Classical Sell Off

Classical gives way to Christian Format

APM is selling off it's on-air presence in South Florida. With it goes the classical music programmed on the stations (Classical South Florida). The changes reflect a broader change for APM Group with staff laid-off throughout the system. The three stations in South Florida have been sold to Educational Media Foundation for about $21 million. EMF programs Contemporary Christian music

The Board Up In Arms

Members of the  Board feel betrayed. According to an article published by Inside Radio and Current, seven board members resigned since the deal was first approved in late June. According to Current, AMPG signed the deal without consulting the board when EMF gave APM one day to decide.

Due to Circumstances...

There are influences outside the realm of control that adversely affected Classiccal South Florida.
The way listeners use radio has changed dramatically in the past three years. Time Spent Listening is down. So is the Average Quarter Hour Audience. That means listener loyalty has taken a hit. Lower loyalties means diminishing returns on Listener Sensitive Income. Cume and Cume Rating have also dropped for many public radio stations because of the Advent of PPM.

Winter 2015
             AQH      AQH Share   Wkly Cume        TSL
WKCP 4,000      1.2                116,100               4:15

Winter 2014
             AQH      AQH Share   Wkly Cume        TSL
WKCP 3,300      1.0                137,500               3:00

Winter 2013
             AQH      AQH Share   Wkly Cume        TSL
WKCP 3,100      0.9                159,200              2:30

Winter 2012
             AQH      AQH Share   Wkly Cume        TSL
WKCP 2,700     0.8                150,300              2:30

Winter 2011
             AQH      AQH Share   Wkly Cume        TSL
WKCP 5,800     1.5                219,100              3:30

Winter 2010
             AQH      AQH Share   Wkly Cume        TSL
WKCP 6,100     1.9                 226,700              3:30
(All data from Radio Research Consortium, Nielsen and Arbitron Person 6+ Maimi, Ft Lauderdale, Hollywood)

There has been a trend downward in most statistical categories over the past five years, The Winter 2015 quarter saw a bounce upwards. I'm not sure of the benchmarks APM is using to measure success, but revenue consistently is falling below the break even point, A major factor contributing to the shortfall is our flagging economy. CSF was launched just as the Great Recession began to unfold. Uncertainty in the economy, suffering portfolios, unemployment and underemployment are all factors affecting Listener Sensitive Income. A robust recovery from the recession may have made it possible for APMG to carry its debt load.

Classical South Florida has been posting deficits since 2008. APMG took on $30 million in debt to set up the network. By accepting $21,1 million from EMF, APMG is selling the three stations at a loss.