Facing main pushback, the FCC has given the greenlight for WEEI’s owner Audacy to transfer its licenses to a George Soros-backed nonprofit, as the corporate emerges from chapter.
The FCC’s approval on Monday took place seven months after U.S. Bankruptcy Court for the Southern District of Texas OK’d Audacy’s reorganization plan — which included Soros’ funding agency turning into the largest shareholder of Audacy. Soros is the billionaire backer of Democratic politicians and causes.
The firm’s reorganization plan is slicing greater than $1.6 billion of Audacy’s debt — an 80% reduce from $1.9 billion to $350 million. Audacy has greater than 200 native radio stations, together with WEEI, which has seen a serious drop in scores over the past a number of years.
The choice from the FCC on Monday was opposed by two commissioners, who blasted the license transfer timeline.
“The Commission’s decision today is unprecedented,” Commissioner Brendan Carr wrote in his dissent. “Never before has the Commission voted to approve the transfer of a broadcast license—let alone the transfer of broadcast licenses for over 200 radio stations across more than 40 markets—without following the requirements and procedures codified in federal law.
“Not once,” he added. “And yet the Commission breaks this new ground today without seeking public comment on altering our established regulations, without actually changing the rules on the books, and without seeking the feedback of other federal agencies with relevant equities.”
But FCC Chairwoman Jessica Rosenworcel referred to as this approval an “identical” course of to the one just lately used by the company within the chapter proceedings of Cumulus Media in 2018, iHeart Media in 2019, and others.
“To suggest otherwise is cynical and wrong, as this precedent clearly demonstrates,” the chairwoman added. “Our practice here and in these prior cases is designed to facilitate the prompt and orderly emergence from bankruptcy of a company that is a licensee under the Communications Act.”
Audacy will proceed to be led by David Field, its present president and CEO, and its present administration workforce. Field may even serve on the corporate’s new board of administrators.
“We are pleased to have successfully achieved all of our restructuring goals, emerging with an outstanding balance sheet, delivering industry-leading growth, serving our listeners and advertisers with excellence and honoring our commitments to employees and partners,” Field mentioned in an announcement.
“Today, Audacy embarks on our next chapter, capitalizing on our position as a scaled, multi-platform audio leader, differentiated by our exclusive, premium audio content, including our unrivaled leadership in sports audio, powered by our industry-leading financial strength and focused on accelerating our innovation and digital transformation,” Field added.
Other than WEEI, Boston radio stations below the Audacy umbrella embody Mix 104.1 and Magic 106.7.
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