Dish Network....GRRRRR!

[Jennifer M.]

They better come to an agreement soon! They took away some of my favorite channels! Guess I should go check out Direct TV?

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Echostar Communications Corp. (DISH) on Tuesday dropped local CBS stations from its satellite service in 16 cities and dropped MTV, Nickelodeon and other cable channels nationwide after contract talks with Viacom Inc. (VIAb) broke down.

The impasse left an estimated 1.6 million people without CBS network television in cities like New York, Los Angeles and Miami the week before the CBS broadcast of the NCAA basketball tournament. It leaves another 9.5 million nationwide without 10 Viacom channels.

Viacom said it was "dismayed and disappointed" by the action.

EchoStar said it would like to transmit CBS programing on its network again, and accused Viacom of "holding the public airways hostage."

[Shainie]

Okay, if I could cuss here I would be doing so very loudly.

If I get home and Nickelodeon is gone, someone is going to get an earful. That is the only channel my son will even watch any longer. ARGHHHHHHHHHHHHHHHH

[pandybat]

I KNOW! This ticked me off! I was watching satellite last night and was waiting for a show on MTV to come on. 2AM came and I switched over and the dang channel was off the air. The worst part is Nickelodeon is off the air too. I WANT MY SPONGEBOB SQUAREPANTS!!!
Sucks that we have to suffer the loss of channels because of other peoples bickering over fees. I appreciate DishNetwork trying to keep our bills low but how do you explain that to a 5 year old wanting to watch Dora the Explorer?

I wonder if we'll get an adjusted bill for the time that the channels are off the air?

[pandybat]

Question answered: EchoStar said it would provide $1 monthly credits to customers who lose CBS programming, and another $1 for those who subscribe to additional Viacom channels.

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[Shainie]

Viacom's statement:

Viacom Statement Regarding EchoStar/DISH Network's Removal of Our Networks

New York, NY, March 9, 2004—Viacom made the following statement after EchoStar/DISH Network pulled its networks off the air:

"We are dismayed and disappointed by EchoStar/DISH Network's decision to pull the plug on our channels. We tried for months to reach an accommodation that would allow them to continue carrying CBS, Nickelodeon, Nick at Nite, Comedy Central, MTV, BET and many of our other channels, but EchoStar/DISH Network refused to entertain a reasonable proposal or to negotiate in earnest.

We have solid business partnerships with virtually every other satellite and cable TV operator—except for EchoStar/DISH Network.

It is hard for us to make sense of their position. They recently hiked their subscribers' bills by as much as $3 a month. Yet they are unwilling to consider paying an additional six cents a month per subscriber for the right to carry our channels. Our networks are some of the most popular on television and when Americans watch TV, they spend more than 20% of their time with our networks; nonetheless, we are asking for less than 5% of what EchoStar/DISH Network currently generates from the average customer.

Fortunately, consumers have a choice. Current EchoStar/DISH Network subscribers who would like to continue receiving BET, CBS, Comedy Central, MTV, VH1, Nickelodeon, Nick at Nite, and all our other channels can easily switch to one of these reputable operators. We urge them to do so."

[Shainie]

Okay, so what happens if I refuse to pay my bill? I suppose they can get a collection agency and ruin our credit? I think we're about 6 months into a year subscription for them. But I'm not getting what I paid for. I would say in our house, Nickelodeon is the channel on 90% of the time.

I would happily switch companies, but how can I do it without getting hit by Dish Network?

*insert a string of cuss words here*

[pandybat]

Might hold off on changing for now. My sister gets DirectTV and she said they have been running strings along the bottom of her screen talking about this deal with DishNetwork. Not asking you to switch but telling you to complain to CBS. I can't get into the DishNetwork website right now to see what they are saying about it. Too many people trying to access it.

[pandybat]

Finally got in.

DISH Network sincerely regrets that all MTV, BET, Comedy Central, Nickelodeon and VH1 programming is currently unavailable. Viacom owned CBS stations are also unavailable at this time.

These channels and CBS stations, owned by Viacom, have proposed excessive rate increases which we feel are unreasonable. Viacom is demanding rate increases nearly 4 times the rate of inflation for various cable channels, amounting to hundreds of millions of dollars in fees that would increase the cost of our services to you.

Click Here for answers to Frequently Asked Questions.

To view a list of local businesses whose advertising you will not be seeing Click Here.

DISH Network continually strives to control costs on behalf of our customers and we are working hard to get this matter resolved quickly. Tell us what you think by writing us at:
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For MTV, VH1, Nickelodeon and other cable networks
Call 212-258-8000.
For Viacom Corporate
Call 212-258-6000.

For CBS Corporate
Call 212-975-4321 or email them at [Only registered and activated users can see links. Either login above or Register Now]

For your local CBS Station
Call the local CBS general manager at your station listed below:

City Affiliate Call
Letters Name Title Phone
Austin CBS KEYE Gary Schneider General Manager 512-835-0042
Baltimore CBS WJZ Jay Newman VP/General Manager 410-466-0013
Boston CBS WBZ Ed Goldman VP/General Manager 617-787-7000
Chicago CBS WBBM Joe Ahern President/GM 312-944-6000
Dallas-Ft. Worth CBS KTVT Steve Mauldin President/GM 214-750-1111
Denver CBS KCNC Walt Dehaven General Manager 303-861-4444
Detroit CBS WWJ Linda Danna VP/General Manager 248-350-5050
Greenbay-Appleton CBS WFRV Perry Kidder Station Manager 920-437-5411
Los Angeles CBS KCBS Don Corsini President/General Manager 323-460-3000
Miami CBS WFOR Michael A. Colleran VP/General Manager 305-591-4444
Minneapolis CBS WCCO Ed Piette VP/General Manager 612-339-4444
New York CBS WCBS Lew Leone President/General Manager 212-975-4321
Philadelphia CBS KYW Peter Dunn VP/General Manager 215-238-4700
Pittsburgh CBS KDKA Gary Cozen VP/General Manager 412-575-2200
Salt Lake City CBS KUTV Dave Phillips General Manager 801-973-3000
San Francisco CBS KPIX Ron Longinotti VP/General Manager 415-362-5550


Who is actually deciding to make the channels go dark?
Viacom will be making the channels go dark by not granting DISH Network permission to broadcast their channels.
Why did Directv settle their contract and DISH Network cannot come to an agreement?
DISH Network is not willing to pass on excessive cost to our customers as other providers are willing to do to pay for fees like Viacom is proposing.

Does this have anything to do with the insistence by Viacom that DISH Network retransmit the NickToons channel?
In addition to excessive rate increases by Viacom, they are insisting we carry channels that carry very little added value to our package line ups.

When is the go dark date set to take effect?
The time is 3:00am ET on Tuesday, March 9, 2004.

Will our bill be reduced if the channels go dark?
Customers with a removed CBS station will receive a monthly $1 credit until the station is returned. Also, customers with America’s Top 60, 120, 180, America’s Everything Pak. DISH Latino Dos or DISH Latino Max will also receive a $1 monthly credit for the removed MTV Networks.

Will I be allowed out of my programming commitment if these channels go dark?
All programming commitments will remain in effect at this time. DISH Network will monitor the duration of the loss of channels for further decisions made for this.

[Shainie]

Will I be allowed out of my programming commitment if these channels go dark?
All programming commitments will remain in effect at this time. DISH Network will monitor the duration of the loss of channels for further decisions made for this.


Well of course they'll make us stick to our commitment. They have us under their thumb. Make us sign a commitment, then change things and take away things. BS

If I have to, I'll stick out the 1 year I signed on for. But then it's buh-bye.

[pandybat]

Surely you'd think DishNetwork will have to do something soon to get these channels back. They have to be worried about customers switching to another provider. DirectTV is probably loving this right now. I probably won't switch anytime soon for fear it will happen to DirectTV too.

[Shainie]

I'm going to wait it out a little too. I'd hate to work at Dish Network right now answering phones.

I'm sure they're going to have to do something. $1 credit doesn't cut it, I'm sorry.

Maybe if I run out and buy the Spongebob season 1 on DVD, then alternately play that, along with shows I've tapes from Nick, my son will never notice. haha *sigh*

[pandybat]

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EchoStar May Lose More After Removing Viacom's CBS (Update2)
March 9 (Bloomberg) -- EchoStar Communications Corp. Chief Executive Charles Ergen, who today dropped Viacom Inc.'s television networks including CBS from his Dish satellite-TV service, may lose more in the standoff.

EchoStar at midnight California time stopped broadcasting the signals of Viacom-owned CBS stations, including those in New York and Los Angeles, and will stop showing its cable networks, including MTV. A court order requiring Viacom to let EchoStar broadcast the 16 stations expired today.

EchoStar failed to reach terms on a new contract with Viacom, the third-largest U.S. media company. Englewood, Colorado- based EchoStar has said Viacom is demanding rates that are too high and is insisting that EchoStar carry networks it doesn't want. EchoStar's Dish Network may lose sales if the dispute isn't resolved quickly.

``This is a game of chicken -- who will blink first is the question,'' Richard Greenfield, an analyst at Fulcrum Global Partners, wrote in a note to clients this morning. He said EchoStar may lose ``a meaningful number of subscribers if this battle takes too long to conclude.''

Antitrust Suit

EchoStar sued Viacom in January, claiming that it violated antitrust law by demanding that Dish carry the Nicktoons cartoon network and other Viacom cable channels it doesn't want as a condition of reaching a new agreement to show CBS programming.

``Viacom has crossed the line of good citizenship to make some bucks,'' the 51-year-old Ergen said yesterday in a satellite broadcast to Dish Network customers. ``At some point, you have to take a stand to do what you think is right.''

New York-based Viacom has said it hasn't broken the law and accused EchoStar of suing to gain leverage in contract negotiations. In a statement today, the company said it was ``dismayed and disappointed by EchoStar's decision to pull the plug on our channels.''

Viacom Chief Executive Sumner Redstone said yesterday that Ergen is demanding more favorable contract terms than Viacom gives to Comcast Corp. Chief Executive Brian Roberts or to Hughes Electronics Corp.'s DirecTV, controlled by News Corp. Chairman Rupert Murdoch.

Comcast is the biggest U.S. provider of cable-TV service, with 21.5 million customers at the end of 2003. DirecTV is the biggest U.S. satellite-TV service, with 12.2 million subscribers. EchoStar's Dish Network serves 9 million.

`Better Deal'

``There is no way Viacom can or will give Charlie Ergen a better deal than it gives to Rupert Murdoch or Brian Roberts,'' Redstone, 80, said yesterday at an investor conference in Palm Beach, Florida. ``We'll hang tough. It's not a matter of choice. Think of what would happen to us if we did that.''

EchoStar shares fell 4 cents to $34.14 at 9:46 a.m. in Nasdaq Stock market composite trading. Viacom's Class B shares dropped 50 cents to $38.75 in New York Stock Exchange composite trading.

The media markets where EchoStar broadcasts the signals of CBS-owned stations include at least 1.5 million viewers, analysts including Oppenheimer & Co.'s Thomas Eagan wrote in notes to clients. CBS-affiliated stations owned by companies other than Viacom can continue broadcasting on the Dish Network.

If the dispute drags into next weekend, some EchoStar customers may cancel subscriptions, Harris Associates analyst William Jacobs said in an interview. Harris, based in Chicago, owned 2.62 million EchoStar shares in December.

NCAA Tournament

CBS is broadcasting the National Collegiate Athletic Association men's basketball championship tournament, which starts on March 16.

``If you're Charlie Ergen, do you really want to go into the NCAA basketball tournament without CBS?'' Jacobs said. ``My guess is no. It's clearly in both of their interests to get this resolved.''

For every month the dispute drags on, EchoStar may lose more than 2 percent of its subscribers in the markets where it's not broadcasting a CBS station, Schwab SoundView Capital Markets analyst John C. Hill wrote yesterday in a note to clients. He rates EchoStar shares ``outperform.''

Viacom receives ``little'' in cash from EchoStar for its right to broadcast the CBS stations, Hill wrote. The loss of viewers will be ``muted,'' he predicted, as most will be able to receive the stations' signals with an antenna.

CBS has been the most-watched U.S. broadcast network for the current TV season that started in September, according to Nielsen Media Research. CBS's hit shows include the crime drama ``CSI'' and the reality show ``Survivor.''

Ergen said customers will receive a $1 credit on their monthly bill for the loss of Viacom programming. EchoStar charges $24.99 a month for its least expensive package of programming.

Viacom's Revenue

Hill estimated that Viacom's cable network unit would lose about 3 percent of its quarterly revenue for each month that EchoStar doesn't carry the networks. Viacom's cable networks generated $1.66 billion in revenue in the fourth quarter. Viacom reported total revenue of $7.52 billion last quarter.

In addition to TV networks, the company owns the Paramount film studio and Infinity Broadcasting group of radio stations. It's the third-largest U.S. media company after Time Warner Inc. and Walt Disney Co.

EchoStar ``has more reason to settle than Viacom in the short term,'' Hill wrote. He speculated that Ergen might expect Viacom to settle before the lawsuit goes to trial. A ruling against Viacom could weaken its position in negotiations with other satellite-TV cable companies, Hill wrote.

[pandybat]

How come we didn't hear anything about the possibility of this happening until the channels went off the air? That's what I want to know.

[Shainie]

Originally Posted by pandybat

How come we didn't hear anything about the possibility of this happening until the channels went off the air? That's what I want to know.

I've been seeing messages across my TV screen, but they'd blank out before they could finish (I heard EchoStar was trying to block the messages sent out by viacom). All I remember seeing was the words "Dish Network" "Nickeoldeon, MTV" and "Threatening". But it happened so fast, I didn't even know exactly what was going on.

It was probably unexpected, so there wasn't much time to get the word out.

[pandybat]

I wish we knew what the details of each proposed contract was. I applaud DishNetwork standing up to the big corporation over exorbitant fees but we also don't know what they are asking for from Viacom in return that might be a little exorbitant too.