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Television Broadcasting
Post–Newsweek Stations, Inc. (PNS), a subsidiary of the Company, owns six television stations located in Houston, TX;
Detroit, MI; Miami, FL; Orlando, FL; San Antonio, TX; and Jacksonville, FL. The following table sets forth certain
information with respect to each of the Company’s television stations:
Station Location and
Year Commercial
Operation
Commenced
National
Market
Ranking (a)
Primary
Network
Affiliation
Expiration
Date of FCC
License (b)
Expiration
Date of
Network
Agreement
Total
Commercial
Stations
in DMA (c)
KPRC,
Houston, TX, 1949 10th NBC Aug. 1, 2014 Dec. 31, 2016 14
WDIV,
Detroit, MI, 1947 11th NBC Oct. 1, 2013 Dec. 31, 2016 8
WPLG,
Miami, FL, 1961 16th ABC Feb. 1, 2013 Dec. 31, 2015 13
WKMG,
Orlando, FL, 1954 19th CBS Feb. 1, 2013 Apr. 6, 2015 13
KSAT,
San Antonio, TX, 1957 36th ABC Aug. 1, 2014 Dec. 31, 2015 11
WJXT,
Jacksonville, FL, 1947 50th None Feb. 1, 2013 — 7
(a) Source: 2012/2013 DMA Market Rankings, Nielsen Media Research, fall 2012, based on television homes in DMA (see note (c) below).
(b) License renewal applications were timely filed for WPLG, WKMG, and WJXT.
(c) Designated Market Area (“DMA”) is a market designation of A.C. Nielsen that defines each television market exclusive of another, based on measured viewing patterns.
Revenue from broadcasting operations is derived primarily from the sale of advertising time to local, regional and national
advertisers. In 2012, advertising revenue accounted for 89% of the total for PNS’s operations. Advertising revenue is
sensitive to a number of factors, some specific to a particular station or market and others more general in nature. Some
examples include a station’s audience share and market ranking; seasonal fluctuations in demand for air time; annual or
biannual events, such as sporting events and political elections; and broader economic trends.
Regulation of Broadcasting and Related Matters
PNS’s television broadcasting operations are subject to the jurisdiction of the FCC under the Communications Act. The
FCC assigns frequency bands for broadcast and other uses; manages broadcast licensing; regulates equipment used by
stations; and adopts and implements regulations and policies that directly or indirectly affect the ownership, operations
and profitability of broadcasting stations, among other things.
Each PNS television station holds an FCC license that is renewable upon application for an eight-year period.
Digital Television (DTV) and Spectrum Issues. Each PNS station (and each full-power television station nationwide)
now broadcasts only in digital format. The digital broadcast format allows transmission of HDTV programming, multiple
channels of standard-definition television programming (multicasting), subchannels of programming designed for reception
by mobile devices (mobile DTV) and subscription video and data services known as “ancillary and supplementary”
services. PNS, along with other broadcasting companies, has been actively pursuing the use of digital spectrum to
provide mobile DTV to consumers, in partnership with consumer electronics manufacturers and others.
Television stations may receive interference from a variety of sources, including interference from other broadcast stations,
that is below a threshold established by the FCC. That interference could limit viewers’ ability to receive television stations
signals. The amount of interference to stations might increase in the future because of the FCC’s decision to allow electronic
devices known as “white space” devices to operate in the television frequency band on an unlicensed basis on channels not
used by nearby television stations. FCC-approved entities will administer databases with information about television station
service areas (to minimize interference caused by white space devices). In December 2012, the FCC authorized database
administrators to provide service to white space devices throughout the East Coast, and the FCC has stated that it anticipates
authorizing database administrators to provide service to white space devices in the rest of the country soon.
The FCC has proposed and Congress has authorized reallocation of spectrum for use by wireless broadband providers,
including substantial amounts of spectrum currently in the television broadcast band. Congress has authorized incentive
auctions, whereby the FCC would auction spectrum relinquished by broadcast television stations in exchange for a share
of the auction revenues. The FCC commenced a rulemaking proceeding in October 2012 to consider, among other
24 THE WASHINGTON POST COMPANY