DIRECTV Files Complaint with FCC Questioning Control of Tribune Broadcasting Company During Bankrupt

[CK SatGuy]

Tribune's response to Directv's complaint

For months, Tribune and DirecTV have been negotiating a complex, multi-year contract for the carriage of our local television stations and WGN America. The contract is complex, in part, because it covers 23 local television stations with varying programming in 19 different markets, large and small, as well as our national cable network, WGN America. Over the course of any negotiation, parties may agree in principle on some terms and disagree on others, but it takes closure on all terms by both parties to reach an agreement. We never reached agreement with DirecTV on all the terms of the contract—not in principle, not by handshake and not on paper. We didn't have an agreement on Thursday, March 29, and we do not have an agreement now.
Our most recent filing with the FCC regarding Tribune's anticipated emergence from bankruptcy was merely to provide the commission with data it would need to evaluate following confirmation of a restructuring plan. Our hope was to shorten the time between confirmation of our plan and emergence from Chapter 11. Any intimation that our broadcast licenses have been prematurely transferred is simply false and misleading.
Claims of "bad faith" and "outrageous conduct" are nothing more than negotiating tactics in an attempt to unfairly disadvantage Tribune from receiving fair market compensation from DirecTV for carriage of Tribune's local television stations and WGN America. Tribune seeks an agreement with DirecTV that is similar to those DirecTV already has in place with hundreds of other content providers.
Finally, Tribune management, with the full support of its Board of Directors, remains firmly committed to an expeditious negotiation with DirecTV for the carriage of our local stations and WGN America in order to continue our long-standing history of public service.

Tribune Statement on DirecTV Negotiations | SYS-CON MEDIA

 

[Jimbo]

Who told DIRECTV who to negotiate with?

Tribune has been in Chapter 11 for more than three years now so everyone should know the drill.

You would think that if the contract was nearing the end that the Trib would send capable people to the table.
Shouldn't need a "Can we negotiate with you" session.

 

[Juan]

It would be very interesting to see who the actual creditors are that squashed the deal. (people not corporation names)

 

[DodgerKing]

For months, Tribune and DirecTV have been negotiating a complex, multi-year contract for the carriage of our local television stations and WGN America. The contract is complex, in part, because it covers 23 local television stations with varying programming in 19 different markets, large and small, as well as our national cable network, WGN America. Over the course of any negotiation, parties may agree in principle on some terms and disagree on others, but it takes closure on all terms by both parties to reach an agreement. We never reached agreement with DirecTV on all the terms of the contract—not in principle, not by handshake and not on paper. We didn't have an agreement on Thursday, March 29, and we do not have an agreement now.
Our most recent filing with the FCC regarding Tribune's anticipated emergence from bankruptcy was merely to provide the commission with data it would need to evaluate following confirmation of a restructuring plan. Our hope was to shorten the time between confirmation of our plan and emergence from Chapter 11. Any intimation that our broadcast licenses have been prematurely transferred is simply false and misleading.
Claims of "bad faith" and "outrageous conduct" are nothing more than negotiating tactics in an attempt to unfairly disadvantage Tribune from receiving fair market compensation from DirecTV for carriage of Tribune's local television stations and WGN America. Tribune seeks an agreement with DirecTV that is similar to those DirecTV already has in place with hundreds of other content providers.
Finally, Tribune management, with the full support of its Board of Directors, remains firmly committed to an expeditious negotiation with DirecTV for the carriage of our local stations and WGN America in order to continue our long-standing history of public service.

Tribune Statement on DirecTV Negotiations | SYS-CON MEDIA

Shouldn't it be, "Tribune seeks an agreement with DirecTV that is similar to those DirecTV already has in place with other content providers based on similar ratings"? You cannot pay them the same as you would pay FOX or ABC as both have ratings that Tribune cannot even come close to touching.

 

[Peter Parker]

It would be very interesting to see who the actual creditors are that squashed the deal. (people not corporation names)

The actual creditors are likely to be corporations.

 

[Scott Greczkowski]

Oh boy! Another corporate p*ssing match where everyone wins except the consumer!

I still like the blurb about this on the homepage..
"The FCC has filed a complaint with the FCC over the ongoing Tribune dispute"

Whoops fixed. My computer was in the shop and I posted it via my iPad, I didn't check it after I posted it, so that was 100% my fault.

 

[T_N_T]

I've watched WGN/WGNAmerica for years(I remember when they still had the WB feed nationally), I always like when the WGN news anchors give shout outs to us outside of ChicagoLand. frustrates me that it all went down this way with DirecTV. Fortunately for me I still get WGNA in HD on QAM on the one cable line that I have in the house.

 

[Sparkman]

I've watched WGN/WGNAmerica for years(I remember when they still had the WB feed nationally), I always like when the WGN news anchors give shout outs to us outside of ChicagoLand. frustrates me that it all went down this way with DirecTV. Fortunately for me I still get WGNA in HD on QAM on the one cable line that I have in the house.

+1, but I only get WGNA is SD on my cable line that is active because I have internet service from Charter, the worst HD provider I have ever seen.

 

[Blackhawks]

As a Chicagoan at least we don't have to watch the Cubs and/or White Sox, unless they're on CSN or WCIU. I think it will be a long season on both sides of town.

Sent from my iPhone using SatelliteGuys

 

[Joe The Dragon]

WGN Chicago has good ratings for local news and sports.

 

[cosmo_kramer]

Is there any relevance to this issue that the current Tribune CEO is a former DirecTV executive??

Eddy W. Hartenstein Profile - Forbes.com

 

[ProfStata]

Is there any relevance to this issue that the current Tribune CEO is a former DirecTV executive??

Eddy W. Hartenstein Profile - Forbes.com

Not really.

 

[goober]

The actual creditors are likely to be corporations.

I meant the person who rejected the deal

 

[Peter Parker]

I meant the person who rejected the deal

You were not the person who made the original comment.

 

[Tampa8]

This statement by Tribune should be a clue to the FCC a change is needed;
"The contract is complex, in part, because it covers 23 local television stations with varying programming in 19 different markets, large and small"

And that's negotiating with just one company and a handful of the locals. Needs to be a national network and/or regional ones for local news.

 

[charper1]

Is there any relevance to this issue that the current Tribune CEO is a former DirecTV executive??

Eddy W. Hartenstein Profile - Forbes.com

None

 

[ts7]

You would think that if the contract was nearing the end that the Trib would send capable people to the table.
Shouldn't need a "Can we negotiate with you" session.

Isn't it possible that the Tribune negotiating team did indeed believe they were authorized? I'm guessing they were as shocked as D* when the deal was quashed by the bankruptcy receivership but have no choice but to suck it up.

The Tribune really has no great incentive to give in on their demands so either D* will have blink or let it play out through the courts which could take months.

When it comes down to it, Congress and the FCC are really to blame for creating the mess that leads to these disputes. Common sense would seem to dictate that if the signal is free over the public airwaves then it should be free to anyone in the market without regard to how the signal is delivered as long as it is unaltered. In other words neither D* nor any other DBS or cable provider should have to pay to carry a local station in the same market where that stations signal can be picked up OTA.

But then, when is the last time a politician or bureaucrat used common sense?

 

[cosmo_kramer]

Is there any relevance to this issue that the current Tribune CEO is a former DirecTV executive??

Eddy W. Hartenstein Profile - Forbes.com

None

Kind of ironic though...

In 1990, Hartenstein was named president of the new Hughes-owned subsidiary to develop direct-to-home satellite TV service. Hartenstein organized the new business, and formed DirecTV.

Under Hartenstein’s direction, DirecTV began commercial service in 1994. He served as DirecTV chairman and CEO from inception to 2004.

During his tenure, Hartenstein also led the regulatory push to change U.S. law to allow local broadcast stations to be rebroadcast into their markets over direct broadcast satellite and, through DirecTV, led the industry into digital television. Hartenstein retired as vice chairman of the DirecTV Group after the company’s sale to Rupert Murdoch’s News Corp. in December 2004.

Eddy Hartenstein - Wikipedia, the free encyclopedia

 

[rkr0923]

D* negotiation skills has always sucked....surprised more stations aren't gone. They sure can't negotiate any new ones

 

[charper1]

I guess they just suck far less than EVERYONE else then?