Emmis To Take Legal Action Over Hungary License Loss
November 10, 2009 at 12:06 PM (PT)
EMMIS COMMUNICATIONS and ACCESSION MEZZANINE CAPITAL LP plan to take legal action to try to hold on to their licenses for national Hungarian radio stations SLAGER RADIO and RADIO DANUBIUS, respectively, according to the WALL STREET JOURNAL.
EMMIS, 59.5% owner of SLAGER RADIO, and ACCESSION claim that their licenses were lifted in an unfair and politically motivated process.
EMMIS, in its renewal application, proposed a license fee of 11.5% of net revenue, but a rival bidder, FM1, offered 50% of net revenue, which EMMIS CEO JEFF SMULYAN called "usury." The new operators are scheduled to take control of the national frequencies on NOVEMBER 19th.