November 25, 2024
BANGOR DAILY NEWS (BANGOR, MAINE

Radio execs fuming over MPA, Coke deal

Maine radio station executives are seeing red this week because of a new radio sports broadcast rights agreement requiring them, in part, to run advertisements for Coca-Cola while broadcasting post-season high school athletic contests.

The object of their anger is the Maine Principals’ Association’s 1995 Radio Broadcast Agreement that calls for stations to air two 30-second commercials for Coca-Cola during each MPA-sanctioned playoff or championship sports event.

Several radio station officials told the Bangor Daily News on Thursday they understood that Coke had agreed to pay the MPA $40,000 in return for the two-spots-per-game requirement.

“I wish to hell they were,” said MPA Executive Director Richard Tyler about the reported $40,000. “Let’s not talk about that,” added Tyler who would not disclose the amount.

“We have a corporate sponsorship agreement with Coke, as we have had for the last four or five years,” he added.

Previous MPA contracts have involved trade-offs in which stations agreed to run $600 in public service announcements for the MPA during the year in return for rights to broadcast the games.

The new contract reduces that PSA amount to $500 but tacks on the Coca-Cola ad requirements.

“In essence, they’re selling our ad time. That’s what it boils down to,” said Brent Slowikowski, station manager at WZON-620 AM in Bangor. “We haven’t sent our contract back to the MPA,” he added, “and at this time we don’t plan to do so.”

Also, the contract, which runs from Jan. 1 to Dec. 1, 1995, requires stations to agree to product exclusivity for Coca-Cola. That means ads for Coca-Cola’s competitors cannot be run during the broadcasts.

“It sets a real dangerous precedent,” said Suzanne Goucher, executive director of the Maine Association of Broadcasters. “Next year it might be Coke, but the year after it might be Coke plus Nissen and Irving Oil.”

Slowikowski said there is another option open to the stations, although he considers it even less attractive.

“If we decide not to agree to those terms, we have to pay $75 per event,” Slowikowski explained. “If we have to pay $75, people just aren’t going to get the games because it becomes cost-prohibitive.”

Slowikowski said the MPA’s last contract called for a $50 fee to broadcast each event.

“I’ve talked to a number of other radio station personnel and it’s a rare thing, but we’re all in agreement: that this is not acceptable as it’s currently written,” said Slowikowski.

“Given the current cost of producing these events for us, we would be forced not to carry any post-season games if the MPA stands by this,” said Jim Ganley, owner of WDME-103.1 FM in Dover-Foxcroft. “We would probably say `drop it.”‘

Ganley also questioned the exclusivity requirement: “It’s not specific. Besides ads for Pepsi, does that mean I won’t be able to run spots for local markets advertising a sale on Pepsi?

“From our point of view, it looks like the MPA is trying to commercialize high school sports. There’s absolutely no need for that,” said Ganley. “Plus, the MPA is giving away ad spots that aren’t theirs to give.”

“I really question the MPA’s right to be doing this,” said Dennis Curley, president of WCXU-102.3 FM in Caribou and WCXX-97.7 FM in Madawaska.

“The MPA isn’t funding these teams. The taxpayers are. For anyone to charge us rights fees to promote our own children is outrageous,” he added. “This isn’t professional sports.”

“I’ve talked to some local school principals, and they didn’t know about this,” said Martha Dudman, general manager and president of Dudman Communications, which owns WDEA-1370 AM in Ellsworth. “But they weren’t happy with it after hearing about it.”

Tyler said the MPA executive committee will discuss the radio contract during a regularly scheduled meeting Friday.

“Given the responses to this contract proposal, we’ll review it and may decide to hold meetings with members of the broadcasting community,” Tyler added.

Neither MAB nor station representatives will attend the meeting, according to Bill Devine, MAB president and owner of three radio stations in Gardiner and Augusta.

“The prospects of a resolution look pretty good,” said Goucher. “I think Dick Tyler has been a bit taken aback by the volume of negative reaction.”

“I had a very positive and frank discussion with Dick Tyler. My sense is the MPA is very willing to revisit the agreement, to talk with broadcasters, and try to resolve this ” said Devine.

“I’m fully confident we’ll come to a workable agreement which will satisfy all the parties concerned,” Tyler said.

“I think the idea that local sports is a big moneymaker for local stations is at the root of this problem. That’s not the case,” said Devine. “In fact, we no longer do any Cony High School games because we couldn’t generate sufficient support to break even.”


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