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WEAL AMD WOE OF TV EMTERPFiISERS: CBS has made deal to buy up Raytheon's Waltham
(Mass.) TV setup for around §250,000 — sum Raytheon claims it spent on CP since May, 1946 grant. And Raytheon has petitioned FCC again for extension of completion date, previously ordered to hearing for alleged lack of diligence (Vol. 4:25,42). Raytheon petition says it will go ahead on own, if FCC refuses transfer. Not much question but that other applicants for Boston channels (7 for 2 pre-freeze, one of them CBS) will raise objections.
FCC this week denied Ed Pauley petition to require breakdown of prices of separate properties in Thackrey-Warner Brothers deal (Vol. 4:33), Jones dissenting, and extended Avco-rule period 30 days so others can bid. Looks now like way will soon be clear for Warner to take over Los Angeles KLAC-TV and AM stations. On Monday, FCC will get proposal for purchase of KLZ, Denver (Vol. 4:40) plus KVOR*, Colorado Springs, from Aladdin Radio & Television Co. Price being paid Gaylord-Oklahoman interests is §550,000 for KLZ, §100,000 for KVOR, plus net quick assets — total nearly §1 million. Besides theatremen Huffman and Ricketson (23% each), purchasing firm includes theatreman Ted Gamble (25%), broadcaster Elroy McCaw (25%), attorney Albert Gould (2%), manager Hugh Terry (2%). Deal means either KLZ or Aladdin TV application for Denver will be dropped, leaving 7 for 5.
No TV applications this week again, but there was one withdrawal: Central Valleys Broadcasting Co. (KCRA) , for Sacramento, Cal., which leaves 3 for 3.
* * * ♦
Curious spectacle of a TV CP-holder whose backer backed out, whose promoter spent months seeking new backing, finally got wealthy chain theatremen to take over — then was charged by FCC with hidden ownership — was focus of interest at Miami WTVJ hearing (Vol. 4:41) conducted there by FCC Comr. Walker this week. Promoter Robert Venn testified he carried ex-backer E. N. Claughton's §213,000 uncashed checks around for nearly year after Claughton had withdrawn. He told how he finally interested Wolf son-Meyer theatremen to put up §300,000, take virtually complete control, build station (Vol. 4:17). Both Venn and Wolf son-Meyer claim FCC was advised of change in control as soon as negotiations were completed. Comr. Walker remarked, as hearing closed Wednesday: "The matter of those checks being passed back and forth is giving me some concern." He promised decision in few weeks. Meanwhile, station is about ready to go, and Miami distributor-dealer spokesman Harry Friedman testified that more than §1 million is tied up in equipment and personnel training in anticipation of service. "Miami has TV fever," said Friedman. But other Miami applicants (5 for 4) want channel thrown back into now-frozen competitive pool.
WHAT NEXT FROM GE, ZENITH, ET AL: GE's expanding TV production line at Syracuse,
abetted no doubt by increased kinescope output at its Schenectady tube works, includes 12-in. table set at $389.50 (Model 814) , lowest price for that size yet quoted. Limited deliveries have begun, and in about 3 weeks deliveries will begin of new 12-in. console at $995 (No. 840) including AM-FM-LP phono. Next week, GE's new 10-ln. consolette at §359.95 will be ready, and another undisclosed model (No. 820) will shortly be announced. Models 814 and 811 have 18 tubes, 3 rectifiers.
Piecing together what little information we can get on Zenith's new TV sets (Vol. 4:40), Indications are at least one model will contain both vhf-uhf bands with universal (but locked) tuning — circuit for the still-experimental uhf 475-890 me band engineered to same 6 me standards as present 54-216 me. Also included will be ■outlet" for Phonevision. Various tube sizes will be offered, with claims for larger viewing surfaces (possibly Rauland's semi-flat faced tube). Zenith family, meanwhile, is sworn to utter secrecy until Nov. 18 distributors' meeting, though several sets have been placed in homes of VIPs (including FCC's Wayne Coy) and company officials obviously are relishing curiosity and publicity they've evoked. Secret is wearing pretty thin, though, with so many of its distributors' service managers taking Chicago factory courses.
Los Angeles now looks like one of hottest TV markets. Service companies and set makers' representatives meeting there Tuesday reported current sales and installations are rimning 350-500 per day, some claiming 30,000 sets accredited area as