Reds could get more control in new deal with WLW

By Dan Monk

After flirting with rival bidders, the Cincinnati Reds are close to signing a new five-year rights agreement with 700 WLW-AM parent Clear Channel Communications Inc.

Phil Castellini, the team’s senior director of business operations, confirmed a rights deal is close. Castellini told the Business Courier’s editorial board June 12 he hopes to renew the team’s contract with the Big One by month end. He wouldn’t reveal terms of the deal but confirmed the team explored potential deals with Clear Channel competitors.

The new five-year deal might differ dramatically from prior radio-rights agreements signed between baseball’s oldest franchise and the 50,000-watt station that has owned the Reds radio rights since 1969. According to local media buyer Rob Riggsbee, owner of Newtown-based Inside Media, the two parties are pursuing a deal in which Clear Channel would avoid a $4 million annual rights fee in exchange for giving the Reds control of most of its air-time inventory. That would let the Reds package radio commercials into larger sales contracts with sponsors and ticket buyers.

“It’s ingenious on the Reds’ part to take it in-house,” said Andy Furman, a local sports-talk commentator whose afternoon rush hour show anchors the “Supertalk” format at WFTK-FM 96.5. Furman, who was fired by WLW last year, said the Reds controlled the air-time inventory when he joined the WLW staff in the 1980s, but former Reds owner Marge Schott favored big rights fees over cross-marketing opportunities. Furman said the Reds have improved their ability to sell radio time in recent years by hiring former WLW staffers Bill Reinberger, Dave Collins and Karen Forgus.

“This is the first time where they have the staff and the manpower to sell the inventory,” Furman said. “They’ve got people with radio experience who’ve sold the Reds. It’s a natural.”

Whether the Reds take radio marketing in-house, the team’s relationship will change with WLW, thanks to satellite radio and online distribution of game broadcasts. In addition, Castellini said the Reds are trying to expand its network of broadcast affiliates as a way of building fan interest in outlying markets.