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If you need the complete document, download the WordPerfect version or Adobe Acrobat version, if available. ***************************************************************** Before the Federal Communications Commission Washington, D.C. 20554 In re Applications of ) ) INFINITY HOLDINGS CORP. ) OF ORLANDO ) (ASSIGNOR) ) ) and ) ) COX RADIO, INC. ) (ASSIGNEE) ) ) For assignment of the licenses of:) ) WHOO(AM), Orlando, Florida ) File Nos. BAL - 960711GE WMMO(FM), Orlando, Florida & ) BALH - 960711GF & WHTQ(FM), Orlando, Florida ) BALH - 960711GG ) ) AND ) ) ) COX RADIO, INC. ) (ASSIGNOR) ) ) and ) ) INFINITY HOLDINGS CORP. ) OF ORLANDO ) (ASSIGNEE) ) ) For assignment of the licenses of:) ) WCKG(FM), Elmwood Park, Illinois &) File Nos. BALH - 960711GH WYSY-FM, Aurora, Illinois ) BALH - 960711GI MEMORANDUM OPINION AND ORDER Adopted: December 26, 1996 Released: December 26, 1996 By the Commission: 1. The Commission has under consideration: (1) the above-captioned applications to assign the licenses of WHOO(AM), WHTQ(FM) & WMMO(FM), Orlando, Florida from Infinity Holdings Corp. of Orlando ("Infinity/Orlando") to Cox Radio, Inc. ("Cox Radio"), a subsidiary of Cox Enterprises, Inc. ("Cox"); (2) the above-captioned unopposed applications to assign the licenses of WCKG(FM), Elmwood Park, Illinois and WYSY-FM, Aurora, Illinois from Cox Radio to Infinity; (3) a request by Cox for a permanent waiver of the one-to-a-market rule in Orlando; and (4) a Petition to Hold Applications in Abeyance filed by Press Broadcasting Co., Inc. ("Press") on September 19, 1996. The petition addresses Cox's proposed acquisition of a total of six radio stations in Orlando and one radio station in Daytona Beach, Florida as a result of both the instant transaction and Cox Radio's pending applications to assume control of NewCity Communications, Inc. ("NewCity"). 2. The above-captioned applications represent a like-kind exchange of assets between Cox Radio and Infinity/Orlando. The parties are proposing to exchange two Chicago-area stations owned by Cox Radio for three Orlando stations owned by Infinity/Orlando. This like-kind exchange is related to a proposed transfer of control of Infinity Broadcasting Corporation ("Infinity") to Westinghouse Electric Corporation ("Westinghouse"). WCKG(FM) and WYSY-FM are two of 43 stations that Westinghouse is proposing to acquire as a result of the transfer of control of Infinity. The Westinghouse/Infinity applications, with accompanying waiver requests, are premised, among other things, upon acquisition of the two Chicago-area stations that Infinity is hereby proposing to exchange with Cox. Summary 3. Cox, through a subsidiary, is the licensee of VHF television station WFTV (ABC, Channel 9), Orlando, Florida, a station whose Grade A contour encompasses Orlando and Daytona Beach. Because Cox Radio proposes to be the licensee of six Orlando radio stations and one Daytona Beach radio station as a result of both the above-captioned transaction and its pending applications to acquire the assets of NewCity, Cox Radio requests a permanent waiver of the Commission's one-to-a-market rule. In addition to WFTV, Cox owns a non-attributable 47.5% stock interest in News-Journal Corp., which publishes the Daytona Beach News-Journal, a daily newspaper, in Daytona Beach. Cox also owns Cox Communications of Greater Ocala, Inc., a cable system serving Ocala, Florida, which is located in the Orlando-Daytona Beach-Melbourne Designated Market Area (DMA). In addition, Cox has entered into a local marketing agreement (LMA) with the permittee of unbuilt UHF television station WZWY (Channel 27), Orlando. 4. Press objects to Cox's ownership interests in the totality of media outlets contemplated in Cox's waiver showing, including cable, newspaper, television and seven radio stations in the Orlando DMA. Press requests that the Commission refrain from acting upon the waiver request and the seven applications relating to radio stations that Cox Radio would own in Orlando/Daytona Beach until the Commission has had a chance to complete pending rulemakings that address issues such as the television duopoly rule and the one-to-a-market rule. However, we have stated that requests for waiver of the one-to-a-market rule submitted prior to resolution of our pending television ownership rulemaking proceeding would be processed pursuant to our current criteria for evaluating such requests, and that waiver requests that are granted, which are not clearly consistent with prior Commission precedent, would be granted conditioned on the outcome of that proceeding. Therefore, we will not delay our approval of the Infinity/Orlando-Cox exchange pending conclusion of the rulemaking proceedings. Instead, for the reasons stated below, we will grant a temporary conditional one-to-a-market waiver in Orlando for acquisition by Cox of the three Infinity/Orlando radio stations, subject to the outcome in our ongoing rulemaking proceedings involving television ownership and the attribution of broadcast interests. See S.E. Licensee G.P., FCC 96-464 (released November 27, 1996) (granting conditional, temporary waiver of one-to-a-market rule pending outcome of television ownership and attribution proceedings); Shareholders of Citicasters, Inc., FCC 96-380 (released September 17, 1996) (granting temporary waivers of one-to-a-market rule pending outcome of television ownership proceeding). An additional reason for not delaying action on the above-captioned exchange is that permitting Cox to proceed with its planned like-kind exchange of stations with Infinity will facilitate our consideration of the proposed Westinghouse/Infinity merger now pending before the Commission, applications for which presumed prior Commission action on the Infinity/Orlando-Cox exchange. We will address Cox Radio's request for a permanent waiver of the one-to-a-market rule in connection with its proposed ownership of the four additional radio stations in Orlando/Daytona Beach that it proposes to acquire from NewCity, as well as the Press petition addressed to ownership of all seven radio stations, at the time we consider the application to transfer control of NewCity to Cox Radio. By our approval today, we do not signal any prejudgment of the pending Cox/NewCity applications. 5. After analyzing Cox's ownership interest in the Daytona Beach News-Journal in light of our cross-interest policy, we will also grant the assignment applications for the three Infinity/Orlando radio stations conditioned on the outcome of our attribution rulemaking. This will allow the parties to go forward with the proposed like-kind exchange of assets, while at the same time ensuring that Cox's ownership interests are subject to the same limitations as other group owners as a result of our pending television ownership, broadcast attribution, and radio-newspaper cross-ownership proceedings. Multiple Ownership Considerations 6. Cox will control two FM stations and one AM station in Orlando following consummation of the proposed transaction to acquire Infinity/Orlando's three radio stations. The principal community contours of these three radio stations mutually overlap. Therefore, Cox has submitted showings to demonstrate its compliance with the limitations of our local radio ownership rules. 7. With respect to the one-to-a-market rule, Cox bases its request for a one-to-a-market waiver on the standards adopted in the Second Report and Order in MM Docket No. 87-7, 4 FCC Rcd 1741 ("Second Report and Order"), recon. granted in part, denied in part, 4 FCC Rcd 6489 (1989) ("Second Report and Order Recon."). Under these criteria, the Commission presumptively favors waiver requests involving station combinations serving the top 25 markets where there remain at least 30 separately owned, operated and controlled broadcast licensees or "voices" after the proposed combination is consummated ("top 25 market/30 voice standard"). The Commission also favors requests involving "failed" broadcast stations, that is, stations that have not been operating for a substantial period of time, e.g., four months, or that are involved in bankruptcy proceedings. See 47 C.F.R. Section 73.3555 note 7. Waiver requests not eligible for consideration under either the "top 25 market/30 voice standard" or the "failed" station standard are evaluated under the more rigorous case-by-case standard, as set forth in the Second Report and Order. 8. Although Orlando-Daytona Beach-Melbourne, Florida is the 22nd largest DMA, according to Nielsen, Cox's request must be evaluated under the case-by-case standard because the proposed transaction involves the common ownership of more than one same service radio station with a television station. Under the case-by-case standard, the Commission makes a public interest determination based upon the following criteria: (1) the potential public service benefits of common ownership of the facilities, such as the economies of scale, cost savings and programming and service benefits; (2) the types of facilities involved; (3) the number of media outlets owned by the applicant in the relevant market; (4) any financial difficulties involving the station(s); and (5) issues pertaining to the level of diversity and competition within the affected market. See Second Report and Order, 4 FCC Rcd at 1753-54. We also note that not all five of the factors mentioned are necessarily relevant in each case. See Second Report and Order Recon., 4 FCC Rcd at 6491. In support of its request for a one-to-market waiver permitting common ownership of seven radio stations with WFTV(TV), Cox submits a showing which addresses each of the five case-by-case factors. At this time, we will consider only those portions of Cox's waiver showing that are relevant to its ownership of the three Infinity/Orlando stations. Waiver Showing 9. Benefits of Joint Operation. Cox asserts that numerous cost savings and operating efficiencies will result from its ownership of WFTV(TV) and the radio stations, and that public service benefits will be generated by that ownership. Cox estimates at least $423,000 in savings annually from common ownership of WFTV and all seven radio stations. Common ownership of WFTV and the radio stations will account for $187,000 in annual savings, while $236,000 is attributable to consolidation of radio station operations. Cox anticipates that it will be able to derive significant operational and cost efficiencies from centralizing the administration and certain sales, news and programming functions of the radio stations. In addition, Cox expects to obtain discounts on purchases ranging from major capital items to small supplies for WFTV and the radio stations, as well as group discounts on direct mail and outdoor advertising, promotional merchandise and audience research services. Cox states that WFTV and the radio stations will also be able to share technical expertise and to coordinate tower maintenance and inspections, as well as the use of consultants on issues such as tower load capacities. 10. Cox projects that in the area of programming, common ownership of WFTV and the radio stations will permit enhanced news coverage and public affairs programming at reduced costs. For example, WFTV would be in a position to simulcast major events such as town meetings, sporting events and political debates on one or more of the radio stations. Additionally, all stations would be able to share the product of radio and television news resources such as stringers, wire services and other news providers. Common ownership of the television and radio stations will also permit enhanced non-broadcast public service activities, according to Cox. Such activities include promoting charitable efforts and disseminating consumer information to the wide range of audiences attracted to the radio stations' differing formats. 11. Cox further asserts that common ownership will enable the stations to engage in joint recruitment of minority and female employees, and that common ownership could facilitate the development of a joint radio/television web site on the Internet. Cox claims that common ownership would also facilitate improvement of the technical facilities of AM station WHOO (presently licensed to Infinity) because of Cox's financial resources and technical expertise. Cox reports that the station's facilities are in need of substantial repairs and that WHOO is currently operating at variance from its authorized parameters pursuant to special temporary authority. 12. Other Media Outlets/Types of Facilities. Cox states that the facilities it proposes to own are comparable to many other stations in the Orlando market. VHF television station WFTV, an ABC affiliate, is one of 14 television stations (including three noncommercial stations) licensed to the Orlando-Daytona Beach-Melbourne DMA. The station operates on Channel 9, with 316 kW authorized power, from an antenna height above average terrain (HAAT) of 1570 feet. There are two other network VHF stations in this DMA, and Cox states that parts of the market receive Grade B service from five other commercial VHF stations. Cox has an LMA with the permittee of WZWY(TV), Orlando, which is an unbuilt facility. See supra note 7. 13. WHOO is a Class B AM station operating at authorized power of 50 kW. WHTQ is a Class C FM station, operating at authorized power of 100 kW from an antenna 487 meters HAAT. WMMO is a Class C2 FM station, operating at authorized power of 38 kW, from an antenna 134 meters HAAT. According to Cox, there are a total of 38 AM radio stations with principal community contours that overlap those of the radio stations Cox proposes to co-own (including the NewCity stations that are the subject of separate applications), and WHOO is only one of 33 Class B AM stations in this market, including two other 50 kW AM stations. Cox asserts that there are a total of 23 FM stations in the same market, including nine other Class C stations, four Class C1 stations and three other Class C2 stations. Cox adds that the Orlando DMA is highly competitive and diverse, and that it would be competing against other media group owners, including Paxson Communications, Clear Channel Communications, Press Broadcasting Co., Chancellor Broadcasting Co. and Pulitzer Broadcasting. 14. In addition to WFTV, Cox owns a cable system serving Ocala, Florida and has a non- controlling stock interest in a newspaper serving Daytona Beach. Cox's cable system serves Ocala and portions of Marion County, Florida. Cox states that Ocala is located on the "fringe" of the Orlando DMA, outside WFTV's Grade B contour, in compliance with 47 C.F.R. Section 76.501. According to an engineering map supplied by Cox, Ocala is located approximately 60 miles northwest of Orlando. As evidence that Ocala media do not compete directly with Orlando media, Cox points out that while television station WOGX-TV, Ocala, is physically located in the Orlando DMA, Nielsen assigns it to the Gainesville DMA for reporting purposes. Cox reports that its Ocala cable system serves less than 5% of all cable subscribers in the Orlando DMA. Cox notes further that some of the largest cable group owners are present in the Orlando DMA, including Cablevision Industries, TCI Cablevision and Time Warner. 15. Cox owns a 47.5% interest in News-Journal Corp., which publishes a daily newspaper in Daytona Beach, the Daytona Beach News-Journal. Cox maintains that this interest in nonattributable under the Commission's ownership rules because a majority of the stock of News- Journal Corp. is held by a single shareholder. See 47 C.F.R. Section 73.3555 note 2(b). Cox also asserts that this interest was reviewed and approved by the staff as not violating the Commission's cross-interest policy in connection with Cox's acquisition of WFTV in 1985. Cox states further that because it is only a minority owner of News-Journal Corp., it has no control over the Daytona Beach News-Journal's operations. As evidence that the newspaper does not compete directly with Orlando media, Cox cites to Circulation 96, which reports no circulation for the Daytona Beach News-Journal in Orange County, Florida (Orlando), while the Orlando Sentinel has a circulation there of 120,245. 16. Economic Status. Cox reports that neither WFTV nor the radio stations are in a state of financial distress. Cox notes again, however, that AM station WHOO's facilities are in poor condition and will require extensive repairs so that the station can return to its authorized operations. Cox states that its acquisition of WHOO will permit substantially improved operations. 17. Competition and Diversity in the Market. Cox asserts that the Orlando-Daytona Beach- Melbourne DMA, which is the 22nd largest DMA in the country, is characterized by an unusually high degree of diversity. Cox states that the DMA includes 14 television stations (including three noncommercial stations), and that 21 out-of-market television stations (including six noncommercial stations) provide Grade B service to portions of the Orlando-Daytona Beach DMA. Additionally, 22 low power television stations are licensed to communities in the DMA. The Orlando Television Metro Market includes 76 radio stations, which Cox discusses in four submarkets: (1) the Daytona Beach Metro Market, which will have 18 radio stations licensed to 16 separate entities; (2) the Melbourne-Titusville-Cocoa Metro Market, which will have 23 radio stations licensed to 19 separate entities; (3) the Orlando Metro Market, which will have 28 radio stations licensed to 13 separate entities; and (4) the Lake County Market, which will have seven radio stations licensed to seven different entities. Cox notes that there are 55 cable systems in the Orlando-Daytona Beach DMA operated by 26 different owners. Cable penetration in the DMA is 77%. Additionally, Cox states that there are 14 Multichannel Multipoint Distribution Services operated by nine owners in the Orlando-Daytona Beach DMA. Cox asserts that the DMA is served by seven daily newspapers and 17 weekly newspapers, and that major magazines enjoy a significant circulation within the DMA. Discussion 18. Radio Ownership - Orlando. We turn first to Cox's compliance with our local radio ownership rules. Cox has submitted the required contour overlap showing which indicates that the relevant radio market contains 68 stations. Under our rules, in a radio market with 45 or more commercial radio stations, a party may own, operate, or control up to 8 commercial radio stations, not more than 5 of which are in the same service. See 47 C.F.R. Section 73.3555(a)(1)(i), as amended by Broadcast Radio Ownership, FCC 96-90 (released March 8, 1996). By the instant proposal, Cox proposes to own, operate, or control three commercial radio stations, only two of which are in the same service. Accordingly, the proposed transaction complies with the numerical local radio ownership limits. In addition, staff analysis indicates that the three radio stations combined garner 10.9% of radio advertising revenues in the market. This level does not raise a concern that Cox will be able to impede radio competition in the Orlando radio market. See infra, at paragraph 25, discussion of competition and diversity in the Orlando market following consummation of these proposed transactions. See also S.E. Licensee G.P., FCC 96-464 (released November 27, 1996); Shareholders of Citicasters, Inc., FCC 96-380 (released September 17, 1996). We conclude that, with respect to local radio ownership, nothing in the record suggests that Cox's acquisition of WHOO(AM), WMMO(FM) and WHTQ(FM) would be inconsistent with the public interest. 19. Television LMA. Before considering Cox's request for a waiver of the one-to-a-market rule, we must determine what weight, if any, we should accord Cox's existing LMA with WZWY(TV) in assessing that request. Currently, television LMAs are not attributable to the brokering station, nor, taken alone, are they considered a "meaningful" relationship within the scope of the cross-interest policy. At present, therefore, we will not accord significance to Cox's existing television LMA in evaluating its ownership waiver request. Our decision here in no way prejudges the issues in our ownership and attribution proceedings. We have proposed to attribute television LMAs to the brokering station where, as in Orlando, the stations involved are in the same market and the brokerage arrangement includes more than 15 percent of the brokered station's weekly broadcast hours. Further Notice of Proposed Rulemaking in MM Docket Nos. 94-150, 92-51 and 87-154, FCC 96-436 (released November 7, 1996) (Attribution Further Notice), at para. 27. Further, we have proposed that any LMA which would be attributable for duopoly rule purposes under this approach "would also count in applying our other ownership rules, including, for example . . . the one-to-a-market rule (or radio-television cross-ownership rule)." Id. (footnotes omitted). And, while we have proposed to grandfather those LMAs -- such as the LMA here -- that were entered into prior to November 5, 1996, the adoption date of the Second Further Notice of Proposed Rulemaking in MM Docket Nos. 91-221 and 87-8, FCC 96-438 (Television Ownership proceeding), (released November 7, 1996), we have also indicated that we would "reserve the right . . . to invalidate an otherwise grandfathered LMA in circumstances that raise particular competition and diversity concerns, such as those that might be presented in very small markets." Id. at para. 88. Thus, if we establish final rules for attributing and grandfathering LMAs, we would also assess whether the class of transactions involving radio, television and LMA interests such as those involved in this case should be permitted to continue. Because this is a pending issue, we will condition the one-to-a- market waiver we grant here on the ultimate result reached in the pending rulemaking proceedings in attribution and television ownership concerning the significance and the grandfathering of television LMAs. See S.E. Licensee G.P., FCC 96-464 (released November 27, 1996), para. 12; REP WWBB G.P., FCC 96-463 (released November 27, 1996), para. 11. 20. One-to-a-Market Waiver. Cox has demonstrated that common ownership of the Orlando stations will create efficiencies resulting in cost savings and the potential for enhanced programming and service benefits. Specifically, Cox has shown that combined operation of WFTV and the seven radio stations it proposes to own (including the four NewCity stations) will result in a projected cost savings of at least $423,000 per year. While a significantly smaller sum is attributable to common ownership of WFTV and the three Infinity/Orlando stations -- and Cox does not specify what that smaller sum is -- it is reasonable to assume that some portion of the projected total savings will result from combined ownership of WFTV and the three radio stations, and that such portion is sufficient to warrant consideration of this factor in connection with Cox's waiver request. Cox states that these cost savings will translate into public service and programming benefits in the form of improved newsgathering capabilities of the radio stations, as well as more widespread traffic and weather reporting. Cox has shown that common ownership will enable the stations to engage in joint recruitment of minority and female employees, and that it will facilitate improvement of the technical facilities of AM station WHOO as a result of Cox's financial resources and technical expertise. 21. Regarding the second factor in our analysis, the types of facilities involved in the waiver request, we stated in the Second Report and Order that "we will consider such factors as whether the proposed radio-TV combination involves a UHF or VHF TV station or an AM or FM radio station, as well as the size or class of the stations involved." 4 FCC Rcd at 1753. Television station WFTV (VHF), is an ABC affiliate, competing with 14 other television stations (including three noncommercial stations) licensed to the Orlando DMA. The station operates at 316 kW authorized power and competes against two other network VHF stations in the Orlando DMA. WHTQ is a Class C FM station, authorized to operate at 100 kW and WMMO is a Class C2 FM station, authorized to operate at 38 kW. These FM stations are only two of 27 FM stations in the Orlando- Daytona Beach Radio Market, including nine other Class C stations, four Class C1 stations and three other Class C2 stations. WHOO is a Class B AM station operating at authorized power of 50 kW. This AM station is only one of 41 AM stations in the same market, 33 of which are also Class B AM stations, including two 50 kW AM stations. Although the facilities are significant that Cox proposes to own in Orlando, we find that comparable facilities do exist and that there is little danger that Cox will be able to dominate the market based on the nature of its facilities. See Stockholders of CBS Inc., 11 FCC Rcd 3733, 3772 (1995) (stating that the type and nature of facilities to be commonly owned must be evaluated against the backdrop of the nature of the relevant market). 22. With respect to the third factor, Cox already owns a cable system and has a non- attributable 47.5% stock interest in a newspaper in the Orlando-Daytona Beach-Melbourne DMA in addition to the broadcast facilities it is proposing to co-own. Cox has shown that its cable system serves less than 5% of all cable subscribers in the DMA, and that this cable system competes against major cable group owners. Furthermore, this cable system serves Ocala, which is located approximately 60 miles northwest of Orlando and approximately 60 miles west of Daytona Beach. Cox has indicated that WFTV's Grade B contour does not overlap the service area of its Ocala cable system. Likewise, Cox's non-cognizable minority interest in the Daytona Beach News-Journaldoes not violate any of our cross-ownership rules when considered with Cox's other proposed ownership interests, nor does application of our cross-interest policy prohibit combined ownership of the Daytona Beach News-Journal and the three Orlando radio stations for a temporary period pending release of an order in our attribution rulemaking proceeding (which includes a re- examination of the need for the cross-interest policy). See Notice of Proposed Rule Making in MM Docket Nos. 94-150, 92-51 & 87-154, 10 FCC Rcd 3606, 3642 (1995) ("Attribution Notice"). 23. The cross-interest policy prevents individuals from having "meaningful" interests in two broadcast stations, or a daily newspaper and a broadcast station, or a television station and a cable television system, when both outlets serve "substantially the same area." See id. Non-attributable equity interests, including a minority interest in a corporation having a single majority shareholder, have been viewed as constituting a "meaningful" interest subject to the policy. Id. at 3643-45. See also Roy M. Speer, FCC 96-258 (released June 14, 1996) (limiting exercise of Silver King Communications, Inc.'s option to acquire an equity interest in a competing broadcast licensee to one- third (33%) of the competitor's equity where both Silver King and the competitor owned television stations in the Chicago market). Cox has shown that the Daytona Beach News-Journal is not widely circulated in Orlando, the community of license of WFTV and the three radio stations that Cox proposes to co-own. However, one of those stations, WHTQ(FM), has a 1 mV/m contour that encompasses Daytona Beach. While it is true that the staff approved Cox's 1985 purchase of WFTV, whose Grade A signal encompasses Daytona Beach, our recent decisions to re-examine the cross- interest policy and to make changes in our attribution rules make it appropriate to refrain from consenting here to this radio-newspaper cross-ownership on a permanent basis. Therefore, we believe that the most prudent course would be to condition Cox's newspaper and radio ownership interests on compliance with any rules or policies developed in the attribution rulemaking proceeding. 24. Fourth, regarding the economic status of the stations involved in the proposed combination, none of the stations is experiencing financial difficulties. However, as we have previously indicated, not all five factors need be present to justify grant of a waiver. See Second Report and Order Recon., 4 FCC Rcd at 6491; Great American Television and Radio Co., 4 FCC Rcd 6347, 6349 (1989). We have also granted a number of one-to-a-market waivers where there was no finding that any of the stations were in financial distress. See, e.g., Louis C. DeArias, Receiver, 11 FCC Rcd 3662 (1996); Henry Broadcasting Co., 11 FCC Rcd 1175 (1995); Atlantic Morris Broadcasting, Inc., 10 FCC Rcd 9495 (1995); Alta Gulf FM, Inc., 10 FCC Rcd 7750 (1995); Secret Communications, Ltd., 10 FCC Rcd 6874 (1995). 25. Finally, the fifth factor relates to the level of diversity and competition in the relevant market. Indicia of the level of diversity include the number of broadcast outlets, the number of separately-owned and operated "voices" in the market, and the presence of cable and non-broadcast media. The Orlando-Daytona Beach-Melbourne DMA is ranked 22nd in the country and, according to our independent analysis, the market will have 67 radio stations including 37 AM and 30 FM radio stations (Orlando Television Metro Market), and 14 television stations, licensed to 60 independent owners (including NewCity) in the Orlando DMA. Additionally, the DMA has substantial cable penetration, and numerous daily and weekly newspapers. 26. With respect to economic concentration and competition, our independent analysis indicates that Cox's three radio stations will garner a 10.9% share of the radio advertising revenue in the Orlando market, while WFTV garners 28.5% of television advertising revenue. Together, the television and radio stations receive a combined television and radio advertising share of 24%. Given the limited duration of the waiver, we do not believe that these figures are so significant as to raise a concern that diversity and competition in Orlando will be unduly affected for the waiver period. 27. We conclude, based on the record, that granting a conditional, temporary waiver of the one-to-a-market rule to permit common ownership of Stations WFTV(TV), WHOO(AM), WMMO(FM), and WHTQ(FM), Orlando, Florida, will not unduly affect competition or diversity in the Orlando market. See S.E. Licensee G.P., FCC 96-464 (released November 27, 1996) (granting a conditional, temporary waiver of the one-to-a-market rule to Clear Channel in Memphis for a period of six months from issuance of Orders in pending television ownership and attribution proceedings); Shareholders of Citicasters, Inc., FCC 96-380 (released September 17, 1996) (granting temporary waivers of one-to-a-market rule to Jacor in Cincinnati and Tampa for a period of six months from issuance of an Order in pending television ownership proceeding). While Cox will have substantial ownership interests in the Orlando-Daytona Beach-Melbourne DMA, it has shown that the market is highly competitive and diverse, and that its stations would be competing against other media group owners, including Paxson Communications, Clear Channel Communications, Press Broadcasting Co., Chancellor Broadcasting Co. and Pulitzer Broadcasting. Based on this and other factors, we do not believe that diversity in Orlando will be so adversely affected in the short run as to require denial of Cox's waiver request. As Cox's showing suggests and our own analysis confirms, many more than 30 independent broadcast voices will remain in Orlando after the proposed transactions. And, while Cox's commonly owned facilities will be significant in technical terms, comparable competing facilities do exist. Moreover, there are economic efficiencies and program service benefits to be gained by the proposed transactions that support grant of a temporary waiver. Finally, granting a temporary waiver will facilitate our consideration of the request for consent to the transfer of control of Infinity to Westinghouse. Accordingly, we grant to Cox a waiver of the one-to-a-market rule in Orlando during the pendency of and subject to the outcome in our ongoing rulemaking proceedings involving television ownership and the attribution of broadcast interests. We also grant the assignment applications for the three Infinity/Orlando radio stations conditioned on the outcome of our attribution rulemaking. As stated above, we will address Cox Radio's request for a permanent waiver of the one-to-a-market rule in connection with its proposed ownership of the four additional radio stations in Orlando/Daytona Beach that it proposes to acquire from NewCity, as well as the Press petition addressed to ownership of all seven radio stations, at the time we consider the application to transfer control of NewCity to Cox Radio. 28. Radio Ownership - Chicago. Finally, we turn to Infinity's compliance with our local radio ownership rules. Infinity is the licensee of one AM station and two FM stations in Chicago: WJJD(AM), WJMK-FM and WUSN(FM). Following the proposed like-kind exchange of assets with Cox, Infinity will also be the licensee of WCKG(FM), Elmwood Park, Illinois and WYSY-FM, Aurora, Illinois, with a total of four FM stations and one AM station with overlapping contours in the Chicago area. Infinity has submitted the required contour overlap showing which indicates that the relevant radio market contains at least 17 stations. Under our rules, a party may own, operate, or control up to 6 commercial radio stations, not more than 4 of which are in the same service, if the market includes 15-29 commercial radio stations. See 47 C.F.R. Section 73.3555(a)(1)(iii), as amended by Broadcast Radio Ownership, FCC 96-90 (released March 8, 1996). Infinity proposes to own, operate, or control five commercial radio stations, only four of which are in the same service. Accordingly, the proposed transaction complies with the numerical local radio ownership limits. In addition, staff analysis indicates that the five radio stations combined garner 17.2% of radio advertising revenues in the market. This level does not raise a concern that Cox will be able to impede radio competition in the Chicago radio market. See S.E. Licensee G.P., FCC 96-464 (released November 27, 1996); Shareholders of Citicasters, Inc., FCC 96-380 (released September 17, 1996). We conclude that, with respect to local radio ownership, nothing in the record suggests that Infinity's acquisition of WCKG(FM) and WYSY-FM would be inconsistent with the public interest. ORDERING CLAUSES 29. Accordingly, IT IS ORDERED, That the Petition to Hold Applications in Abeyance filed by Press Broadcasting Co. on September 19, 1996, when considered as an informal objection, IS HEREBY DENIED to the extent that it relates to the grant of the above-captioned assignment applications of three radio stations from Infinity Holdings Corp. of Orlando to Cox Radio, Inc., and IS HEREBY DEFERRED to the extent that it relates to the grant of pending transfer of control applications for four radio stations from NewCity Communications, Inc. to Cox Radio, Inc. 30. IT IS FURTHER ORDERED, That the request for a waiver of the one-to-a-market rule, 47 C.F.R. Section 73.3555(c), to permit common ownership of Stations WFTV(TV), WHOO(AM), WMMO(FM), and WHTQ(FM), Orlando, Florida, IS HEREBY GRANTED, subject to the outcome in the pending television ownership rulemaking proceeding, Second Further Notice of Proposed Rulemaking in MM Docket Nos. 91-221 & 87-8, FCC 96-438 (released November 7, 1996), and in the pending broadcast attribution proceeding, Further Notice of Proposed Rulemaking in MM Docket Nos. 94-150, 92-51 and 87-154, FCC 96-436 (released November 7, 1996). Should divestiture be required as a result of those proceedings, Cox is directed to file an application for Commission consent to sell the necessary station(s) within six months from the release of the final Orders in those proceedings. 31. IT IS FURTHER ORDERED, That, having found the applicants fully qualified, the above-captioned applications to assign the licenses of WHOO(AM), WHTQ(FM) & WMMO(FM), Orlando, Florida from Infinity Holdings Corp. of Orlando to Cox Radio, Inc. ARE GRANTED, subject to the outcome in the pending broadcast attribution proceeding, Further Notice of Proposed Rulemaking in MM Docket Nos. 94-150, 92-51 and 87-154, FCC 96-436 (released November 7, 1996). Should divestiture be required as a result of that proceeding, Cox is directed to file an application for Commission consent to sell the necessary station(s)/newspaper within six months from the release of the final Order in that proceeding. 32. IT IS FURTHER ORDERED, That, having found the applicants fully qualified, the above-captioned application to assign the license of WYSY-FM, Aurora, Illinois from Cox Radio, Inc. to Infinity Holdings Corp. of Orlando IS GRANTED, and the above-captioned application to assign the license of WCKG(FM), Elmwood Park, Illinois IS GRANTED without prejudice to whatever further action the Commission may deem appropriate with respect to pending indecency complaints concerning material broadcast on WCKG(FM). FEDERAL COMMUNICATIONS COMMISSION William F. Caton Acting Secretary