Article: Sinclair's $2.3B powerhouse: $1.2 billion purchase of River City gives company 29 TV and 34 radio stations. (Sinclair Broadcast Group Inc., River City Broadcasting LP; includes related articles)

$1.2 billion purchase of River City gives company 29 TV and 34 radio stations

When Sinclair Broadcast Group Inc. acquired River City Broadcasting LP last week for $1.2 billion, Wall Street applauded. But the deal sent shivers down the spines of program syndicators and broadcast service providers.

To Sinclair, programing, employe overhead, sales reps and ratings reports are mere "cost centers" that must be reduced at all the merged company's 29 television and 34 radio outlets. "By virtue of the sheer critical mass we have as a company, these costs will drop over time as our leverage is implemented," Sinclair president and 24.7% owner David Smith told ...

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