Did the Mules Kill the FSH?
Salem Media Group (SMG) has announced that it is selling its music radio stations in order to restructure and pay off more than $159.4 million in outstanding debt. As part of the restructuring, in an $80 million deal with Educational Media Foundation (EMF), owner of K-LOVE and Air1, SMG will transfer ownership of seven contemporary Christian music stations to EMF, including Atlanta’s 104.7 FM WFSH. All Atlanta-based employees will be losing their jobs as of February 1, 2025.
Salem Executive Chairman and co-founder Ed Atsinger said in a press release, “We have made a strategic decision to exit the Contemporary Christian Music format in order to pay off all of Salem’s long-term debt.”
WFSH morning show hosts Kevin Avery and Taylor Scott posted on their show’s Facebook page, “It’s with heavy hearts that we tell you that our time on The Fish is coming to a close on January 31st. We are so incredibly honored that we had the privilege of bringing you ‘Good, Clean, Fun’ and doing life with you for 24 years.”
The Atlanta Journal-Constitution notes, “This means the end of the market’s longest running morning show featuring Kevin Avery and Taylor Scott, which began in 2000, and the station’s local presence with annual charity events such as its Christmas Wish program. Every year, the station changes to a Christmas format before Thanksgiving for more than a month and often lands at the top of the Nielsen ratings chart for a few weeks.”
While SMG notes multiple financial issues including generally declining revenue which lead it to start selling off its assets mid-year 2024, the costs associated with the defamation litigation over its distribution of 2000 Mules has hardly helped SMG’s balance sheet. The Los Angeles Business Journal reported on July 22, 2024:
Fallout from the 2020 election has come back around to haunt Salem from another direction.
The company in May shelled out a settlement with a Georgia voter who was the subject of “2,000 Mules,” a book and companion film created by right-wing gadfly Dinesh D’Souza and published by Salem. Both advanced unfounded conspiracy theories that the Democratic Party stole the 2020 presidential election through fraudulently cast votes in ballot drop-boxes.
One subject of the documentary-style film, Mark Andrews, sued Salem for defamation. Although the eventual settlement was not disclosed, it was reported to be a “significant amount” in court filings.
In addition to the financial payout, SMG agreed to issue a statement apologizing to Andrews saying in part, “We apologize for the hurt the inclusion of Mr. Andrews’ image in the movie, book, and promotional materials have caused Mr. Andrews and his family.”
In June, SMG was looking at another court battle, this time with its insurer, over covering the court costs and the settlement with Andrews. InsideRadio.com reported that, “Salem has sued Atlantic Specialty Insurance Company for not covering damages levied against the company in the defamation suit brought by Andrews. The broadcast group is claiming breach of contract in the suit.”
For the Atlanta area, it means an end to the one station that plays Christmas music for the entire Christmas season, the station that annually partners with local area Chick-fil-A restaurants and other corporate partners to grant dozens of “Christmas Wishes” during the holiday season, for which WFSH has received national recognition, and the station that provides positive, family friendly broadcasting.