KHBS/KHOG May Soon Be Taken Off Cox Cable

Source: KHBS/KHOG-TV Press Release KHBS/KHOG-TV (Channel 40/29) and KHBS/KHOG-TV-DT (Channel 15/21) today announced that the analog signal of KHBS/KHOG-TV may no longer be carried on Cox cable television systems effective October 1, 2007, if the parties are unable to conclude retransmission consent negotiations currently underway. These negotiations have been continuing for more than a year, during much of which time KHBS/KHOG-TV digital channel has not been carried on the Cox system.

The Cable Act of 1992 prohibits cable operators from carrying broadcasters’ signals without their consent. The removal of KHBS/KHOG-TV analog signal from the Cox system will only result if negotiations between representatives of Hearst-Argyle Television, Inc., KHBS/KHOG-TV’s parent company, and Cox are unsuccessful in reaching a conclusion before October 1, 2007. Hearst-Argyle is seeking fair and reasonable terms from Cox in return for allowing Cox to carry KHBS/KHOG-TV’s programming and charge its subscribers for that programming.

“We’re greatly disappointed that after more than a year Cox has yet to arrive at a mutually satisfactory solution,” said Jim Prestwood, KHBS/KHOG-TV/DT president and general manager. “We have not received any compensation for this past year during which Cox has carried our analog signal. To continue to allow any distributor to take our product and use it to derive fees from subscribers and advertisers without any consideration to us doesn’t make much sense.

“We’ve made substantial investments to bring the most popular programming to our viewers,” Jim Prestwood added. “Cox has had the luxury of actively promoting to current and prospective subscribers the availability of our analog channel on their lineup and charging its subscribers for our signal. But they won’t come to terms with us on providing fair consideration for it. To allow any re-distributor of our station’s analog and digital signals to benefit economically from our efforts without providing us a reasonable contract for that right would be unacceptable for us.

“Given the modest compensation we are seeking, in comparison to the amount Cox currently charges its subscribers on a monthly basis, we believe that Cox should not need to raise its subscribers’ rates as a result of concluding a negotiation with us. We believe the compensation we are seeking is commensurate with what other cable companies have paid to owners of TV stations comparable to ours.

“We sincerely hope we and Cox can conclude our negotiations before October 1 so as not to deprive any of our respective viewers and customers of our programming,” Prestwood added. “We will continue to keep our valued viewers informed of developments, on our air and our website, www.4029tv.com.”