Radio mergers worry 4A's

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The American Association of Advertising Agencies has formally expressed its "concern" about proposed broadcast mergers that would give Westinghouse and Jacor the dominant share of radio advertising in various markets. While saying it is not opposing the mergers "presently," a letter to Federal Communications Commission Chairman Reid Hundt from Hal Shoup, exec VP of the Four A's, warns that "increased local concentration of ownership and control may allow market distortion in the price of advertising...The direct concern of the AAAA is the likely increase in the price of advertising time in markets with duopoly ownership and/or control." Mr. Shoup suggested possibly barring requirements for joint purchasing of ad time on multiple stations or attempts to limit the airing of makegoods to secondary stations. The group's action comes as the Justice Department considers Westinghouse's purchase of Infinity Broadcasting and Jacor's purchase of Citicasters Broadcasting..

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