Underwriting Announcements Part of KPLU Deal
The paperwork for Pacific Lutheran University to sell KPLU to the University of Washington has reached the FCC.
The total price is $8M, we’ve reported, however we learn from the paperwork that a $350,000 deposit was to be delivered to the escrow agent, Fletcher Heald & Hildreth.
At closing, the buyer will deliver $7M by wire transfer; the deposit will be included in this amount. The remaining $1M will be paid off as underwriting announcements the seller can have aired on the buyer’s stations, at the rate of $100,000 worth of airtime per year for 10 years.
A list of current or lapsed donors is part of the sale; Pledges that have not been paid to the seller as of closing will be written off by the seller.
The sale includes KPLU-FM Tacoma and satellite stations KVIX(FM), Port Angeles, KPLI(FM), Olympia and KPLK(FM), Sedro-Woolley as well as 8 FM translators, licensed to: Bellingham, Centralia, Raymond, West Seattle, Aberdeen, Longview, Mount Vernon and a CP for a translator in Ariel — as well as transmitter site lease agreements.
The University of Washington is the licensee of KUOW(FM), Seattle, KUOW(AM), Tumwater, and KQOW(FM), Bellingham. UW has asked the FCC for a waiver of its main studio rule to allow UW to permit operation of KPLI(FM), Olympia, KVIX(FM), Port Angeles, and KPLK(FM), Sedro-Woolley from UW’s main studio facilities for KUOW-FM, Seattle.
The parties say they’re willing to consider a competing offer from a community-based group; Friends of 88.5FM have raised $1M towards the purchase price so far.