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WOLF BACKS OFF FROM INTRODUCTION OF BILL ON BROADCAST LIQUOR ADS

Rep. Wolf (R-Va.) will hold press briefing today (Thurs.) to address broadcast liquor advertising, but isn’t ready to introduce legislation, staffer said. Although staffer acknowledged earlier in day that legislation was being considered for possible introduction Thurs., she said later that news conference would only address need for legislation in near future. Broadcast industry source said it remained unclear whether Wolf bill would seek to ban liquor ads on TV or would propose Dept. of Justice inquiry into issuer.

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Broadcast source said any proposed ban would raise issue of free speech rights, which he predicted would result in fallout on Hill. He said that once restrictions were proposed for one industry or product, rights of all industries potentially were threatened. If Congress banned liquor ads, beer ad ban could be next, jeopardizing major income source that supports local programming, he said.

In defense of NBC TV decision to start accepting ads for hard liquor (CD Dec 17 p7), Pres. Randy Falco said “real issue” was “how to regulate a body of advertising that has been growing rapidly without any real regulation at all.” NBC standards for liquor ads, he said in Wed. op-ed piece in Washington Post, “are more stringent than for any other product category.” He said distiller advertising on NBC must commit in advance to 4 months of “100%-paid branded social responsibility messages” before it can begin advertising product directly. After 4 months, he said, liquor advertiser must continue to devote at least 20% of its commercials to such “social responsibility themes as designated drivers.” Falco said there’s “no scientific or sociological study” that ties hard spirits advertising with either increased consumption or alcohol abuse. TV Bureau of Advertising (TvB) official said “it’s a little too early to tell” whether NBC decision will result in major increase in number of TV stations (now estimated at about 400 by Distilled Spirits Council) accepting hard liquor commercials.

Meanwhile, Council -- which has been selling concept of liquor ads to TV stations since voluntary ban was removed 5 years ago -- is negotiating with TvB to exhibit at latter’s March conference in N.Y. in association with Auto Show. Liquor industry spends $350 million annually on advertising in U.S., mostly print, with broadcasting and cable getting 15% of total. Before accepting advertising for Smirnoff vodka on Sat. Night Live, NBC officials told congressional leaders of network’s plans and didn’t receive strong adverse reaction, with exception of Rep. Markey (D-Mass.), we're told. However, Rep. Wolf (R-Va.), chmn. of House Appropriations Subcommittee with jurisdiction over FCC, has since disclosed plans to introduce bill banning broadcast of hard liquor ads. Several public interest and children’s advocacy groups also have attacked NBC. Decision to accept liquor ads “exposes the false promise of self-regulation,” wrote Joseph Califano, pres. of National Center on Addiction & Substance Abuse. He charged NBC’s liquor ad guidelines were “a sham with more holes than a brick of imported Swiss cheese.” American Medical Assn. called NBC decision “shockingly irresponsible” and urged other networks to continue to decline liquor ads.