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Broadcasting industry

Barnes & Noble Indicted on Child-Pornography Charges; CBS Faces Olympic Ratings Crisis

Strategic Insights

— 2 min read

Allegations of distributing child pornography have surfaced against Barnes & Noble, the largest bookseller in the United States, following complaints about the sale of books featuring nude children. The state of Alabama has levied charges against the company, with 32 counts of disseminating obscene material. Meanwhile, CBS is facing a crisis with the Winter Olympics telecast, which has seen a significant drop in ratings since the start of the event. As a result, CBS will offer free advertising time to its clients to make up for the shortfall.

Key Takeaways:

  • Barnes & Noble has been indicted on 32 counts of disseminating child pornography related to the sale of two books featuring nude children.
  • The charges came after complaints were made about the sale of "The Age of Innocence" by David Hamilton and "Radiant Identities" by Jock Sturges at Barnes & Noble stores in Alabama.
  • The indictment accuses Barnes & Noble of violating Alabama's laws against distributing obscene material.
  • A separate indictment in Tennessee was made against the bookstore chain in November, also related to the same books, but this case has yet to go to trial.
  • Jock Sturges, the photographer at the center of the controversy, has defended his work, stating that the photographs are not done in a flirtatious manner and have been displayed in major museums worldwide.
  • CBS is offering free advertising time to make up for a shortfall in ratings during the Winter Olympics telecast, which has seen a 41% drop in ratings compared to the 1994 telecast.
  • The network has paid $375 million for the right to broadcast the Winter Games and is blaming outside circumstances for the disappointing numbers, including the weather and lack of U.S. medal contenders.
  • Private Issue, a credit card company, is slashing its rewards program benefits, with some analysts reporting a 9% earnings decline from the credit card division in 1997.
  • Duracell has launched a new line of extra-powerful AA and AAA alkaline batteries, the Duracell Ultra, which is designed to last up to 50% longer.

Statistics:

  • 32 counts of disseminating child pornography against Barnes & Noble in Alabama.
  • 15 counts against Barnes & Noble for the sale of "The Age of Innocence".
  • 17 counts against Barnes & Noble for the sale of "Radiant Identities".
  • 41% drop in ratings for the Winter Olympics telecast compared to 1994.
  • $375 million paid by CBS for the right to broadcast the Winter Games.
  • 2% cash-back reward offered by Private Issue credit card being slashed as of March 1.
  • 9% earnings decline from the credit card division at Morgan Stanley, Dean Witter, Discover & Co. in 1997.

Sources:

  • Associated Press
  • Barnes & Noble (no date)
  • CBS (no date)
  • Private Issue (no date)
  • Duracell (no date)

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