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October 12, 2004

Sinclair: The People Respond, but WE NEED YOU TOO!

So Sinclair’s decision has nothing to do with anything about Kerry’s service. The fact is that Sinclair is a sinking corporation. It can only survive by gobbling up more TV stations - getting a corner on the market. In the old days, this would be akin to a ‘trust’, which Teddy Roosevelt would have busted.

Simply put, if Bush wins, Sinclair knows the FCC rules would permit more media consolidation. If Kerry wins, they know the FCC will clamp down to prevent this.

So they call this propaganda ‘news’ when they’re trying to swing the election to save their own asses.

The question is: how many corporate advertisers are willing to take a hit to save Sinclair, and how many will understand that the hit of all Democrats boycotting their products could be huge?

From USA Today:

But many believe Sinclair’s provocative decision shows how much the company has riding on the election.

With its heavy concentration of Fox and WB affiliates, ranking in the middle of the pack in mostly midsize markets, Sinclair is barely profitable and laden with debt. It had a net profit of $14 million on revenue of $739 million in 2003.

Sinclair hopes to change that by solidifying its hold on local markets by controlling, for example, two stations in more cities and sharing operating and news-gathering costs. But it needs the federal government to relax several media ownership restrictions.

Sinclair wants officials to permit a company to own two or more stations in more communities than allowed now. It also wants the FCC to ease a restriction that bars a company from owning TV stations reaching more than 35% of all homes, and to lift the rule that keeps companies from owning newspapers and TV stations in most markets.

That’s where the parties part ways. FCC Chairman Michael Powell, a Republican, has made media deregulation a priority, although many of the FCC’s rule changes are tangled in court.

Kerry says he’ll clamp down on changes that promote consolidation.

Here’s the advertisers starting to pull out:

First Reported Success
benjamin sent in this reponse from Chesrown Pontiac Buick GMC in Columbus, OH:

Hi Benjamin,

We are pulling our advertising business with Fox/ABC for the time being.
Thanks for your concern.

Ryan Gill
Internet Sales Manager
Chesrown Pontiac Buick GMC


Sylvan Learning Center pulls ads

Anti-Defamation League reports Holocaust analogy comments by Sinclair (another reason to complain LOUDLY! (ADL Letter )

The complete advertiser list mirrored on Kos.

Realtors pull ads in Columbus, OH.

The DNC has listed phone numbers to every Sinclair affiliate.

FCC Commissioner Copps sends a public statement about Sinclair.

Carroll’s furniture in MN pulls out

Oliver Willis points out Sinclair has a subsidiary that recently profited from the war.

But the deal is we need people calling advertisers LOCALLY rather than the national chains, as this will have the greatest impact fastest.

So go join in at Daily Kos, read updates at Talking Points Memo and Atrios (who reminds us to be polite and firm. And use the dropdown box to find an affiliate near you!

There are many blogs reporting on this but these three handle the traffic best and Kos and Josh seem to be leading the charge. GET INVOLVED!

9 Responses to “Sinclair: The People Respond, but WE NEED YOU TOO!”

  1. Brigitta Vesei Says:

    AH! The light bulb turns ON! I hadn’t realized that Sinclair owned so many Fox and WB affiliates, and that it was so important to their survival to be allowed to increase their holdings. (I thought they owned ABC affiliated channels.)

    However, I did start looking through their TV listings, and it appears they also own some stations that are not WB or Fox.

    I think Sinclair ought to be exhibit A for the argument about media conglomeration. Sure, they’re no Viacom or Time-Warner, but it’s also clear that they’re hoping that a Republican controlled FCC will change the rules of the media business so they don’t have to live and die by free