Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: TUESDAY, September 21, 1993 TAG: 9309210101
SECTION: NATIONAL/INTERNATIONAL PAGE: A1 EDITION: STATE
SOURCE: MELANIE S. HATTER STAFF WRITER
DATELINE: LENGTH: Medium
WSLS (Channel 10) has signed a three-year, non-cash contract with Cox Cable Roanoke Inc., leaving WDBJ (Channel 7) as the only local station out of six that hasn't settled with the largest cable system in the region.
The contract is confidential and neither side is divulging any details, but WSLS general manager James DeSchepper said it was "mutually beneficial."
"It certainly wasn't the Israeli peace talks," he said. "There was a lot of give and take. . . . We achieved what we wanted."
Instead of cash, broadcast stations may choose to be compensated with free advertising on cable channels.
WDBJ announced in July that it wanted 57 cents per subscriber per month from Cox - $356,000 per year. The station's general manager, Bob Lee, said earlier this month that he was not ruling out other offers. But, so far the offers had been "hollow," he said.
"We continue to have talks," Lee said Monday, and he is hopeful an agreement can be made before Oct. 6. The latest agreement will no doubt put "much more fuel on the fire" for continued talks with Cox Cable, he said.
Next month's deadline was set by the Federal Communications Commission in accordance with the Cable Act of 1992 for broadcast stations and cable companies to settle on some form of compensation.
"I'd say I'm cautiously optimistic" on settling with WDBJ, said Gretchen Shine, vice president and general manager at Cox. A lot can be accomplished in two weeks, she said.
Broadcast stations and cable companies have been negotiating on terms of compensation since June, when broadcasters chose between getting a guaranteed position on the cable system or seeking compensation for their broadcast signal.
DeSchepper said an agreement could be forthcoming between Channel 10 and Booth American Corp., which owns Salem and Blacksburg cable companies.
Public broadcasting station WBRA and independent WEFC had opted for a guaranteed position on all cable systems without payment. WSET (Channel 13) and WJPR/WVFT - offering Fox Broadcasting's new FX channel - signed with most cable companies, including Cox, Salem and Blacksburg.
However, the cable system in Franklin County has yet to make much headway with three stations.
Atlantic Metrovision Corp. (Franklin County Cablevision) has yet to conclude talks with WSLS, WDBJ and WJPR/WVFT. WSET asked for a channel position without payment.
"We've had meetings with all three and they were positive," said the company's president, Kelvin Bowles. But "they're asking for revenue and we just don't think we should pay it for free TV.
"We're in a rural system, we're real small, and we put out a lot of capital to serve low-density areas," he said. "I really don't fault the broadcasters for asking because the bureaucrats in Washington [D.C.] gave them the authority."
Bowles said his customers don't subscribe to cable for the local channels and if no deals are made, so be it. "It's up to them now," he said.
by CNB