Westwood One and MarketWatch.com, publisher of financial news Web site CBS.MarketWatch.com, said Thursday they'll launch a 24-hour financial radio network later this month.
The CBS.MarketWatch.com Radio Network will provide market updates to radio stations across the country, the companies said. Correspondents for the network will broadcast from a new MarketWatch.com bureau at the New York Stock Exchange, along with existing bureaus in New York, Washington, Los Angeles, London and San Francisco.
MarketWatch.com (MKTW) shares were up 5/16 to 62 3/4 at midday, as Westwood One's stock (WON) added 7/16 to 25 3/8.
First Albany analyst Joel Krassner said the pact allows MarketWatch.com to extend its reach to "several million additional people," given Westwood One's standing as the nation's largest radio network. He added that the deal "adds credibility" to the MarketWatch.com brand name.
Krassner said he assumes MarketWatch.com can generate revenue from the new agreement. "Although it may not be significant, it's nevertheless going to be incremental," the analyst said.
MarketWatch.com President and Chief Executive Larry Kramer said radio "is a perfect vehicle for us to leverage the substantial reporting and editing talent [the company has] brought together at CBS.MarketWatch.com."
Joel Hollander, Westwood One's president and chief executive, said his company is "pleased to work with such innovative partners and offer this exciting opportunity to ... advertisers and affiliates."
Westwood One provides various broadcast services to more than 5,000 radio stations worldwide. It's managed by Infinity Broadcasting (INF), the radio and outdoor arm of CBS Corp. (CBS). CBS owns a significant stake in MarketWatch.com.
The radio network will come under the direction of MarketWatch.com's editor-in-chief, Thom Calandra, and Radio Managing Editor Frank Barnako. The two said their online columns, StockWatch and Internet Daily, will be broadcast on the network.
"I think this is all about the convergence of real-time financial news on the Web and across radio," said Barnako, who broadcasts Internet Daily for CBS radio stations. "I think the two, radio and the Web, are very similar in the way they deliver news fast."
Calandra said the service initially will be broadcast on 20 to 30 stations in the United States.
Written By David B. Wilkerson, CBS MarketWatch