UTICA/ROME -- Even though Leatherstocking Media Group has controlled the programming on WUTI 1150 since September 20, the station is still owned by Digital Radio Broadcasting. As part of the FCC's sale approval process, the pricetag on the sale has been revealed. Updated 10/20.
News of the $130,000 pricetag comes from AllAccess.com, quoting documents attached to the FCC Form 314 filed by both parties to request permission to transfer the license from DRC to Leatherstocking. The "Asset Purchase Agreement" (PDF format) states an escrow payment of $10,000 was already made when the two companies formed their LMA in September. A payment of $100,000 (less escrow) will be due at the the time of the Closing, which is expected to take place within 5 business days of the FCC's approval of the sale. The remaining $30,000 will be handled through a promissory note.
It appears, in addition to the license, the purchase agreement includes the studio/transmitter building on Thomas Road in Oriskany, as well as the tower array located behind the building, just across the CSX railroad tracks.
Since Leatherstocking started programming WUTI last month, it has joined WMCR(AM)/Oneida in simulcasting the "CNY Talk Radio" lineup based at WFBL in Baldwinsville.
The $130,000 price might be considered a deal for Leatherstocking: in 2005, Northeast Public Radio paid $275,000 to buy the station, formerly WRUN, from the former Regent Broadcasting. Northeast turned WRUN into a simulcast of its flagship station, WAMC in Albany.
After building WRUN-FM in Remsen, WAMC had no further need for the AM: it traded WRUN (along with $20,000) to Digital Radio Broadcasting, in exchange for an FM translator in Cooperstown. Since WAMC decided to keep the WRUN calls on the new 90.3 FM, Digital Radio Broadcasting was forced to change WRUN(AM)'s call letters, choosing WUTI.
Until Leatherstocking assumed control of the station, DRC had filled the airwaves with a stream of commercial-free, seemingly-random music, not really fitting into any one particular "format," piquing the curiosity of listeners.
The sale application is currently "accepted for filing," which in FCC parlance, means the FCC didn't see any immediate problems with the deal, but it must now allow 30 days for public comment before it can make a final determination.