Oh my…Add to the death toll of conservatwit blowhards…
Rush Limbaugh, Sean Hannity face uncertain futures with iHeartMedia
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Top radio station owner and programming syndicator says it might not exist in 12 months
The parent company of iHeartCommunications, which syndicates programs by conservative talk-show hosts Rush Limbaugh and Sean Hannity, appears to be headed toward bankruptcy.
In a statement filed last week with the Securities and Exchange Commission, the federal agency charged with regulating companies that offer investments to the public, iHeartCommunications’ parent company, iHeartMedia Inc., said that it had “substantial doubt” that it would be in business by the middle of next year.Beyond syndicating shows by Limbaugh, Hannity and other hosts like Steve Harvey and Ryan Seacrest, iHeartCommunications owns and operates more than 800 radio stations. It also sells ads on thousands of billboards across the country.
The radio industry as a whole has been fading away, not because people aren’t tuning in but rather because advertisers have been shifting their dollars to the online world where performance can be measured much more effectively, according to radio industry veteran Seth Resler: “What many people don’t realize is that the job of a radio salesperson is getting harder as more and more clients start thinking about advertising as a science and not an art,” Resler wrote. “As an industry, we simply aren’t providing them with the tools they need to compete against these new mediums.”
According to a 2016 Pew Research Center report, more than 90 percent of Americans said they have listened to radio via an online or broadcast form in a given week.
The ad challenge is made worse for iHeartCommunications since many of its stations feature a conservative talk format whose audience is literally dying off. According to industry figures, the age of a talk show listener is about 67. Further complicating things for the company has been that its top host, Limbaugh, has immersed himself in several controversies in recent years, such as the time he called a liberal activist a “slut” on the air.
Being in an expensive, dying and controversial industry isn’t good for stock prices, which is why in 2008, iHeartCommunications became a wholly owned subsidiary of iHeartMedia in a $24 billion stock buyout transaction initiated by Bain Capital, the investment firm for which past GOP presidential nominee Mitt Romney labored for many years.