Steve Mehs
11-12-02, 04:06 AM
Most believe that EchoStar's DISH Network will report strong third quarter customer gains when it releases results for the three-month period Thursday.
Salomon Smith Barney analyst Armand Musey said he expects DISH Network will report 300,000 net subscriber adds for the third quarter. He also said in a research note released in October that DISH Network’s strong subscriber gains may be attributed to expansion into new distribution channels that once were exclusive to DirecTV, as well as an aggressive pricing policy for DISH Network products.
However, "While successfully driving strong subscriber growth, we are concerned that this strategy will result in lower ARPU, increased churn, and reduced returns on new subs," Musey said.
In addition to third quarter results, most in the satellite TV business hope that EchoStar CEO Charlie Ergen will talk about the company's troubled merger with DirecTV. In late October, the Justice Department filed a lawsuit to block the deal, citing antitrust concerns.
From SkyReport (http://www.skyreport.com/skyreport/nov2002/111202.shtm#one) (Used with Permission)
Salomon Smith Barney analyst Armand Musey said he expects DISH Network will report 300,000 net subscriber adds for the third quarter. He also said in a research note released in October that DISH Network’s strong subscriber gains may be attributed to expansion into new distribution channels that once were exclusive to DirecTV, as well as an aggressive pricing policy for DISH Network products.
However, "While successfully driving strong subscriber growth, we are concerned that this strategy will result in lower ARPU, increased churn, and reduced returns on new subs," Musey said.
In addition to third quarter results, most in the satellite TV business hope that EchoStar CEO Charlie Ergen will talk about the company's troubled merger with DirecTV. In late October, the Justice Department filed a lawsuit to block the deal, citing antitrust concerns.
From SkyReport (http://www.skyreport.com/skyreport/nov2002/111202.shtm#one) (Used with Permission)