The Radio Survivor published a great article, specifically giving information about the demise of Air America, a radio content publishing company. The article, though, explains what media insiders call barter:
Here’s how a barter deal works: To launch the show, Limbaugh’s syndicator, Premiere Radio Networks [then EFM] — the same folks who syndicate wingnut du jour Glen Beck — gave Limbaugh’s three hours away — that’s right, no cash — to local radio stations, mostly in medium and smaller markets, back in the early 1990’s.
So, a local talk station got Rush’s show for zilch. In exchange, Premiere took for itself much of the local station’s available advertising time (roughly 15 minutes an hour) and packed the show with national ads it had already pre-sold.
See the full story at http://www.radiosurvivor.com/2010/01/24/the-death-of-air-america-its-the-ownership-stupid/
