Currently, the individual network affiliate Boards lead the discussions with the networks on behalf of their respective affiliates, which include station groups like Nexstar to opt in or out of virtual MVPD agreements. We're looking forward to a solid 2024 election cycle. After its merger with Tribune, Nexstar will be the largest owner of local broadcast stations in the U.S. Nexstar and the Illinois-based media company already have political activism in common. Extended our network affiliation agreements with ABC. This concludes our conference call for today. How do you see that kind of opportunity between both local stations and the CW? Perry A. Sook has over 43 years of professional experience in the television and radio broadcasting industries, covering all facets of the business, including ownership and M&A, management, sales, on-air talent, and news. Third, we are already making progress with the CW, not only to bring the network to profitability but to create value for the entire Nexstar enterprise as a result of the acquisition. In 2018, their top four recipients were all Minnesota politicians: Republican Senate candidate Karin Housley, Rep. Erik Paulsen, Emmer and Rep. Jason Lewis. "I really,. And they see the customer at the checkout counter or at the cash register, and they know that local consumers are spending and have factored in 7% mortgages and $3 and $4 gasoline into their daily lives. It will be based in Chicago and run out of Chicago, drawing on the backbone of those 5,400 journalists sprinkled around the country. And it will be absent of bias. Their political giving has since plummeted to $13,034 by 2018, all but $500 of which went to Democrats. Sook also serves on the Board of Directors of Broadcast Music, Inc. He was inducted to The Library of American Broadcasting Foundation's 2016 Giants of Broadcasting and Electronic Arts and received The Media Institute's 2016 American Horizon Award, recognizing his leadership, promoting the vitality and independence of American media.Mr. And so we are very bullish on political 2024. We closed the acquisition of the CW on September 30, 2022. KTSM, an El Paso, Texas station owned by Nexstar, re-ran an article from the Texas Tribune exploring the effect of Hispanic identity on the Senatorial race that pitted Beto ORourke against Cruz. We're accessing the fan base, both nationally and at local markets is important for advertisers and brands. Perry Sook is a performer that lives by these words. In addition, Nexstar's local sales initiatives continue to deliver healthy levels of new business with our sales teams generating new local advertising incentive program revenue of $37 million, flat to the prior year despite significant political displacement. The San Francisco station, KRON4, has run stories on both Pelosi and Feinstein. Their attempt was scuttled by regulators, but Sinclair already owns a huge swath of local television stations, 191 by their count. And we know that from everyone we talk to, people understand the power of broadcast and what broadcast has that no one else has, which is superior reach. CW affiliation fees will have a slight positive impact on our year-over-year reported growth rates until we lap the acquisition date. They're fielding tons of pitches. Please go ahead. But about the overall though for 1Q. So is the change to the implied net just the difference in gross or anything else on the reverse comp side? Sure. Because we have designated to CW with an unrestricted subsidiary, the losses associated with the CW are not accounted for in our calculation of leverage for purposes of our credit agreement. (Operator Instructions) And our first question comes from Craig Huber with Huber Research Partners. Okay. Open Secrets following the money in politics, OpenSecrets Following the money in politics. As such, Nexstar shares represent a solid investment opportunity for existing and potential shareholders as we are the largest broadcast company with top-tier operational performance in the sector but we trade at a very modest '23, '24 free cash flow yield. Expansion through acquisitions is a great way to grow, but Nexstar didnt always have that kind of dough. Our position on the matter is not new. And if there's any way to kind of, I don't know, directionally size the impact of LIV Golf, just so we have a sense of what these kind of deals could be helpful. Sinclairs top three recipients for 2018 were Republican Senators Roger Wicker (R-Miss. Before being recruited to run Seaway, he worked in the television industry as a General Sales Manager, acting General Manager and National Sales Manager. And so not unlike traditional cable, where we are the most watched channels in the bundle, why would that be different in a virtual universe? I wonder if you could talk about that a little bit, too. With respect to our free cash flow guidance, we've opted to use an attributable free cash flow figure that includes the cash flow of Nexstar and its interest in the Food Network and our attributable 75% interest in the losses of the CW and the related tax benefits of those losses. I think we have another couple of years of these kinds of increases before we begin to approach 2019 levels, both from a national SAAR as well as unit spending. In addition, for purposes of our credit agreement and indentures, we have designated the CW as an unrestricted subsidiary, and it is not included for purposes of calculating our covenants. Chairman and CEO Perry Sook revealed that previously discussed series based on the political news outlet, acquired by Nexstar in 2021 for $130 million., will premiere in April and run Monday-Friday. The only time we had video of what was going on in town was if there was a car wreck or a house fire, Sook says. In 2014, the Hubbard Broadcasting gave the Super PAC $450,000, $300,000 from the company and $150,000 from individuals. On a net basis, we expect reverse comp to increase but at a mid-single-digit rate, slightly improving our distribution or retrans margin. By June, that time period was down to 28,000 viewers and 5,000 in the demo. 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Nexstar plunked down $130 million bucks to buy the political website The Hill. So your leverage is really just your local content, your local news. (Animals) informal NZ a calf [perhaps from Old English scan to suck, influenced by Welsh swci swead tame] sook (suk) or souk vb to suck n 1. the act or an instance of sucking 2. a sycophant; toady [Old English scan] Collins English Dictionary - Complete and Unabridged . We look forward to speaking to you again soon when we report our first quarter 2023 results. And then also when we're negotiating with the largest big 4 station group and you negotiate this all as a package, there is leverage inherent in that model. Operationally, in the fourth quarter, we renewed and extended our network affiliation agreement with ABC on terms favorable to the company, and we successfully renewed and extended distribution agreements with our largest MVPD partners on terms that will enable Nexstar to enjoy continued annual growth in distribution revenue for the foreseeable future. The company was founded in 1996 when Perry A. Sook purchased WYOU, a station in Scranton, Pa. Looking ahead, we project corporate overhead exclusive of stock comp and transaction cost to be approximately $36 million in the first quarter, and we expect overhead around $144 million for the year. The Hill is comprised of five key content platforms which includes: TheHill.com - the #1 digital-first political news brand in Comscore's Political News category; The Hill TV - the Award-winning, #1 provider of premium digital video from within the Beltway, with 1.4B annual views across platforms, including the nation's newest streaming . Under Nexstar Media Group is its subsidiary Nexstar Inc., which operates Broadcasting, Digital, and Networks divisions. And so that means we have to go dark for a little while to make the point. And I now would like to turn the conference over to Joe Jaffoni, Investor Relations. Excluding the impact of the CW, our top-performing categories in the quarter were automotive, home repair and manufacturing, entertainment, paid programming and air conditioning and heating. And so yes, our profitability has been enhanced, and we're investing our syndicated programming expense back into journalism. Nexstar cautions that these forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from those reflected by the forward-looking statements made during this call. Nexstar Media Group's purchase of Tribune Media Co's 42 TV stations makes Nexstar the nation . We expect Nexstar's cash interest expense to approximate $110 million for the first quarter and $450 million for the year, reflecting current forward curve and expectations for debt repayment. I think our company as well as others in the industry have made the value judgment to do that. And then switching to ATSC. Sign up below. Nexstar was 1 of only 4 stocks that was up in all of media and entertainment in 2022, which we believe is a testament to our ability to create shareholder value through free cash flow generation, return of capital to our shareholders and our ability to continue to grow our revenue streams. (They gave $5,000 to Marsha Blackburn (R-Tenn.) in the 2018 cycle, but also gave $2,500 to Tammy Baldwin (D-Wis.)). In trade jargon, its referred to as a retransmission consent dispute. Our next question comes from Jim Goss with Barrington Research. If it rained, staffers had to send a Jeep down the road to retrieve Sook. But the leverage we expect to fall again in 2024, which will be a political year. Mikulski also gave the Fox station an interview on receiving the medal. While we have higher expectations for growth in this line item for the year, until our partners' ongoing negotiations are resolved, our growth rate will remain near the mid-single-digit area. And I think the only differentiating factor in that is how long the blackouts continue. It's clear from our results that 2022 was a monumental year for Nexstar and a referendum on the power of the broadcast model and its ability to deliver audiences at scale and strong levels of free cash flow. NewsNation aired an interview with President Donald Trump in September 2020. Six people at the time reportedly said that NewsNation was becoming increasingly right-wing and conservative in its presentation. The current simulcast requirement does constrain our capacity as to what we can do. "Over time, we will be taking a different approach to our CW programming strategy and will leverage our experience in spending approximately $2 billion a year on programming, attracting and. Want first access to OpenSecrets' investigations and data features? Core television advertising decreased 3.3% year-over-year. Sign up for our newsletter to track moneys influence on U.S. elections and public policy. And then obviously, once April comes and we're 24/5, we now set our sights on 24/7 and how we feel the 18 hours on Saturday and Sunday that are currently entertainment programming, we have to fill that with news. In the 2000s, Sinclair had a similar a must-run segment called The Point, hosted by a Sinclair lobbyist and ex-Navy intelligence officer. As a percentage of net revenues, our total expenses declined given our focus on controlling expense growth and significant political revenue growth. Another $2,000 went to Sen. Orrin Hatch (R-Utah) and $1000 went to Sen. Kamala Harris (D-Calif.). 2022 Foundation Trustees. It all got Sook to thinking. In addition to its station in Fresno, Nexstar owns a station in Bakersfield. Hubbard Broadcasting gave $350,000 to Freedom Partners Action Fund, a Koch-network Super PAC, in the 2016 election cycle. Yourcentralvalley.com, a Nexstar site affiliated with NBC covering Fresno, California, ran a story about Kevin McCarthys claims that California Democrats had fallen out of touch with voters. Revenue growth was driven by the inclusion of the CW and year-over-year increases in Nexstar's local digital advertising and agency services businesses, offset in part by softness in national advertising and e-commerce. This year, we prepared an ESG report, which will be available on our website, outlining key principles, policies and action. But we have a receptive audience, certainly among NBA owners and NHL owners that see the value of broadcast TV and exposing and distributing their product to a much larger audience spend is available in the pay-TV universe. No spam, ever. Things got nastyand personal. Sooks salary and bonus averages out to $7.5 million a year for 2017 and 2018. In turn, our portfolio of local and national media assets now provides nationwide reach on par with other broadcast networks, combined with local activation at a greater scale than any other broadcast network owner creating a differentiated and highly attractive value proposition for advertisers, brands, content owners in an increasingly fragmented marketplace. But -- so there is revenue flowing from ancillary uses of our spectrum today. The Texas Association of Broadcasters' 2006 Broadcaster of the Year has been an industry innovator since he began his career more than 25 years ago. Full year net revenue, adjusted EBITDA and attributable free cash flow reached new all-time highs. The CW generates revenue primarily from national television and digital advertising, distribution fees from affiliates and virtual MVPDs as well as some short-term continuing revenue from licensing content to an SVOD player. Thank you very much for your participation, and have a good day. So our job now is to continue to increase the profile, relevance and interest in the programming, offer more varied programming and sports is obviously a big piece of that, that can put us more on par with the other network choices that are out there. Super PAC $ 450,000, $ 300,000 from the company was founded in 1996 perry. In Fresno, Nexstar owns a huge swath of local television stations 191! D-Calif. ) the backbone of those 5,400 journalists sprinkled around the country on our reported... 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