DISH Network and Voom Reach Settlement
ENGLEWOOD, CO--(Marketwire - Oct 21, 2012) - DISH Network Corporation (NASDAQ: DISH)
Terms call for DISH to pay $700 million in cash; DISH to receive certain wireless spectrum licenses
DISH enters multi-year agreement to carry AMC, IFC, WE tv, Sundance Channel and Fuse; AMC channel broadcast resumes Sunday, October 21
DISH Network Corporation (NASDAQ: DISH) announced today that its subsidiary, DISH Network L.L.C., has settled all of its pending litigation with Voom HD Holdings LLC.
Terms of the settlement call for DISH Network to pay $700 million in cash. As part of the agreement, DISH will receive 500 MHz of wireless multichannel video distribution and data service ("MVDDS") spectrum licenses that cover a population of 150 million in 45 DMAs including New York, Los Angeles, Chicago, San Francisco and Philadelphia.
As part of a separate, multi-year agreement, DISH will resume broadcast of the AMC channel Sunday, October 21. The AMC channel will be carried on DISH channel 131.
"We are glad to have settled the case and reestablished our long-term relationships with AMC Networks and Cablevision," said Dave Shull, senior vice president of Programming at DISH. "This multi-year deal delivers a fair value for both parties and includes digital expansion opportunities for AMC Networks' programming."
Other AMC Networks programming, including Sundance Channel, WE tv and IFC, will return to DISH Nov. 1. The Madison Square Garden Company's music-oriented Fuse channel will begin broadcast Nov. 1, as well.
Cablevision and AMC Networks Announce Settlement in VOOM HD Litigation With DISH Network
BETHPAGE, N.Y., October 21, 2012 - Cablevision Systems Corporation (NYSE: CVC) and AMC Networks (NASDAQ: AMCX) today announced that they have settled their litigation with DISH Network LLC (NASDAQ: DISH) related to VOOM HD Holdings LLC. The lawsuit, VOOM HD Holdings LLC v. EchoStar Satellite LLC, was filed in the Supreme Court of the State of New York, County of New York.
The settlement agreements include the following components:
DISH Network pays a cash settlement of $700 million to Cablevision and AMC Networks, $80 million of which is in consideration for the purchase of Cablevision's multichannel video and data distribution service (MVDDS) licenses in 45 metropolitan areas in the U.S.;
DISH Network enters into a long-term distribution agreement with AMC Networks to carry AMC, IFC, Sundance Channel and WE tv, and with The Madison Square Garden Company to carry Fuse on its satellite service; and DISH also conveys its 20-percent membership interest in VOOM HD to Rainbow Programming Holdings LLC, such that all of the cash settlement remains with Cablevision and AMC Networks.
Promptly after payment of the cash settlement is received, the parties will file a joint stipulation to dismiss the lawsuit with prejudice. The allocation of the settlement proceeds between Cablevision and AMC Networks will be determined pursuant to the existing agreement relating to this litigation between the two companies.
Said Josh Sapan, President and CEO, AMC Networks: "We are glad to partner again with DISH Network and are delighted to bring back our popular channels and programming to their customers."