December 18, 2006
After Bankruptcy Filing, Recriminations Fly at Air America
By ELIZABETH JENSEN and LIA MILLER
In its search for a new chief executive this past summer, Air America Radio interviewed seasoned media executives in an effort to revive the faltering network. One interview took a bizarre turn, however, when the executive got into a political argument with Randi Rhodes, one of the network’s on-air hosts.
“I laughed and said, ‘You sound like Republican talking points,’ ” Ms. Rhodes recalled.
At Air America, business and politics always mixed, and that was the problem, critics contend. Begun with an onslaught of publicity in spring 2004 as an alternative to right-wing talk radio, the network is given some of the credit by its supporters for having helped achieve the Democrats’ Congressional election victory in November.
Detractors label the liberal network’s programming as combative, one-note and emotional. At least its business dealings seem to fit that last description. Even before Air America and its corporate parent, Piquant L.L.C., sought bankruptcy protection on Oct. 13, its management was engulfed in a series of financial crises. The search for new investors and managers has been marred by infighting among those who want the network to succeed, according to people in the organization.
In recent weeks, Air America, which has its headquarters in New York and reaches about 2.4 million listeners weekly, has suffered the defection of a handful of its more than 80 affiliated stations and soon faces the likely departure of its most visible host, Al Franken, even as it cobbles together a plan to emerge from Chapter 11.
A possible solution surfaced on Friday. Douglas Kreeger, an initial investor and former chief executive who stabilized the network in its early months, said in a telephone interview that there is “a signed letter of intent” for a new group to take over the network and that he is “likely” to be a part. The lead equity position would be taken by Terence F. Kelly, of Madison, Wis., also an Air America investor from the beginning and a former board chairman.
Mr. Kelly said in a separate interview that the investor group included a new strategic media partner he declined to name, and both men would not predict when a deal might come to fruition.
“Any number of things can happen,” Mr. Kreeger said.
This is only the latest twist in the short but contentious history of Air America. At the root of its problems, some critics and competitors say, has been an inability to negotiate a middle path between its political mission and its business.
 

ACLU Happy Holidays!
An Overdue Visit
'Twas the night before Christmas and all through the nation
Friends of Freedom knew it was a special occasion. Lady Liberty stood taller just off the shore
Her torch shining brighter than a few weeks before
But it wasn't the flame turning her cheeks all rosy It was thoughts of Snowe, Feingold and Nancy Pelosi And leaders from every side of the aisle Who would soon bring the Bill of Rights back into style.
The Amendments had all hurried out of their beds - Which was no easy task, they were nearly in shreds - And they rushed to the window on papery feet As a jolly old man flew right over their street.
"Could it be!?" they inquired as the roof shook and trembled
And they crept toward the mantle, peaceably assembled, Just as someone emerged from the chimney with flair In a shiny red suit, with a shock of white hair
And a top hat, and pants all in red, white and blue - "Wait a minute," the Amendments exclaimed, "Who are you?"
"Don't be frightened my children," he said, "it's no scam.
"You can't have forgotten your old Uncle Sam!"
"Holy crap!" said Free Speech. "Stop right there!" yelled Bear Arms
And Privacy cried "Who shut off the alarms?!" The Fifth remained silent, but Uncle Sam said "We've been having some trouble, but Freedom's not dead."
The Amendments were cautious. "It's just been so long
"We've seen Liberty lost, we've seen so much go wrong.
"The President's trying to mangle and warp us, "The Fourth is in tatters, so's Habeas Corpus!"
The old man sat down - he had had quite a ride - But he told them "Don't worry, the Law's on our side, "'Cause the nation's fed up and more people are crying "For Justice and an end to illegal spying,
"And secret abductions by the CIA, "And laws that would take women's choices away, "And Gitmo tribunals and secret detention, "And other intrusions too numerous to mention - "
"Not so fast," said a grinchity voice from above And Don Rumsfeld pushed past the Fourteenth with a shove.
He was covered in soot and he looked kind of scary.
It seemed like his Christmas had not been so merry.
The Amendments said they weren't happy to see him: "You tried to throw all of us in the museum!
"You've done so much the Constitution forbids!" "And I would have gone on, but for you meddling kids!"
Uncle Sam told him "Rummy, your plans just won't do, "So we've got a brand new timetable for you!" And as Rumsfeld retired and crept into the night The Amendments cried out "Have a good secret flight!"
From the distance they heard him reply with a snort. "Bye-bye, Rummy!" they answered, "we'll see you in court!"
Uncle Sam rode the chimney up out of the room And, like Frosty, he said "I'll be back again soon."
But they heard him exclaim "Oh, and just one more thing!
"This year, when the holiday bells start to ring, "Try to honor religion. Honest faith can't be wrong. "It's America, can't we all just get along?
"So, on Christian," he cried, "Muslim, Hindu, and Jew! "On Quaker! On Shaker! And Atheist too! "On Buddhist! On Taoist! And to show we're not chickens "We'll file a few lawsuits defending the Wiccans!
"Your belief is your right, so get out there and savor it.
"Uncle Sam's not a preacher, and he doesn't play favorites!"
So this holiday season, whatever you do, Warmest wishes for Freedom, from the ACLU.

'Funeral procession" for progressive talk planned March to Clear Channel set Wednesday By Kevin Lynch Efforts to resuscitate the progressive talk radio format of "The Mic" WXXM-FM/ 92.1 have failed so far. Concerned listeners now plan a "funeral procession" as the Jan. 1 end of the format nears. The march will begin at 1 p.m. Wednesday at Brittingham Park near the intersection of South Park Street and West Washington Avenue and head down Fish Hatchery Road to the Clear Channel Madison offices.
A 420-page petition of more than 5,500 signatures to keep "The Mic" on the air will be delivered to Jeff Tyler, Clear Channel vice president of marketing, by activists Valerie Walasek, Gary Tipler and businesswoman Barbara Wright.
Despite the petition and a rally at the High Noon Saloon on Dec. 12 to demonstrate advertising support for the station's political talk forum, Clear Channel still plans to change the format to sports talk with an emphasis on prep sports and the University of Wisconsin. It also will feature syndicated sports personalities Jim Rome and Dan Patrick.
In an interview with The Associated Press published in The Capital Times on Wednesday, Tyler said Clear Channel would explore ways to continue progressive talk in Madison.
"Our company sales team embraced the station, the format and enthusiasm we all had for the station and its role in the community," Tyler said. "However, there are many advertisers, local and national, who have been at conflict with the programming or stay away from controversial programming."
The station has cancelled its local progressive talk shows, but it still airs programming from Air America, and other nationally broadcast talk hosts, including Al Franken, Robert F. Kennedy Jr., Rev. Jesse Jackson, Ed Schultz and Stephanie Miller.