US media expects 2016 money flood

The United States media companies expect unprecedented revenue from 2016 political advertisement.

For the sake of revenue, media companies may even fight against reforms designed to make the American election system cleaner.

Peter Liguori, the chief executive of Tribune Company, said earlier this month that the next presidential campaign presents "enormous opportunity" for advertising sales. Speaking at a conference hosted by J.P. Morgan Chase, Liguori, whose company owns television stations and a number of newspapers, including the Los Angeles Times, referenced Super PAC spending as a key factor for why he thinks Tribune Co. political advertising revenue will rocket from $115 million in 2012 to about $200 million for the 2016 campaign cycle.

Vince Sadusky, the chief executive of Media General, the parent company of 71 television stations across the country, told investors in February that his company is positioned to benefit from unlimited campaign spending. "We are really looking forward to the 2016 elections with spending on the presidential race alone estimated to surpass $5 billion."

In 2012, Les Moonves, president and chief executive of CBS said, "Super PACs may be bad for America, but they're very good for CBS." His views appear unchanged. In a February investor call, Moonves predicted "strong growth with the help of political spending," particularly on television. He added dryly, "looking ahead, the 2016 presidential election is right around the corner and, thank God, the rancor has already begun."