Charlie Chat 1/10/05 Summary Copyright 2005 Mark Lamutt and DBSTalk.com All Rights Reserved Welcome to another Charlie Chat with your hosts, Charlie Ergan and Jim DeFranco! Lots to talk about tonight, so let’s get started! Locals in our 153rd market! PPV Events! International Programming! Shop at Home! CES Announcements! And questions answered! And of course, the special guest – George Stella from The Food Network’s “Low Carb and Loving It!” First up, programming and pricing. Raising prices starting in February statement. We apologize for that, but our costs are increasing. Average customer spends $56 per month, and will see $2.40 increase (4.3% average increase). Programming cost has gone up more than 7% in the last year (blame sports programming). Nobody fights cost increases more than we do! Details beginning February 1, 2005: America’s Top 60 with locals: +$2.00 New Price: $31.99 America’s Top 120 with locals: +$3.00 New Price: $42.99 America’s Top 180 with locals: +$3.00 New Price: $52.99 America’s Everything Pak with locals: +$4.00 New Price: $86.99 RAI International: +$3.00 New Price: $12.99 Premium Movie Packages – no price increase Dish Latino Packages – no price increase All other International Packages – no price increase Pay Per View – no price increase Service Fees – no price increase Cable announcing 6+% price increases this year. We’re 30% less than cable! We’ll work really hard this year to keep costs down. Everyone has had to raise prices. We spend a lot of money on the content, some of those costs we have to pass on to you. To show our appreciation, we’ll throw in a $3.99 PPV coupon in your February statement. Just got back from CES! Roll Video! It’s Dan Landreth! (One of our very good friends that Jason and I work closely with for the support forums.) Picture of 942! Notice how there’s no cable pig as part of their booth this year. Tech Forum Monday February 14, 2005, 9:00pm EST – ask the engineers your questions about all of the new products that we can’t answer. Now rolling video about the new 30” and 40” LCD HDTVs. It’s Dave Edwards! 30” - $1599 40” - $3999 Available in February 34” DirectView monitor with 811 for $999, quantities are limited PQ everybit as good as the LCD monitor. (Has Charlie seen what his 34” tv’s look like? Or what an LCD looks like?) LCD monitors don’t come with HD receivers. Special for existing customers who don’t sub to the HD Pack today – half price for the 12 months! $9.99, with a $5 credit for 12 months. Not available for users that already subscribe to the HD Pak. (We tried…) DVR522 will be available in early February. Runs about $100 more than the 510. What’s new with Programming? Eric Sahl, VP of Programming. As of today, 152 markets with locals with Gainesville, Fla launching on February 3, 2005 - #153. Upcoming cities with locals launching in 2005: Billings, MT Casper, WY Erie, PA Great Falls, MT Mynark/Bismark, ND Rapid City, SD Twin Falls, ID International Programming: South Asia World launched December 16th. Channel 811, $4.99/mo, or $54.89 anually. American Desi, Channel 812, $4.99/mo, or $54.89 anually. Or both as a package for $8.99/mo or $98.89 annually. To subscribe, must be America’s Top 60 or above subscriber, or Dish Latino or above subscriber, or subscriber of Great Wall TV package or any South Asian channel or package at $34.99/mo or higher. PPV Calander: The FA Cup, English Soccer Jan 8th – May 21st on Channels 455 and 470. All inclusive package $99, or 2 payments of $49.50. Individual games $15.95. Final game $24.95. The Konka Kaf under 20 youth tournament, Jan 12th-Jan 31st. Channel 834. All inclusive price $49.95. TNA Wrestling The Final Resolution, January 16th, $29.95, Channels 455 and 470. ESPN Full Court Half Season Package $69, available Jan 16th, with free preview Jan 16th-Jan 19th. NBA League Pass Half Season Package, free preview Jan 24th-Jan 30th. No price given. Interactive Television: Horse racing and betting…let’s go down to the stables! Only allowed in California, Idaho, Indiana, Kentucky, Louisiana, Maryland, Massachusetts, New Mexico, North Dakota, Ohio, Oregon, Washington, Wyoming Cybercafe shopping with Henry! Soon be offering Sharper Image shopping through Dish Home. Heartwarming story from Bingo TV…<gaaaaackkkkk> Now for some Questions! Email from Kehvan Zydhek – question about when 522 will be available for existing customers, has a 510 and wants to know when NBR is coming for the 510? Answer: Charlie – NBR available now! (hahahahaha…rolling eyes…yeah whatever…Charlie really needs to get a clue about his own products…) Jan over shaking his head in the peanut gallery. Charlie promises it is coming for the 510! Here it is in print! Lots of questions about HD programming. Answer: Charlie – new sat launches late summer will give us more capacity. Also, later this year, MPEG4 will allow up to do more HD channels. Vast majority of increases later this year after new sat is launched and when we have MPEG4 technology. May have a few before then – ESPN2, Bravo, some movie channel, but most will be later rather than sooner. Question: Ryan from TN – What is “significantly viewed” defined as under the new law? Answer: Charlie – passed last November that allowed us to continue broadcasting your local channels. One of the other positive things was it put Sat and cable on more equal footing. Example – you live in Washington, but are closer to Baltimore stations, this will allow us to give you both Baltimore and Washington locals. Colorado Springs-Denver another example. FCC has to come out with exact rules, should be out in June. Phone call from Chad: Can’t hear a thing Chad is asking…question about satellite broadband maybe. Answer: Charlie – we had technology called Starband. Service wasn’t economical. We’ve launched 2 satellites since then, and we’re working on a business model to make this cost effective. Won’t be out until at least this fall. Phone call from Lindsay: Recently switched to Dish from cable. With my local cable, we had On Demand programming. Will Dish have On Demand like that? Answer – Charlie: Technology different between us and them. We give you VOD through our DVR receivers. You can record the movies that you want, and you can then watch it whenever you want. And, coming later this year (this spring), the model 625 will automatically download 30 movies on your hard drive to start, and will get better this summer with software updates – more choices. And it’ll let you program your DVR for what you want to watch as well. More questions later…now it’s special guest time… <humming Jeopardy theme now…> (the nice thing about watching this delayed as I type this up is that I can skip right through the special guest segment. I highly recommend it!) After the guest, 2 minutes left in the show…last question: Phone: Lonnie – when will the 921 be available for lease? Answer – Jim: Never. 942 will be available for lease. Watch Tech Forum in February. 921 will be phased out to the 942. Thanks for joining us tonight!