The Federal Communications Commission has fined two TV stations in Minnesota and New Jersey for airing video news releases without properly identifying the sponsor.
The action stems from nearly five-year-old complaints filed by the non-profit groups Free Press and frequent PR critic the Center for Media and Democracy in 2006.
One segment promoted Zicam cold remedy marketed by Matrixx Initiatives and was aired on KMSP-TV, a Minneapolis Fox affiliate, in October 2006. The VNR was produced by D S Simon Productions.
The station argued that its airing was within FCC guidance on VNRs and that the segment was indentified as sponsored by a local hospital and carried a disclaimer that the hospital did not produce the spot. It also said it received no consideration, so further identification was not required.
The second piece was a VNR from General Motors and aired as part of a news report in June 2006 on WMGM-TV in Wildwood, N.J. The VNR was supplied by Fox’s video service, Fox News Edge.
The FCC said Fox objected to its inquiries as an “encroachment on the station’s editorial discretion.” The station said no sponsorship identification was required as no consideration was promised or given. It also noted the FCC has recognized that broadcasters are not required to make sponsor announcements when news releases are used with editorial comment.
The FCC said the airing showed 12 shots of GM cars and no other brands.
Transcripts of the two segments in question are below.
FCC enforcement bureau chief Michele Ellison handed down the fines.
The FCC in a March 24 enforcement action assessed $4,000 fines against the two stations.
“If the news business wants to know why they’re losing readers and viewers, they should look at decisions like this,” Free Press managing director Craig Aaron said in a statement. [Free Press has posted the enforcement decisions (PDF) here and here.]
KMSP-TV Report:
[Reporter] A national survey by Harris Interactive, shows only nine percent of travelers over the age of thirty say they feel very knowledgeable about how to treat the common cold. This is especially important as we begin the cold and flu season and one of the biggest travel times of the year.
[Voiceover] Nearly two-thirds of U.S. travelers [thirty] and over say they are somewhat or not at all knowledgeable about treating the common cold, according to the new Zicam Travel Well Survey conducted by Harris Interactive. Yet [two] out of [five] travelers surveyed say colds have negatively impacted their trips.
Allison Janse wrote Germ Freak’s Guide to Outwitting Colds & Flu, she says being a mother of premature twins made her start researching how to avoid germs.
[Caption: Allison Janse, Author] You can do everything I say in my book. You can eat right, exercise, walk around in a bubble suit. But, eventually, you’re gonna get sick. And in m[y] research, I found that homeopathic zinc products can shorten the duration of your illness.
[Voiceover] Travelers are at [an] increased risk of getting sick because of things like greater exposure to viruses, stress and other variables. The survey showed [four] in [five] of the U.S. travelers surveyed believe the worst time to catch the common cold is while traveling.
Dr. Mark Siegel of New York University says that obtaining relief is possible, but that it’s important to begin treatment as soon as symptoms occur.
[Caption: Dr. Marc Siegel, New York University] There is no cure for the common cold. But there are some things you can do to get better. Especially in the first 48 hours. You can take an intranasal zinc preparation, like Zicam. To cut down on the severity and duration of symptoms. You can also take a decongestant. Get more rest. Drink some chicken soup. And sleep.
[Voiceover] Nearly [ninety] percent of the U[.]S[.] travelers survey [sic] say reducing the duration of the common cold would be important or very important for treating the common cold but only [thirty-three] percent of those travelers who typically use over the-counter medications to treat the common cold, have used a zinc cold remedy.
[Allison Janse] I think the survey showed me that people really need help figuring out how to treat a common cold when they’re on the go. For instance, most people don’t know that zinc products are available to help them. I mean, yes, we’d like to avoid all germs and never get sick, but that’s not gonna happen. If you do get sick, there are things you can do to fight back.
[Reporter] To see this report again or to find out more about zinc as a treatment for the common cold, go to our website, [www.nbc40.net], click on Health and then [go to] Lifeline.
WMGM-TV Report:
Voiceover: Thinking of getting a convertible now that summer is here? Well think fast.
The buzz around this year’s convertibles, many brand-new and affordable, means there
may not be many left.
[Caption: Bob Lutz, General Motors] “The Solstice is sold out. The Sky is sold out.
The Pontiac G6 convertible is sold out.”
Bob Lutz, who has worked at all three domestic manufacturers, is now the head of product development at General Motors. He was hired 5 years ago to revive GM’s much criticized product line – and the hope is that the success he’s had bringing these new convertibles to market will continue across the entire company.
[Caption: Jean Jennings, Automobile Magazine] “Does General Motors have the ability to make cars that people want? Yes they do. It’s absolutely clear. This is the key to their survival and on top of that, I have seen, as many journalists have, cars that are scheduled for the next couple of years and I’ll tell you that if those cars were on the road right now today, I don’t think they’d be in this jam at all.”
But Lutz knows [that] making higher quality automobiles is only part of the equation – changing a generation[’]s worth of less-than-favorable opinions is the real battle.
“What we’re seeing is the old beliefs about General Motors, which we probably earned over twenty, twenty-five years. The old beliefs of all our cars look the same, our quality isn’t very good, the vehicles use a lot of gas, none of that stuff is true anymore but these perceptions linger.”
However[,] the good looking convertibles coming from GM may be changing that perception, as well as the company’s fortunes. America’s largest manufacturing company actually turned a profit in the first quarter of ‘06. […].