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radio underWest inghouse deal puts a stamp on regional marketsNE W YORK (AP) —CBSowner West i nghouse Electric Corp. bolstered its standing as the nation’s biggest radio-sta-tion owner yesterday with a deal to buy American Radio S' stems Corp. for $1.6 billion.Boston-based American Radio, the fifth-largest radioAmerican radio owns WEEI and chase will boost Westinghouse’sWRKO on the AM dial and WAAF, WEGQ (Eagle 93.7) and WMBX (Mix 98.5).The deal comes four daysradio-station revenue to $1.5 billion this year, just above Hicks Muse’s $1.4 billion,according to projections byafter Westinghouse announced industry publisher Duncan’sthe sale of its Thermo-Kingrefrigeration business for $2.56 billion in part to raise cash for more acquisitions to keep with the rash of radio takeovers.Late last month, Westing-house’s closest rival, Hicks Muse Tate Furst Inc., announced a $1.2 billion takeover of SFX Broadcasting Inc., a target sev-company, owns or is buying 98 eral radio companies includingstations, which will bring Westinghouse’s total to 175.In the Boston radio market.Westinghouse had prized. Hicks Muse is affiliated withmajor radio companies CapstarAmerican Radio Inc.Westinghouse, which bought Infinity Broadcasting last year, is offering $44 a share for American Radio, below its current stock price. But American Radio plans to spin off its radio-tower business before the sale is completedAmerican Radio stock fell $1,06 4 to $50.81in afternoon trading on the New York Stock Exchange, while Westinghouse shares climbed 371 cents tothe deal puts many of the top sta- Broadcasting Corp. and Chancel- $26.37L.t ions under one company. West- lor Broadcasting Co., which isWestinghouse is also assum-inghouse owns WBZ-AM, WZLX- merging with Evergreen Media. ing about $1 billion in debt asFM, WBCN-FM and WODS-FMThe American Radio purpart of the deal.
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