Perhaps it was the format. Perhaps it didn’t receive enough TLC from the multiple owners. Perhaps you file this one under, “nothing lasts forever.” Iconic Chicago rocker WLUP was one of the two stations, along with WKQX, that Cumulus was going to purchase from Merlin Media. It had been a Rock station for over 40 years, but as of today it is no more.
The deal for Cumulus to purchase WLUP and WKQX went south when Cumulus filed for bankruptcy and backed out, claiming the two stations lost $8.4 million since 2014. Last year Cumulus was going to purchase the stations for $50 million. This week, Educational Media Foundation has agreed to pay $21.5 million for WLUP. Under EMF it will be flipped to a Christian Music format as early as this weekend.
Due to the Cumulus bankruptcy, Merlin Media was faced with either taking the stations back or finding another buyer, or buyers. Cumulus had been operating both stations under an LMA, paying Merlin $600,000 per month, before the bankruptcy. That was dropped to $15,000 per month during the bankruptcy. That helped keep the station alive while Randy Michaels looked for a buyer, which he found this week.
Apparently, Cumulus is still interested in purchasing WKQX, of course if the price is right.. Cumulus only has two stations in Chicago, WLS-AM and WLS-FM. And in today’s radio world it’s tough to compete in major markets with only two stations. Cumulus Chicago Market Manager Marv Nyren informed employees what was happening in this memo he sent around yesterday…
“By now, you may have heard that WLUP-FM has been sold to EMF, Educational Media Foundation, by Merlin Media. This means that we will end WLUP’s current programming today, and later this week or next week, we will cease to be operating WLUP-FM.
“What does this mean to Cumulus-Chicago and those of us not affected by the sale? While we had hoped to be the highest bidder for the station, we are taking the sale of the Loop as an opportunity to ensure we have the right people in the right jobs and are keeping as many employees as possible. In finalizing this sale, we can now focus on the future stability of the Chicago cluster and necessary growth to remain competitive. We continue to be in active discussions with Merlin regarding an acquisition of WKQX-FM. The sale of the Loop has no impact on our desire to bring WKQX-FM formally into the Cumulus family at the right price.
“We wish each and every one of those affected by the sale nothing but the best as we all move forward. I will do my best to continue to provide you all with as much information as possible as we finalize the transfer of WLUP-FM to EMF, and I am available should you have any questions during this period.
“As with any difficult decisions we encounter in life, we now have the choice how we handle this opportunity. I look forward to continuing to grow these legendary stations with your help. Thank you in advance for your support, understanding and dedication to our future successes.
Respectfully,
Marv
BIG MISTAKE WHAT ABOUT THE LISTENERS?
This is so sad
The Loop was the best fm station ever! I’ve won many contest from them including $10,000 in 2000.I loved their format and they will be dearly missed. Lloyd, Aurora, Il.
Omg we love the loop in Michigan!!!! I am devastated to learn this….. major major mistake