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Nadeen from Burger King : Simah down nah, Sinclair Broadcasting

Discussion in 'BBS Hangout: Debate & Discussion' started by Troy McClure, Oct 22, 2004.

  1. Troy McClure

    Troy McClure Member

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    [​IMG]

    Kerry
    Wed Oct 20, 2004 08:50 PM ET

    NEW YORK (Reuters) - Hamburger chain Burger King said on Wednesday that it would not run its commercials during a controversial program about U.S. presidential candidate John Kerry to be aired by Sinclair Broadcast Group .
    Sinclair on Tuesday backed away from airing a documentary critical of Kerry's Vietnam War-era record, but said it would show portions of that film in a special program that discusses allegations he betrayed fellow veterans with his antiwar activities.

    Burger King's move suggests advertisers may not be assured the new program's format averts political controversy. Democrats have branded plans to air the program as a blatant partisan attack less than two weeks before the Nov. 2 ballot.

    Sinclair broadcasts in key states like Florida and Ohio whose voters could decide the close election race. Some of the company's top executives have been major contributors to President Bush and his fellow Republicans.

    Burger King said in a statement that it "does not endorse any candidate or political party."

    In response to the controversy, Sinclair said on Tuesday it would not air the entire documentary "Stolen Honor: Wounds That Never Heal," which accuses Kerry, a Democratic senator from Massachusetts, of betraying fellow Vietnam veterans by testifying more than 30 years ago against the war and about atrocities he said were committed by U.S. forces.

    Baltimore-based Sinclair said it would instead broadcast an hour-long program on Friday titled "A POW Story: Politics, Pressure and the Media" about the use of documentaries to influence voting that would include a discussion of Kerry's anti-Vietnam War activity.

    A Sinclair official said the company respected Burger King's decision. He could not say whether other advertisers had pulled their commercials from the program.

    Sinclair shares fell nearly 17 percent after the controversy began earlier this month, with investors concerned about a potential advertising boycott or legal threat.

    After Sinclair clarified its broadcast plans, the stock rose 12.6 percent on Wednesday to close at $7.05 on the Nasdaq.

    Burger King recently launched a nonpartisan Internet campaign under its brand slogan "Have It Your Way," encouraging young voters to head to the polls.

    Privately held Burger King said its decision affects one day of advertising in nine local markets where it had scheduled commercial time.


    http://www.reuters.com/newsArticle.jhtml?type=topNews&storyID=6562267
     
  2. JayZ750

    JayZ750 Member

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    From a business stanpoint, I don't understand why they would go on and show the documentary. If you lose any advertisers, then you are making as much money as you otherwise would? Unless the documentary goes on to have great ratings success, and Sinclair plans to re-broadcast at a later date and hopes to have increased advertising rates then, it doesn't make much sense.
     
  3. glynch

    glynch Member

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    Jay, big biz owners don't always go just for the profit as taught in econ 101 or the business section of newspapers. They are human, too and like to donate to their favorite politicians.

    In this particular case Sinclair hope Bush if reelected will be greatful. The Bush cartel has a guy like FCC Chairman, Colin's son, who will not oppose them as they try to keep changing the law to allow them to own more and more media allowing the monopoly power to make profits and further spread the gospel of tax cuts for the wealthy.
     
  4. JayZ750

    JayZ750 Member

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    Yeah, I know, I'm just saying purely from a business standpoint this doesn't seem smart - your stock goes down 12+%, your losing at least one big advertisers, maybe more and you've already been forced to re-think you're original idea. I'm not too familiar with media/telecom industry, so maybe Sinclair can expect a big kickback if Bush wins, but I'd still be worried if I was CEO.
     

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