Media: Jefferson Pilot Talks Apparently Over; Clear Channel May Be in Running
Meetings continue between Califormula Inc., Clear Channel Communications, Inc. and possibly some other companies interested in Califormula’s Mexican-licensed stations.
A lead executive for Califormula confirmed that one of the companies is Clear Channel but wouldn’t identify the others.
“The conversations are still continuing, but there hasn’t been any resolution,” said Louis Fernandez, Chula Vista-based Califormula’s general sales manager.
Fernandez also didn’t give any details as to the type of deal, which could range from a local marketing agreement to an outright sale of one or more of Califormula’s stations.
The talks with Clear Channel have taken place on and off for several months, he said. There was a lapse in January but the meetings have picked up again, he added.
Mike Glickenhaus, FM market manager for the stations Covington, Ky.-based Clear Channel owns or runs in San Diego, did not want to comment.
Califormula owns four Mexican-licensed FM stations whose frequencies carry into the San Diego market: hip-hop and Top 40-focused XHTZ at 90.3, known as “Jammin’ Z90;” country station XCHR at 99.3, called “Hot Country;” XLTN at 104.5, called “Radio Latina,” which plays heritage Hispanic music; and nonprofit classical music station XLNC at 90.7.
Fernandez declined to identify the other companies negotiating with Califormula.
There’s no timeline or deadline for a decision to be made, he said.
“In these kind of situations, it’s really hard to say,” he said.
Victor Diaz, who owns Califormula with his wife, Martha, was unavailable for comment last week.
Listening To Offers
Earlier this month, however, Diaz said he wanted to remain independent, but he’ll talk to anyone as a courtesy.
“If someone makes a really attractive offer, we would be foolish not to accept,” Diaz said.
He then added, “Maybe what I am saying is that we really haven’t had a really attractive offer.”
Diaz said he has received offers from four or five different companies in the last six months. He also didn’t want to identify the companies.
In October, Diaz had talked to Jefferson Pilot Communications about a possible deal. At first the conversations involved XHTZ and XHCR, then only XHCR, Fernandez said.
According to Mike Stafford, general manager for the local Jefferson Pilot stations, there were only a few conversations, but they involved Califormula selling the stations.
When interviewed earlier this month, however, Diaz said the talks were for a local marketing agreement.
Among Jefferson Pilot’s four outlets in San Diego is KSON-FM, a highly rated, longtime country station on the 97.3 frequency. Califormula launched its country station XHCR two years ago.
According to Stafford, the conversations didn’t progress very far. The two companies exchanged information, had a couple meetings in which they discussed Califormula property, then Califormula decided not to go forward with it, Stafford said.
If Clear Channel were to take control of any of Califormula’s stations, it would be an addition to its already crowded set of holdings.
Clear Channel, which owns seven local stations, operates three Mexican-licensed stations: XHRM-FM, called “Magic 92.5;” XTRA-AM, called “XTRA Sports;” and alternative rock station XTRA-FM, called “91X.”
Clear Channel also operates U.S.-licensed KSDO-AM, which Clear Channel sold to Houston-based Chase Broadcast Partners last year.
Clear Channel owns part of Dallas-based Hispanic Broadcasting Corp., which owns and runs two Spanish-language stations in San Diego , KLNV-FM “La Nueva” at 106.5 and KLQV-FM “K-Love” at 102.9.
Earlier that year, HBC had bought the 106.5 and 102.9 frequencies in San Diego from Jacor Communications. Clear Channel and Jacor merged in October 1998.
Set by the Federal Communications Commission, the current limit of stations a company can own is eight per market.
Along with Clear Channel’s seven stations that are directly in San Diego, the signal of the company’s Los Angeles news-talk station KFI can be also heard locally. Because of that, KFI is counted among Clear Channel’s San Diego stations.
