In January 2007, WKNU Radio Inc. filed a Form 314 application with the FCC to acquire a Class A FM station serving a rural corner of southwestern Alabama. The Commission gave its nod on March 3, but more than a decade later it has been found unable to pay a sizable amount due to the seller.
As a result, it is relinquishing the facility, and it’s the top deal in RBR+TVBR’s TRANSACTIONS TODAY for Wednesday, Aug. 23, 2017.
In a “reconveyance and satisfaction agreement” reached August 15, WKNU Radio Inc. is relinquishing control of Class A WKNU-FM 106.3 in Brewton, Ala., to Ellington Radio.
That’s the company that on Dec. 28, 2006, agreed to sell WKNU to WKNU Radio Inc. for a total price of exactly $1,386,764.76.
Monthly payments of $10,049.02 for a period of 138 months was agreed to by both parties, with the first payment due March 1, 2006, and with a fixed interest rate of 6%.
WKNU Radio Inc. has not paid Ellington some $823,400, and is unable to do so, the company now says.
WKNU is led by President Jack Floyd. Ellington Radio is led by President Carol Ellington.
Ellington’s legal counsel in this deal is M. Scott Johnson of Fletcher Heald & Hildreth.
IN OTHER TRANSACTIONS TODAY:
- For no cash consideration, silent KTCN-FM 88.3 in Acton, Calif., is being transferred from the Santa Clarita Organization for Planning the Environment to Common Communications, led by directors Stacy Fortner and Mike Forester. The transaction was precipitated by an erroneous cancellation of the facility due to a perceived filing error, and the subsequent launch of KQRU-LPFM 107.9 in nearby Santa Clarita, Calif. With KTCN reinstated, the Santa Clarita Organization was in violation of FCC cross-ownership limits and needed to divest KTCN. KQRU will go on the air following the divestiture of KTCN.
