What's Killing TV? Easy: No Car Ads.
Belo Corp. -- the Dallas-based broadcaster that, of course, counts WFAA-Channel 8 among its 20 owned-and-operated TV stations around the country -- announced this morning that on April 30, it will release its first-quarter earnings. Bloomberg today reports it could be an especially interesting read for investors, who so far today have watched the stock price rise almost 15 percent to 93 cents: The news service says that both Belo Corp. and Rhode Island-based LIN TV "risk breaching loan agreements this year and face higher bank fees and interest to renegotiate the deals."
So happens that this morning, Broadcasting & Cable summarized a just-released report detailing what ails the TV business: a nearly 6 percent decline in television ad buys (car and travel ads, especially), despite an upturn in overall eyeballs likely to see those ads. Course, it's good news-bad news, ain't it always?
The report predicts that TV ad expenditures will fall 5.5% for 2009 but that decline is less steep than other mediums such as newspapers, magazines, and radio. Zenith also predicts an increase in market share for television from 38.1% in 2008 to 38.6% in 2009, followed by a record 39.3% in 2010.
Get the ICYMI: Today's Top Stories Newsletter Our daily newsletter delivers quick clicks to keep you in the know
Catch up on the day's news and stay informed with our daily digest of the most popular news, music, food and arts stories in Dallas, delivered to your inbox Monday through Friday.