Sinclair Broadcast Group Close to Bankruptcy

[SRW1000]

Saw this posted on the AVS Forum, from an article at TVNewsDaily:

Cunningham One Cause Of Sinclair's Grief
By Price Colman
TVNEWSDAY, Jul 14 2009, 7:03 PM ET[/FONT]

Sinclair Broadcast Group spelled out Tuesday just how close it is to bankruptcy.

It faces debt covenant violations, sagging revenues and cash flow that may make it impossible to service that debt, and what could be contentious negotiations with ABC over its affiliation agreement, which expires at year end.

But the key and most immediate threat is the potential credit default of Cunningham Broadcasting Corp., with which Sinclair has local market agreements (LMAs) encompassing six stations.

That could push Sinclair over the edge as soon as the end of July.

Let's hope that this can get worked out soon.  Milwaukee's HD viewers have been very well-treated by CW18 and My24 over the years.

Scott

[John L]

I certainly hate to see channels 18 and 24 go off the air.

-John L.

[techguy1975]

Its unlikely 18/24 would go off the air..  If anything, Sinclair would sell them off to someone else

[Jack 1000]

I assume this would be the end of the new station THIS TV.  Is this owned by Sinclair?

Jack

[SRW1000]

I assume this would be the end of the new station THIS TV.  Is this owned by Sinclair?

Jack

No.  This TV is a joint venture between MGM and Weigel Broadcasting .

Scott

[John L]

Its unlikely 18/24 would go off the air..  If anything, Sinclair would sell them off to someone else

If they can't get a buyer, they could.

-John L.

[techguy1975]

Well, true....  But a full power station in a top 40 market, especially with a heritage like Chs 18/24 will sell...Now, it may sell for cheap, but I doubt the stations will go dark..  It is possible though...

[skier8734]

Tmj will probably buy them so they can have even more outlets for their constant weather coverage.....

[John L]

Tmj will probably buy them so they can have even more outlets for their constant weather coverage.....

You probably said that because Journal Comm. reported a loss for the 2nd quarter.

[Nels Harvey]

Don't forget, when Ch. 24 was still on ch. 25, it was off the air for several years!  That was before competition from satellites, cable, and the Internet!

[techguy1975]

Don't forget, when Ch. 24 was still on ch. 25, it was off the air for several years!  That was before competition from satellites, cable, and the Internet!

There is no direct correlation between chs 24 and the old Ch. 25..  Completely seperate ownership, etc.  Ch. 24 goes back to... I believe 1981.  The old ch. 25 signed off for good way before then.  While CH. 18 has been through many owners, its been WVTV for as long as I remember...I dont have Dick's site up at the moment, but I believe its been WVTV since the late 60's

[ddeerrff]

What was ch 25? I don't remember any ch 25.

[tencom]

Chanel 25  WCAN-TV,which was a CBS affillate signed off in late February 1955 when CBS purchased both channel 19,, WOKY-TV which was owned  by Midwest Broadcasting and channel 25 and moved CBS, to channel 19 and became WXIX and  taking channel 25, off the air. I remember when this occured.and the sad thing about this is channel 25, has just finishing moving into there new studio facilities on north 27th street just after the sale of WCAN to CBS. Eventually becaming WITI Chanel Six"s   headquarters  and now I believe is s owned by Channel 24.  Channel 19 before  it became a CBS oulet was carrying some programming from the old Dumont Network which folded about the same time as the demise of WOKY-TV. I also remember that reception from WOKY-TV at least at our location in Greenfield  which was a town then,was not very  good giving us a snowy picture We did not have must chance of viewing WOKY-TV because we just got are first television just before the demise of WOKY-TV

[Nels Harvey]

There is no direct correlation between chs 24 and the old Ch. 25..  Completely seperate ownership, etc.  Ch. 24 goes back to... I believe 1981.  The old ch. 25 signed off for good way before then.

All I meant was, it is possible for a broadcaster to shut down even after years of service.  Nothing is forever!  This is happening to broadcast facilities across the Country, and could happen here as well!

[LoadStar]

In any case, bankruptcy doesn't mean ceasing operation. It just means restructuring to eliminate debt. Yes, that could mean shutting down or selling stations, but there are a lot of other ways to shed debt.