DirecTV said in a statement on Saturday that it has accepted the financial terms that Tribune's management offered it by telephone two days ago. A deal would allow DirecTV to carry Tribune's 23 local broadcast stations so that customers would not lose their programming when the current agreement between the two companies expires. But Tribune came out with its own statement shortly after DirecTV's on Saturday evening, saying that it has not reached a deal or come to terms with DirecTV on any aspect of the contract.
RETRANS WARS
Tribune Says No DirecTV Deal Yet
NEW YORK (AP) — Tribune Broadcasting is denying that it has reached a settlement with satellite television provider DirecTV Inc. in their contract negotiations. This means that DirecTV subscribers in 16 U.S. markets may lose access to certain programming at midnight.
DirecTV said in a statement on Saturday that it has accepted the financial terms that Tribune’s management offered it by telephone two days ago. A deal would allow DirecTV to carry Tribune’s 23 local broadcast stations so that customers would not lose their programming when the current agreement between the two companies expires.
But Tribune came out with its own statement shortly after on Saturday, saying that it has not reached a deal or come to terms with DirecTV on any aspect of the contract.
“There has been no agreement of any kind, handshake or otherwise, on Thursday or any other day,” Tribune said. “In terms of our local stations, DirecTV is well aware that they cannot legally carry them without an agreement in place to do so.
“If they come down, it will be because DirecTV is unwilling to reach a fair agreement with Tribune.”
DirecTV fired back, saying in another statement that it had a handshake deal with Tribune on Thursday with an agreed upon rate for their channels.
BRAND CONNECTIONS
“Their actions are the true definition of ‘bad faith’ in every sense of the term,” DirecTV said.
The satellite television provider also wondered whether Tribune was having difficulty negotiating because of its bankruptcy process.
“Threatening station blackouts to extract an exorbitant fee for all of Tribune’s content may provide an improved return for certain banks and hedge funds, but is not in the interest of its viewers and is not a cure for bankruptcy,” DirectTV said.
Negotiations have been ongoing for months. Tribune said earlier this week that 16 markets would be affected if the contract terms are not settled. These markets include New York, Chicago, New Orleans and Philadelphia.
If a deal is not reached, DirecTV subscribers in the markets where Tribune owns the local Fox affiliate will lose access to programs such as “American Idol” and Major League Baseball. Where Tribune owns the local affiliate of The CW Network, DirecTV subscribers will be unable to see shows such as “Gossip Girl” and “Vampire Diaries.”
Tribune Broadcasting President Nils Larsen said in a statement on Thursday that if an agreement is not reached before the contract expires, DirecTV subscribers will still be able to watch programs on broadcast stations for free in high definition with a TV antenna or by signing up with an alternative pay-TV provider.
Tribune’s broadcasting group owns or runs 23 television stations, WGN America on national cable and Chicago radio station WGN-AM. Its publishing arm includes daily newspapers such as the Los Angeles Times, Chicago Tribune and The Baltimore Sun.
DirecTV serves 32 million people in the U.S. and Latin America.
Comments (1)
Joanne McDonald says:
March 31, 2012 at 11:26 pm
Shame on both Sam Zell and Tribune for this upcoming blackout that will result in the viewers from being able to watch the Cubs games. I feel that they are both trying to be like the Neil Bogarts of Casablanca Records fame of the 1970’s, the Bernard Madoff’s, the Enron’s, and the Worldcom’s of the 2000’s by letting broadcast and cable operator greed get out of control so all of the head employees and bosses be able to have luxurious homes, luxurious cars, join luxurious clubs, and have other luxurious items just to make them very happy then trying and willingness to improve the quality of all the stations they owned and control and trying to make the Cubs fans very happy as well. I feel that Sam Zell has not learned enough from the Tribune bankruptcy in 2008. I hope and I wish that both Sam Zell and Tribune get scolded by both by the ACA and the FCC for making the viewers being forced to this upcoming blackout because they could not make a deal to get the stations back to it’s cable customers sooner and with a fair deal and before the Cubs opening game. I hope and I wish that Sam Zell and Tribune goes out of the broadcast business in owning TV stations. I feel that both Sam Zell and Tribune are trying to bribe like the General Tire/RKO General of the 1960’s and 1970’s by not being very honest of not only the viewers by making them miss the Cubs games and also to Directv. I hope and I wish that the FCC would force Sam Zell and Tribune to allow Directv to carry it’s stations without any interference before the Cubs opening game, if Sam Zell and Tribune fails to allow Directv to carry it’s stations before Cubs opening game, then the FCC would force Sam Zell and Tribune to give up control of all the stations they owned, if Sam Zell and Tribune fails to give up control of all the stations they owned, then the FCC would allow all the broadcasters be allowed to purchased any of the stations Sam Zell and Tribune owns and control with the broadcasters being required to make a real big concession that they would promised not to have any difficulties with all the cable and satellite operators when making deals to carry stations without any interference for 12 whole years with me wanting CBS to own WPIX, KTLA, WGN, and WDCW, News Corp to own WPHL, KTXL, KSWB, the Seattle duo, the Indy duo, the Connecticut duo, the New Orleans duo with 38 to MYNET, 26 to FOX, 54 to CW, and 8 to ABC, the Denver with KWGN to FOX with KDVR to CW, the Saint Louis with KPLR to FOX with KTVI to ABC and KDNL to CW, and WSFL to MYNET, and the Dallas-Fort Worth and Houston CW stations going to Belo to meet FCC rules and regulators. I feel that both Sam Zell and Tribune are way too busy being the Rebecca Black Friday as well as trying be act like the Rodney Dangerfield’s, the John Belushi’s, and the Chris Farley’s as the comedians of the broadcasting and cable industry of not coming to reach a deal with Directv to carry it’s stations to the viewers with Directv even before the Cubs opening game. I feel that both Sam Zell and Tribune are trying to turn into the SMU football of the 1980’s to force Directv to accept a take it or leave it deal to carry it’s stations before the Cubs season starts with their opening game. I urge all of the viewers with Directv to boycott both Sam Zell and Tribune right now for making the Directv viewers from being able to watch the Cubs games and even before opening day.