Report No. MM 95-84 MASS MEDIA ACTION August 24, 1995 FCC GRANTS REQUEST OF FOX FOR WAIVER OF THE DUOPOLY RULE TO PERMIT COMMON OWNERSHIP OF WTXF-TV, PHILADELPHIA, PA AND WNYW-TV, NEW YORK, NY The FCC granted the request of Fox Television Stations, Inc. (Fox) for permanent waiver of the duopoly rule to permit common ownership of WTXF-TV and WNYW-TV. It also denied the petition to deny filed by the Philadelphia Lesbian and Gay Task Force. Fox sought to acquire WTXF-TV, Philadelphia, PA from Paramount Stations Group of Philadelphia Inc., a subsidiary of Viacom, Inc. (Viacom). Because the Grade B contour of that station overlaps that of Fox's WNYW-TV, New, York, New York, Fox sought permanent waiver of the duopoly rule, which generally proscribes common ownership of two television stations whose Grade B contours overlap. The Philadelphia Lesbian and Gay Task Force filed a petition to deny the application, alleging Viacom's non-compliance with the Commission's EEO policy and rules and character qualifications issues relating to both Viacom and Fox. The Task Force did not contest Fox's waiver request. In evaluating duopoly waiver requests, the Commission looks to certain factors: the extent of the overlap, the number of media voices available in the overlap area, the distinctness of the markets in which the stations are located, and the concentration of economic power resulting from the combination. After weighing these factors, the Commission considers any additional public interest benefits proposed by the applicant to determine whether, in light of the overlap, the benefits outweigh any detriment which may occur from grant of the waiver. - over - - 2 - In this case, the overlap is as large as those found in the Commission's past waiver cases involving Philadelphia and New York television stations, and all of the other traditional factors are satisfied. Here, Fox proposes to dedicate a reporter to issues relating to central and southern New Jersey, particularly to Camden, and to broadcast a 30-minute public affairs program each week relating to African-American issues. The Order finds that satisfaction of the traditional factors, as well as the unique nature of the Philadelphia and New York television markets, were sufficient to tilt the balance of interests in favor of grant. As to the uniqueness of the Philadelphia and New York markets, respectively the number four and number one in the nation, the Order looks to the markets' geographic proximity, the plethora of voices in the overlap, and the existing network combinations in those markets. Action by the Commission August 14, 1995 by MO&O (FCC 95-360). Chairman Hundt, Commissiners Quello, Barrett, Ness and Chong. - FCC - News Media contact: Kara Palamaras at (202) 418-0500. Mass Media Bureau contact: Anne Lucey at (202) 418-1630.