Statement from Dish Network on Young Broadcasting Removal

[navychop]

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Originally Posted by ScoBuck

I don't agree totally. The reason that the pay-providers offer locals is to get customers. Without locals, they would have Millions of fewer subs, and thus hundreds of millions LESS revenues and profits. I think the 'favor' clearly works BOTH ways.

OK, good point.

[jayn_j]

Originally Posted by Airblair

KRON, in San Francisco, is an interesting example of Young Broadcasting's business strategy.

By "Young Broadcasting's business strategy" I mean "Young Broadcasting's self-destructive penchant for douchebaggery".

KRON was the local NBC affiliate until Young decided to try to play hardball with NBC. I forget exactly what stunt they were trying, but basically it was something that was unheard of in the history of network-affiliate relations.

There is a fairly detailed history on wikipedia. Sounds like there was plenty of 'douchebaggery' on both sides.

KRON-TV - Wikipedia, the free encyclopedia

Originally Posted by wikipedia

The end of the NBC era
In 1999, the deYoung family, owners of the parent corporation Chronicle Publishing, decided to liquidate their assets. KRON's longtime newspaper partner, the San Francisco Chronicle would be sold to its current owner, Hearst Corporation.

NBC had made many offers for channel 4 over the years, but the deYoungs had rebuffed them each time. It finally saw a chance to get an O&O ("owned and operated") in the Bay Area, and quickly jumped into the bidding war for channel 4. It was seen as the frontrunner until it was outbid at the last second by New York City-based Young Broadcasting (then-owner of KCAL-TV in Los Angeles and several medium-small market stations). Young's purchase price for the station ($750 million (U.S.) at the outset rose to $820 million by closing) was a record price for a single station that stands to this day. For the down payment, Young was forced to sell WKBT in La Crosse, Wisconsin to Morgan Murphy Stations.

NBC responded with a list of demands that would have required Young to run the station under the conventions of an NBC O&O. For example, NBC wanted Young to rebrand KRON as "NBC 4," and run the entire NBC schedule in pattern with no pre-emptions except for local news emergencies. Rather than give in to NBC's demands, Young decided not to renew Channel 4's affiliation contract with NBC when it ran out in 2002. Granite Broadcasting's KNTV in San Jose later approached NBC with a proposal to pay $37 million annually for the rights to broadcast NBC programming, and NBC accepted the deal. In December of 2001, however, NBC purchased KNTV for a fraction of KRON's sale price — $230 million in cash. That makes NBC the only network in the Bay Area to switch from one local station to another.

The affiliation switch became official at the stroke of midnight on New Year's Day 2002, ending KRON-TV's 52-year affiliation with NBC.

[jdmacor]

Just to make sure the "People" know about this, I submitted it to Engadget HD: DISH Network, Young Broadcasting retrans dispute pulls 13 stations off the air - Engadget HD

[tomcrown1]

Young Broadcasting is going under and needs the money to survive I would not cave in. In San Francisco this was done with Kron while it was an NBC affilate. Yooung broadcasting wanted two much money from NBC, so the left Kron and went with the big 36. Kron is now fighting to get renue to survive. Kron being dropped by dish hurts them more than Dish since hardly anyone in the Bay Area watch anything on KRON.

I have a feeling the the other network affilates that are on the other Young channels may follow the same course of action as NBC did in the Bay Area.

[HDRoberts]

Yay, market has to be happy, they're up 20% today!

Except that is a fraction of a penny. They are down 96 percent for the year. 5 years ago the price as close to $20. Had a high above $60 even.

Market cap of less than $900k. Maybe Charlie should just but them.

YBTVA - Young Broadcasting Inc. - Google Finance

[jdmacor]

Originally Posted by HDRoberts

Yay, market has to be happy, they're up 20% today!

Except that is a fraction of a penny. They are down 96 percent for the year. 5 years ago the price as close to $20. Had a high above $60 even.

Market cap of less than $900k. Maybe Charlie should just but them.

YBTVA - Young Broadcasting Inc. - Google Finance

Ouch. Net losses for the past three years, along with a negative equity position? Not so good, YBTAV...

[CorpITGuy]

Originally Posted by HDRoberts

Market cap of less than $900k. Maybe Charlie should just but them.

YBTVA - Young Broadcasting Inc. - Google Finance

No kidding! That would be a good way to end the standoff, but then of course he'd wind up with their toxic assets.

[wkomorow]

Originally Posted by cincyguy2k4

This is not a monopoly. People can switch to a provider or buy an antenna to get the station just as easy.

switch providers yes, but I have laid out over $1200 for a variety of antennae over the years to improve signals, right now I have a fringe area 16 bay Antennacraft with preamp for UHF and a crossfire deep fringe with preamp for VHF - both have rotators. On good days, I can get channel 10, when the weather is bad or cloudy, I can not- like today and yesterday. I am 45 miles from the tower with lots of mountains in between. Mountainous areas have real difficultly with a UHF signal 45 miles away. VHF tends to do better here.

[Sammy033]

Switch providers yes....... unless under a contract like I am.

[chikagobnd]

This question may have already been asked/answered. But I haven't seen it...so, is D* carrying any of Young's stations? And are they having trouble with this company as well, or is it just Dish?