Broadcasting Telecasting (Oct-Dec 1958)

STATIONS Stevens Group Buys Providence Outlet Co. Building magnate William Zeckendorf Sr. and KBTV (TV) Denver President John C. Mullins are the "mystery" associates of Broadway producer Roger L. Stevens in the agreement to buy controlling interests in the Outlet Co., department store licensee of WJAR-AM-TV Providence, R.I., it was learned last Thursday. Mr. Zeckendorf's Webb & Knapp Inc. is 50% owner of KBTV, Mr. Mullins holding the remainder. Webb & Knapp is the Stevens syndicate entity for Mr. Zeckendorf. Mr. Mullins is participating personally. The Zeckendorf family owns 35% of Webb & Knapp. The Stevens syndicate exercised its shortterm option [Closed Circuit, Nov. 17] and signed a purchase agreement on Monday (Dec. 1) with the trustees of the majority block of stock in the Outlet Co. at $120 a share for a total of $6.6 million plus. But it was done in the face of a protest by one heir to the estate, Joseph S. Sinclair, station manager of WJAR-TV. Negotiations were still going on Friday night between Messrs. Stevens and Sinclair, the latter reporting late Thursday that "the means are open to me to block the deal. My protest is an attempt to rectify an error. My difference is with the trustees, not with Mr. Stevens." Dec. 10 has been set as the deadline when full details will be divulged to all stockholders of Outlet Co. Thereafter for 21 days the other stockholders may also sell at $120 a share to the syndicate. Should all 99,420 outstanding shares be acquired, the total purchase price would rise to $11,930,400. The trustees for the estates of the late Col. Joseph Samuels and Leon Samuels, founders of Rhode Island's largest department store, are selling 55,230 shares to the Stevens syndicate. Mr. Sinclair is a grandson of Colonel Samuels. Mr. Mullins previously had been chief owner of KPHO-TV Phoenix before that property was acquired by Meredith Pub. Co. During the week, Alfred E. Darvy, Outlet Co. president, told the company's 1,100 employes of the agreement with Mr. Stevens and said he understood both the radio-tv and store operations would be continued with little effect upon employes. The Outlet Co. reported merchandise sales of $15,504,986 and radio-tv revenue of $1,337,342 for the year ending last January 31. Net earnings from store operation were $764,757 (69 cents a share) and from radio-tv $532,980 ($5.36 a share). Mr. Stevens and his Broadway associates (not involved in the Providence agreement) in the Producers Theatre and Playwrights Co. represent one-fourth of the total legitimate productions on Broadway this season. Properties include "Man In The Dog Suit," "Pleasure of His Company" and "Cue For Passion" among others. Only eight years an "angel" of the theatre, Mr. Stevens is a big name, too, in real estate, once owning the Empire State Bldg. (now owned by Col. Henry Crown of Chicago). Mr. Stevens' multi-million dollar real estate holdings are splashed about such cities as Cleveland, Washington, New Haven and San Francisco, as well as New York. He recently sold a 28acre tract in Boston's Back Bay to Prudential Insurance Co. of America for a Rockefeller Center-type development. Register & Tribune Calling Off Purchase of WREC-AM-TV Memphis The proposed purchase of WREC-AMTV Memphis by Des Moines Register & Tribune Co., (Cowles) from Hoyt B. Wooten for $6 million cash [Changing Hands, Nov. 10; Closed Circuit, Nov. 3] has been "amicably called off," according to a joint announcement last week by Luther L. Hill, publisher of the Register and Tribune and Mr. Wooten, licensee of the Memphis outlets. The decision to call off the sale came after a meeting in Des Moines between the' parties, who then issued the joint statement. Although there was no formal explanation^ it was understood that there was a taxi problem involved. It was reported Mr. Wooten would form: a new corporation as licensee of WRECAM-TV and that Charles Brakefield, who; was to have become general manager of the Memphis stations under the Register] and Tribune ownership, and Jack Michael,who was to have become program director, Wmm MSB ! SmBMR m ■ KMJ-TV in the Billion-Dollar Valley of the Beet Leads in syndicated shows — with these top shows: Highway Patrol, Death Valley Days, Burns and Allen, People's Choice, Decoy, African Patrol, Robin Hood and Buccaneers. KMJ-TV • FRESNO, CALIFORNIA • The Katz Agency, National Repr esentative Broadcasting December 8, 1958 • Page 89