Feds File Suit over Sale of Two Local Stations

By Basch, Mark | The Florida Times Union, November 7, 1997 | Go to article overview

Feds File Suit over Sale of Two Local Stations


Basch, Mark, The Florida Times Union


The U.S. Justice Department yesterday sued to stop Chancellor

Media Corp. from acquiring four Long Island, N.Y., radio

stations from SFX Broadcasting Inc. in exchange for two

Jacksonville stations, saying the deal would hurt competition in

the Long Island market.

The lawsuit marks the first time the Justice Department has

gone to court to challenge a radio merger.

The proposed deal would give SFX a total of six Jacksonville

radio stations and a dominant position in the local market, but

the Justice Department's lawsuit does not express concern about

competition in Jacksonville.

SFX owns four stations and operates the two Chancellor-owned

stations -- WAPE (95.1 FM) and WFYV (104.5 FM) -- under a local

marketing agreement. Mark Schwartz, general manager of the SFX

stations in Jacksonville, said he had no knowledge of the

lawsuit but he doesn't expect it to affect the stations.

"What I do know is that it would have no impact on how we're

going to operate the six Jacksonville stations on a day-to-day

basis," he said. …

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