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Cumulus Radio CEO to Turn Stations Around: Telling Them to “Grow a Pair”

<p>&OpenCurlyDoubleQuote;<em>I think the radio industry needs to grow a pair&period;<&sol;em>” That was CUMULUS CEO <strong>MARY BERNER<&sol;strong> when asked for a wide-angle perspective on the medium during a one-on-one keynote address at COUNTRY RADIO SEMINAR &lpar;CRS&rpar;&period; BERNER’s response to EMMIS&sol;NEW YORK VP&sol;Market Mgr&period; CHARLIE MORGAN&comma; who conducted the Q&amp&semi;A&comma; was actually an<strong> enthusiastic endorsement of radio<&sol;strong>&comma; as she pointed out that &OpenCurlyDoubleQuote;<em>Radio does have strong ROI&semi; it does have an audience&semi; it has the goods&period; But we act like an ugly stepchild<&sol;em>&period;” BERNER cited pricing as an example&comma; which she described as &OpenCurlyDoubleQuote;<em>A race to the bottom&period;<&sol;em>”<br &sol;>&NewLine;<img class&equals;"aligncenter size-full wp-image-35176" src&equals;"http&colon;&sol;&sol;www&period;countrymusicnewsblog&period;com&sol;wp-content&sol;uploads&sol;CRS-2018&period;jpg" alt&equals;"Country Radio Seminar 2018" width&equals;"375" height&equals;"325" &sol;><br &sol;>&NewLine;The hour-long interview also touched on BERNER’s business background&comma; which included no previous radio experience&period; But her strong publishing credentials with READER’s DIGEST and VOUGE magazines to name a couple&comma; have served her well during her time at CUMULUS&period; BERNER described radio as &OpenCurlyDoubleQuote;<em>same church&comma; different pew<&sol;em>&comma;” by comparison&comma; and said an important lesson learned in print publishing was&comma; &OpenCurlyDoubleQuote;It begins and ends with the content&period;”<&sol;p>&NewLine;<p>Upon taking the CEO chair in 2015&comma; BERNER described the company as experiencing &OpenCurlyDoubleQuote;a free-fall&comma;” which necessitated an immediate culture change&period; A corporate jet was sold within two weeks&comma; the profits of which helped fund company raises&comma; which &&num;8212&semi; as she found out from numerous station visits &&num;8212&semi; had not been granted for years&period; The now-famous company survey sent soon after her arrival at CUMULUS revealed a consistent keyword in responses&comma; said BERNER&colon; &OpenCurlyDoubleQuote;Toxic culture&period;” After consulting with the executive team to determine what kind of company CUMULUS wanted to be&comma; BERNER said the answer was&comma; &OpenCurlyDoubleQuote;<em>Everything we needed to be was the opposite of where we were<&sol;em>&period;”<&sol;p>&NewLine;<p>The company focus became twofold&comma; said BERNER&semi; &OpenCurlyDoubleQuote;<em>What we put on the air&comma; and our employees&period;<&sol;em>” <strong>Programming decisions and authority were restored to station level&comma; with the caveat that accountability went with that&period;<&sol;strong> Asked how her non-radio programming background may have helped things&comma; BERNER said&comma; I told MIKE &lbrack;MCVAY&rsqb;&comma; If I ever give you advice&comma; ignore it&period;”<&sol;p>&NewLine;<p>BERNER once again expressed commitment to&comma; and faith in&comma; the Country format at CUMULUS&comma; praising the NASH brand&comma; which she feels is better executed now&semi; the NASH NEXT talent contest&comma; &OpenCurlyDoubleQuote;which helps us give back to the industry&period;”<&sol;p>&NewLine;<p>The recent restructuring of CUMULUS was brought up as well&comma; something BERNER say will not affect day-to-day operations at all&period; &OpenCurlyDoubleQuote;<em>When I arrived&comma; I knew the debt was untenable<&sol;em>&comma;” said BERNER&period; The decision to file Chapter 11 was voluntary&period; &OpenCurlyDoubleQuote;We have plenty of cash&comma;” she added&period; &OpenCurlyDoubleQuote;<em>We swapped debt for equity on our house<&sol;em>&period;” Asked for a forecast of the next three to five years for both CUMULUS and the radio industry&comma; BERNER said&comma; <em>&OpenCurlyDoubleQuote;I’m not saying&semi; I don’t think anybody knows<&sol;em>&period;”<&sol;p>

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