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Sun Nov 18, 2012, 12:42 PM

The Rush Limbaugh advertiser backlash is knocking down the radio networks [View all]

The Rush Limbaugh advertiser backlash is knocking down the radio networks

The Cumulus and Dial Global radio networks have been adversely impacted by the advertiser boycott
The Rush Limbaugh Show is distributed to 600 radio stations via several radio industry networks. The show is syndicated by privately-held Premiere Networks, which contracts with Cumulus Media, Dial Gobal, and other networks to secure broad access in as many media markets as possible.

On Friday, November 16, Dial Global took a huge financial hit, resulting in the company voluntarily de-listing from NASDAQ. Dial Global's stock dropped by nearly 77 percent. The company identified three causes for its troubles, including "advertisers' response to controversial statements by a certain nationally syndicated talk radio personality in MARCH 2012."

Now, it is becoming apparent that Cumulus is also a troubled company. Dial Gobal appears to be on the ropes; Cumulus is, so far, failing to thrive. Both companies have publicly blamed Rush.

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