Variety (Oct 1936)

40 VARIETY RAD I Wednesday, October 7, 1936 Reallocation Hearing On (Continued from page 35) toons, plus legal documents covering in detail endless divisions and sub- divisions of problems all suggest plenty of engineering and legal ex- pense. At least 40 lawyers and dozens of engineers are present. In the Background Hovering in the background of the present hearings and optimistically hoping for a wholesale boosting of power within all classifications, are the radio equipment manufacturers. Regardless of the merits of the sev- eral questions under dispute, it looks like the equipment boys are the only sure winners in the whole mess. National Association of Broadcast- ers is neutral. Although having pre-' pared a complete presentation, the trade association will not testify or participate. It's position is a logical reflection of the dissensions and mu- tual conflicts of interest among the memberships. Warning that higher power limi- tations will burden'the industry with $10,000,000 capital outlay and heavy additional operating costs, as well as force abandonment of small sta- tions and deprive , certain areas of present service, was given the' Fed- eral Communications Commission today (Tuesday), by William S. Paley, president of the Columbia Broadcasting System. Although declaring Columbia will lake full advantage of any changes in existing policies and regulations, Paley registered strong opposition to the idea of creating a group of 500 kilowatt transmitters, and upping DICK AND HIS ORCHESTRA Hotel Lincoln, New York City CBS COAST TO COAST NETWORK . •■ D ir.; M C A . Ver. Mgt., HERMAN BERNIE 1619 B'w.y, N. V. C. S. K. KUSHNER Presents Don I Bestor wattage top for regionals at pres- ent time. He advised caution in upping present broadcast structure by revising regulations which might force a new pattern of network coverage. With carefully, worded recommendation in favor of dupli- cation on cleared channels, the CBS prez declared that if these three moves 'occur the result will be use of fewer stations of. greater powers by principal sponsors, fol- lowed by stronger signal service in rural areas, abandonment by chains of low-powered transmitters in pri- mary service, areas of the proposed 'titians, and Inevitable curtailment of service in medium-sized cities. The Prabable Borden 'Our careful estimates of the cost of 500 • kilowatt stations indicate* probable burden of over $10,000,0:0 of capital invested by. the broad- casters with an additional operating" cost of between $3,000,000 and $4,000,000 a year,' Paley said. The Columbia Broadcasting . System stands ready to accept its share of the load if super power is admitted as...a full fledged member of the broadcast family. I do not believe any of us knows about the imme- diate effects and the subsequent effects of super power,, both in it- self and in relation to the progress and welfare of radio broadcasting and radio listening in American life. Many of the' doubts. I have raised have been expressly doubts. Many of them have been questions, not answers., We need those answers. I. believe the Commission needs those answers before altering the basic structure of broadcasting. I believe that a dozen studies of the most exhaustive sort are hi order. •Knowing the economics of broad- casting as well as we do,' - Paley continued, ■'I feel justified in saying that if the burden of cost of super power is thrown upon the industry almost at the same time it is faced with costly developmental work in new fields, one or the other is very apt to suffer.' -Pointing out that economic considerations, as well as engineering, will restrict use of super power; Paley- estimated the country should not have more than 23 transmitters of 500 kilowatts. Even with such limitations, webs will have to abandon stations with- in the service area of each new behemoth because sponsors would refuse to pay for wasteful duplica- tion. Smaller stations would fail to receive strong schedule of spon- sored web programs, he warned, and would fight a losing battle. 'So far as we can estimate its effect on Columbia as a network, it is our reasoned conclusion that super power would result in the substitu- tion by advertisers of one super power station for several of the smaller stations now on the network in the area encircling any new super . power station. The net re- sult should increase our service to remote areas at night r at the pos sible expense of providing parts of certain cities with a remote signal wholly satisfactory for reception/ but of lower level than the present signal of the network stations now within those cities,' Paley said. Duplication of use on exclusive ribbons offers 'real improvement in public service,' Paley advised. Clear channels already impaired by pres- ence of two sharing transmitters would be used more efficiently by widely separated stations, he re- marked, although the eventual re- sult might.be abandonment by webs of regional and local stations lo- cated within enlarged primary ser- vice area of the 50 kilowatters. Eco- nomic consequences of super power are not clear, Paley said, but sev- eral potential disadvantages threaten rm onEius By JANE WEST NOW RADIO'S MOST POPULAR FAMILY BRINGS YOU MORE e jAUGHTER "[EARS and j-j EAR7-THROBS / Presente/i by Ivory Soap ■ 99 1 lor = c ourn LISTEN 3:45-4:00 P.M., EST - WEAF _ NBC. NETWORK - COAST TO COAST IN . . Bfry Mon., Tom., W«A, Than., frt. Mgt., Eli WOI.F — RKO ItlJXi., NBIV YORK CITS Dir.. DIiACKAfAN ADVKHTISING. lA'C. _ to counteract anticipated benefits. He suggested that'greafer theoretical sales revenue must carry the load of a $500,000 investment and $150,000 increase in operating costs without allowing profit on the added outlay, rate card boosts will make broad- casting a prohibitive medium for local advertisers, and creation of 20 or 25 behemoths: may nullify the ad- vantage of each without equalizing the heavy cash expenditure, Paley opined. . Worst Victims Regional and non-web stations will be the worst victims of 500 kw policy, Paley cautioned. While some, regionals benefit, the majority will be handicapped by greater competi- tion and concentration of advertis- ing, he said, and loss of network af- filiation will-be inevitable. Locals will find the problem oT providing both revenues and programs still harder, while coverage probably will be reduced because of increased in- terference. Listeners would not en- joy substantial benefits-from 500 kw stations, Paley predicted. Although commish studies show clear-channel transmitters are favorites with rural audiences, only in half of i one per- cent of radio-equipped homes would' big power boosts result in appreci- able improvement in reception, he said, adding that better-, reception can be obtained already by replace- ment of obsolete sets with modern equipment. Although opposed to upset at present, CBS is ready to climb on the super power bandwagon, Paley announced. If commish ' sanctions 500 kw, web will seek 'its full quota,' with chain-owned transmitters in New York, Chicago, Charlotte, Min- neapolis, St. Louis, and Los Angeles joining the scramble. Already three affiliates, WJB,, WHAS and KSL, have asked for 'juice jojts, he re- called, and others may be expected to complicate the race. 'If super power is .to come,-we will build and. operate 500 kw stations wherever the commission will sanction them at strategic points on the Columbia network,' Paley said, firing a part- ing shot and inviting rivals to launch a 'wattage war.' _ C.C.'s Ask Boost Not content with seeking 500 kw authorization, Cleared Channel Broadcasters asked the P.C.C. to boost power minimum on exclusive ribbons to 50 kw and eliminate all wattage maximums. Looking ahead to the time when 500 kw may not satisfy more ambitious broadcasters, Edwin Craig of WSM, Nashyille, said that use of less than 50 kw by cleared channel operators is 'inefficient and waste- ful,' while maximum power limita tion will 'stifle development.' He is firmly opposed, however, to boost- ing the minimum beyond 50 kw, fearing economic difficulties. There are no valid reasons for putting a roof on cleared channel power, Craig said, warning such ac- tion will.check progress and put the U. S. farther behind' in technical ad- vancement. Shrugging off objections about possible blanketing or ad- jacent-frequency interference, the group- spokesman pointed out that Mexico has jumped to 100 and 150 kw, drowning out various American stations, while Europe has 23 trans- mitters using more than 50 kw. The Economic Side 'The economic side of the ques- tion must be frankly faced. Cities in which clear channel stations are lo- cated and the surrounding rural areas which rely on those stations for service differ vastly in their abil- ity to support the necessary outlay,' said Craig. While it would be unfair to com- mand all exclusive stations to jump to 500 kw., any limitation of power boosts would be equally unwise and unfair, Craig averred. Apprehension about tremendous increases in inter ference is unfounded, he claimed, particularly if regional station watt- age is upped at the same time to pre- serve present ratios. 'The advance of civilization,'-said Craig, 'would have been at ah im- measurably' slower pace if men had not been free to hazard their for- tunes on the uncertain and the un- foreseeable. Removal, of the maxi- mum power limitation does not mean that you wDl permit any and all ( clear channel licensees to increase' the power of their stations to 500 kw. Should an air transport company be forbidden to place a new and im- oroved model of plane in use because it may attract passengers from a com- peting line? Where would civiliza- tion be if we had followed that phi- losophy?' Encouraging Competlsh Competition between holders of exclusive franchises might be en- couraged if the Commish is not will- ing to lift all wattage restrictions. Craig suggested it might be desir- able, if cautious procedure is be- lieved necessary to limit the number of 500 kw. assignments, giving early comers an advantage and simulta* neously' penalizing broadcasters re- luctant to experiment.. Abolition of limited-tune station classification, or refusal to license asy new transmitters using spare night hours, on cleared frequencies, was urged by holders Of exclusive franchises. Pointing out that limited transmitters can function after sun- set only when dominant stations are silent, Craig asked the F.C.C. to ac- knowledge actual situation which finds cleared channel transmitters working around the clock. At pres- ent virtually no holders of exclusive assignments fail to operate.-until after midnight and during early morning hours, he said. As result* the limited-time .boys actually can operate only during daylight. Commish should refuse to grant, further permits for construction of limited-tune stations, or should erase the category, terming them 'daytime stations,' Craig said.' It seems to us that there is no- longer any occasion for this classifi- cation and that its continuance sim- ply means eventual hardship for the licensee of the limited-time station who may have built up an audience and a business in part of the unused hours when the time comes for the clear channel station to reclaim those hours,' Craig 'explained. It also means embarrassment to the clear channel licensee and probably litiga- tion.' Powel Crosley, Jr., here for a speech, is more concerned' about taking an examination to become a licensed third class radio operator on his own yacht. . Lobx Yet to Speak Lenox Lohr "will arrive tomorrow (Wednesday) and may follow. Wil Hani S. Paley as speaker before the P.C.C. ^ Slides and motion pictures are be ing used to illustrate various technical phases of testimony. Joe Chambers, technician for- clear channel group, used stereoptican Tuesday-afternoon, and WLW, Cln cinnati, scheduled Wednesday to sub mit evidence of its experience as the only super-watter in actual opera- tion, will exhibit films with sound effects demonstrating actual listen- ing conditions on home receiver as between 50,000 and 500,000 power. Abandonment of the broadcasting industry's outstanding synchroniza- tion experiment and permanent re- shuffling of four stations using 1040 and 1060 channels, are reported in prospect Tuesday (6). After four years of research, WBAL, Hearst's Baltimore outlet, has asked permit from F. C. C. to cease its mountain goat, act and reside permanently on the 1060 frequency, which it theoretically shares with WTIC, Hartford. Shake-up will make permanent present maze of tempo- rary shifts which has been existing for several years and -will leave 760 channel open for exclusive night- time use by WJZ . N ew York. At nresent-WTIC and WBAL, in theory, iointly occupy 1060, while KTHS. Hot- Springs, and KRLD, Dallas, share 1040. During prolonged experiments, WTIC has been operating unlimited time on 1040 in company with KRLD, while WBAL days has been operat- ing simultaneously with KTHS on !0G0._ Nights KTHS .has been return- ing to 1040. while WBAL has been moving to the WJZ channel. Balti- more transmitter contemplates in- stallation of- directional antenna for wnht use to reduce interference with WTIC on the adiacent frequency and to permit KTHS to operate simul- taneously on the 1060 stripe both day and.riight. Among Those Present (Continued from page 83) Hoyt 'WooUn, WBEC, Memphis, Harry Slavic*. WMC, Memphis. R. T» Rollo. WBNX. New York. H. li, Wilson, WBNX. New York. W. J. Scrlpps, WWJ, Detroit K, M. Fierce, WGAR. Cleveland. Walter Paipm, W TMJ. Milwaukee. Herb Petty. WHN, New Torfc Melvta Hftdretb. WORL, Boston. Jack DeWltt. WSM. Nashville. Gene O'Fhlfcm, KVOD. Denver. John Shepard, Srd. Yankee network. P, X Heanessy, NBC. S. Howard Evans, Nat'l -Radio Committee. 'A. 3. Crane, University ot Wyoming. . H. B. McCarty, Educational Broadcasters Assn. . - Prof. Edw. Bennett, University 61 Wis* consln. Edward A. Allen, WLVA, I,7n<*barg, Va, Ralph R, BrontoD, KJBS, San Francisco. John Elmer, WCBM, Baltimore. Wright Gedge, WMBC, Detroit. John H. omin.'Jr. t WOW. Omaha. Alfred J. McCosker. "WOR, Newark. John F. Patt, WGAR, Cleveland. T. W, Symoni. Jr., KFPY. Spokane. W. O. Pane, WALA, Mobile. Garland Powell, WRCF, Gainesville. C. y. Price, KPH. Wichita, K. W. Pyle. KFBI, Abilene. J. C. Rapp. KMA. Shenandoah. William West, WTHV, East St. Louis, Eddney Ridge. WRIG Greensboro. R. J. Rockwell, • WTVW, Cincinnati. - George W. Smith. WWVA, Wheeling. . J. W. Rnnyan, KRLD, Dallas. J. H. Ryan, WSPP . Toledo. John Sherman, WTCN. Minneapolis, W. H. SumervlUe. WOST, Atlanta. U W. Stlnson. KYOO. Tulsa. S. C. Vlnsonbaler, KIR A, Little Bock, James A. Wagn er. "W BBY, Green Bay. Hasten Woolley, WW J, Detroit. Sydney Warner. WlXBS, Watorbury. 8. R. Winch, KOJN. Portland. Jotra Aitenhead, WADC. Akron. A. li. Ashby. NBC - WllUam S. Paler. CBS. Isaac Brlmberg, WIN YC. New York. . J. F. Burke, KFVD. Los Angeles. Zieo Coulawn, WHAS, Louisville. Jobn Cummlpge , WC AM, Camden. L. S. Mitchell, WDAE, Tampa. Leonard- Laurence, WFMD, Frederick, Md\ Ralph MateaOn, TVHDH, Boston. Clair McCullougb, Mason Dixie network, Harold Meyer WSTJN. St.' Petersburg. Richard 0;Dea, WNEW. New York city, Eugene Pack. KSL, Salt. Lake City. Iowas' Net's Shaw for DesM. Grocers' Assn. Des Moines, Oct. 6. Iowa network, for the fourth suc- cessive year, is producing .a 'food show' for the Des ' Moines Retail Grocers' Association. Nelson Shawn, of NBC here, is booking the acts. Among those, set are Jackie Heller, Pat Kennedy, Morin Sisters, Vaga- bonds and Mrs. Pennyfeather. Local talent includes Lansing Benet, the Day Dreamer, and the Modern Choir. Orchestra is that of Orville Foster, IBS musical director. Wimbrow Goes WXYZ Detroit, Oct. 6. Dale Wimbrow, producer of sev- eral network shows, joins WXYZ staff. Wimbrow will produce commercial programs. Composer and actor, Wimbrow has been producing ether shows for 14 years. SAM HEARN "HORACE NIMBLE". MAXWELL HOUSE SHOW BOAT WEAF, Thur*., 9-10 P.M. EST Mitpagcme at: LEO M ORRISON Radio Bep.t FBED~B. NORMAN GRACIE BARRIE OPENING IN OCTOBER in the New Broadway Production "THE SHOW IS ON" Ercl. Mgt. HERMAN BERNIE, Urottdwny, New fork >♦»♦♦♦♦♦♦♦♦♦»♦♦♦♦♦»»♦♦♦»< BASIL FOMEEN And His Internationals t NOW \Hotel Pierre \ NEW YORK X Mgt.: Paul C. Wimbish i £ 1619 Broadway, New York f »♦»♦♦♦♦»♦»♦♦♦♦♦♦♦♦♦♦♦♦♦♦< DICK BALLOU And His Orchestra I Knox Gelatine J X CBS—Tues-Thura., 11:15-11:30 A.M.—EST t Mgt.: Paul C. Wimbish t \' t 1619 Broadway, New York J. ♦»♦♦♦♦♦♦»♦♦♦»♦♦♦»♦♦•♦»»» Dave Carter coming out from New York to handle L.A. publicity for Columbia* »♦»♦♦♦♦♦♦♦»♦♦♦»♦♦♦♦♦♦»♦■» :: Charley Boulanget*| And Hia Orchestra Coffee Dana — New York CBS Mgt.: PAUL C. WIMBISH T IBIS BROADWAY, NEW YORK X ♦ ♦♦♦♦«♦♦♦♦♦♦♦11♦♦♦ M M ♦ ♦ f /