CBS Sells Fresno Stations To Peak For $90 Million
November 16, 2006 at 3:42 PM (PT)
As ALL ACCESS hinted last week (NET NEWS 11/13), CBS RADIO has agreed to sell its FRESNO cluster -- Adult Hits KFJK, Talk KFPT-A, Oldies KMGV, News/Talk KMJ-A, Regional Mexican KOQO, Country KSKS, and Top 40/Mainstream KWYE -- to PEAK BROADCASTING for $90 million cash. PEAK intends to begin programming the stations through a time brokerage agreement in DECEMBER.
The acquisition is the first for the recently formed partnership of PEAK and SAN FRANCISCO-based investment firm DUFF, ACKERMAN & GOODRICH (NET NEWS 11/7). Once the deal closes, PEAK will relocate its corporate offices to FRESNO.
Through technology, focus, and creativity, Peak will take advantage of every platform that these fine brands offer.
PEAK CEO TODD LAWLEY said, "We are very pleased to announce PEAK’s first acquisition. To acquire these significant radio stations in fast-growing CENTRAL CALIFORNIA is the first step toward building a new generation of radio operations. Through technology, focus, and creativity, PEAK will take advantage of every platform that these fine brands offer.
"Peak Broadcasting’s commitment to our employees, advertisers, and listeners of FRESNO and the surrounding counties will be quickly evident. Our relocation of the corporate offices to FRESNO underscores the value we place within the community."
'Confident In What We Can Accomplish In The Future'
In a memo obtained by ALL ACCESS, CBS RADIO's JOEL HOLLANDER said, "This transaction nearly completes our divestiture plan for 10 of our smaller markets, which will enhance our ability to perform with a more concentrated group of properties. We are committed to strengthening our impact in the industry through increased attention to our larger markets, whose audience and growth potential can most benefit the company.
"As I have expressed in previous messages regarding station sales, I am confident in what we can accomplish in the future. CBS RADIO is working to increase development in programming, marketing and promotion, technology and employee training that will bring the organization to the highest level of capability for our advertisers.
"The contributions and hard work of our employees at KMJ, KFPT, KWYE, KSKS, KFJK, KOQO and KMGV have made a valuable impact at this company, and I want to thank each and every one of them for their years of service."
KALIL & CO. is the exclusive broker for this transaction.