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Viewers to pay as broadcast TV retransmission fees climb 47%

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#1 OFFLINE   phrelin


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Posted 16 February 2012 - 04:26 PM

From a news release by SNL Kagen, the folks who keep track of this stuff:

Broadcast TV monthly per subscriber retransmission fees up by 47% according to latest SNL Kagan study.
Retrans fee per subscriber ranges as high as 61 cents in Q3’11.

Monterey, Calif. (February 15, 2012) – A newly-released SNL Kagan study analyzing Q3 ’11 broadcast TV retransmission revenue shows a group of 16 TV station owners grew their average monthly retransmission fees per multichannel subscriber by 46.8% between the third quarter of 2009 and the third quarter of 2011 to reach an estimated 33 cents. By comparison, average Q3’10 fees were estimated at 26 cents.

SNL Kagan’s most recent analysis for third quarter 2011 ranked Univision Communications first at 61 cents. Sinclair Broadcast Group Inc., with an estimated $35.9 million in retrans revenue in third quarter 2011, ranked second at 49 cents per sub per month. Newport Television LLC and LIN TV Corp. ranked third at 48 cents each. CBS Corp., whose owned-and-operated stations generated an estimated $52.3 million in retrans revenue in third quarter 2011, ranked fourth with retransmission fees reaching approximately 45 cents.

The study is based on an overlap analysis that combines third quarter 2011 retransmission revenues and overall multichannel subscriber figures in each of the broadcasters’ TV markets. Going forward, SNL Kagan anticipates that average retransmission fees will remain on an upward trend, given the leverage of valuable programming in 2012, including the Summer Olympics to be held in London from July 27 to Aug. 12.

As we all know, some of this money, including a lot of the increase, is being passed on by the station owners to the broadcast networks which have started demanding a share of retransmission fees from affiliate broadcast stations.

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