Tuesday, February 21, 2012

Cable System Offers Fans Baseball Rebate; But HTS, Local Operators Won't Follow Lead of Long Island Carrier


Finally, there's a silver lining in the Major League Baseball strike: lower cable TV bills. At least in some parts of the country.
One of the nation's largest cable companies said yesterday it would offer rebates to its customers, who have been deprived of games during the strike. Cablevision Systems Corp. of Long Island will reduce the monthly bills of about 800,000 subscribers by between $2 and $5 per month - a 50 percent discount on sports channel service, according to the individual cable plan - to compensate them for games that won't be appearing on the regional SportsChannel and Madison Square Garden networks.
The unusual discounts affect Cablevision customers in New York, Illinois and Ohio, who received Mets, Yankees, Indians and Reds games.
Cablevision's policy won't lower prices in the Washington area, however, because the company doesn't own any cable systems here.
Several cable systems around the Washington area said they had no plans to follow Cablevision's example - in part because Home Team Sports, the regional cable network that carries Baltimore Orioles games, hasn't cut the fees it charges cable systems.
HTS spokesman Scott Broyles said cable operators license HTS not just for Orioles telecasts but all the sports it offers throughout the year. Thus, the loss of O's games alone doesn't justify changing contract terms.
Broyles said it would be difficult to develop a rebate formula because the channel is marketed to subscribers in different ways by the more than 250 cable systems that carry it throughout the mid-Atlantic region. Most operators offer HTS as part of a basic package, while some sell it as a stand-alone pay service or as part of a pay "tier" consisting of a few channels.
Since the strike began two weeks ago, HTS has missed seven Orioles telecasts. It has replaced baseball with the Canadian Football League, soccer games and other events.
Cablevision spokesman Norm Fein said his company, the fifth-largest in the industry with 2.5 million customers, negotiated a lower license fee with SportsChannel and MSG as a result of the strike.
Fein also said no one asked Cablevision to issue the rebates, which will deny the company higher profits it might have had.
"We're nice guys," he said.

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