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A fee dispute between TV station chain Tegna Inc. and the DISH Network Corp. has blacked out KTHV-TV, Channel 11 of Little Rock, from the menu of tens of thousands of DISH subscribers in Arkansas.
One advertising executive with access to nonpublic numbers said that more than 72,000 DISH subscribers were affected in the Little Rock metropolitan statistical area, unable to watch the CBS affiliate. Programming from all 53 Tegna stations nationwide vanished from DISH screens on Wednesday after the satellite network rejected a fee increase and Tegna refused a counteroffer. The disruption involves about 3 million households in the United States, said DISH, based in Englewood, Colorado. Neither KTHV nor DISH would say precisely how many Arkansans are affected.
For nearly two decades, TV stations have been getting “carrying fees” from cable and satellite companies disseminating their broadcasts. Those fees were small at first but have multiplied to total nearly $12 billion a year nationwide. DISH officials described Tegna’s demand as a “massive fee increase to nearly a billion dollars and holding viewers hostage during football season.”
“Tegna is demanding we pay for 100% of our subscribers in their markets, regardless of whether these subscribers receive or want Tegna's programming," Brian Neylon, group president, DISH TV, said in a statement. "We apologize to our customers and we're deeply disappointed in Tegna's decision to remove its channels from DISH in an effort to try and force an unjustifiable fee increase that directly impacts our customers," said Neylon. "We can't sit by and accept Tegna's unreasonable demands. We will continue fighting on behalf of our customers to come to a fair deal that is beneficial for all."
Each company accused the other of using viewers as pawns and holding them for ransom.
KTHV-11 General Manager Marty Schack referred questions on the matter to Anne Bentley, a Tegna spokesperson. She said DISH had “proactively” removed Tegna stations from its lineup before the negotiation deadline.
“After having had months to reach a fair agreement with us, DISH continues to deny its customers access to channels they rely upon, deserve and pay to receive,” Bentley told Arkansas Business via email. “Tegna’s local stations across the country can now be added to the more than 230 channels DISH has dropped over the last year alone.”
Bentley said Tegna simply wanted a fair deal “based on the competitive terms we’ve used to reach deals with numerous other providers.” The satellite company is “using service disruptions as a business strategy,” Bentley said, calling on DISH “to return to the negotiating table and work with us to restore our channels.”
For its part, DISH apologized to its customers, expressing deep disappointment in “Tegna’s decision” to remove the channels in a bid for “an unjustifiable fee increase that directly impacts our customers,” Neylon said. “We can't sit by and accept Tegna's unreasonable demands. We will continue fighting on behalf of our customers to come to a fair deal that is beneficial for all."
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October 09, 2021 at 02:02AM
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DISH Customers Lose KTHV Signal in Fee Dispute - Arkansas Business Online
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