Kagan: TV Station Market on Rebound

$185 million in TV station deals so far in 2011, more than all of 2010
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Through April 30, there has been $185 million worth of TV
station deals, compared to only $19 million in the same four-month period in
2010, according to SNL Kagan research.

In fact that total is $37 million higher than all of 2010,
when there were only $125 million for 23 stations.

Add in some proposed radio deals--the $2.4 billion Cumulus
bid for Citadel and Hubbards $505 million bid for 18 Bonneville
stations and total TV and radio deal volume is $3.1 billion vs. only $363
million in 2010.

Kagan says there are "plenty" of stations
waiting to go to market if more financing is freed up, with one factor being
the FCC's proposed incentive spectrum auction. "While there are some
buyers of stations which may be eyeing a potential flip to wireless
companies," says Kagan in a new report, "questions remain about
whether there is a valuation impact on those that remain that could be forced
to move."

Economists pitching the incentive auction proposal at a
White House event
last month said there is a price point at which broadcasters will be willing to
give up spectrum. the FCC has also said it will compensate broadcasters who
remain but have to be "repacked" to make way for larger swaths of
spectrum to auction to wireless broadband companies.

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