Returning the RSNs to the DISH lineup is seen as a crucial element in Diamond Sports’ plan to restructure its $8.1 billion in debt. The ongoing inability to secure carriage with the nation’s fourth-largest pay-TV distributor is particularly burdensome as Sinclair tries to raise cash for its direct-to-consumer launch. (In a June 21 filing with the Securities and Exchange Commission, Sinclair acknowledged its proposal to issue $500 million in new Diamond Sports notes to existing bondholders. The debt-restructuring discussions have yet to bear fruit.)
During Sinclair’s second quarter earnings call on Aug. 4, CEO Chris Ripley seemed to bridle somewhat when Morgan Stanley analyst David Hamburger asked about the company’s stalled negotiations with bondholders.
“I think it would be wrong to say that [the restructuring discussions] have been unsuccessful,” Ripley said. “It’s been more a [matter] of moving toward a deal that is amenable to both sides. And as we’ve said before, and I’ll say again, we’re not interested in just doing any deal—we should be doing the right deal.”