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Many CBS sales executives are no longer in favor of any summer holidays for any sponsors. But President William Samuel Paley was once a sponsor himself, became interested in radio when he used it to boost sales of the La Palina cigars his father manufactured. In 1928 he bought himself CBS, built up its station membership until he now controls some 1,600 air hours a day. He sells a goodly slice of these 1,600 hours, but has by no means all for sale. Deductions must be made for: 1) Time differences across the continent. 2) Time given to sustaining programs like the New York Philharmonic-Symphony's Sunday afternoon concerts. 3) Time which member stations have sold locally and withdrawn from network participation.
Ten years ago, when Congress Cigar Co.'s Son & Heir Bill Paley became CBS's 27-year-old president, it was a puny network. Although irreverent young employes stealthily called him Pale Billy (purely a trick of transposition, for he likes hot countries, bright sunlight, is usually healthily bronzed), in three months he tightened CBS's contracts with its affiliates, gathered 22 more stations into his network, refused to sell CBS to Paramount Publix Corp. for $1,500,000. Nine months later he sold Paramount Publix a half interest for $5,000,000, within three years bought the half interest back for $5,200,000.
A publisher puts on a show in which advertisers are invited to participate by inserting announcements promoting their products. In radio, the advertiser not only does his own announcing, he puts on his own show. Time was when the networks had a larger part in finding and developing talent for advertisers to buy. President Paley takes credit for "discovering" Kate Smith, Morton Downey, Bing Crosby. But more recently advertising agencies have found how to do this job for themselves, need less help from the networks. Nevertheless, President Paley is still very much in show business. About five-eighths of Columbia's time is sustaining, must be filled with free shows. CBS prides itself on its dramatic workshop, its spot-news coverage and particularly on the American School of the Air, its new adult education campaign.
Capable of the greatest excitement over either business or fun, tall (6 ft.), heavily handsome President Paley has run through watercolor painting, oil painting, motorboating, airplanes, photography in rapid succession. He rushes at business with the same enthusiasm, somewhat deceptively because the impetuosity breaks down into shrewd caution whenever necessary. When anything important is at stake he chooses his words with astute grace, but he prefers the free extravagance of mixed metaphors. A favorite phrase: "Not a red dime." Youngest and oldest chief executive in the network business, he has come a long way from cigars. He now smokes cigarets.
* Direct-mail advertising, throwaways, radio talent and production costs are not included.