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Report on Chain Broadcasting, U. S. Federal Communications Commission, May, 1941, page 29:


V.  REGIONAL  NETWORKS

    In addition to the three national network organizations, there are a number of networks serving particular States or areas. These regional networks operate in much the same manner as the national networks but with much smaller coverage and revenues. Evidence concerning the following 13 regional networks was introduced at the hearings in this proceeding:
 
Name of networkYear
established		Area served
California Radio System.
Yankee Network, Inc.
Colonial Network, Inc.
Don Lee Broadcasting System.
Pacific Broadcasting Co.
Michigan Radio Network.
Texas State Network.
Arrowhead Network.
Empire State Network, Inc.
Inter-City Broadcasting System.
Pennsylvania Network.
Texas Quality Network.
Virginia Broadcasting System, Inc.		 1936
1930
1936
1932
1937
1933
1938
---
1938
1935
1938
1934
1936		 California.
New England
      Do.
California, Oregon, and Washington.
Oregon and Washington.
Michigan.
Texas.
Northern Minnesota.
New York State.
Cities in Northeastern States.
Pennsylvania.
Texas.
Virginia.

    The first seven regional networks listed above are permanent organizations, have contractual relationships with their outlet stations resembling those of the national networks, and do a substantial amount of business. The following table gives a bird's-eye view of the relative importance in 1938 of these seven regional networks:
 
Name
Number
of sta-
tions
Other network affiliations
Network net
time sales
(after agency
commissions)
California Radio. 
Yankee. 
Colonial. 
Don Lee. 
Pacific. 
Michigan Radio. 
Texas State Network. 		  9
 17
 14
 28
 14
 9
 23		 None as network, but 6 stations individually affiliated with NBC. 
None as network, but 9 stations individually affiliated with NBC. 
Mutual. 
      do. 
Don Lee and Mutual. 
Basic Blue network of NBC. 
Network affiliated with Mutual; 4 stations also outlets for NBC and 1 for CBS. 		  $109,848
 564,225
 190,758
 547,077
1 125,825
 133,314
2 79,468
    1 Fiscal year ending Sept. 30, 1938.
    2 Sept. 15, 1938, to Jan. 31, 1939.

    As the above table indicates, most of the stations on these major regional networks also carry the programs of a national network. Indeed, most of these regionals are affiliated with a national organization on a network basis.
    The other six regional networks are of relatively minor significance. Several of them were temporary, their relations with their affiliates are rather loose, and the business accounted for by them is small.
    The history, operations, station relations, and finances of all 13 regional networks are described in detail in Appendix D to this report.
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