Broadcasting Telecasting (Apr-Jun 1962)

Late news breaks on this page and on page 10 AT Complete coverage of week begins on page 27 §\ I Space bill palatable to FCC, says Minow FCC Chairman Newton N. Minow said Friday he could "live with" amended administration bill (S 2814) setting up widely owned corporation to operate space communications system. Flanked by Commissioners T. A. M. Craven and Rosel Hyde, he testified Friday before Senate Antitrust Subcommittee, which is investigating antitrust aspects of communications satellite bills. Commission, which has endorsed satellite corporation limited to common carriers, has not yet taken official stand on broad public-ownership bill reported unanimously by Senate Space Committee, Mr. Minow said. But he personally thought it would provide satisfactory system. But he suggested several amendments to tighten up competitive bidding and antitrust features and to provide commission with additional authority to cope with "unique" situation created by space corporation. Mr. Minow defended commission against charges it hasn't regulated AT&T and that it would not be able to regulate privately owned satellite corporation (see story, page 86). He said commission has negotiated number of reductions in carrier's interstate and overseas telephone rates. But in expressing confidence in agency's ability to regulate satellite corporation, Mr. Minow said more staff is needed. Sen. John A. Carroll (DColo.) urged him to wage vigorous fight for funds for staff increases to assure adequate regulation. Sen. Estes Kefauver, (D-Tenn.) sub Those missing days Mysterious things happened to NBC Chairman Robert Sarnoff and President Robert Kintner on way home from NAB convention last week. They were in Chicago through Tuesday, showed up in New York on Friday. In intervening days they were registered at Beverly Hills Hotel in Los Angeles. Nobody in court, Justice Dept. or NBC would say anything, but trade speculation is that they were testifying before grand jury in response to subpoenas, presumably in grand jury's MCA investigation. committee chairman, pressed commissioners repeatedly on agency's ability to regulate AT&T, saying that no formal rate proceeding has ever been held. Sen. Kefauver favors government ownership of satellite corporation. In discussing U. S. relations with foreign countries in space communications, Commissioner Craven said he has been led to feel, in talks with Russian officials, that the U.S.S.R. will cooperate. Hearings will continue tomorrow (Tuesday), Wednesday and Thursday. Witnesses will include Brig. Gen. David Sarnoff, RCA board chairman; Sen. Russell Long (D-La.); and Hugh Dryden, deputy director of National Aeronautics and Space Administration. House unit to seek compromise on clears House Communications Subcommittee is expected to recommend compromise solution to controversy about FCC's decision to duplicate 13 of nation's 25 clear channels. Proposal would let commission's decision stand but would guarantee preservation of remaining 12 clears. In addition, FCC would be expressly authorized to increase power of those stations from 50 kw to 750 kw. Subcommittee has not yet acted on proposal, and some member opposition is expected. Group held hearings in February on legislation to block implementation of FCC decision, and some members still favor this proposal. GE to sponsor Webb in series on CBS-TV General Electric Co. announces it will sponsor Jack Webb as host and narrator in weekly series of "factual dramatic shows" next fall in its Sunday, 9:30-10 p.m. period on CBSTV. Initial pilot was prepared by Mr. Webb as one-hour production and had been called True. BBDO is GE's agency. GE said it hasn't as yet titled new series that will start Sept. 30 in time spot vacated by eight-year-old GE Theatre (Ronald Reagan, host). C-E promotes Beavers James O. Beavers, account executive with Campbell-Ewald Co., Detroit, was named radio-tv supervisor for agency on Chevrolet account, succeeding Hugh Lucas, recently appointed manager of Broadcasters ready Two of most sought-after men at NAB convention were Bob Richardson and Rex Sparger, who have been investigating rating services for House Subcommittee on Regulatory Agencies. Broadcasters from large and small markets asked two principal questions of subcommittee staffers: (1) When do your hearings start? (2) What can we do to assure that hearings will be held? Several broadcasters said they urged immediate hearings and promised fullest cooperation. Subcommittee, headed by Rep. Oren Harris (D-Ark.), has not as yet met this session of Congress, though rating investigation promises to make headlines when results are made public (Closed Circuit, Jan. 29). radio-tv department. John E. Bowen III, research account executive, was named assistant to Mr. Beavers. Goodyear retains Y&R for automobile tires Goodyear Tire & Rubber Co., Akron, which has been discussing appointment of new agency for its automobile tire business for several months, has elected to retain Young & Rubicam, which has handled account for 20 years. It bills approximately $11 million. Goodyear announced continuance of its association with Y&R on April 5. Presentations had been made to Goodyear by N. W. Ayer & Son, Leo Burnett Co., Doyle Dane Bernbach, J. Walter Thompson Co., Y&R and Kudner Adv., which handles Goodyear's industrial tires and aviation products. No reason was given for Goodyear's decision. Ford Fund makes grant to airborne etv project Ford Foundation has made $7.5 million grant to Midwest Program on Airborne Television Inc. to help it move into permanent organization serving schools in six states with educational programs via uhf tv beamed from airplane, under test since last fall (Broadcasting, Jan. 1) Ford helped underwrite test and new grant clears way for schools in coverage area to ultimately mmmm more AT DEADLINE page 10 BROADCASTING, April 9, 1962 9