Television digest with AM-FM reports (Jan-Dec 1951)

5 BIG OMAHA & HAVANA STATION SALE DEALS: Watch how publishing and theatrical interests become prime competitors of the radio broadcasters — not only as applicants for new TV stations, come end of freeze, but also as purchasers of existing stations. We had further example of their eager quest for TV properties this week, when two more 7-figure sale deals were disclosed — one in Cuba. You can expect more as the affinity of TV, .lournalism and films becomes increasingly apparent. WOW-TV, Omaha, with its AM counterpart WOW were sold for $2,525,000 to the Meredith Publishing Co.. |24,000,000 concern which publishes the widely-circulated magazines Better Homes & Gardens and Successful Farming. Sale culminated probes by several prospective buyers (Vol. 7:27-28), frequent denials by principals headed by recent Secretary of Navy, now Ambassador to Ireland, Francis P. Matthews. Meredith also owns WHEN, Syracuse, which it started Dec. 1, 1948 as 47th station in nation, has pre-freeze applications pending for Rochester and Albany, is hell-bent to become major factor in TV — indicated also by its purchase this week of 40% interest in Princeton Film Center Inc., Princeton, N.J. CMUR-TV, Havana, with its Union Radio Network, has been sold for reported $1,500,000 by Director Kaspar Pumarejo and backers (including local Polar brewery and Partagas tobacco interests) to Manuel Alonso, owner of Noticiaro Nacional, the island’s main newsreel producer. Alonso actually holds CP for Channel 7, but he and his backers apparently prefer to take over going CMUR-TV on Channel 4, Cuba's first outlet, founded by Pumarejo and inaugurated less than year ago (Oct. 24, 1950). Rumors have Cuba's President Prio and family back of Alonso, but this is denied. * Omaha deal is complex, involves Meredith assuming 25-year rental lease from Woodmen of the World, original owner of WOW, at $160,000 a year — first profits to go into $750,000 fund guaranteeing lease and providing for equipment purchases. Half has already been paid in, with 19 years to go. WOW Inc. has $200,000 paid capital, $720,000 surplus account, total current assets of $673,000, current liabilities of $220,000. Combined TV-AM stations first 6 months of this year had operating gross of $996,386, net profit of $91,100 after provision of $97,800 for taxes. Stockholders own equal amounts of the 1000 shares of common and 1000 preferred, estate of late manager John J. Gillin holding 238; Mr. Matthews, 250; Guy C. Myers, New York & Seattle utilities magnate, 250; Robert P. Samardink, head of local detective agency, 83; M.M. Meyers, financier, 84; J.J. Isaacson, governor of Ak-Sar-Ben fair grounds, 83; Cecelia Broderick, Mr. Gillin' s former secretary, 12. * * * * Of 3 other recent station deals still pending FCC approval (of 10 since TV's post-war emergence; Vol. 7:30), one got nod this week — the $2,500,000 sale of KFI-TV, Los Angeles (Vol. 7:23) by Earle Anthony to Thomas S. Lee Enterprises Inc. Comr. Walker dissented, Hyde, Webster, Jones & Sterling approving. The 2 others pending FCC approval: WLAV-TV, Grand Rapids, sold to Bitner group for $1,300,000 (Vol. 7:19) and WBKB, Chicago, sold for $6,000,000 to CBS but involved along with ABC-TV's 5 owned stations in projected ABC-Paramount merger (Vol. 7:21). The KFI-TV & WLAV-TV sales excluded AM counterparts, retained by present owners. Note : Atlanta's pre-freeze CP. only one still on FCC books, looks like it will shortly turn into full-fledged commercial outlet — nation's 108th — FCC this week granting transfer of WCON-TV to local group (for details, see p. 14). FINAL INDUSTRY COLOR SYSTEM EMERGING: "Definite improvement. " That's the most you can get in way of comment from any of 4 top FCC staff engineers who attended 4 important compatible color demonstrations this week. But there can be little doubt they were greatly impressed with their first view of such pictures since May 1950. And there's less industry doubt than ever that compatible system is rushing pell-mell back to FCC for eventual approval, along with CBS system or in lieu of it. Commissioners themselves will probably see latest pictures soon. RCA is expected to invite them when it starts public showings later in month but deci sion apparently awaits chairman David Sarnoff's return from Europe next week. Every variation on compatible theme was shown Broadcast Bureau chief Curtis