Sinclair, Cunningham Rework LMA Deal

By Andrew Gauthier 

Broadcasting & Cable

Sinclair Broadcast has entered into a non-binding memorandum of understanding (MOU) with Cunningham Broadcasting to rework its local marketing agreement (LMA) deals with Cunningham.

The two Maryland-based companies are closely aligned, with various members of the Smith family owning the bulk of both broadcasters. The LMAs with the six Cunningham stations earn Sinclair about $70 million annually. In July, Sinclair execs said Cunningham could drag both into bankruptcy if Cunningham were to default on its loan.


Cunningham is still facing “significant financial and economic challenges,” said Sinclair in an 8-K form, with a significant debt balance due Oct. 30, after multiple extensions. The approaching deadline prompted both parties to restructure their arrangement. More…