KSPR and KYTV

FCC OKs SCHURZ DUOPOLY IN SPRINGFIELD, MO

TVNEWSDAY, Jul. 31, 4:07 PM ET

Upon the consummation of a $20.6 million, three-way deal, Schurz will run the market's ABC and NBC affiliates in tandem. In approving the deal, the FCC dismissed opposition from market rivals.
By Harry A. Jessell

The FCC today approved a three-way deal that will, in effect, give Schurz Communications an ABC-NBC duopoly in Springfield, Mo. (DMA 76).

In greenlighting the deal, the agency rejected the opposition from two market rivals, Equity Broadcasting and Koplar Communications.

As it announced almost a year ago, Schurz, the owner of KYTV, the NBC affiliate in Springfield, is teaming with Bill Perkin, a local former broadcaster, to purchase KSPR, the market's ABC affiliate, from Piedmont Television for $20.6 million.

Under terms of the deal, Schurz would acquire the stations assets; Perkin, the license and intellectual properties. Through side deals with Perkin, Schurz would manage the station and operate it in tandem with KYTV. Although Perkin is putting up nearly half the money, Schurz is guaranteeing his financing and holds an option to buy him out.

Equity, owner of KWBM, Springfield’s MNT affiliate, and Koplar, which holds a permit to build a new station in the market, had urged the FCC to block the deal. They argued that Schurz, not Perkin, will control KSPR in violation of the FCC’s own small-market duopoly ban. Equity and Koplar also pointed out that the Shurz duopoly would actually be the second virtual duopoly in the market.

Nexstar already has a CBS-Fox duopoly, they said. It owns KSFX, the Fox affiliate, and operates KOLR, the CBS affiliate, through its “alter ego, Mission Broadcasting,” Equity said. In approving the deal, the FCC said Shurz-Perkin arrangement is consistent with previously approved deals.
“Based on the limitations that the various agreements ... put on [Schurz] with respect to the operations of KSPR and the requirements those agreements impose on Perkin and the incentives they create for his active involvement, we find that the allegations [that Schurz] will exercise de facto control over KSPR in violation of our multiple ownership rules are unfounded,” the FCC said.