iHeartMedia 2004 Annual Report Download - page 12

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Live Entertainment
In addition to the live entertainment venues listed above, our live entertainment segment produces and presents touring and original
Broadway & Family shows. Touring Broadway shows are typically revivals of previous commercial successes or new productions of theatrical
shows currently playing on Broadway in New York City. We invest in original Broadway productions as a lead producer or as a limited partner
in productions produced by others. The investments frequently allow us to obtain favorable touring and scheduling rights for the production
that enable distribution across the presenter’s network.
Other
Television
As of December 31, 2004, we owned, programmed or sold airtime for 40 television stations. Our television stations are affiliated with
various television networks, including ABC, CBS, NBC, FOX, UPN, WB, Telemundo and PAX.
Media Representation
We own the Katz Media Group, a full-service media representation firm that sells national spot advertising time for clients in the radio and
television industries throughout the United States. As of December 31, 2004, Katz Media represented over 2,800 radio stations, 390 television
stations and growing interests in the representation of cable television system operators.
Sports Representation
We operate in the sports representation business. Our full-service sports marketing and management operations specialize in the
representation of professional athletes, integrated event management and marketing consulting services. Among our clients are many
professional athletes, including Tracy McGrady (basketball), Pedro Martinez (baseball), Tom Lehman (golf), Andy Roddick (tennis), and Roy
Williams (football).
Regulation of Our Business
Existing Regulation and 1996 Legislation
Radio and television broadcasting are subject to the jurisdiction of the Federal Communications Commission under the Communications
Act of 1934. The Communications Act prohibits the operation of a radio or television broadcasting station except under a license issued by the
FCC and empowers the FCC, among other things, to:
The Communications Act prohibits the assignment of a license or the transfer of control of a licensee without prior approval of the FCC.
The Telecommunications Act of 1996 represented a comprehensive overhaul of the country’s telecommunications laws. The 1996 Act
changed both the process for renewal of broadcast station licenses and the broadcast ownership rules. The 1996 Act established a “two-step”
renewal process that limited the FCC’s discretion to consider applications filed in competition with an incumbent’s renewal application. The
1996 Act also liberalized the national broadcast ownership rules, eliminating the national radio limits and easing the national restrictions on TV
ownership. The 1996 Act also relaxed local radio ownership restrictions, but left local TV ownership restrictions in place pending further FCC
review.
• issue, renew, revoke and modify broadcasting licenses;
• assign frequency bands;
• determine stations’ frequencies, locations, and power;
• regulate the equipment used by stations;
• adopt other regulations to carry out the provisions of the Communications Act;
• impose penalties for violation of such regulations; and
• impose fees for processing applications and other administrative functions.