Radio station owners scored a big victory this week when the Senate added an amendment to legislation expected to be signed by President Clinton that could result in a flood of new advertising.
The amendment loosens the consumer notification requirements in advertising that relates to automotive leases and loans.
Current law requires terms such as “no money down” to carry consumer disclosure lingo that is often impossible to place in radio advertising because it would have to be read aloud as part of the commercial.
Under an amendment added to a banking bill late Wednesday, the Senate eased the requirement. National Assn. of Broadcasters prez Eddie Fritts said passage of the bill “marks one of the most significant radio-only legislative accomplishments in several years.”
Fritts predicted radio stations could reap between $ 20 million to $ 50 million in new advertising as a result of the legislation, which President Clinton has indicated he will sign.