SAN ANTONIO - Clear Channel Communications Inc., the nation's largest radio station operator, has chosen Fox News Radio to provide national news for most of its news and talk stations in a deal expected to nearly double Fox's radio presence.
No terms of the five-year cash deal were disclosed yesterday as the selection was announced. But Fox, a subsidiary of News Corp., said that if all options in the agreement are exercised, its radio service could have more than 500 affiliates by the middle of next year.
Fox provides one-minute newscasts to 275 stations. Starting next year, it will provide more than 100 Clear Channel stations with a five-minute, top-of-the-hour newscast, a nightly news broadcast and around-the-clock dedicated national news coverage. Fox News will be in many of Clear Channel's most prominent news/talk stations, including Los Angeles, Phoenix, Atlanta and San Diego.
In return, Fox News Radio will have access to news produced by San Antonio-based Clear Channel's news network. Fox also expects to hire more news anchors, studios and staff, but said it was too early to be more specific.
Clear Channel has 13 radio stations in Maryland - three in Baltimore, two in Frederick and eight in Salisbury/Ocean City. It was unclear yesterday if, or how, they would be affected.
"This deal positions Fox News to become a significant player in the radio industry and is another example of our commitment to the medium," said Roger Ailes, Fox News chairman and CEO.
This is the first time the two corporations have worked together, according to Jack Abernethy, an executive vice president for Fox.
"Working this closely with a premiere national news provider for the majority of our news/talk stations makes overwhelming sense," John Hogan, chief executive officer of Clear Channel Radio, said in a statement. "Because of the breadth of this relationship, our local news directors will get a more customized and higher-quality national news product - and that's great for listeners."
Clear Channel, which operates 1,200 stations, did not immediately return a call for comment on the deal and how it will affect current news providers.
Shares in Clear Channel rose 48 cents to close at $33.63 yesterday on the New York Stock Exchange. News Corp. fell 8 cents to $18.09 on the NYSE.
The Associated Press and Bloomberg News contributed to this article.
Copyright © 2004 by The Baltimore Sun.
###