iHM's Restructuring Called 'Bloodbath'

iHeartMedia’s layoffs of hundreds of employees this week in a self-described move to modernize the company most likely means two things: A shift in emphasis from AM-FM airwaves to apps, streaming and podcasts; and an increase in centralized, syndicated programming rather than live, local DJs. 

“You’re simply taking content that someone has already produced and pushing it out someplace else on another channel — there’s a lot more money in that,” says Gordon Borrell, CEO of broadcast-analyst firm Borrell Associates. “Say what you want about iHeart, but they’re making some pretty smart and strategic decisions to stay afloat and morph in what’s becoming a difficult media environment.”

Billboard reports this week’s layoffs, part of what former employees have called a “a bloodbath” cut deeply into iHeart radio stations around the U.S., particularly those in “mid-major” markets such as Pittsburgh and Asheville, North Carolina, The deep and unexpected cuts have shocked record labels’ radio-promotions departments, who have lost many of their long-standing relationships. “When you’re talking to the market guy, he’s saying, ‘They let go of all these people and I’m running an automated system right now,'” says a label source who frequently works with iHeart. “Which is a shame because there is a huge need for something more local.”

iHeart reps wouldn’t comment on the number of layoffs or discuss strategy, other than releasing a statement that says in part, “This is another step in the company’s successful transformation as a multiple platform 21st century media company, and we believe it is essential to our future.”

iHM released a statement to Billboard Thursday afternoon, “Our goal is to provide our listeners with the best listening experience they can find anywhere — including improved locally-focused programming. The changes we made are designed to do that; we are using our resources and technology to better serve our listeners.”

The label source suggests iHM is trying to move into the “Spotify and Pandora side,” by structuring its business more like a digital or streaming service than a traditional radio station. In turn, it is drastically cutting smaller stations while feeding content from the bigger markets into iHeartRadio, which has 128 million users, and other digital apps. “It just doesn’t take a lot of money to do that” the source says.

Here’s a rundown of just some of this week's reductions:

Mojo McKay has been laid off from his longtime job at WRKT-FM/Rocket 105 in Erie, PA
• In Orlando at WTKS Real Radio 104.1: Carlos Navarro departed as co-host of Monsters in the Morning after 20 years
• Stand-up comedian Rauce Padgett, co-host of PM Drive The Jim Colbert Show, has departed.
• Rameen Madani: Left his position as Program Director of Hot AC “Mix 96.9” KMXP and CHR “104.7 Kiss-FM” KZZP Phoenix.
• Joey Bradfisch: Exited mornings at “Mix 96.9” KMXP in Phoenix after fourteen years.
• Jeff McCartney: Departed as SVP/Programming in Salt Lake City after 26 years.
• Dave Ashcraft: Exited as Regional SVP/Programming based in Fayetteville, AR. His experience includes running clusters for iHeart in Texas and Arkansas.
• Paul Fletcher: Left his role at AAA “Cities 97.1” KTCZ Minneapolis.
• Karla Cantrell: Out as Program Director and afternoon host at Country “106.1 The Twister” KTGX Tulsa. She previously spent time at “K95.5” KWEN in Tulsa.
• At 94.5 WPTI in Greensboro Assistant Program Director Kyle Presley has departed.
• Previous news/talk departures include 1360 KKTX in Corpus Christi PD Sam Eulenfield and
• Don Cristi, Senior Vice President of Programming in Oklahoma City and Tulsa
• Jeffrey ‘JR’ Ramsey: Exited as APD/afternoon host at “Hits 95.7” KDHT Denver.
• Carletta Blake: Out as Program Director of Country 99.5 WGAR Cleveland. She had been with WGAR since March 2019, handling various time slots.
• Jimmy Malone: Departed from his 9 am hour show on News/Talk 1100 WTAM Cleveland. Prior to WTAM, he had a long run in mornings on WMJI.
• Jena Emmert exits as Madison WI cluster Production Director and evening host at CHR “Z104”.
• Andy Woods out as APD/afternoon host after nineteen years at Country 97.5 WCOS Columbia SC.
• Jamie Martin exits as midday host at Country “KJ 97” KAJA San Antonio
• In Akron, Newsradio 640 WHLO Program Director Josh Nagy exits. In addition to programming the news/talk brand, he also oversaw a classic hits station and the new country station at the cluster he joined in 2019