Air America Radio, the 2-week-old liberal talk-radio network, was shut down yesterday in two of its largest markets.
Multicultural Radio Broadcasting, which leases stations in Chicago and Los Angeles to the network, said a check from Air America bounced. The network denies that, claiming it stopped payment on the check.
“It’s nonpayment. That’s why we pulled them off the air,” said Tony Wong, Multicultural’s regional vice president in New York. “According to our agreement, they have to pay, and they failed to pay.”
Multicultural owns approximately 30 radio stations across the country, featuring ethnic-based programming in languages including Spanish, Mandarin Chinese and Korean.
When it cut off Air America programming in Chicago, it immediately switched to a Spanish-language feed, said Internet journalist Matt Drudge.
Mr. Wong declined to specify how much the Progress Media Inc.-owned Air America owes Multicultural. A source of Mr. Drudge’s pegged the amount at more than $1 million.
Air America says it was paid in full on its Chicago contract. It stopped payment on a check for its Los Angeles contract because it discovered Multicultural was double-dipping on rent payments from another party.
“We were cheated,” said David Goodfriend, the network’s executive vice president and general counsel.
“Multicultural Radio Broadcasting’s conduct in this matter has been disgraceful,” said Air America Chairman Evan Cohen. “To shut off a broadcast that listeners rely on without warning and in the middle of discussions is the height of irresponsibility and a slap in the face of the media industry.”
Air America filed a complaint against Multicultural in New York state’s supreme court to resolve the contract dispute.
The network aims to compete with radio personalities such as Rush Limbaugh and Bill O’Reilly, who, it contends, dominate AM radio to the exclusion of “progressive” voices.
This week, Air America announced it had expanded its total number of broadcast outlets to 16. It also is heard on XM Satellite Radio and streams live on its Web site, www.airamericaradio.com.
Multicultural’s decision did not affect the network’s coverage in other cities.
Although conservatives have predicted Air America would have difficulty finding an audience, some expressed surprise that its fortunes would sour so quickly.
“It was only a matter of time, but this was earlier than expected,” said nationally syndicated talk-show host Michael Medved.
“Radio works not because of ideology, but in spite of ideology,” he added. “This is a whole network based on ideology.”
“Considering how much free media, self-promotion and self-congratulation ushered in this dog-and-pony show, you’d think they’d stay aloft more than a couple weeks,” said National Review Online’s Jonah Goldberg.
The extensive coverage of the run-up to Air America’s March 31 debut has included numerous stories in The Washington Post and in weekly magazines such as Time.
Yesterday, the New York Times profiled Air America host Lizz Winstead.
Air America has yet to land an affiliation deal in Washington.
Michael Graham, midmorning host of 630 WMAL-AM in the District, counts himself a fan of Air America personalities such as Al Franken and Janeane Garofalo, but said the network so far has failed to distinguish itself from the liberal-leaning mainstream media.
“Give me a compelling reason why I should tune in,” he said. “I’ve yet to hear either of them do anything that could be called good talk radio,” Mr. Graham said.
But Mr. Goldberg had a more optimistic view of the network’s fate.
“I bet they’ll survive this,” he predicted. “I’m not sure there’s a lot of demand for liberal radio, but there are too many rich liberals invested in the idea to let it fail. In a sense, they’re supply-siders. Imagine the irony.”
Mr. Graham hopes Air America makes it.
“It’s in my best interest for them to succeed,” he said. “The more people who come to the AM band, the better. A rising tide lifts all boats.”
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