KGMB - KHNL - KFVE "shared services agreement"

[tutusue]

Re: KGMB - KHNL - KFVE "shared services agreement"

There needs to be a statue of Anita, complete with a welcoming audio loop of her voice, outside the front door of the new, combined facility!

Either Oceanic is having cable problems this morning (at least at my end of Waikiki) or KHNL's technical staff is showing their displeasure over the recently announced agreement!

[Video Guy]

Re: KGMB - KHNL - KFVE "shared services agreement"

Met Anita once. Great person. If true, sad to hear she was asked to retire.

I'm not up on the recent history...but wasn't the KGMB owner looking to sell the property or something like that? Is that why the operation needed a new "home"?

[genepark]

Re: KGMB - KHNL - KFVE "shared services agreement"

Met Anita once. Great person. If true, sad to hear she was asked to retire.

I'm not up on the recent history...but wasn't the KGMB owner looking to sell the property or something like that? Is that why the operation needed a new "home"?

I met Anita a few times. A wonderful person.

The property was sold last year January and was leased back to the station. If I recall correctly one of the banks actually owns the property.

The property isn't the only consideration regarding this shared operations agreement. It's mostly the sharp drop in advertising revenue and viewership even.

A decade ago, the average late newscast reached 21 percent of people watching television at the time. Today, that number hovers around 12 percent. The Television Bureau of Advertising has said local spot ads will tumble up to 8 percent this year.

[bcr1652]

Re: KGMB - KHNL - KFVE "shared services agreement"

Any particular reason why specifically those stations, KGMB AND KHNL, had to be part of the shared-services agreement? Was it because KHNL had lowest revenue in the Honolulu market, whereas KGMB had the highest revenue in the Honolulu market? ...or was it like KGMB had to "save" KHNL from losing their news operations? Why not KITV and KHNL, or KHON and KHNL? What were the factors as to which stations had to be involved in the shared-services agreement?

[genepark]

Re: KGMB - KHNL - KFVE "shared services agreement"

Any particular reason why specifically those stations, KGMB AND KHNL, had to be part of the shared-services agreement? Was it because KHNL had lowest revenue in the Honolulu market, whereas KGMB had the highest revenue in the Honolulu market? ...or was it like KGMB had to "save" KHNL from losing their news operations? Why not KITV and KHNL, or KHON and KHNL? What were the factors as to which stations had to be involved in the shared-services agreement?

That's something you could probably only find out behind closed doors.

But besides Hearst (who owns KITV), Raycom is the largest parent company out of the four. Although 9 was leading in the ratings, Raycom is still in a position of authority because of how large the corporation is.

Hearst has always been fiercely independent in markets, so a KITV "sharing" is not likely. And KHON just recently left a similar agreement with 9, because it wasn't working out.

But really I'd only be speculating wildly. It could really be either or both reasons that you've stated.

[genepark]

Re: KGMB - KHNL - KFVE "shared services agreement"

Even though this is "only" 68 layoffs (a significant number anyway), this agreement points to the larger problem of Hawaii's weakened economy.

News operations have always served an intermediary role between the community (readers or viewers) and businesses. This recession, as well as the Internet and other forms of communication, has diminished this traditional role.

If businesses want to continue to advertise, they no longer have to piggyback their products onto news. There are cheaper forms of announcing your product.

In any case, bad news about news is bad news for everyone.

[TuNnL]

Re: KGMB - KHNL - KFVE "shared services agreement"

Anita was asked to retire in June, and did so. I understand that she did not want to go.

Wow, that’s so sad! Has it been that long since I talked story with the sweet lady at the front desk? Anita was the rock of that operation. I guess June was the beginning of the end for sacred cows.

[Kimo]

Re: KGMB - KHNL - KFVE "shared services agreement"

Evidently many missed the Anita-retires story from the Star Bulletin:

http://www.starbulletin.com/news/200..._47_years.html

[tutusue]

Re: KGMB - KHNL - KFVE "shared services agreement"

Thanks for the link, Kimo. Anita still looks great...at 83. I can't imagine still driving to work at 83 but I so admire that she kept the passion for what she was doing. Also found a photo of her and her husband, Allan, at the retirement party. I worked with Allan for many years but haven't seen him in close to 20 years. Memories!

[Media Guy]

Re: KGMB - KHNL - KFVE "shared services agreement"

Any particular reason why specifically those stations, KGMB AND KHNL, had to be part of the shared-services agreement? Was it because KHNL had lowest revenue in the Honolulu market, whereas KGMB had the highest revenue in the Honolulu market? ...or was it like KGMB had to "save" KHNL from losing their news operations? Why not KITV and KHNL, or KHON and KHNL? What were the factors as to which stations had to be involved in the shared-services agreement?

MCG Capital, The company that bought KGMB, paid $40 million for it. They just wrote off $6.5 million in losses on the station, and they sold the property KGMB has owned for 57 years for $12.5 million and now pay rent for the first time ever (about $60,000 a month). Plus the station is about several hundreds of thousand of dollars a month below the projected income the owners thought they would have. They've lost over $20 million of value on their investment in less than three years.
MCG doesn't own any other stations and they wanted out. This is more to save the future of KGMB. KHNL/K5 are owned by Raycom, a very large media company with much greater resources.
It isn't KGMB or its management. Its the ownership group that is in financial
trouble.

http://bizbites.honadvblogs.com/2009...ation-at-kgmb/

[DaleP]

Re: KGMB - KHNL - KFVE "shared services agreement"

Maybe Erika can elaborate, but what was meant by KGMB and KFVE "swapping call letters?" Is actual control (or ownership) of KGMB and KFVE being changed? The press release is confusing, because it states that after the call letters are swapped, dial positions will remain the same.

Anyway, good luck to everyone involved in this. We have friends at both KGMB and KHNL and wish them well.

Consolidation is now going to be hitting TV just like it hit radio a few years ago. Used to be, when one radio station let you go, you had plenty of other places where you could apply. Consolidation narrowed those options considerably in radio...now it looks like it's going to do the same thing to TV.

Fewer jobs.

Fewer news choices.

Fewer advertising choices.

Seems like the only ones who win in this are the station owners.

[Frankie's Market]

Re: KGMB - KHNL - KFVE "shared services agreement"

Even though this is "only" 68 layoffs (a significant number anyway), this agreement points to the larger problem of Hawaii's weakened economy.

News operations have always served an intermediary role between the community (readers or viewers) and businesses. This recession, as well as the Internet and other forms of communication, has diminished this traditional role.

Well, if you want to talk about traditions in Hawaii, do keep in mind that for many, MANY years in this state, we have had only had three local news stations. Oh sure, there were the occasional upstarts (KSHO w/ Jack Hawkins & Cynthia Yip, KIKU w/ Larry Zerkel and Ron Wood). But nothing that matched the size, scope, and the longevity of the KGMB-KHON-KITV triumverate....... until KHNL finally broke through in 1995. And even then, the fledgling News 8 team went through more than its share of trials and tribulations during the early going.

But in the mid '90s, Hawaii was just coming out of a recession and the economy was on solid footing for many years afterwards. Of course, island tourism was affected by 9/11 and the SARS epidemic. But those economic troughs were relatively brief. From the time KHNL news started all the way up until last year, the local economy was growing and the market was able to sustain the 4 news operations. But not anymore.

The layoffs and cutbacks that are occuring in both govt. and the private sector are unmistakeable signs of a shrinking economy. And why should it not affect the revenue that sustains the TV news departments? I feel sorry for those people who may be out of a job with this KGMB-KHNL/K5 consolidation,...... but TV news is, lest we forget, a business.

[KGMB9]

Re: KGMB - KHNL - KFVE "shared services agreement"

Hmm, lot's of speculation and conspiracy theories.

Though I won't answer here, if you have any questions feel free to go to http://Facebook.com/KGMB9 and post them on the wall. I'll answer as well as I can. For those that know me, you know that I'll be honest with my answers and won't spin things. For those that don't, you may be surprised.

The reason I won't answer here is that I feel more comfortable posting in our Facebook environment than here with the sensitivity of the situation.

The caveat is that we're still ironing out details that won't be solidified for a bit, so the answers may not be complete or a little vague.

Mahalo,
Jared I. Kuroiwa
Director of Interactive Strategy
KGMB9.com

[Kalihiboy]

Re: KGMB - KHNL - KFVE "shared services agreement"

Thanks for the link, Kimo. Anita still looks great...at 83. I can't imagine still driving to work at 83 but I so admire that she kept the passion for what she was doing. Also found a photo of her and her husband, Allan, at the retirement party. I worked with Allan for many years but haven't seen him in close to 20 years. Memories!

Anita started working for KGMB a few years BEFORE Bob Sevey's storied 20 year run in 1966. I really liked her, she was one of my favorite people I've ever come across at all of the stations, we would chat about the old days and she always had a smile on her face, you could tell she really loved her job.

When she retired the station threw a party for her with current and past staff attending. In addition to the article link shown, KGMB interviewed her and showed clips from the party, it might still be on the KGMB website. I know it sounds cliche, but really Anita was one of the good things about Hawaii...

Didnt her husband Allan work on the Magnum PI series at one time?

Aj

[Kalihiboy]

Re: KGMB - KHNL - KFVE "shared services agreement"

Though they were syndicated in the early to mid 60's KTRG (now KHNL) had 30 minute news broadcasts with anchors Jim Elliott, Wayne Collins and others like Joe Rose. In 1967, the call letters changed to KIKU and with that more of an emphasis on Japanese broadcasting programs. In the mid 1970's I think it was when KIKU revived the news, albeit with short 5 minute newsbreaks during movies and shows. As noted the late Larry Zerkel and Ron Wood would deliver those short newsbreaks well into the mid 80's. Remember "Entertaining Channel 13".....

Aj