Let s talk about television in Austin VP & GM KEYE TV

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1 Let s talk about television in Austin Amy Villarreal VP & GM KEYE TV CBS Telemundo Judy Maggio Anchor KEYE TV CBS

2 Households per County Metro DMA Counties TRAVIS 387,340 WILLIAMSON 153,140 HAYS 53,950 BASTROP 24,810 CALDWELL 11,720 Hispanic households 163, % #22 Black-American households 47, % #73 Asian households 33, % #28 Total Market Income: $91,350,113,500 Median Household Income: $48,555 Median Home Value: $ Median Miles-Per-Week: 140 Median Age: 42 Data Source: The Media Audit 2012 Local DMA Counties Local DMA County BURNET 15,940 GILLESPIE 10,140 FAYETTE 9,500 LLANO 8,650 LEE BLANCO MASON 5,850 4,160 1,630 Metro DMA County Mason Llano Burnet Williamson TOTAL HOUSEHOLDS 686,830 Gillespie Blanco Hays Travis Bastrop Lee Caldwell Fayette

3 2 ways we look at TV in Austin There are 212 TV Markets we are #45 Nielsen Approx 400 meters in peoples homes that represents a slice of the population This information is extracted daily and gives us a daily look at what people are watching Rentrak Approx 18,000 homes that participate. People who have Dish and AT&T make up this data group More accurate because it is a daily sample that is larger.

4 Viewing Patterns Primetime 7p-10p is the highest viewing part of the day for television. Morning news is the fastest growing daypart 9a-3p is the highest viewing part of the day for keyetv.com/facebook and twitter

5 The digital conversion Can create a free over the air cable system Before conversion KEYE (CBS) KVUE (ABC) KXAN (NBC) 4. (WB) 5. (MY TV) KAKW (Univision) 7. 2 KTBC (Fox) After the conversion KEYE (CBS) Telemundo KVUE (ABC) TV Estrella KVUE Weather KXAN ( NBC) KNVA(WB) KBVO(MyTV) KAKW (Univision) KTBC (Fox)

6 The Biggest Threat to Broadcast Television Today

7 There are now more mobile devices in Austin than in San Francisco Video is still king and now we are evolving on how we push and pull information.

8 And social media is important to how we push an pull information. but which medium do we focus on? Twitter FACEBOOK Foursquare Instagram Vine You Tube Linked In Pinterest Last FM I m eating a #donut I like donuts This is where I eat donuts Here s a vintage photo of my donut Here s a short video of my donut Here I am eating a donut My skills include donut eating Here s a donut recipe Now listening to donuts

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10 What do we cover?

11 DUAL SCREEN VIEWING 64% of tablet owners say they get news on their devices weekly and 37% report they do so daily, according to a survey conducted by the Pew Research Center and the Economist Group. The trend is nearly identical for smartphone owners 62% get news on their device weekly and 36% do so daily. For news operations, this means creating and maintaining news for consumption on more platforms than ever. Most mobile news users are not replacing one platform with another; they are consuming more news than they had in the past. More than half of tablet news users, some 54%, say they also get news on a smartphone; 77% also get news on a desktop or laptop computer

12 How has covering the news changed in the last 10 years?

13 SOCIAL MEDIA 10 years ago we broke stories by being the first on the air with them. Now it's who gets the first tweet out or has the first web story or Facebook post. That's where you win the big story now. Sure you have more eyes on the 10 pm news but for bragging rights its social media.

14 DOMINATION OF CABLE TELEVISION Even 10 years ago in 2003 more people were watching cable than broadcast networks in part because of quality programs on channels like HBO. Before cable when I started in the business in the early 80's there were only 3 stations in town doing news. There were nights when we actually had a 40 share of the audience watching our 10 pm news. Now we are thrilled to get an 8 share. On a typical night we aren't losing nearly as many viewers to our competitors doing news we're losing them to cable.

15 TIVO/DVR ERA BEGAN This was a huge game changer. Let's face it it has drastically altered how we all watch TV. Working nights I love it it's convenient I can watch my favorite shows when I want to. But it's not very healthy for local news it's one more source of competition. I'll never forget the late great Liz Carpenter the humorist and writer who was Lady Bird Johnson s press secretary told me a few years before she died I use to watch you at 10 but now I either watch the Daily Show or Seinfeld re-runs I've recorded. Ouch. But she was honest.

16 THE INTERNET Here's the flip side yes some people watch television on their computers sometimes TV news. But with HDTV TV sets are bigger and better than ever and thankfully people still enjoy watching programs even news programs in high definition on big sets. It's just more entertaining.

17 ICONIC NEWS ANCHORS ARE FADING AWAY This is a tough one for me to swallow because many of the television journalists I idolized as a young broadcaster are retired or dead. Most have left the stage. Walter Cronkite died in 2009 Dan Rather was pushed out at CBS. Peter Jennings died in 2005 Tom Brokaw and Ted Koppel are retired. Network news has less of an impact and the public's trust is a bit shattered because you find less and less non-biased news media on the 24 hour cable cycle.

18 REGULAR NEWS VIEWERS ARE GROWING OLDER A result again of so many of the things we've already discussed. Our target news viewer is 44 and female. Young Americans are more likely to get no news at all (about a fourth of people under 30 say they don't pay much attention to news) Of those who do get news regularly --- half go to multiple sources.

19 WOMEN ARE A "CERTAIN AGE" ARE ACCEPTED. Guess what since television news viewers are growing older it's okay for female anchors to grow old too. This is my favorite change! Lesley Stahl at CBS is 71 and Diane Sawyer is in her 60's and they are still going strong. It's even happening in the entertainment business with folks like Holly Hunter and Glenn Close on hit cable shows.

20 Television is going through an evolution and luckily we are sitting in the best position of continued growth and success as video is KING. Whether viewing is online, on air, via cable or satellite, we are the only medium that can provide a medium that satisfies all senses. Thank you supporting your local and free over the air broadcast stations in Austin!