(FTV Live) KRON potentially being sold in Spectrum

[Eat News 4738]

Is the "Files and folders" system of any relation to the Dewey Decimal System?

 

Well I could have made a Truman joke, but my consultant says I need to "skew younger".

 

In all honesty I give the KRON deal a 95% go based on all the external factors I see. I think it makes sense. Everything they have done lately really backs it up IMPHO...but this is also my first spectrum auction so I may be a bit randy over the process.

[newsbot 269]

He was right about Quincy and WSJV

I'm not saying that he's never right, but his hit-to-miss ratio falls far short of the likes of Robert Feder, or even DCRTV's Dave Hughes for that matter.

[AJClementeFan69 477]

Would KRON simply die off or would it be shifted onto a subchannel in that "separate licenses on the same frequency" plan? Or is that plan not yet a thing?

[Eat News 4738]

Would KRON simply die off or would it be shifted onto a subchannel in that "separate licenses on the same frequency" plan? Or is that plan not yet a thing?

 

At that point KRON becomes a format, not a licensee.

[Weeters 1811]

Seriously...

Expect channels to go away soon. They will be replaced with the "files and folders" system.

But if KRON shuts down what station will everyone obsess over??

 

Seriously though, if you step back and look at the situation, everything KRON has done in the past few years makes sense when you consider selling off the spectrum as the end game.

[Rusty Muck 4170]

But if KRON shuts down what station will everyone obsess over??

There's only one 'JZ.

[Rusty Muck 4170]

Seriously though, if you step back and look at the situation, everything KRON has done in the past few years makes sense when you consider selling off the spectrum as the end game.

KRON's GM doing double duty as KOIN's GM is the real tipoff here.

 

In the end, I wouldn't be surprised to see quite a few KRON personnel get transferred to other Nexstar stations. Radnich has his talk fest on KNBR, so he's somewhat secure. ABC will find someone or something else to lease the soon-to-be-vacated studio space. Life will go on.

 

And Nexstar will get a very nice payday for what was otherwise a $800M disaster for the Young family.

[GroupWBZ 73]

But if KRON shuts down what station will everyone obsess over??

 

As long as there's drama and intrigue over at WHDH, I'm happy.

[Eat News 4738]

But if KRON shuts down what station will everyone obsess over??

 

My mom says "God put a little bit of KRON in all his children."

[24994J 5277]

My mom says "God put a little bit of KRON in all his children."

And then she'd pour a splash of whiskey into your sippy cup of warm milk, tuck you into bed, and you'd be fast asleep and off to dreamland in no time.

[GroupWBZ 73]

My mom says "God put a little bit of KRON in all his children."

 

Some say that on the seventh day, before God rested, He planted the very first TV tower in the ground and KRON was born.

[channel2 869]

KRON's GM doing double duty as KOIN's GM is the real tipoff here.

 

In the end, I wouldn't be surprised to see quite a few KRON personnel get transferred to other Nexstar stations. Radnich has his talk fest on KNBR, so he's somewhat secure. ABC will find someone or something else to lease the soon-to-be-vacated studio space. Life will go on.

 

And Nexstar will get a very nice payday for what was otherwise a $800M disaster for the Young family.

 

The de Youngs got some Young Broadcasting stock in the deal...what did they do with that?

 

Some say that on the seventh day, before God rested, He planted the very first TV tower in the ground and KRON was born.

 

As the only television station founded by God, this proved once and for all that God loved to watch NBC squirm.

[DirtyHarry 719]

Again, not surprising. Though it's interesting both Indianapolis and Hawaii are missing, considering there's no overlaps in Indy (WISH and WNDY), or Hawaii (KHON).

 

Yeah they probably could have worded that better. Of all the "forgotten" stations only KRON and the Indy duopoly makes sense to sell (and the case to sell Indy is thin). We already know that WCWJ is being sold to Graham and we know they are keeping KRQE because of the moves they've made involving KASA. Also KHON is a very strong station in Hawaii and they'd be stupid to give that up.

 

Why wouldn't you sell WNDE? Would anybody miss that station?

 

In Indy, they also have a fill-in translator for WISH. Is that Spectrum worth anything?

[IndyNewsOpens 83]

You're right. WNDY hasn't been worth anything since CBS/Viacom sold it to LIN.

 

Then again, WISH is also translated on 17, which makes channel 8 annoyingly repeat twice on my DVR (due to the fact that they both have virtual channel 8).

[Thundershock MN 169]

Remember there is going to be a round 2 for the auction.

Yep. Stage 2 starts Tuesday with a lowered clearing target of 114 MHz (down from stage 1's target of 126 MHz.) IMO given the divide in the Stage 1 reverse and forward auction amounts we are likely going to see at least a couple more stages (3 and 4) as well before this thing even gets close to closing.

 

I have read about the possibility of stations that have their RF spectrum auctioned off leasing available space on another channel and still continuing operations. (Theoretically, KRON could lease a subchannel on KBCW - which has no subchannels - and map the subchannel as 4.1.)

 

A similar possibility was floated in the now-locked "NBC Boston" thread, where Comcast leases a subchannel of another full-power station, mapped as 60.1, and have that function as the true full-market signal, with WNEU as a booster.

 

Under that scenario, KRON wouldn't really "go away," but they really wouldn't own anything to their name, either (at least not the studios and transmitter).

Yes they could Channel Share. However, what you are describing although similar is slightly different from channel sharing.

'

A station that opts to channel share would still remain a licensed station so, it wouldn't be a "subchannel" of another station. Those 2 (or, however many stations) that are party to the channel sharing agreement would decide how to divide the 6 MHz RF channel between them. The only requirement is that each licensee maintains 1 SD programming stream. They wouldn't be leasing space/bandwidth as they would licensed to it just like the other station(s). How they decide to pay for transmitter maintenance, etc.is another story as that would be something they would have to work out privately between them. Simply put it would be 2 (or, more) licenses on 1 RF channel.

 

I wrote a long semi-rambling post a year ago here that gets into a little more detail.

 

Would KRON simply die off or would it be shifted onto a subchannel in that "separate licenses on the same frequency" plan? Or is that plan not yet a thing?

At that point KRON becomes a format, not a licensee.

If they opt to channel share with another station still remain a licensed station with all the rights and obligations that come with it.

 

KRON's GM doing double duty as KOIN's GM is the real tipoff here.

 

And Nexstar will get a very nice payday for what was otherwise a $800M disaster for the Young family.

Didn't the KOIN GM leave kind of abruptly a couple months ago for KPTV/KPDX? I don't think is super uncommon for someone within the organization to pull double duty in the interim. And, given the pending ownership change it possible they may be leaving it empty until the sale closes so Nexstar can fill the seat with one of their manager once they officially take control. In fact didn't Scott have an article recently belly aching about rumors that management hires needed Nexstar approval?

 

Also, the current MG shareholders would be the ones receiving most of benefit of KRON leaving the air post auction (if that happens.) The purchase agreement granted MG shareholders a contingent value right ("CVR") entitling Media General shareholders to a pro rata share of the net cash proceeds as received (if any) from the sale of Media General's spectrum in the Federal Communication Commission’s upcoming Incentive Auction, subject to reduction based on the economic benefits received by such shareholders as Nexstar shareholders from the sale of Nexstar’s spectrum (if any) in the Incentive Auction.

 

In Indy, they also have a fill-in translator for WISH. Is that Spectrum worth anything?

Yes, WIIH-CD is eligible to participate in the auction. The opening bid price (to leave the air) was $79,214,220.

 

 

With all that said it's entirely possible that KRON could leave the air post auction or, opt to channel share. I'm still skeptical of Scott's "proof" that KRON is going off the air post auction.

 

If MG and/or Nexstar was dead set on taking KRON off the air post auction then why not just sell KRON to a buyer that would act as a "strawman"? That would clear plenty of cap room and the "strawman" would simply hold the license until the auction concludes and distribute the proceeds back to Nexstar/MG per the purchase agreement. You'd kill two birds with one stone Heck, SagamoreHill basically kept the seat warm on KASW filling the role of owner/licensee for Meredith could until a owner could be found. Heck, why did they build out new space not that long ago when they could have just laid everyone off cancelled all the newscasts and run everything out of a closet? And, what is plan "B" if the auction reaches a point where KRON isn't needed (or, the auction never closes?)

[DirtyHarry 719]

I'm kicking myself now for not applying for an LPTV license when they were easy to get. Run Home Shopping Club for 20 years to pay the bills, run a few hours of local/children's programming a week so you can go to Class C, cash out for 50 million dollars. Who knew? I always thought these were throwaway channels with marginal value.

 

I am also surprised that the VHF stations have as much value that is listed. I thought the spectrum they wanted was UHF.

[Thundershock MN 169]

I'm kicking myself now for not applying for an LPTV license when they were easy to get. Run Home Shopping Club for 20 years to pay the bills, run a few hours of local/children's programming a week so you can go to Class C, cash out for 50 million dollars. Who knew? I always thought these were throwaway channels with marginal value.

 

I am also surprised that the VHF stations have as much value that is listed. I thought the spectrum they wanted was UHF.

You already alluded to it but, I'd just like to emphasize that only Class A low power stations are eligible to participate in the auction. All other LPs/translators are SOL.

 

VHF stations can participate in the auction. Of course a VHF station is less valuable but, would still have value due to "daisy chain" effects. Basically, if a UHF station wants to move to VHF that real estate may need to be vacated. The end result is the same with UHF (Channel 51 down to ???) being cleared. Thus, VHF stations still have some value especially in congested areas.

[elfuego35 89]

You already alluded to it but, I'd just like to emphasize that only Class A low power stations are eligible to participate in the auction. All other LPs/translators are SOL.

 

VHF stations can participate in the auction. Of course a VHF station is less valuable but, would still have value due to "daisy chain" effects. Basically, if a UHF station wants to move to VHF that real estate may need to be vacated. The end result is the same with UHF (Channel 51 down to ???) being cleared. Thus, VHF stations still have some value especially in congested areas.

 

Latest proposal is that 29 will be the highest allocation available, with Channels 30-51 (excluding 37) being sold, leaving 15 UHF allocations available for broadcast use.

 

Also, just because a station is currently on 14-29, doesn't mean they will not be affected, or will not have value, due to the daisy chain effect described, and every station remaining likely wanting to get on that group of channels.

[DirtyHarry 719]

You already alluded to it but, I'd just like to emphasize that only Class A low power stations are eligible to participate in the auction. All other LPs/translators are SOL.

 

VHF stations can participate in the auction. Of course a VHF station is less valuable but, would still have value due to "daisy chain" effects.

If those prices ever materialize, get out of broadcasting. Sell the IP or go cable only.

 

 

Latest proposal is that 29 will be the highest allocation available, with Channels 30-51 (excluding 37) being sold, leaving 15 UHF allocations available for broadcast use.

 

Also, just because a station is currently on 14-29, doesn't mean they will not be affected, or will not have value, due to the daisy chain effect described, and every station remaining likely wanting to get on that group of channels.

here in Columbus, Sinclair has it made. They have channel 36 (WTTE), 46 (WWHO) and 48 (WSYX).

 

I can't believe the valuation for WALV-CD in Indianapolis.

 

You really had to think out-of-the-box to see this one coming. These upper channels were also the crummiest channels in the lptv world. Not enough power, grainy pictures usually. You had to think of this from the standpoint of being an engineer instead of a broadcaster to foresee what is going to happen.

 

Again, that is if these prices ever materialize which I have doubts about.

[Thundershock MN 169]

Latest proposal is that 29 will be the highest allocation available, with Channels 30-51 (excluding 37) being sold, leaving 15 UHF allocations available for broadcast use.

 

Also, just because a station is currently on 14-29, doesn't mean they will not be affected, or will not have value, due to the daisy chain effect described, and every station remaining likely wanting to get on that group of channels.

Actually, Stage 2 of auction started on Tuesday and current clearing target is 114 MHz. The highest allocation in the TV Band at the 114 MHz clearing target would be RF Channel 31.

 

The auction will move to additional stages at a lower clearing target if the "final stage rule" is not met at the end of each stage. The FCC has set clearing targets (highest RF channel in UHF TV Band in parentheses) of: 126 MHz (Ch. 29), 114 MHz (Ch. 31), 108 MHz (Ch. 32), 84 MHz (Ch. 36), 78 MHz (Ch. 38), 72 MHz (Ch. 39), 60 MHz (Ch. 41), 48 MHz, (Ch. 43) 42 MHz (Ch. 44). There were also clearing targets of 144 MHz (Ch. 26), 138 MHz (Ch. 27) but they were jettisoned early on as impractical due to coordination issues with Canada and Mexico.

 

The reason I wrote: "The end result is the same with UHF (Channel 51 down to ???) being cleared" is because we really don't know what the highest allocation will be until the auction closes. I also think it's worth noting that it is highly likely that there will be some stations "repacked" outside the smaller UHF TV Band and within the Spectrum being cleared (Channel 51 down to ???) to make the new 600 MHz wireless band.

 

I'm not 100% sure what your saying with your second paragraph. TV broadcasters don't really have a say where they end up post-repack. The only thing is the FCC cannot force a broadcaster to move bands. If they are on UHF, VHF-hi or VHF-lo now and choose not to participate or drop out they will be repacked within their current band (UHF, VHF-hi or VHF-lo.) Stations on UHF can voluntarily opt to move to VHF-hi or VHF-lo. Likewise, VHF-hi can voluntarily opt to move to VHF-lo. But, there is no mechanism for a station to move the other direction for example from VHF-hi to UHF.

 

If those prices ever materialize, get out of broadcasting. Sell the IP or go cable only.

 

Again, that is if these prices ever materialize which I have doubts about.

Personally, I'd be surprised if any broadcaster gets 50%+ of their opening bid price. And, I think a 84 MHz clearing target is likely the "sweet spot." That's when the reverse and forward auction will finally come close to balancing out in my opinion but, I digress.