STATIONS, INCLUDING PROGRAMMING EDITORIAL POLICIES, EMPLOYEES
OF STATION LICENSEE AND STATION LICENSEE-CONTROLLED FACILITIES.
STATION
LICENSEE SHALL BE RESPONSIBLE FOR, AND SHALL COMPLY IN ALL MATERIAL RESPECTS
WITH ALL APPLICABLE PROVISIONS OF THE COMMUNICATIONS ACT, THE FCC RULES AND ALL
OTHER APPLICABLE LAW WITH RESPECT TO THE OPERATION OF THE STATIONS.
STATION
LICENSEE SHALL FILE IN A TIMELY AND COMPLETE MANNER ALL REPORTS AND APPLICATIONS
REQUIRED TO BE FILED WITH THE FCC OR ANY OTHER GOVERNMENTAL BODY.
(B)
STATION LICENSEE SHALL MAINTAIN IN EFFECT POLICIES OF INSURANCE INSURING
THE ASSETS AND THE BUSINESS OF THE STATION IN ACCORDANCE WITH GOOD INDUSTRY
PRACTICES.
(C)
STATION LICENSEE SHALL USE, OPERATE, AND MAINTAIN ALL OF ITS ASSETS IN A
COMMERCIALLY REASONABLE MANNER.
IF ANY LOSS, DAMAGE, IMPAIRMENT, CONFISCATION
OR CONDEMNATION OF ANY OF SUCH ASSETS OCCURS, STATION LICENSEE SHALL USE
COMMERCIALLY REASONABLE EFFORTS AND COOPERATE WITH SALES AGENT TO REPAIR,
REPLACE, OR RESTORE THE ASSETS TO THEIR PRIOR CONDITION AS SOON THEREAFTER AS
POSSIBLE, AND STATION LICENSEE SHALL USE THE PROCEEDS OF ANY CLAIM UNDER ANY
INSURANCE POLICY TO REPAIR, REPLACE OR RESTORE ANY OF THE ASSETS OF THE STATIONS
THAT ARE LOST, DAMAGED, IMPAIRED OR DESTROYED.
(D)
STATION LICENSEE SHALL BE RESPONSIBLE FOR PAYMENT OF ALL OPERATING COSTS
OF THE STATIONS (EXCLUDING THOSE COSTS TO BE BORNE BY SALES AGENT IN ACCORDANCE
WITH SECTION 5.2), INCLUDING THE COST OF ELECTRICITY, OTHER UTILITIES AND RENTAL
OR OTHER PAYMENTS WITH RESPECT TO ANY REAL PROPERTY LEASED BY STATION LICENSEE,
TAXES, THE SERVICES FEE (AS DEFINED IN THE SHARED SERVICES AGREEMENT) AND THE
SALARIES, INSURANCE, AND OTHER COSTS FOR ALL PERSONNEL EMPLOYED BY STATION
LICENSEE AND, WITHOUT LIMITING THE FOREGOING, SHALL PAY ALL OTHER STATION
EXPENSES.
PROMPTLY FOLLOWING THE BASE DATE, BUT IN NO EVENT MORE THAN THIRTY
(30) DAYS THEREAFTER, STATION LICENSEE SHALL PROVIDE SALES AGENT COPIES OF THE
OPERATING BUDGETS OF THE STATIONS (COLLECTIVELY, THE
9
"OPERATING BUDGET"), WHICH SHALL REFLECT STATION LICENSEE'S GOOD FAITH BUDGET OF
REASONABLE AND CUSTOMARY CAPITAL AND OTHER EXPENSES NECESSARY TO THE OPERATIONS
OF THE STATIONS AND NOT OTHERWISE CONTEMPLATED BY THE DESIGNATED EXPENSES, AS
DETERMINED BY STATION LICENSEE IN ITS SOLE DISCRETION.
STATION LICENSEE SHALL
PROVIDE UPDATED COPIES OF THE OPERATING BUDGET EACH YEAR DURING THE TERM,
IDENTIFYING ADJUSTMENTS FROM YEAR TO YEAR.
(E)
SUBJECT TO THE OBLIGATIONS OF SALES AGENT, STATION LICENSEE SHALL PAY WHEN
DUE ALL MUSIC RIGHTS PAYMENTS (INCLUDING, WITHOUT LIMITATION, MUSIC PERFORMANCE
RIGHTS, SYNCHRONIZATION RIGHTS, AND MASTER USE RIGHTS), IF ANY, IN CONNECTION
WITH THE BROADCAST AND/OR TRANSMISSION OF ALL ANNOUNCEMENTS, INCLUDING THE
ADVERTISEMENTS, AND PROGRAMMING ON THE STATIONS, OTHER THAN THE DELIVERED
PROGRAMMING.
(F)
STATION LICENSEE SHALL BE SOLELY RESPONSIBLE FOR ALL COSTS AND
EXPENDITURES ASSOCIATED WITH THE PROCURING OF PROGRAMMING TO BE AIRED ON THE
STATIONS, OTHER THAN THOSE ASSOCIATED WITH THE DELIVERED PROGRAMMING.
STATION
LICENSEE SHALL PAY OVER TO SALES AGENT ALL FUNDS RECEIVED BY STATION LICENSEE
EACH YEAR FROM THE NETWORK AND ANY OTHER PROGRAM SYNDICATOR OR SUPPLIER FOR
PROMOTION OF THE NETWORK AND OTHER PROGRAMMING ON OTHER STATIONS