BREAKING NEWS - ECHOSTAR ASKS FCC TO WAIT TO MAKE ITS RULING!

[Scott Greczkowski]

Just came accross Bloomberg....

Echostar has asked the FCC to not issue its ruling today, they want the FCC to wait for the Justice Department to make its ruling first.

Echostar will be meeting with the Justice Department on October 28th. I will post any followup as I find it out!

[Scott Greczkowski]

Looks like we are the first to break the news, I have searched all the wires and nothing.

This press release comes my in house Bloomberg Unit.

(Full credit goes to Bloomberg)

Echostar Asks Federal Regulators to Postpone Vote on Merger
Oct 7 2002 16:20

Washinton, Oct. 7 (Bloomberg) -- Echostar Communications Corp. asked the U.S. Federal Communications Commission to postpone a vote on acquisition of satellite-television reval Hughes Electronics Corp. so it can make "major revision" to the proposal to antitrust enforcers.

Echostar, owner of the Dish Network, asked the FCC to delay its decision until after the company meets with Department of Justice officials, accordiing to a goverment filiing. The FCC is expected to reject a proposed $23 billion purchase, people familiar with the transaction said last week.

[Scott Greczkowski]

http://biz.yahoo.com/rb/021007/media_hughes_revision_3.html

[Kevin]

The decision was going to be made TODAY???:confused:

[Karl Foster]

I guess the FCC answers to Charlie now?

[Geronimo]

Chairman Powell has said an announcement was imminent and that it could happen as early as today. As for the FCC "answering" to Charlie---- Well if you want to see it that way go ahead but it sounds more like Charlie is making a request of them.

[Scott Greczkowski]

I had it from a REALLY good contact that the FCC could have ruled today. Also on XM the XM News Channel kept saying that THEY were expecting the ruling today, and CNET and Bloomberg also mentioned on the air they were expecting it as well.

The president of GM was just on Bloomberg, and when asked about the merger he didnt really say much, it almost as if he wanted Charlie to go at it alone.

[jeffwtux]

Scott G: is that what they call a "Squawk Box"?

[jeffwtux]

I mean that in-house Bloomberg unit. Is that a "Squawk Box"?

[JohnH]

EchoStar released a couple of huge 425s today:

http://ccbn.tenkwizard.com/contents.php?ipage=1877138&repo=tenk&TK=DISH&CK=1001082&FG=0&SC=ON&TC=FFFFFF&LK=0000FF&AL=cc0033&VL=cc0033

http://ccbn.tenkwizard.com/contents.php?ipage=1876535&repo=tenk&TK=DISH&CK=1001082&FG=0&SC=ON&TC=FFFFFF&LK=0000FF&AL=cc0033&VL=cc0033

They may be very simular.

[David_Levin]

Originally posted by Scott Greczkowski
(Full credit goes to Bloomberg)

so it can make "major revision" to the proposal to antitrust enforcers.

Would that reset the clock?

[SParker]

What are the odds that the revisions would change the DOJ and FCC's minds?

[bryan27]

Here's the Filing. It showed up at the FCC at 4pm. IMO I wouldn't doubt it was delivered as everyone sat down to vote!

http://gullfoss2.fcc.gov/prod/ecfs/retrieve.cgi?native_or_pdf=pdf&id_document=6513294644

[Frapp]

Originally posted by SParker
What are the odds that the revisions would change the DOJ and FCC's minds?

Since DirecTV really does not want the merger to happen, maybe they are going to send all of the DOJ and FCC officals a free Dishplayer to use .... that would just about make them throw Echostar out the back door :lol: :blush: :rolleyes: ;) :p :D

[Gemini365i]

Guess DTV did their part to get a free $600 Mil. Works all the time.

JE

[AJ2086]

I think Charlie is going to give in and re-work the paperwork so it will be what the DOJ and FCC want.

[Steve Mehs]

And just when I was beginning to think this whole thing would be soon be behind us :(

[Mike123abc]

Well key dates mentioned for interviewing is the 28th of October. It will be past the end of November now probably before we find out if the merger will go through.

[AllieVi]

Originally posted by Mike123abc
Well key dates mentioned for interviewing is the 28th of October. It will be past the end of November now probably before we find out if the merger will go through. If E*/D* want to make major changes to their proposal, it's only fair to have another period for comments. The last (almost) year has been spent analyzing and critiquing their original proposal. The FCC and DOJ will need to hear from people/organizations about the revised plan if they choose to review it. I'd be surprised if FCC & DOJ accept a change at this late date.

[Curtis0620]

And what could the say that would not decease competition? Nothing, the FCC will say sorry Charlie.

[raj2001]

Originally posted by Curtis0620
And what could the say that would not decease competition? Nothing, the FCC will say sorry Charlie.

I think Charlie should give up now and cut his losses. Any concessions he is proposing now would seriously take away from any benefits he is touting. It's crystal clear what this merger is all about now - Charlie wants a monopoly over Direct to home Satellite TV, nothing else, and there are no real "benefits" for the consumer anymore.

Even if he does give Cablevision the slots to use, they may very well go the way of Primestar or USSB or even worse, fold up and go belly up; CV is already in lots of financial hot water. I've already dealt with monopolies and they are absolutely horrible. I'm already happy with my service, and I don't need to change it.

Please, no merger...

[Scott Greczkowski]

I would not be supprised if he offered to give up the Wing Satellites (61.5 and 148) in exchange for the deal.

No big sweat off his back if he does this, infact moving all the forigen channels to the main satellites would increase his forigen channel subscriber base.

[Curtis0620]

Charlie is just delaying it because his dealers haven't converted enough D* customers yet.

[Geronimo]

Originally posted by David_Levin


Would that reset the clock?



Since no one knows what the revision is how could anyone possibly answer? :shrug:

[Chris Freeland]

Originally posted by Scott Greczkowski
I would not be supprised if he offered to give up the Wing Satellites (61.5 and 148) in exchange for the deal.

No big sweat off his back if he does this, infact moving all the forigen channels to the main satellites would increase his forigen channel subscriber base.

I agree, I would not be surprised if Charlie agrees to sell both 61.5 and 148 assets to a competitor. The New E* would still have plenty of space to eventually move International and all HD channels to the three conus slots and still have room for all 210 local DMA's, increased National core programing, once platforms are consolidated.

The new competitor (Cablevision or perhaps someone else) would have 24TP's at 148, they would own at least 22TP's and take over E* leas for 8 additional TP's at 61.5 for a total of 30TP's their and a Grand total of 54 TP's. The new competitor could place spot-beam satellites for locals at both 61.5 and 148. National channels with both East and West feeds could easily be caryed by placing East feeds on the 61.5 bird, west feeds on 148 bird, National channels with a single feed would be duplicated on both birds. With a combination of new technology and having Satellites at both the 61.5 and 148 location a new competitor could be very formidable competition in all 50 states with both the New E* and cable. Because of Cablevision is already in the cable TV business and of their questionable financial status I would prefer a all new competitor take over both Cablevision's 61.5 and E* 61.5 and 148 assets, but if Cablevision can swing it and can put up a competitive product, then I say more power too them if it saves the merger and provides for a new competitor at the same time.:)

[Win Joy Jr]

One thing...

The ASKED for the FCC to delay the ruling...

Anyone found anything to suggest that the FCC agreed to do so?

[Scott Greczkowski]

Hearing from sources that the vote was set for Late Monday Afternoon and the fact that the vote did not take place says to me the FCC at least temporarly delayed the ruling.

I am sure the DOJ also spoke to the FCC aking them to wait until they ruled but this is pure speculation on my part.

[Mike123abc]

61.5 is the valuable asset to give up. 148 is no big deal... There are several more empty DBS slots out west.

What really needs to happen is negotiations with some south/latin american countries to get slots between 61.5 and 101 opened up to american markets. Something like SES is trying to do with 104. If you have a satellite at 70 pointed at Brazil, that seems far enough away to have one at 70 also point at CONUS... Even a spot beam location out there would be great. If you could hit the east coast cities with enough spots from there to do HDTV LIL it would be pretty popular to add a second dish.

[Win Joy Jr]

My bet is that IF the DOJ believed that the FCC would rule against the merger, that the DOJ would rather have them rule first...

Originally posted by Scott Greczkowski
I am sure the DOJ also spoke to the FCC aking them to wait until they ruled but this is pure speculation on my part.

[Win Joy Jr]

And one other thing...

Has anyone checked out the clock? Has it been halted?

[Scott Greczkowski]

It does not look like it. Here is what the FCC's website shows.

http://www.fcc.gov/transaction/echostar-directv.html

[raj2001]

Originally posted by Mike123abc
61.5 is the valuable asset to give up. 148 is no big deal... There are several more empty DBS slots out west.

What really needs to happen is negotiations with some south/latin american countries to get slots between 61.5 and 101 opened up to american markets. Something like SES is trying to do with 104.

I do not think Latin American countries would do that. The general consensus in Latin America is that the USA has more than enough to meet its needs, and they are probably right. What needs to happen is that Charlie needs to stop banking on this merger and start actually finding ways to improve his service.

He also needs a lesson in how to treat customers, and he has to keep his finger off the "compression increase" button.

[raj2001]

Originally posted by Curtis0620
Charlie is just delaying it because his dealers haven't converted enough D* customers yet.

With these dishonest and underhand tactics no wonder the FCC and DoJ aren't approving his merger.

[Geronimo]

Originally posted by Win Joy Jr
One thing...

The ASKED for the FCC to delay the ruling...

Anyone found anything to suggest that the FCC agreed to do so?

just this........


http://biz.yahoo.com/djus/021009/2121000867_1.html

[Joel B]

Did you think for a moment that they wouldn't reject the first offer? 23 Billion Dollars are on the table. Now, cable has deep pockets and a lot of lobbyists and even though cable denies DBS is a competitor they know it and we know it – DBS is a competitor. They do not want this deal to go through. But before any merger like this goes through, all the fat cat’s are first asking “Where’s my money?” Remember that you don’t pay taxes on a merger. So Uncle Sam say’s “Where’s my Money!” I beleive the only reason the FCC is blocking it this time is they haven’t divided up the money pie yet. Echo might even get a major league team out the deal or a formula one……………Or a bowl! I bet you with the right figure I could do anything, like I could even sell cancer on a stick! “Show me the Money!” “Show me the Money!” “Show me the Money!” “Show me the Money!” “Show me the Money!” “Show me the Money!”

The FCC blocked a major buy out of “Amoco” years ago and it back fired, to date they haven’t repeat that same error.

“Show me the Money!” “Show me the Money!” “Show me the Money!” “Show me the Money!” “Show me the Money!” “Show me the Money!”

My 2 cents............

[Curtis0620]

Give it up, the deal is dead.

[jmikef]

And who has the last laugh?
That bastard Murdoch. :(

[Scott Greczkowski]

Believe it or not, I am hearing some chirping that Charlie MAY have an ACE up his sleeve and that the merger may get the green light after all.

(At least from the DOJ)

The guy is a GREAT poker player we have got to give him that!

[Curtis0620]

FCC to say No.

http://money.excite.com/jsp/nw/nwdt_rt.jsp?news_id=bus-n10376397&feed=bus&date=20021010