let Canadian businesses deduct the cost of advertising on US border stations as a business expense, so they’d have a hard time getting much advertising in the first place.)

The only way Fox can operate KBCB is as an extreme rimshot O&O... as a satellite for whatever signal they trade for... or as cheap spectrum bait in the extremely rare event they may be forced into affiliating with another station because they can't buy or trade for any station.
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This doesn't have anything to do with KCPQ. But this could mean something...

 

Looking through tonight's paperwork, KBCB in Bellingham, WA is being sold to (get ready y'all) FOX!!!! for $10M. The station is also letting Fox operate it under an LMA, until the sale closes.

 

First of all, the station's coverage area goes further north so it doesn't reach Seattle proper, but it does reach to the southern portions of British Columbia (reaches Vancover proper).

 

But there's some unanswered questions. Why would they want a TV station that doesn't reach Seattle proper (unless they want to go for cable coverage)? Are they're going to make that station a possible MYNet channel and possibly place a repeater for Fox with it? Or do they want to make this the new Fox station (which I would think it would be extremely unbelievable). I would still think, Fox needs to have at least one of the stations in the Seattle proper to go with KBCB, whether its KCPQ or not.

 

But it is very clear that Fox wants to make its mark in Seahawks territory.

I get a chuckle knowing that we were discussing this here at TVNT 24+ hours before the trades even picked up on this. That has been the case with the WJSU/WCFT HSH deals as well. So, Nicely Done, CircleSeven!

 

Why doesn't Fox make a move to buy KING or KOMO?

Because, Gannett and Sinclair aren't selling

 

 

Or "Chasing the Needle."

I know I'm quoting myself from the "Fox looking to acquire more stations" thread. But, they do have a "Chasing" name ready to go...so...

I think dismissing this out of hand is shortsighted. It's not a well kept secret that Fox desires to have their O&O stations (with some minor execptions) in "football markets" preferably NFC markets, duopolies are a plus. That said I think they might have missed the boat on STL with the Local TV, LLC sale. There are few options for entry into that market now. FTSG wants to be in markets like Seattle & San Francisco, badly. So much so they already registered the "Chasing Seattle" & "Chasing San Francisco" names just in case. They also registered a "Chasing Charlotte" name two months prior to their purchase of WJZY/WMYT. Read into that however you want. I'm not saying this guarantees anything. But, just showing you that they do want to be in these markets (and others like it) if they can make the stars align.

 

I don't know if Tribune can even get anything more from Fox than WPWR because Tribune is so close to the nationwide ownership percentage cap.

 

At this point, Tribune is obviously playing hardball with Fox, and it's very likely that they are trying to force Fox to do what they are threatening, as in, leave KPCQ for another station. But Fox is also limited beyond trading with CBS for KSTW (making KCPQ the market's CW affiliate by default), forcing Cox to trade again for KIRO (making KCPQ the market's CBS affiliate by default), or trying to make KBCB a Fox O&O.

Technically, without the "UHF Discount" Tribune is over the cap. So, as you and others (myself included) have pointed out Tribune is limited with what they can do.

 

 

Maybe this is a backup plan for KBCB? If Tribune doesn't blink and won't sell KCPQ, then it would seem easy for Fox to boost the signal of KBCB, get more cable carriage, and build it up the same way they did with WJZY. If Tribune blinks and sells KCPQ to Fox, then Fox can turn KBCB into a satellite of KBCB.

 

It sounds like they have their bases covered. This was what many presumed would happen if Cox didn't budge on KTVU and if Fox would have bolted and built up KOFY or KRON.

I don't know how easy a "move-in" is going to be with the license freeze and the pending auction. So, they'd be waiting at least a couple years to boost the signal or "move-into" Seattle. I think your kind of on to something with the latter portion, though.

 

Here is the thing. Tribune wasn't budging and Fox was sick of waiting and wanted to turn up the heat. In order for Fox to terminate their affiliation agreement they would need to acquire a station in market. So, I'm really not shocked to see that Fox entered into an agreement to buy KBCB the same day they sent the notice of termination to Tribune, September 19th. I don't see Fox backing out of buying KBCB. Fox is taking over programming KBCB on Monday October 20th and they are already acting as an agent to negotiate carriage of KBCB under retransmission consent agreements. But, I do think there is another shoe yet to drop.

 

For example, I find it somewhat odd neither party has stated what their plans are. Tribune hasn't stated they intend to run an indy KCPQ. Nor, has Fox stated where the affiliation will be in Seattle on January 20th. That's a little odd given the limited amount of time between now and then. I really only see two scenarios playing out at this point.

 

1. If Tribune gives in. KECB becomes the MNT affiliate with KCPQ keeping Fox. And, KECB/KCPQ would simulcast each others programming. Tribune is left with an indy KZJO...and, WPWR in Chicago.

2. If Tribune doesn't give in. KBCB becomes the Fox affiliate. Or, Fox scoops up another station in the market (likely KIRO* or KSTW**) at some point to pair with KBCB creating a Fox/MNT duopoly. In the latter scenario the two stations would simulcast each others programming. Tribune would likely be left with an indy KZJO and a CW or CBS affiliated KCPQ in this scenario.

 

*I think If Fox is to acquire KIRO it would likely be through a swap for KRIV/KTXH

**I think if Fox is to acquire KSTW it would likely be a straight purchase from CBS. Possibly with WUPA & WTOG included as well.

 

That said I think scenario #1 is most likely. However, I can't figure out what the hold up is. I've already stated how I think this is intertwined somehow with the Cubs deal which I still believe at this point. But, the only other logical thing(s) I can think holding up a transfer of KCPQ to Fox is who gets the building, newsroom, etc. If Tribune is staying in Seattle with a standalone KJZO they may want to keep building, newsroom, etc. for themselves. IDK, I can't think of much else. Either way I expect this all to shake out in pretty short order.

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Apparently, according to the WSJ, the talks between Fox and Tribune are deteriorating by the day. And the KCPQ-for-WPWR deal is completely dead.

Fox has held talks with Tribune about trading one of its stations elsewhere in the country in exchange for KCPQ—at one point Fox even put a Chicago station on the table, though that offer no longer stands. But so far the talks have gone nowhere and have gotten increasingly acrimonious, according to people familiar with the talks.

It's inevitable now that Fox will be forced to deal with someone else out of default. My money is on them buying KSTW from CBS.

 

( And I just realized this is my 1,000 TVNT post. :) )

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IMO, Fox may be shooting itself in the foot. They gave Cox (owner of one of its strongest, if not its strongest, affiliates) a good deal (trading WFXT and WHBQ) to acquire KTVU-KICU, but opted to make a worse one with Tribune (its second-largest affiliate owner overall, and the largest Fox affiliate owner by market reach) in trying to trade WPWR for KCPQ. They should have traded them KRIV from the get-go. To make matters more complicated, Fox buys a low-rated station that doesn't have a full signal reach across the Seattle metro as a contingency, even though it would have a hard time getting FCC approval for a transmitter move due to the agency's freeze on signal coverage modifications.

 

We've pointed out that Fox has five stations in markets without an NFC team (Houston, Orlando/Gainesville and Austin), but they didn't give them one of the only stations that Tribune could acquire without it going farther over the market cap sans the UHF discount. Is there something more of value to Fox in keeping KRIV (being one of its original O&Os doesn't qualify) that we don't see, or did Fox desire an O&O in Seattle so much that they felt they just had to give away something? To me, it almost feels that they took advantage of Tribune being limited in what Fox could trade with them for.

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IMO, Fox may be shooting itself in the foot. They gave Cox (owner of one of its strongest, if not its strongest, affiliates) a good deal (trading WFXT and WHBQ) to acquire KTVU-KICU, but opted to make a worse one with Tribune (its second-largest affiliate owner overall, and the largest Fox affiliate owner by market reach) in trying to trade WPWR for KCPQ. They should have traded them KRIV from the get-go. To make matters more complicated, Fox buys a low-rated station that doesn't have a full signal reach across the Seattle metro as a contingency, even though it would have a hard time getting FCC approval for a transmitter move due to the agency's freeze on signal coverage modifications.

 

We've pointed out that Fox has five stations in markets without an NFC team (Houston, Orlando/Gainesville and Austin), but they didn't give them one of the only stations that Tribune could acquire without it going farther over the market cap sans the UHF discount. Is there something more of value to Fox in keeping KRIV (being one of its original O&Os doesn't qualify) that we don't see, or did Fox desire an O&O in Seattle so much that they felt they just had to give away something? To me, it almost feels that they took advantage of Tribune being limited in what Fox could trade with them for.

 

The funny thing is that these corporations stomp around like a bull in a china shop and urinate off everybody around them. You just know that five years from now they're going to get a new CEO and he's going to think owning stations just because they're in NFC markets is stupid. Then they're going to turn around and sell all this stuff. That's how these corporations do things.

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The funny thing is that these corporations stomp around like a bull in a china shop and urinate off everybody around them. You just know that five years from now they're going to get a new CEO and he's going to think owning stations just because they're in NFC markets is stupid. Then they're going to turn around and sell all this stuff. That's how these corporations do things.

Especially if Fox looses NFL rights.

 

Fun KCPQ Fact: All of their live trucks are named after Simpsons characters. But I guess they will change that now.

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The funny thing is that these corporations stomp around like a bull in a china shop and urinate off everybody around them. You just know that five years from now they're going to get a new CEO and he's going to think owning stations just because they're in NFC markets is stupid. Then they're going to turn around and sell all this stuff. That's how these corporations do things.

Well, the reasoning for wanting KTVU and KCPQ was understandable, it's just that the methodology Fox used in thinking that swapping a MyNetworkTV station for a Fox station would be a good idea wasn't bright. In the end, though, I doubt this'll sour Fox's relationship with Tribune come renewal time for its other affiliates, just like pulling CBS from WISH didn't sour LIN's relationship with CBS.

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Well, the reasoning for wanting KTVU and KCPQ was understandable, it's just that the methodology Fox used in thinking that swapping a MyNetworkTV station for a Fox station would be a good idea wasn't bright. In the end, though, I doubt this'll sour Fox's relationship with Tribune come renewal time for its other affiliates, just like pulling CBS from WISH didn't sour LIN's relationship with CBS.

The legacy LocalTV affiliates have until 2018 with a reverse compensation fee of ZERO.

 

Fox would have to act completely ridiculous to Tribune - as in, demanding an obscene reverse compensation fee come 2018 - in order for that relationship to sour. And... I can't see that happening.

 

Now, the dubious future of the St. Louis Rams - the team is supposedly rumored to eventually move back to LA - and the overall smallness of the market, may be why Fox didn't and hasn't demanded back KTVI.

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2. If Tribune doesn't give in. KBCB becomes the Fox affiliate. Or, Fox scoops up another station in the market (likely KIRO* or KSTW**) at some point to pair with KBCB creating a Fox/MNT duopoly. In the latter scenario the two stations would simulcast each others programming. Tribune would likely be left with an indy KZJO and a CW or CBS affiliated KCPQ in this scenario.

 

**I think if Fox is to acquire KSTW it would likely be a straight purchase from CBS. Possibly with WUPA & WTOG included as well.

And what do KSTW, WUPA and WTOG have in common?

 

They are all CW O&O standalones in markets where CBS has or had radio stations in. WTOG is now by itself as CBS's Tampa radio cluster was traded to Beasley Broadcasting last week. And CBS's Seattle and Atlanta radio clusters are, for all intents and purposes, on the block because there is no practical radio/TV synergy available on CBS' end. (The trade with Beasley only strengthened this radio/TV synergy for CBS in Miami, where WFOR/WBPS now has all-sports WQAM under the same umbrella, and in Philadelphia, where one of the two FMs CBS acquired - Wired - is heavily rumored to become a simulcast of KYW's all-news format.)

 

And unloading all three stations to Fox would result in Fox/MyTV O&O duopolies in all three markets. All three are also in NFC markets.

 

Do the math here.

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And what do KSTW, WUPA and WTOG have in common?

 

They are all CW O&O standalones in markets where CBS has or had radio stations in. WTOG is now by itself as CBS's Tampa radio cluster was traded to Beasley Broadcasting last week. And CBS's Seattle and Atlanta radio clusters are, for all intents and purposes, on the block because there is no practical radio/TV synergy available on CBS' end. (The trade with Beasley only strengthened this radio/TV synergy for CBS in Miami, where WFOR/WBPS now has all-sports WQAM under the same umbrella, and in Philadelphia, where one of the two FMs CBS acquired - Wired - is heavily rumored to become a simulcast of KYW's all-news format.)

 

And unloading all three stations to Fox would result in Fox/MyTV O&O duopolies in all three markets. All three are also in NFC markets.

 

Do the math here.

 

And Fox will make the mistake of buying another TV station with no local news presence. They should at least look at a station with an established news department and not make the same disastrous mistake they made in Charlotte (WJZY's morning news is treading "hash marks" - see Page 24 of PDF). But, this is Fox, and they've been known to make some boneheaded moves that have hurt the ratings of the network as a whole.

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And Fox will make the mistake of buying another TV station with no local news presence. They should at least look at a station with an established news department and not make the same disastrous mistake they made in Charlotte (WJZY's morning news is treading "hash marks" - see Page 24 of PDF). But, this is Fox, and they've been known to make some boneheaded moves that have hurt the ratings of the network as a whole.

 

Could it be that WJZY was a disastrous mistake because they tried to take a "new approach" to presenting the news that really hasn't been tested before, and not because they were building a news department from scratch?

 

Also, if Fox is willing to spend, who better to hire than now retired from anchoring Dan Lewis and Margo Myers, two popular former Seattle anchors.

 

I wonder if Fox were to acquire KSTW, if Tribune would still be willing to sell KZJO to Fox to serve as the MNTV affiliate.

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I wonder if Fox were to acquire KSTW, if Tribune would still be willing to sell KZJO to Fox to serve as the MNTV affiliate.

Fox wouldn't even need to do that.

 

KSTW can run Fox at 11.1 and MyTV as 24.2, and KBCB can run MyTV at 24.1 and Fox as 11.2.

 

KBCB would serve as a de facto satellite of KSTW, and vice versa.

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Who would get AFC rights from CBS?

NBC, perhaps?

 

If Comcast really wanted to, they could reclaim the AFC rights and scoot Sunday Night Football to NBC Sports Network, really giving that network a shot in the arm.

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