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* President has campaigned heavily for reform
* Bill sparked intense battle between government, media
* Limited political benefit seen for Argentine leader (Updates with debate details, paragraph 4; quote, paragraph 13)
By Kevin Gray
BUENOS AIRES, Oct 9 Argentina's Senate is expected to pass President Cristina Fernandez's broadcast reform bill on Friday, handing her a political victory that will do little to revive her sagging popularity.
Fernandez says the overhaul, one of her top legislative priorities this year, will open the country's airwaves to new players but critics say it will increase state influence over the media.
The government has led a fierce campaign to lock up support for the bill. With a tight vote expected, one opposition senator who had been against the bill publicly reversed her position, prompting opposition charges the government is wielding heavy pressure on lawmakers.
Senators debated the bill on Friday in a session that lasted more than eight hours and was expected to continue into the evening.
The proposed overhaul has pitted Fernandez against Argentina's leading media groups, including Grupo Clarin, one of Latin America's biggest media conglomerates and owner of the country's biggest newspaper and most-watched cable news channel.
Fernandez, a leftist who has expanded the state's role in the economy, calls the bill an attempt to make radio and TV broadcasts more democratic by capping the number of licenses controlled by a media giants.
However, critics say she hopes to deal a blow to Grupo Clarin (CLA.BA)(GCSAq.L), whose media outlets are critical of her government, which has low popularity ratings.
LOW PUBLIC PRIORITY
Argentine political analyst Graciela Romer said the bill's passage would bring limited political benefit for Fernandez. Her approval ratings are below 30 percent, hit by her combative style, a lengthy standoff with farmers over export taxes, and a slowing economy.
"This is a government with serious problems of public support," she said. "This issue is not a priority right now for Argentines who are more worried about unemployment, rising crime and inflation."
Fernandez, who lost her congressional majority in June legislative elections, is pushing to get the bill passed before new lawmakers are seated in December.
It sets limits on the number of media outlets companies can own, forcing some to sell off their holdings within a year, during the run-up to a 2011 presidential election.
It also calls for a new government-controlled regulatory body responsible for issuing and renewing radio and TV licenses.
Nicolas Fernandez, a senator from the ruling party, defended the bill during the debate, saying: "There isn't a single article that regulates content."
Companies are expected to challenge the bill in the courts if it passes, which could delay any changes for several years.
Last month, the lower house backed the bill in a highly charged session that saw more than 100 opposition lawmakers walk out in protest.
After its introduction in August, both the government and broadcasters unleashed intense public relations campaigns.
The government has run advertisements accusing big media companies of holding a monopoly over public opinion, and officials have at times openly criticized Clarin.
Clarin has responded with more negative coverage of Fernandez and in-depth investigations of corruption allegations involving government officials.
(Additional reporting by Daniela Desantis; Editing by Eric Walsh)
